Document and Entity Information
Document and Entity Information | 3 Months Ended |
Mar. 31, 2019shares | |
Document And Entity Information [Abstract] | |
Entity Registrant Name | Luxfer Holdings PLC |
Entity Central Index Key | 0001096056 |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Accelerated Filer |
Trading Symbol | LXFR |
Document Type | 10-Q |
Document Period End Date | Mar. 31, 2019 |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | Q1 |
Amendment Flag | false |
Entity Common Stock, Shares Outstanding | 27,196,450 |
Entity Emerging Growth Company | false |
Entity Small Business | false |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2019 | Apr. 01, 2018 | ||
Income Statement [Abstract] | |||
Net sales | $ 120.4 | $ 119.7 | |
Cost of goods sold | (90.3) | (89.4) | |
Gross profit | 30.1 | 30.3 | |
Selling, general and administrative expenses | (16.4) | (15.2) | |
Research and development | (1.4) | (1.6) | |
Restructuring charges | (9) | (0.7) | |
Impairment charges | 0.2 | 0 | |
Acquisition related costs | (4.6) | 0 | |
Operating (loss) / income | (1.1) | 12.8 | |
Interest expense | (1.1) | (1.6) | |
Interest income | 0 | 0.1 | |
Defined benefit pension credit | 0.6 | 1.4 | |
(Loss) / income before income taxes and equity in net income of affiliates | (1.6) | 12.7 | |
Provision for income taxes | (2.1) | (3) | |
(Loss) / income before equity in net income of affiliates | (3.7) | 9.7 | |
Equity (loss) / income of affiliates (net of tax) | (0.1) | 0.2 | |
Net (loss) / income | $ (3.8) | $ 9.9 | |
(Loss) / earnings per share | |||
Basic (usd per share) | $ (0.14) | $ 0.37 | |
Diluted (usd per share) | [1] | $ (0.14) | $ 0.37 |
Weighted average ordinary shares outstanding | |||
Basic (shares) | 27,032,677 | 26,512,765 | |
Diluted (shares) | 27,032,677 | 26,897,883 | |
[1] | The loss per share |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) / INCOME (UNAUDITED) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Statement of Comprehensive Income [Abstract] | ||
Net (loss) / income | $ (3.8) | $ 9.9 |
Other comprehensive income / (loss) | ||
Net change in foreign currency translation adjustment | 1.4 | 3.4 |
Pension and post-retirement actuarial gains / (losses), net of $0.1 and $0.4 tax, respectively | 0.5 | (3.9) |
Cash flow hedges, net of $0.0 and $0.0 of tax, respectively | 0.2 | 0 |
Other comprehensive income / (loss), net of tax | 2.1 | (0.5) |
Total comprehensive (loss) / income | $ (1.7) | $ 9.4 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) / INCOME (UNAUDITED) CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) / INCOME (UNAUDITED) (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Statement of Comprehensive Income [Abstract] | ||
Pension and post-retirement actuarial gains / (losses), tax | $ 0.1 | $ 0.4 |
Cash flow hedges, tax | $ 0 | $ 0 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Current assets | ||
Cash and cash equivalents | $ 14.2 | $ 13.8 |
Restricted cash | 0.3 | 0.3 |
Accounts and other receivables, net of allowances of $2.3 and $2.4, respectively | 73.7 | 62.7 |
Inventories | 97.9 | 93.6 |
Other current assets | 10.4 | 10.7 |
Total current assets | 196.5 | 181.1 |
Non-current assets | ||
Property, plant and equipment, net | 107.8 | 106.9 |
Right-of-use assets from operating leases | 17.8 | 18.4 |
Goodwill | 68.4 | 67.6 |
Intangibles, net | 14.3 | 14.6 |
Deferred tax assets | 17.4 | 18.6 |
Investments and loans to joint ventures and other affiliates | 1.6 | 1.6 |
Total assets | 423.8 | 408.8 |
Current liabilities | ||
Current maturities of long-term debt and short-term borrowings | 7.6 | 3.5 |
Accounts payable | 37 | 36.9 |
Accrued liabilities | 34 | 33.8 |
Taxes on income | 2.9 | 1.6 |
Other current liabilities | 20.7 | 15.4 |
Total current liabilities | 102.2 | 91.2 |
Non-current liabilities | ||
Long-term debt | 85 | 73.6 |
Pensions and other retirement benefits | 37.8 | 40 |
Deferred tax liabilities | 3.2 | 3.5 |
Other non-current liabilities | 15.8 | 16.2 |
Total liabilities | 244 | 224.5 |
Shareholders' equity | ||
Additional paid-in capital | 65.9 | 65.6 |
Treasury shares | (4.3) | (4.3) |
Own shares held by ESOP | (1.9) | (2.2) |
Retained earnings | 88.1 | 95.3 |
Accumulated other comprehensive loss | (144.5) | (146.6) |
Total shareholders' equity | 179.8 | 184.3 |
Total liabilities and shareholders' equity | 423.8 | 408.8 |
Ordinary shares | ||
Shareholders' equity | ||
Common stock | 26.6 | 26.6 |
Deferred shares | ||
Shareholders' equity | ||
Common stock | $ 149.9 | $ 149.9 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) $ in Millions | Mar. 31, 2019USD ($)shares | Mar. 31, 2019£ / shares | Dec. 31, 2018USD ($)shares | Dec. 31, 2018£ / shares |
Statement of Financial Position [Abstract] | ||||
Accounts and other receivables, allowances | $ | $ 2.3 | $ 2.4 | ||
Ordinary shares | ||||
Common stock, par value (in GBP per share) | £ / shares | £ 0.50 | £ 0.50 | ||
Common stock, shares authorized (in shares) | 40,000,000 | 40,000,000 | ||
Common stock, shares issued (in shares) | 29,000,000 | 27,136,799 | ||
Common stock, shares outstanding (in shares) | 29,000,000 | 27,136,799 | ||
Deferred shares | ||||
Common stock, par value (in GBP per share) | £ / shares | £ 0.0001 | £ 0.0001 | ||
Common stock, shares authorized (in shares) | 761,845,318,444 | 769,423,688,000 | ||
Common stock, shares issued (in shares) | 761,835,338,444 | 769,413,708,000 | ||
Common stock, shares outstanding (in shares) | 761,835,338,444 | 769,413,708,000 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Operating activities | ||
Net (loss) / income | $ (3.8) | $ 9.9 |
Adjustments to reconcile net (loss) / income to net cash (used for) / provided by operating activities | ||
Equity loss / (income) of unconsolidated affiliates | 0.1 | (0.2) |
Depreciation | 3.4 | 4.6 |
Amortization of purchased intangible assets | 0.3 | 0.3 |
Amortization of debt issuance costs | 0.1 | 0.1 |
Share-based compensation charges | 2.6 | 0.5 |
Deferred income taxes | 0.8 | 0.8 |
Asset impairment charges | (0.2) | 0 |
Pension and other post-retirement expense | 0.7 | 0.3 |
Pension and other post-retirement contributions | (3.2) | (3.2) |
Changes in assets and liabilities, net of effects of business acquisitions | ||
Accounts and notes receivable | (10.4) | (0.1) |
Inventories | (3.6) | (11.2) |
Other current assets | 0 | 1.3 |
Accounts payable | (0.8) | 6.7 |
Accrued liabilities | (1.7) | (2.8) |
Other current liabilities | 7.2 | 2.2 |
Other non-current assets and liabilities | 0.7 | (0.9) |
Net cash (used for) / provided by operating activities | (7.8) | 8.3 |
Investing activities | ||
Capital expenditures | (3.2) | (1.3) |
Investments in unconsolidated affiliates | 0 | 0.6 |
Acquisitions, net of cash acquired | 0 | (0.5) |
Net cash used for investing activities | (3.2) | (1.2) |
Financing activities | ||
Net drawdown / (repayments) of short-term borrowings | 4.2 | (4.2) |
Net drawdown / (repayments) of long-term borrowings | 11.3 | (4) |
Deferred consideration paid | (0.5) | 0 |
Proceeds from sale of shares | 1.4 | 0 |
Dividends paid | (3.4) | (3.4) |
Share-based compensation cash paid | (1.8) | (0.6) |
Net cash from / (used) for financing activities | 11.2 | (12.2) |
Effect of exchange rate changes on cash and cash equivalents | 0.2 | (0.1) |
Net increase / (decrease) | 0.4 | (5.2) |
Cash, cash equivalents and restricted cash; beginning of year | 14.1 | 13.3 |
Cash, cash equivalents and restricted cash; end of the First Quarter | 14.5 | 8.1 |
Supplemental cash flow information: | ||
Interest payments | 1.1 | 1.4 |
Income tax payments | $ 0 | $ 0.1 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (UNAUDITED) - USD ($) shares in Millions, $ in Millions | Total | Additional paid-in capital | Treasury shares | Own shares held by ESOP | Retained earnings | Accumulated other comprehensive loss | Ordinary sharesCommon stock | [1] | Deferred sharesCommon stock | [2] |
Beginning balance at Dec. 31, 2017 | $ 174.5 | $ 62.1 | $ (5.8) | $ (1) | $ 83.7 | $ (140.7) | $ 25.3 | $ 150.9 | ||
Beginning balance (in shares) at Dec. 31, 2017 | (0.5) | (0.1) | ||||||||
Net (loss) / income | 9.9 | 9.9 | ||||||||
Other comprehensive (loss) income, net of tax | (0.5) | (0.5) | ||||||||
Dividends declared | (6.7) | (6.7) | ||||||||
Share-based compensation | (0.1) | (0.1) | ||||||||
Purchase of shares from ESOP | 0 | (0.1) | $ 0.1 | |||||||
Ending balance at Apr. 01, 2018 | 177.1 | 61.9 | $ (5.8) | $ (0.9) | 86.9 | (141.2) | 25.3 | 150.9 | ||
Ending balance (in shares) at Apr. 01, 2018 | (0.5) | (0.1) | ||||||||
Beginning balance at Dec. 31, 2018 | 184.3 | 65.6 | $ (4.3) | $ (2.2) | 95.3 | (146.6) | 26.6 | 149.9 | ||
Beginning balance (in shares) at Dec. 31, 2018 | (0.4) | (1.6) | ||||||||
Net (loss) / income | (3.8) | (3.8) | ||||||||
Other comprehensive (loss) income, net of tax | 2.1 | 2.1 | ||||||||
Dividends declared | (3.4) | (3.4) | ||||||||
Share-based compensation | (0.8) | (0.8) | ||||||||
Shares sold from ESOP | 1.4 | 1.3 | $ 0.1 | |||||||
Shares sold from ESOP (in shares) | 0.1 | |||||||||
Utilization of shares from ESOP to satisfy share based compensation | 0 | (0.2) | $ 0.2 | |||||||
Utilization of shares from ESOP to satisfy share based compensation (in shares) | 0.1 | |||||||||
Ending balance at Mar. 31, 2019 | $ 179.8 | $ 65.9 | $ (4.3) | $ (1.9) | $ 88.1 | $ (144.5) | $ 26.6 | $ 149.9 | ||
Ending balance (in shares) at Mar. 31, 2019 | (0.4) | (1.4) | ||||||||
[1] | Ordinary share capital includes 29,000,000 shares in 2019, 27,136,799 shares in 2018, respectively. | |||||||||
[2] | Deferred share capital includes 761,835,338,444 shares in 2019, and 769,413,708,000 shares in 2018. |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (UNAUDITED) (Parenthetical) - shares | Mar. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Ordinary shares | |||
Common stock, shares outstanding (in shares) | 29,000,000 | 27,136,799 | 27,136,799 |
Deferred shares | |||
Common stock, shares outstanding (in shares) | 761,835,338,444 | 769,413,708,000 | 769,413,708,000 |
Basis of Presentation and Respo
Basis of Presentation and Responsibility for interim Financial Statements | 3 Months Ended |
Mar. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Responsibility for interim Financial Statements | Basis of Presentation and Responsibility for interim Financial Statements We prepared the accompanying unaudited consolidated financial statements of Luxfer Holdings PLC and all wholly-owned, majority owned or otherwise controlled subsidiaries on the same basis as our annual audited financial statements, except for the adoption for Accounting Standards Codification ("ASC") Topic 842, "Leases". We condensed or omitted certain information and footnote disclosures normally included in our annual audited financial statements, which we prepared in accordance with U.S. Generally Accepted Accounting Principles (GAAP). Our quarterly financial statements should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2018. As used in this report, the terms "we," "us," "our," "Luxfer" and "the Company" mean Luxfer Holdings PLC and its subsidiaries, unless the context indicates another meaning. In the opinion of management, our financial statements reflect all adjustments, which are of a normal recurring nature, necessary for presentation of financial statements for interim periods in accordance with U.S. GAAP and with the instructions to Form 10-Q in Article 10 of Securities and Exchange Commission (SEC) Regulation S-X. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions about future events that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of our financial statements and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from those estimates, and any such differences may be material to our financial statements. Our fiscal year ends on December 31. We report our interim quarterly periods on a 13-week quarter basis, ending on a Sunday. The First Quarter , 2019 , ended March 31, 2019 , and the First Quarter , 2018 , ended April 1, 2018 . Adoption of new accounting standards On January 1, 2019, we adopted ASC Topic 842, "Leases", and applied the modified retrospective approach to recognizing any right-of-use assets and lease liabilities. Upon adoption, we have recognized all of our leases greater than one-year in duration and greater than $5,000 fair value, on the balance sheet as right-of-use assets and lease liabilities. This has resulted in us restating the prior period comparatives and have recognized a right-of-use asset of $21.2 million at January 1, 2018, with a corresponding lease liability, split $3.1 million , recognized in Other current liabilities , and $18.1 million recognized in Other non-current liabilities . Classification as either operating or finance is based on criteria largely similar to those applied in ASC 840 but without explicit bright lines. We have made certain assumptions in judgments when applying ASC 842, those judgments of most significance are as follows: • We elected the package of practical expedients available for transition which allow us to not reassess: ◦ Whether expired or existing contracts contain leases under the new definition of a lease; ◦ Lease classification for expired or existing leases; and ◦ Whether previously capitalized initial direct costs would qualify for capitalization under ASC 842. • We did not elect to use hindsight for transition when considering judgments and estimates such as assessments of lessee options to extend or terminate a lease or purchase the underlying asset. • We did not elect to reassess whether land easements meet the definition of a lease if they were not accounted for as leases under the former rules. • For all asset classes, we elected to not recognize a right-of-use asset and lease liability for leases with a term of 12 months or less. • For all asset classes, we elected to not separate non-lease components from lease components to which they relate and have accounted for the combined lease and non-lease components as a single lease component. 1. Basis of Presentation and Responsibility for interim Financial Statements (continued) We determine if an arrangement is a lease at inception. Operating leases are included in our Consolidated Balance Sheet as Right-of-use assets from operating leases , Current operating lease liabilities and Long-term operating lease liabilities . Some of our lease agreements contain renewal options; however, we do not recognize right-of-use assets or lease liabilities for renewal periods unless it is determined that we are reasonably certain of renewing the lease at inception or when a triggering event occurs. Some of our lease agreements contain rent escalation clauses (including index-based escalations), rent holidays, capital improvement funding or other lease concessions. We recognize our minimum rental expense on a straight-line basis based on the fixed components of a lease arrangement. We amortize this expense over the term of the lease beginning with the date of initial possession, which is the date we enter the leased space and begin to make improvements in preparation for its intended use. In determining our right-of-use assets and lease liabilities, we apply a discount rate to the minimum lease payments within each lease agreement. ASC 842 requires us to use the rate of interest that a lessee would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. When we cannot readily determine the discount rate implicit in the lease agreement, we utilize our incremental borrowing rate. To estimate our specific incremental borrowing rates over various tenors (ranging from one-year through 30-years), a comparable market yield curve consistent with our credit quality was calibrated to our publicly outstanding debt instruments. The standard had no impact on our results of operations or cash flows. In addition, new disclosures are provided to enable users to assess the amount, timing and uncertainty of cash flows arising from leases. Accounting standards issued but not yet effective None that will be material to the Company. |
Earnings per share
Earnings per share | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings per share | Earnings per share Basic earnings per share are computed by dividing net income for the period by the weighted-average number of ordinary shares outstanding, net of Treasury shares and shares held in ESOP. Diluted earnings per share are computed by dividing net income for the period by the weighted average number of ordinary shares outstanding and the dilutive ordinary shares equivalents. Basic and diluted earnings per share were calculated as follows: First Quarter In millions except share and per-share data 2019 2018 Basic earnings: Net (loss) / income $ (3.8 ) $ 9.9 Weighted average number of £0.50 ordinary shares: For basic earnings per share 27,032,677 26,512,765 Dilutive effect of potential common stock — 385,118 For diluted earnings per share 27,032,677 26,897,883 (Loss) / earnings per share using weighted average number of ordinary shares outstanding: Basic (loss) / earnings per ordinary share $ (0.14 ) $ 0.37 Diluted (loss) / earnings per ordinary share $ (0.14 ) $ 0.37 In the first quarter of 2019, basic average shares outstanding and diluted average shares outstanding were the same because the effect of potential shares of common stock was anti-dilutive since the Company generated a net loss. As a result, 735,730 combined were not included in the computation of diluted EPS. |
Revenue
Revenue | 3 Months Ended |
Mar. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Disaggregated sales disclosures for the quarter ended March 31, 2019 , and April 1, 2018 , are included below and in Note 14, Segmental Information. First Quarter 2019 2018 In millions Gas Cylinders Elektron Total Gas Cylinders Elektron Total General industrial $ 13.1 $ 30.6 $ 43.7 $ 13.0 $ 28.4 $ 41.4 Transportation 20.9 19.1 40.0 16.7 17.4 34.1 Defense and emergency 18.7 10.5 29.2 23.2 13.6 36.8 Healthcare 5.7 1.8 7.5 6.4 1.0 7.4 $ 58.4 $ 62.0 $ 120.4 $ 59.3 $ 60.4 $ 119.7 The Company’s performance obligations are satisfied over time as work progresses or at a point in time. Design and tooling arrangements are the only contracts for which sales are recognized over time. Sales from these sources combined accounted for less than 3% of the Company’s sales for the quarters ended March 31, 2019 , and April 1, 2018 . All consideration from contracts with customers is included in these amounts. The following table provides information about contract receivables, contract assets and contract liabilities from contracts with customers: In millions March 31, 2019 December 31, 2018 Contract receivables $ 1.9 $ 1.5 Contract assets 2.0 2.1 Contract liabilities (0.8 ) (1.1 ) Contract assets consist of $2.0 million accrued unbilled amounts relating to tooling revenue and are recognized in prepayments and accrued income in the consolidated balance sheets. Of the $2.1 million contract assets recognized as of December 31, 2018 , $1.1 million was billed to customers and transferred to receivables as of March 31, 2019 . Contract liabilities of $0.8 million consist of advance payments and billing above costs incurred and are recognized as other current liabilities . Significant changes in contract liabilities balances during the period are as follows: In millions 2019 As at January 1, $ (1.1 ) Payments received / amounts billed (0.1 ) Costs incurred / revenue recognized 0.4 As at March 31, $ (0.8 ) |
Restructuring
Restructuring | 3 Months Ended |
Mar. 31, 2019 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring During the First Quarter of 2019 and the year ended December 31, 2018 , we initiated and continued execution of certain business restructuring initiatives aimed at reducing our fixed cost structure and realigning our business. Initiatives during the First Quarter of 2019 were predominantly in relation to the continued consultation to close the Gas Cylinders segment's French site. There is an expectation that further costs will be incurred during 2019. Restructuring-related costs included within Restructuring charges in the Condensed Consolidated Financial Statements by reportable segment were as follows: First Quarter In millions 2019 2018 Severance and related costs Gas Cylinders segment $ 8.9 $ 0.2 Elektron segment 0.1 0.5 Total restructuring charges $ 9.0 $ 0.7 Activity related to restructuring, recorded in Other current liabilities in the consolidated balance sheets is summarized as follows: In millions 2019 Balance at January 1, $ 5.2 Costs incurred 9.0 Cash payments and other (2.3 ) Balance at March 31, $ 11.9 |
Acquisition related costs
Acquisition related costs | 3 Months Ended |
Mar. 31, 2019 | |
Business Combinations [Abstract] | |
Acquisition related costs | Acquisition related costs Acquisition-related costs of $4.6 million in the First Quarter, 2019, (2018: nil ) relate to a $3.5 million termination payment and our professional and legal fees incurred in connection with the aborted acquisition of Neo Performance Materials. |
Goodwill and other identifiable
Goodwill and other identifiable intangible assets | 3 Months Ended |
Mar. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and other identifiable intangible assets | Goodwill and other identifiable intangible assets Changes in goodwill during the First Quarter , ended March 31, 2019 , were as follows: In millions Gas Cylinders Elektron Total At January 1, 2019 $ 26.3 $ 41.3 $ 67.6 Exchange difference 0.5 0.3 0.8 Balance at March 31, 2019 $ 26.8 $ 41.6 $ 68.4 Identifiable intangible assets consisted of the following: March 31, 2019 December 31, 2018 In millions Gross Accumulated amortization Net Gross Accumulated amortization Net Customer relationships $ 13.4 $ (4.1 ) $ 9.3 $ 13.4 $ (3.8 ) $ 9.6 Technology and trading related 7.9 (2.9 ) 5.0 7.9 (2.9 ) 5.0 $ 21.3 $ (7.0 ) $ 14.3 $ 21.3 $ (6.7 ) $ 14.6 Identifiable intangible asset amortization expense was $0.3 million for the First Quarter of 2019 and 2018 respectively. Intangible asset amortization expense during the remainder of 2019 and over the next five years is expected to be approximately $0.9 million in 2019, $1.1 million in 2020, $1.1 million in 2021, $1.1 million in 2022, $1.1 million in 2023 and $1.1 million in 2024. |
Supplementary balance sheet inf
Supplementary balance sheet information | 3 Months Ended |
Mar. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Supplementary balance sheet information | Supplementary balance sheet information March 31, December 31, In millions 2019 2018 Accounts and other receivables Trade receivables $ 60.2 $ 49.8 Related parties 1.4 0.9 Prepayments and accrued income 7.9 7.7 Derivative financial instruments 0.3 0.1 Other receivables 3.9 4.2 Total accounts and other receivables $ 73.7 $ 62.7 Inventories Raw materials and supplies $ 30.0 $ 30.5 Work-in-process 38.9 33.1 Finished goods 29.0 30.0 Total inventories $ 97.9 $ 93.6 Other current assets Held-for-sale assets $ 10.4 $ 10.7 Total other current assets $ 10.4 $ 10.7 Property, plant and equipment, net Land, buildings and leasehold improvements $ 73.2 $ 73.3 Machinery and equipment 287.8 286.0 Construction in progress 12.7 10.1 Total property plant and equipment 373.7 369.4 Accumulated depreciation and impairment (265.9 ) (262.5 ) Total property, plant and equipment, net $ 107.8 $ 106.9 Current maturities of long-term debt and short-term borrowings Overdrafts 7.6 3.5 Total current maturities of long-term debt and short-term borrowings $ 7.6 $ 3.5 Other current liabilities Contingent liabilities $ 12.3 $ 5.3 Held-for-sale liabilities 2.1 2.5 Derivative financial instruments 0.2 — Operating lease liability 3.5 3.5 Other current liabilities 2.6 4.1 Total other current liabilities $ 20.7 $ 15.4 Other non-current liabilities Contingent liabilities $ 1.0 $ 0.8 Operating lease liability 14.2 14.9 Other non-current liabilities 0.6 0.5 Total other non-current liabilities $ 15.8 $ 16.2 6. Supplementary balance sheet information (continued) Held-for-sale assets and liabilities Held-for-sale assets March 31, December 31, In millions 2019 2018 Property, plant and equipment $ 5.7 $ 5.5 Inventory 2.3 2.9 Accounts and other receivables 2.4 2.3 Held-for-sale assets $ 10.4 $ 10.7 Held-for-sale liabilities Accounts payable $ 2.1 $ 2.5 Held-for-sale liabilities $ 2.1 $ 2.5 All held-for-sale assets relate to our Elektron Segment in 2019, and 2018, respectively. |
