Delaware | 74-1753147 | |||||||
(State or Other Jurisdiction of Incorporation or Organization) | (I.R.S. Employer Identification No.) |
17 South Briar Hollow Lane, Suite 100 Houston, Texas 77027 | ||
(Address of Principal Executive Offices, including Zip Code) |
Large accelerated filer o | Accelerated filer þ | ||||
Non-accelerated filer o | Smaller reporting company þ | ||||
Emerging growth company o |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||
Common Stock | AE | NYSE American LLC |
Page No. | ||||||||
March 31, | December 31, | |||||||||||||
2019 | 2018 | |||||||||||||
ASSETS | ||||||||||||||
Current assets: | ||||||||||||||
Cash and cash equivalents | $ | $ | ||||||||||||
Accounts receivable, net of allowance for doubtful | ||||||||||||||
accounts of $121 and $153, respectively | ||||||||||||||
Accounts receivable – related party | ||||||||||||||
Inventory | ||||||||||||||
Derivative assets | ||||||||||||||
Income tax receivable | ||||||||||||||
Prepayments and other current assets | ||||||||||||||
Total current assets | ||||||||||||||
Property and equipment, net | ||||||||||||||
Operating lease right-of-use assets | — | |||||||||||||
Cash deposits and other assets | ||||||||||||||
Total assets | $ | $ | ||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||
Current liabilities: | ||||||||||||||
Accounts payable | $ | $ | ||||||||||||
Accounts payable – related party | ||||||||||||||
Derivative liabilities | ||||||||||||||
Current portion of finance lease obligations | ||||||||||||||
Current portion of operating lease liabilities | — | |||||||||||||
Other current liabilities | ||||||||||||||
Total current liabilities | ||||||||||||||
Other long-term liabilities: | ||||||||||||||
Asset retirement obligations | ||||||||||||||
Finance lease obligations | ||||||||||||||
Operating lease liabilities | — | |||||||||||||
Deferred taxes and other liabilities | ||||||||||||||
Total liabilities | ||||||||||||||
Commitments and contingencies (Note 13) | ||||||||||||||
Shareholders’ equity: | ||||||||||||||
Preferred stock – $1.00 par value, 960,000 shares | ||||||||||||||
authorized, none outstanding | ||||||||||||||
Common stock – $0.10 par value, 7,500,000 shares | ||||||||||||||
authorized, 4,217,971 and 4,217,596 shares outstanding, respectively | ||||||||||||||
Contributed capital | ||||||||||||||
Retained earnings | ||||||||||||||
Total shareholders’ equity | ||||||||||||||
Total liabilities and shareholders’ equity | $ | $ |
Three Months Ended | |||||||||||
March 31, | |||||||||||
2019 | 2018 | ||||||||||
Revenues: | |||||||||||
Marketing | $ | $ | |||||||||
Transportation | |||||||||||
Total revenues | |||||||||||
Costs and expenses: | |||||||||||
Marketing | |||||||||||
Transportation | |||||||||||
General and administrative | |||||||||||
Depreciation and amortization | |||||||||||
Total costs and expenses | |||||||||||
Operating earnings | |||||||||||
Other income (expense): | |||||||||||
Gain on dissolution of investment | |||||||||||
Interest income | |||||||||||
Interest expense | ( | ( | |||||||||
Total other income (expense), net | |||||||||||
Earnings before income taxes | |||||||||||
Income tax provision | ( | ( | |||||||||
Net earnings | $ | $ | |||||||||
Earnings per share: | |||||||||||
Basic net earnings per common share | $ | $ | |||||||||
Diluted net earnings per common share | $ | $ | |||||||||
Dividends per common share | $ | $ | |||||||||
Three Months Ended March 31, | |||||||||||
2019 | 2018 | ||||||||||
Operating activities: | |||||||||||
Net earnings | $ | $ | |||||||||
Adjustments to reconcile net earnings to net cash | |||||||||||
provided by operating activities: | |||||||||||
Depreciation and amortization | |||||||||||
Gains on sales of property | ( | ( | |||||||||
Provision for doubtful accounts | ( | ||||||||||
Stock-based compensation expense | |||||||||||
Deferred income taxes | ( | ||||||||||
Net change in fair value contracts | ( | ||||||||||
Gain on dissolution of investment in AREC | ( | ||||||||||
Changes in assets and liabilities: | |||||||||||
Accounts receivable | ( | ||||||||||
Accounts receivable/payable, affiliates | ( | ||||||||||
Inventories | ( | ( | |||||||||
Income tax receivable | |||||||||||
Prepayments and other current assets | ( | ||||||||||
Accounts payable | |||||||||||
Accrued liabilities | |||||||||||
Other | |||||||||||
Net cash provided by operating activities | |||||||||||
Investing activities: | |||||||||||
Property and equipment additions | ( | ( | |||||||||
Proceeds from property sales | |||||||||||
Proceeds from dissolution of AREC | |||||||||||
Insurance and state collateral (deposits) refunds | |||||||||||
Net cash used in investing activities | ( | ( | |||||||||
Financing activities: | |||||||||||
Principal repayments of finance lease obligations | ( | ( | |||||||||
Dividends paid on common stock | ( | ( | |||||||||
Net cash used in financing activities | ( | ( | |||||||||
Increase in cash and cash equivalents | |||||||||||
Cash and cash equivalents at beginning of period | |||||||||||
Cash and cash equivalents at end of period | $ | $ |
Total | ||||||||||||||||||||||||||
Common | Contributed | Retained | Shareholders’ | |||||||||||||||||||||||
Stock | Capital | Earnings | Equity | |||||||||||||||||||||||
Balance, January 1, 2019 | $ | $ | $ | $ | ||||||||||||||||||||||
Net earnings | — | — | ||||||||||||||||||||||||
Stock-based compensation expense | — | — | ||||||||||||||||||||||||
Dividends declared: | ||||||||||||||||||||||||||
Common stock, $0.22/share | — | — | ( | ( | ||||||||||||||||||||||
Awards under LTIP, $0.22/share | — | — | ( | ( | ||||||||||||||||||||||
Balance, March 31, 2019 | $ | $ | $ | $ | ||||||||||||||||||||||
Total | ||||||||||||||||||||||||||
Common | Contributed | Retained | Shareholders’ | |||||||||||||||||||||||
Stock | Capital | Earnings | Equity | |||||||||||||||||||||||
Balance, January 1, 2018 | $ | $ | $ | $ | ||||||||||||||||||||||
Net earnings | — | — | ||||||||||||||||||||||||
Dividends declared: | ||||||||||||||||||||||||||
Common stock, $0.22/share | — | — | ( | ( | ||||||||||||||||||||||
Balance, March 31, 2018 | $ | $ | $ | $ | ||||||||||||||||||||||
Three Months Ended March 31, | |||||||||||
2019 | 2018 | ||||||||||
Earnings per share — numerator: | |||||||||||
Net earnings | $ | $ | |||||||||
Denominator: | |||||||||||
Basic weighted average number of shares outstanding | |||||||||||
Basic earnings per share | $ | $ | |||||||||
Diluted earnings per share: | |||||||||||
Diluted weighted average number of shares outstanding: | |||||||||||
Common shares | |||||||||||
Restricted stock unit awards | |||||||||||
Performance share unit awards (1) | |||||||||||
Total | |||||||||||
Diluted earnings per share | $ | $ |
Reporting Segments | |||||||||||||||||
Marketing | Transportation | Total | |||||||||||||||
Three Months Ended March 31, 2019 | |||||||||||||||||
Revenues from contracts with customers | $ | $ | $ | ||||||||||||||
Other (1) | |||||||||||||||||
Total revenues | $ | $ | $ | ||||||||||||||
Timing of revenue recognition: | |||||||||||||||||
Goods transferred at a point in time | $ | $ | $ | ||||||||||||||
Services transferred over time | |||||||||||||||||
Total revenues from contracts with customers | $ | $ | $ | ||||||||||||||
Three Months Ended March 31, 2018 | |||||||||||||||||
Revenues from contracts with customers | $ | $ | $ | ||||||||||||||
Other (1) | |||||||||||||||||
Total revenues | $ | $ | $ | ||||||||||||||
Timing of revenue recognition: | |||||||||||||||||
Goods transferred at a point in time | $ | $ | $ | ||||||||||||||
Services transferred over time | |||||||||||||||||
Total revenues from contracts with customers | $ | $ | $ |
Three Months Ended | |||||||||||
March 31, | |||||||||||
2019 | 2018 | ||||||||||
Revenue gross-up | $ | $ |
March 31, | December 31, | ||||||||||
2019 | 2018 | ||||||||||
Insurance premiums | $ | $ | |||||||||
Rents, licenses and other | |||||||||||
Total | $ | $ |
Estimated | |||||||||||||||||
Useful Life | March 31, | December 31, | |||||||||||||||
in Years | 2019 | 2018 | |||||||||||||||
Tractors and trailers (1) | 5 – 6 | $ | $ | ||||||||||||||
Field equipment | 2 – 20 | ||||||||||||||||
Buildings | 5 – 39 | ||||||||||||||||
Office equipment | 2 – 5 | ||||||||||||||||
Land | |||||||||||||||||
Construction in progress | |||||||||||||||||
Total | |||||||||||||||||
Less accumulated depreciation | ( | ( | |||||||||||||||
Property and equipment, net | $ | $ |
Three Months Ended | |||||||||||
March 31, | |||||||||||
2019 | 2018 | ||||||||||
Depreciation and amortization, excluding amounts | |||||||||||
under finance leases | $ | $ | |||||||||
Amortization of property and equipment under finance leases | |||||||||||
Total depreciation and amortization | $ | $ |
March 31, | December 31, | ||||||||||
2019 | 2018 | ||||||||||
Amounts associated with liability insurance program: | |||||||||||
Insurance collateral deposits | $ | $ | |||||||||
Excess loss fund | |||||||||||
Accumulated interest income | |||||||||||
Other amounts: | |||||||||||
State collateral deposits | |||||||||||
Materials and supplies | |||||||||||
Total | $ | $ |
Reporting Segments | |||||||||||||||||||||||
Marketing | Transportation | Other | Total | ||||||||||||||||||||
Three Months Ended March 31, 2019 | |||||||||||||||||||||||
