|
|
Delaware
|
|
84-0608431
|
(State of Incorporation or Organization)
|
|
(I.R.S. Employer Identification No.)
|
Title of each class
|
|
Trading Symbol
|
|
Name of each exchange on which registered
|
Common Stock, $.05 Par Value
|
|
BOOM
|
|
The Nasdaq Global Select Market
|
Large accelerated filer o
|
|
Accelerated filer x
|
|
|
|
Non-accelerated filer o
|
|
Smaller reporting company o
|
|
|
|
|
|
Emerging growth company o
|
|
|
|
Page
|
|
|
|
|
|
|
|
||
|
|
|
|
||
|
|
|
|
||
|
|
|
|
|
|
(Dollars in Thousands)
|
||||||||||
|
|
For the years ended December 31,
|
||||||||||
|
|
2019
|
|
2018
|
|
2017
|
||||||
United States
|
|
$
|
309,826
|
|
|
$
|
221,847
|
|
|
$
|
116,083
|
|
Canada
|
|
17,688
|
|
|
30,126
|
|
|
23,377
|
|
|||
United Arab Emirates
|
|
6,614
|
|
|
4,093
|
|
|
1,768
|
|
|||
Norway
|
|
5,003
|
|
|
990
|
|
|
1,771
|
|
|||
Germany
|
|
4,900
|
|
|
4,067
|
|
|
5,397
|
|
|||
Ukraine
|
|
3,824
|
|
|
3,594
|
|
|
1,307
|
|
|||
France
|
|
3,643
|
|
|
4,581
|
|
|
3,032
|
|
|||
Egypt
|
|
3,366
|
|
|
2,419
|
|
|
2,721
|
|
|||
Oman
|
|
3,197
|
|
|
2,112
|
|
|
4,132
|
|
|||
South Korea
|
|
2,964
|
|
|
2,263
|
|
|
1,173
|
|
|||
Russia
|
|
2,942
|
|
|
4,117
|
|
|
4,504
|
|
|||
Belgium
|
|
2,365
|
|
|
3,386
|
|
|
1,628
|
|
|||
Netherlands
|
|
2,181
|
|
|
2,427
|
|
|
3,088
|
|
|||
Australia
|
|
2,151
|
|
|
873
|
|
|
1,010
|
|
|||
Sweden
|
|
2,016
|
|
|
2,339
|
|
|
2,009
|
|
|||
Indonesia
|
|
1,934
|
|
|
1,201
|
|
|
409
|
|
|||
India
|
|
1,831
|
|
|
4,291
|
|
|
2,927
|
|
|||
Bahrain
|
|
1,820
|
|
|
1,065
|
|
|
45
|
|
|||
Spain
|
|
1,706
|
|
|
1,083
|
|
|
1,126
|
|
|||
Rest of the world
|
|
17,579
|
|
|
29,555
|
|
|
15,296
|
|
|||
|
|
|
|
|
|
|
||||||
Net sales
|
|
$
|
397,550
|
|
|
$
|
326,429
|
|
|
$
|
192,803
|
|
•
|
difficulties in the timing of expansions, including delays in the implementation of construction and manufacturing plans;
|
•
|
the inability to successfully integrate additional facilities or incremental capacity and to realize anticipated efficiencies, economies of scale or other value;
|
•
|
challenges faced as a result of transitioning programs;
|
•
|
additional fixed or other costs, or selling, general and administrative ("SG&A") expenses, which may not be fully absorbed by the new business;
|
•
|
a reduction of our return on invested capital, including as a result of excess inventory or excess capacity at new facilities;
|
•
|
diversion of management’s attention from other business areas during the planning and implementation of expansions;
|
•
|
increased debt levels and borrowing costs;
|
•
|
strain placed on our operational, financial and other systems and resources; and
|
•
|
inability to locate sufficient employees or management talent to support the expansion.
|
•
|
political and economic instability, including:
|
◦
|
civil unrest, acts of terrorism, force majeure, war, other armed conflict, and sanctions;
|
◦
|
inflation; and
|
◦
|
currency fluctuations, devaluations, conversion, or repatriation restrictions; and
|
•
|
governmental actions that may:
|
◦
|
result in expropriation and nationalization of our assets in that country;
|
◦
|
result in confiscatory taxation or other adverse tax policies;
|
◦
|
limit extraction of shale gas or oil using hydraulic fracturing;
|
◦
|
limit or disrupt markets or our operations, restrict payments, or limit the movement of funds;
|
◦
|
result in increased tariffs;
|
◦
|
impose trade and economic sanctions or other restrictions;
|
◦
|
increase borrowing costs;
|
◦
|
result in the deprivation of contract rights; and
|
◦
|
result in the inability to obtain or retain licenses required for operation.
|
•
|
identifying suitable candidates for acquisition and negotiating acceptable terms;
|
•
|
obtaining approval from regulatory authorities and potentially DMC’s shareholders;
|
•
|
maintaining our financial and strategic focus and avoiding distraction of management during the process of integrating the acquired business;
|
•
|
implementing our standards, controls, procedures and policies at the acquired business and addressing any pre-existing liabilities or claims involving the acquired business; and
|
•
|
to the extent the acquired operations are in a country in which we have not operated historically, understanding the regulations and challenges of operating in that new jurisdiction.
|
•
|
changes in the oil and gas, industrial, or infrastructure markets;
|
•
|
operating and financial performance that vary from the expectations of management, securities analysts or investors;
|
•
|
developments in our business or in our business sectors generally;
|
•
|
regulatory changes affecting our industry generally or our business and operations;
|
•
|
the operating and stock price performance of companies that investors consider to be comparable to us;
|
•
|
announcements of strategic developments, acquisitions and other material events by us or our competitors;
|
•
|
our ability to integrate and operate the companies and the businesses that we acquire; and
|
•
|
changes in global financial markets and global economies and general market conditions, including volatility in foreign exchange rates, tariffs and stock, commodity, credit or asset valuations, and federal government actions or shutdowns.
|
Location
|
|
Property Type
|
|
Property Size
|
|
Owned/Leased
|
|
Expiration Date of Lease
(if applicable)
|
Broomfield, Colorado
|
|
Corporate and Sales Office
|
|
18,284 sq. ft.
|
|
Leased
|
|
September 1, 2029
|
Location
|
|
Property Type
|
|
Property Size
|
|
Owned/Leased
|
|
Expiration Date of Lease
(if applicable)
|
Troisdorf, Germany
|
|
Manufacturing and administration office
|
|
Manufacturing: 263,201 sq. ft.
Office: 2,033 sq. ft.
|
|
Leased
|
|
December 31, 2020, with renewal option for 5 years
|
Troisdorf, Germany
|
|
Office, Sieglarer Strasse
|
|
9,203 sq. ft.
|
|
Leased
|
|
February 29, 2020 with yearly renewal options
|
Liebenscheid, Germany
|
|
Manufacturing and office
|
|
91, 493 sq. ft.
|
|
Owned
|
|
|
Liebenscheid, Germany
|
|
Land
|
|
77,672 sq. ft.
|
|
Owned
|
|
|
Houston, Texas
|
|
Office
|
|
4,572 sq. ft.
|
|
Leased
|
|
April 30, 2023
|
Blum, Texas
|
|
Office, warehouse, and manufacturing
|
|
83,000 sq. ft.
|
|
Owned
|
|
|
Blum, Texas (a)
|
|
Warehouse
|
|
10,000 sq. ft.
|
|
Owned
|
|
|
Blum, Texas
|
|
Land for office, warehouse, and manufacturing
|
|
284 acres
|
|
Owned
|
|
|
Whitney, Texas
|
|
Office, warehouse, and manufacturing
|
|
36,000 sq. ft.
|
|
Owned
|
|
|
Location
|
|
Property Type
|
|
Property Size
|
|
Owned/Leased
|
|
Expiration Date of Lease
(if applicable)
|
Mt. Braddock, Pennsylvania (a)
|
|
Clad plate manufacturing and administration office
|
|
Land: 14 acres
Buildings: 101,300 sq. ft.
|
|
Owned
|
|
|
Dunbar, Pennsylvania
|
|
Clad plate shooting site
|
|
Land: 322 acres
Buildings: 15,960 sq. ft.
|
|
Leased
|
|
December 15, 2025, with renewal options through December 15, 2029
|
Cool Spring, Pennsylvania
|
|
Clad plate shooting site
|
|
1,200,000 sq. ft.
|
|
Leased
|
|
March 31, 2023, with renewal options through December 31, 2028
|
Tautavel, France (c)
|
|
Clad shooting site
|
|
109 acres
|
|
Owned
|
|
|
Dillenburg, Germany
|
|
Clad plate shooting site
|
|
11.4 acres
|
|
Owned
|
|
|
|
|
|
|
31,345 sq. ft.
|
|
Leased
|
|
August 31, 2021
|
Würgendorf, Germany (c)
|
|
Manufacturing
|
|
Land: 24.6 acres
|
|
Owned
|
|
|
|
|
|
|
Storehouse 174 and 265: 2,756 sq. ft.
|
|
Leased
|
|
December 31, 2020 with renewal options through December 31, 2025
|
|
|
|
|
Building: 34,251 sq. ft.
|
|
Owned
|
|
|
Liebenscheid, Germany
|
|
Manufacturing
|
|
Land: 10.47 acres
Buildings: 125,394 sq. ft.
