Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2022 | Jul. 31, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2022 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | TMST | |
Title of 12(b) Security | Common shares | |
Security Exchange Name | NYSE | |
Entity Registrant Name | TIMKENSTEEL CORPORATION | |
Entity Central Index Key | 0001598428 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 46,224,853 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Shell Company | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Incorporation, State or Country Code | OH | |
Entity Address, Address Line One | 1835 Dueber Avenue SW | |
Entity Address, City or Town | Canton | |
Entity Address, State or Province | OH | |
City Area Code | 330 | |
Local Phone Number | 471.7000 | |
Entity Address, Postal Zip Code | 44706 | |
Entity Tax Identification Number | 46-4024951 | |
Entity File Number | 1-36313 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | ||||
Net sales | $ 415.7 | $ 327.3 | $ 767.7 | $ 600.9 |
Cost of products sold | 334.3 | 260.1 | 626.3 | 503 |
Gross Profit | 81.4 | 67.2 | 141.4 | 97.9 |
Selling, general and administrative expenses | 21.7 | 21 | 40.2 | 40.5 |
Restructuring charges | 0.4 | 1 | 0.8 | 1.6 |
Loss (gain) on sale or disposal of assets, net | 0.5 | 0.4 | 0.6 | 0.4 |
Impairment charges | 0 | 0 | 0 | 8.2 |
Interest expense, net | 0.6 | 1.7 | 1.8 | 3.5 |
Loss on extinguishment of debt | 26 | 0 | 43 | 0 |
Other (income) expense, net | (43.8) | (12.3) | (59) | (21.7) |
Income (Loss) Before Income Taxes | 76 | 55.4 | 114 | 65.4 |
Provision (benefit) for income taxes | 1.5 | 1.4 | 2.4 | 1.6 |
Net Income (Loss) | $ 74.5 | $ 54 | $ 111.6 | $ 63.8 |
Per Share Data: | ||||
Basic earnings (loss) per share | $ 1.60 | $ 1.18 | $ 2.40 | $ 1.40 |
Diluted earnings (loss) per share | $ 1.42 | $ 0.98 | $ 2.12 | $ 1.19 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 74.5 | $ 54 | $ 111.6 | $ 63.8 |
Other comprehensive income (loss), net of tax of $0.3 million for the three months ended March 31, 2022 and $0.4 million for the six months ended June 30, 2022 | ||||
Foreign currency translation adjustments | (2.3) | 0.3 | (3.1) | 0.4 |
Pension and postretirement liability adjustments | (0.8) | (1.4) | (1.9) | (2.9) |
Other comprehensive income (loss), net of tax | (3.1) | (1.1) | (5) | (2.5) |
Comprehensive Income (Loss), net of tax | $ 71.4 | $ 52.9 | $ 106.6 | $ 61.3 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
Other comprehensive income (loss), net of tax | $ 0.3 | $ 0.4 | $ 0 |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Current Assets | ||
Cash and cash equivalents | $ 238.5 | $ 259.6 |
Accounts receivable, net of allowances (2022 - $2.4 million; 2021 - $1.9 million) Inventories, net | 159.9 | 100.5 |
Inventories, net | 261.8 | 210.9 |
Deferred charges and prepaid expenses | 3.4 | 3.9 |
Assets held for sale | 4.3 | 4.3 |
Other current assets | 1.7 | 3.1 |
Total Current Assets | 669.6 | 582.3 |
Property, plant and equipment, net | 489.7 | 510.2 |
Operating lease right-of-use assets | 13.2 | 14.5 |
Pension assets | 37.2 | 43.1 |
Intangible assets, net | 5.8 | 6.7 |
Other non-current assets | 1.8 | 2.1 |
Total Assets | 1,217.3 | 1,158.9 |
Current Liabilities | ||
Accounts payable | 187.5 | 141.9 |
Salaries, wages and benefits | 30.5 | 37.9 |
Accrued pension and postretirement costs | 2.6 | 4.3 |
Current operating lease liabilities | 5.8 | 5.7 |
Current convertible notes, net | 20.4 | 44.9 |
Other current liabilities | 13.2 | 16.1 |
Total Current Liabilities | 260 | 250.8 |
Non-Current Liabilities | ||
Credit Agreement | 0 | 0 |
Non-current operating lease liabilities | 7.4 | 8.8 |
Accrued pension and postretirement costs | 169.8 | 223 |
Deferred income taxes | 2 | 2.2 |
Other non-current liabilities | 9.2 | 9.5 |
Total Liabilities | 448.4 | 494.3 |
Shareholders’ Equity | ||
Preferred shares, without par value; authorized 10.0 million shares, none issued | 0 | 0 |
Common shares, without par value; authorized 200.0 million shares; issued 2022 - 47.1 million shares and 2021 - 46.3 million shares | 0 | 0 |
Additional paid-in capital | 843.9 | 832.1 |
Retained deficit | (76.6) | (188.2) |
Treasury shares - 2022 - 0.7 million; 2021 - None | (14.1) | 0 |
Accumulated other comprehensive income (loss) | 15.7 | 20.7 |
Total Shareholders' Equity | 768.9 | 664.6 |
Total Liabilities and Shareholders’ Equity | $ 1,217.3 | $ 1,158.9 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Allowances for accounts receivable | $ 2.4 | $ 1.9 |
Preferred shares, authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred shares, issued (in shares) | 0 | 0 |
Common shares, authorized (in shares) | 200,000,000 | 200,000,000 |
Common shares, issued (in shares) | 47,100,000 | 46,300,000 |
Treasury shares (in shares) | 700,000 | 0 |
Consolidated Statements of Shar
Consolidated Statements of Shareholder's Equity (Unaudited) - USD ($) $ in Millions | Total | Cumulative Effect, Period of Adoption, Adjustment | Common Shares | Additional Paid-in Capital | Additional Paid-in Capital Cumulative Effect, Period of Adoption, Adjustment | Retained Deficit | Retained Deficit Cumulative Effect, Period of Adoption, Adjustment | Treasury Shares | Accumulated Other Comprehensive Income (Loss) |
Beginning balance at Dec. 31, 2020 | $ 507.5 | $ 843.4 | $ (363.4) | $ (12.9) | $ 40.4 | ||||
Beginning balance (in shares) at Dec. 31, 2020 | 45,164,308 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income (loss) | 9.8 | 9.8 | |||||||
Other comprehensive income (loss) | (1.4) | (1.4) | |||||||
Stock-based compensation expense | 1.8 | 1.8 | |||||||
Stock option activity | 2.5 | 2.5 | |||||||
Issuance of treasury shares | (12.4) | 12.4 | |||||||
Issuance of treasury shares (in shares) | 580,248 | ||||||||
Shares surrendered for taxes | (0.5) | (0.5) | |||||||
Shares surrendered for taxes (in shares) | (72,174) | ||||||||
Ending balance at Mar. 31, 2021 | 513.3 | $ (6.4) | 824.7 | $ (10.6) | (349.4) | $ 4.2 | (1) | 39 | |
Ending balance (in shares) at Mar. 31, 2021 | 45,672,382 | ||||||||
Beginning balance at Dec. 31, 2020 | 507.5 | 843.4 | (363.4) | (12.9) | 40.4 | ||||
Beginning balance (in shares) at Dec. 31, 2020 | 45,164,308 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income (loss) | 63.8 | ||||||||
Other comprehensive income (loss) | (2.5) | ||||||||
Ending balance at Jun. 30, 2021 | 570 | 827.5 | (295.4) | 37.9 | |||||
Ending balance (in shares) at Jun. 30, 2021 | 46,088,954 | ||||||||
Beginning balance at Mar. 31, 2021 | 513.3 | $ (6.4) | 824.7 | $ (10.6) | (349.4) | $ 4.2 | (1) | 39 | |
Beginning balance (in shares) at Mar. 31, 2021 | 45,672,382 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income (loss) | 54 | 54 | |||||||
Other comprehensive income (loss) | (1.1) | (1.1) | |||||||
Stock-based compensation expense | 1.8 | 1.8 | |||||||
Stock-based compensation expense (in shares) | 178,886 | ||||||||
Stock option activity | 0.7 | 0.7 | |||||||
Stock option activity (in shares) | 66,615 | ||||||||
Issuance of treasury shares | (1) | 1 | |||||||
Issuance of treasury shares (in shares) | 57,845 | ||||||||
Convertible notes settlement (in shares) | 113,226 | ||||||||
Convertible notes settlement | 1.3 | 1.3 | |||||||
Ending balance at Jun. 30, 2021 | 570 | 827.5 | (295.4) | 37.9 | |||||
Ending balance (in shares) at Jun. 30, 2021 | 46,088,954 | ||||||||
Beginning balance at Dec. 31, 2021 | 664.6 | 832.1 | (188.2) | 20.7 | |||||
Beginning balance (in shares) at Dec. 31, 2021 | 46,268,855 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income (loss) | 37.1 | 37.1 | |||||||
Other comprehensive income (loss) | (1.9) | (1.9) | |||||||
Stock-based compensation expense | 2.1 | 2.1 | |||||||
Stock-based compensation expense (in shares) | 298,648 | ||||||||
Stock option activity | 6.3 | 6.3 | |||||||
Stock option activity (in shares) | 406,750 | ||||||||
Purchase of treasury shares | (3.4) | (3.4) | |||||||