Revenues | $ | $ | $ | $ | |||||||||||||||||||
Segment operating earnings (1) | |||||||||||||||||||||||
Depreciation and amortization | |||||||||||||||||||||||
Property and equipment additions | |||||||||||||||||||||||
Three Months Ended March 31, 2018 | |||||||||||||||||||||||
Revenues | $ | $ | $ | $ | |||||||||||||||||||
Segment operating earnings (1) | |||||||||||||||||||||||
Depreciation and amortization | |||||||||||||||||||||||
Property and equipment additions | |||||||||||||||||||||||
Three Months Ended March 31, | |||||||||||
2019 | 2018 | ||||||||||
Segment operating earnings | $ | $ | |||||||||
General and administrative | ( | ( | |||||||||
Operating earnings | |||||||||||
Gain on dissolution of investment | |||||||||||
Interest income | |||||||||||
Interest expense | ( | ( | |||||||||
Earnings before income taxes | $ | $ |
March 31, | December 31, | ||||||||||
2019 | 2018 | ||||||||||
Reporting segment: | |||||||||||
Marketing | $ | $ | |||||||||
Transportation | |||||||||||
Cash and other | |||||||||||
Total assets | $ | $ |
Three Months Ended | |||||||||||
March 31, | |||||||||||
2019 | 2018 | ||||||||||
Affiliate billings to us | $ | $ | |||||||||
Billings to affiliates | |||||||||||
Rentals paid to affiliate | |||||||||||
March 31, 2019 | |||||||||||||||||||||||
Balance Sheet Location and Amount | |||||||||||||||||||||||
Current | Other | Current | Other | ||||||||||||||||||||
Assets | Assets | Liabilities | Liabilities | ||||||||||||||||||||
Asset derivatives: | |||||||||||||||||||||||
Fair value forward hydrocarbon commodity | |||||||||||||||||||||||
contracts at gross valuation | $ | $ | $ | $ | |||||||||||||||||||
Liability derivatives: | |||||||||||||||||||||||
Fair value forward hydrocarbon commodity | |||||||||||||||||||||||
contracts at gross valuation | |||||||||||||||||||||||
Less counterparty offsets | |||||||||||||||||||||||
As reported fair value contracts | $ | $ | $ | $ |
December 31, 2018 | |||||||||||||||||||||||
Balance Sheet Location and Amount | |||||||||||||||||||||||
Current | Other | Current | Other | ||||||||||||||||||||
Assets | Assets | Liabilities | Liabilities | ||||||||||||||||||||
Asset derivatives: | |||||||||||||||||||||||
Fair value forward hydrocarbon commodity | |||||||||||||||||||||||
contracts at gross valuation | $ | $ | $ | $ | |||||||||||||||||||
Liability derivatives: | |||||||||||||||||||||||
Fair value forward hydrocarbon commodity | |||||||||||||||||||||||
contracts at gross valuation | |||||||||||||||||||||||
Less counterparty offsets | |||||||||||||||||||||||
As reported fair value contracts | $ | $ | $ | $ |
Gains (losses) | |||||||||||
Three Months Ended | |||||||||||
March 31, | |||||||||||
2019 | 2018 | ||||||||||
Revenues – marketing | $ | ( | $ |
March 31, 2019 | |||||||||||||||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||||||||||||||
Quoted Prices | |||||||||||||||||||||||||||||
in Active | Significant | ||||||||||||||||||||||||||||
Markets for | Other | Significant | |||||||||||||||||||||||||||
Identical Assets | Observable | Unobservable | |||||||||||||||||||||||||||
and Liabilities | Inputs | Inputs | Counterparty | ||||||||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Offsets | Total | |||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||
Current assets | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Current liabilities | ( | ( | |||||||||||||||||||||||||||
Net value | $ | $ | $ | $ | $ |
December 31, 2018 | |||||||||||||||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||||||||||||||
Quoted Prices | |||||||||||||||||||||||||||||
in Active | Significant | ||||||||||||||||||||||||||||
Markets for | Other | Significant | |||||||||||||||||||||||||||
Identical Assets | Observable | Unobservable | |||||||||||||||||||||||||||
and Liabilities | Inputs | Inputs | Counterparty | ||||||||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Offsets | Total | |||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||
Current assets | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Current liabilities | ( | ( | |||||||||||||||||||||||||||
Net value | $ | $ | $ | $ | $ |
Weighted- | |||||||||||
Average Grant | |||||||||||
Number of | Date Fair Value | ||||||||||
Shares | per Share (1) | ||||||||||
Restricted stock unit awards at January 1, 2019 | $ | ||||||||||
Granted | $ | ||||||||||
Vested | ( | $ | |||||||||
Forfeited | $ | ||||||||||
Restricted stock unit awards at March 31, 2019 |
Weighted- | ||||||||||||||
Average Grant | ||||||||||||||
Number of | Date Fair Value | |||||||||||||
Shares | per Share (1) | |||||||||||||
Performance share unit awards at January 1, 2019 | $ | |||||||||||||
Granted | $ | |||||||||||||
Performance factor decrease (2) | ( | $ | ||||||||||||
Vested | $ | |||||||||||||
Forfeited | $ | |||||||||||||
Performance share unit awards at March 31, 2019 |
Three Months Ended | |||||||||||
March 31, | |||||||||||
2019 | 2018 | ||||||||||
Cash paid for interest | $ | $ | |||||||||
Cash paid for federal and state income taxes | |||||||||||
Non-cash transactions: | |||||||||||
Change in accounts payable related to property and equipment additions | ( | ( | |||||||||
Property and equipment acquired under finance leases |
Three Months | ||||||||
Ended | ||||||||
March 31, | ||||||||
2019 | ||||||||
Finance lease cost: | ||||||||
Amortization of ROU assets | $ | |||||||
Interest on lease liabilities | ||||||||
Operating lease cost | ||||||||
Short-term lease cost | ||||||||
Total lease expense | $ |
Three Months | ||||||||
Ended | ||||||||
March 31, | ||||||||
2019 | ||||||||
Cash paid for amounts included in measurement of lease liabilities: | ||||||||
Operating cash flows from operating leases (1) | $ | |||||||
Financing cash flows from finance leases | ||||||||
ROU assets obtained in exchange for new lease liabilities: | ||||||||
Finance leases | ||||||||
Operating leases |
Three Months | ||||||||
Ended | ||||||||
March 31, | ||||||||
2019 | ||||||||
Weighted-average remaining lease term (years): | ||||||||
Finance leases | ||||||||
Operating leases | ||||||||
Weighted-average discount rate: | ||||||||
Finance leases | ||||||||
Operating leases |
March 31, | ||||||||
2019 | ||||||||
Assets | ||||||||
Finance lease assets (1) | $ | |||||||
Operating lease ROU assets | ||||||||
Liabilities | ||||||||
Current | ||||||||
Finance lease liabilities | ||||||||
Operating lease liabilities | ||||||||
Noncurrent | ||||||||
Finance lease liabilities | ||||||||
Operating lease liabilities |
Finance | Operating | |||||||||||||
Lease | Lease | |||||||||||||
Remainder of 2019 | $ | $ | ||||||||||||
2020 | ||||||||||||||
2021 | ||||||||||||||
2022 | ||||||||||||||
2023 | ||||||||||||||
Thereafter | ||||||||||||||
Total lease payments | ||||||||||||||
Less: Interest | ( | ( | ||||||||||||
Present value of lease liabilities | ||||||||||||||
Less: Current portion of lease obligation | ( | ( | ||||||||||||
Total long-term lease obligation | $ | $ |
Finance | Operating | |||||||||||||
Lease | Lease | |||||||||||||
2019 | $ | $ | ||||||||||||
2020 | ||||||||||||||
2021 | ||||||||||||||
2022 | ||||||||||||||
2023 | ||||||||||||||
Thereafter | ||||||||||||||
Total lease payments | $ | |||||||||||||
Less: Interest | ( | |||||||||||||
Present value of lease liabilities | ||||||||||||||
Less: Current portion of lease obligation | ( | |||||||||||||
Total long-term lease obligation | $ |
March 31, | December 31, | ||||||||||
2019 | 2018 | ||||||||||
Pre-funded premiums for losses incurred but not reported | $ | $ | |||||||||
Accrued automobile and workers’ compensation claims |
March 31, | December 31, | ||||||||||
2019 | 2018 | ||||||||||
Accrued medical claims | $ | $ |
Three Months Ended | |||||||||||||||||
March 31, | |||||||||||||||||
2019 | 2018 | Change (1) | |||||||||||||||
Revenues | $ | 429,761 | $ | 373,638 | 15% | ||||||||||||
Operating earnings | 7,098 | 2,958 | 140% | ||||||||||||||
Depreciation and amortization | 2,122 | 1,497 | 42% | ||||||||||||||
Driver compensation | 6,033 | 3,055 | 97% | ||||||||||||||
Insurance | 1,991 | 1,289 | 54% | ||||||||||||||
Fuel | 2,449 | 1,515 | 62% |
Three Months Ended | |||||||||||
March 31, | |||||||||||
2019 | 2018 | ||||||||||
Field level purchase volumes – per day (1) | |||||||||||
Crude oil – barrels | 113,279 | 65,194 | |||||||||
Average purchase price | |||||||||||
Crude oil – per barrel | $ | 54.26 | $ | 64.01 |
Three Months Ended | |||||||||||
March 31, | |||||||||||
2019 | 2018 | ||||||||||
As reported segment operating earnings (1) | $ | 7,098 | $ | 2,958 | |||||||
Add (subtract): | |||||||||||
Inventory liquidation gains | (4,462) | (552) | |||||||||
Inventory valuation losses | — | — | |||||||||
Derivative valuation losses | 20 | (1) | |||||||||
Field level operating earnings (2) | $ | 2,656 | $ | 2,405 |
March 31, 2019 | December 31, 2018 | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||
Barrels | Price | Barrels | Price | ||||||||||||||||||||
Crude oil inventory | 452,874 | $ | 64.56 | 415,523 | $ | 54.82 |
Three Months Ended | |||||||||||||||||
March 31, | |||||||||||||||||
2019 | 2018 | Change (1) | |||||||||||||||
Revenues | $ | 15,407 | $ | 13,618 | 13% | ||||||||||||
Operating earnings (losses) | $ | 839 | $ | 402 | (109%) | ||||||||||||
Depreciation and amortization | $ | 1,467 | $ | 915 | 60% | ||||||||||||
