Recent Accounting Standards (Tables)

6 Months Ended

Jun. 30, 2018

New Accounting Pronouncements and Changes in Accounting Principles [Abstract]

Schedule of New Accounting Pronouncements and Changes in Accounting Principles

The cumulative effect of the changes made to our January 1, 2018 balance sheet for the adoption of the new revenue standard was as follows (in thousands):

	Balance at December 31, 2017		Adjustments due to ASC Topic 606			Balance at January 1, 2018
Assets:
Prepaid expenses and other current assets	$	14,212	$	2,059		$	16,271
Other assets	6,569		132			6,701
Liabilities and Stockholders’ Equity:
Deferred revenue	22,356		2,587			24,943
Retained earnings	106,599		(396		)	106,203

The following tables summarize the current period impacts of adopting ASC Topic 606 on our unaudited condensed consolidated financial statements as of and for the three and six months ended June 30, 2018.

Selected condensed consolidated statement of operations line items, which were impacted by the adoption of the new standard, are as follows for the three months ended June 30, 2018 (in thousands):

	As reported		Balances without Adoption of Topic 606		Effect of Adoption - Higher (Lower)
Revenue	$	133,691	$	132,359	$	1,332
Cost of revenue	111,118		110,063		1,055
Gross profit	22,573		22,296		277
Income tax expense	1,332		1,257		75
Net income	3,575		3,373		202
Per common share data:
Basic earnings per share	$	0.22	$	0.20	$	0.02
Diluted earnings per share	$	0.22	$	0.20	$	0.02

Selected condensed consolidated statement of operations line items, which were impacted by the adoption of the new standard, are as follows for the six months ended June 30, 2018 (in thousands):

	As reported		Balances without Adoption of Topic 606		Effect of Adoption - Higher (Lower)
Revenue	$	258,723	$	257,408	$	1,315
Cost of revenue	218,471		217,617		854
Gross profit	40,252		39,791		461
Income tax expense	3,062		2,941		121
Net income	6,207		5,867		340
Per common share data:
Basic earnings per share	$	0.37	$	0.35	$	0.02
Diluted earnings per share	$	0.37	$	0.35	$	0.02

The adoption of ASC Topic 606 did not have a significant impact on our condensed consolidated statement of comprehensive income for the three or six months ended June 30, 2018.

Selected condensed consolidated balance sheet line items, which were impacted by the adoption of the new standard, are as follows as of June 30, 2018 (in thousands):

	As reported		Balances without adoption of ASC Topic 606		Effect of Adoption - Higher (Lower)
Assets:
Prepaid expenses and other current assets	$	14,664	$	13,461	$	1,203
Other assets	8,250		8,239		11
Total assets	389,095		387,881		1,214
Liabilities and Stockholders’ Equity:
Accounts payable and accrued expenses	72,893		72,039		854
Deferred revenue	18,694		18,278		416
Retained earnings	112,410		112,466		(56		)
Total liabilities and stockholders' equity	389,095		387,881		1,214