Debt
Debt | 3 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Debt | Debt Debt outstanding was as follows: In millions March 31, 2019 December 31, 2018 3.67% Loan Notes due 2021 $ 25.0 $ 25.0 4.88% Loan Notes due 2023 25.0 25.0 4.94% Loan Notes due 2026 25.0 25.0 Revolving credit facility 11.3 — Other - Bank overdraft 7.6 3.5 Unamortized debt issuance costs (1.3 ) (1.4 ) Total debt $ 92.6 $ 77.1 Less current portion $ (7.6 ) $ (3.5 ) Non-current debt $ 85.0 $ 73.6 The weighted-average interest rate on the revolving credit facility was 2.45% for the First Quarter of 2019 and 3.58% for the full-year 2018. The maturity profile of the Company's debt, excluding unamortized issuance costs and discounts, is as follows: In millions 2019 2020 2021 2022 2023 2024 Thereafter Total Loan Notes due 2021 $ — $ — $ 25.0 $ — $ — $ — $ — $ 25.0 Loan Notes due 2023 — — — — 25.0 — — 25.0 Loan Notes due 2026 — — — — — — 25.0 25.0 Revolving credit facility — — — 11.3 — — — 11.3 Other 7.6 — — — — — — 7.6 Total debt $ 7.6 $ — $ 25.0 $ 11.3 $ 25.0 $ — $ 25.0 $ 93.9 Loan notes due and shelf facility We have been in compliance with the covenants under the Note Purchase and Private Shelf Agreement throughout all of the quarterly measurement dates from and including September 30, 2014, to March 31, 2019 . The Loan Notes due 2021, 2023 and 2026, the Shelf Facility and the Note Purchase and Private Shelf Agreement are governed by the law of the State of New York. Senior Facilities Agreement During the First Quarter of 2019, we drew down $11.3 million on the Revolving Credit Facility and the balance outstanding at March 31, 2019 , was $11.3 million , and at December 31, 2018 , was nil . We have been in compliance with the covenants under the Senior Facilities Agreement throughout all of the quarterly measurement dates from and including September 30, 2011, to March 31, 2019 . |
Derivatives and Financial Instr
Derivatives and Financial Instruments | 3 Months Ended |
Mar. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Financial Instruments | Derivatives and Financial Instruments The Company's financial instruments comprise bank and other loans, senior loan notes, derivatives, trade payables deferred and deferred contingent consideration. Other than derivatives, the main purpose of these financial instruments is to raise finance for the Company's operations. The Company also has various financial assets such as trade receivables and cash and cash equivalents, which arise directly from its operations. Derivative financial instruments We are exposed to market risk during the normal course of business from changes in currency exchange rates, interest rates and commodity prices such as aluminum prices. We manage exposures through a combination of normal operating and financing activities and through the use of derivative financial instruments such as foreign currency forward purchase contracts and aluminum forward purchase contracts. We do not use market risk-sensitive instruments for trading or speculative purposes. The Company had $0.3 million and $0.1 million derivative financial instruments disclosed within Accounts and other receivables as of March 31, 2019 and December 31, 2018 , respectively. There were also $0.2 million and nil derivative financial instruments recorded in Other current liabilities at March 31, 2019 , and December 31, 2018 , respectively. The fair value of forward foreign currency exchange contracts deferred in equity was a loss of $0.6 million and a loss of $0.4 million at March 31, 2019 , and December 31, 2018 , respectively. During the First Quarter of 2019 , $0.2 million was transferred to the Income Statement. Forward foreign currency exchange contracts The Company incurs currency transaction risk whenever one of the Company's operating subsidiaries enters into either a purchase or sales transaction in a currency other than its functional currency. Currency transaction risk is reduced by matching sales and expenses in the same currency. The Company's U.S. operations have little currency exposure, as most purchases, costs and sales are conducted in U.S. dollars. The Company's U.K. operations are exposed to exchange transaction risks, mainly because these operations sell goods priced in euros and U.S. dollars, and purchase raw materials priced in U.S. dollars and its functional currency is GBP sterling. The Company also incurs currency transaction risk if it lends currency other than its functional currency to one of its joint venture partners. At March 31, 2019, and December 31, 2018, the Company held various forward foreign currency exchange contracts designated as hedges in respect of forward sales for U.S. dollars, euros and Australian dollars for the receipt of GBP sterling or euros. The Company also held forward foreign currency exchange contracts designated as hedges in respect of forward purchases for U.S. dollars by the sale of GBP sterling. The contract totals in GBP sterling and euros, range of maturity dates and range of exchange rates are disclosed below, with the value denominated in GBP sterling given that is the currency the majority of the contracts are held in. March 31, 2019 Sales hedges U.S. dollars Euros Contract totals/£m 7.2 13.9 Maturity dates 04/19 to 07/19 04/19 to 07/19 Exchange rates $1.3034 to $1.3419 €1.0949 to €1.1734 Purchase hedges U.S. dollars Euros Canadian dollars Contract totals/£m 6.4 1.4 2.8 Maturity dates 04/19 to 07/19 04/19 to 07/19 04/19 to 05/19 Exchange rates $1.3022 to $1.3380 €1.1074 to €1.1706 $1.7201 to $1.7691 December 31, 2018 Sales hedges U.S. dollars Euros Contract totals/£m 4.8 7.2 Maturity dates 01/19 to 07/19 01/19 to 07/19 Exchange rates $1.2519 to $1.3419 €1.0949 to €1.1702 Purchase hedges U.S. dollars Euros Canadian dollars Czech koruna Contract totals/£m 7.5 1.7 2.9 0.1 Maturity dates 01/19 to 07/19 01/19 to 06/19 01/19 to 03/19 01/19 Exchange rates $1.2609 to $1.3380 €1.1074 to €1.1221 $1.7039 to $1.7416 CZK 28.4490 The above contracts are held in GBP sterling, therefore the analysis in the table has been given in GBP sterling to avoid any movements as a result of translation. 9. Derivatives and Financial Instruments (continued) Fair value of financial instruments The following methods were used to estimate the fair values of each class of financial instrument: Cash at bank and in hand / overdrafts The carrying value approximates to the fair value as a result of the short-term maturity of the instruments. Cash at bank and in hand are subject to a right to offset in the U.S. Bank loans Bank and other loans, excluding overdrafts, of $86.3 million were outstanding at March 31, 2019 , and $75.0 million were outstanding at December 31, 2018 . Bank and other loans are shown net of issue costs of $1.3 million and $1.4 million at March 31, 2019 , and December 31, 2018 , respectively, and are to be amortized to the expected maturity of the facilities. Of the bank and other loans outstanding, $11.3 million and none is variable interest rate debt and subject to floating interest rate risk, with the remainder being fixed rate debt, at March 31, 2019 , and December 31, 2018 , respectively. Forward foreign currency exchange rate contracts The fair value of these contracts was calculated by determining what the Company would be expected to receive or pay on termination of each individual contract by comparison to present market prices. LME derivative contracts The fair value of these contracts has been calculated by valuing the contracts against the equivalent forward rates quoted on the LME. Deferred contingent consideration The deferred contingent consideration is in relation to the acquisition of Truetech and Innotech (Luxfer Magtech) in 2014 and is linked to the future profitability of the entity. The Company uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation technique: Level 1: quoted (unadjusted) prices in active markets for identical assets or liabilities. Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly. Level 3: techniques which use inputs which have a significant effect on the recorded fair value that are not based on observable market data. The fair values of the financial instruments of the Company at March 31, 2019 , were analyzed using the hierarchy as follows: In millions Total Level 1 Level 2 Level 3 Derivative financial assets: Foreign currency contract assets $ 0.3 $ — $ 0.3 $ — Derivative financial liabilities: Foreign currency contract liabilities (0.2 ) — (0.2 ) — Interest bearing loans and borrowings: Loan Notes due 2021 (25.0 ) — (25.0 ) — Loan Notes due 2023 (25.9 ) — (25.9 ) — Loan Notes due 2026 (26.5 ) — (26.5 ) — Revolving Credit Facility (11.3 ) — (11.3 ) — Other financial liabilities: Deferred contingent consideration (0.4 ) — — (0.4 ) 9. Derivatives and Financial Instruments (continued) The following table presents the changes in Level 3 instruments for the First Quarter ended March 31, 2019 . In millions 2019 Balance at January 1, $ 0.9 Payments made during year (0.5 ) Balance at March 31, $ 0.4 Total losses for the period included in profit and loss for assets held at the end at March 31 — Change in unrealized (gains) or losses for the period included in profit and loss for assets held at the end at March 31, $ — |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes We manage our affairs so that we are centrally managed and controlled in the United Kingdom (“U.K.”) and therefore have our tax residency in the U.K. The provision for income taxes consists of provisions for the U.K. and international income taxes. We operate in an international environment with operations in various locations outside the U.K. Accordingly, the consolidated income tax rate is a composite rate reflecting the earnings in the various locations and the applicable rates. The effective income tax rate for the First Quarter ended March 31, 2019 , was negative 131% , compared to 23.6% for the First Quarter ended April 1, 2018 . The 2019 rate was adversely affected by the impact of non-deductible expenses related to the aborted acquisition of Neo Performance Materials and restructuring activities. We continue to actively pursue initiatives to reduce our effective tax rate. The tax rate in any quarter can be affected positively or negatively by adjustments that are required to be reported in the specific quarter of resolution. On December 22, 2017, the Tax Cuts and Jobs Act of 2017 (the “Act”) was signed into law making significant changes to the U.S. Internal Revenue Code. Changes include, but are not limited to, a corporate tax rate decrease from 35% to 21% effective for tax years beginning after December 31, 2017, the transition of U.S. international taxation from a worldwide tax system to a territorial system, and a one-time transition tax on the mandatory deemed repatriation of cumulative foreign earnings as of December 31, 2017. For 2018, the Company considered in its estimated annual effective tax rate additional provisions of the Act including changes to the deduction for executive compensation and interest expense, a tax on global intangible low-taxed income provisions (“GILTI”), the base erosion anti-abuse tax, and a deduction for foreign-derived intangible income. The Company has elected to treat tax on GILTI income as a period cost and has therefore included it in its annual estimated effective tax rate. |
Pension Plans
Pension Plans | 3 Months Ended |
Mar. 31, 2019 | |
Retirement Benefits [Abstract] | |
Pension Plans | Pension Plans The principal defined benefit pension plan in the U.K. is the Luxfer Group Pension Plan. The Company’s other arrangements are less significant than the Luxfer Group Pension Plan, the largest being the BA Holdings, Inc. Pension Plan in the U.S. Components of net periodic benefit cost for our pension plans for the First Quarter ended March 31, 2019, and 2018 were as follows: First Quarter In millions 2019 2018 Net periodic benefit credit Interest cost $ 2.7 $ 2.7 Expected return on plan assets (3.8 ) (4.4 ) Amortization of: Net actuarial loss 0.7 0.6 Prior service credit (0.1 ) (0.1 ) Net periodic benefit credit $ (0.5 ) $ (1.2 ) In respect of defined contribution plans Total charge for defined contribution plans 1.2 1.5 Total charge for pension plans $ 0.7 $ 0.3 11. Pension Plans (continued) In accordance with ASC 715, defined benefit credit is split in the income statement, with $0.1 million (2018: $ 0.2 million ) of expenses recognized within Selling, general and administrative expenses and a credit of $0.6 million (2018: $1.4 million ) recognized below Operating (loss) / income in the income statement. |
