UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): October 27, 2021
______________________________________________________________________________________________________
(Exact name of registrant as specified in charter)
______________________________________________________________________________________________________
| (State or other jurisdiction | (Commission File Number) | (IRS Employer Identification No.) | ||||||||||||
| of incorporation) | ||||||||||||||
(Address of principal executive offices)
(Registrant's telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
Securities registered pursuant to Section 12(b) of the Act:
| Title of Each Class | Trading Symbol(s) | Name of Each Exchange on Which Registered | ||||||
Indicate by checkmark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ¨
If an emerging growth company, indicate by checkmark if the registrant has elected not to use the extended transition period for complying with any new revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
ITEM 2.02: RESULTS OF OPERATIONS AND FINANCIAL CONDITION
On October 27, 2021 , Westwood Holdings Group, Inc. (“Westwood”) announced its financial results for the quarter ended September 30, 2021, a copy of which is furnished with this Current Report on Form 8-K as Exhibit 99.1.
The information in this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), as amended, or otherwise subject to the liabilities of that Section, nor shall it be incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as otherwise expressly stated in such filing.
ITEM 7.01: REGULATION FD DISCLOSURE
Westwood announced today that its Board of Directors has approved the payment of a quarterly cash dividend of $0.15 per common share, payable on January 3, 2022 to stockholders of record on December 3, 2021.
ITEM 9.01: FINANCIAL STATEMENTS AND EXHIBITS
(d) Exhibits: The following exhibit is furnished with this report:
Exhibit Number Description
104 Cover Page Interactive Date File (embedded within the Inline XBRL document)
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date: October 27, 2021
| WESTWOOD HOLDINGS GROUP, INC. | |||||
| By: | /s/ Murray Forbes III | ||||
| Murray Forbes III | |||||
| Chief Financial Officer and Treasurer | |||||
Westwood Holdings Group, Inc. Reports Third Quarter 2021 Results
Strong performance delivered across multiple products
Increased regular quarterly dividend and repurchased stock
Dallas, TX, October 27, 2021 – Westwood Holdings Group, Inc. (NYSE: WHG) today reported third quarter 2021 earnings. Significant items include:
▪Improved revenues of $17.9 million vs. the second quarter's $17.5 million and $15.5 million a year ago.
▪Higher net income of $1.9 million vs. the second quarter's $1.0 million and vs. a $10.3 million net loss in last year's third quarter.
▪Our LargeCap Value, SmidCap, AllCap Value and Alternative Income strategies all beat their primary benchmarks for the quarter.
▪In peer rankings, Alternative Income and SmidCap achieved top quintile rankings, and AllCap Value achieved a top third ranking.
▪Westwood held $76.6 million in cash and short-term investments as of September 30, 2021, down $15.7 million from the second quarter after a special dividend payment of $2.50 per common share, or $20.8 million, was paid in August.
▪Stockholders' equity was $115.7 million as of September 30, 2021 and we continue to have no debt.
▪Non-GAAP economic earnings of $3.7 million compared favorably with the second quarter's $2.8 million and a loss of $1.7 million a year ago.
▪We declared a cash dividend of $0.15 per common share, payable on January 3, 2022 to stockholders of record on December 3, 2021.
Brian Casey, Westwood’s President and CEO, commented, "This was a quarter in which we made progress across a variety of fronts. We successfully deployed the terrific mandates won by our institutional team earlier in the year and our solid performance story continued to unfold as US Value and Multi-Asset turned in good performances versus benchmarks and peer universes. As the quarter drew to a close, we launched two new mutual funds and rolled out a new client portal to provide our Wealth clients with world-class access to their investments. I’m pleased to report that our financial performance also reflected the improving business environment and, after a special dividend of $2.50 per share was paid in August, the board decided to increase our regular quarterly dividend to $0.15 per share. That action, together with our stock repurchase program, underscore our commitment to protect and enhance shareowner value while continuing to invest in our people, products and processes to generate healthy organic growth for Westwood in the months and years ahead."
Revenues were comparable to the second quarter and higher than last year's third quarter reflecting higher average assets under management ("AUM"), partially offset by lower performance fees.
