Price | 22.69 | EPS | 1 | |
Shares | 10 | P/E | 19 | |
MCap | 227 | P/FCF | -55 | |
Net Debt | -9 | EBIT | 18 | |
TEV | 218 | TEV/EBIT | 12 | TTM 2019-09-30, in MM, except price, ratios |
10-Q | 2020-09-30 | Filed 2020-11-09 |
10-Q | 2020-06-30 | Filed 2020-08-10 |
10-Q | 2020-03-31 | Filed 2020-05-11 |
10-K | 2019-12-31 | Filed 2020-03-12 |
10-Q | 2019-09-30 | Filed 2019-11-07 |
10-Q | 2019-06-30 | Filed 2019-08-08 |
10-Q | 2019-03-31 | Filed 2019-05-09 |
10-K | 2018-12-31 | Filed 2019-03-14 |
10-Q | 2018-09-30 | Filed 2018-11-08 |
10-Q | 2018-06-30 | Filed 2018-08-08 |
10-Q | 2018-03-31 | Filed 2018-05-08 |
10-K | 2017-12-31 | Filed 2018-03-13 |
10-Q | 2017-09-30 | Filed 2017-11-06 |
10-Q | 2017-06-30 | Filed 2017-08-09 |
10-Q | 2017-03-31 | Filed 2017-05-04 |
10-K | 2016-12-31 | Filed 2017-03-09 |
10-Q | 2016-09-30 | Filed 2016-11-08 |
10-Q | 2016-06-30 | Filed 2016-08-05 |
10-Q | 2016-03-31 | Filed 2016-05-05 |
10-K | 2015-12-31 | Filed 2016-03-10 |
10-Q | 2015-09-30 | Filed 2015-11-05 |
10-Q | 2015-06-30 | Filed 2015-08-06 |
10-Q | 2015-03-31 | Filed 2015-05-07 |
10-K | 2014-12-31 | Filed 2015-03-11 |
10-Q | 2014-09-30 | Filed 2014-11-06 |
10-Q | 2014-06-30 | Filed 2014-08-07 |
10-Q | 2014-03-31 | Filed 2014-05-08 |
10-K | 2013-12-31 | Filed 2014-03-12 |
10-Q | 2013-09-30 | Filed 2013-11-07 |
10-Q | 2013-06-30 | Filed 2013-08-07 |
10-Q | 2013-03-31 | Filed 2013-05-09 |
10-K | 2012-12-31 | Filed 2013-03-14 |
10-Q | 2012-09-30 | Filed 2012-11-07 |
10-Q | 2012-06-30 | Filed 2012-08-09 |
10-Q | 2012-03-31 | Filed 2012-05-08 |
10-K | 2011-12-31 | Filed 2012-03-13 |
8-K | 2020-11-03 | |
8-K | 2020-08-04 | |
8-K | 2020-08-04 | |
8-K | 2020-05-15 | |
8-K | 2020-05-05 | |
8-K | 2020-05-05 | |
8-K | 2020-03-10 | |
8-K | 2019-11-05 | |
8-K | 2019-08-06 | |
8-K | 2019-05-07 | |
8-K | 2019-05-07 | |
8-K | 2019-03-05 | |
8-K | 2018-11-06 | |
8-K | 2018-08-07 | |
8-K | 2018-05-08 | |
8-K | 2018-05-04 | |
8-K | 2018-03-06 |
Part I. Financial Information |
Item 1. Financial Statements. |
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. |
Item 3. Quantitative and Qualitative Disclosures About Market Risk. |
Item 4. Controls and Procedures. |
Part II. Other Information |
Item 1. Legal Proceedings. |
Item 1A. Risk Factors. |
Item 5. Other Information |
Item 6. Exhibits. |
EX-10.1 | weys-20200930xex10d1.htm |
EX-10.2 | weys-20200930xex10d2.htm |
EX-10.3 | weys-20200930xex10d3.htm |
EX-31.1 | weys-20200930xex31d1.htm |
EX-31.2 | weys-20200930xex31d2.htm |
EX-32 | weys-20200930xex32.htm |
Balance Sheet | Income Statement | Cash Flow |
---|---|---|
Assets, Equity
|
Rev, G Profit, Net Income
|
Ops, Inv, Fin
|
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM
(Mark One)
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the quarterly period ended
Or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from ________________________ to _____________________________
Commission File Number:
(Exact name of registrant as specified in its charter)
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
(Address of principal executive offices)
(Zip Code)
(
(Registrant’s telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
Title of each class | Trading Symbol | Name of each exchange on which registered |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (Section 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large Accelerated Filer ☐ | Non-Accelerated Filer ☐ | Smaller Reporting Company | Emerging Growth Company |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act ◻
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes ◻ No
As of October 30, 2020, there were
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements.
