XML 27 R17.htm IDEA: XBRL DOCUMENT v3.20.2
Restatement of Previously Issued Financial Statements (Tables)
6 Months Ended
Jun. 30, 2020
Accounting Changes and Error Corrections [Abstract]  
Schedule of Error Corrections and Prior Period Adjustments
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS


 
For the Three Months Ended June 30, 2019
 
As Previously Reported
 
Restatement Impacts
 
Restatement References
 
As Restated
Recasting Impacts
As Restated and Recast
 
(In thousands)
Revenue
$
148,427

 
$
921

 
c
 
$
149,348

$
(18,283
)
$
131,065

Cost of sales
112,770

 
—

 
 
 
112,770

(10,212
)
102,558

Gross profit
35,657

 
921

 
 
 
36,578

(8,071
)
28,507

Selling, general and administrative expenses
35,617

 
594

 
a,c
 
36,211

(11,235
)
24,976

Amortization of intangible assets
346

 
—

 
 
 
346

—

346

Operating profit (loss)
(306
)
 
327

 
 
 
21

3,164

3,185

Interest expense, net
904

 
—

 
 
 
904

(115
)
789

Other expense (income), net
(126
)
 
—

 
 
 
(126
)
(6
)
(132
)
Income (loss) from continuing operations before income taxes
(1,084
)
 
327

 
 
 
(757
)
3,285

2,528

Income tax expense (benefit)
(140
)
 
1

 
 
 
(139
)
769

630

Net income (loss) from continuing operations
(944
)
 
326

 
 
 
(618
)
2,516

1,898

Loss from discontinued operations, net of tax
—

 
—

 
 
 
—

(2,516
)
(2,516
)
Net income (loss)
$
(944
)
 
$
326

 
 
 
$
(618
)
$
—

$
(618
)
 
 
 
 
 
 
 
 
 
 
Basic and diluted earnings (loss) per share:
 
 
 
 
 
 
 
 
 
Continuing operations
$
(0.07
)
 
$
0.03

 
 
 
$
(0.04
)
$
0.18

$
0.14

Discontinued operations
—

 
—

 
 
 
—

(0.18
)
(0.18
)
Basic and diluted earnings (loss) per share
$
(0.07
)
 
$
0.03

 
 
 
$
(0.04
)
$
—

$
(0.04
)
 
 
 
 
 
 
 
 
 
 
Basic weighted average shares outstanding
13,813

 
—

 
 
 
13,813

—

13,813

Diluted weighted average shares outstanding
13,813

 
—

 
 
 
13,813

13

13,826


CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
 
 
 
 
 
 
 
 
 
Class A common stock
Class B common stock
Capital in excess of par value
Treasury stock
Retained earnings
Accumulated other comprehensive income (loss)
Total stockholders' equity
As Previously Reported
 
 
 
 
 
 
 
  Balance, January 1, 2019
$
93

$
44

$
51,714

$
—

$
30,897

$
(17,310
)
$
65,438

   Net loss
—

—

—

—

(2,705
)
—

(2,705
)
Issuance of common stock, net of conversions
2

—

(1
)
—

—

—

1

Purchase of treasury stock
—

—

—

(2,334
)
—

—

(2,334
)
Share-based compensation expense
—

—

1,629

—

—

—

1,629

Cash dividends, $0.085 per share
—

—

—

—

(2,419
)
—

(2,419
)
Other comprehensive loss
—

—

—

—

—

(751
)
(751
)
Reclassification adjustment to net loss
—

—

—

—

—

238

238

Balance, June 30, 2019
$
95

$
44

$
53,342

$
(2,334
)
$
25,773

$
(17,823
)
$
59,097

Restatement Impacts
 
 
 
 
 
 
 