Shareholders' Equity
Shareholders' Equity | 3 Months Ended |
Mar. 31, 2019 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders' Equity (a) Dividends paid and proposed In millions 2019 2018 Dividends declared and paid during the year: Interim dividend paid February 7, 2018 ($0.125 per ordinary share) $ — $ 3.4 Interim dividend paid February 6, 2019 ($0.125 per ordinary share) 3.4 — $ 3.4 $ 3.4 In millions 2019 2018 Dividends declared before and paid after April 1, (recognized as a liability at April 1): Interim dividend declared March 27, and paid May 2, 2018: ($0.125 per ordinary share) $ — $ 3.3 $ — $ 3.3 Dividends declared and paid after March 31 (not recognized as a liability at March 31): Interim dividend declared April 1, and paid May 1, 2019: ($0.125 per ordinary share) $ 3.4 $ — $ 3.4 $ — |
Share Plans
Share Plans | 3 Months Ended |
Mar. 31, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share Plans | Share Plans Total share-based compensation expense for the quarters ended March 31, 2019 , and April 1, 2018 , was as follows: First Quarter In millions 2019 2018 Total share-based compensation charges $ 2.6 $ 0.5 In March 2019, we issued our annual share-based compensation grants under the Luxfer Holdings PLC Long-Term Umbrella Incentive Plan. The total number of awards issued was approximately 200,000 and the weighted-average fair value of options granted in 2019 was estimated to be $17.70 per share. The following table illustrates the assumptions used in deriving the fair value of share options granted during the First Quarter of 2019 and the year-ended December 31, 2018 ,: 2019 2018 Dividend yield (%) 4.00 4.00 Expected volatility range (%) 22.65 - 35.77 22.65 - 35.77 Risk-free interest rate (%) 0.12 - 2.57 0.12 - 2.57 Expected life of share options range (years) 1.00 - 4.00 0.50 - 6.00 Weighted average exercise price ($) $0.89 $0.65 Model used Black-Scholes & Monte-Carlo Black-Scholes & Monte-Carlo The expected life of the share options is based on historical data and current expectations, and is not necessarily indicative of exercise patterns that may occur. The expected volatility reflects the assumption that the historical volatility over a period similar to the life of the options is indicative of future trends, which may not necessarily be the actual outcome. |
Segmental Information
Segmental Information | 3 Months Ended |
Mar. 31, 2019 | |
Segment Reporting [Abstract] | |
Segmental Information | Segmental Information We classify our operations into two core business segments, Gas Cylinders and Elektron, based primarily on shared economic characteristics for the nature of the products and services; the nature of the production processes; the type or class of customer for their products and services; the methods used to distribute their products or provide their services; and the nature of the regulatory environment. The Company has six identified business units, which aggregate into the two reportable segments. Luxfer Gas Cylinders and Luxfer Superform aggregate into the Gas Cylinders segment, and Luxfer MEL Technologies, Luxfer Magtech, Luxfer Graphic Arts and Luxfer Czech Republic aggregate into the Elektron segment. A summary of the operations of the segments is provided below: Gas Cylinders segment Our Gas Cylinders segment manufactures and markets specialized products using aluminum, titanium and carbon composites, including pressurized cylinders for use in various applications including self-contained breathing apparatus (SCBA) for firefighters, containment of oxygen and other medical gases for healthcare, alternative fuel vehicles, and general industrial. The segment also forms lightweight aluminum and titanium panels into highly complex shapes that are used mainly in the transportation industry. Elektron segment Our Elektron segment focuses on specialty materials based primarily on magnesium and zirconium, with key product lines including advanced lightweight magnesium alloys with a variety of uses across a variety of industries; magnesium powders for use in countermeasure flares, as well as heater meals; photoengraving plates for graphic arts; and high-performance zirconium-based materials and oxides used as catalysts and in the manufacture of advanced ceramics, fiber-optic fuel cells, and many other performance products. Other Other primarily represents unallocated corporate expense and includes non-service related defined benefit pension cost / credit. Management monitors the operating results of its reportable segments separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated by the chief operating decision maker, who is responsible for allocating resources and assessing performance of the operating segments as the CEO, using adjusted EBITA (1) and adjusted EBITDA, which we defined as segment income and are based on operating income adjusted for share-based compensation expense; qualifying restructuring charges; impairment charges; legal expenses incurred from patent litigation with a competitor; profit on sale of redundant site; acquisition-related charges / credits; loss on disposal of property, plant and equipment; depreciation and amortization; and unwind of discount on deferred consideration. Unallocated assets and liabilities include those which are held on behalf of the Company and cannot be allocated to a segment, such as taxation, investments, cash, retirement benefits obligations, bank and other loans and holding company assets and liabilities. Financial information by reportable segment for the First Quarter ended March 31, 2019 , and April 1, 2018 , is included in the following summary: Net sales Adjusted EBITDA In millions 2019 2018 2019 2018 Gas Cylinders segment $ 58.4 $ 59.3 $ 4.5 $ 6.0 Elektron segment 62.0 60.4 14.0 13.2 Consolidated $ 120.4 $ 119.7 $ 18.5 $ 19.2 Depreciation and amortization Restructuring charges In millions 2019 2018 2019 2018 Gas Cylinders segment $ 1.4 $ 1.9 $ 8.9 $ 0.2 Elektron segment 2.3 3.0 0.1 0.5 Consolidated $ 3.7 $ 4.9 $ 9.0 $ 0.7 (1) Adjusted EBITA is adjusted EBITDA less depreciation and loss on disposal of property, plant and equipment. 14. Segmental Information (continued) Total assets Capital expenditures In millions 2019 2018 2019 2018 Gas Cylinders segment $ 162.3 $ 156.3 $ 1.1 $ 0.4 Elektron segment 227.1 218.2 2.6 1.0 Other 34.4 34.3 — — $ 423.8 $ 408.8 $ 3.7 $ 1.4 Property, plant and equipment, net In millions 2019 2018 United States $ 65.1 $ 66.1 United Kingdom 37.8 36.0 Rest of Europe 1.0 1.1 Asia Pacific 0.3 0.3 Other (2) 3.6 3.4 $ 107.8 $ 106.9 The following table presents a reconciliation of Adjusted EBITDA to net income: In millions 2019 2018 Adjusted EBITDA $ 18.5 $ 19.2 Other share-based compensation charges (2.6 ) (0.5 ) Loss on disposal of property, plant and equipment — — Depreciation and amortization (3.7 ) (4.9 ) Unwind discount on deferred consideration — (0.1 ) Restructuring charges (9.0 ) (0.7 ) Fair value adjustment to held-for-sale assets 0.2 — Acquisition costs (4.6 ) — Defined benefits pension mark-to-market gain 0.6 1.4 Interest expense, net (1.1 ) (1.5 ) Provision for income taxes (2.1 ) (3.0 ) Net income $ (3.8 ) $ 9.9 14. Segmental Information (continued) The following tables present certain geographic information by geographic region for the First Quarter ended March 31,: Net Sales (1) 2019 2018 $M Percent $M Percent United States $ 61.4 51.0 % $ 62.3 52.0 % U.K. 11.5 9.6 % 11.6 9.7 % Germany 8.2 6.8 % 11.4 9.5 % Italy 6.5 5.4 % 5.3 4.4 % France 5.2 4.3 % 4.9 4.1 % Top five countries $ 92.8 77.1 % $ 95.5 79.8 % Rest of Europe 11.8 9.8 % 7.6 6.3 % Asia Pacific 11.6 9.6 % 10.6 8.9 % Other (2) 4.2 3.5 % 6.0 5.0 % $ 120.4 $ 119.7 (1) Net sales are based on the geographic destination of sale. (2) Other includes Canada, South America, Latin America and Africa. |
Leases
Leases | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Leases | Leases We have operating leases for buildings, vehicles and certain equipment. The majority of our leases have remaining lease terms of one to nine years , with one building having 54 years remaining. The components of lease expense were as follows: First Quarter In millions 2019 2018 Operating lease cost $ 1.1 $ 0.9 None of our leases were classified as finance leases in 2019 or 2018. Supplemental cash flow information related to leases was as follows: First Quarter In millions 2019 2018 Operating cash flows from operating leases $ 1.1 $ 0.9 Supplemental balance sheet information related to leases was as follows: March 31, December 31, In millions 2019 2018 Operating leases Operating lease right-of-use asset $ 17.8 $ 18.4 Other current liabilities 3.5 3.5 Other non-current liabilities 14.2 14.9 $ 17.7 $ 18.4 Weighted Average Remaining Lease Term (Years) 3.7 3.7 Weighted Average Discount Rate 4.46 % 4.46 % 15. Leases (continued) Maturities of lease liabilities were as follows: In millions 2019 2019 (excluding the first quarter of 2019) $ 3.2 2020 4 2021 3.2 2022 2.1 2023 1.5 2024 1.2 Thereafter 10.0 Total lease payments $ 25.2 Less imputed interest (7.5 ) Total $ 17.7 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Committed banking facilities At March 31, 2019 , and December 31, 2018 , the Company had committed banking facilities of $150.0 million . The facilities were for providing loans and overdrafts, with a separate facility for letters of credit which at March 31, 2019 , was £7.0 million ( $9.1 million ) and December 31, 2018 , was £7.0 million ( $8.9 million ). Of the committed facilities, $7.6 million was drawn for overdrafts, no loans were drawn and no letters of credit were utilized at March 31, 2019 , $3.5 million , nil and nil at December 31, 2018 . The Company also has a separate bonding facility for bank guarantees denominated in GBP sterling of £3.0 million (2019: $3.9 million , 2018: $3.8 million ), of which $1.0 million ( $1.4 million ) was utilized at March 31, 2019 , and December 31, 2018 , respectively. Contingencies During February 2014, a cylinder was sold to a long-term customer and ruptured at one of their gas facilities. As a result of this rupture, three people were noted to have minor injuries such as loss of hearing. There was no major damage to assets of the customer. A claim was launched by the three people who were injured in the incident and a prosecutor has been appointed. We had reviewed our quality control checks from around the time which the cylinder was produced and no instances of failures were noted. It has also been noted by the investigator that the customer has poor quality and safety checks. As a result, we do not believe that we are liable for the incident, and therefore, do not currently expect this case to have a material impact on the Company's financial position or results of operations. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events None. |
Basis of Presentation and Res_2
Basis of Presentation and Responsibility for interim Financial Statements (Policies) | 3 Months Ended |