The following consolidated condensed balance sheet as of December 31, 2019, which has been derived from audited financial statements, and the unaudited interim consolidated condensed financial statements have been prepared by Weyco Group, Inc. (the “Company”) pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to those rules and regulations, although the Company believes that the disclosures made are adequate to make the information not misleading. It is suggested that these consolidated condensed financial statements be read in conjunction with the financial statements and notes thereto included in the Company’s latest annual report on Form 10-K.
1
WEYCO GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED CONDENSED BALANCE SHEETS (UNAUDITED)
| September 30, | December 31, | ||||
|
| 2020 |
| 2019 | ||
(Dollars in thousands) | ||||||
ASSETS: |
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| ||
Cash and cash equivalents | $ | | $ | | ||
Marketable securities, at amortized cost |
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Accounts receivable, net |
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Income tax receivable | | | ||||
Inventories |
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Prepaid expenses and other current assets |
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Total current assets |
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Marketable securities, at amortized cost |
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Deferred income tax benefits |
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Property, plant and equipment, net |
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Operating lease right-of-use assets |
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Goodwill |
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Trademarks |
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Other assets |
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Total assets | $ | | $ | | ||
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LIABILITIES AND EQUITY: |
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Short-term borrowings | $ | | $ | | ||
Accounts payable |
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Dividend payable |
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Operating lease liabilities |
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Accrued liabilities |
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Accrued income tax payable |
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Total current liabilities |
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Deferred income tax liabilities |
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Long-term pension liability |
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Operating lease liabilities |
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Other long-term liabilities |
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Total liabilities |
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Common stock |
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Capital in excess of par value |
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Reinvested earnings |
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Accumulated other comprehensive loss |
| ( |
| ( | ||
Total equity |
| |
| | ||
Total liabilities and equity | $ | | $ | |
The accompanying notes to consolidated condensed financial statements (unaudited) are an integral part of these financial statements.
2
WEYCO GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME (UNAUDITED)
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||
|
| 2020 |
| 2019 |
| 2020 |
| 2019 | ||||
(In thousands, except per share amounts) | ||||||||||||
| ||||||||||||
Net sales | $ | | $ | | $ | | $ | | ||||
Cost of sales | |
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Gross earnings |
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Selling and administrative expenses |
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Earnings (loss) from operations |
| ( |
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| ( |
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Interest income |
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| |
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| | ||||
Interest expense |
| ( |
| ( |
| ( |
| ( | ||||
Other income (expense), net |
| ( |
| |
| |
| ( | ||||
|
|
|
| |||||||||
Earnings (loss) before provision (benefit) for income taxes |
| ( |
| |
| ( |
| | ||||
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Provision (benefit) for income taxes |
| |
| |
| ( |
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Net earnings (loss) | ( | | ( | | ||||||||
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Weighted average shares outstanding |
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Basic |
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Diluted |
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Earnings (loss) per share |
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Basic | $ | ( | $ | | $ | ( | $ | | ||||
Diluted | $ | ( | $ | | $ | ( | $ | | ||||
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Cash dividends declared (per share) | $ | | $ | | $ | | $ | | ||||
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Comprehensive income (loss) | $ | ( | $ | | $ | ( | $ | |
The accompanying notes to consolidated condensed financial statements (unaudited) are an integral part of these financial statements.