Driver commissions | $ | 2,829 | $ | 2,880 | (2%) | ||||||||||||
Insurance | $ | 1,681 | $ | 1,402 | 20% | ||||||||||||
Fuel | $ | 1,720 | $ | 1,876 | (8%) | ||||||||||||
Maintenance expense | $ | 1,019 | $ | 1,527 | (33%) | ||||||||||||
Mileage (000s) | 5,075 | 5,070 | —% |
Three Months Ended | |||||||||||
March 31, | |||||||||||
2019 | 2018 | ||||||||||
Total transportation revenue | $ | 15,407 | $ | 13,618 | |||||||
Diesel fuel cost | (1,720) | (1,876) | |||||||||
Revenues, net of fuel cost (1) | $ | 13,687 | $ | 11,742 |
March 31, | December 31, | ||||||||||
2019 | 2018 | ||||||||||
Cash and cash equivalents | $ | 130,893 | $ | 117,066 | |||||||
Working capital | 106,743 | 106,323 |
Three Months Ended | |||||||||||
March 31, | |||||||||||
2019 | 2018 | ||||||||||
Cash provided by (used in): | |||||||||||
Operating activities | $ | 21,016 | $ | 3,285 | |||||||
Investing activities | (6,043) | (131) | |||||||||
Financing activities | (1,146) | (1,011) |
March 31, | December 31, | ||||||||||
2019 | 2018 | ||||||||||
Early payments received | $ | 50,062 | $ | 38,539 | |||||||
Three Months Ended | |||||||||||
March 31, | |||||||||||
2019 | 2018 | ||||||||||
Crude oil marketing (1) | $ | 1,654 | $ | 793 | |||||||
Transportation (2) | 6,697 | 73 | |||||||||
Capital spending | $ | 8,351 | $ | 866 |
Payments due by period | ||||||||||||||||||||||||||||||||
Contractual Obligations | Total | Less than 1 year | 1-3 years | 3-5 years | More than 5 years | |||||||||||||||||||||||||||
Finance lease obligations (1) | $ | 4,879 | $ | 1,177 | $ | 2,354 | $ | 1,348 | $ | — | ||||||||||||||||||||||
Operating lease obligations (2) | 12,142 | 2,626 | 4,432 | 3,388 | 1,696 | |||||||||||||||||||||||||||
Purchase obligations (3) | 11,851 | 11,851 | — | — | — | |||||||||||||||||||||||||||
Total contractual obligations | $ | 28,872 | $ | 15,654 | $ | 6,786 | $ | 4,736 | $ | 1,696 |
Exhibit | |||||
Number | Exhibit | ||||
3.1 | Certificate of Incorporation of Adams Resources & Energy, Inc., as amended (incorporated by reference to Exhibit 3(a) to Form 10-K for the fiscal year ended December 31, 1987). | ||||
3.2 | |||||
10.1 | |||||
10.2* | |||||
31.1* | |||||
31.2* | |||||
32.1* | |||||
32.2* | |||||
101.CAL* | XBRL Calculation Linkbase Document | ||||
101.DEF* | XBRL Definition Linkbase Document | ||||
101.INS* | XBRL Instance Document — the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | ||||
101.LAB* | XBRL Labels Linkbase Document | ||||
101.PRE* | XBRL Presentation Linkbase Document | ||||
101.SCH* | XBRL Schema Document |
ADAMS RESOURCES & ENERGY, INC. | ||||||||
(Registrant) | ||||||||
Date: May 8, 2019 | By: | /s/ Townes G. Pressler | ||||||
Townes G. Pressler | ||||||||
Executive Chairman | ||||||||
(Principal Executive Officer) | ||||||||
By: | /s/ Tracy E. Ohmart | |||||||
Tracy E. Ohmart | ||||||||
Chief Financial Officer | ||||||||
(Principal Financial Officer and Principal | ||||||||
Accounting Officer) |
Very truly yours, | |||||||||||
WELLS FARGO BANK, NATIONAL ASSOCIATION | |||||||||||
By: | /s/ James R. Harris | ||||||||||
James R. Harris | |||||||||||
Vice President | |||||||||||
ACCEPTED AND AGREED TO | |||||||||||
as of the date first above written: | |||||||||||
COMPANY: | |||||||||||
GULFMARK ENERGY, INC. | |||||||||||
By: | /s/ Tracy Ohmart | ||||||||||
Tracy Ohmart | |||||||||||
Chief Financial Officer | |||||||||||
GUARANTORS: | |||||||||||
ADAMS RESOURCES & ENERGY, INC., | |||||||||||
SERVICE TRANSPORT COMPANY, and | |||||||||||
RED RIVER VEHICLE HOLDINGS LLC | |||||||||||
By: | /s/ Tracy Ohmart | ||||||||||
Tracy Ohmart | |||||||||||
Chief Financial Officer of each entity listed above | |||||||||||
Date: | May 8, 2019 | By: | /s/ Townes G. Pressler | ||||||||
Townes G. Pressler | |||||||||||
Executive Chairman |
Date: | May 8, 2019 | By: | /s/ Tracy E. Ohmart | ||||||||
Tracy E. Ohmart | |||||||||||
Chief Financial Officer |
Date: | May 8, 2019 | By: | /s/ Townes G. Pressler | ||||||||
Townes G. Pressler | |||||||||||
Executive Chairman |
Date: | May 8, 2019 | By: | /s/ Tracy E. Ohmart | ||||||||
Tracy E. Ohmart | |||||||||||
Chief Financial Officer |
Document and Entity Information - shares |
3 Months Ended | |
---|---|---|
Mar. 31, 2019 |
May 01, 2019 |
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Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2019 | |
Entity Registrant Name | ADAMS RESOURCES & ENERGY, INC. | |
Entity Filer Category | Accelerated Filer | |
Entity Central Index Key | 0000002178 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Emerging Growth Company | false | |
Entity Small Business | true | |
Entity Common Stock, Shares Outstanding | 4,217,971 |
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands |
Mar. 31, 2019 |
Dec. 31, 2018 |
---|---|---|
Current assets: | ||
Allowance for doubtful accounts | $ 121 | $ 153 |
Shareholders’ equity: | ||
Preferred stock - par value (in dollars per share) | $ 1.00 | $ 1.00 |
Preferred stock - shares authorized (in shares) | 960,000 | 960,000 |
Preferred stock - shares outstanding (in shares) | 0 | 0 |
Common stock - par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock - shares authorized (in shares) | 7,500,000 | 7,500,000 |
Common stock - shares outstanding (in shares) | 4,217,971 | 4,217,596 |
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands |
Total |
Common Stock |
Contributed Capital |
Retained Earnings |
---|---|---|---|---|
Beginning balance at Dec. 31, 2017 | $ 147,119 | $ 422 | $ 11,693 | $ 135,004 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net earnings | 1,138 | 1,138 | ||
Dividends declared: | ||||
Common stock, $0.22/share | (928) | (928) | ||
Ending balance at Mar. 31, 2018 | 147,329 | 422 | 11,693 | 135,214 |
Beginning balance at Dec. 31, 2018 | 146,598 | 422 | 11,948 | 134,228 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net earnings | 4,908 | 4,908 | ||
Stock-based compensation expense | 123 | 123 | ||
Dividends declared: | ||||
Common stock, $0.22/share | (928) | (928) | ||
Awards under LTIP, $0.22/share | (2) | (2) | ||
Ending balance at Mar. 31, 2019 | $ 150,699 | $ 422 | $ 12,071 | $ 138,206 |
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) |
3 Months Ended |
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Mar. 31, 2019
$ / shares
| |
Statement of Stockholders' Equity [Abstract] | |
Dividends per common share (in dollars per share) | $ 0.22 |
Awards under LTIP (in dollars per share) | $ 0.22 |
Organization and Basis of Presentation |
3 Months Ended |
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Mar. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Basis of Presentation | Organization and Basis of Presentation Organization Adams Resources & Energy, Inc. (“AE”) is a publicly traded Delaware corporation organized in 1973, the common shares of which are listed on the NYSE American LLC under the ticker symbol “AE”. We, through our subsidiaries, are primarily engaged in the business of crude oil marketing, transportation and storage in various crude oil and natural gas basins in the lower 48 states of the United States (“U.S.”). We also conduct tank truck transportation of liquid chemicals and dry bulk primarily in the lower 48 states of the U.S. with deliveries into Canada and Mexico, and with terminals in the Gulf Coast region of the U.S. Unless the context requires otherwise, references to “we,” “us,” “our,” the “Company” or “AE” are intended to mean the business and operations of Adams Resources & Energy, Inc. and its consolidated subsidiaries. We operate and report in two business segments: (i) crude oil marketing, transportation and storage, and (ii) tank truck transportation of liquid chemicals and dry bulk. Basis of Presentation Our results of operations for the three months ended March 31, 2019 are not necessarily indicative of results expected for the full year of 2019. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments consisting of normal recurring accruals necessary for fair presentation. The condensed consolidated financial statements and the accompanying notes are prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial statements and the rules of the U.S. Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures required by GAAP for complete annual financial statements have been omitted and, therefore, these interim financial statements should be read in conjunction with our audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2018 (the “2018 Form 10-K”) filed with the SEC on March 8, 2019. All significant intercompany transactions and balances have been eliminated in consolidation. Use of Estimates The preparation of our financial statements in conformity with GAAP requires management to use estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. We base our estimates and judgments on historical experience and on various other assumptions and information we believe to be reasonable under the circumstances. Estimates and assumptions about future events and their effects cannot be perceived with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as the operating environment changes. While we believe the estimates and assumptions used in the preparation of these condensed consolidated financial statements are appropriate, actual results could differ from those estimates.