|
|
Owned
|
|
|
|
|
Total number of shares purchased (1) (2)
|
|
Average price paid per share
|
|||
January 1 to March 31, 2019
|
|
15,784
|
|
|
$
|
45.02
|
|
April 1 to June 30, 2019
|
|
76,129
|
|
|
$
|
73.71
|
|
July 1 to September 30, 2019
|
|
2,511
|
|
|
$
|
49.38
|
|
October 1 to December 31, 2019
|
|
199
|
|
|
$
|
45.50
|
|
Total
|
|
94,623
|
|
|
$
|
68.22
|
|
Total Return Analysis
|
12/31/14
|
12/31/15
|
12/31/16
|
12/31/17
|
12/31/18
|
12/31/19
|
DMC Global Inc.
|
$100.00
|
$43.63
|
$98.94
|
$156.37
|
$219.23
|
$280.52
|
Nasdaq Non-Financial Stocks
|
$100.00
|
$109.75
|
$117.73
|
$156.58
|
$156.63
|
$218.44
|
Nasdaq Composite (U.S.)
|
$100.00
|
$100.48
|
$113.55
|
$137.83
|
$130.33
|
$170.96
|
|
|
(Dollars in Thousands, Except Per Share Data)
|
||||||||||||||||||
|
|
Year Ended December 31,
|
||||||||||||||||||
Statement of Operations
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
Net sales
|
|
$
|
397,550
|
|
|
$
|
326,429
|
|
|
$
|
192,803
|
|
|
$
|
158,575
|
|
|
$
|
166,918
|
|
Gross profit
|
|
144,923
|
|
|
110,695
|
|
|
59,391
|
|
|
38,680
|
|
|
35,624
|
|
|||||
Costs and expenses
|
|
66,995
|
|
|
64,157
|
|
|
49,784
|
|
|
42,752
|
|
|
43,776
|
|
|||||
Restructuring expenses
|
|
19,503
|
|
|
1,114
|
|
|
4,283
|
|
|
1,202
|
|
|
4,063
|
|
|||||
Anti-dumping duty penalty
|
|
—
|
|
|
8,000
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Goodwill impairment
|
|
—
|
|
|
—
|
|
|
17,584
|
|
|
—
|
|
|
11,464
|
|
|||||
Operating income (loss)
|
|
58,425
|
|
|
37,424
|
|
|
(12,260
|
)
|
|
(5,274
|
)
|
|
(23,679
|
)
|
|||||
Other expense, net
|
|
(1,723
|
)
|
|
(2,817
|
)
|
|
(3,024
|
)
|
|
(434
|
)
|
|
(2,410
|
)
|
|||||
Income (loss) before income taxes
|
|
56,702
|
|
|
34,607
|
|
|
(15,284
|
)
|
|
(5,708
|
)
|
|
(26,089
|
)
|
|||||
Income tax provision (benefit)
|
|
22,661
|
|
|
4,134
|
|
|
3,569
|
|
|
797
|
|
|
(2,118
|
)
|
|||||
Net income (loss)
|
|
$
|
34,041
|
|
|
$
|
30,473
|
|
|
$
|
(18,853
|
)
|
|
$
|
(6,505
|
)
|
|
$
|
(23,971
|
)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net income (loss) per share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Basic
|
|
$
|
2.29
|
|
|
$
|
2.05
|
|
|
$
|
(1.31
|
)
|
|
$
|
(0.46
|
)
|
|
$
|
(1.72
|
)
|
Diluted
|
|
$
|
2.28
|
|
|
$
|
2.04
|
|
|
$
|
(1.31
|
)
|
|
$
|
(0.46
|
)
|
|
$
|
(1.72
|
)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Dividends Declared per Common Share
|
|
$
|
0.29
|
|
|
$
|
0.08
|
|
|
$
|
0.08
|
|
|
$
|
0.08
|
|
|
$
|
0.14
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Financial Position
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total assets
|
|
$
|
277,421
|
|
|
$
|
240,418
|
|
|
$
|
173,083
|
|
|
$
|
162,555
|
|
|
$
|
182,192
|
|
Long-term debt, including current portion
|
|
$
|
14,272
|
|
|
$
|
41,355
|
|
|
$
|
17,984
|
|
|
$
|
15,732
|
|
|
$
|
26,826
|
|
•
|
DynaEnergetics' sales of $310,424 in 2019 increased 31% compared with 2018 due to higher well perforating activity in the U.S. shale, or onshore unconventional, oil and gas market and an increase in market demand for its intrinsically safe initiating systems (IS2™) and its family of DynaStageTM (DS) Factory-Assembled, Performance-Assured™ perforating systems. Sales volumes declined in the second half of 2019 compared to the first half of 2019 principally due to a sharp slowdown in well completion activity within North America’s onshore, unconventional oil and gas industry.
|
•
|
NobelClad’s sales of $87,126 in 2019 decreased 2% compared with 2018 primarily due to the impact of changes in exchange rates on Euro-denominated sales.
|
•
|
Consolidated gross profit of 36% in 2019 increased from 34% in 2018 due to a higher proportion of net sales in DynaEnergetics relative to NobelClad, the benefit of manufacturing efficiencies in DynaEnergetics, improved project mix in NobelClad and the favorable impact of higher sales volume on fixed manufacturing overhead expenses.
|
•
|
Restructuring expenses of $19,503 in 2019 related to cumulative foreign currency translation losses, asset impairments, and severance liabilities in connection with the closure and substantial liquidation of DynaEnergetics' operations in Tyumen, Siberia. We also incurred severance, equipment moving expenses and contract termination costs, partially offset by a gain on assets sold in connection with the prior year closure of NobelClad’s manufacturing operations in France.
|
•
|
Consolidated selling, general, and administrative expenses were $65,451 in 2019 compared with $61,213 in 2018. The increase primarily was due to headcount additions and merit raises, higher stock-based compensation, and increased costs for outside services, including expenses related to an enterprise resource planning ("ERP") upgrade in DynaEnergetics as well as development and improvement of sales-related software.
|
•
|
Net cash of $6,081 (comprised of $20,353 in cash net of $14,272 of total debt) was an improvement from $27,980 of net debt at December 31, 2018. Net cash, a non-GAAP measure, is calculated as cash and cash equivalents less total debt.
|
•
|
Changes in global economic conditions;
|
•
|
The ability to obtain new contracts at attractive prices;
|
•
|
The size and timing of customer orders and shipments;
|
•
|
Product pricing and margins;
|
•
|
Our ability to realize sales from our backlog and our ability to adjust our manufacturing and supply chain;
|
•
|
Fluctuations in customer demand;
|
•
|
Our ability to manage periods of growth and contraction effectively;
|
•
|
General economic conditions, both domestic and foreign, impacting our business and the business of the end-market users we serve;
|
•
|
Competitive factors;
|
•
|
The timely completion of contracts;
|
•
|
The timing and size of expenditures;
|
•
|
The timely receipt of government approvals and permits;
|
•
|
The price and availability of metal and other raw materials;
|
•
|
The adequacy of local labor supplies at our facilities;
|
•
|
Current or future limits on manufacturing capacity at our various operations;
|
•
|
Our ability to successfully integrate acquired businesses;
|
•
|
The ability to remain an innovative leader in our fields of business;
|
•
|
The impacts of pending or future litigation or regulatory matters;
|
•
|
The application of governmental regulation and oversight of our operations and products and the industries in which our customers operate;
|
•
|
The impacts of trade and economic sanctions or other restrictions imposed by the European Union, the United States or other countries;
|
•
|
Costs and risks associated with compliance with the United States Foreign Corrupt Practices Act (“FCPA”) and similar legislation;
|
•
|
The availability and cost of funds; and
|
•
|
Fluctuations in foreign currencies.
|
|
|
2019
|
|
2018
|
|
$ change
|
|
% change
|
|||||||
Net sales
|
|
$
|
397,550
|
|
|
$
|
326,429
|
|
|
$
|
71,121
|
|
|
22
|
%
|
Gross profit
|
|
144,923
|
|
|
110,695
|
|
|
34,228
|
|
|
31
|
%
|
|||
Gross profit percentage
|
|
36.5
|
%
|
|
33.9
|
%
|
|
|
|
|
|||||
COSTS AND EXPENSES:
|
|
|
|
|
|
|
|
|
|||||||
General and administrative expenses
|
|
37,976
|
|
|
38,452
|
|
|
(476
|
)
|
|
(1
|
)%
|
|||
% of net sales
|
|
9.6
|
%
|
|
11.8
|
%
|
|
|
|
|
|||||
Selling and distribution expenses
|
|
27,475
|
|
|
22,761
|
|
|
4,714
|
|
|
21
|
%
|
|||
% of net sales
|
|
6.9
|
%
|
|
7.0
|
%
|
|
|
|
|
|||||
Amortization of purchased intangible assets
|
|
1,544
|
|
|
2,944
|
|
|
(1,400
|
)
|
|
(48
|
)%
|
|||
% of net sales
|
|
0.4
|
%
|
|
0.9
|
%
|
|
|
|
|
|||||
Restructuring expenses
|
|
19,503
|
|
|
1,114
|
|
|
18,389
|
|
|
1,651
|
%
|
|||
Anti-dumping duty penalties
|
|
—
|
|
|
8,000
|
|
|
(8,000
|
)
|
|
(100
|
)%
|
|||
Operating income
|
|
58,425
|
|
|
37,424
|
|
|
21,001
|
|
|
56
|
%
|
|||
Other expense, net
|
|
(169
|
)
|
|
(1,202
|
)
|
|
1,033
|
|
|
86
|
%
|
|||
Interest expense, net
|
|
(1,554
|
)
|
|
(1,615
|
)
|
|
61
|
|
|
4
|
%
|
|||
Income tax provision
|
|
22,661
|
|
|
4,134
|
|
|
18,527
|
|
|
448
|
%
|
|||
Net income
|
|
34,041
|
|
|
30,473
|
|
|
3,568
|
|
|
12
|
%
|
|||
Adjusted EBITDA
|
|
$
|
93,753
|
|
|
$
|
59,638
|
|
|
$
|
34,115
|
|
|
57
|
%
|
|
|
2019
|
|
2018
|
||||
Net income
|
|
$
|
34,041
|
|
|
$
|
30,473
|
|
Interest expense, net
|
|
1,554
|
|
|
1,615
|
|
||
Provision for income taxes
|
|
22,661
|
|
|
4,134
|
|
||
Depreciation
|
|
8,316
|
|
|
6,576
|
|
||
Amortization of purchased intangible assets
|
|
1,544
|
|
|
2,944
|
|
||
EBITDA
|
|
68,116
|
|
|
45,742
|
|
||
Restructuring expenses, net and asset impairments
|
|
19,503
|
|
|
1,114
|
|
||
Restructuring related inventory write down
|
|
630
|
|
|
—
|
|
||
Restructuring related accounts receivable write off
|
|
131
|
|
|
—
|
|
||
Anti-dumping duty penalties
|
|
—
|
|
|
8,000
|
|
||
Stock-based compensation
|
|
5,204
|
|
|
3,580
|
|
||
Other expense, net
|
|
169
|
|
|
1,202
|
|
||
Adjusted EBITDA
|
|
$
|
93,753
|
|
|
$
|
59,638
|
|
|
|
2019
|
||||||||||
|
|
DynaEnergetics
|
|
NobelClad
|
|
DMC Global Inc.