3
WEYCO GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED)
Nine Months Ended September 30, | ||||||
|
| 2020 |
| 2019 | ||
(Dollars in thousands) | ||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||
Net earnings (loss) | $ | ( | $ | | ||
Adjustments to reconcile net earnings (loss) to net cash provided by (used for) operating activities - | ||||||
Depreciation |
| |
| | ||
Amortization |
| |
| | ||
Bad debt expense |
| |
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Deferred income taxes |
| |
| ( | ||
Net foreign currency transaction losses (gains) |
| |
| ( | ||
Share-based compensation expense |
| |
| | ||
Pension expense |
| |
| | ||
Impairment of long-lived assets | | | ||||
Increase in cash surrender value of life insurance |
| ( |
| ( | ||
Changes in operating assets and liabilities - |
|
| ||||
Accounts receivable |
| |
| ( | ||
Inventories |
| |
| ( | ||
Prepaid expenses and other assets |
| |
| | ||
Accounts payable |
| ( |
| ( | ||
Accrued liabilities and other |
| ( |
| ( | ||
Accrued income taxes |
| ( |
| | ||
Net cash provided by (used for) operating activities |
| |
| ( | ||
|
|
|
| |||
CASH FLOWS FROM INVESTING ACTIVITIES: |
|
|
| |||
Purchases of marketable securities |
| |
| ( | ||
Proceeds from maturities of marketable securities |
| |
| | ||
Life insurance premiums paid | ( | ( | ||||
Purchases of property, plant and equipment |
| ( |
| ( | ||
Net cash provided by (used for) investing activities |
| |
| ( | ||
|
|
|
| |||
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
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| ||
Cash dividends paid |
| ( |
| ( | ||
Shares purchased and retired |
| ( |
| ( | ||
Net proceeds from stock options exercised |
| |
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Taxes paid related to the net share settlement of equity awards | | ( | ||||
Proceeds from bank borrowings |
| |
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Repayments of bank borrowings |
| ( |
| ( | ||
Net cash used for financing activities |
| ( |
| ( | ||
|
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Effect of exchange rate changes on cash and cash equivalents |
| |
| ( | ||
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Net decrease in cash and cash equivalents | $ | ( | $ | ( | ||
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CASH AND CASH EQUIVALENTS at beginning of period |
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CASH AND CASH EQUIVALENTS at end of period | $ | | $ | | ||
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SUPPLEMENTAL CASH FLOW INFORMATION: |
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| ||
Income taxes paid, net of refunds | $ | | $ | | ||
Interest paid | $ | | $ | |
The accompanying notes to consolidated condensed financial statements (unaudited) are an integral part of these financial statements.
4
NOTES:
1. Financial Statements
In the opinion of management, the accompanying unaudited consolidated condensed financial statements contain all adjustments necessary to present fairly the Company’s financial position, results of operations and cash flows for the periods presented. All such adjustments are of a normal recurring nature. The results of operations for the three and nine months ended September 30, 2020, may not necessarily be indicative of the results for the full year.
Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions amounts of assets, liabilities, revenues and expenses and disclosure of contingent assets and liabilities at the date of the financial statements and during the reporting period. Actual results specifically related to inventory reserves, realizability of deferred tax assets, goodwill and trademarks could materially differ from those estimates that impact the reported amounts and disclosures in the consolidated financial statements and accompanying notes.