  Balance, January 1, 2019
$
—

$
—

$
—

$
—

$
(8,829
)
$
209

$
(8,620
)
   Net loss
—

—

—

—

(1,298
)
—

(1,298
)
Issuance of common stock, net of conversions
—

—

—

—

—

—

—

Purchase of treasury stock
—

—

—

—

—

—

—

Share-based compensation expense
—

—

—

—

—

—

—

Cash dividends, $0.085 per share
—

—

—

—

—

—

—

Other comprehensive loss
—

—

—

—

—

(85
)
(85
)
Reclassification adjustment to net loss
—

—

—

—

—

94

94

Balance, June 30, 2019
$
—

$
—

$
—

$
—

$
(10,127
)
$
218

$
(9,909
)
As Restated
 
 
 
 
 
 
 
  Balance, January 1, 2019
$
93

$
44

$
51,714

$
—

$
22,068

$
(17,101
)
$
56,818

   Net loss
—

—

—

—

(4,003
)
—

(4,003
)
Issuance of common stock, net of conversions
2

—

(1
)
—

—

—

1

Purchase of treasury stock
—

—

—

(2,334
)
—

—

(2,334
)
Share-based compensation expense
—

—

1,629

—

—

—

1,629

Cash dividends, $0.085 per share
—

—

—

—

(2,419
)
—

(2,419
)
Other comprehensive loss
—

—

—

—

—

(835
)
(835
)
Reclassification adjustment to net loss
—

—

—

—

—

332

332

Balance, June 30, 2019
$
95

$
44

$
53,342

$
(2,334
)
$
15,646

$
(17,604
)
$
49,189


CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
 
June 30, 2019
 
As Previously Reported
 
Restatement Impacts
 
As Restated
 
Recasting Impacts
 
As Restated and Recast
Operating activities
 
 
 
 
 
 
 
 
 
Net income (loss) from continuing operations
$
(2,705
)

$
(1,298
)

$
(4,003
)

$
5,239


$
1,236

Adjustments to reconcile net income from continuing operations to net cash provided by operating activities:









Depreciation and amortization
2,153


—


2,153


(312
)

1,841

Deferred income taxes
1,800


57


1,857


43


1,900

Stock compensation expense
1,629


—


1,629


—


1,629

Other
117


(11
)

106


(29
)

77

Net changes in operating assets and liabilities:









Affiliate payable
(2,199
)

(1
)

(2,200
)

5


(2,195
)
Trade receivables
13,956


(128
)

13,828


(906
)

12,922

Inventory
4,375


210


4,585


(2,649
)

1,936

Other assets
(133
)

(214
)

(347
)

(1,255
)

(1,602
)
Accounts payable
(41,259
)

(9
)

(41,268
)

8,166


(33,102
)
Other liabilities
(19,841
)

1,412


(18,429
)

2,141


(16,288
)
Net cash provided by (used for) operating activities from continuing operations
(42,107
)

18


(42,089
)

10,443


(31,646
)
Investing activities









Expenditures for property, plant and equipment
(2,091
)

—


(2,091
)

119


(1,972
)
Other
36


—


36


(36
)

—

Net cash used for investing activities from continuing operations
(2,055
)

—


(2,055
)

83


(1,972
)
Financing activities









Net additions (reductions) to revolving credit agreements
44,302


—


44,302


(9,450
)

34,852

Purchase of treasury stock
(2,334
)

—


(2,334
)

—


(2,334
)
Cash dividends paid
(2,419
)

—


(2,419
)

—


(2,419
)
Net cash provided by (used for) financing activities from continuing operations
39,549


—


39,549


(9,450
)

30,099

Cash flows from discontinued operations














Net cash used for operating activities from discontinued operations
—


—


—


(10,443
)

(10,443
)
Net cash used for investing activities from discontinued operations
—


—


—


(83
)

(83
)
Net cash used for financing activities from discontinued operations
—


—


—


9,450


9,450

Cash provided by (used for) discontinued operations
—


—


—


(1,076
)

(1,076
)
Effect of exchange rate changes on cash
(608
)

(18
)