Purchase of treasury shares (in Shares) | (169,816) | ||||||||
Shares surrendered for taxes | (1.6) | (0.2) | (1.4) | ||||||
Shares surrendered for taxes (in shares) | (91,853) | ||||||||
Ending balance at Mar. 31, 2022 | 703.2 | 840.3 | (151.1) | (4.8) | 18.8 | ||||
Ending balance (in shares) at Mar. 31, 2022 | 46,712,584 | ||||||||
Beginning balance at Dec. 31, 2021 | 664.6 | 832.1 | (188.2) | 20.7 | |||||
Beginning balance (in shares) at Dec. 31, 2021 | 46,268,855 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income (loss) | 111.6 | ||||||||
Other comprehensive income (loss) | (5) | ||||||||
Ending balance at Jun. 30, 2022 | 768.9 | 843.9 | (76.6) | (14.1) | 15.7 | ||||
Ending balance (in shares) at Jun. 30, 2022 | 46,411,393 | ||||||||
Beginning balance at Mar. 31, 2022 | 703.2 | 840.3 | (151.1) | (4.8) | 18.8 | ||||
Beginning balance (in shares) at Mar. 31, 2022 | 46,712,584 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income (loss) | 74.5 | 74.5 | |||||||
Other comprehensive income (loss) | (3.1) | (3.1) | |||||||
Stock-based compensation expense | 2.2 | 2.2 | |||||||
Stock-based compensation expense (in shares) | 44,157 | ||||||||
Stock option activity | 1.5 | 1.5 | |||||||
Stock option activity (in shares) | 92,290 | ||||||||
Purchase of treasury shares | (9.3) | (9.3) | |||||||
Purchase of treasury shares (in Shares) | (437,638) | ||||||||
Issuance of treasury shares | (0.1) | 0.1 | |||||||
Issuance of treasury shares (in shares) | 2,285 | ||||||||
Shares surrendered for taxes | (0.1) | (0.1) | |||||||
Shares surrendered for taxes (in shares) | (2,285) | ||||||||
Ending balance at Jun. 30, 2022 | $ 768.9 | $ 843.9 | $ (76.6) | $ (14.1) | $ 15.7 | ||||
Ending balance (in shares) at Jun. 30, 2022 | 46,411,393 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Operating Activities | ||
Net income (loss) | $ 111.6 | $ 63.8 |
Adjustments to reconcile net income (loss) to net cash provided (used) by operating activities: | ||
Depreciation and amortization | 29.3 | 33 |
Amortization of deferred financing fees | 0.4 | 0.5 |
Loss on extinguishment of debt | 43 | 0 |
Loss (gain) on sale or disposal of assets, net | 0.6 | 0.4 |
Impairment charges | 0 | 8.2 |
Deferred income taxes | (0.2) | (0.1) |
Stock-based compensation expense | 4.3 | 3.6 |
Pension and postretirement (benefit) expense, net | (49.8) | (9.9) |
Changes in operating assets and liabilities: | ||
Accounts receivable, net | (59.4) | (58) |
Inventories, net | (50.8) | (35.7) |
Accounts payable | 47 | 40 |
Other accrued expenses | (10.5) | 5.3 |
Pension and postretirement contributions and payments | (4) | (2) |
Deferred charges and prepaid expenses | 0.5 | 1.9 |
Other, net | 2 | 1.4 |
Net Cash Provided (Used) by Operating Activities | 64 | 52.4 |
Investing Activities | ||
Capital expenditures | (10) | (3.8) |
Proceeds from disposals of property, plant and equipment | 0.1 | |
Net Cash Provided (Used) by Investing Activities | (9.9) | (3.8) |
Financing Activities | ||
Purchase of treasury shares | (12.7) | 0 |
Proceeds from exercise of stock options | 7.8 | 3.2 |
Shares surrendered for employee taxes on stock compensation | (1.7) | (0.5) |
Repayments on convertible notes | (67.6) | (38.9) |
Net Cash Provided (Used) by Financing Activities | (74.2) | (36.2) |
Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash | (20.1) | 12.4 |
Cash, cash equivalents, and restricted cash at beginning of period | 259.6 | 102.8 |
Cash, Cash Equivalents, and Restricted Cash at End of Period | $ 239.5 | $ 115.2 |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Unaudited) (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2022 | Jun. 30, 2021 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents [Abstract] | ||
Cash and cash equivalents | $ 238.5 | $ 115.2 |
Restricted cash reported in other current assets | 1 | 0 |
Total cash, cash equivalents, and restricted cash shown in the Consolidated Statements of Cash Flows | $ 239.5 | $ 115.2 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Note 1 - Basis of Presentation The accompanying unaudited Consolidated Financial Statements have been prepared by TimkenSteel Corporation (the “Company” or “TimkenSteel”) in accordance with generally accepted accounting principles in the United States (“U.S. GAAP”) for interim financial information. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) and disclosures considered necessary for a fair presentation have been included. For further information, refer to TimkenSteel’s audited Consolidated Financial Statements and Notes included in its Annual Report on Form 10-K for the year ended December 31, 2021. Certain items previously reported in specific financial statement captions have been reclassified to conform with current year presentation. The Company's restricted cash balance represents an imprest cash account used for the funding of employee healthcare costs. Funding of this account began during the first quarter of 2022 when the Company changed its healthcare plan administrator. The balance of restricted cash as of June 30, 2022 was $ 1.0 millio n, which is included in other current assets on the Consolidated Balance Sheets. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Recent Accounting Pronouncements | Note 2 - Recent Accounting Pronouncements Adoption of New Accounting Standards The Company did not adopt any Accounting Standard Updates (“ASU”) in the second quarter of 2022. Additionally, there are no current ASUs issued, but not adopted, that are expected to have an impact on the Company. As of January 1, 2021, the Company early adopted ASU 2020-06, Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40), using the modified retrospective method of transition. The standard simplifies the accounting for convertible instruments, as well as the diluted net income per share calculation. The standard also removes certain settlement conditions that are required for equity contracts to qualify for the derivative scope exception. Upon adoption of ASU 2020-06 as of January 1, 2021, all outstanding Convertible Notes were fully classified as a liability, there was no longer a separate equity component and the Convertible Notes no longer have a debt discount that is amortized. This resulted in a decrease of $ 10.6 million to additional paid-in capital and an increase of $ 1.1 million and $ 5.3 million to current convertible notes, net and non-current convertible notes, net, respectively, on the Consolidated Balance Sheets as of January 1, 2021. Additionally, retained deficit was reduced by $ 4.2 million in the Consolidated Balance Sheets as of January 1, 2021 to remove amortization expense recognized in prior periods. The adoption of this standard did not have an effect on the Company’s cash flows, liquidity, or the methodology used for the earnings per share calculation. Refer to “Note 10 – Financing Arrangements” for additional information on the Convertible Notes. Legislation related to the COVID-19 Pandemic Due to a provision in the Coronavirus Aid, Relief, and Economic Security ("CARES") Act, the Company was able to defer the employer share of Social Security payroll taxes for a specified time during 2020. During the year ended December 31, 2020, the Company deferred $ 6.4 million in cash payments and recorded reserves for such deferred payroll taxes in salaries, wages and benefits on the Consolidated Balance Sheets , to be paid in two equal installments. The first installment in the amount of $ 3.2 million was paid during the fourth quarter of 2021. The second installment is due on December 31, 2022. The CARES Act also provided for an employee retention credit (“Employee Retention Credit”), which is a refundable tax credit against certain employment taxes. The Company qualified for the tax credit in the second and third quarters of 2020 and accrued a benefit of $ 2.3 million in the fourth quarter of 2020 related to the Employee Retention Credit in other (income) expense, net on the Consolidated Statements