Mar. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of presentation | We prepared the accompanying unaudited consolidated financial statements of Luxfer Holdings PLC and all wholly-owned, majority owned or otherwise controlled subsidiaries on the same basis as our annual audited financial statements, except for the adoption for Accounting Standards Codification ("ASC") Topic 842, "Leases". We condensed or omitted certain information and footnote disclosures normally included in our annual audited financial statements, which we prepared in accordance with U.S. Generally Accepted Accounting Principles (GAAP). Our quarterly financial statements should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2018. As used in this report, the terms "we," "us," "our," "Luxfer" and "the Company" mean Luxfer Holdings PLC and its subsidiaries, unless the context indicates another meaning. In the opinion of management, our financial statements reflect all adjustments, which are of a normal recurring nature, necessary for presentation of financial statements for interim periods in accordance with U.S. GAAP and with the instructions to Form 10-Q in Article 10 of Securities and Exchange Commission (SEC) Regulation S-X. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions about future events that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of our financial statements and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from those estimates, and any such differences may be material to our financial statements. |
Fiscal year | Our fiscal year ends on December 31. We report our interim quarterly periods on a 13-week quarter basis, ending on a Sunday. The First Quarter , 2019 , ended March 31, 2019 , and the First Quarter , 2018 , ended April 1, 2018 . |
Adoption of new accounting standards and Accounting standards issued but not yet effective | Adoption of new accounting standards On January 1, 2019, we adopted ASC Topic 842, "Leases", and applied the modified retrospective approach to recognizing any right-of-use assets and lease liabilities. Upon adoption, we have recognized all of our leases greater than one-year in duration and greater than $5,000 fair value, on the balance sheet as right-of-use assets and lease liabilities. This has resulted in us restating the prior period comparatives and have recognized a right-of-use asset of $21.2 million at January 1, 2018, with a corresponding lease liability, split $3.1 million , recognized in Other current liabilities , and $18.1 million recognized in Other non-current liabilities . Classification as either operating or finance is based on criteria largely similar to those applied in ASC 840 but without explicit bright lines. We have made certain assumptions in judgments when applying ASC 842, those judgments of most significance are as follows: • We elected the package of practical expedients available for transition which allow us to not reassess: ◦ Whether expired or existing contracts contain leases under the new definition of a lease; ◦ Lease classification for expired or existing leases; and ◦ Whether previously capitalized initial direct costs would qualify for capitalization under ASC 842. • We did not elect to use hindsight for transition when considering judgments and estimates such as assessments of lessee options to extend or terminate a lease or purchase the underlying asset. • We did not elect to reassess whether land easements meet the definition of a lease if they were not accounted for as leases under the former rules. • For all asset classes, we elected to not recognize a right-of-use asset and lease liability for leases with a term of 12 months or less. • For all asset classes, we elected to not separate non-lease components from lease components to which they relate and have accounted for the combined lease and non-lease components as a single lease component. 1. Basis of Presentation and Responsibility for interim Financial Statements (continued) We determine if an arrangement is a lease at inception. Operating leases are included in our Consolidated Balance Sheet as Right-of-use assets from operating leases , Current operating lease liabilities and Long-term operating lease liabilities . Some of our lease agreements contain renewal options; however, we do not recognize right-of-use assets or lease liabilities for renewal periods unless it is determined that we are reasonably certain of renewing the lease at inception or when a triggering event occurs. Some of our lease agreements contain rent escalation clauses (including index-based escalations), rent holidays, capital improvement funding or other lease concessions. We recognize our minimum rental expense on a straight-line basis based on the fixed components of a lease arrangement. We amortize this expense over the term of the lease beginning with the date of initial possession, which is the date we enter the leased space and begin to make improvements in preparation for its intended use. In determining our right-of-use assets and lease liabilities, we apply a discount rate to the minimum lease payments within each lease agreement. ASC 842 requires us to use the rate of interest that a lessee would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. When we cannot readily determine the discount rate implicit in the lease agreement, we utilize our incremental borrowing rate. To estimate our specific incremental borrowing rates over various tenors (ranging from one-year through 30-years), a comparable market yield curve consistent with our credit quality was calibrated to our publicly outstanding debt instruments. The standard had no impact on our results of operations or cash flows. In addition, new disclosures are provided to enable users to assess the amount, timing and uncertainty of cash flows arising from leases. Accounting standards issued but not yet effective None that will be material to the Company. |
Earnings per share Earnings per
Earnings per share Earnings per share (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share | Basic and diluted earnings per share were calculated as follows: First Quarter In millions except share and per-share data 2019 2018 Basic earnings: Net (loss) / income $ (3.8 ) $ 9.9 Weighted average number of £0.50 ordinary shares: For basic earnings per share 27,032,677 26,512,765 Dilutive effect of potential common stock — 385,118 For diluted earnings per share 27,032,677 26,897,883 (Loss) / earnings per share using weighted average number of ordinary shares outstanding: Basic (loss) / earnings per ordinary share $ (0.14 ) $ 0.37 Diluted (loss) / earnings per ordinary share $ (0.14 ) $ 0.37 |
Revenue Revenue (Tables)
Revenue Revenue (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | Disaggregated sales disclosures for the quarter ended March 31, 2019 , and April 1, 2018 , are included below and in Note 14, Segmental Information. First Quarter 2019 2018 In millions Gas Cylinders Elektron Total Gas Cylinders Elektron Total General industrial $ 13.1 $ 30.6 $ 43.7 $ 13.0 $ 28.4 $ 41.4 Transportation 20.9 19.1 40.0 16.7 17.4 34.1 Defense and emergency 18.7 10.5 29.2 23.2 13.6 36.8 Healthcare 5.7 1.8 7.5 6.4 1.0 7.4 $ 58.4 $ 62.0 $ 120.4 $ 59.3 $ 60.4 $ 119.7 |
Schedule of Contract Assets and Liabilities | Significant changes in contract liabilities balances during the period are as follows: In millions 2019 As at January 1, $ (1.1 ) Payments received / amounts billed (0.1 ) Costs incurred / revenue recognized 0.4 As at March 31, $ (0.8 ) The following table provides information about contract receivables, contract assets and contract liabilities from contracts with customers: In millions March 31, 2019 December 31, 2018 Contract receivables $ 1.9 $ 1.5 Contract assets 2.0 2.1 Contract liabilities (0.8 ) (1.1 ) |
Restructuring (Tables)
Restructuring (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Costs | Restructuring-related costs included within Restructuring charges in the Condensed Consolidated Financial Statements by reportable segment were as follows: First Quarter In millions 2019 2018 Severance and related costs Gas Cylinders segment $ 8.9 $ 0.2 Elektron segment 0.1 0.5 Total restructuring charges $ 9.0 $ 0.7 |
Schedule of Restructuring Reserve | Activity related to restructuring, recorded in Other current liabilities in the consolidated balance sheets is summarized as follows: In millions 2019 Balance at January 1, $ 5.2 Costs incurred 9.0 Cash payments and other (2.3 ) Balance at March 31, $ 11.9 |
Goodwill and other identifiab_2
Goodwill and other identifiable intangible assets (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Changes in goodwill during the First Quarter , ended March 31, 2019 , were as follows: In millions Gas Cylinders Elektron Total At January 1, 2019 $ 26.3 $ 41.3 $ 67.6 Exchange difference 0.5 0.3 0.8 Balance at March 31, 2019 $ 26.8 $ 41.6 $ 68.4 |
Schedule of Intangible Assets | Identifiable intangible assets consisted of the following: March 31, 2019 December 31, 2018 In millions Gross Accumulated amortization Net Gross Accumulated amortization Net Customer relationships $ 13.4 $ (4.1 ) $ 9.3 $ 13.4 $ (3.8 ) $ 9.6 Technology and trading related 7.9 (2.9 ) 5.0 7.9 (2.9 ) 5.0 $ 21.3 $ (7.0 ) $ 14.3 $ 21.3 $ (6.7 ) $ 14.6 |
Supplementary balance sheet i_2
Supplementary balance sheet information (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Condensed Balance Sheet | Supplementary balance sheet information March 31, December 31, In millions 2019 2018 Accounts and other receivables Trade receivables $ 60.2 $ 49.8 Related parties 1.4 0.9 Prepayments and accrued income 7.9 7.7 Derivative financial instruments 0.3 0.1 Other receivables 3.9 4.2 Total accounts and other receivables $ 73.7 $ 62.7 Inventories Raw materials and supplies $ 30.0 $ 30.5 Work-in-process 38.9 33.1 Finished goods 29.0 30.0 Total inventories $ 97.9 $ 93.6 Other current assets Held-for-sale assets $ 10.4 $ 10.7 Total other current assets $ 10.4 $ 10.7 Property, plant and equipment, net Land, buildings and leasehold improvements $ 73.2 $ 73.3 Machinery and equipment 287.8 286.0 Construction in progress 12.7 10.1 Total property plant and equipment 373.7 369.4 Accumulated depreciation and impairment (265.9 ) (262.5 ) Total property, plant and equipment, net $ 107.8 $ 106.9 Current maturities of long-term debt and short-term borrowings Overdrafts 7.6 3.5 Total current maturities of long-term debt and short-term borrowings $ 7.6 $ 3.5 Other current liabilities Contingent liabilities $ 12.3 $ 5.3 Held-for-sale liabilities 2.1 2.5 Derivative financial instruments 0.2 — Operating lease liability 3.5 3.5 Other current liabilities 2.6 4.1 Total other current liabilities $ 20.7 $ 15.4 Other non-current liabilities Contingent liabilities $ 1.0 $ 0.8 Operating lease liability 14.2 14.9 Other non-current liabilities 0.6 0.5 Total other non-current liabilities $ 15.8 $ 16.2 |
Schedule of Current Held-for-Sale Assets and Liabilities | Held-for-sale assets and liabilities Held-for-sale assets March 31, December 31, In millions 2019 2018 Property, plant and equipment $ 5.7 $ 5.5 Inventory 2.3 2.9 Accounts and other receivables 2.4 2.3 Held-for-sale assets $ 10.4 $ 10.7 Held-for-sale liabilities Accounts payable $ 2.1 $ 2.5 Held-for-sale liabilities $ 2.1 $ 2.5 |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | Debt outstanding was as follows: In millions March 31, 2019 December 31, 2018 3.67% Loan Notes due 2021 $ 25.0 $ 25.0 4.88% Loan Notes due 2023 25.0 25.0 4.94% Loan Notes due 2026 25.0 25.0 Revolving credit facility 11.3 — Other - Bank overdraft 7.6 3.5 Unamortized debt issuance costs (1.3 ) (1.4 ) Total debt $ 92.6 $ 77.1 Less current portion $ (7.6 ) $ (3.5 ) Non-current debt $ 85.0 $ 73.6 |
Schedule of Maturities of Company's Debt | The maturity profile of the Company's debt, excluding unamortized issuance costs and discounts, is as follows: In millions 2019 2020 2021 2022 2023 2024 Thereafter Total Loan Notes due 2021 $ — $ — $ 25.0 $ — $ — $ — $ — $ 25.0 Loan Notes due 2023 — — — — 25.0 — — 25.0 Loan Notes due 2026 — — — — — — 25.0 25.0 Revolving credit facility — — — 11.3 — — — 11.3 Other 7.6 — — — — — — 7.6 Total debt $ 7.6 $ — $ 25.0 $ 11.3 $ 25.0 $ — $ 25.0 $ 93.9 |
Derivatives and Financial Ins_2
Derivatives and Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | March 31, 2019 Sales hedges U.S. dollars Euros Contract totals/£m 7.2 13.9 Maturity dates 04/19 to 07/19 04/19 to 07/19 Exchange rates $1.3034 to $1.3419 €1.0949 to €1.1734 Purchase hedges U.S. dollars Euros Canadian dollars Contract totals/£m 6.4 1.4 2.8 Maturity dates 04/19 to 07/19 04/19 to 07/19 04/19 to 05/19 Exchange rates $1.3022 to $1.3380 €1.1074 to €1.1706 $1.7201 to $1.7691 December 31, 2018 Sales hedges U.S. dollars Euros Contract totals/£m 4.8 7.2 Maturity dates 01/19 to 07/19 01/19 to 07/19 Exchange rates $1.2519 to $1.3419 €1.0949 to €1.1702 Purchase hedges U.S. dollars Euros Canadian dollars Czech koruna Contract totals/£m 7.5 1.7 2.9 0.1 Maturity dates 01/19 to 07/19 01/19 to 06/19 01/19 to 03/19 01/19 Exchange rates $1.2609 to $1.3380 €1.1074 to €1.1221 $1.7039 to $1.7416 CZK 28.4490 |