AUM of $13.8 billion decreased from $14.4 billion at June 30, 2021, primarily due to net outflows and market depreciation.
Third quarter net income of $1.9 million exceeded the second quarter's $1.0 million due to the combination of somewhat higher revenues and lower operating expenses. Diluted earnings per share ("EPS") of $0.24 compared with $0.12 for the second quarter. Non-GAAP economic earnings of $3.7 million, or $0.47 per share, compared with economic earnings of $2.8 million, or $0.35 per share, in the second quarter.
Third quarter net income of $1.9 million compared favorably with last year's third quarter net loss of $10.3 million primarily due to higher revenues on higher average AUM and several non-recurring items impacting the prior third quarter. Diluted EPS of $0.24 compared with a loss of $1.31 per share for last year's third quarter. Non-GAAP economic earnings were $3.7 million, or $0.47 per share, compared with economic losses of $1.7 million, or $0.22 per share, for the third quarter of 2020.
Economic earnings (loss) and Economic EPS are non-GAAP performance measures and are explained and reconciled with the most comparable GAAP numbers in the attached tables.
Westwood will host a conference call to discuss third quarter 2021 results and other business matters at 4:30 p.m. Eastern time today. To join the conference call, dial 877-303-6235 (U.S. and Canada) or 631-291-4837 (international). The conference call can also be accessed via our Investor Relations page at westwoodgroup.com and will be available for replay through November 3, 2021 by dialing 855-859-2056 (U.S. and Canada) or 404-537-3406 (international) and entering the passcode 2546858.
ABOUT WESTWOOD HOLDINGS GROUP
Westwood Holdings Group, Inc. is an investment management boutique and wealth management firm. Westwood offers high-conviction equity and outcome-oriented solutions to institutional investors, private wealth clients and financial intermediaries. The firm specializes in the following distinct investment capabilities: U.S. Value Equity, Multi-Asset, and Liquid Alternatives, available through separate accounts, the Westwood Funds® family of mutual funds and other pooled vehicles. Westwood benefits from significant, broad-based employee ownership and trades on the New York Stock Exchange under the symbol “WHG.” Based in Dallas, Westwood also maintains offices in Houston.
For more information on Westwood, please visit westwoodgroup.com.
Forward-looking Statements
Statements in this press release that are not purely historical facts, including, without limitation, statements about our expected future financial position, results of operations or cash flows, as well as other statements including without limitation, words such as “anticipate,” “believe,” “expect,” “could,” and other similar expressions, constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Actual results and the timing of some events could differ materially from those projected in or contemplated by the forward-looking statements due to a number of factors, including, without limitation:
the composition and market value of our AUM; our ability to maintain our fee structure in light of competitive fee pressures; our stockholder rights agreement may make it more difficult for others to obtain control over us, even if it would be beneficial to our stockholders; risks associated with actions of activist stockholders; distributions to our common stockholders have included and may in the future include a return of capital; inclusion of foreign company investments in our AUM; regulations adversely affecting the financial services industry; our ability to maintain effective cyber security; litigation risks; our ability to develop and market new investment strategies successfully; our reputation and our relationships with current and potential customers; our ability to attract and retain qualified personnel; our ability to perform operational tasks; our ability to select and oversee third-party vendors; our dependence on the operations and funds of our subsidiaries; our ability to maintain effective information systems; our ability to prevent misuse of assets and information in the possession of our employees and third-party vendors, which could damage our reputation and result in costly litigation and liability for our clients and us; our stock is thinly
traded and may be subject to volatility; in addition to our stockholder rights agreement, our organizational documents contain provisions that may prevent or deter another group from paying a premium over the market price to our stockholders to acquire our stock; competition in the investment management industry; our ability to avoid termination of client agreements and the related investment redemptions; the significant concentration of our revenues in a small number of customers; our relationships with investment consulting firms; the impact of the COVID-19 pandemic; our ability to identify and execute on our strategic initiatives; our ability to declare and pay dividends; our ability to fund future capital requirements on favorable terms; our ability to properly address conflicts of interest; our ability to maintain adequate insurance coverage; our ability to maintain an effective system of internal controls; and the other risks detailed from time to time in Westwood’s SEC filings, including, but not limited to, its annual report on Form 10-K for the year ended December 31, 2020 and its quarterly report on Form 10-Q for the quarters ended March 31, 2021, June 30, 2021 and September 30, 2021. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Except as required by law, Westwood is not obligated to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.