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Summary of Significant Accounting Policies |
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Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Earnings Per Share Basic earnings (losses) per share is computed by dividing our net earnings (losses) by the weighted average number of shares of common stock outstanding during the period. Diluted earnings (losses) per share is computed by giving effect to all potential shares of common stock outstanding, including our stock related to unvested restricted stock unit awards. Unvested restricted stock unit awards granted under the Adams Resources & Energy, Inc. 2018 Long-Term Incentive Plan (“2018 LTIP”) are not considered to be participating securities as the holders of these shares do not have non-forfeitable dividend rights in the event of our declaration of a dividend for common shares (see Note 10 for further discussion). A reconciliation of the calculation of basic and diluted earnings per share is as follows (in thousands, except per share data):
_______________ (1) The performance conditions for the performance share unit awards were achieved as of December 31, 2018. For the three months ended March 31, 2019, the effect of the performance share awards on earning per share is anti-dilutive. Fair Value Measurements The carrying amounts reported in the unaudited condensed consolidated balance sheets for cash and cash equivalents, accounts receivable and accounts payable approximates fair value because of the immediate or short-term maturity of these financial instruments. Marketable securities are recorded at fair value based on market quotations from actively traded liquid markets. A three-tier hierarchy has been established that classifies fair value amounts recognized in the financial statements based on the observability of inputs used to estimate these fair values. The hierarchy considers fair value amounts based on observable inputs (Levels 1 and 2) to be more reliable and predictable than those based primarily on unobservable inputs (Level 3). At each balance sheet reporting date, we categorize our financial assets and liabilities using this hierarchy. Fair value contracts consist of derivative financial instruments and are recorded as either an asset or liability measured at its fair value. Changes in fair value are recognized immediately in earnings unless the derivatives qualify for, and we elect, cash flow hedge accounting. We had no contracts designated for hedge accounting during any current reporting periods (see Note 9 for further information). Income Taxes Income taxes are accounted for using the asset and liability method. Under this approach, deferred tax assets and liabilities are recognized based on anticipated future tax consequences attributable to differences between financial statement carrying amounts of these items and their respective tax basis. Letter of Credit Facility We maintain a Credit and Security Agreement with Wells Fargo Bank, National Association to provide for the issuance of up to $60.0 million in stand-by letters of credit primarily used to support crude oil purchases within our crude oil marketing segment and for other purposes. We are currently using the letter of credit facility for letters of credit related to our insurance program. This facility is collateralized by the eligible accounts receivable within our crude oil marketing segment and expires on August 30, 2019. The issued stand-by letters of credit are canceled as the underlying purchase obligations are satisfied by cash payment when due. The letter of credit facility places certain restrictions on GulfMark Energy, Inc., one of our wholly owned subsidiaries. These restrictions include the maintenance of positive net earnings excluding inventory valuation changes, as defined, among other restrictions. We are currently in compliance with all such financial covenants. However, per the terms of our letter of credit agreement, we were in default of certain nonfinancial covenants at March 31, 2019, and we obtained a waiver whereby the creditor will not exercise any of their rights or remedies. At March 31, 2019 and December 31, 2018, we had $4.6 million and $4.6 million, respectively, of letters of credit outstanding under this facility. Property and Equipment Property and equipment is recorded at cost. Expenditures for additions, improvements and other enhancements to property and equipment are capitalized, and minor replacements, maintenance and repairs that do not extend asset life or add value are charged to expense as incurred. When property and equipment assets are retired or otherwise disposed of, the related cost and accumulated depreciation is removed from the accounts and any resulting gain or loss is included in results of operations in operating costs and expenses for the respective period. Property and equipment, except for land, is depreciated using the straight-line method over the estimated average useful lives ranging from two to thirty-nine years. We review our long-lived assets for impairment whenever there is evidence that the carrying value of these assets may not be recoverable. Any impairment recognized is permanent and may not be restored. Property and equipment is reviewed at the lowest level of identifiable cash flows. For properties requiring impairment, the fair value is estimated based on an internal discounted cash flow model of future cash flows. See Note 5 for additional information regarding our property and equipment. Stock-Based Compensation We measure all share-based payments, including the issuance of restricted stock units and performance share units to employees and board members, using a fair-value based method. The cost of services received from employees and non-employee board members in exchange for awards of equity instruments is recognized in the consolidated statement of operations based on the estimated fair value of those awards on the grant date and amortized on a straight-line basis over the requisite service period. The fair value of restricted stock unit awards and performance share unit awards is based on the closing price of our common stock on the grant date. We account for forfeitures as they occur. See Note 10 for additional information regarding our 2018 LTIP.
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Revenue Recognition |
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Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue Recognition | Revenue Recognition Revenue Disaggregation The following table disaggregates our revenue by segment and by major source for the periods indicated (in thousands):
_______________ (1) Other marketing revenues are recognized under ASC 815, Derivatives and Hedging, and ASC 845, Nonmonetary Transactions – Purchases and Sales of Inventory with the Same Counterparty. Other Marketing Revenue Certain of the commodity purchase and sale contracts utilized by our crude oil marketing business qualify as derivative instruments with certain specifically identified contracts also designated as trading activity. From the time of contract origination, these contracts are marked-to-market and recorded on a net revenue basis in the accompanying consolidated financial statements. Certain of our crude oil contracts may be with a single counterparty to provide for similar quantities of crude oil to be bought and sold at different locations. These contracts are entered into for a variety of reasons, including effecting the transportation of the commodity, to minimize credit exposure, and/or to meet the competitive demands of the customer. These buy/sell arrangements are reflected on a net revenue basis in the accompanying consolidated financial statements. Reporting these crude oil contracts on a gross revenue basis would increase our reported revenues as follows for the periods indicated (in thousands):
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Prepayments and Other Current Assets |
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Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Prepayments and Other Current Assets | Prepayments and Other Current Assets The components of prepayments and other current assets were as follows at the dates indicated (in thousands):
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Property and Equipment |
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Property, Plant and Equipment [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property and Equipment | Property and Equipment The historical costs of our property and equipment and related accumulated depreciation balances were as follows at the dates indicated (in thousands):
_______________ (1) Amounts include assets held under finance leases for certain tractors in our marketing segment. Gross property and equipment associated with assets held under finance leases were $5.3 million and $4.7 million at March 31, 2019 and December 31, 2018, respectively. Accumulated amortization associated with assets held under finance leases were $0.9 million and $0.7 million at March 31, 2019 and December 31, 2018, respectively (see Note 12 for further information). Components of depreciation and amortization expense were as follows for the periods indicated (in thousands):
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Cash Deposits and Other Assets |
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Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash Deposits and Other Assets | Cash Deposits and Other Assets Components of cash deposits and other assets were as follows at the dates indicated (in thousands):
We have established certain deposits to support participation in our liability insurance program and remittance of state crude oil severance taxes and other state collateral deposits. Insurance collateral deposits are held by the insurance company to cover past or potential open claims based upon a percentage of the maximum assessment under our insurance policies. Insurance collateral deposits are invested at the discretion of our insurance carrier. Excess amounts in our loss fund represent premium payments in excess of claims incurred to date that we may be entitled to recover through settlement or commutation as claim periods are closed. Interest income is earned on the majority of amounts held by the insurance companies and will be paid to us upon settlement of policy years.