Schedule of fair values of the financial instruments | The fair values of the financial instruments of the Company at March 31, 2019 , were analyzed using the hierarchy as follows: In millions Total Level 1 Level 2 Level 3 Derivative financial assets: Foreign currency contract assets $ 0.3 $ — $ 0.3 $ — Derivative financial liabilities: Foreign currency contract liabilities (0.2 ) — (0.2 ) — Interest bearing loans and borrowings: Loan Notes due 2021 (25.0 ) — (25.0 ) — Loan Notes due 2023 (25.9 ) — (25.9 ) — Loan Notes due 2026 (26.5 ) — (26.5 ) — Revolving Credit Facility (11.3 ) — (11.3 ) — Other financial liabilities: Deferred contingent consideration (0.4 ) — — (0.4 ) |
Schedule of changes in Level 3 instruments | The following table presents the changes in Level 3 instruments for the First Quarter ended March 31, 2019 . In millions 2019 Balance at January 1, $ 0.9 Payments made during year (0.5 ) Balance at March 31, $ 0.4 Total losses for the period included in profit and loss for assets held at the end at March 31 — Change in unrealized (gains) or losses for the period included in profit and loss for assets held at the end at March 31, $ — |
Pension Plans (Tables)
Pension Plans (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Retirement Benefits [Abstract] | |
Schedule of Net Benefit Costs | Components of net periodic benefit cost for our pension plans for the First Quarter ended March 31, 2019, and 2018 were as follows: First Quarter In millions 2019 2018 Net periodic benefit credit Interest cost $ 2.7 $ 2.7 Expected return on plan assets (3.8 ) (4.4 ) Amortization of: Net actuarial loss 0.7 0.6 Prior service credit (0.1 ) (0.1 ) Net periodic benefit credit $ (0.5 ) $ (1.2 ) In respect of defined contribution plans Total charge for defined contribution plans 1.2 1.5 Total charge for pension plans $ 0.7 $ 0.3 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Equity [Abstract] | |
Schedule of Dividends Paid and Proposed | In millions 2019 2018 Dividends declared and paid during the year: Interim dividend paid February 7, 2018 ($0.125 per ordinary share) $ — $ 3.4 Interim dividend paid February 6, 2019 ($0.125 per ordinary share) 3.4 — $ 3.4 $ 3.4 In millions 2019 2018 Dividends declared before and paid after April 1, (recognized as a liability at April 1): Interim dividend declared March 27, and paid May 2, 2018: ($0.125 per ordinary share) $ — $ 3.3 $ — $ 3.3 Dividends declared and paid after March 31 (not recognized as a liability at March 31): Interim dividend declared April 1, and paid May 1, 2019: ($0.125 per ordinary share) $ 3.4 $ — $ 3.4 $ — |
Share Plans (Tables)
Share Plans (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Share-based Compensation Expense | Total share-based compensation expense for the quarters ended March 31, 2019 , and April 1, 2018 , was as follows: First Quarter In millions 2019 2018 Total share-based compensation charges $ 2.6 $ 0.5 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The following table illustrates the assumptions used in deriving the fair value of share options granted during the First Quarter of 2019 and the year-ended December 31, 2018 ,: 2019 2018 Dividend yield (%) 4.00 4.00 Expected volatility range (%) 22.65 - 35.77 22.65 - 35.77 Risk-free interest rate (%) 0.12 - 2.57 0.12 - 2.57 Expected life of share options range (years) 1.00 - 4.00 0.50 - 6.00 Weighted average exercise price ($) $0.89 $0.65 Model used Black-Scholes & Monte-Carlo Black-Scholes & Monte-Carlo |
Segmental Information Segmental
Segmental Information Segmental Information (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Financial information by reportable segment for the First Quarter ended March 31, 2019 , and April 1, 2018 , is included in the following summary: Net sales Adjusted EBITDA In millions 2019 2018 2019 2018 Gas Cylinders segment $ 58.4 $ 59.3 $ 4.5 $ 6.0 Elektron segment 62.0 60.4 14.0 13.2 Consolidated $ 120.4 $ 119.7 $ 18.5 $ 19.2 Depreciation and amortization Restructuring charges In millions 2019 2018 2019 2018 Gas Cylinders segment $ 1.4 $ 1.9 $ 8.9 $ 0.2 Elektron segment 2.3 3.0 0.1 0.5 Consolidated $ 3.7 $ 4.9 $ 9.0 $ 0.7 (1) Adjusted EBITA is adjusted EBITDA less depreciation and loss on disposal of property, plant and equipment. 14. Segmental Information (continued) Total assets Capital expenditures In millions 2019 2018 2019 2018 Gas Cylinders segment $ 162.3 $ 156.3 $ 1.1 $ 0.4 Elektron segment 227.1 218.2 2.6 1.0 Other 34.4 34.3 — — $ 423.8 $ 408.8 $ 3.7 $ 1.4 Property, plant and equipment, net In millions 2019 2018 United States $ 65.1 $ 66.1 United Kingdom 37.8 36.0 Rest of Europe 1.0 1.1 Asia Pacific 0.3 0.3 Other (2) 3.6 3.4 $ 107.8 $ 106.9 |
Property, plant and equipment, net by geographic region | Property, plant and equipment, net In millions 2019 2018 United States $ 65.1 $ 66.1 United Kingdom 37.8 36.0 Rest of Europe 1.0 1.1 Asia Pacific 0.3 0.3 Other (2) 3.6 3.4 $ 107.8 $ 106.9 |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | The following table presents a reconciliation of Adjusted EBITDA to net income: In millions 2019 2018 Adjusted EBITDA $ 18.5 $ 19.2 Other share-based compensation charges (2.6 ) (0.5 ) Loss on disposal of property, plant and equipment — — Depreciation and amortization (3.7 ) (4.9 ) Unwind discount on deferred consideration — (0.1 ) Restructuring charges (9.0 ) (0.7 ) Fair value adjustment to held-for-sale assets 0.2 — Acquisition costs (4.6 ) — Defined benefits pension mark-to-market gain 0.6 1.4 Interest expense, net (1.1 ) (1.5 ) Provision for income taxes (2.1 ) (3.0 ) Net income $ (3.8 ) $ 9.9 |
Revenue from External Customers and Long-term Assets by Geographic Areas | The following tables present certain geographic information by geographic region for the First Quarter ended March 31,: Net Sales (1) 2019 2018 $M Percent $M Percent United States $ 61.4 51.0 % $ 62.3 52.0 % U.K. 11.5 9.6 % 11.6 9.7 % Germany 8.2 6.8 % 11.4 9.5 % Italy 6.5 5.4 % 5.3 4.4 % France 5.2 4.3 % 4.9 4.1 % Top five countries $ 92.8 77.1 % $ 95.5 79.8 % Rest of Europe 11.8 9.8 % 7.6 6.3 % Asia Pacific 11.6 9.6 % 10.6 8.9 % Other (2) 4.2 3.5 % 6.0 5.0 % $ 120.4 $ 119.7 (1) Net sales are based on the geographic destination of sale. (2) Other includes Canada, South America, Latin America and Africa. |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Summary of lease expense and supplemental information | The components of lease expense were as follows: First Quarter In millions 2019 2018 Operating lease cost $ 1.1 $ 0.9 None of our leases were classified as finance leases in 2019 or 2018. Supplemental cash flow information related to leases was as follows: First Quarter In millions 2019 2018 Operating cash flows from operating leases $ 1.1 $ 0.9 Supplemental balance sheet information related to leases was as follows: March 31, December 31, In millions 2019 2018 Operating leases Operating lease right-of-use asset $ 17.8 $ 18.4 Other current liabilities 3.5 3.5 Other non-current liabilities 14.2 14.9 $ 17.7 $ 18.4 Weighted Average Remaining Lease Term (Years) 3.7 3.7 Weighted Average Discount Rate 4.46 % 4.46 % |
Maturities of lease liabilities | Maturities of lease liabilities were as follows: In millions 2019 2019 (excluding the first quarter of 2019) $ 3.2 2020 4 2021 3.2 2022 2.1 2023 1.5 2024 1.2 Thereafter 10.0 Total lease payments $ 25.2 Less imputed interest (7.5 ) Total $ 17.7 |
Basis of Presentation and Res_3
Basis of Presentation and Responsibility for interim Financial Statements (Details) - USD ($) | Mar. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Jan. 01, 2018 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Right-of-use assets from operating leases | $ 17,800,000 | $ 18,400,000 | ||
Operating lease liability | 3,500,000 | 3,500,000 | ||
Operating lease liability | $ 14,200,000 | $ 14,900,000 | ||
Accounting Standards Update 2016-02 | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Lease threshold for recognition | $ 5,000 | |||
Right-of-use assets from operating leases | $ 21,200,000 | |||
Operating lease liability | 3,100,000 | |||
Operating lease liability | $ 18,100,000 |
Earnings per share Earnings p_2
Earnings per share Earnings per share (Details) $ / shares in Units, $ in Millions | 3 Months Ended | |||||
Mar. 31, 2019USD ($)$ / sharesshares | Apr. 01, 2018USD ($)$ / sharesshares | Mar. 31, 2019£ / shares | Dec. 31, 2018£ / shares | Apr. 01, 2018£ / shares | ||
Basic earnings: | ||||||
Net (loss) / income | $ | $ (3.8) | $ 9.9 | ||||
Weighted average number of £0.50 ordinary shares: | ||||||
For basic earnings per share (shares) | 27,032,677 | 26,512,765 | ||||
Dilutive effect of potential common stock (shares) | 0 | 385,118 | ||||
For diluted earnings per share (shares) | 27,032,677 | 26,897,883 | ||||
(Loss) / earnings per share using weighted average number of ordinary shares outstanding: | ||||||
Basic earnings per ordinary share (usd per share) | $ / shares | $ (0.14) | $ 0.37 | ||||
Diluted earnings per ordinary share (usd per share) | $ / shares | [1] | $ (0.14) | $ 0.37 | |||
Class of Stock [Line Items] | ||||||
Shares not included in the computation of diluted EPS (in shares) | 735,730 | |||||
Ordinary shares | ||||||
Class of Stock [Line Items] | ||||||
Common stock, par value (in GBP per share) | £ / shares | £ 0.50 | £ 0.50 | £ 0.50 | |||
[1] | The loss per share |
Revenue - Disaggregation of Rev
Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 120.4 | $ 119.7 |
General industrial | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 43.7 | 41.4 |
Transportation | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 40 | 34.1 |
Defense and emergency | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 29.2 | 36.8 |
Healthcare | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 7.5 | 7.4 |
Gas Cylinders segment | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 58.4 | 59.3 |
Gas Cylinders segment | General industrial | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 13.1 | 13 |
Gas Cylinders segment | Transportation | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 20.9 | 16.7 |
Gas Cylinders segment | Defense and emergency | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 18.7 | 23.2 |
Gas Cylinders segment | Healthcare | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 5.7 | 6.4 |
Elektron segment | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 62 | 60.4 |
Elektron segment | General industrial | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 30.6 | 28.4 |
Elektron segment | Transportation | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 19.1 | 17.4 |
Elektron segment | Defense and emergency | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 10.5 | 13.6 |
Elektron segment | Healthcare | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 1.8 | $ 1 |
Revenue - Additional Informatio
Revenue - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2019 | Apr. 01, 2018 | Dec. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |||
Revenue, performance obligation satisfied over time, percentage (less than) | 3.00% | 3.00% | |
Contract assets | $ 2 | $ 2.1 | |
Contract asset, reclassified to receivables | 1.1 | ||
Contract liabilities | $ 0.8 | $ 1.1 |
Revenue - Contract Receivables,
Revenue - Contract Receivables, Contract Assets, and Contract Liabilities (Details) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Revenue from Contract with Customer [Abstract] | ||
Contract receivables | $ 1.9 | $ 1.5 |
Contract assets | 2 | 2.1 |
Contract liabilities | $ (0.8) | $ (1.1) |
Revenue - Significant Changes i
Revenue - Significant Changes in Contract Liabilities (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Contract With Customer, Asset (Liability) [Roll Forward] | |
Beginning balance | $ (1.1) |
Payments received / amounts billed | (0.1) |
Costs incurred / revenue recognized | 0.4 |
Ending balance | $ (0.8) |
Restructuring - Restructuring C
Restructuring - Restructuring Charges (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Restructuring Cost and Reserve [Line Items] | ||