(626
)

—


(626
)
Cash and Cash Equivalents









(Decrease) increase for the year from continuing operations
(5,221
)

—


(5,221
)

1,076


(4,145
)
Increase (decrease) for the year from discontinued operations
—


—


—


(1,076
)

(1,076
)
Balance at the beginning of the year
6,352


—


6,352


—


6,352

Balance at the end of the period
$
1,131


$
—


$
1,131


$
—


$
1,131




CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

 
For the Six Months Ended June 30, 2019
 
As Previously Reported
 
Restatement Impacts
 
Restatement References
 
As Restated
Recasting Impacts
As Restated and Recast
 
(In thousands)
Revenue
$
293,804

 
$
1,439

 
c,f
 
$
295,243

$
(37,536
)
$
257,707

Cost of sales
223,424

 
(65
)
 
f
 
223,359

(20,861
)
202,498

Gross profit
70,380

 
1,504

 
 
 
71,884

(16,675
)
55,209

Selling, general and administrative expenses
72,124

 
2,566

 
a,c,f
 
74,690

(23,468
)
51,222

Amortization of intangible assets
691

 
—

 
 
 
691

—

691

Operating profit (loss)
(2,435
)
 
(1,062
)
 
 
 
(3,497
)
6,793

3,296

Interest expense, net
1,650

 
—

 
 
 
1,650

(198
)
1,452

Other expense (income), net
(458
)
 
144

 
f
 
(314
)
(15
)
(329
)
Income (loss) from continuing operations before income taxes
(3,627
)
 
(1,206
)
 
 
 
(4,833
)
7,006

2,173

Income tax expense (benefit)
(922
)
 
92

 
e
 
(830
)
1,767

937

Net income (loss) from continuing operations
(2,705
)
 
(1,298
)
 
 
 
(4,003
)
5,239

1,236

Loss from discontinued operations, net of tax
—

 
—

 
 
 
—

(5,239
)
(5,239
)
Net loss
$
(2,705
)
 
$
(1,298
)
 
 
 
$
(4,003
)
$
—

$
(4,003
)
 
 
 
 
 
 
 
 
 
 
Basic and diluted earnings (loss) per share:
 
 
 
 
 
 
 
 
 
Continuing operations
$
(0.20
)
 
$
(0.09
)
 
 
 
$
(0.29
)
$
0.38

$
0.09

Discontinued operations
—

 
—

 
 
 
—

(0.38
)
(0.38
)
Basic and diluted earnings (loss) per share
$
(0.20
)
 
$
(0.09
)
 
 
 
$
(0.29
)
$
—

$
(0.29
)
 
 
 
 
 
 
 
 
 
 
Basic weighted average shares outstanding
13,800

 
—

 
 
 
13,800

—

13,800

Diluted weighted average shares outstanding
13,800

 
—

 
 
 
13,800

13

13,813


CONDENSED CONSOLIDATED BALANCE SHEETS
 
December 31, 2019
 
As Previously Reported
 
Restatement Impacts
 
Restatement Reference
 
As Restated
 
(In thousands)
Assets
 
 
 
 
 
 
 
Current assets
 
 
 

 
 
 
 
Cash and cash equivalents
$
2,142

 
$
—

 
 
 
$
2,142

Trade receivables, net
113,781

 
(5,400
)
 
a,b,d
 
108,381

Inventory
109,621

 
185

 
f
 
109,806

Prepaid expenses and other current assets
23,102

 
(11,757
)
 
a,b,f
 
11,345

Current assets of discontinued operations
5,383

 
—

 
 
 
5,383

Total current assets
254,029

 
(16,972
)
 
 
 
237,057

Property, plant and equipment, net
22,324

 
—

 
 
 
22,324

Goodwill
6,253

 
—

 
 
 
6,253

Other intangible assets, net
3,141

 
—

 
 
 
3,141

Deferred income taxes
3,853

 
2,395

 
e
 
6,248

Deferred costs
10,941

 
—

 
 