|
||||||
Net Sales
|
|
$
|
310,424
|
|
|
$
|
87,126
|
|
|
$
|
397,550
|
|
% of Consolidated
|
|
78
|
%
|
|
22
|
%
|
|
|
||||
|
|
|
|
|
|
|
||||||
Operating income
|
|
68,781
|
|
|
7,193
|
|
|
58,425
|
|
|||
|
|
|
|
|
|
|
||||||
Adjusted EBITDA
|
|
94,541
|
|
|
11,118
|
|
|
93,753
|
|
|
|
2018
|
||||||||||
|
|
DynaEnergetics
|
|
NobelClad
|
|
DMC Global Inc.
|
||||||
Net Sales
|
|
$
|
237,448
|
|
|
$
|
88,981
|
|
|
$
|
326,429
|
|
% of Consolidated
|
|
73
|
%
|
|
27
|
%
|
|
|
||||
|
|
|
|
|
|
|
||||||
Operating income
|
|
44,476
|
|
|
6,499
|
|
|
37,424
|
|
|||
|
|
|
|
|
|
|
||||||
Adjusted EBITDA
|
|
58,784
|
|
|
10,825
|
|
|
59,638
|
|
|
|
2019
|
|
2018
|
|
$ change
|
|
% change
|
|||||||
Net sales
|
|
$
|
310,424
|
|
|
$
|
237,448
|
|
|
$
|
72,976
|
|
|
31
|
%
|
Gross profit
|
|
122,703
|
|
|
90,623
|
|
|
32,080
|
|
|
35
|
%
|
|||
Gross profit percentage
|
|
39.5
|
%
|
|
38.2
|
%
|
|
|
|
|
|||||
COSTS AND EXPENSES:
|
|
|
|
|
|
|
|
|
|||||||
General and administrative expenses
|
|
16,876
|
|
|
21,097
|
|
|
(4,221
|
)
|
|
(20
|
%)
|
|||
Selling and distribution expenses
|
|
17,260
|
|
|
14,509
|
|
|
2,751
|
|
|
19
|
%
|
|||
Amortization of purchased intangible assets
|
|
1,162
|
|
|
2,541
|
|
|
(1,379
|
)
|
|
(54
|
)%
|
|||
Restructuring expenses, net and asset impairments
|
|
18,624
|
|
|
—
|
|
|
18,624
|
|
|
N/M
|
|
|||
Anti-dumping duty penalties
|
|
—
|
|
|
8,000
|
|
|
(8,000
|
)
|
|
(100
|
)%
|
|||
Operating income
|
|
68,781
|
|
|
44,476
|
|
|
24,305
|
|
|
55
|
%
|
|||
Adjusted EBITDA
|
|
$
|
94,541
|
|
|
$
|
58,784
|
|
|
$
|
35,757
|
|
|
61
|
%
|
|
|
2019
|
|
2018
|
||||
Operating income
|
|
$
|
68,781
|
|
|
$
|
44,476
|
|
Adjustments:
|
|
|
|
|
||||
Restructuring expenses, net and asset impairments
|
|
18,624
|
|
|
—
|
|
||
Restructuring related inventory write down
|
|
630
|
|
|
—
|
|
||
Restructuring related accounts receivable write off
|
|
131
|
|
|
—
|
|
||
Anti-dumping duty penalties
|
|
—
|
|
|
8,000
|
|
||
Depreciation
|
|
5,213
|
|
|
3,767
|
|
||
Amortization of purchased intangible assets
|
|
1,162
|
|
|
2,541
|
|
||
Adjusted EBITDA
|
|
$
|
94,541
|
|
|
$
|
58,784
|
|
|
|
2019
|
|
2018
|
|
$ change
|
|
% change
|
|||||||
Net sales
|
|
$
|
87,126
|
|
|
$
|
88,981
|
|
|
$
|
(1,855
|
)
|
|
-2
|
%
|
Gross profit
|
|
22,840
|
|
|
20,414
|
|
|
2,426
|
|
|
12
|
%
|
|||
Gross profit percentage
|
|
26.2
|
%
|
|
22.9
|
%
|
|
|
|
|
|||||
COSTS AND EXPENSES:
|
|
|
|
|
|
|
|
|
|||||||
General and administrative expenses
|
|
4,703
|
|
|
4,522
|
|
|
181
|
|
|
4
|
%
|
|||
Selling and distribution expenses
|
|
9,683
|
|
|
7,876
|
|
|
1,807
|
|
|
23
|
%
|
|||
Amortization of purchased intangible assets
|
|
382
|
|
|
403
|
|
|
(21
|
)
|
|
-5
|
%
|
|||
Restructuring expenses, net and asset impairments
|
|
879
|
|
|
1,114
|
|
|
(235
|
)
|
|
-21
|
%
|
|||
Operating income
|
|
7,193
|
|
|
6,499
|
|
|
694
|
|
|
11
|
%
|
|||
Adjusted EBITDA
|
|
$
|
11,118
|
|
|
$
|
10,825
|
|
|
$
|
293
|
|
|
3
|
%
|
|
|
2019
|
|
2018
|
||||
Operating income
|
|
$
|
7,193
|
|
|
$
|
6,499
|
|
Adjustments:
|
|
|
|
|
||||
Restructuring expenses
|
|
879
|
|
|
1,114
|
|
||
Depreciation
|
|
2,664
|
|
|
2,809
|
|
||
Amortization of purchased intangible assets
|
|
382
|
|
|
403
|
|
||
Adjusted EBITDA
|
|
$
|
11,118
|
|
|
$
|
10,825
|
|
|
|
Payment Due by Period
|
||||||||||||||||||
|
|
As of December 31, 2019
|
||||||||||||||||||
|
|
Less than
|
|
|
|
|
|
More than
|
|
|
||||||||||
Other Contractual Obligations
|
|
1 Year
|
|
1-3 Years
|
|
3-5 Years
|
|
5 Years
|
|
Total
|
||||||||||
Credit facility (1)
|
|
$
|
3,125
|
|
|
$
|
11,750
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
14,875
|
|
Operating lease obligations (2)
|
|
1,716
|
|
|
3,419
|
|
|
2,696
|
|
|
6,866
|
|
|
14,697
|
|
|||||
Purchase obligations (3)
|
|
12,558
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
12,558
|
|
|||||
Total
|
|
$
|
17,399
|
|
|
$
|
15,169
|
|
|
$
|
2,696
|
|
|
$
|
6,866
|
|
|
$
|
42,130
|
|
|
Page
|
Financial Statements:
|
|
|
/s/ Ernst & Young LLP
|
|
|
We have served as the Company’s auditor since 2002.