2. Accounts Receivable
3. Impairment of Long-Lived Assets
Property, plant, equipment and operating lease right-of-use assets, along with other long-lived assets, are evaluated for impairment periodically whenever triggering events or indicators exist that the carrying values may not be fully recoverable. As a result of the COVID-19 pandemic, the Company identified indicators of impairment for its retail stores worldwide. The Company performed undiscounted cash flow analyses over the long-lived assets of its retail stores and compared them to the carrying value of those assets. Based on these undiscounted cash flow analyses, the Company determined that certain long-lived assets had carrying values that exceeded their estimated undiscounted cash flows. As a result, the Company recognized $
5
4. Earnings (Loss) Per Share
The following table sets forth the computation of basic and diluted earnings per share:
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||
|
| 2020 |
| 2019 |
| 2020 |
| 2019 | ||||
(In thousands, except per share amounts) | ||||||||||||
Numerator: |
|
|
|
|
|
|
| |||||
Net earnings (loss) | $ | ( | $ | | $ | ( | $ | | ||||
|
|
|
|
|
|
|
| |||||
Denominator: |
|
|
|
|
|
|
|
| ||||
Basic weighted average shares outstanding |
| |
| |
| |
| | ||||
Effect of dilutive securities: |
|
|
|
|
|
|
|
| ||||
Employee share-based awards |
| — |
| |
| — |
| | ||||
Diluted weighted average shares outstanding |
| |
| |
| |
| | ||||
|
|
|
|
|
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|
| |||||
Basic earnings (loss) per share | $ | ( | $ | | $ | ( | $ | | ||||
|
|
|
|
| ||||||||
Diluted earnings (loss) per share | $ | ( | $ | | $ | ( | $ | |
The three and nine months ended September 30, 2020, resulted in a net loss; therefore, there was no difference in the weighted average number of common shares for basic and diluted loss per share as the effect of all potentially dilutive shares outstanding was anti-dilutive. Diluted weighted average shares outstanding for the three months ended September 30, 2020, excludes anti-dilutive share-based awards totaling
5. Investments
As noted in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019, all of the Company’s marketable securities are classified as held-to-maturity securities and reported at amortized cost pursuant to Accounting Standards Codification (“ASC”) 320, Investments – Debt and Equity Securities, as the Company currently has the intent and ability to hold all investments to maturity.
Below is a summary of the amortized cost and estimated market values of the Company’s marketable securities as of September 30, 2020, and December 31, 2019:
September 30, 2020 | December 31, 2019 | |||||||||||
| Amortized | Market |
| Amortized | Market | |||||||
|
| Cost |
| Value |
| Cost |
| Value | ||||
(Dollars in thousands) | ||||||||||||
Municipal bonds: |
|
|
|
|
|
|
|
| ||||
Current | $ | | $ | | $ | | $ | | ||||
Due from one through five years |
| |
| |
| |
| | ||||
Due from six through ten years |
| |
| |
| |
| | ||||
Due from eleven through twenty years |
| |
| |
| |
| | ||||
Total | $ | | $ | | $ | | $ | |
6
The unrealized gains and losses on marketable securities at September 30, 2020, and at December 31, 2019, were as follows:
September 30, 2020 | December 31, 2019 | |||||||||||
| Unrealized | Unrealized | Unrealized | Unrealized | ||||||||
|
| Gains |
| Losses |
| Gains |
| Losses | ||||
(Dollars in thousands) | ||||||||||||
Municipal bonds | $ | | $ | | $ | | $ | |
The estimated market values provided are level 2 valuations as defined by ASC 820, Fair Value Measurements and Disclosures (“ASC 820”). The Company reviewed its portfolio of investments as of September 30, 2020 and determined that no other-than-temporary market value impairment exists.
