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Description of Business, Basis of Consolidation, Basis of Presentation and Significant Accounting Policies (Tables)
12 Months Ended
Dec. 31, 2019
Accounting Policies [Abstract]  
Summary of Business Sales Segmentation Selective enterprise information is as follows:

 

 

2019

 

 

2018

 

 

2017

 

Net sales:

 

 

 

 

 

 

 

 

 

 

 

 

Insecticides

 

$

153,448

 

 

$

150,595

 

 

$

134,377

 

Herbicides/soil fumigants/fungicides

 

 

181,686

 

 

 

183,350

 

 

 

124,529

 

Other, including plant growth regulators

 

 

67,266

 

 

 

58,360

 

 

 

42,503

 

Total crop

 

 

402,400

 

 

 

392,305

 

 

 

301,409

 

Non-crop

 

 

65,786

 

 

 

61,967

 

 

 

53,638

 

 

 

$

468,186

 

 

$

454,272

 

 

$

355,047

 

Gross profit:

 

 

 

 

 

 

 

 

 

 

 

 

Crop

 

$

140,806

 

 

$

150,986

 

 

$

117,892

 

Non-crop

 

 

36,548

 

 

 

31,645

 

 

 

29,500

 

 

 

$

177,354

 

 

$

182,631

 

 

$

147,392

 

 

Summary of Operating Expense Operating expenses include cost centers for Selling, General and Administrative, Research, Product Development, and Regulatory, and Freight, Delivery and Warehousing.

 

 

 

2019

 

 

2018

 

 

2017

 

Selling

 

$

45,121

 

 

$

39,585

 

 

$

29,112

 

General and administrative

 

 

46,593

 

 

 

42,981

 

 

 

37,660

 

Research, product development and regulatory

 

 

24,070

 

 

 

26,428

 

 

 

26,076

 

Freight, delivery and warehousing

 

 

35,349

 

 

 

34,616

 

 

 

27,750

 

 

 

$

151,133

 

 

$

143,610

 

 

$

120,598

 

Components of Inventories, Net of Reserve Allowance

The components of inventories, net of reserve allowance, consist of the following:

 

 

 

2019

 

 

2018

 

Finished products

 

$

151,917

 

 

$

147,297

 

Raw materials

 

 

11,396

 

 

 

12,598

 

 

 

$

163,313

 

 

$

159,895

 

Schedule of Additional Information of Operating Leases Additional information related to operating leases are as follows:

 

 

 

Year Ended

December 31, 2019

 

Cash paid for amounts included in the measurement of

   lease liabilities

 

$

5,398

 

ROU assets obtained in exchange for new liabilities

 

$

3,580

 

 

Schedule of Weighted-Average Remaining Lease Term and Discount Rate Related to Operating Leases

 

 

The weighted-average remaining lease term and discount rate related to the operating leases as of December 31, 2019 were as follows:

 

Weighted-average remaining lease term (in years)

 

 

3.18

 

Weighted-average discount rate

 

 

3.68

%

 

Schedule of Future Minimum Lease Payments Under Non-Cancellable Operating Leases

Future minimum lease payments under non-cancellable operating leases as of December 31, 2019 were as follows:

 

 

 

December 31, 2019

 

2020

 

$

5,200

 

2021

 

 

3,367

 

2022

 

 

1,754

 

2023

 

 

723

 

2024

 

 

322

 

Thereafter

 

 

794

 

Total lease payments

 

$

12,160

 

Less: imputed interest

 

 

753

 

Total

 

$

11,407

 

 

 

 

 

 

Amounts recognized in the consolidated balance sheet:

 

 

 

 

Operating lease liabilities, current

 

$

4,904

 

Operating lease liabilities, long term

 

$

6,503

 

Summary of Selective Enterprise Information of Sales Disaggregated By Category and Geographic Region Selective enterprise information of sales disaggregated by category and geographic region is as follows:

 

 

Year Ended December 31,

 

 

 

2019

 

 

2018

 

Net sales:

 

 

 

 

 

 

 

 

Crop:

 

 

 

 

 

 

 

 

Insecticides

 

$

153,448

 

 

$

150,595

 

Herbicides/soil fumigants/fungicides

 

 

181,686

 

 

 

183,350

 

Other, including plant growth regulators

 

 

67,266

 

 

 

58,360

 

Total crop

 

 

402,400

 

 

 

392,305

 

Non-crop

 

 

65,786

 

 

 

61,967

 

Total net sales

 

$

468,186

 

 

$

454,272

 

Net sales:

 

 

 

 

 

 

 

 

U.S.