|
|
|
|
Denver, Colorado
|
|
February 24, 2020
|
|
As of December 31,
|
||||||
|
2019
|
|
2018
|
||||
ASSETS
|
|
|
|
|
|
||
Current assets:
|
|
|
|
|
|
||
Cash and cash equivalents
|
$
|
20,353
|
|
|
$
|
13,375
|
|
Accounts receivable, net of allowance for doubtful accounts of $967 and $513, respectively
|
60,855
|
|
|
59,709
|
|
||
Inventories
|
53,728
|
|
|
51,074
|
|
||
Prepaid expenses and other
|
9,417
|
|
|
8,058
|
|
||
Total current assets
|
144,353
|
|
|
132,216
|
|
||
Property, plant and equipment
|
174,741
|
|
|
160,725
|
|
||
Less - accumulated depreciation
|
(66,507
|
)
|
|
(65,585
|
)
|
||
Property, plant and equipment, net
|
108,234
|
|
|
95,140
|
|
||
Purchased intangible assets, net
|
5,880
|
|
|
8,589
|
|
||
Deferred tax assets
|
3,836
|
|
|
4,001
|
|
||
Other assets
|
15,118
|
|
|
472
|
|
||
Total assets
|
$
|
277,421
|
|
|
$
|
240,418
|
|
|
|
|
|
||||
LIABILITIES AND STOCKHOLDERS' EQUITY
|
|
|
|
||||
Current liabilities:
|
|
|
|
||||
Accounts payable
|
$
|
34,758
|
|
|
$
|
24,243
|
|
Accrued expenses
|
6,903
|
|
|
8,967
|
|
||
Accrued anti-dumping penalties
|
—
|
|
|
8,000
|
|
||
Dividend payable
|
1,866
|
|
|
295
|
|
||
Accrued income taxes
|
9,651
|
|
|
9,545
|
|
||
Accrued employee compensation and benefits
|
10,668
|
|
|
9,250
|
|
||
Contract liabilities
|
2,736
|
|
|
1,140
|
|
||
Current portion of long-term debt
|
3,125
|
|
|
3,125
|
|
||
Other current liabilities
|
1,716
|
|
|
—
|
|
||
Total current liabilities
|
71,423
|
|
|
64,565
|
|
||
Long-term debt
|
11,147
|
|
|
38,230
|
|
||
Deferred tax liabilities
|
3,786
|
|
|
379
|
|
||
Other long-term liabilities
|
18,924
|
|
|
2,958
|
|
||
Total liabilities
|
105,280
|
|
|
106,132
|
|
||
Commitments and Contingencies (Note 8)
|
|
|
|
|
|
||
Stockholders' Equity:
|
|
|
|
||||
Preferred stock, $0.05 par value; 4,000,000 shares authorized; no issued and outstanding shares
|
—
|
|
|
—
|
|
||
Common stock, $0.05 par value; 25,000,000 shares authorized; 14,652,675 and 14,905,776 shares outstanding, respectively
|
756
|
|
|
749
|
|
||
Additional paid-in capital
|
85,639
|
|
|
80,077
|
|
||
Retained earnings
|
119,002
|
|
|
89,291
|
|
||
Other cumulative comprehensive loss
|
(25,803
|
)
|
|
(35,014
|
)
|
||
Treasury stock, at cost, and company stock held for deferred compensation, at par; 464,532 and 82,186 shares, respectively
|
(7,453
|
)
|
|
(817
|
)
|
||
Total stockholders' equity
|
172,141
|
|
|
134,286
|
|
||
Total liabilities and stockholders' equity
|
277,421
|
|
|
240,418
|
|
|
Year Ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
Net sales
|
$
|
397,550
|
|
|
$
|
326,429
|
|
|
$
|
192,803
|
|
Cost of products sold
|
252,627
|
|
|
215,734
|
|
|
133,412
|
|
|||
Gross profit
|
144,923
|
|
|
110,695
|
|
|
59,391
|
|
|||
Costs and expenses:
|
|
|
|
|
|
|
|
||||
General and administrative expenses
|
37,976
|
|
|
38,452
|
|
|
27,135
|
|
|||
Selling and distribution expenses
|
27,475
|
|
|
22,761
|
|
|
18,589
|
|
|||
Amortization of purchased intangible assets
|
1,544
|
|
|
2,944
|
|
|
4,060
|
|
|||
Restructuring expenses, net and asset impairments
|
19,503
|
|
|
1,114
|
|
|
4,283
|
|
|||
Anti-dumping duty penalties
|
—
|
|
|
8,000
|
|
|
—
|
|
|||
Goodwill impairment charge
|
—
|
|
|
—
|
|
|
17,584
|
|
|||
Total costs and expenses
|
86,498
|
|
|
73,271
|
|
|
71,651
|
|
|||
Operating income (loss)
|
58,425
|
|
|
37,424
|
|
|
(12,260
|
)
|
|||
Other expense:
|
|
|
|
|
|
|
|
||||
Other expense, net
|
(169
|
)
|
|
(1,202
|
)
|
|
(1,376
|
)
|
|||
Interest expense, net
|
(1,554
|
)
|
|
(1,615
|
)
|
|
(1,648
|
)
|
|||
Income (loss) before income taxes
|
56,702
|
|
|
34,607
|
|
|
(15,284
|
)
|
|||
Income tax provision
|
22,661
|
|
|
4,134
|
|
|
3,569
|
|
|||
Net income (loss)
|
34,041
|
|
|
30,473
|
|
|
(18,853
|
)
|
|||
|
|
|
|
|
|
||||||
Net income (loss) per share:
|
|
|
|
|
|
|
|
||||
Basic
|
$
|
2.29
|
|
|
$
|
2.05
|
|
|
$
|
(1.31
|
)
|
Diluted
|
$
|
2.28
|
|
|
$
|
2.04
|
|
|
$
|
(1.31
|
)
|
Weighted-average shares outstanding:
|
|
|
|
|
|
|
|
||||
Basic
|
14,579,608
|
|
|
14,529,745
|
|
|
14,346,851
|
|
|||
Diluted
|
14,655,350
|
|
|
14,620,635
|
|
|
14,346,851
|
|
|||
|
|
|
|
|
|
||||||
Dividends declared per common share
|
$
|
0.29
|
|
|
$
|
0.08
|
|
|
$
|
0.08
|
|
|
Year Ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
Net income (loss)
|
$
|
34,041
|
|
|
$
|
30,473
|
|
|
$
|
(18,853
|
)
|
|
|
|
|
|
|
||||||
Change in cumulative foreign currency translation adjustment
|
(1,209
|
)
|
|
(4,195
|
)
|
|
10,695
|
|
|||
Reclassification of DynaEnergetics Siberia cumulative translation loss to Statement of Operations upon substantial liquidation
|
10,420
|
|
|
—
|
|
|
—
|
|
|||
|
|
|
|
|
|
||||||
Total comprehensive income (loss)
|
$
|
43,252
|
|
|
$
|
26,278
|
|
|
$
|
(8,158
|
)
|
|
|
|
|
|
|
|
|
|
Other
|
|
Treasury Stock, at cost, and
|
|
|
||||||||||||||||
|
|
|
|
|
Additional
|
|
|
|
Cumulative
|
|
Company Stock Held for
|
|
|
||||||||||||||||
|
Common Stock
|
|
Paid-In
|
|
Retained
|
|
Comprehensive
|
|
Deferred Compensation, at par
|
|
|
||||||||||||||||||
|
Shares
|
|
Amount
|
|
Capital
|
|
Earnings
|
|
Loss
|
|
Shares
|
|
Amount
|
|
Total
|
||||||||||||||
Balances, December 31, 2016
|
14,498,737
|
|
|
$
|
725
|
|
|
$
|
73,116
|
|
|
$
|
80,107
|
|
|
$
|
(41,514
|
)
|
|
(2,378
|
)
|
|
$
|
(25
|
)
|
|
$
|
112,409
|
|
Net loss
|
—
|
|
|
—
|
|
|
—
|
|
|
(18,853
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(18,853
|
)
|
||||||
Change in cumulative foreign currency translation adjustment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
10,695
|
|
|
—
|
|
|
—
|
|
|
10,695
|
|
||||||
Shares issued in connection with stock compensation plans
|
323,064
|
|
|
16
|
|
|
280
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
296
|
|
||||||
Stock-based compensation
|
—
|
|
|
—
|
|
|
2,750
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,750
|
|
||||||
Dividends declared
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,180
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,180
|
)
|
||||||
Treasury stock purchases
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(37,405
|
)
|
|
(337
|
)
|
|
(337
|
)
|
||||||
Balances, December 31, 2017
|
14,821,801
|
|
|
$
|
741
|
|
|
$
|
76,146
|
|
|
$
|
60,074
|
|
|
$
|
(30,819
|
)
|
|
(39,783
|
)
|
|
$
|
(362
|
)
|
|
$
|
105,780
|
|
Net income
|
—
|
|
|
—
|
|
|
—
|
|
|
30,473
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
30,473
|
|
||||||
Change in cumulative foreign currency translation adjustment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(4,195
|
)
|
|
—
|
|
|
—
|
|
|
(4,195
|
)
|
||||||
Shares issued in connection with stock compensation plans
|
166,161
|
|
|
8
|
|
|
434
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
442
|
|
||||||