# # # #
SOURCE: Westwood Holdings Group, Inc.
(WHG-G)
CONTACT:
Westwood Holdings Group, Inc.
Terry Forbes
Chief Financial Officer and Treasurer
(214) 756-6900
WESTWOOD HOLDINGS GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
(in thousands, except per share and share amounts)
(unaudited)
| Three Months Ended | |||||||||||||||||
| September 30, 2021 | June 30, 2021 | September 30, 2020 | |||||||||||||||
| REVENUES: | |||||||||||||||||
| Advisory fees: | |||||||||||||||||
| Asset-based | $ | 12,011 | $ | 11,385 | $ | 8,847 | |||||||||||
| Performance-based | — | — | 713 | ||||||||||||||
| Trust fees | 5,952 | 6,216 | 5,787 | ||||||||||||||
| Trust performance-based fees | — | — | 37 | ||||||||||||||
| Other, net | (103) | (117) | 70 | ||||||||||||||
| Total revenues | 17,860 | 17,484 | 15,454 | ||||||||||||||
| EXPENSES: | |||||||||||||||||
| Employee compensation and benefits | 10,268 | 10,237 | 9,515 | ||||||||||||||
| Sales and marketing | 292 | 370 | 215 | ||||||||||||||
| Westwood mutual funds | 814 | 368 | 421 | ||||||||||||||
| Information technology | 1,937 | 2,261 | 2,158 | ||||||||||||||
| Professional services | 726 | 1,428 | 1,033 | ||||||||||||||
| General and administrative | 1,779 | 2,042 | 2,333 | ||||||||||||||
| Impairment expense | — | — | 3,403 | ||||||||||||||
| Loss on foreign currency transactions | — | — | 419 | ||||||||||||||
| Total expenses | 15,816 | 16,706 | 19,497 | ||||||||||||||
| Net operating income (loss) | 2,044 | 778 | (4,043) | ||||||||||||||
| Realized gains on private investments | — | 46 | — | ||||||||||||||
| Net change in unrealized appreciation (depreciation) on private investments | (13) | 215 | (73) | ||||||||||||||
| Investment income | 131 | 235 | (43) | ||||||||||||||
| Other income | 198 | 142 | 34 | ||||||||||||||
| Foreign currency translation adjustments to net income (loss) upon liquidation of a foreign subsidiary | — | — | (4,193) | ||||||||||||||
| Income (loss) before income taxes | 2,360 | 1,416 | (8,318) | ||||||||||||||
| Income tax expense | 481 | 446 | 1,971 | ||||||||||||||
| Net income (loss) | $ | 1,879 | $ | 970 | $ | (10,289) | |||||||||||
| Other comprehensive income (loss): | |||||||||||||||||
| Foreign currency translation adjustments | — | — | 621 | ||||||||||||||
| Reclassification of cumulative foreign currency translation adjustments to net income upon liquidation of a foreign subsidiary | — | — | 4,193 | ||||||||||||||
| Total comprehensive income (loss) | $ | 1,879 | $ | 970 | $ | (5,475) | |||||||||||
| Earnings (loss) per share: | |||||||||||||||||
| Basic | $ | 0.24 | $ | 0.12 | $ | (1.31) | |||||||||||
| Diluted | $ | 0.24 | $ | 0.12 | $ | (1.31) | |||||||||||
| Weighted average shares outstanding: | |||||||||||||||||
| Basic | 7,887,259 | 7,884,774 | 7,829,478 | ||||||||||||||
| Diluted | 7,956,081 | 7,928,106 | 7,829,478 | ||||||||||||||
| Economic Earnings (Loss) | $ | 3,706 | $ | 2,810 | $ | (1,711) | |||||||||||
| Economic EPS | $ | 0.47 | $ | 0.35 | $ | (0.22) | |||||||||||
| Dividends declared per share | $ | 2.60 | $ | 0.10 | $ | 0.00 | |||||||||||
WESTWOOD HOLDINGS GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
(in thousands, except per share and share amounts)
(unaudited)
| Nine Months Ended | |||||||||||
| September 30, 2021 | September 30, 2020 | ||||||||||
| REVENUES: | |||||||||||
| Advisory fees: | |||||||||||
| Asset-based | $ | 33,846 | $ | 29,277 | |||||||
| Performance-based | 1,959 | 1,408 | |||||||||
| Trust fees | 18,233 | 17,395 | |||||||||
| Trust performance-based fees | — | 77 | |||||||||