of Operations. The Company filed for this credit in the second quarter of 2021 and received a portion of the proceeds from the Internal Revenue Service ("IRS") in the amount of $ 0.5 million during the fourth quarter of 2021. The Company received the remaining $ 1.8 million of cash proceeds in the first quarter of 2022. |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Note 3 - Revenue Recognition The following table provides the major sources of revenue by end-market sector for the three and six months ended June 30, 2022 and 2021: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Mobile $ 152.9 $ 132.9 $ 297.0 $ 266.5 Industrial 208.2 173.6 383.2 298.3 Energy 46.3 13.2 71.3 21.0 Other (1) 8.3 7.6 16.2 15.1 Total Net Sales $ 415.7 $ 327.3 $ 767.7 $ 600.9 (1) “Other” sales by end-market sector relates to the Company’s scrap sales. The following table provides the major sources of revenue by product type for the three and six months ended June 30, 2022 and 2021: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Bar $ 295.2 $ 225.3 $ 531.6 $ 398.5 Tube 52.8 40.9 99.3 77.0 Manufactured components 59.4 53.5 120.6 110.2 Other (2) 8.3 7.6 16.2 15.2 Total Net Sales $ 415.7 $ 327.3 $ 767.7 $ 600.9 (2) “Other” sales by product type relates to the Company’s scrap sales. Contract liabilities are recognized when the Company has received consideration from a customer to transfer goods at a future point in time. Contract liabilities are primarily related to deferred revenue resulting from any cash payments received in advance from customers. As of June 30, 2022, contract liabilities totaled $ 1.7 million and were less than $ 0.1 million as of December 31, 2021. These are included in other current liabilities on the Consolidated Balance Sheets. |
Restructuring Charges
Restructuring Charges | 6 Months Ended |
Jun. 30, 2022 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Charges | Note 4 - Restructuring Charges Over the past several years, TimkenSteel has made numerous organizational changes to enhance profitable and sustainable growth. These company-wide actions included the restructuring of its business support functions, the reduction of management layers throughout the organization and other domestic and international actions to further improve the Company’s overall cost structure. Restructuring charges tota led $ 0.4 million and $ 0.8 mil lion for the three and six months ended June 30, 2022, respectively. These charges related to severance and employee-related benefits as a result of continued organizational changes. Restructuring charges totale d $ 1.0 million and $ 1.6 million for the three and six months ended June 30, 2021, respectively. During the first half of 2021, approximately $ 1.3 million of restructuring charges related to severance and employee-related benefits as a result of organizational changes. The remaining $ 0.3 million of charges were incurred during the first quarter of 2021 and related to the transition of customers to other TimkenSteel manufacturing equipment due to the discontinuation of specific small-diameter seamless mechanical tube manufacturing and the indefinite idling of our Harrison melt and casting activities. Refer to “Note 5 – Disposition of Non-Core Assets” for additional information. TimkenSteel recorded reserves for such restructuring charges as other current liabilities on the Consolidated Balance Sheets. The reserve balance at June 30, 2022 is expected to be substantially used in the next twelve months. The following is a summary of the restructuring reserve for the six months ended June 30, 2022 and 2021: Balance at December 31, 2021 $ 4.7 Expenses 0.8 Payments ( 3.6 ) Balance at June 30, 2022 $ 1.9 Balance at December 31, 2020 $ 1.5 Expenses 1.6 Payments ( 2.7 ) Balance at June 30, 2021 $ 0.4 |
Disposition of Non-Core Assets
Disposition of Non-Core Assets | 6 Months Ended |
Jun. 30, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposition of Non-Core Assets | Note 5 - Disposition of Non-Core Assets TimkenSteel Material Services Facility During the first quarter of 2020, management completed its previously announced plan to close the Company’s TimkenSteel Material Services (“TMS”) facility in Houston and began selling the assets at the facility. During the first quarter of 2021, the remaining associated machinery and equipment that was classified as held for sale was fully impaired as there was no longer an expected market value for these assets. This resulted in impairment charges of $ 0.3 million. The remaining $ 4.3 million of land and buildings associated with TMS are classified as assets held for sale on the Consolidated Balance Sheets as of June 30, 2022 and December 31, 2021, as it is probable that these assets will be sold within the next 12 months. Small-Diameter Seamless Mechanical Tubing Machinery and Equipment In the third quarter of 2020, TimkenSteel informed customers that as of December 31, 2020 the Company would discontinue the commercial offering of specific small-diameter seamless mechanical tubing products. As a result, accelerated depreciation of $ 1.5 million was recognized in the first quarter of 2021 in alignment with the ramp down of this machinery and equipment. Spare parts related to this machinery and equipment of $ 0.5 million were also written down in the first quarter of 2021, as management determined there was no alternative use. Harrison Melt and Casting Assets On February 16, 2021, management announced a plan to indefinitely idle its Harrison melt and casting assets, which was completed in the first quarter of 2021. All of the Company’s melt and casting activities now take place at the Faircrest location. The Company worked collaboratively with employees, suppliers and a number of customers to ensure a well-organized and efficient transition. The Company’s rolling and finishing operations at Harrison were not impacted by this action. The Company recognized non-cash charges of $ 9.5 million related to the write-down of the associated Harrison melt and casting assets in the first quarter of 2021. These charges include $ 7.9 million related to the impairment of the associated machinery and equipment, which is classified as impairment charges on the Consolidated Statements of Operations, as well as a write-down of spare parts of $ 1.6 million, which is included in cost of products sold in the Consolidated Statements of Operations, as management determined there was no alternative use. The Company did not incur any cash expenditures related to these charges. TimkenSteel (Shanghai) Corporation Limited On March 31, 2021, the Company entered into an agreement pursuant to which Daido Steel (Shanghai) Co., Ltd. agreed to acquire all of the Company’s ownership interest in TimkenSteel (Shanghai) Corporation Limited in an all-cash transaction. The sale closed on July 30, 2021 and net cash proceeds of $ 6.2 million were received in the third quarter of 2021. As a result of this transaction, a loss on sale of consolidated subsidiary of $ 1.1 million was recognized on the Consolidated Statements of Operations during the third quarter of 2021. TimkenSteel’s consolidated financial statements include activity for TimkenSteel (Shanghai) Corporation Limited through July 30, 2021. |
Other (Income) Expense, Net
Other (Income) Expense, Net | 6 Months Ended |
Jun. 30, 2022 | |
Other Income and Expenses [Abstract] | |