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Segment Reporting |
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Mar. 31, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting | Segment Reporting We operate and report in two business segments: (i) crude oil marketing, transportation and storage, and (ii) tank truck transportation of liquid chemicals and dry bulk. Information concerning our various business activities was as follows for the periods indicated (in thousands):
_______________ (1) Our marketing segment’s operating earnings included inventory liquidation gains of $4.5 million and $0.6 million for the three months ended March 31, 2019 and 2018, respectively. Segment operating earnings reflect revenues net of operating costs and depreciation and amortization expense and are reconciled to earnings before income taxes, as follows for the periods indicated (in thousands):
Identifiable assets by business segment were as follows at the dates indicated (in thousands):
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Transactions with Affiliates |
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Mar. 31, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Related Party Transactions [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Transactions with Affiliates | Transactions with Affiliates We enter into certain transactions in the normal course of business with affiliated entities including direct cost reimbursement for shared phone and administrative services. In addition, we lease our corporate office space from an affiliated entity. Activities with affiliates were as follows for the periods indicated (in thousands):
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Derivative Instruments and Fair Value Measurements |
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Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Fair Value Measurements | Derivative Instruments and Fair Value Measurements Derivative Instruments In the normal course of our operations, our crude oil marketing segment purchases and sells crude oil. We seek to profit by procuring the commodity as it is produced and then delivering the material to the end users or the intermediate use marketplace. As typical for the industry, these transactions are made pursuant to the terms of forward month commodity purchase and/or sale contracts. Some of these contracts meet the definition of a derivative instrument, and therefore, we account for these contracts at fair value, unless the normal purchase and sale exception is applicable. These types of underlying contracts are standard for the industry and are the governing document for our crude oil marketing segment. None of our derivative instruments have been designated as hedging instruments. At March 31, 2019, we had in place 12 commodity purchase and sale contracts, of which ten of these contracts had no fair value associated with them as the contractual prices of crude oil were within the range of prices specified in the agreements. These commodity purchase and sale contracts encompassed approximately: •322 barrels per day of crude oil during April 2019; •258 barrels per day of crude oil during May 2019; •322 barrels per day of crude oil during June 2019 through August 2019; •516 barrels per day of crude oil during September 2019 through December 2019; and •258 barrels per day of crude oil during January 2020 through February 2020. The estimated fair value of forward month commodity contracts (derivatives) reflected in the accompanying unaudited condensed consolidated balance sheet were as follows at the date indicated (in thousands):
At December 31, 2018, we had in place ten commodity purchase and sale contracts with fair value associated with them as the contractual prices of crude oil were outside of the range of prices specified in the agreements. These commodity purchase and sale contracts encompassed approximately: •322 barrels per day of crude oil during January 2019 through April 2019; •258 barrels per day of crude oil during May 2019; •322 barrels per day of crude oil during June 2019 through August 2019; and •258 barrels per day of crude oil during September 2019 through December 2019. The estimated fair value of forward month commodity contracts (derivatives) reflected in the accompanying unaudited condensed consolidated balance sheet were as follows at the date indicated (in thousands):
We only enter into commodity contracts with creditworthy counterparties and evaluate our exposure to significant counterparties on an ongoing basis. At March 31, 2019 and December 31, 2018, we were not holding nor have we posted any collateral to support our forward month fair value derivative activity. We are not subject to any credit-risk related trigger events. We have no other financial investment arrangements that would serve to offset our derivative contracts. Forward month commodity contracts (derivatives) reflected in the accompanying unaudited condensed consolidated statements of operations were as follows for the periods indicated (in thousands):
Fair Value Measurements The following tables set forth, by level with the Level 1, 2 and 3 fair value hierarchy, the carrying values of our financial assets and liabilities at the dates indicated (in thousands):
These assets and liabilities are measured on a recurring basis and are classified based on the lowest level of input used to estimate their fair value. Our assessment of the relative significance of these inputs requires judgments. When determining fair value measurements, we make credit valuation adjustments to reflect both our own nonperformance risk and our counterparty’s nonperformance risk. When adjusting the fair value of derivative contracts for the effect of nonperformance risk, we consider the impact of netting and any applicable credit enhancements. Credit valuation adjustments utilize Level 3 inputs, such as credit scores to evaluate the likelihood of default by us or our counterparties. At March 31, 2019 and December 31, 2018, credit valuation adjustments were not significant to the overall valuation of our fair value contracts. As a result, applicable fair value assets and liabilities are included in their entirety in the fair value hierarchy.
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Share-Based Compensation Plan |
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Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-Based Compensation Plan | Share-Based Compensation Plan In May 2018, our shareholders approved the 2018 LTIP, a long-term incentive plan under which any employee or non-employee director who provides services to us is eligible to participate in the plan. The 2018 LTIP, which is overseen by the Compensation Committee of our Board of Directors, provides for the grant of various types of equity awards, of which restricted stock unit awards and performance-based compensation awards were granted during the second quarter of 2018. The maximum number of shares authorized for issuance under the 2018 LTIP is 150,000 shares, and the 2018 LTIP is effective until May 8, 2028. After giving effect to awards granted under the 2018 LTIP and assuming the potential achievement of the maximum amounts of the performance factors through March 31, 2019, a total of 132,486 shares were available for issuance. During the three months ended March 31, 2019, we recognized $0.1 million of compensation expense in connection with equity-based awards. We had no compensation expense in connection with equity-based awards during the three months ended March 31, 2018 as we began awarding share-based compensation to eligible employees and directors in June 2018. At March 31, 2019 and December 31, 2018, we had $11,600 and $10,000, respectively, of accrued dividend amounts for awards granted under the 2018 LTIP. Restricted Stock Unit Awards The following table presents restricted stock unit award activity for the periods indicated:
_______________ (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. Unrecognized compensation cost associated with restricted stock unit awards was approximately $0.3 million at March 31, 2019. Due to the graded vesting provisions of these awards, we expect to recognize the remaining compensation cost for these awards over a weighted-average period of 1.5 years. Performance Share Unit Awards The following table presents performance share unit award activity for the periods indicated:
_______________ (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. (2) The performance factor was lowered to 47.5 percent based upon a comparison of actual results for 2018 to performance goals. Unrecognized compensation cost associated with performance share unit awards was approximately $0.1 million at March 31, 2019. We expect to recognize the remaining compensation cost for these awards over a weighted-average period of 2.2 years.
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Supplemental Cash Flow Information |
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Supplemental Cash Flow Elements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Supplemental Cash Flow Information | Supplemental Cash Flow Information Supplemental cash flows and non-cash transactions were as follows for the periods indicated (in thousands):
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Leases |
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Leases [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases | Leases Adoption of ASC 842 In February 2016, the Financial Accounting Standards Board issued Accounting Standards Codification 842, Leases (“ASC 842”), which requires lessees to recognize a right-of-use (“ROU”) asset and a corresponding lease liability for leases with terms longer than twelve months. We adopted the new standard effective January 1, 2019, using a modified retrospective transition method and applied certain optional transitional practical expedients. We elected an optional transition method that allowed application of the new standard at the adoption date and the recognition of a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption with no adjustment to previously reported results. In accordance with this approach, our consolidated financial statements for periods prior to January 1, 2019 were not revised to reflect the new lease accounting guidance. We also elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, allowed the carry forward of historical lease classification. We did not elect the practical expedient related to hindsight. ASC 842 changes the way our operating leases are recorded, presented and disclosed in our consolidated financial statements. Upon adoption of ASC 842 on January 1, 2019, we recognized a ROU asset and a corresponding lease liability based on the present value of then existing operating lease obligations of approximately $11.4 million on our consolidated balance sheet. In addition, there are several key accounting policy elections that we made upon adoption of ASC 842 including: •We did not recognize ROU assets and lease liabilities for short-term leases and instead record them in a manner similar to operating leases under ASC 840, Leases, lease accounting guidelines. A short term lease is one with a maximum lease term of 12 months or less and does not include a purchase option or renewal option the lessee is reasonably certain to exercise. •We have also elected the non-lease component practical expedient for any asset class where lease and non-lease components are comingled and the non-lease component is determined to be insignificant when compared to the lease component. Lease Recognition We determine if an arrangement is a lease at inception. Operating leases are included in operating lease ROU assets, other current liabilities and operating lease liabilities in the condensed consolidated balance sheets. Finance leases are included in property and equipment, other current liabilities and other long-term liabilities in the condensed consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. We use the implicit rate when readily determinable. At adoption, the ROU asset also includes any lease payment made and excludes lease incentives and initial direct costs. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. Our lease agreements do not contain any leases with variable lease payments (i.e., payments that depend on a percentage of sales of a lessee or payments that increase based upon an index such as CPI), residual value guarantees probable of being paid or material restrictive covenants. Lease agreements with lease and non-lease components are generally accounted for separately when practical. For leases where the lease and non-lease component are comingled and the non-lease component is determined to be insignificant when compared to the lease component, the lease and the non-lease components are treated as a single lease component for all asset classes. We are a lessee in noncancellable (1) operating leases for office space, equipment and lease and terminal access contracts for tank storage and dock access for our crude oil marketing business, and (2) finance leases for tractors. Leases with an initial term of twelve months or less are not included on the balance sheet. Some leases include one or more options to renew, with renewal terms that can extend the lease term for generally one year with exercise of lease renewal options being at our sole discretion as lessee. The following table provides the components of lease expense for the period indicated (in thousands):
The following table provides supplemental cash flow and other information related to leases for the period indicated (in thousands):