| Other, net | (375) | (159) | |||||||||
| Total revenues | 53,663 | 47,998 | |||||||||
| EXPENSES: | |||||||||||
| Employee compensation and benefits | 32,053 | 32,970 | |||||||||
| Sales and marketing | 892 | 946 | |||||||||
| Westwood mutual funds | 1,573 | 1,370 | |||||||||
| Information technology | 6,190 | 6,219 | |||||||||
| Professional services | 3,471 | 3,217 | |||||||||
| General and administrative | 5,893 | 6,830 | |||||||||
| Impairment expense | — | 3,403 | |||||||||
| Gain on foreign currency transactions | — | (1,196) | |||||||||
| Total expenses | 50,072 | 53,759 | |||||||||
| Net operating income (loss) | 3,591 | (5,761) | |||||||||
| Realized gains on private investments | 8,371 | — | |||||||||
| Net change in unrealized appreciation (depreciation) on private investments | (2,124) | (909) | |||||||||
| Investment income | 562 | 625 | |||||||||
| Other income | 390 | 102 | |||||||||
| Foreign currency translation adjustments to net income (loss) upon liquidation of a foreign subsidiary | — | (4,193) | |||||||||
| Income (loss) before income taxes | 10,790 | (10,136) | |||||||||
| Income tax expense | 3,840 | 1,626 | |||||||||
| Net income (loss) | $ | 6,950 | $ | (11,762) | |||||||
| Other comprehensive income (loss): | |||||||||||
| Foreign currency translation adjustments | — | (1,250) | |||||||||
| Reclassification of cumulative foreign currency translation adjustments to net income (loss) upon liquidation of a foreign subsidiary | — | 4,193 | |||||||||
| Total comprehensive income (loss) | $ | 6,950 | $ | (8,819) | |||||||
| Earnings (loss) per share: | |||||||||||
| Basic | $ | 0.88 | $ | (1.46) | |||||||
| Diluted | $ | 0.88 | $ | (1.46) | |||||||
| Weighted average shares outstanding: | |||||||||||
| Basic | 7,886,359 | 8,040,417 | |||||||||
| Diluted | 7,933,860 | 8,040,417 | |||||||||
| Economic Earnings | $ | 12,804 | $ | 2,713 | |||||||
| Economic EPS | $ | 1.61 | $ | 0.34 | |||||||
| Dividends declared per share | $ | 2.70 | $ | 0.43 | |||||||
WESTWOOD HOLDINGS GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except par value and share amounts)
(unaudited)
| September 30, 2021 | December 31, 2020 | ||||||||||
| ASSETS | |||||||||||
| Current Assets: | |||||||||||
| Cash and cash equivalents | $ | 18,461 | $ | 13,016 | |||||||
| Accounts receivable | 9,785 | 9,450 | |||||||||
| Investments, at fair value | 58,094 | 69,542 | |||||||||
| Prepaid income taxes | 79 | 1,700 | |||||||||
| Other current assets | 2,451 | 2,606 | |||||||||
| Total current assets | 88,870 | 96,314 | |||||||||
| Investments | 4,455 | 8,154 | |||||||||
| Noncurrent investments at fair value | 4,185 | 3,527 | |||||||||
| Goodwill | 16,401 | 16,401 | |||||||||
| Deferred income taxes | 991 | 1,468 | |||||||||
| Operating lease right-of-use assets | 5,180 | 6,103 | |||||||||
| Intangible assets, net | 12,317 | 13,535 | |||||||||
| Property and equipment, net of accumulated depreciation of $8,456 and $8,056 | 2,229 | 3,186 | |||||||||
| Other long-term assets | 634 | 464 | |||||||||
| Total long-term assets | 46,392 | 52,838 | |||||||||
| Total assets | $ | 135,262 | $ | 149,152 | |||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||
| Current Liabilities: | |||||||||||
| Accounts payable and accrued liabilities | $ | 2,775 | $ | 1,627 | |||||||
| Dividends payable | 1,333 | 810 | |||||||||
| Compensation and benefits payable | 6,991 | 7,448 | |||||||||
| Operating lease liabilities | 1,410 | 1,718 | |||||||||
| Accrued stock repurchases | 36 | — | |||||||||
| Income taxes payable | 752 | 191 | |||||||||