Total restructuring charges | $ 9 | $ 0.7 |
Gas Cylinders segment | ||
Restructuring Cost and Reserve [Line Items] | ||
Total restructuring charges | 8.9 | 0.2 |
Elektron segment | ||
Restructuring Cost and Reserve [Line Items] | ||
Total restructuring charges | $ 0.1 | $ 0.5 |
Restructuring - Restructuring R
Restructuring - Restructuring Reserve (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Restructuring Reserve [Roll Forward] | |
Beginning balance | $ 5.2 |
Costs incurred | 9 |
Cash payments and other | (2.3) |
Ending balance | $ 11.9 |
Acquisition related costs (Deta
Acquisition related costs (Details) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2019 | Dec. 31, 2018 | |
Business Combinations [Abstract] | ||
Acquisition-related costs | $ 4,600,000 | $ 0 |
Acquisition termination payment | $ 3,500,000 |
Goodwill and other identifiab_3
Goodwill and other identifiable intangible assets - Schedule of Goodwill (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Goodwill [Roll Forward] | |
Beginning balance | $ 67.6 |
Exchange difference | 0.8 |
Ending balance | 68.4 |
Gas Cylinders | |
Goodwill [Roll Forward] | |
Beginning balance | 26.3 |
Exchange difference | 0.5 |
Ending balance | 26.8 |
Elektron | |
Goodwill [Roll Forward] | |
Beginning balance | 41.3 |
Exchange difference | 0.3 |
Ending balance | $ 41.6 |
Goodwill and other identifiab_4
Goodwill and other identifiable intangible assets - Schedule of Intangible Assets (Details) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Finite-Lived Intangible Assets | ||
Gross | $ 21.3 | $ 21.3 |
Accumulated amortization | (7) | (6.7) |
Net | 14.3 | 14.6 |
Customer relationships | ||
Finite-Lived Intangible Assets | ||
Gross | 13.4 | 13.4 |
Accumulated amortization | (4.1) | (3.8) |
Net | 9.3 | 9.6 |
Technology and trading related | ||
Finite-Lived Intangible Assets | ||
Gross | 7.9 | 7.9 |
Accumulated amortization | (2.9) | (2.9) |
Net | $ 5 | $ 5 |
Goodwill and other identifiab_5
Goodwill and other identifiable intangible assets - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Identifiable intangible asset amortization expense | $ 0.3 | $ 0.3 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity | ||
2019 | 0.9 | |
2020 | 1.1 | |
2021 | 1.1 | |
2022 | 1.1 | |
2023 | 1.1 | |
2024 | $ 1.1 |
Supplementary balance sheet i_3
Supplementary balance sheet information - Schedule of Condensed Balance Sheet (Details) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Accounts and other receivables | ||
Trade receivables | $ 60.2 | $ 49.8 |
Related parties | 1.4 | 0.9 |
Prepayments and accrued income | 7.9 | 7.7 |
Derivative financial instruments | 0.3 | 0.1 |
Other receivables | 3.9 | 4.2 |
Total accounts and other receivables | 73.7 | 62.7 |
Inventories | ||
Raw materials and supplies | 30 | 30.5 |
Work-in-process | 38.9 | 33.1 |
Finished goods | 29 | 30 |
Total inventories | 97.9 | 93.6 |
Other current assets | ||
Held-for-sale assets | 10.4 | 10.7 |
Total other current assets | 10.4 | 10.7 |
Property, Plant and Equipment [Abstract] | ||
Total property plant and equipment | 373.7 | 369.4 |
Accumulated depreciation and impairment | (265.9) | (262.5) |
Total property, plant and equipment, net | 107.8 | 106.9 |
Current maturities of long-term debt and short-term borrowings | ||
Overdrafts | 7.6 | 3.5 |
Total current maturities of long-term debt and short-term borrowings | 7.6 | 3.5 |
Other current liabilities | ||
Contingent liabilities | 12.3 | 5.3 |
Held-for-sale liabilities | 2.1 | 2.5 |
Derivative financial instruments | 0.2 | 0 |
Operating lease liability | 3.5 | 3.5 |
Other current liabilities | 2.6 | 4.1 |
Total other current liabilities | 20.7 | 15.4 |
Other non-current liabilities | ||
Contingent liabilities | 1 | 0.8 |
Operating lease liability | 14.2 | 14.9 |
Other non-current liabilities | 0.6 | 0.5 |
Total other non-current liabilities | 15.8 | 16.2 |
Land, buildings and leasehold improvements | ||
Property, Plant and Equipment [Abstract] | ||
Total property plant and equipment | 73.2 | 73.3 |
Machinery and equipment | ||
Property, Plant and Equipment [Abstract] | ||
Total property plant and equipment | 287.8 | 286 |
Construction in progress | ||
Property, Plant and Equipment [Abstract] | ||
Total property plant and equipment | $ 12.7 | $ 10.1 |
Supplementary balance sheet i_4
Supplementary balance sheet information - Schedule of Current Held-for-Sale Assets and Liabilities (Details) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Held-for-sale assets | ||
Held-for-sale assets | $ 10.4 | $ 10.7 |
Held-for-sale liabilities | ||
Held-for-sale liabilities | 2.1 | 2.5 |
Held-for-sale | ||
Held-for-sale assets | ||
Property, plant and equipment | 5.7 | 5.5 |
Inventory | 2.3 | 2.9 |
Accounts and other receivables | 2.4 | 2.3 |
Held-for-sale assets | 10.4 | 10.7 |
Held-for-sale liabilities | ||
Accounts payable | 2.1 | 2.5 |
Held-for-sale liabilities | $ 2.1 | $ 2.5 |
Debt - Schedule of Debt Outstan
Debt - Schedule of Debt Outstanding (Details) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 93.9 | |
Unamortized debt issuance costs | (1.3) | $ (1.4) |
Total debt | 92.6 | 77.1 |
Less current portion | (7.6) | (3.5) |
Long-term debt | 85 | 73.6 |
Other - Bank overdraft | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 7.6 | 3.5 |
Loan Notes | Loan Notes due 2021 | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 25 | 25 |
Debt stated interest rate | 3.67% | |
Loan Notes | Loan Notes due 2023 | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 25 | 25 |
Debt stated interest rate | 4.88% | |
Loan Notes | Loan Notes due 2026 | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 25 | 25 |
Debt stated interest rate | 4.94% | |
Revolving credit facility | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 11.3 | $ 0 |
Debt - Additional Information (
Debt - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Dec. 31, 2018 | |
Debt Instrument [Line Items] | ||
Amount drew down during the period, on line of credit | $ 11.3 | |
Long-term debt, gross | $ 93.9 | |
Revolving credit facility | ||
Debt Instrument [Line Items] | ||
Debt, weighted average interest rate | 2.45% | 3.58% |
Long-term debt, gross | $ 11.3 | $ 0 |
Debt - Schedule of Maturities o
Debt - Schedule of Maturities of Company's Debt (Details) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||
2019 | $ 7.6 | |
2020 | 0 | |
2021 | 25 | |
2022 | 11.3 | |
2023 | 25 | |
2024 | 0 | |
Thereafter | 25 | |
Total | 93.9 | |
Other | ||
Debt Instrument [Line Items] | ||
2019 | 7.6 | |
2020 | 0 | |
2021 | 0 | |
2022 | 0 | |
2023 | 0 | |
2024 | 0 | |
Thereafter | 0 | |
Total | 7.6 | $ 3.5 |
Loan Notes | Loan Notes due 2021 | ||
Debt Instrument [Line Items] | ||
2019 | 0 | |
2020 | 0 | |
2021 | 25 | |
2022 | 0 | |
2023 | 0 | |
2024 | 0 | |
Thereafter | 0 | |
Total | 25 | 25 |
Loan Notes | Loan Notes due 2023 | ||
Debt Instrument [Line Items] | ||
2019 | 0 | |
2020 | 0 | |
2021 | 0 | |
2022 | 0 | |
2023 | 25 | |
2024 | 0 | |
Thereafter | 0 | |
Total | 25 | 25 |
Loan Notes | Loan Notes due 2026 | ||
Debt Instrument [Line Items] | ||
2019 | 0 | |
2020 | 0 | |
2021 | 0 | |
2022 | 0 | |
2023 | 0 | |
2024 | 0 | |
Thereafter | 25 | |
Total | 25 | 25 |
Revolving credit facility | ||
Debt Instrument [Line Items] | ||
2019 | 0 | |
2020 | 0 | |
2021 | 0 | |
2022 | 11.3 | |
2023 | 0 | |
2024 | 0 | |
Thereafter | 0 | |
Total | $ 11.3 | $ 0 |
Derivatives and Financial Ins_3
Derivatives and Financial Instruments - Additional Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2019 | Dec. 31, 2018 | |
Derivative [Line Items] | ||
Derivative loss deferred in equity | $ 600,000 | $ 400,000 |
Derivative (loss) gain transferred to consolidated income statement | 200,000 | |
Long-term debt outstanding | 92,600,000 | 77,100,000 |
Debt issuance costs | 1,300,000 | 1,400,000 |
Variable interest rate debt | 11,300,000 | 0 |
Accounts and Other Receivables | ||
Derivative [Line Items] | ||
Derivative financial assets | 300,000 | 100,000 |
Other Current Liabilities | ||
Derivative [Line Items] | ||
Derivative financial liabilities | 200,000 | 0 |
Bank and other loans | ||
Derivative [Line Items] | ||
Long-term debt outstanding | $ 86,300,000 | $ 75,000,000 |
Derivatives and Financial Ins_4
Derivatives and Financial Instruments - Schedule of Derivative Instruments (Details) - Designated as Hedging Instrument £ in Millions | Mar. 31, 2019GBP (£)€ / £$ / £$ / £ | Dec. 31, 2018GBP (£)€ / £$ / £Kč / £$ / £ |
U.S. dollars | Sales hedges | ||
Derivative [Line Items] | ||
Contract totals/£m | £ | £ 7.2 | £ 4.8 |
U.S. dollars | Sales hedges | Minimum | ||
Derivative [Line Items] | ||
Exchange rates | $ / £ | 1.3034 | 1.2519 |
U.S. dollars | Sales hedges | Maximum | ||
Derivative [Line Items] | ||
Exchange rates | $ / £ | 1.3419 | 1.3419 |
U.S. dollars | Purchase hedges | ||
Derivative [Line Items] | ||
Contract totals/£m | £ | £ 6.4 | £ 7.5 |
U.S. dollars | Purchase hedges | Minimum | ||
Derivative [Line Items] | ||
Exchange rates | $ / £ | 1.3022 | 1.2609 |
U.S. dollars | Purchase hedges | Maximum | ||
Derivative [Line Items] | ||
Exchange rates | $ / £ | 1.3380 | 1.3380 |
Euros | Sales hedges | ||
Derivative [Line Items] | ||
Contract totals/£m | £ | £ 13.9 | £ 7.2 |
Euros | Sales hedges | Minimum | ||
Derivative [Line Items] | ||
Exchange rates | € / £ | 1.0949 | 1.0949 |
Euros | Sales hedges | Maximum | ||
Derivative [Line Items] | ||
Exchange rates | € / £ | 1.1734 | 1.1702 |
Euros | Purchase hedges | ||
Derivative [Line Items] | ||
Contract totals/£m | £ | £ 1.4 | £ 1.7 |
Euros | Purchase hedges | Minimum | ||
Derivative [Line Items] | ||
Exchange rates | € / £ | 1.1074 | 1.1074 |
Euros | Purchase hedges | Maximum | ||
Derivative [Line Items] | ||
Exchange rates | € / £ | 1.1706 | 1.1221 |
Canadian dollars | Purchase hedges | ||
Derivative [Line Items] | ||
Contract totals/£m | £ | £ 2.8 | £ 2.9 |
Canadian dollars | Purchase hedges | Minimum | ||
Derivative [Line Items] | ||
Exchange rates | $ / £ | 1.7201 | 1.7039 |
Canadian dollars | Purchase hedges | Maximum | ||
Derivative [Line Items] | ||
Exchange rates | $ / £ | 1.7691 | 1.7416 |
Czech koruna | Purchase hedges | ||
Derivative [Line Items] | ||
Contract totals/£m | £ | £ 0.1 | |
Exchange rates | Kč / £ | 28.4490 |
Derivatives and Financial Ins_5
Derivatives and Financial Instruments - Fair Values of Financial Instruments (Details) $ in Millions | Mar. 31, 2019USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Deferred contingent consideration | $ (0.4) |
Level 1 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Deferred contingent consideration | 0 |
Level 2 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Deferred contingent consideration | 0 |
Level 3 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Deferred contingent consideration | (0.4) |
Foreign currency contract | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Foreign currency contract assets | 0.3 |
Foreign currency contract liabilities | (0.2) |
Foreign currency contract | Level 1 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Foreign currency contract assets | 0 |
Foreign currency contract liabilities | 0 |
Foreign currency contract | Level 2 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Foreign currency contract assets | 0.3 |
Foreign currency contract liabilities | (0.2) |
Foreign currency contract | Level 3 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Foreign currency contract assets | 0 |
Foreign currency contract liabilities | 0 |
Loan Notes | Loan Notes due 2021 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | (25) |
Loan Notes | Loan Notes due 2023 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | (25.9) |
Loan Notes | Loan Notes due 2026 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | (26.5) |
Loan Notes | Level 1 | Loan Notes due 2021 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | 0 |
Loan Notes | Level 1 | Loan Notes due 2023 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | 0 |
Loan Notes | Level 1 | Loan Notes due 2026 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | 0 |
Loan Notes | Level 2 | Loan Notes due 2021 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | (25) |