Adjustment for cumulative effect from change in accounting principle (ASU 2016-16)
|
—
|
|
|
—
|
|
|
—
|
|
|
(65
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(65
|
)
|
||||||
Stock-based compensation
|
—
|
|
|
—
|
|
|
3,497
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,497
|
|
||||||
Dividends declared
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,191
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,191
|
)
|
||||||
Treasury stock purchases
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(42,403
|
)
|
|
(455
|
)
|
|
(455
|
)
|
||||||
Balances, December 31, 2018
|
14,987,962
|
|
|
$
|
749
|
|
|
$
|
80,077
|
|
|
$
|
89,291
|
|
|
$
|
(35,014
|
)
|
|
(82,186
|
)
|
|
$
|
(817
|
)
|
|
$
|
134,286
|
|
Net income
|
—
|
|
|
—
|
|
|
—
|
|
|
34,041
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
34,041
|
|
||||||
Change in cumulative foreign currency translation adjustment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,209
|
)
|
|
—
|
|
|
—
|
|
|
(1,209
|
)
|
||||||
Reclassification of DynaEnergetics Siberia cumulative translation loss to Statement of Operations upon substantial liquidation
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
10,420
|
|
|
—
|
|
|
—
|
|
|
10,420
|
|
||||||
Shares issued in connection with stock compensation plans
|
129,245
|
|
|
7
|
|
|
550
|
|
|
—
|
|
|
—
|
|
|
7,502
|
|
|
—
|
|
|
557
|
|
||||||
Stock-based compensation
|
—
|
|
|
—
|
|
|
5,012
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,012
|
|
||||||
Dividends declared
|
—
|
|
|
—
|
|
|
—
|
|
|
(4,330
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(4,330
|
)
|
||||||
Treasury stock activity
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(389,848
|
)
|
|
(6,636
|
)
|
|
(6,636
|
)
|
||||||
Balances, December 31, 2019
|
15,117,207
|
|
|
$
|
756
|
|
|
$
|
85,639
|
|
|
$
|
119,002
|
|
|
$
|
(25,803
|
)
|
|
(464,532
|
)
|
|
$
|
(7,453
|
)
|
|
$
|
172,141
|
|
|
Year Ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
Cash flows provided by operating activities:
|
|
|
|
|
|
|
|
||||
Net income (loss)
|
$
|
34,041
|
|
|
$
|
30,473
|
|
|
$
|
(18,853
|
)
|
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
|
|
|
|
|
|
|
|
|
|||
Depreciation
|
8,316
|
|
|
6,576
|
|
|
6,506
|
|
|||
Amortization of purchased intangible assets
|
1,544
|
|
|
2,944
|
|
|
4,060
|
|
|||
Amortization and write-off of deferred debt issuance costs
|
178
|
|
|
314
|
|
|
390
|
|
|||
Stock-based compensation
|
5,204
|
|
|
3,580
|
|
|
2,975
|
|
|||
Deferred income tax benefit
|
4,289
|
|
|
(3,653
|
)
|
|
(556
|
)
|
|||
Loss on disposal of property, plant and equipment
|
530
|
|
|
78
|
|
|
125
|
|
|||
Restructuring and asset impairment expenses
|
19,503
|
|
|
1,114
|
|
|
4,283
|
|
|||
Goodwill impairment charge
|
—
|
|
|
—
|
|
|
17,584
|
|
|||
Transition tax liability
|
—
|
|
|
(679
|
)
|
|
946
|
|
|||
Change in:
|
|
|
|
|
|
|
|
||||
Accounts receivable, net
|
(1,221
|
)
|
|
(11,409
|
)
|
|
(14,425
|
)
|
|||
Inventories
|
(2,671
|
)
|
|
(16,610
|
)
|
|
(5,294
|
)
|
|||
Prepaid expenses and other
|
(5,724
|
)
|
|
491
|
|
|
(440
|
)
|
|||
Accounts payable
|
10,145
|
|
|
2,197
|
|
|
5,216
|
|
|||
Contract liabilities
|
1,603
|
|
|
(4,721
|
)
|
|
3,207
|
|
|||
Accrued anti-dumping duties and penalties
|
(8,000
|
)
|
|
4,391
|
|
|
(2,941
|
)
|
|||
Accrued expenses and other liabilities
|
(3,143
|
)
|
|
12,552
|
|
|
3,964
|
|
|||
Net cash provided by operating activities
|
64,594
|
|
|
27,638
|
|
|
6,747
|
|
|||
Cash flows used in investing activities:
|
|
|
|
|
|
|
|
||||
Acquisition of property, plant and equipment
|
(27,210
|
)
|
|
(45,095
|
)
|
|
(6,186
|
)
|
|||
Proceeds on sale of property, plant and equipment
|
1,263
|
|
|
—
|
|
|
2
|
|
|||
Net cash used in investing activities
|
(25,947
|
)
|
|
(45,095
|
)
|
|
(6,184
|
)
|
|||
Cash flows provided by (used in) financing activities:
|
|
|
|
|
|
||||||
(Payments) borrowings on revolving loans, net
|
(17,129
|
)
|
|
(1,628
|
)
|
|
2,000
|
|
|||
(Payments) borrowings on capital expenditure facility
|
(10,125
|
)
|
|
25,000
|
|
|
—
|
|
|||
Payment of dividends
|
(2,762
|
)
|
|
(1,189
|
)
|
|
(1,174
|
)
|
|||
Payment of deferred debt issuance costs
|
—
|
|
|
(314
|
)
|
|
(138
|
)
|
|||
Net proceeds from issuance of common stock to employees and directors
|
557
|
|
|
442
|
|
|
296
|
|
|||
Treasury stock purchases
|
(1,103
|
)
|
|
(453
|
)
|
|
(337
|
)
|
|||
Net cash provided by (used in) financing activities
|
(30,562
|
)
|
|
21,858
|
|
|
647
|
|
|||
|
|
|
|
|
|
||||||
Effects of exchange rates on cash
|
(1,107
|
)
|
|
(9
|
)
|
|
1,354
|
|
|||
|
|
|
|
|
|
||||||
Net increase in cash and cash equivalents
|
6,978
|
|
|
4,392
|
|
|
2,564
|
|
|||
Cash and cash equivalents, beginning of the period
|
13,375
|
|
|
8,983
|
|
|
6,419
|
|
|||
Cash and cash equivalents, end of the period
|
20,353
|
|
|
13,375
|
|
|
8,983
|
|
Supplemental disclosure of cash flow information:
|
|
|
|
|
|
||||||
Non-cash lease liabilities arising from obtaining right-of-use assets
|
$
|
8,821
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Cash paid during the period for -
|
|
|
|
|
|
||||||
Interest
|
$
|
1,445
|
|
|
$
|
1,383
|
|
|
$
|
1,150
|
|
Income taxes, net
|
$
|
20,995
|
|
|
$
|
1,284
|
|
|
$
|
124
|
|
|
2019
|
|
2018
|
||||
Raw materials
|
$
|
26,173
|
|
|
$
|
26,544
|
|
Work-in-process
|
12,194
|
|
|
7,157
|
|
||
Finished goods
|
15,045
|
|
|
16,904
|
|
||
Supplies
|
316
|
|
|
469
|
|
||
|
$
|
53,728
|
|
|
$
|
51,074
|
|
Buildings and improvements
|
15-30 years
|
Manufacturing equipment and tooling
|
3-15 years
|
Furniture, fixtures, and computer equipment
|
3-10 years
|
Other
|
3-10 years
|
|
2019
|
|
2018
|
||||
Land
|
$
|
3,551
|
|
|
$
|
3,794
|
|
Buildings and improvements
|
58,069
|
|
|
58,045
|
|
||
Manufacturing equipment and tooling
|
72,081
|
|
|
51,955
|
|
||
Furniture, fixtures and computer equipment
|
21,683
|
|
|
21,061
|
|
||
Other
|
6,041
|
|
|
5,762
|
|
||
Construction in process
|
13,316
|
|
|
20,108
|
|
||
|
$
|
174,741
|
|
|
$
|
160,725
|
|
Core technology
|
8 years
|
Customer relationships
|
4 months
|
|
Gross
|
|
Accumulated
Amortization
|
|
Net
|
||||||
Core technology
|
$
|
17,717
|
|
|
$
|
(11,837
|
)
|
|
$
|
5,880
|
|
Customer relationships
|
35,091
|
|
|
(35,091
|
)
|
|
—
|
|
|||
Trademarks / Trade names
|
1,988
|
|
|
(1,988
|
)
|
|
—
|
|
|||
Total intangible assets
|
$
|
54,796
|
|
|
$
|
(48,916
|
)
|
|
$
|
5,880
|
|
|
Gross
|
|
Accumulated
Amortization
|
|
Net
|
||||||
Core technology
|
$
|
18,916
|
|
|
$
|
(10,866
|
)
|
|
$
|
8,050
|
|
Customer relationships
|
37,122
|
|
|
(36,583
|
)
|
|
539
|
|
|||
Trademarks / Trade names
|
2,031
|
|
|
(2,031
|
)
|
|
—
|
|
|||
Total intangible assets
|
$
|
58,069
|
|
|
$
|
(49,480
|
)
|
|
$
|
8,589
|
|