Other (Income) Expense, Net | Note 6 – Other (Income) Expense, net The following table provides the components of other (income) expense, net for the three and six months ended June 30, 2022 and 2021: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Pension and postretirement non-service benefit (income) loss $ ( 8.1 ) $ ( 9.2 ) $ ( 16.8 ) $ ( 18.8 ) Loss (gain) from remeasurement of benefit plans ( 35.5 ) ( 0.7 ) ( 42.0 ) ( 0.5 ) Sales and use tax refund — ( 2.5 ) — ( 2.5 ) Foreign currency exchange (gain) loss ( 0.1 ) — ( 0.1 ) — Miscellaneous (income) expense ( 0.1 ) 0.1 ( 0.1 ) 0.1 Total other (income) expense, net $ ( 43.8 ) $ ( 12.3 ) $ ( 59.0 ) $ ( 21.7 ) Non-service related pension and other postretirement benefit income, for all years, consists primarily of the interest cost, expected return on plan assets and amortization components of net periodic cost. The gain from remeasurement of benefit plans is due to all lump sum payments exceeding or expected to exceed the sum of the service cost and interest cost components of the net periodic pension cost for certain plans. These payments constitute a partial settlement, which is a significant event requiring remeasurement of both plan assets and benefit obligation s. A total gain of $ 35.5 million and $ 42.0 million from the remeasurement of these benefit plans was recognized for the three and six months ended June 30, 2022, respectively. This gain was primarily due to a $ 205.5 million and $ 231.1 million decrease in the liability due to the increase in discount rates during the three and six months ended June 30, 2022, respectively. This is partially offset by losses of $ 170.0 million and $ 189.1 million for the three and six months ended June 30, 2022, respectively, primarily driven by investment losses on plan assets. A total gain of $ 0.7 million and $ 0.5 million from the rem easurement of these benefit plans was recognized for the three and six months ended June 30, 2021, respectively. For the three months ended June 30, 2021, this gain was due to $ 9.5 million of favorable investment returns on plan assets, partially offset by losses of $ 8.8 million primarily driven by an increase in the pension liability due to a reduction in discount rate. For the six months ended June 30, 2021, this gain was driven by a $ 10.0 million decrease in the liability due to the increase in discount rate during the first half of 2021, partially offset by losses of $ 9.5 million primarily driven by investment losses on plan assets. For more details on the aforementioned remeasurements, refer to “Note 11 - Retirement and Postretirement Plans.” During the second quarter of 2021, TimkenSteel received a refund from the State of Ohio related to an overpayment of sales and use taxes for the period of October 1, 2016 through September 30, 2019. This resulted in a gain recognized of $ 2.5 million, net of related professional fees, during the second quarter of 2021. |
Income Tax Provision
Income Tax Provision | 6 Months Ended |
Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Tax Provision | Note 7 - Income Tax Provision TimkenSteel’s provision for income taxes in interim periods is computed by applying the appropriate estimated annual effective tax rates to income or loss before income taxes for the period. In addition, non-recurring or discrete items, including interest on prior-year tax liabilities, are recorded during the periods in which they occur. Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Provision (benefit) for incomes taxes $ 1.5 $ 1.4 $ 2.4 $ 1.6 Effective tax rate 2.0 % 2.5 % 2.1 % 2.4 % Income tax expense for the three and six months ended June 30, 2022 was calculated using forecasted multi-jurisdictional annual effective tax rates to determine a blended annual effective tax rate. The effective tax rate is lower than the U.S. federal statutory rate of 21 %, due to the reversal of valuation allowance the Company has on deferred tax assets in the U.S., as a result of current year forecasted income. This is partially offset by state, local, and foreign taxes. Each reporting period we assess available positive and negative evidence and estimate if sufficient future taxable income will be generated to utilize the Company’s deferred tax assets. Due to TimkenSteel’s historical operating performance in the U.S., we have been limited in our ability to rely on other subjective evidence such as projections of our future profitability. As a result, the Company maintains a full valuation allowance against its deferred tax assets in the U.S. and applicable foreign countries until sufficient positive evidence exists to conclude that a valuation allowance is not necessary. We will continue to assess available positive and negative evidence in future periods. The need to maintain valuation allowances against deferred tax assets in the U.S. and other affected countries may cause variability in the Company’s effective tax rate. The majority of TimkenSteel’s income taxes are derived from domestic state and local taxes. The effective tax rate of 2.0 % and 2.1 % for t he three and six months ended June 30, 2022 was lower than the rate of 2.5 % and 2.4 % for the three and six months ended June 30, 2021, primarily driven by decreased permanent adjustments. For the six months ended June 30, 2022, TimkenSteel made $ 1.5 million in state and local tax payments, $ 1.0 million in U.S. federal payments, and $ 0.1 million in foreign tax payments. For the six months ended June 30, 2021, TimkenSteel made $ 0.3 million in state and local tax payments, no U.S. federal payments, and $ 0.5 million in foreign tax payments. |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | Note 8 - Earnings (Loss) Per Share Basic earnings (loss) per share is computed based upon the weighted average number of common shares outstanding. Diluted earnings (loss) per share is computed based upon the weighted average number of common shares outstanding plus the dilutive effect of common share equivalents calculated using the treasury stock method or if-converted method. For the Convertible Notes, the Company utilizes the if-converted method to calculate diluted earnings (loss) per share. Under the if-converted method, the Company adjusts net earnings to add back interest expense (including amortization of debt issuance costs) recognized on the Convertible Notes and includes the number of shares potentially issuable related to the Convertible Notes in the weighted average shares outstanding. Treasury shares are excluded from the denominator in calculating both basic and diluted earnings (loss) per share. Equity-based Awards Common share equivalents for shares issuable for equity-based awards amounted to 4.0 million shares and 4.1 million shares for the three and six months ended June 30, 2022, respectively. For the three and six months ended June 30, 2022 , 0.8 million shares and 1.0 million shares, respectively, were excluded from the computation of diluted earnings (loss) per share, primarily related to options with exercise prices above the average market price of our common shares (i.e., “underwater” options), because the effect of their inclusion would have been anti-dilutive. The difference between the remaining 3.2 million shares and 3.1 million shares assumed issued and the 1.0 million shares and 0.9 million shares assumed purchased with potential proceeds for the three and six months ended June 30, 2022, respectively, were included in the denominator of the diluted earnings (loss) per share calculation. Common share equivalents for shares issuable for equity-based awards amounted to 4.9 million shares and 5.0 million shares for the three and six months ended June 30, 2021, respectively. For the three and six months ended June 30, 2021, 1.6 million shares and 1.9 million shares, respectively, were excluded from the computation of diluted earnings (loss) per share, primarily related to options with exercise prices above the average market price of our common shares (i.e., “underwater” options), because the effect of their inclusion would have been anti-dilutive. The difference between the remaining 3.3 million shares and 3.1 million shares assumed issued and the 1.4 million shares and 1.5 million shares assumed purchased with potential proceeds for the three and six months ended June 30, 2021, respectively, were included in the denominator of the diluted earnings (loss) per share calculation. Convertible Notes Common share equivalents for shares issuable upon the conversion of outstanding