______________ (1) Amount is included in Other operating activities on the unaudited condensed consolidated cash flow statement. The following table provides the lease term and discount rate for the period indicated:
The following table provides supplemental balance sheet information related to leases at the date indicated (in thousands):
______________ (1) Amount is included in Property and equipment, net on the unaudited condensed consolidated balance sheet. The following table provides maturities of undiscounted lease liabilities at March 31, 2019 (in thousands):
The following table provides maturities of undiscounted lease liabilities at December 31, 2018 (in thousands):
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Leases | Leases Adoption of ASC 842 In February 2016, the Financial Accounting Standards Board issued Accounting Standards Codification 842, Leases (“ASC 842”), which requires lessees to recognize a right-of-use (“ROU”) asset and a corresponding lease liability for leases with terms longer than twelve months. We adopted the new standard effective January 1, 2019, using a modified retrospective transition method and applied certain optional transitional practical expedients. We elected an optional transition method that allowed application of the new standard at the adoption date and the recognition of a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption with no adjustment to previously reported results. In accordance with this approach, our consolidated financial statements for periods prior to January 1, 2019 were not revised to reflect the new lease accounting guidance. We also elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, allowed the carry forward of historical lease classification. We did not elect the practical expedient related to hindsight. ASC 842 changes the way our operating leases are recorded, presented and disclosed in our consolidated financial statements. Upon adoption of ASC 842 on January 1, 2019, we recognized a ROU asset and a corresponding lease liability based on the present value of then existing operating lease obligations of approximately $11.4 million on our consolidated balance sheet. In addition, there are several key accounting policy elections that we made upon adoption of ASC 842 including: •We did not recognize ROU assets and lease liabilities for short-term leases and instead record them in a manner similar to operating leases under ASC 840, Leases, lease accounting guidelines. A short term lease is one with a maximum lease term of 12 months or less and does not include a purchase option or renewal option the lessee is reasonably certain to exercise. •We have also elected the non-lease component practical expedient for any asset class where lease and non-lease components are comingled and the non-lease component is determined to be insignificant when compared to the lease component. Lease Recognition We determine if an arrangement is a lease at inception. Operating leases are included in operating lease ROU assets, other current liabilities and operating lease liabilities in the condensed consolidated balance sheets. Finance leases are included in property and equipment, other current liabilities and other long-term liabilities in the condensed consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. We use the implicit rate when readily determinable. At adoption, the ROU asset also includes any lease payment made and excludes lease incentives and initial direct costs. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. Our lease agreements do not contain any leases with variable lease payments (i.e., payments that depend on a percentage of sales of a lessee or payments that increase based upon an index such as CPI), residual value guarantees probable of being paid or material restrictive covenants. Lease agreements with lease and non-lease components are generally accounted for separately when practical. For leases where the lease and non-lease component are comingled and the non-lease component is determined to be insignificant when compared to the lease component, the lease and the non-lease components are treated as a single lease component for all asset classes. We are a lessee in noncancellable (1) operating leases for office space, equipment and lease and terminal access contracts for tank storage and dock access for our crude oil marketing business, and (2) finance leases for tractors. Leases with an initial term of twelve months or less are not included on the balance sheet. Some leases include one or more options to renew, with renewal terms that can extend the lease term for generally one year with exercise of lease renewal options being at our sole discretion as lessee. The following table provides the components of lease expense for the period indicated (in thousands):
The following table provides supplemental cash flow and other information related to leases for the period indicated (in thousands):
______________ (1) Amount is included in Other operating activities on the unaudited condensed consolidated cash flow statement. The following table provides the lease term and discount rate for the period indicated:
The following table provides supplemental balance sheet information related to leases at the date indicated (in thousands):
______________ (1) Amount is included in Property and equipment, net on the unaudited condensed consolidated balance sheet. The following table provides maturities of undiscounted lease liabilities at March 31, 2019 (in thousands):
The following table provides maturities of undiscounted lease liabilities at December 31, 2018 (in thousands):
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Commitments and Contingencies |
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Commitments and Contingencies Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies | Commitments and Contingencies Insurance Policies We establish a liability under our automobile and workers’ compensation insurance policies for expected claims incurred but not reported on a monthly basis. As claims are paid, the liability is relieved. Our accruals for automobile and workers’ compensation claims are presented in the table below. For periods prior to October 1, 2017, we pre-funded our estimated claims, and therefore, we could either receive a return of premium paid or be assessed for additional premiums up to pre-established limits. Additionally, in certain instances, the risk of insured losses was shared with a group of similarly situated entities through an insurance captive. We have appropriately recognized estimated expenses and liabilities related to these policies for losses incurred but not reported to us or our insurance carrier. The amount of pre-funded insurance premiums left to cover potential future losses are presented in the table below. If the potential insurance claims do not further develop, the pre-funded premiums will be returned to us as a premium refund. The amount of pre-funded insurance premiums left to cover potential future losses related to periods prior to October 1, 2017, and our accruals for automobile and workers’ compensation claims were as follows at the dates indicated (in thousands):
We maintain a self-insurance program for managing employee medical claims. A liability for expected claims incurred but not reported is established on a monthly basis. As claims are paid, the liability is relieved. We also maintain third party insurance stop-loss coverage for individual medical claims exceeding a certain minimum threshold. In addition, we maintain $1.0 million of umbrella insurance coverage for annual aggregate medical claims exceeding approximately $9.6 million. Medical accrual amounts were as follows at the dates indicated (in thousands):
Litigation From time to time as incidental to our operations, we may become involved in various lawsuits and/or disputes. Primarily as an operator of an extensive trucking fleet, we are a party to motor vehicle accidents, worker compensation claims and other items of general liability as would be typical for the industry. We are presently unaware of any claims against us that are either outside the scope of insurance coverage or that may exceed the level of insurance coverage and could potentially represent a material adverse effect on our financial position or results of operations.
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Subsequent Event |
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Mar. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Event | Subsequent EventOn May 6, 2019, we completed the purchase of the assets of a Houston, Texas based bulk carrier trucking company for approximately $6.2 million. This acquisition will add approximately 40 tractors and 53 trailers to our existing transportation fleet, and will be included in our transportation segment. |
Summary of Significant Accounting Policies (Policies) |
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Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Organization | Organization Adams Resources & Energy, Inc. (“AE”) is a publicly traded Delaware corporation organized in 1973, the common shares of which are listed on the NYSE American LLC under the ticker symbol “AE”. We, through our subsidiaries, are primarily engaged in the business of crude oil marketing, transportation and storage in various crude oil and natural gas basins in the lower 48 states of the United States (“U.S.”). We also conduct tank truck transportation of liquid chemicals and dry bulk primarily in the lower 48 states of the U.S. with deliveries into Canada and Mexico, and with terminals in the Gulf Coast region of the U.S. Unless the context requires otherwise, references to “we,” “us,” “our,” the “Company” or “AE” are intended to mean the business and operations of Adams Resources & Energy, Inc. and its consolidated subsidiaries. We operate and report in two business segments: (i) crude oil marketing, transportation and storage, and (ii) tank truck transportation of liquid chemicals and dry bulk.
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Basis of Presentation | Basis of Presentation Our results of operations for the three months ended March 31, 2019 are not necessarily indicative of results expected for the full year of 2019. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments consisting of normal recurring accruals necessary for fair presentation. The condensed consolidated financial statements and the accompanying notes are prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial statements and the rules of the U.S. Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures required by GAAP for complete annual financial statements have been omitted and, therefore, these interim financial statements should be read in conjunction with our audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2018 (the “2018 Form 10-K”) filed with the SEC on March 8, 2019. All significant intercompany transactions and balances have been eliminated in consolidation.
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Use of Estimates | Use of EstimatesThe preparation of our financial statements in conformity with GAAP requires management to use estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. We base our estimates and judgments on historical experience and on various other assumptions and information we believe to be reasonable under the circumstances. Estimates and assumptions about future events and their effects cannot be perceived with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as the operating environment changes. While we believe the estimates and assumptions used in the preparation of these condensed consolidated financial statements are appropriate, actual results could differ from those estimates. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share | Earnings Per ShareBasic earnings (losses) per share is computed by dividing our net earnings (losses) by the weighted average number of shares of common stock outstanding during the period. Diluted earnings (losses) per share is computed by giving effect to all potential shares of common stock outstanding, including our stock related to unvested restricted stock unit awards. Unvested restricted stock unit awards granted under the Adams Resources & Energy, Inc. 2018 Long-Term Incentive Plan (“2018 LTIP”) are not considered to be participating securities as the holders of these shares do not have non-forfeitable dividend rights in the event of our declaration of a dividend for common shares (see Note 10 for further discussion). | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements The carrying amounts reported in the unaudited condensed consolidated balance sheets for cash and cash equivalents, accounts receivable and accounts payable approximates fair value because of the immediate or short-term maturity of these financial instruments. Marketable securities are recorded at fair value based on market quotations from actively traded liquid markets. A three-tier hierarchy has been established that classifies fair value amounts recognized in the financial statements based on the observability of inputs used to estimate these fair values. The hierarchy considers fair value amounts based on observable inputs (Levels 1 and 2) to be more reliable and predictable than those based primarily on unobservable inputs (Level 3). At each balance sheet reporting date, we categorize our financial assets and liabilities using this hierarchy. Fair value contracts consist of derivative financial instruments and are recorded as either an asset or liability measured at its fair value. Changes in fair value are recognized immediately in earnings unless the derivatives qualify for, and we elect, cash flow hedge accounting. We had no contracts designated for hedge accounting during any current reporting periods (see Note 9 for further information).