|
December 31, 2019
|
|
Weighted average remaining lease term (in years)
|
8.97
|
|
Weighted average discount rate
|
5.2
|
%
|
Due within 1 year
|
$
|
1,716
|
|
Due after 1 year through 2 years
|
1,846
|
|
|
Due after 2 years through 3 years
|
1,573
|
|
|
Due after 3 years through 4 years
|
1,428
|
|
|
Due after 4 years through 5 years
|
1,268
|
|
|
Thereafter
|
6,866
|
|
|
Total future minimum lease payments
|
14,697
|
|
|
Less imputed interest
|
(3,204
|
)
|
|
Total
|
$
|
11,493
|
|
|
2019
|
|
2018
|
||||
NobelClad
|
$
|
1,427
|
|
|
$
|
922
|
|
DynaEnergetics
|
1,309
|
|
|
218
|
|
||
Total
|
$
|
2,736
|
|
|
$
|
1,140
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
DynaEnergetics research and development costs
|
$
|
7,057
|
|
|
$
|
5,932
|
|
|
$
|
4,335
|
|
NobelClad research and development costs
|
1,393
|
|
|
1,278
|
|
|
833
|
|
|||
Total research and development costs
|
$
|
8,450
|
|
|
$
|
7,210
|
|
|
$
|
5,168
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
Net income (loss) as reported
|
$
|
34,041
|
|
|
$
|
30,473
|
|
|
$
|
(18,853
|
)
|
Less: Distributed net income available to participating securities
|
(85
|
)
|
|
(27
|
)
|
|
—
|
|
|||
Less: Undistributed net income available to participating securities
|
(582
|
)
|
|
(666
|
)
|
|
—
|
|
|||
Numerator for basic net income per share:
|
33,374
|
|
|
29,780
|
|
|
(18,853
|
)
|
|||
Add: Undistributed net income allocated to participating securities
|
582
|
|
|
666
|
|
|
—
|
|
|||
Less: Undistributed net income reallocated to participating securities
|
(579
|
)
|
|
(662
|
)
|
|
—
|
|
|||
Numerator for diluted net income per share:
|
33,377
|
|
|
29,784
|
|
|
(18,853
|
)
|
|||
Denominator:
|
|
|
|
|
|
||||||
Weighted average shares outstanding for basic net income per share
|
14,579,608
|
|
|
14,529,745
|
|
|
14,346,851
|
|
|||
Effect of dilutive securities
|
75,742
|
|
|
90,890
|
|
|
—
|
|
|||
Weighted average shares outstanding for diluted net income per share
|
14,655,350
|
|
|
14,620,635
|
|
|
14,346,851
|
|
|||
Net income (loss) per share:
|
|
|
|
|
|
||||||
Basic
|
$
|
2.29
|
|
|
$
|
2.05
|
|
|
$
|
(1.31
|
)
|
Diluted
|
$
|
2.28
|
|
|
$
|
2.04
|
|
|
$
|
(1.31
|
)
|
|
2019
|
|
2018
|
||||
Syndicated credit agreement:
|
|
|
|
|
|
||
U.S. Dollar revolving loan
|
$
|
—
|
|
|
$
|
17,128
|
|
Capital expenditure facility
|
14,875
|
|
|
25,000
|
|
||
Outstanding borrowings
|
14,875
|
|
|
42,128
|
|
||
Less: debt issuance costs
|
(603
|
)
|
|
(773
|
)
|
||
Total debt
|
14,272
|
|
|
41,355
|
|
||
Less: current portion of long-term debt
|
(3,125
|
)
|
|
(3,125
|
)
|
||
Long-term debt
|
$
|
11,147
|
|
|
$
|
38,230
|
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
Cost of products sold
|
|
$
|
620
|
|
|
$
|
342
|
|
|
$
|
282
|
|
General and administrative expenses
|
|
4,052
|
|
|
2,862
|
|
|
2,337
|
|
|||
Selling and distribution expenses
|
|
532
|
|
|
376
|
|
|
356
|
|
|||
Stock-based compensation expense, net of income taxes
|
|
5,204
|
|
|
3,580
|
|
|
2,975
|
|
|||
|
|
|
|
|
|
|
||||||
Earnings per share impact
|
|
|
|
|
|
|
|
|
|
|||
Basic
|
|
$
|
0.36
|
|
|
$
|
0.25
|
|
|
$
|
0.21
|
|
Diluted
|
|
$
|
0.36
|
|
|
$
|
0.24
|
|
|
$
|
0.21
|
|
|
|
Shares
|
|
Weighted Average
Grant Date
Fair Value
|
|||
Balance at December 31, 2017
|
|
256,068
|
|
|
$
|
15.31
|
|
Granted
|
|
102,817
|
|
|
25.11
|
|
|
Vested
|
|
(63,288
|
)
|
|
14.89
|
|
|
Forfeited
|
|
(5,666
|
)
|
|
19.26
|
|
|
Balance at December 31, 2018
|
|
289,931
|
|
|
$
|
18.81
|
|
Granted
|
|
75,531
|
|
|
48.74
|
|
|
Vested
|
|
(71,317
|
)
|
|
24.67
|
|
|
Forfeited
|
|
(2,665
|
)
|
|
18.65
|
|
|
Balance at December 31, 2019
|
|
291,480
|
|
|
$
|
25.12
|
|
|
|
Shares
|
|
Weighted Average
Grant Date
Fair Value
|
|||
Balance at December 31, 2017
|
|
153,030
|
|
|
$
|
15.14
|
|
Vested
|
|
(71,223
|
)
|
|
10.03
|
|
|
Forfeited
|
|
(18,772
|
)
|
|
8.40
|
|
|
Balance at December 31, 2018
|
|
63,035
|
|
|
$
|
22.91
|
|
Vested
|
|
(62,537
|
)
|
|
8.65
|
|
|
Forfeited
|
|
(498
|
)
|
|
6.22
|
|
|
Balance at December 31, 2019
|
|
—
|
|
|
$
|
—
|
|
|
|
Shares
|
|
Weighted Average
Grant Date
Fair Value
|
|||
Balance at December 31, 2017
|
|
72,500
|
|
|
$
|
15.62
|
|
Granted
|
|
36,000
|
|
|
21.88
|
|
|
Vested
|
|
(13,175
|
)
|
|
15.61
|
|
|
Balance at December 31, 2018
|
|
95,325
|
|
|
$
|
17.99
|
|
Granted
|
|
25,576
|
|
|
45.97
|
|
|
Vested
|
|
(28,843
|
)
|
|
18.16
|
|
|
Forfeited
|
|
(4,999
|
)
|
|
19.67
|
|
|
Balance at December 31, 2019
|
|
87,059
|
|
|
$
|
26.05
|
|
|
|
Share
Units
|
|
Weighted Average
Grant Date
Fair Value
|
|||
Balance at December 31, 2017
|
|
58,398
|
|
|
$
|
13.42
|
|
Vested
|
|
(32,069
|
)
|
|
10.74
|
|
|
Balance at December 31, 2018
|
|
26,329
|
|
|
$
|
16.69
|
|
Vested
|
|
(26,329
|
)
|
|
6.96
|
|
|
Balance at December 31, 2019
|
|
—
|
|
|
$
|
—
|
|
|
|
Shares
|
|
Weighted Average
Grant Date
Fair Value
|
|||
Balance at December 31, 2017
|
|
23,000
|
|
|
$
|
18.18
|
|
Granted
|
|
23,000
|
|
|
26.47
|
|
|
Balance at December 31, 2018
|
|
46,000
|
|
|
$
|
22.32
|
|
Granted
|
|
17,640
|
|
|
60.75
|
|
|
Balance at December 31, 2019
|
|
63,640
|
|
|
$
|
32.97
|
|
|
|
Unrecognized stock compensation
|
|
Weighted-average recognition period
|
||
Unvested RSAs
|
|
$
|
4,241
|
|
|
1.8 years
|
Unvested RSUs
|
|
$
|
1,282
|
|
|
1.6 years
|
Unvested PSUs
|
|
$
|
1,192
|
|
|
1.1 years
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
Domestic
|
|
$
|
33,837
|
|
|
$
|
9,399
|
|
|
$
|
(5,942
|
)
|
Foreign
|
|
22,865
|
|
|
25,208
|
|
|
(9,342
|
)
|
|||
|
|
|
|
|
|
|
||||||
Total income (loss) before income taxes
|
|
$
|
56,702
|
|
|
$
|
34,607
|
|
|
$
|
(15,284
|
)
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
Current – Federal
|
|
$
|
4,543
|
|
|
$
|
444
|
|
|
$
|
946
|
|
Current – State
|
|
557
|
|
|
371
|
|
|
91
|
|
|||
Current – Foreign
|
|
13,272
|
|
|
6,972
|
|
|
3,088
|
|
|||
|
|
|
|
|
|
|
||||||
Current income tax expense
|
|
18,372
|
|
|
7,787
|
|
|
4,125
|
|
|||
|
|
|
|
|
|
|
||||||
Deferred – Federal
|
|
1,770
|
|
|
98
|
|
|
(393
|
)
|
|||
Deferred – State
|
|
(290
|
)
|
|
—
|
|
|
(5
|
)
|
|||
Deferred -– Foreign
|
|
2,809
|
|
|
(3,751
|
)
|
|
(158
|
)
|
|||
|
|
|
|
|
|
|
||||||
Deferred income tax expense (benefit)
|
|
4,289
|
|
|
(3,653
|
)
|
|
(556
|
)
|
|||
|
|
|
|
|
|
|
||||||
Income tax provision
|
|
$
|
22,661
|
|
|
$
|
4,134
|
|
|
$
|
3,569
|
|
|
|
2019
|
|
2018
|
||||
Deferred tax assets:
|
|
|
|
|
|
|
||
Net operating loss carryforward
|
|
$
|
9,138
|
|
|
$
|
8,843
|
|
Inventory differences
|
|
721
|
|
|
695
|
|
||
Equity compensation
|
|
1,203
|
|
|
952
|
|
||
Investment in subsidiaries
|
|
2,300
|
|
|
2,861
|
|
||
Restructuring
|
|
7
|
|
|
12
|
|
||
Purchased goodwill
|
|
1,807
|
|
|
2,516
|
|
||
Accrued employee compensation and benefits