6. Intangible Assets
The Company evaluates its goodwill and trademarks for impairment annually during the fourth quarter, or more frequently if events occur or circumstances change that indicate impairment may be present. Given the substantial reduction in sales, reduced cash flow projections, and the decrease in the Company's market capitalization due to the impact of the COVID-19 pandemic on macroeconomic conditions, the Company determined that potential impairment indicators were present and that an impairment assessment was warranted for goodwill and trademarks in connection with the preparation of the financial statements for the third quarter of 2020. As a result, the Company performed an interim assessment of goodwill, all of which is assigned to its wholesale reporting unit, using a quantitative approach as of September 30, 2020, and an interim assessment of trademarks also using a quantitative approach as of September 30, 2020. In conducting the interim goodwill assessment, the estimated fair value of the Company's wholesale reporting unit was determined using discounted cash flows analysis. As of September 30, 2020, the fair value of the Company's wholesale reporting unit exceeded its carrying value by
The Company can make no assurances that its goodwill or trademarks will not be impaired in the future. When preparing a discounted cash flow analysis, the Company makes a number of key estimates and assumptions regarding future cash flows and growth. The discount rate used is based on the Company's weighted average cost of capital, which includes assumptions such as market capital structure, market beta, risk-free rate of return, and estimated costs of borrowing. Changes in key estimates assumptions, and macroeconomic conditions, and/or continued deterioration of the Company's market capitalization and business, could lead to an impairment charge in a future period.
The Company's amortizable intangible assets, which were included within other assets in the Consolidated Condensed Balance Sheets (unaudited), consisted of the following:
September 30, 2020 | December 31, 2019 | |||||||||||||||||||
| Weighted | Gross | Gross | |||||||||||||||||
| Average | Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||
|
| Life (Years) |
| Amount |
| Amortization |
| Net |
| Amount |
| Amortization |
| Net | ||||||
(Dollars in thousands) | (Dollars in thousands) | |||||||||||||||||||
Amortizable intangible assets |
|
|
|
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|
|
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|
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| ||||||
Customer relationships |
| $ | |
| $ | ( | $ | | $ | | $ | ( | $ | | ||||||
Total amortizable intangible assets |
|
| $ | |
| $ | ( | $ | | $ | | $ | ( | $ | |
Amortization expense related to the intangible assets was approximately $
7
7. Segment Information
The Company has two reportable segments: North American wholesale operations (“Wholesale”) and North American retail operations (“Retail”). The Company’s Chief Executive Officer evaluates the performance of the Company’s segments based on earnings (loss)from operations. Therefore, interest income or expense, other income or expense, and income taxes are not allocated to the segments. The “other” category in the tables below includes the Company’s wholesale and retail operations in Australia, South Africa, Asia Pacific and Europe, which do not meet the criteria for separate reportable segment classification. Summarized segment data for the three and nine months ended September 30, 2020 and 2019, was as follows:
Three Months Ended | ||||||||||||
September 30, |
| Wholesale |
| Retail |
| Other |
| Total | ||||
(Dollars in thousands) | ||||||||||||
2020 |
|
|
|
|
|
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| |||||
Product sales | $ | | $ | | $ | | $ | | ||||
Licensing revenues |
| |
| |
| |
| | ||||
Net sales | $ | | $ | | $ | | $ | | ||||
Earnings (loss) from operations | $ | | (1) | $ | ( | (2) | $ | ( | (3) | $ | ( | |
|
|
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|
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| |||||
2019 |
|
|
|
|
|
|
|
| ||||
Product sales | $ | | $ | | $ | | $ | | ||||
Licensing revenues |
| |
| |
| |
| | ||||
Net sales | $ | | $ | | $ | | $ | | ||||
Earnings (loss) from operations | $ | | $ | | $ | ( | $ | |
(1) | Includes the write-off of a $ |
(2) | Includes $ |
(3) | Includes $ |
Nine Months Ended | ||||||||||||
September 30, |
| Wholesale |
| Retail |
| Other |
| Total | ||||
(Dollars in thousands) | ||||||||||||
2020 |
|
|
|
|
|
|
|
| ||||
Product sales | $ | | $ | | $ | | $ | | ||||
Licensing revenues |
| |
| |
| |
| | ||||
Net sales | $ | | $ | | $ | | $ | | ||||
Earnings (loss) from operations | $ | ( | (4) | $ | ( | (5) | $ | ( | (6) | $ | ( | |
|
|
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| ||||||
2019 |
|
|
|
|
|
|
|
| ||||
Product sales | $ | | $ | | $ | | $ | | ||||
Licensing revenues |
| |
| |
| |
| | ||||
Net sales | $ | | $ | | $ | | $ | | ||||
Earnings (loss) from operations | $ | | $ | | $ | ( | $ | |
(4) | Includes the write-off of $ |
(5) | Includes $ |
8
(6) | Includes $ |
8. Employee Retirement Plans
The components of the Company’s net periodic pension cost were as follows:
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||
| 2020 |
| 2019 |
| 2020 |
| 2019 | |||||
(Dollars in thousands) | ||||||||||||
Service cost | $ | | $ | | $ | | $ | | ||||
Interest cost |
| |
| |
| |
| | ||||
Expected return on plan assets |
| ( |
| ( |
| ( |
| ( | ||||
Net amortization and deferral |
| |
| |
| |
| | ||||
Net periodic pension cost | $ | | $ | | $ | | $ | |
The components of net periodic pension cost other than the service cost component are included in other income (expense), net in the Consolidated Condensed Statements of Earnings and Comprehensive Income (Unaudited).