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Income Taxes | Income TaxesIncome taxes are accounted for using the asset and liability method. Under this approach, deferred tax assets and liabilities are recognized based on anticipated future tax consequences attributable to differences between financial statement carrying amounts of these items and their respective tax basis. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Letter of Credit Facility | Letter of Credit Facility We maintain a Credit and Security Agreement with Wells Fargo Bank, National Association to provide for the issuance of up to $60.0 million in stand-by letters of credit primarily used to support crude oil purchases within our crude oil marketing segment and for other purposes. We are currently using the letter of credit facility for letters of credit related to our insurance program. This facility is collateralized by the eligible accounts receivable within our crude oil marketing segment and expires on August 30, 2019. The issued stand-by letters of credit are canceled as the underlying purchase obligations are satisfied by cash payment when due. The letter of credit facility places certain restrictions on GulfMark Energy, Inc., one of our wholly owned subsidiaries. These restrictions include the maintenance of positive net earnings excluding inventory valuation changes, as defined, among other restrictions. We are currently in compliance with all such financial covenants. However, per the terms of our letter of credit agreement, we were in default of certain nonfinancial covenants at March 31, 2019, and we obtained a waiver whereby the creditor will not exercise any of their rights or remedies. At March 31, 2019 and December 31, 2018, we had $4.6 million and $4.6 million, respectively, of letters of credit outstanding under this facility.
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Property and Equipment | Property and Equipment Property and equipment is recorded at cost. Expenditures for additions, improvements and other enhancements to property and equipment are capitalized, and minor replacements, maintenance and repairs that do not extend asset life or add value are charged to expense as incurred. When property and equipment assets are retired or otherwise disposed of, the related cost and accumulated depreciation is removed from the accounts and any resulting gain or loss is included in results of operations in operating costs and expenses for the respective period. Property and equipment, except for land, is depreciated using the straight-line method over the estimated average useful lives ranging from two to thirty-nine years. We review our long-lived assets for impairment whenever there is evidence that the carrying value of these assets may not be recoverable. Any impairment recognized is permanent and may not be restored. Property and equipment is reviewed at the lowest level of identifiable cash flows. For properties requiring impairment, the fair value is estimated based on an internal discounted cash flow model of future cash flows.
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Stock-Based Compensation | Stock-Based CompensationWe measure all share-based payments, including the issuance of restricted stock units and performance share units to employees and board members, using a fair-value based method. The cost of services received from employees and non-employee board members in exchange for awards of equity instruments is recognized in the consolidated statement of operations based on the estimated fair value of those awards on the grant date and amortized on a straight-line basis over the requisite service period. The fair value of restricted stock unit awards and performance share unit awards is based on the closing price of our common stock on the grant date. We account for forfeitures as they occur. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue Recognition, Practical Expedients, Contract Balances and Other Marketing Revenue | Revenue Disaggregation The following table disaggregates our revenue by segment and by major source for the periods indicated (in thousands):
_______________ (1) Other marketing revenues are recognized under ASC 815, Derivatives and Hedging, and ASC 845, Nonmonetary Transactions – Purchases and Sales of Inventory with the Same Counterparty. Other Marketing Revenue Certain of the commodity purchase and sale contracts utilized by our crude oil marketing business qualify as derivative instruments with certain specifically identified contracts also designated as trading activity. From the time of contract origination, these contracts are marked-to-market and recorded on a net revenue basis in the accompanying consolidated financial statements. Certain of our crude oil contracts may be with a single counterparty to provide for similar quantities of crude oil to be bought and sold at different locations. These contracts are entered into for a variety of reasons, including effecting the transportation of the commodity, to minimize credit exposure, and/or to meet the competitive demands of the customer. These buy/sell arrangements are reflected on a net revenue basis in the accompanying consolidated financial statements.
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Summary of Significant Accounting Policies (Tables) |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Earnings Per Share, Basic and Diluted | A reconciliation of the calculation of basic and diluted earnings per share is as follows (in thousands, except per share data):
_______________ (1) The performance conditions for the performance share unit awards were achieved as of December 31, 2018. For the three months ended March 31, 2019, the effect of the performance share awards on earning per share is anti-dilutive.
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Revenue Recognition (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disaggregation of Revenue | The following table disaggregates our revenue by segment and by major source for the periods indicated (in thousands):
_______________ (1) Other marketing revenues are recognized under ASC 815, Derivatives and Hedging, and ASC 845, Nonmonetary Transactions – Purchases and Sales of Inventory with the Same Counterparty.
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Schedule of New Accounting Pronouncements and Changes in Accounting Principles | Reporting these crude oil contracts on a gross revenue basis would increase our reported revenues as follows for the periods indicated (in thousands):
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Prepayments and Other Current Assets (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Components of Prepayments and Other Current Assets | The components of prepayments and other current assets were as follows at the dates indicated (in thousands):
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Property and Equipment (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Property, Plant and Equipment [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property and equipment | The historical costs of our property and equipment and related accumulated depreciation balances were as follows at the dates indicated (in thousands):
_______________ (1) Amounts include assets held under finance leases for certain tractors in our marketing segment. Gross property and equipment associated with assets held under finance leases were $5.3 million and $4.7 million at March 31, 2019 and December 31, 2018, respectively. Accumulated amortization associated with assets held under finance leases were $0.9 million and $0.7 million at March 31, 2019 and December 31, 2018, respectively (see Note 12 for further information). Components of depreciation and amortization expense were as follows for the periods indicated (in thousands):
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Cash Deposits and Other Assets (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Components of cash deposits and other assets | Components of cash deposits and other assets were as follows at the dates indicated (in thousands):
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Segment Reporting (Tables) |
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Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Information concerning business activities | Information concerning our various business activities was as follows for the periods indicated (in thousands):
_______________ (1) Our marketing segment’s operating earnings included inventory liquidation gains of $4.5 million and $0.6 million for the three months ended March 31, 2019 and 2018, respectively.
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Reconciliation of segment earnings to earnings before income taxes | Segment operating earnings reflect revenues net of operating costs and depreciation and amortization expense and are reconciled to earnings before income taxes, as follows for the periods indicated (in thousands):
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Identifiable assets by industry segment | Identifiable assets by business segment were as follows at the dates indicated (in thousands):
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Transactions with Affiliates (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Related Party Transactions [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Activities with affiliates | Activities with affiliates were as follows for the periods indicated (in thousands):
|
Derivative Instruments and Fair Value Measurements (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivatives reflected in the consolidated balance sheet | The estimated fair value of forward month commodity contracts (derivatives) reflected in the accompanying unaudited condensed consolidated balance sheet were as follows at the date indicated (in thousands):
At December 31, 2018, we had in place ten commodity purchase and sale contracts with fair value associated with them as the contractual prices of crude oil were outside of the range of prices specified in the agreements. These commodity purchase and sale contracts encompassed approximately: •322 barrels per day of crude oil during January 2019 through April 2019; •258 barrels per day of crude oil during May 2019; •322 barrels per day of crude oil during June 2019 through August 2019; and •258 barrels per day of crude oil during September 2019 through December 2019. The estimated fair value of forward month commodity contracts (derivatives) reflected in the accompanying unaudited condensed consolidated balance sheet were as follows at the date indicated (in thousands):
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Derivatives reflected in the consolidated statement of operations | Forward month commodity contracts (derivatives) reflected in the accompanying unaudited condensed consolidated statements of operations were as follows for the periods indicated (in thousands):
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Fair value assets and liabilities | The following tables set forth, by level with the Level 1, 2 and 3 fair value hierarchy, the carrying values of our financial assets and liabilities at the dates indicated (in thousands):
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Share-Based Compensation Plan (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-based Compensation, Activity | The following table presents restricted stock unit award activity for the periods indicated:
_______________ (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. Unrecognized compensation cost associated with restricted stock unit awards was approximately $0.3 million at March 31, 2019. Due to the graded vesting provisions of these awards, we expect to recognize the remaining compensation cost for these awards over a weighted-average period of 1.5 years. Performance Share Unit Awards The following table presents performance share unit award activity for the periods indicated:
_______________ (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. (2) The performance factor was lowered to 47.5 percent based upon a comparison of actual results for 2018 to performance goals.
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Supplemental Cash Flow Information (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Supplemental Cash Flow Elements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Supplemental Cash Flow Information | Supplemental cash flows and non-cash transactions were as follows for the periods indicated (in thousands):
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Leases (Tables) |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lease, Cost | The following table provides the components of lease expense for the period indicated (in thousands):
The following table provides supplemental cash flow and other information related to leases for the period indicated (in thousands):
______________ (1) Amount is included in Other operating activities on the unaudited condensed consolidated cash flow statement. The following table provides the lease term and discount rate for the period indicated:
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Assets And Liabilities, Lessee | The following table provides supplemental balance sheet information related to leases at the date indicated (in thousands):
______________ (1) Amount is included in Property and equipment, net on the unaudited condensed consolidated balance sheet.