|
|
2,945
|
|
|
1,459
|
|
||
Lease liabilities
|
|
2,259
|
|
|
—
|
|
||
Other, net
|
|
134
|
|
|
57
|
|
||
Gross deferred tax assets
|
|
20,514
|
|
|
17,395
|
|
||
Less valuation allowances
|
|
(9,680
|
)
|
|
(9,143
|
)
|
||
Total deferred tax assets
|
|
10,834
|
|
|
8,252
|
|
||
|
|
|
|
|
||||
Deferred tax liabilities:
|
|
|
|
|
||||
Purchased intangible assets and goodwill
|
|
(987
|
)
|
|
(1,566
|
)
|
||
Depreciation and amortization
|
|
(7,366
|
)
|
|
(2,783
|
)
|
||
Right of use assets
|
|
(1,997
|
)
|
|
—
|
|
||
Other, net
|
|
(434
|
)
|
|
(281
|
)
|
||
Total deferred tax liabilities
|
|
(10,784
|
)
|
|
(4,630
|
)
|
||
|
|
|
|
|
||||
Net deferred tax assets
|
|
$
|
50
|
|
|
$
|
3,622
|
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
Statutory U.S. federal income tax
|
|
$
|
11,907
|
|
|
$
|
7,268
|
|
|
$
|
(5,350
|
)
|
U.S. state income tax, net of federal benefit
|
|
492
|
|
|
430
|
|
|
305
|
|
|||
U.S. TCJA - net impact
|
|
—
|
|
|
(604
|
)
|
|
4,435
|
|
|||
Foreign rate differential
|
|
4,257
|
|
|
3,054
|
|
|
(1,728
|
)
|
|||
Tax audit adjustments
|
|
—
|
|
|
(11
|
)
|
|
426
|
|
|||
Equity compensation
|
|
(1,469
|
)
|
|
(156
|
)
|
|
(52
|
)
|
|||
Deemed repatriation of foreign earnings
|
|
187
|
|
|
281
|
|
|
—
|
|
|||
Impairment of goodwill
|
|
|
|
|
—
|
|
|
239
|
|
|||
Non-deductible penalties
|
|
—
|
|
|
1,686
|
|
|
1
|
|
|||
DynaEnergetics Siberia shut down
|
|
6,193
|
|
|
—
|
|
|
—
|
|
|||
Other
|
|
561
|
|
|
1,046
|
|
|
(95
|
)
|
|||
Change in valuation allowances
|
|
533
|
|
|
(8,860
|
)
|
|
5,388
|
|
|||
|
|
|
|
|
|
|
||||||
Provision for income taxes
|
|
$
|
22,661
|
|
|
$
|
4,134
|
|
|
$
|
3,569
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
Net sales:
|
|
|
|
|
|
||||||
DynaEnergetics
|
$
|
310,424
|
|
|
$
|
237,448
|
|
|
$
|
121,253
|
|
NobelClad
|
87,126
|
|
|
88,981
|
|
|
71,550
|
|
|||
Net sales
|
$
|
397,550
|
|
|
$
|
326,429
|
|
|
$
|
192,803
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
Operating income (loss):
|
|
|
|
|
|
||||||
DynaEnergetics
|
$
|
68,781
|
|
|
$
|
44,476
|
|
|
$
|
15,470
|
|
NobelClad
|
7,193
|
|
|
6,499
|
|
|
(17,360
|
)
|
|||
Segment operating income (loss)
|
75,974
|
|
|
50,975
|
|
|
(1,890
|
)
|
|||
|
|
|
|
|
|
||||||
Unallocated corporate expenses
|
(12,345
|
)
|
|
(9,971
|
)
|
|
(7,395
|
)
|
|||
Stock-based compensation
|
(5,204
|
)
|
|
(3,580
|
)
|
|
(2,975
|
)
|
|||
Other expense, net
|
(169
|
)
|
|
(1,202
|
)
|
|
(1,376
|
)
|
|||
Interest expense, net
|
(1,554
|
)
|
|
(1,615
|
)
|
|
(1,648
|
)
|
|||
Income (loss) before income taxes
|
$
|
56,702
|
|
|
$
|
34,607
|
|
|
$
|
(15,284
|
)
|
|
2019
|
|
2018
|
|
2017
|
||||||
Depreciation and Amortization:
|
|
|
|
|
|
||||||
DynaEnergetics
|
$
|
6,375
|
|
|
$
|
6,308
|
|
|
$
|
6,879
|
|
NobelClad
|
3,046
|
|
|
3,212
|
|
|
3,687
|
|
|||
Segment depreciation and amortization
|
9,421
|
|
|
9,520
|
|
|
10,566
|
|
|||
Corporate and other (1)
|
439
|
|
|
—
|
|
|
—
|
|
|||
Consolidated depreciation and amortization
|
9,860
|
|
|
9,520
|
|
|
$
|
10,566
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
Acquisition of property, plant and equipment
|
|
|
|
|
|
||||||
DynaEnergetics
|
$
|
19,785
|
|
|
$
|
41,041
|
|
|
$
|
4,025
|
|
NobelClad
|
5,560
|
|
|
2,281
|
|
|
1,584
|
|
|||
Segment acquisition of property, plant and equipment
|
25,345
|
|
|
43,322
|
|
|
5,609
|
|
|||
Corporate and other
|
1,865
|
|
|
1,773
|
|
|
577
|
|
|||
Consolidated acquisition of property, plant and equipment
|
$
|
27,210
|
|
|
$
|
45,095
|
|
|
$
|
6,186
|
|
|
2019
|
|
2018
|
||||
Assets:
|
|
|
|
||||
DynaEnergetics
|
$
|
165,775
|
|
|
$
|
151,001
|
|
NobelClad
|
58,205
|
|
|
59,831
|
|
||
Segment assets
|
223,980
|
|
|
210,832
|
|
||
|
|
|
|
||||
Cash and cash equivalents
|
20,353
|
|
|
13,375
|
|
||
Prepaid expenses and other assets
|
24,535
|
|
|
8,530
|
|
||
Deferred tax assets
|
3,836
|
|
|
4,001
|
|
||
Corporate property, plant and equipment
|
4,717
|
|
|
3,680
|
|
||
Consolidated assets
|
$
|
277,421
|
|
|
$
|
240,418
|
|
|
2019
|
|
2018
|
||||
United States
|
$
|
76,957
|
|
|
$
|
59,862
|
|
Germany
|
29,499
|
|
|
27,442
|
|
||
Russia
|
1,495
|
|
|
7,256
|
|
||
Canada
|
210
|
|
|
198
|
|
||
France
|
50
|
|
|
377
|
|
||
Rest of the world
|
23
|
|
|
5
|
|
||
Total
|
$
|
108,234
|
|
|
$
|
95,140
|
|
|
For the years ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
United States
|
$
|
309,826
|
|
|
$
|
221,847
|
|
|
$
|
116,083
|
|
Canada
|
17,688
|
|
|
30,126
|
|
|
23,377
|
|
|||
United Arab Emirates
|
6,614
|
|
|
4,093
|
|
|
1,768
|
|
|||
Norway
|
5,003
|
|
|
990
|
|
|
1,771
|
|
|||
Germany
|
4,900
|
|
|
4,067
|
|
|
5,397
|
|
|||
Ukraine
|
3,824
|
|
|
3,594
|
|
|
1,307
|
|
|||
France
|
3,643
|
|
|
4,581
|
|
|
3,032
|
|
|||
Egypt
|
3,366
|
|
|
2,419
|
|
|
2,721
|
|
|||
Oman
|
3,197
|
|
|
2,112
|
|
|
4,132
|
|
|||
South Korea
|
2,964
|
|
|
2,263
|
|
|
1,173
|
|
|||
Russia
|
2,942
|
|
|
4,117
|
|
|
4,504
|
|
|||
Belgium
|
2,365
|
|
|
3,386
|
|
|
1,628
|
|
|||
Netherlands
|
2,181
|
|
|
2,427
|
|
|
3,088
|
|
|||
Australia
|
2,151
|
|
|
873
|
|
|
1,010
|
|
|||
Sweden
|
2,016
|
|
|
2,339
|
|
|
2,009
|
|
|||
Indonesia
|
1,934
|
|
|
1,201
|
|
|
409
|
|
|||
India
|
1,831
|
|
|
4,291
|
|
|
2,927
|
|
|||
Bahrain
|
1,820
|
|
|
1,065
|
|
|
45
|
|
|||
Spain
|
1,706
|
|
|
1,083
|
|
|
1,126
|
|
|||
Rest of the world
|
17,579
|
|
|
29,555
|
|
|
15,296
|
|
|||
Total
|
$
|
397,550
|
|
|
$
|
326,429
|
|
|
$
|
192,803
|
|
Derivative type
|
|
Income Statement Location
|
|
2019
|
|
2018
|
|
2017
|
||||||
Foreign currency contracts
|
|
Other expense, net
|
|
$
|
(969
|
)
|
|
$
|
(77
|
)
|
|
$
|
(157
|
)
|
|
2019
|
||||||||||||||||||||||
|
Severance
|
|
Asset Impairment / (Gain on asset disposals)
|
|
Contract Termination Costs
|
|
Equipment Moving Costs
|
|
Other Exit Costs (1)
|
|
Total
|
||||||||||||
DynaEnergetics
|
$
|
1,671
|
|
|
$
|
6,277
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
10,683
|
|
|
$
|
18,631
|
|
NobelClad
|
1,166
|
|
|
(636
|
)
|
|
39
|
|
|
233
|
|
|
70
|
|
|
872
|
|
||||||
Total
|
$
|
2,837
|
|
|
$
|
5,641
|
|
|
$
|
39
|
|
|
$
|
233
|
|
|
$
|
10,753
|
|
|
$
|
19,503
|
|
|
2018
|
||||||||||||||||||
|
Severance
|
|
Contract Termination Costs
|
|
Equipment Moving Costs
|
|
Other Exit Costs
|
|
Total
|
||||||||||
NobelClad
|
$
|
637
|
|
|
$
|
43
|
|
|
$
|
249
|
|
|
$
|
185
|
|
|
$
|
1,114
|
|
|
2017
|
||||||||||||||
|
Severance
|
|
Asset Impairment
|
|
Other Exit Costs
|
|
Total
|
||||||||
DynaEnergetics
|
$
|
20
|
|
|
$
|
143
|
|
|
$
|
295
|
|
|
$
|
458
|
|
NobelClad
|
2,513
|
|
|
$
|
1,241
|
|
|
71
|
|
|
3,825
|
|
|||
Total
|
$
|
2,533
|
|
|
$
|
1,384
|
|
|
$
|
366
|
|
|
$
|
4,283
|
|
|
December 31, 2018
|
|
Expense
|
|
Payments
|
|
Currency and Other Adjustments
|
|
December 31, 2019
|