Convertible Notes were included in the computation of diluted earnings (loss) per share for the three and six months ended June 30, 2022 and 2021 as these shares would be dilutive. For the three and six months ended June 30, 2022, TimkenSteel repurchased $ 15.2 m illion and $ 25.2 million, respectively, of outstanding principal related to the Convertible Notes. These repurchases of Convertible Notes reduced weighted average diluted shares outstanding by approximately 1.9 million shares and 1.3 million shares for the three and six months ended June 30, 2022. Refer to “Note 10 – Financing Arrangements” for additional information on the Convertible Notes. The following table sets forth the reconciliation of the numerator and the denominator of basic and diluted earnings (loss) per share for the three and six months ended June 30, 2022 and 2021: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Numerator: Net income (loss), basic $ 74.5 $ 54.0 $ 111.6 $ 63.8 Add convertible notes interest 0.5 1.2 1.2 2.5 Net income (loss), diluted $ 75.0 $ 55.2 $ 112.8 $ 66.3 Denominator: Weighted average shares outstanding, basic 46.6 45.9 46.5 45.6 Dilutive effect of stock-based awards 2.2 1.9 2.2 1.6 Dilutive effect of convertible notes 4.0 8.3 4.6 8.6 Weighted average shares outstanding, diluted 52.8 56.1 53.3 55.8 Basic earnings (loss) per share $ 1.60 $ 1.18 $ 2.40 $ 1.40 Diluted earnings (loss) per share $ 1.42 $ 0.98 $ 2.12 $ 1.19 |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Inventories | Note 9 - Inventories The components of inventories, net of reserves as of June 30, 2022 and December 31, 2021 were as follows: June 30, December 31, Manufacturing supplies $ 31.2 $ 29.3 Raw materials 41.0 37.3 Work in process 138.5 89.3 Finished products 51.6 55.8 Gross inventory 262.3 211.7 Allowance for inventory reserves ( 0.5 ) ( 0.8 ) Total inventories, net $ 261.8 $ 210.9 |
Financing Arrangements
Financing Arrangements | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
Financing Arrangements | Note 10 - Financing Arrangements For a detailed discussion of the Company's long-term debt and credit arrangements, refer to “Note 14 - Financing Arrangements” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. The following table summarizes the current and non-current debt as of June 30, 2022 and December 31, 2021: June 30, December 31, Credit Agreement $ — $ — Convertible Senior Notes due 2025 20.4 44.9 Total debt $ 20.4 $ 44.9 Less current portion of debt 20.4 44.9 Total non-current portion of debt $ — $ — Amended Credit Agreement On October 15, 2019, the Company, as borrower, and certain domestic subsidiaries of the Company, as subsidiary guarantors, entered into a Third Amended and Restated Credit Agreement (the “Amended Credit Agreement”), with JP Morgan Chase Bank, N.A., as administrative agent (the “Administrative Agent”), Bank of America, N.A., as syndication agent, and the other lenders party thereto (collectively, the “Lenders”), which further amended and restated the Company’s Second Amended and Restated Credit Agreement dated as of January 26, 2018. As of June 30, 2022, the amount available under the Amended Credit Agreement was $ 320.2 mi llion, reflective of the Company’s asset borrowing base with no outstanding borrowings. Additionally, the Company is in compliance with all covenants outlined in the Amended Credit Agreement. Convertible Senior Notes due 2021 The Convertible Senior Notes due 2021 were settled on June 1, 2021 with cash payment of $ 38.9 million and issuance of shares of 0.1 million, as most noteholders exercised the conversion option prior to the date of maturity. For details regarding method of settlement for noteholders who exercised their conversion option prior to maturity, refer to the Indenture for the Convertible Senior Notes due 2021 filed as an exhibit to a Form 8-K on May 31, 2016 and incorporated by reference in our most recent 10-K filing. The final cash payment for interest was also made to noteholders on June 1, 2021 in the amount of $ 1.2 million. Convertible Senior Notes due 2025 The principal amount of the Convertible Senior Notes due 2025 upon issuance was $ 46.0 million. Transaction costs related to the Convertible Senior Notes due 2025 incurred upon issuance were $ 1.5 million. These costs are amortized to interest expense over the term of the notes. The Convertible Senior Notes due 2025 mature on December 1, 2025. The Convertible Senior Notes due 2025 are convertible at the option of holders in certain circumstances and during certain periods into the Company’s common shares, cash, or a combination thereof, at the Company’s election. The Indenture for the Convertible Senior Notes due 2025 provides that notes will become convertible during a quarter when the share price for 20 trading days during the final 30 trading days of the immediately preceding quarter was greater than 130 % of the conversion price. This criterion was met during the second quarter of 2022 and as such the notes can be converted at the option of the holders beginning July 1 through September 30, 2022. Whether the notes will be convertible following such period will depend on if this criterion, or another conversion condition, is met in the future. As such, the Convertible Senior Notes due 2025 are classified as a current liability in the Consolidated Balance Sheets as of June 30, 2022. This criterion was also met as of December 31, 2021. For details regarding all conversion mechanics and methods of settlement, refer to the Indenture for the Convertible Senior Notes due 2025 filed as an exhibit to a Form 8-K on December 15, 2020 and incorporated by reference in our most recent 10-K filing. In the first half of 2022, TimkenSteel repurchased a total of $ 25.2 million aggregate principal amount of its Convertible Senior Notes Due 2025. Total cash paid to noteholders was $ 67.6 million. In the three and six months ended June 30, 2022, a loss on extinguishment of debt was recognized of $ 26.0 million and $ 43.0 million, including a charge of $ 0.4 million and $ 0.6 million , respectively, for unamortized debt issuance costs related to the portion of debt extinguished, as well as the related transaction costs. The components of the Convertible Senior Notes due 2025 as of June 30, 2022 and December 31, 2021 were as follows: June 30, December 31, Principal $ 20.8 $ 46.0 Less: Debt issuance costs, net of amortization ( 0.4 ) ( 1.1 ) Convertible Senior Notes due 2025, net $ 20.4 $ 44.9 Fair Value Measurement The fair value of the Convertible Senior Notes due 2025 was approxim ately $ 54.7 million and $ 107.0 million as of June 30, 2022 and December 31, 2021, respectively. The fair value of the Convertible Senior Notes due 2025, which falls within Level 2 of the fair value hierarchy as defined by applicable accounting guidance, is based on a valuation model primarily using observable market inputs and requires a recurring fair value measurement on a quarterly basis. TimkenSteel’s Credit Facility is variable-rate debt. As such, any outstanding carrying value is a reasonable estimate of fair value as interest rates on these borrowings approximate current market rates. This valuation falls within Level 2 of the fair value hierarchy and is based on quoted prices for similar assets and liabilities in active markets that are observable either directly or indirectly. There were no outstanding borrowings on the Credit Facility as of June 30, 2022 and December 31, 2021. Interest expense, net The following table provides the components of interest expense, net for the three and six months ended June 30, 2022 and 2021: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Interest expense $ 0.9 $ 1.7 $ 2.1 $ 3.5 Interest income ( 0.3 ) — ( 0.3 ) — Interest expense, net $ 0.6 $ 1.7 $ 1.8 $ 3.5 Interest income relates to interest earned on cash invested in a money market fund. As of June 30, 2022, the carrying value of the Company's money market investment