| Total current liabilities | 13,297 | 11,794 | |||||||||
| Accrued dividends | 1,148 | 526 | |||||||||
| Noncurrent operating lease liabilities | 5,089 | 6,121 | |||||||||
| Total long-term liabilities | 6,237 | 6,647 | |||||||||
| Total liabilities | 19,534 | 18,441 | |||||||||
| Stockholders’ Equity: | |||||||||||
Common stock, $0.01 par value, authorized 25,000,000 shares, issued 10,658,681 and outstanding 8,296,864 shares at September 30, 2021; issued 10,500,549 and outstanding 8,326,948 shares at December 31, 2020 | 108 | 105 | |||||||||
| Additional paid-in capital | 193,901 | 210,268 | |||||||||
Treasury stock, at cost - 2,361,817 shares at September 30, 2021; 2,173,559 shares at December 31, 2020 | (81,050) | (77,967) | |||||||||
| Retained earnings (accumulated deficit) | 2,769 | (1,695) | |||||||||
| Total stockholders’ equity | 115,728 | 130,711 | |||||||||
| Total liabilities and stockholders’ equity | $ | 135,262 | $ | 149,152 | |||||||
WESTWOOD HOLDINGS GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
(unaudited)
| Nine Months Ended September 30, | |||||||||||
| 2021 | 2020 | ||||||||||
| CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||
| Net income (loss) | $ | 6,950 | $ | (11,762) | |||||||
| Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities: | |||||||||||
| Depreciation | 571 | 697 | |||||||||
| Amortization of intangible assets | 1,218 | 1,293 | |||||||||
| Net change in unrealized (appreciation) depreciation on investments | 2,425 | 1,132 | |||||||||
| Realized gains on private investments | (8,371) | — | |||||||||
| Stock-based compensation expense | 4,459 | 5,409 | |||||||||
| Deferred income taxes | 477 | (191) | |||||||||
| Non-cash lease expense | 923 | 1,253 | |||||||||
| Gain on asset disposition | (148) | — | |||||||||
| Impairment of goodwill | — | 3,403 | |||||||||
| Currency translation adjustment reclassification | — | 4,193 | |||||||||
| Changes in operating assets and liabilities: | |||||||||||
| Net (purchases) sales of trading securities | 11,191 | (11,891) | |||||||||
| Accounts receivable | (335) | 3,634 | |||||||||
| Other current assets | (15) | 246 | |||||||||
| Accounts payable and accrued liabilities | 1,149 | (47) | |||||||||
| Compensation and benefits payable | (430) | (3,769) | |||||||||
| Income taxes payable | 2,191 | 492 | |||||||||
| Other liabilities | (1,195) | (1,174) | |||||||||
| Net cash (used in) provided by operating activities | 21,060 | (7,082) | |||||||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||
| Sale of investments | 9,258 | — | |||||||||
| Sale of property and equipment | 501 | — | |||||||||
| Purchases of property and equipment | (114) | (92) | |||||||||
| Purchases of investments | (15) | — | |||||||||
| Net cash provided by (used in) investing activities | 9,630 | (92) | |||||||||
| CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||
| Purchases of treasury stock | (2,164) | (12,952) | |||||||||
| Purchases of treasury stock for employee stock plans | — | (697) | |||||||||
| Restricted stock returned for payment of taxes | (884) | (1,120) | |||||||||
| Cash dividends | (22,125) | (11,043) | |||||||||
| Net cash used in financing activities | (25,173) | (25,812) | |||||||||
| Effect of currency rate changes on cash | (72) | (1,187) | |||||||||
| NET CHANGE IN CASH AND CASH EQUIVALENTS | 5,445 | (34,173) | |||||||||
| Cash and cash equivalents, beginning of period | 13,016 | 49,766 | |||||||||
| Cash and cash equivalents, end of period | $ | 18,461 | $ | 15,593 | |||||||