||||||||||
Severance
|
$
|
1,105
|
|
|
$
|
2,402
|
|
|
$
|
(1,131
|
)
|
|
$
|
28
|
|
|
$
|
2,404
|
|
Contract termination costs
|
—
|
|
|
39
|
|
|
(39
|
)
|
|
—
|
|
|
—
|
|
|||||
Equipment moving costs
|
8
|
|
|
233
|
|
|
(241
|
)
|
|
—
|
|
|
—
|
|
|||||
Other exit costs
|
42
|
|
|
333
|
|
|
(114
|
)
|
|
10
|
|
|
271
|
|
|||||
Total
|
$
|
1,155
|
|
|
$
|
3,007
|
|
|
$
|
(1,525
|
)
|
|
$
|
38
|
|
|
$
|
2,675
|
|
|
|
2019
|
||||||||||||||
|
|
Quarter ended March 31,
|
|
Quarter ended June 30,
|
|
Quarter ended September 30,
|
|
Quarter ended December 31,
|
||||||||
Net sales
|
|
$
|
100,135
|
|
|
$
|
110,954
|
|
|
$
|
100,094
|
|
|
$
|
86,367
|
|
Gross profit
|
|
$
|
36,405
|
|
|
$
|
42,073
|
|
|
$
|
36,224
|
|
|
$
|
30,221
|
|
Net income (loss)
|
|
$
|
15,170
|
|
|
$
|
17,244
|
|
|
$
|
6,915
|
|
|
$
|
(5,288
|
)
|
|
|
|
|
|
|
|
|
|
||||||||
Net income (loss) per share
|
|
|
|
|
|
|
|
|
||||||||
Basic
|
|
$
|
1.02
|
|
|
$
|
1.17
|
|
|
$
|
0.47
|
|
|
$
|
(0.36
|
)
|
Diluted
|
|
$
|
1.01
|
|
|
$
|
1.15
|
|
|
$
|
0.46
|
|
|
$
|
(0.36
|
)
|
|
|
2018
|
||||||||||||||
|
|
Quarter ended March 31,
|
|
Quarter ended June 30,
|
|
Quarter ended September 30,
|
|
Quarter ended December 31,
|
||||||||
Net sales
|
|
$
|
67,313
|
|
|
$
|
80,915
|
|
|
$
|
87,883
|
|
|
$
|
90,318
|
|
Gross profit
|
|
$
|
22,753
|
|
|
$
|
26,775
|
|
|
$
|
29,728
|
|
|
$
|
31,439
|
|
Net income
|
|
$
|
3,920
|
|
|
$
|
6,372
|
|
|
$
|
4,910
|
|
|
$
|
15,271
|
|
|
|
|
|
|
|
|
|
|
||||||||
Net income per share
|
|
|
|
|
|
|
|
|
||||||||
Basic
|
|
$
|
0.26
|
|
|
$
|
0.43
|
|
|
$
|
0.33
|
|
|
$
|
1.02
|
|
Diluted
|
|
$
|
0.26
|
|
|
$
|
0.43
|
|
|
$
|
0.33
|
|
|
$
|
1.02
|
|
|
/s/ Kevin Longe
|
|
Kevin Longe
|
|
President and Chief Executive Officer
|
|
February 24, 2020
|
|
|
|
/s/ Michael Kuta
|
|
Michael Kuta
|
|
Chief Financial Officer
|
|
February 24, 2020
|
|
/s/ Ernst & Young LLP
|
Denver, Colorado
|
|
February 24, 2020
|
Exhibit
Number
|
|
Description
|
3.1
|
|
|
3.2
|
|
|
4.1
|
|
|
10.1
|
|
|
10.6
|
|
Exhibit
Number
|
|
Description
|
10.7
|
|
|
10.8
|
|
|
10.9
|
|
|
10.10
|
|
|
10.11
|
|
|
10.12
|
|
|
10.13
|
|
|
10.14
|
|
|
10.15
|
|
|
10.16
|
|
|
10.17
|
|
|
10.18
|
|
|
10.19
|
|
|
10.20
|
|
|
10.21
|
|
|
10.22
|
|
|
10.23
|
|
|
10.24
|
|
|
10.25
|
|
|
10.26
|
|
|
10.27
|
|
|
10.28
|
|
|
10.29
|
|
Exhibit
Number
|
|
Description
|
10.30
|
|
|
21.1
|
|
|
23.1
|
|
|
31.1
|
|
|
31.2
|
|
|
32.1
|
|
|
32.2
|
|
|
101
|
|
The following materials from the Annual Report on Form 10-K of DMC Global Inc. For the year ended December 31, 2015, formatted in XBRL (eXtensible Business Reporting Language): (i) the Consolidated Balance Sheets, (ii) the Consolidated Statements of Operations, (iii) the Consolidated Statements of Comprehensive Income, (iv) the Consolidated Statement of Stockholders’ Equity, (v) the Consolidated Statements of Cash Flows, and (vi) the Notes to Consolidated Financial Statements.**
|
|
DMC Global Inc.
|
|
|
|
|
|
|
|
February 24, 2020
|
By:
|
/s/ Michael Kuta
|
|
|
Michael Kuta
|
|
|
Chief Financial Officer
|
SIGNATURE
|
|
TITLE
|
|
DATE
|
|
|
|
|
|
/s/ Kevin T. Longe
|
|
President and Chief Executive Officer and Director
|
|
February 24, 2020
|
Kevin T. Longe
|
|
(Principal Executive Officer)
|
|
|
|
|
|
|
|
/s/ Michael Kuta
|
|
Chief Financial Officer
|
|
February 24, 2020
|
Michael Kuta
|
|
(Principal Financial and Accounting Officer)
|
|
|
|
|
|
|
|
/s/ David C. Aldous
|
|
Chairman and Director
|
|
February 24, 2020
|
David C. Aldous
|
|
|
|
|
|
|
|
|
|
/s/ Andrea E. Bertone
|
|
Director
|
|
February 24, 2020
|
Andrea E. Bertone
|
|
|
|
|
|
|
|
|
|
/s/ Yvon Pierre Cariou
|
|
Director
|
|
February 24, 2020
|
Yvon Pierre Cariou
|
|
|
|
|
|
|
|
|
|
/s/ Robert A. Cohen
|
|
Director
|
|
February 24, 2020
|
Robert A. Cohen
|
|
|
|
|
|
|
|
|
|
/s/ Richard P. Graff
|
|
Director
|
|
February 24, 2020
|
Richard P. Graff
|
|
|
|
|
|
|
|
|
|
/s/ Clifton Peter Rose
|
|
Director
|
|
February 24, 2020
|
Clifton Peter Rose
|
|
|
|
|
|
|
Balance at
beginning
of period
|
|
Additions
charged to
income
|
|
Accounts
receivable
written off
|
|
Currency and Other
Adjustments
|
|
Balance at
end of
period
|
||||||||||
Year ended -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
December 31, 2017
|
|
$
|
1,146
|
|
|
$
|
306
|
|
|
$
|
(174
|
)
|
|
$
|
(190
|
)
|
|
$
|
1,088
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
December 31, 2018
|
|
$
|
1,088
|
|
|
$
|
282
|
|
|
$
|
(742
|
)
|
|
$
|
(115
|
)
|
|
$
|
513
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
December 31, 2019
|
|
$
|
513
|
|
|
$
|
575
|
|
|
$
|
(36
|
)
|
|
$
|
(85
|
)
|
|
$
|
967
|
|
|
|
Balance at
beginning
of period
|
|
Additions
charged to
income
|
|
Repairs
allowed
|
|
Currency and Other
Adjustments |
|
Balance at
end of
period
|
||||||||||
Year ended -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
December 31, 2017
|
|
$
|
525
|
|
|
$
|
218
|
|
|
$
|
(466
|
)
|
|
$
|
74
|
|
|
$
|
351
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
December 31, 2018
|
|
$
|
351
|
|
|
$
|
65
|
|
|
$
|
(13
|
)
|
|
$
|
(9
|
)
|
|
$
|
394
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
December 31, 2019
|
|
$
|
394
|
|
|
$
|
39
|
|
|
$
|
(99
|
)
|
|
$
|
(179
|
)
|
|
$
|
155
|
|
|
||
|
|
|
Name of Subsidiary
|
|
State or Jurisdiction of Incorporation
|
|
|
|
DMC Korea Inc.
|
|
Colorado
|
|
|
|
DynaEnergetics Europe GmbH
|
|
Germany
|
|
|
|
DYNAenergetics Canada Inc
|
|
Canada
|
|
|
|
NobelClad Europe GmbH
|
|
Germany
|
|
|
|
DynaEnergetics US, Inc
|
|
Colorado
|
|
|
|
Dynamic Materials Corporation (HK) Ltd
|
|
Hong Kong
|
|
|
|
Nobelclad Europe Holdings GmbH
|
|
Germany
|
|
|
|
DYNAenergetics Siberia Limited
|
|
Russia
|
|
|
|
Nobelclad Europe SAS
|
|
France
|
|
|
|
Dynamic Materials Corporation (Shanghai) Trading Co. Ltd.
|
|
China
|
(1)
|
Registration Statement (Form S-3 No. 333-216591),
|
(2)
|
Registration Statements (Form S-8 No. 333-143355, Form S-8 No. 333-188796 and Form S-8 No. 333-211328) pertaining to the Company’s 2006 Stock Incentive Plan,
|
(3)
|
Registration Statements (Form S-8 No. 333-182979 and Form S-8 No. 333-218177) pertaining to the Company’s Employee Stock Purchase Plan, and
|
(4)
|
Registration Statement (Form S-8 No. 333-214460) pertaining to the Company’s 2016 Omnibus Incentive Plan;
|
|
/s/ Ernst & Young LLP
|
Denver, Colorado
|
|
February 24, 2020
|
|
/s/ Kevin T. Longe
|
|
Kevin T. Longe
|
|
President and Chief Executive Officer
|
|
of DMC Global Inc.
|
|
/s/ Michael Kuta
|
|
Michael Kuta
|
|
Chief Financial Officer of DMC Global Inc.
|
|
|
|
/s/ Kevin T. Longe
|
|
Kevin T. Longe
|
|
President and Chief Executive Officer
|
|
of DMC Global Inc.
|
|
/s/ Michael Kuta
|
|
Michael Kuta
|
|
Chief Financial Officer of DMC Global Inc.
|
|
|