was $ 200.1 million, which approximates the fair value. The Company had no cash invested in a money market fund as of December 31, 2021. The money market fund is a cash equivalent and is included in cash and cash equivalents on the Consolidated Balance She ets. The fund consists of highly liquid investments with an average maturity of three months or less and falls within Level 1 of the fair value hierarchy as defined by applicable accounting guidance. The following table sets forth interest expense recognized specifically related to the Convertible Notes: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Contractual interest expense $ 0.5 $ 1.1 $ 1.1 $ 2.3 Amortization of debt issuance costs — 0.1 0.1 0.2 Total $ 0.5 $ 1.2 $ 1.2 $ 2.5 The total cash interest paid for the six months ended June 30, 2022 and 2021 wa s $ 1.9 million and $ 3.1 million, respectively. Treasury Shares On December 20, 2021, TimkenSteel announced that its Board of Directors authorized a share repurchase program under which the Company may repurchase up to $ 50.0 million of its outstanding common shares. The share repurchase program is intended to return capital to shareholders while also offsetting dilution from annual equity compensation awards. The share repurchase program does not require the Company to acquire any dollar amount or number of shares and may be modified, suspended, extended or terminated by the Company at any time without prior notice. For the three months ended June 30, 2022, the Company repurchased approximately 0.4 million common shares in the open market at an aggregate co st of $ 9.3 million, which equates to an average repurchase price o f $ 21.20 per share. For the six months ended June 30, 2022, the Company repurchased approximately 0.6 million common shares in the open market at an aggregate cost of $ 12.7 million, which equates to an average repurchase price of $ 20.94 per share. As of June 30, 2022, the Company had a balance of $ 37.3 million remaining on its previously approved $ 50.0 million share repurchase program. In July 2022, the Company repurchased approxim ately 0.2 million common shares in the open market at an aggregate cost of $ 3.3 million, which equates to an average repurchase price of $ 17.72 per share. As of July 31, 2022, the Company had $ 34.0 million remaining under its previously approved $ 50.0 million share repurchase program. |
Retirement and Postretirement P
Retirement and Postretirement Plans | 6 Months Ended |
Jun. 30, 2022 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | |
Retirement and Postretirement Plans | Note 11 - Retirement and Postretirement Plans Plan Amendments and Updates TimkenSteel Corporation Bargaining Unit Pension Plan ("Bargaining Plan") On October 29, 2021, the United Steelworkers ("USW") Local 1123 voted to ratify a new four-year contract (the “Contract”). The Contract is in effect until September 27, 2025 and resulted in several changes to the Bargaining Plan which increased the pension liability by $ 14.2 million in 2021. These plan amendments were recognized in other comprehensive income (loss) in 2021 and have begun to be amortized as part of the pension net periodic benefit cost in the first quarter of 2022. The primary change that drove the increase in the pension liability was the addition of a full lump sum form of payment for participants commencing benefits on or after January 1, 2022. In addition, the plan is now closed to new entrants effective January 1, 2022. On July 7, 2022, the Company entered into an agreem ent with The Prudential Insurance Company of America ("Prudential") to purchase an irrevocable group annuity contract and transfer approximately $ 256.2 million of the Bargaining Plan's obligations. In connection with the agreement, Prudential will pay future benefits under the group annuity contract starting October 1, 2022, for a specified group of approximately 1,900 participants and beneficiaries who are currently receiving payments from the Bargaining Plan. Benefits payable to these participants and beneficiaries will not be reduced as a result of this transaction. Plan participants and beneficiaries not included in the transaction remain in the Bargaining Plan. The Company will record a settlement gain of approximately $ 2.7 mi llion in the third quarter of 2022 related to this partial plan annuitization. This settlement is a significant event which requires remeasurement of the Bargaining Plan. This remeasurement will be performed during the third quarter. The transaction is funded directly by the assets of the Bargaining Plan and requires no cash contribution from the Company. The timing and amount of future required pension contributions is significantly affected by asset returns and actuarial assumptions. Plan asset losses in the first half of 2022, combined with current actuarial assumptions, have resulted in potentially accelerated timing of future required pension contributions to as early as 2024. Required future pension contribution timing and amounts are subject to significant change based on future investment performance, Company estimates and actuarial assumptions, as well as current funding laws. TimkenSteel Corporation Retirement Plan ("Salaried Plan") During the fourth quarter of 2021, termination of the Salaried Plan was approved by the TimkenSteel Board of Directors. Participants were notified in January 2022 and the plan was terminated effective March 31, 2022 , subject to regulatory approval. The purchase of an annuity from an insurance company is expected to occur in 2023 , after which time the insurance company selected will be responsible for all participant benefit payments. Pension Net Periodic Benefit Cost (Income) The components of net periodic benefit cost (income) for the three months ended June 30, 2022 were as follows: Pension United States of America United Kingdom Mexico Bargaining Salaried Supplemental Pension Pension Total Postretirement Service cost $ 4.1 $ 0.1 $ — $ — $ — $ 4.2 $ 0.3 Interest cost 7.5 1.6 0.2 0.4 — 9.7 0.9 Expected return on plan assets ( 14.4 ) ( 1.3 ) — ( 0.9 ) — ( 16.6 ) ( 0.9 ) Amortization of prior service cost 0.3 — — — — 0.3 ( 1.5 ) Net remeasurement losses (gains) ( 44.8 ) 9.3 — — — ( 35.5 ) — Net Periodic Benefit Cost (Income) $ ( 47.3 ) $ 9.7 $ 0.2 $ ( 0.5 ) $ — $ ( 37.9 ) $ ( 1.2 ) The components of net periodic benefit cost (income) for the three months ended June 30, 2021 were as follows: Pension United States of America United Kingdom Mexico Bargaining Salaried Supplemental Pension Pension Total Postretirement Service cost $ 4.2 $ 0.1 $ — $ — $ — $ 4.3 $ 0.3 Interest cost 7.1 1.6 0.2 0.3 — 9.2 0.8 Expected return on plan assets ( 12.9 ) ( 3.0 ) — ( 0.8 ) — ( 16.7 ) ( 0.9 ) Amortization of prior service cost — — — — — — ( 1.5 ) Net remeasurement losses (gains) — ( 0.7 ) — — — ( 0.7 ) — Net Periodic Benefit Cost (Income) $ ( 1.6 ) $ ( 2.0 ) $ 0.2 $ ( 0.5 ) $ — $ ( 3.9 ) $ ( 1.3 ) The components of net periodic benefit cost (income) for the six months ended June 30, 2022 were as follows: Pension United States of America United Kingdom Mexico Bargaining Salaried Supplemental Pension Pension Total Postretirement Service cost $ 8.2 $ 0.2 $ — $ — $ — $ 8.4 $ 0.6 Interest cost 15.0 3.0 0.3 0.8 — 19.1 1.7 Expected return on plan assets ( 28.8 ) ( 2.8 ) — ( 1.8 ) — ( 33.4 ) ( 1.8 ) Amortization of prior service cost 0.6 — — — — 0.6 ( 3.0 ) Net remeasurement losses (gains) ( 44.8 ) 5.3 ( 2.5 ) — — ( 42.0 ) — Net Periodic Benefit Cost (Income) $ ( 49.8 ) $ 5.7 $ ( 2.2 ) $ ( 1.0 ) $ — $ ( 47.3 ) $ ( 2.5 ) The components of net periodic benefit cost (income) for the six months ended June 30, 2021 were as follows: Pension United States of America United Kingdom Mexico Bargaining Salaried Supplemental Pension Pension Total Postretirement Service cost $ 8.5 $ 0.2 $ — $ — $ — $ 8.7 $ 0.6 Interest cost 14.2 3.1 0.4 0.6 — 18.3 1.6 Expected return on plan assets ( 25.8 ) ( 6.5 ) — ( 1.6 ) — ( 33.9 ) ( 1.8 ) Amortization of prior service cost 0.1 — — — — 0.1 ( 3.0 ) Net remeasurement losses (gains) — ( 0.5 ) — — — ( 0.5 ) — Net Periodic Benefit Cost (Income) $ ( 3.0 ) $ ( 3.7 ) $ 0.4 $ ( 1.0 ) $ — $ ( 7.3 ) $ ( 2.6 ) The Bargaining Plan, Salaried Plan, and Supplemental Plan have a provision that permits employees to elect to receive their pension benefits in a lump sum upon retirement. The Company's accounting policy is to recognize settlements during the quarter in which it is projected that the costs of all settlements during the year will be greater than the sum of the service cost and intertest cost components. In the first quarter of 2022, the cumulative cost of all lump sum payments exceeded this threshold for the Supplemental Plan. Additionally, in the first quarter of 2022, the cumulative costs of all lump sum payments were projected to exceed this threshold during 2022 for the Salaried Plan. These costs did ultimately exceed this threshold for the Salaried Plan during the second quarter of 2022. Also, during the second quarter of 2022, the cumulative costs of all lump sum payments were projected to exceed this threshold in 2022 for the Bargaining Plan. These payments constitute a partial settlement, which is a significant event requiring remeasurement of both plan assets and benefit obligations. As a result, the Company completed a full remeasurement of its pension obligations and plan assets associated with the Supplemental Plan during the first quarter of 2022. No further remeasurement was required in the second quarter of 2022 or is expected for the remainder of 2022 related to the Supplemental Plan, as no further lump sum payments have been made or are expected to be made during the year. The Salaried Plan's pension obligations and plan assets were remeasured during the first and second quarters of 2022, as lump sum payments are ongoing throughout the year. We also completed a full remeasurement of the Bargaining Plan's pension obligations and plan assets during the second quarter of 2022. The Company expects to complete a full remeasurement of the Bargaining and Salaried plans for the remainder of the year. A full remeasurement of the pension obligations and plan assets associated with the Salaried Plan was also completed throughout each quarter of 2021. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Note 12 – Stock-Based Compensation During the six months ended June 30, 2022 the Board of Directors granted 339,453 time-based restricted stock units and 178,467 performance-based restricted stock units, which relates to the annual grant to our employees and Board of Directors. Time-based restricted stock units are issued with the fair value equal to the closing market price of TimkenSteel common shares on the date of grant. These restricted stock units do not have any performance conditions for vesting. Expense is recognized over the service period, adjusted for any forfeitures that should occur during the vesting period. The weighted average fair value of the restricted stock units granted during the six months ended June 30, 2022 was $ 18.13 per share. Performance-based restricted stock units issued in 2022 vest based on achievement of a total shareholder return (“TSR”) metric. The TSR metric is considered a market condition, which requires TimkenSteel to reflect it in the fair value on grant date using an advanced option-pricing model. The fair value of each performance share was therefore determined using a Monte Carlo valuation model, a generally accepted lattice pricing model under ASC 718 – Stock-based Compensation. The Monte Carlo valuation model, among other factors, uses commonly-accepted economic theory underlying all valuation models, estimates fair value using simulations of future share prices based on stock price behavior and considers the correlation of peer company returns in determining fair value. The fair value of the performance-based restricted stock units granted during the six months ended June 30, 2022 was $ 25.04 per share. TimkenSteel recognized stock-based compensation expense of $ 2.2 million and $ 4.3 million for the three and six months ended June 30, 2022 , compared to $ 1.8 million and $ 3.6 million for the three and six months ended June 30, 2021. Future stock-based compensation expense related to the unvested portion of all awards is approximately $ 15.9 million . The future expense is expected to be recognized over the remaining vesting periods through 2025 . |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 6 Months Ended |
Jun. 30, 2022 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Note 13 - Accumulated Other Comprehensive Income (Loss) Changes in accumulated other comprehensive income (loss) for the six months ended June 30, 2022 and 2021 by component were as follows: Foreign Currency Pension and Total Balance as of December 31, 2021 $ ( 5.1 ) $ 25.8 $ 20.7 Other comprehensive income (loss) before reclassifications, before income tax ( 3.1 ) — ( 3.1 ) Amounts reclassified from accumulated other comprehensive income (loss), before income tax — ( 2.3 ) ( 2.3 ) Tax effect — 0.4 0.4 Net current period other comprehensive income (loss), net of income taxes ( 3.1 ) ( 1.9 ) ( 5.0 ) Balance as of June 30, 2022 $ ( 8.2 ) $ 23.9 $ 15.7 Foreign Currency Pension and Total Balance at December 31, 2020 $ ( 5.4 ) $ 45.8 $ 40.4 Other comprehensive income (loss) before reclassifications, before income tax 0.4 — 0.4 Amounts reclassified from accumulated other comprehensive income (loss), before income tax — ( 2.9 ) ( 2.9 ) Tax effect — — — Net current period other comprehensive income (loss), net of income taxes 0.4 ( 2.9 ) ( 2.5 ) Balance as of June 30, 2021 $ ( 5.0 ) $ 42.9 $ 37.9 The amount reclassified from accumulated other comprehensive income (loss) in the six months ended June 30, 2022 and 2021 for the pension and postretirement liability adjustment was included in other (income) expense, net in the unaudited Consolidated Statements of Operations. |
Contingencies
Contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Loss Contingency Accrual, Disclosures [Abstract] | |
Contingencies | Note 14 – Contingencies TimkenSteel has a number of loss exposures incurred in the ordinary course of business, such as environmental claims, product warranty claims, employee-related matters, and other litigation. Establishing loss reserves for these matters requires management’s estimate and judgment regarding risk exposure and ultimate liability or realization. These loss reserves are reviewed periodically and adjustments are made to reflect the most recent facts and circumstances. Accruals related to environmental claims represent management’s best estimate of the fees and costs associated with these claims. Although it is not possible to predict with certainty the outcome of such claims, management believes that their ultimate dispositions should not have a material adverse effect on our financial position, cash flows or results of operations. As of June 30, 2022 and December 31, 2021, TimkenSteel had a $ 0.8 million and a $ 0.3 million contingency reserve, respectively, related to loss exposures incurred in the ordinary course of business. |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Adoption of New Accounting Standards | Adoption of New Accounting Standards The Company did not adopt any Accounting Standard Updates (“ASU”) in the second quarter of 2022. Additionally, there are no current ASUs issued, but not adopted, that are expected to have an impact on the Company. As of January 1, 2021, the Company early adopted ASU 2020-06, Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40), using the modified retrospective method of transition. The standard simplifies the accounting for convertible instruments, as well as the diluted net income per share calculation. The standard also removes certain settlement conditions that are required for equity contracts to qualify for the derivative scope