9. Leases
The Company leases retail shoe stores, as well as several office and distribution facilities worldwide. The leases have original lease periods expiring between the fourth quarter of 2020 and 2030. Many leases include one or more options to renew. The Company does not assume renewals in its determination of the lease term unless the renewals are deemed to be reasonably assured at lease commencement. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants.
During the third quarter of 2020, the Company recorded $
The components of the Company’s operating lease costs were as follows (dollars in thousands):
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||
|
| 2020 | 2019 |
| 2020 | 2019 | ||||||
(Dollars in thousands) | ||||||||||||
Operating lease costs | $ | | $ | | $ | | $ | | ||||
Variable lease costs (1) |
| |
| |
| |
| | ||||
Total lease costs | $ | | $ | | $ | | $ | |
(1) Variable lease costs primarily include percentage rentals based upon sales in excess of specified amounts.
Short-term lease costs, which were excluded from the above table, are not material to the Company's financial statements.
The following is a schedule of maturities of operating lease liabilities as of September 30, 2020 (dollars in thousands):
|
| Operating Leases | |
2020, excluding the nine months ended September 30, 2020 | $ | | |
2021 |
| | |
2022 |
| | |
2023 |
| | |
2024 |
| | |
Thereafter |
| | |
Total lease payments |
| | |
Less imputed interest |
| ( | |
Present value of lease liabilities | $ | |
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The operating lease liabilities are classified in the consolidated condensed balance sheets as follows:
|
| September 30, 2020 | December 31, 2019 | |||
(Dollars in thousands) | ||||||
Operating lease liabilities – current | $ | |
| $ | | |
Operating lease liabilities - non-current |
| | | |||
Total | $ | | $ | |
The Company determined the present value of its lease liabilities using a weighted-average discount rate of
Supplemental cash flow information related to the Company’s operating leases is as follows:
|
| Three Months Ended September 30, |
| Nine Months Ended September 30, | ||||||||
2020 | 2019 | 2020 | 2019 | |||||||||
(Dollars in thousands) | ||||||||||||
Cash paid for amounts included in the measurement of lease liabilities | $ | | $ | | $ | | $ | | ||||
Right-of-use assets obtained in exchange for new lease liabilities (noncash) | $ | | $ | | $ | | $ | |
10. Income Taxes
The Company's provision (benefit) for income taxes and effective tax rates for the three and nine months ended September 30, 2020 and 2019 are presented in the following table:
|
| Three Months Ended September 30, |
| Nine Months Ended September 30, | |||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||
(Dollars in thousands) | |||||||||||||
Earnings (loss) before provision (benefit) for income taxes | $ | ( | $ | | $ | ( | $ | | |||||
Income tax provision (benefit) | $ | | $ | | $ | ( | $ | | |||||
Effective tax rate | ( | % | | % | | % | | % |
The Company's third quarter and year-to-date 2020 income tax provisions included $
11. Share-Based Compensation Plans
During the three and nine months ended September 30, 2020, the Company recognized $
10