 
10,941

Other non-current assets
2,085

 
—

 
 
 
2,085

Non-current assets of discontinued operations
614

 
—

 
 
 
614

Total assets
$
303,240

 
$
(14,577
)
 
 
 
$
288,663

Liabilities and stockholders' equity
 
 
 
 
 
 
 
Current liabilities
 
 
 
 
 
 
 
Accounts payable
$
111,117

 
$
231

 
f
 
$
111,348

Accounts payable to NACCO Industries, Inc.
496

 
—

 
 
 
496

Revolving credit agreements
23,497

 
—

 
 
 
23,497

Accrued compensation
14,277

 
750

 
f
 
15,027

Accrued product returns
8,697

 
—

 
 
 
8,697

Other current liabilities
12,873

 
(339
)
 
a,e
 
12,534

Current liabilities of discontinued operations
29,723

 
—

 
 
 
29,723

Total current liabilities
200,680

 
642

 
 
 
201,322

Revolving credit agreements
35,000

 
—

 
 
 
35,000

Other long-term liabilities
12,501

 
3,574

 
e
 
16,075

Total liabilities
248,181

 
4,216

 
 
 
252,397

Stockholders’ equity
 
 
 
 
 
 
 
Preferred stock, par value $0.01 per share
—

 
—

 
 
 
—

Class A Common stock, par value $0.01 per share; 9,805 shares issued as of December 31, 2019
98

 
—

 
 
 
98

Class B Common stock, par value $0.01 per share, convertible into Class A on a one-for-one basis; 4,076 shares issued as of December 31, 2019
41

 
—

 
 
 
41

Capital in excess of par value
54,344

 
165

 
f
 
54,509

Treasury stock
(5,960
)
 
—

 
 
 
(5,960
)
Retained earnings
22,524

 
(18,814
)
 
a,b,d,e,f
 
3,710

Accumulated other comprehensive loss
(15,988
)
 
(144
)
 
a,b,d,e
 
(16,132
)
Total stockholders’ equity
55,059

 
(18,793
)
 
 
 
36,266

Total liabilities and stockholders' equity
$
303,240

 
$
(14,577
)
 
 
 
$
288,663


CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

 
For the Six Months Ended June 30, 2019
 
As Previously Reported
 
Restatement Impacts
 
As Restated
 
(In thousands)
Net income (loss)
$
(2,705
)
 
$
(1,298
)
 
$
(4,003
)
Other comprehensive income (loss), net of tax:
 
 
 
 
 
Foreign currency translation adjustment
556

 
(229
)
 
327

Gain on long-term intra-entity foreign currency transactions
136

 
—

 
136

Cash flow hedging activity
(1,443
)
 
144

 
(1,299
)
Reclassification of hedging activities into earnings
146

 
—

 
146

Pension plan adjustment
—

 
—

 
—

Reclassification of pension adjustments into earnings
92

 
94

 
186

Total other comprehensive loss, net of tax
(513
)
 
9

 
(504
)
Comprehensive income (loss)
$
(3,218
)
 
$
(1,289
)
 
$
(4,507
)


CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

 
For the Three Months Ended June 30, 2019
 
As Previously Reported
 
Restatement Impacts
 
As Restated
 
(In thousands)
Net income (loss)
$
(944
)
 
$
326

 
$
(618
)
Other comprehensive income (loss), net of tax:
 
 
 
 
 
Foreign currency translation adjustment
226

 
(113
)
 
113

Gain on long-term intra-entity foreign currency transactions
121

 
—

 
121

Cash flow hedging activity
(877
)
 
—

 
(877
)
Reclassification of hedging activities into earnings
144

 
—

 
144

Pension plan adjustment
—

 
—

 
—

Reclassification of pension adjustments into earnings
102

 
—

 
102

Total other comprehensive loss, net of tax
(284
)
 
(113
)
 