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Lessee, Operating Lease, Liability, Maturity | The following table provides maturities of undiscounted lease liabilities at March 31, 2019 (in thousands):
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Finance Lease, Liability, Maturity | The following table provides maturities of undiscounted lease liabilities at March 31, 2019 (in thousands):
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Schedule of Principal Contractual Commitments Outstanding Under Capital Leases | The following table provides maturities of undiscounted lease liabilities at December 31, 2018 (in thousands):
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Schedule of Principal Contractual Commitments Outstanding Under Operating Leases | The following table provides maturities of undiscounted lease liabilities at December 31, 2018 (in thousands):
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Commitments and Contingencies (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of expenses and losses incurred but not reported and accrued workers' compensation | The amount of pre-funded insurance premiums left to cover potential future losses related to periods prior to October 1, 2017, and our accruals for automobile and workers’ compensation claims were as follows at the dates indicated (in thousands):
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Schedule of accrued medical claims | Medical accrual amounts were as follows at the dates indicated (in thousands):
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Organization and Basis of Presentation (Details) |
3 Months Ended |
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Mar. 31, 2019
segment
state
| |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of states in which entity operates | state | 48 |
Number of operating segments | 2 |
Number of reportable segments | 2 |
Summary of Significant Accounting Policies - Reconciliation of Basic and Diluted Earnings (Losses) per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands |
3 Months Ended | |
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Mar. 31, 2019 |
Mar. 31, 2018 |
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Basic earnings per share: | ||
Net earnings | $ 4,908 | $ 1,138 |
Basic weighted average number of shares outstanding (in shares) | 4,218 | 4,218 |
Basic earnings per share (in dollars per share) | $ 1.16 | $ 0.27 |
Diluted earnings per share: | ||
Basic weighted average number of shares outstanding (in shares) | 4,218 | 4,218 |
Total (in shares) | 4,224 | 4,218 |
Diluted earnings per share (in dollars per share) | $ 1.16 | $ 0.27 |
Restricted stock unit awards | ||
Diluted earnings per share: | ||
Unit awards | 6 | 0 |
Performance Unit Awards | ||
Diluted earnings per share: | ||
Unit awards | 0 | 0 |
Summary of Significant Accounting Policies - Letters of Credit Facility (Details) - Wells Fargo Bank - Standby Letter of Credit - USD ($) |
Mar. 31, 2019 |
Dec. 31, 2018 |
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Letter of Credit Facility [Abstract] | ||
Line of credit facility, maximum borrowing capacity | $ 60,000,000.0 | |
Stand-by letters of credit | $ 4,600,000 | $ 4,600,000 |
Summary of Significant Accounting Policies - Property and Equipment (Details) |
3 Months Ended |
---|---|
Mar. 31, 2019 | |
Minimum | |
Property, Plant and Equipment [Abstract] | |
Property and equipment, useful life | 2 years |
Maximum | |
Property, Plant and Equipment [Abstract] | |
Property and equipment, useful life | 39 years |
Revenue Recognition - Other Revenue (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2019 |
Mar. 31, 2018 |
|
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total revenues from contracts with customers | $ 376,138 | $ 373,703 |
Accounting Standards Update 2014-09 | Revenue gross-up | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total revenues from contracts with customers | $ 242,123 | $ 45,691 |
Prepayments and Other Current Assets (Details) - USD ($) $ in Thousands |
Mar. 31, 2019 |
Dec. 31, 2018 |
---|---|---|
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Insurance premiums | $ 598 | $ 677 |
Rents, licenses and other | 1,011 | 880 |
Total | $ 1,609 | $ 1,557 |
Cash Deposits and Other Assets (Details) - USD ($) $ in Thousands |
Mar. 31, 2019 |
Dec. 31, 2018 |
---|---|---|
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Insurance collateral deposits | $ 1,027 | $ 1,453 |
Excess loss fund | 794 | 1,916 |
Accumulated interest income | 520 | 788 |
State collateral deposits | 54 | 57 |
Materials and supplies | 556 | 443 |
Total | $ 2,951 | $ 4,657 |
Segment Reporting - Reconciliation of Segment Earnings to Earnings Before Income Taxes (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2019 |
Mar. 31, 2018 |
|
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Abstract] | ||
Operating earnings | $ 5,253 | $ 1,077 |
Gain on dissolution of investment | 498 | 0 |
Interest income | 656 | 387 |
Interest expense | (65) | (19) |
Earnings before income taxes | 6,342 | 1,445 |
Reporting Segments | ||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Abstract] | ||
Operating earnings | 7,937 | 3,360 |
General and administrative | ||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Abstract] | ||
Operating earnings | (2,684) | (2,283) |
Segment reconciling items | ||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Abstract] | ||
Gain on dissolution of investment | 498 | 0 |
Interest income | 656 | 387 |
Interest expense | $ (65) | $ (19) |
Segment Reporting - Identifiable Assets by Industry Segment (Details) - USD ($) $ in Thousands |
Mar. 31, 2019 |
Dec. 31, 2018 |
---|---|---|
Segment Reconciliation [Abstract] | ||
Total assets | $ 314,635 | $ 278,870 |
Reporting Segments | ||
Segment Reconciliation [Abstract] | ||
Total assets | 314,635 | 278,870 |
Reporting Segments | Marketing | ||
Segment Reconciliation [Abstract] | ||
Total assets | 135,755 | 119,370 |
Reporting Segments | Transportation | ||
Segment Reconciliation [Abstract] | ||
Total assets | 40,796 | 34,112 |
Cash and other | ||
Segment Reconciliation [Abstract] | ||
Total assets | $ 138,084 | $ 125,388 |
Transactions with Affiliates (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2019 |
Mar. 31, 2018 |
|
Transactions with Affiliates [Abstract] | ||
Billings to affiliates | $ 376,138 | $ 373,703 |
Affiliated entities | ||
Transactions with Affiliates [Abstract] | ||
Affiliate billings to us | 17 | 15 |
Billings to affiliates | 1 | 2 |
Rentals paid to affiliate | $ 122 | $ 122 |
Derivative Instruments and Fair Value Measurements - Narrative (Details) - Commodity Contract |
3 Months Ended | 12 Months Ended |
---|---|---|
Mar. 31, 2019
barrel_of_oil_per_day
contract
|
Dec. 31, 2018
barrel_of_oil_per_day
contract
|
|
Derivative Instruments, Gain (Loss) [Line Items] | ||
Number of contracts held | contract | 12 | 10 |
April 2019 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Production | 322 | |
May 2019 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Production | 258 | 258 |
June 2019 through August 2019 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Production | 322 | 322 |
September 2019 through December 2019 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Production | 516 | 258 |
January 2020 through February 2020 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Production | 258 | |
January through April 2019 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Production | 322 | |
Reported Value Measurement | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Number of contracts held | contract | 10 |
Derivative Instruments and Fair Value Measurements - Fair Value Measurements (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands |
Mar. 31, 2019 |
Dec. 31, 2018 |
---|---|---|
Derivatives: | ||
Current assets | $ 274 | $ 162 |
Current assets, counterparty offsets | 0 | 0 |
Current liabilities | (270) | (139) |
Current liabilities, counterparty offsets | 0 | 0 |
Net value | 4 | 23 |
Net value, counterparty offsets | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) | ||
Derivatives: | ||
Current assets | 0 | 0 |
Current liabilities | 0 | 0 |
Net value | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Derivatives: | ||
Current assets | 274 | 162 |
Current liabilities | (270) | (139) |
Net value | 4 | 23 |
Significant Unobservable Inputs (Level 3) | ||
Derivatives: | ||
Current assets | 0 | 0 |
Current liabilities | 0 | 0 |
Net value | $ 0 | $ 0 |
Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2019 |
Mar. 31, 2018 |
|
Supplemental Cash Flow Elements [Abstract] | ||
Cash paid for interest | $ 65 | $ 19 |
Cash paid for federal and state income taxes | 5 | 52 |
Non-cash transactions: | ||
Change in accounts payable related to property and equipment additions | (683) | (39) |
Property and equipment acquired under finance leases | $ 556 | $ 0 |
Commitments and Contingencies - Pre-funded Insurance (Details) - USD ($) $ in Thousands |
Mar. 31, 2019 |
Dec. 31, 2018 |
---|---|---|
Commitments and Contingencies Disclosure [Abstract] | ||
Pre-funded premiums for losses incurred but not reported | $ 314 | $ 427 |
Accrued automobile and workers’ compensation claims | $ 2,816 | $ 2,246 |
Commitments and Contingencies - Schedule of Accrued Medical Claims (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2019 |
Dec. 31, 2018 |
|
Commitments and Contingencies Disclosure [Abstract] | ||
Umbrellas insurance coverage | $ 1,000 | |
Aggregate medical claims for umbrella insurance coverage per calendar year | 9,600 | |
Accrued medical claims | $ 1,491 | $ 1,181 |
Subsequent Event (Details) - Subsequent Event $ in Millions |
May 06, 2019
USD ($)
truck
trailer
|
---|---|
Subsequent Event [Line Items] | |
Payments to acquire businesses | $ | $ 6.2 |
Number of tractor trailer trucks | truck | 40 |
Number of trailers | trailer | 53 |
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