Loan Notes | Level 2 | Loan Notes due 2023 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | (25.9) |
Loan Notes | Level 2 | Loan Notes due 2026 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | (26.5) |
Loan Notes | Level 3 | Loan Notes due 2021 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | 0 |
Loan Notes | Level 3 | Loan Notes due 2023 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | 0 |
Loan Notes | Level 3 | Loan Notes due 2026 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | 0 |
Revolving credit facility | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | (11.3) |
Revolving credit facility | Level 1 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | 0 |
Revolving credit facility | Level 2 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | (11.3) |
Revolving credit facility | Level 3 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Interest bearing loans and borrowings | $ 0 |
Derivatives and Financial Ins_6
Derivatives and Financial Instruments - Schedule of Changes in Level 3 Instruments (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balance at January 1 | $ 0.9 |
Payments made during year | (0.5) |
Balance at December 31 | 0.4 |
Total losses for the period included in profit and loss for assets held at the end at March 31 | 0 |
Change in unrealized (gains) or losses for the period included in profit and loss for assets held at the end at March 31, | $ 0 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Income Tax Disclosure [Abstract] | ||
Effective income tax rate | (131.00%) | 23.60% |
Pension Plans - Schedule of Net
Pension Plans - Schedule of Net Benefit Costs (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Retirement Benefits [Abstract] | ||
Interest cost | $ 2.7 | $ 2.7 |
Expected return on plan assets | (3.8) | (4.4) |
Amortization of net actuarial loss | 0.7 | 0.6 |
Amortization of prior service credit | (0.1) | (0.1) |
Net periodic benefit credit | (0.5) | (1.2) |
Total charge for defined contribution plans | 1.2 | 1.5 |
Total charge for pension plans | $ 0.7 | $ 0.3 |
Pension plans - Additional Info
Pension plans - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit pension credit | $ 0.5 | $ 1.2 |
Defined benefit pension credit | 0.6 | 1.4 |
Selling, General and Administrative Expenses | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit pension credit | $ 0.1 | $ 0.2 |
Shareholders' Equity - Schedule
Shareholders' Equity - Schedule of Dividend Paid and Proposed (Details) - USD ($) $ / shares in Units, $ in Millions | May 01, 2019 | Feb. 06, 2019 | May 02, 2018 | Feb. 07, 2018 | Mar. 31, 2019 | Apr. 01, 2018 |
Class of Stock [Line Items] | ||||||
Dividends paid | $ 3.4 | $ 3.3 | $ 3.4 | $ 3.4 | $ 3.4 | |
Dividends paid (in USD per share) | $ 0.125 | $ 0.125 | $ 0.125 | |||
Subsequent Event | ||||||
Class of Stock [Line Items] | ||||||
Dividends paid | $ 3.4 | |||||
Dividends paid (in USD per share) | $ 0.125 |
Share Plans - Schedule of Share
Share Plans - Schedule of Share-based Compensation Expense (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||
Total share-based compensation charges | $ 2.6 | $ 0.5 |
Share Plans - Additional Inform
Share Plans - Additional Information (Details) shares in Thousands | 3 Months Ended |
Mar. 31, 2019$ / sharesshares | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Granted during the year (in shares) | shares | 200 |
Granted during the year (in USD per share) | $ / shares | $ 17.70 |
Share Plans - Share Options Fai
Share Plans - Share Options Fair Value Assumptions (Details) - $ / shares | 3 Months Ended | 12 Months Ended |
Mar. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Dividend yield (%) | 4.00% | 4.00% |
Expected volatility range (%), minimum | 22.65% | 22.65% |
Expected volatility range (%), maximum | 35.77% | 35.77% |
Risk-free interest rate (%), minimum | 0.12% | 0.12% |
Risk-free interest rate (%), maximum | 2.57% | 2.57% |
Weighted average exercise price (in USD per share) | $ 0.89 | $ 0.65 |
Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected life of share options range (years) | 1 year | 6 months |
Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected life of share options range (years) | 4 years | 6 years |
Segmental Information - Additio
Segmental Information - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2019segmentdivision | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Number of operating divisions | division | 6 |
Number of reportable segments | 2 |
Segmental Information - Financi
Segmental Information - Financial information by reportable segment (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2019 | Apr. 01, 2018 | Dec. 31, 2018 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 120.4 | $ 119.7 | |
Adjusted EBITDA | 18.5 | 19.2 | |
Depreciation and amortization | 3.7 | 4.9 | |
Restructuring charges | 9 | 0.7 | |
Total assets | 423.8 | $ 408.8 | |
Capital expenditures | 3.7 | 1.4 | |
Gas Cylinders segment | |||
Segment Reporting Information [Line Items] | |||
Net sales | 58.4 | 59.3 | |
Adjusted EBITDA | 4.5 | 6 | |
Depreciation and amortization | 1.4 | 1.9 | |
Restructuring charges | 8.9 | 0.2 | |
Elektron segment | |||
Segment Reporting Information [Line Items] | |||
Net sales | 62 | 60.4 | |
Adjusted EBITDA | 14 | 13.2 | |
Depreciation and amortization | 2.3 | 3 | |
Restructuring charges | 0.1 | 0.5 | |
Operating Segments | Gas Cylinders segment | |||
Segment Reporting Information [Line Items] | |||
Total assets | 162.3 | 156.3 | |
Capital expenditures | 1.1 | 0.4 | |
Operating Segments | Elektron segment | |||
Segment Reporting Information [Line Items] | |||
Total assets | 227.1 | 218.2 | |
Capital expenditures | 2.6 | 1 | |
Corporate, Non-Segment | |||
Segment Reporting Information [Line Items] | |||
Total assets | 34.4 | $ 34.3 | |
Capital expenditures | $ 0 | $ 0 |
Segmental Information - Geograp
Segmental Information - Geographic information by region (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2019 | Apr. 01, 2018 | Dec. 31, 2018 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Property, plant and equipment, net | $ 107.8 | $ 106.9 | |
Net sales | 120.4 | $ 119.7 | |
Top five countries | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 92.8 | 95.5 | |
United States | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Property, plant and equipment, net | 65.1 | 66.1 | |
Net sales | 61.4 | 62.3 | |
United Kingdom | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Property, plant and equipment, net | 37.8 | 36 | |
Net sales | 11.5 | 11.6 | |
Germany | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 8.2 | 11.4 | |
Italy | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 6.5 | 5.3 | |
France | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 5.2 | 4.9 | |
Rest of Europe | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Property, plant and equipment, net | 1 | 1.1 | |
Net sales | 11.8 | 7.6 | |
Asia Pacific | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Property, plant and equipment, net | 0.3 | 0.3 | |
Net sales | 11.6 | 10.6 | |
Other | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Property, plant and equipment, net | 3.6 | $ 3.4 | |
Net sales | $ 4.2 | $ 6 | |
Geographic Concentration Risk | Revenue from Contract with Customer | Top five countries | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Concentration risk, percentage | 77.10% | 79.80% | |
Geographic Concentration Risk | Revenue from Contract with Customer | United States | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Concentration risk, percentage | 51.00% | 52.00% | |
Geographic Concentration Risk | Revenue from Contract with Customer | United Kingdom | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Concentration risk, percentage | 9.60% | 9.70% | |
Geographic Concentration Risk | Revenue from Contract with Customer | Germany | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Concentration risk, percentage | 6.80% | 9.50% | |
Geographic Concentration Risk | Revenue from Contract with Customer | Italy | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Concentration risk, percentage | 5.40% | 4.40% | |
Geographic Concentration Risk | Revenue from Contract with Customer | France | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Concentration risk, percentage | 4.30% | 4.10% | |
Geographic Concentration Risk | Revenue from Contract with Customer | Rest of Europe | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Concentration risk, percentage | 9.80% | 6.30% | |
Geographic Concentration Risk | Revenue from Contract with Customer | Asia Pacific | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Concentration risk, percentage | 9.60% | 8.90% | |
Geographic Concentration Risk | Revenue from Contract with Customer | Other | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Concentration risk, percentage | 3.50% | 5.00% |
Segmental Information - Reconci
Segmental Information - Reconciliation of consolidated segment income (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Segment Reporting [Abstract] | ||
Adjusted EBITDA | $ 18.5 | $ 19.2 |
Other share-based compensation charges | (2.6) | (0.5) |
Loss on disposal of property, plant and equipment | 0 | 0 |
Depreciation and amortization | (3.7) | (4.9) |
Unwind discount on deferred consideration | 0 | (0.1) |
Restructuring charges | (9) | (0.7) |
Fair value adjustment to held-for-sale assets | 0.2 | 0 |
Acquisition costs | (4.6) | 0 |
Defined benefits pension mark-to-market gain | 0.6 | 1.4 |
Interest expense, net | (1.1) | (1.5) |
Provision for income taxes | (2.1) | (3) |
Net (loss) / income | $ (3.8) | $ 9.9 |
Leases - Additional Information
Leases - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2019 | |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Remaining term of lease | 1 year |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Remaining term of lease | 9 years |
Building | |
Lessee, Lease, Description [Line Items] | |
Remaining term of lease | 54 years |
Leases - Least Cost (Details)
Leases - Least Cost (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Apr. 01, 2018 | |
Leases [Abstract] | ||
Operating lease cost | $ 1.1 | $ 0.9 |
Operating cash flows from operating leases | $ 1.1 | $ 0.9 |
Leases - Supplemental balance s
Leases - Supplemental balance sheet information (Details) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Leases [Abstract] | ||
Operating lease right-of-use asset | $ 17.8 | $ 18.4 |
Other current liabilities | 3.5 | 3.5 |
Other non-current liabilities | 14.2 | 14.9 |
Operating lease, liability | $ 17.7 | $ 18.4 |
Weighted Average Remaining Lease Term (Years) | 3 years 8 months | 3 years 8 months |
Weighted Average Discount Rate | 4.46% | 4.46% |
Leases - Operating lease liabil
Leases - Operating lease liability maturity (Details) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Leases [Abstract] | ||
2019 (excluding the first quarter of 2019) | $ 3.2 | |
2020 | 4 | |
2021 | 3.2 | |
2022 | 2.1 | |
2023 | 1.5 | |
2024 | 1.2 | |
Thereafter | 10 | |
Total lease payments | 25.2 | |
Less imputed interest | (7.5) | |
Total | $ 17.7 | $ 18.4 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) £ in Millions | 3 Months Ended | |||||
Mar. 31, 2019USD ($) | Mar. 31, 2019GBP (£) | Apr. 01, 2018USD ($) | Mar. 31, 2019GBP (£) | Dec. 31, 2018USD ($) | Dec. 31, 2018GBP (£) | |
Loss Contingencies [Line Items] | ||||||
Amount drawn/utilized | $ 11,300,000 | |||||
Committed Banking Facilities | ||||||
Loss Contingencies [Line Items] | ||||||
Debt maximum borrowing capacity | 150,000,000 | $ 150,000,000 | ||||
Amount drawn/utilized | 0 | $ 0 | ||||
Other - Bank overdraft | ||||||
Loss Contingencies [Line Items] | ||||||
Amount drawn/utilized | 7,600,000 | 3,500,000 | ||||
Bonding Facility For Bank Guarantees | ||||||
Loss Contingencies [Line Items] | ||||||
Debt maximum borrowing capacity | 3,900,000 | £ 3 | 3,800,000 | |||
Amount drawn/utilized | 1,400,000 | £ 1 | ||||
Letter of Credit | ||||||
Loss Contingencies [Line Items] | ||||||
Debt maximum borrowing capacity | 9,100,000 | £ 7 | $ 8,900,000 | £ 7 | ||
Amount drawn/utilized | $ 0 | $ 0 |