 

$

282,225

 

 

$

300,314

 

International

 

 

185,961

 

 

 

153,958

 

Total net sales

 

$

468,186

 

 

$

454,272

 

Timing of revenue recognition:

 

 

 

 

 

 

 

 

Goods and services transferred at a point in time

 

$

464,967

 

 

$

453,449

 

Goods and services transferred over time

 

 

3,219

 

 

 

823

 

Total net sales

 

$

468,186

 

 

$

454,272

 

 

Summary of Contract Balances The contract assets in the table below are related to royalties earned on certain licenses granted for the use of the Company’s intellectual property, which are reflected in other receivables in the consolidated balance sheets and recognized at a point in time and remain outstanding as of December 31, 2019 and 2018.

 

 

December 31,

2019

 

 

December 31,

2018

 

Contract assets

 

$

6,091

 

 

$

3,750

 

Deferred revenue

 

$

6,826

 

 

$

20,043

 

 

Components of Basic and Diluted Earnings Per Share

The components of basic and diluted earnings per share were as follows:

 

 

 

2019

 

 

2018

 

 

2017

 

Numerator:

 

 

 

 

 

 

 

 

 

 

 

 

Net income attributable to American Vanguard

 

$

13,601

 

 

$

24,195

 

 

$

20,274

 

Denominator:

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares outstanding—basic

 

 

29,030

 

 

 

29,326

 

 

 

29,100

 

Dilutive effect of stock options and grants

 

 

626

 

 

 

722

 

 

 

603

 

Weighted average shares outstanding—diluted

 

 

29,656

 

 

 

30,048

 

 

 

29,703

 

 

Stock Based Compensation, Unamortized Stock-Based Compensation and Remaining Weighted Average Period

The below tables illustrate the Company’s stock based compensation, unamortized stock-based compensation, and remaining weighted average period for the years ended December 31, 2019, 2018 and 2017. This projected expense will change if any stock options and restricted stock are granted or cancelled prior to the respective reporting periods, or if there are any changes required to be made for estimated forfeitures.

 

 

 

Stock-Based

Compensation

 

 

Unamortized

Stock-Based

Compensation

 

 

Remaining

Weighted

Average

Period (years)

 

December 31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

Restricted Stock

 

$

3,655

 

 

$

5,512

 

 

 

1.9

 

Unrestricted Stock

 

 

411

 

 

 

205

 

 

 

0.4

 

Performance-Based Restricted Stock

 

 

3,094

 

 

 

2,835

 

 

 

1.9

 

Total

 

$

7,160

 

 

$

8,552

 

 

 

 

 

December 31, 2018

 

 

 

 

 

 

 

 

 

 

 

 

Restricted Stock

 

$

3,272

 

 

$

5,006

 

 

 

1.3

 

Unrestricted Stock

 

 

385

 

 

 

160

 

 

 

0.4

 

Performance-Based Restricted Stock

 

 

2,148

 

 

 

2,565

 

 

 

1.9

 

Total

 

$

5,805

 

 

$

7,731

 

 

 

 

 

December 31, 2017

 

 

 

 

 

 

 

 

 

 

 

 

Incentive Stock Options

 

$

345

 

 

$

 

 

 

 

Performance-Based Options

 

 

416

 

 

 

 

 

 

 

Restricted Stock

 

 

2,355

 

 

 

3,628

 

 

 

1.0

 

Unrestricted Stock

 

 

350

 

 

 

160

 

 

 

0.4

 

Performance-Based Restricted Stock

 

 

1,248

 

 

 

1,642

 

 

 

1.8

 

Total

 

$

4,714

 

 

$

5,430