| SUPPLEMENTAL CASH FLOW INFORMATION: | |||||||||||
| Cash paid during the period for income taxes | $ | 506 | $ | 1,294 | |||||||
| Accrued dividends | $ | 2,481 | $ | 1,448 | |||||||
| Accrued purchases of treasury stock | $ | 36 | $ | — | |||||||
WESTWOOD HOLDINGS GROUP, INC. AND SUBSIDIARIES
Reconciliation of Net Income (Loss) to Economic Earnings (Loss)
(in thousands, except per share and share amounts)
(unaudited)
As supplemental information, we are providing non-GAAP performance measures that we refer to as Economic Earnings (Loss) and Economic EPS. We provide these measures in addition to, not as a substitute for, net income (loss) and earnings (loss) per share, which are reported on a GAAP basis. Our management and Board of Directors review Economic Earnings (Loss) and Economic EPS to evaluate our ongoing performance, allocate resources, and review our dividend policy. We believe that these non-GAAP performance measures, while not substitutes for GAAP net income (loss) or earnings (loss) per share, are useful for management and investors when evaluating our underlying operating and financial performance and our available resources. We do not advocate that investors consider these non-GAAP measures without also considering financial information prepared in accordance with GAAP.
We define Economic Earnings (Loss) as net income (loss) plus non-cash equity-based compensation expense, impairment expense, amortization of intangible assets, currency translation adjustment reclassification and deferred taxes related to goodwill. Although depreciation on fixed assets is a non-cash expense, we do not add it back when calculating Economic Earnings (Loss) because depreciation charges represent an allocation of the decline in the value of the related assets that will ultimately require replacement. In addition, we do not adjust Economic Earnings (Loss) for tax deductions related to restricted stock expense or amortization of intangible assets. Economic EPS represents Economic Earnings (Loss) divided by diluted weighted average shares outstanding.
| Three Months Ended | |||||||||||||||||
| September 30, 2021 | June 30, 2021 | September 30, 2020 | |||||||||||||||
| Net income (loss) | $ | 1,879 | $ | 970 | $ | (10,289) | |||||||||||
| Add: Stock-based compensation expense | 1,362 | 1,375 | 488 | ||||||||||||||
| Add: Impairment expense | — | — | 3,403 | ||||||||||||||
| Add: Intangible amortization | 406 | 406 | 435 | ||||||||||||||
| Add: Currency translation adjustment reclassification | — | — | 4,193 | ||||||||||||||
| Add: Tax benefit from goodwill amortization | 59 | 59 | 59 | ||||||||||||||
| Economic Earnings (Loss) | $ | 3,706 | $ | 2,810 | $ | (1,711) | |||||||||||
| Diluted weighted average shares | 7,956,081 | 7,928,106 | 7,829,478 | ||||||||||||||
| Economic EPS | $ | 0.47 | $ | 0.35 | $ | (0.22) | |||||||||||
| Nine Months Ended | |||||||||||||||||
| September 30, 2021 | September 30, 2020 | ||||||||||||||||
| Net income (loss) | $ | 6,950 | $ | (11,762) | |||||||||||||
| Add: Stock-based compensation expense | 4,459 | 5,409 | |||||||||||||||
| Add: Impairment expense | — | 3,403 | |||||||||||||||
| Add: Intangible amortization | 1,218 | 1,293 | |||||||||||||||
| Add: Currency translation adjustment reclassification | — | 4,193 | |||||||||||||||
| Add: Tax benefit from goodwill amortization | 177 | 177 | |||||||||||||||
| Economic Earnings | $ | 12,804 | $ | 2,713 | |||||||||||||
| Diluted weighted average shares | 7,933,860 | 8,040,417 | |||||||||||||||
| Economic EPS | $ | 1.61 | $ | 0.34 | |||||||||||||