Select Interior Concepts, Inc.

CIK:0001723866|SEC Filings

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Income Statement [Abstract]
Revenue, net	$ 67,186	$ 51,994	$ 124,563	$ 107,021
Cost of revenue	47,208	38,800	89,253	80,600
Gross profit	19,978	13,194	35,310	26,421
Selling, general and administrative expenses	14,818	13,238	29,019	26,396
Income (loss) from operations	5,160	(44)	6,291	25
Other expense:
Interest expense	78	48	119	98
Loss on extinguishment of debt	2,385		2,385
Total other expense, net	2,463	48	2,504	98
Income (loss) from continuing operations before provision for (benefit from) income taxes	2,697	(92)	3,787	(73)
Provision for (benefit from) income taxes	181	158	451	(80)
Net income (loss) from continuing operations	2,516	(250)	3,336	7
Discontinued operations:
Loss from discontinued operations, net of income taxes	(3,199)	(2,929)	(5,824)	(7,188)
Gain on disposal of discontinued operations, net of income taxes	58,796		58,796
Net income (loss) from discontinued operations	55,597	(2,929)	52,972	(7,188)
Net income (loss)	$ 58,113	$ (3,179)	$ 56,308	$ (7,181)
Basic earnings (loss) per share of common stock
Continuing operations	$ 0.10	$ (0.01)	$ 0.13	$ 0.00
Discontinued operations	2.17	(0.12)	2.07	(0.28)
Net income (loss)	2.27	(0.13)	2.20	(0.28)
Diluted earnings (loss) per share of common stock
Continuing operations	0.09	(0.01)	0.12	0.00
Discontinued operations	2.05	(0.12)	1.96	(0.28)
Net income (loss)	$ 2.14	$ (0.13)	$ 2.08	$ (0.28)
Weighted average shares outstanding
Basic common stock	25,591,118	25,328,649	25,543,031	25,260,425
Diluted common stock	27,172,043	25,328,649	27,019,433	25,267,083

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
Cash flows provided by operating activities
Net income (loss)	$ 56,308	$ (7,181)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	10,919	11,367
Gain on sale of RDS business	(65,385)
Loss on extinguishment of debt	2,385
Equity-based compensation	3,618	554
Deferred provision for income taxes	515	328
Amortized interest on deferred debt issuance costs	688	494
Provision for doubtful accounts	31	(343)
Gain on disposal of property and equipment, net	(376)	(5)
Other	(14)	(44)
Changes in operating assets and liabilities:
Accounts receivable	3,501	5,587
Inventories	(9,648)	4,998
Prepaid expenses and other current assets	(7,016)	(3,882)
Other assets	(131)	(322)
Accounts payable	6,137	6,443
Accrued expenses and other current liabilities	(2,797)	(467)
Income taxes receivable	2,500	(2,950)
Customer deposits	554	2,047
Other long-term liabilities	(195)	936
Net cash provided by operating activities	1,594	17,560
Cash flows provided by (used in) investing activities
Purchase of property and equipment	(1,546)	(2,436)
Proceeds from disposal of property and equipment	127	22
Proceeds from the sale of the RDS business, net	204,332
Net cash provided by (used in) investing activities	202,913	(2,414)
Cash flows used in financing activities
Proceeds from ERP financing		376
Payments on the line of credit, net	(9,872)	(12,601)
Deferred issuance costs	(327)	(2,231)
Purchase of treasury stock	(1,006)	(704)
Payments on notes payable and capital leases	(1,582)	(1,527)
Principal payments on long-term debt	(152,774)	(525)
Net cash used in financing activities	(165,561)	(17,212)
Net increase (decrease) in cash	38,946	(2,066)
Cash and restricted cash, beginning of period	1,594	1,070
Cash and restricted cash - discontinued operations, beginning of period	1,380	3,932
Cash and restricted cash - discontinued operations, end of period		872
Cash and restricted cash, end of period	41,920	2,064
Supplemental disclosures of cash flow information
Cash paid for interest	6,044	7,018
Cash paid (refunded) for income taxes, net of refunds	(1,230)	211
Supplemental disclosures of non-cash investing activities
Acquisition of equipment and vehicles with long-term debt and capital leases	$ 563	$ 596

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Current assets
Cash	$ 36,920	$ 1,594
Restricted cash	5,000
Accounts receivable, net of allowance for doubtful accounts of $205 and $195 at June 30, 2021 and December 31, 2020, respectively	21,875	18,222
Inventories	90,988	84,165
Prepaid expenses and other current assets	5,133	2,312
Income taxes receivable	2,117	4,617
Current assets of discontinued operations		81,393
Total current assets	162,033	192,303
Property and equipment, net of accumulated depreciation of $17,487 and $15,930 at June 30, 2021 and December 31, 2020, respectively	6,071	6,713
Deferred tax assets, net	14,878	14,905
Goodwill	45,564	45,564
Intangible assets, net	35,765	39,250
Other assets	1,009	757
Non-current assets of discontinued operations		112,021
Total assets	265,320	411,513
Current liabilities
Accounts payable	32,188	26,337
Accrued expenses and other current liabilities	9,442	10,572
Customer deposits	6,554	5,089
Current portion of long-term debt, net of financing fees of $1,279 at December 31, 2020		15,482
Current portion of capital lease obligations	268	239
Current liabilities of discontinued operations		36,825
Total current liabilities	48,452	94,544
Line of credit		9,623
Long-term debt, net of current portion and financing fees of $1,486 at December 31, 2020		134,526
Long-term capital lease obligations	1,799	1,602
Other long-term liabilities	1,953	2,102
Non-current liabilities of discontinued operations		14,925
Total liabilities	52,204	257,322
Commitments and contingencies (see Note 11)
Stockholders' equity
Treasury stock, 264,230 shares at June 30, 2021 and 160,733 shares at December 31, 2020, at cost	(2,285)	(1,279)
Additional paid-in capital	168,666	165,048
Retained earnings (accumulated deficit)	46,474	(9,834)
Total stockholders' equity	213,116	154,191
Total liabilities and stockholders' equity	265,320	411,513
Customer Relationships
Current assets
Intangible assets, net	31,564	34,632
Other Intangible Assets
Current assets
Intangible assets, net	4,201	4,618
Class A
Stockholders' equity
Common stock	261	256
Total stockholders' equity	$ 261	$ 256