(397
)
Comprehensive income (loss)
$
(1,228
)
 
$
213

 
$
(1,015
)


CONDENSED CONSOLIDATED BALANCE SHEETS
`
June 30, 2019
 
 
 
As Previously Reported
 
Restatement Impacts
 
Restatement Reference
 
As Restated
Recasting Impacts
As Restated and Recast
 
(In thousands)
Assets
 
 
 
 
 
 
 
 
 
Current assets
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
1,131

 
$
—

 
 
 
$
1,131

$
(102
)
$
1,029

Trade receivables, net
89,579

 
(2,446
)
 
a,f
 
87,133

(865
)
86,268

Inventory
140,817

 
—

 
 
 
140,817

(19,345
)
121,472

Prepaid expenses and other current assets
24,078

 
(6,723
)
 
a
 
17,355

(943
)
16,412

Current assets of discontinued operations
—

 
—

 
 
 
—

21,255

21,255

Total current assets
255,605

 
(9,169
)
 
 
 
246,436

—

246,436

Property, plant and equipment, net
23,204

 
—

 
 
 
23,204

(1,555
)
21,649

Goodwill
6,253

 
—

 
 
 
6,253

—

6,253

Other intangible assets, net
3,828

 
—

 
 
 
3,828

—

3,828

Deferred income taxes
6,169

 
318

 
e
 
6,487

(2,733
)
3,754

Deferred costs
8,683

 
—

 
 
 
8,683

(119
)
8,564

Other non-current assets
1,997

 
—

 
 
 
1,997

(13
)
1,984

Non-current assets of discontinued operations
—

 
—

 
 
 
—

4,420

4,420

Total assets
$
305,739

 
$
(8,851
)
 
 
 
$
296,888

$
—

$
296,888

Liabilities and stockholders' equity
 
 
 
 
 
 
 
 
 
Current liabilities
 
 
 
 
 
 
 
 
 
Accounts payable
$
91,737

 
$
—

 
 
 
$
91,737

$
(5,538
)
$
86,199

Accounts payable to NACCO Industries, Inc.
220

 
—

 
 
 
220

—

220

Revolving credit agreements
58,955

 
—

 
 
 
58,955

(7,450
)
51,505

Accrued compensation
12,091

 
387

 
f
 
12,478

(753
)
11,725

Accrued product returns
8,224

 
—

 
 
 
8,224

—

8,224

Other current liabilities
27,930

 
(241
)
 
a,d,e,f
 
27,689

(6,307
)
21,382

Current liabilities of discontinued operations
—

 
—

 
 
 
—

20,048

20,048

Total current liabilities
199,157

 
146

 
 
 
199,303

—

199,303

Revolving credit agreements
32,000

 
—

 
 
 
32,000

(2,000
)
30,000

Other long-term liabilities
15,485

 
911

 
e
 
16,396

(1,697
)
14,699

Non-current liabilities of discontinued operations
—

 
—

 
 
 
—

3,697

3,697

Total liabilities
246,642

 
1,057

 
 
 
247,699

—

247,699

Stockholders’ equity
 
 
 
 
 
 
 
 
 
Class A Common stock
95

 
—

 
 
 
95

—

95

Class B Common stock
44

 
—

 
 
 
44

—

44

Capital in excess of par value
53,342

 
—

 
 
 
53,342

—

53,342

Treasury stock
(2,334
)
 
—

 
 
 
(2,334
)
—

(2,334
)
Retained earnings
25,773

 
(10,127
)
 
a,d,e,f
 
15,646

—

15,646

Accumulated other comprehensive loss
(17,823
)
 
219

 
a,d
 
(17,604
)
—

(17,604
)
Total stockholders’ equity
59,097

 
(9,908
)
 
 
 
49,189

—

49,189

Total liabilities and stockholders' equity
$
305,739

 
$
(8,851
)
 
 
 
$
296,888

$
—

$
296,888