exception. Upon adoption of ASU 2020-06 as of January 1, 2021, all outstanding Convertible Notes were fully classified as a liability, there was no longer a separate equity component and the Convertible Notes no longer have a debt discount that is amortized. This resulted in a decrease of $ 10.6 million to additional paid-in capital and an increase of $ 1.1 million and $ 5.3 million to current convertible notes, net and non-current convertible notes, net, respectively, on the Consolidated Balance Sheets as of January 1, 2021. Additionally, retained deficit was reduced by $ 4.2 million in the Consolidated Balance Sheets as of January 1, 2021 to remove amortization expense recognized in prior periods. The adoption of this standard did not have an effect on the Company’s cash flows, liquidity, or the methodology used for the earnings per share calculation. Refer to “Note 10 – Financing Arrangements” for additional information on the Convertible Notes. Legislation related to the COVID-19 Pandemic Due to a provision in the Coronavirus Aid, Relief, and Economic Security ("CARES") Act, the Company was able to defer the employer share of Social Security payroll taxes for a specified time during 2020. During the year ended December 31, 2020, the Company deferred $ 6.4 million in cash payments and recorded reserves for such deferred payroll taxes in salaries, wages and benefits on the Consolidated Balance Sheets , to be paid in two equal installments. The first installment in the amount of $ 3.2 million was paid during the fourth quarter of 2021. The second installment is due on December 31, 2022. The CARES Act also provided for an employee retention credit (“Employee Retention Credit”), which is a refundable tax credit against certain employment taxes. The Company qualified for the tax credit in the second and third quarters of 2020 and accrued a benefit of $ 2.3 million in the fourth quarter of 2020 related to the Employee Retention Credit in other (income) expense, net on the Consolidated Statements of Operations. The Company filed for this credit in the second quarter of 2021 and received a portion of the proceeds from the Internal Revenue Service ("IRS") in the amount of $ 0.5 million during the fourth quarter of 2021. The Company received the remaining $ 1.8 million of cash proceeds in the first quarter of 2022. |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table provides the major sources of revenue by end-market sector for the three and six months ended June 30, 2022 and 2021: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Mobile $ 152.9 $ 132.9 $ 297.0 $ 266.5 Industrial 208.2 173.6 383.2 298.3 Energy 46.3 13.2 71.3 21.0 Other (1) 8.3 7.6 16.2 15.1 Total Net Sales $ 415.7 $ 327.3 $ 767.7 $ 600.9 (1) “Other” sales by end-market sector relates to the Company’s scrap sales. The following table provides the major sources of revenue by product type for the three and six months ended June 30, 2022 and 2021: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Bar $ 295.2 $ 225.3 $ 531.6 $ 398.5 Tube 52.8 40.9 99.3 77.0 Manufactured components 59.4 53.5 120.6 110.2 Other (2) 8.3 7.6 16.2 15.2 Total Net Sales $ 415.7 $ 327.3 $ 767.7 $ 600.9 (2) “Other” sales by product type relates to the Company’s scrap sales. |
Restructuring Charges (Tables)
Restructuring Charges (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring Reserve | The following is a summary of the restructuring reserve for the six months ended June 30, 2022 and 2021: Balance at December 31, 2021 $ 4.7 Expenses 0.8 Payments ( 3.6 ) Balance at June 30, 2022 $ 1.9 Balance at December 31, 2020 $ 1.5 Expenses 1.6 Payments ( 2.7 ) Balance at June 30, 2021 $ 0.4 |
Other (Income) Expense, Net (Ta
Other (Income) Expense, Net (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Other Income and Expenses [Abstract] | |
Schedule of Other (Income) Expense, Net | The following table provides the components of other (income) expense, net for the three and six months ended June 30, 2022 and 2021: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Pension and postretirement non-service benefit (income) loss $ ( 8.1 ) $ ( 9.2 ) $ ( 16.8 ) $ ( 18.8 ) Loss (gain) from remeasurement of benefit plans ( 35.5 ) ( 0.7 ) ( 42.0 ) ( 0.5 ) Sales and use tax refund — ( 2.5 ) — ( 2.5 ) Foreign currency exchange (gain) loss ( 0.1 ) — ( 0.1 ) — Miscellaneous (income) expense ( 0.1 ) 0.1 ( 0.1 ) 0.1 Total other (income) expense, net $ ( 43.8 ) $ ( 12.3 ) $ ( 59.0 ) $ ( 21.7 ) |
Income Tax Provision (Tables)
Income Tax Provision (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of (Benefit) Provision for Income Taxes | TimkenSteel’s provision for income taxes in interim periods is computed by applying the appropriate estimated annual effective tax rates to income or loss before income taxes for the period. In addition, non-recurring or discrete items, including interest on prior-year tax liabilities, are recorded during the periods in which they occur. Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Provision (benefit) for incomes taxes $ 1.5 $ 1.4 $ 2.4 $ 1.6 Effective tax rate 2.0 % 2.5 % 2.1 % 2.4 % |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the reconciliation of the numerator and the denominator of basic and diluted earnings (loss) per share for the three and six months ended June 30, 2022 and 2021: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Numerator: Net income (loss), basic $ 74.5 $ 54.0 $ 111.6 $ 63.8 Add convertible notes interest 0.5 1.2 1.2 2.5 Net income (loss), diluted $ 75.0 $ 55.2 $ 112.8 $ 66.3 Denominator: Weighted average shares outstanding, basic 46.6 45.9 46.5 45.6 Dilutive effect of stock-based awards 2.2 1.9 2.2 1.6 Dilutive effect of convertible notes 4.0 8.3 4.6 8.6 Weighted average shares outstanding, diluted 52.8 56.1 53.3 55.8 Basic earnings (loss) per share $ 1.60 $ 1.18 $ 2.40 $ 1.40 Diluted earnings (loss) per share $ 1.42 $ 0.98 $ 2.12 $ 1.19 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Schedule of Components of Inventory | The components of inventories, net of reserves as of June 30, 2022 and December 31, 2021 were as follows: June 30, December 31, Manufacturing supplies $ 31.2 $ 29.3 Raw materials 41.0 37.3 Work in process 138.5 89.3 Finished products 51.6 55.8 Gross inventory 262.3 211.7 Allowance for inventory reserves ( 0.5 ) ( 0.8 ) Total inventories, net $ 261.8 $ 210.9 |
Financing Arrangements (Tables)
Financing Arrangements (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Debt Instrument [Line Items] | |
Summary of Current and Non-current Debt | The following table summarizes the current and non-current debt as of June 30, 2022 and December 31, 2021: June 30, December 31, Credit Agreement $ — $ — Convertible Senior Notes due 2025 20.4 44.9 Total debt $ 20.4 $ 44.9 Less current portion of debt 20.4 44.9 Total non-current portion of debt $ — $ — |
Schedule of Interest Expense | The following table provides the components of interest expense, net for the three and six months ended June 30, 2022 and 2021: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Interest expense $ 0.9 $ 1.7 $ 2.1 $ 3.5 Interest income ( 0.3 ) — ( 0.3 ) — Interest expense, net $ 0.6 $ 1.7 $ 1.8 $ 3.5 |
Convertible Senior Notes due 2025 | |
Debt Instrument [Line Items] | |
Schedule of Components of Convertible Notes | The components of the Convertible Senior Notes due 2025 as of June 30, 2022 and December 31, 2021 were as follows: June 30, December 31, Principal $ 20.8 $ 46.0 Less: Debt issuance costs, net of amortization ( 0.4 ) ( 1.1 ) Convertible Senior Notes due 2025, net $ 20.4 $ 44.9 |
Convertible Notes | |
Debt Instrument [Line Items] | |
Schedule of Interest Expense | The following table sets forth interest expense recognized specifically related to the Convertible Notes: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Contractual interest expense $ 0.5 $ 1.1 $ 1.1 $ 2.3 Amortization of debt issuance costs — 0.1 0.1 0.2 Total $ 0.5 $ 1.2 $ 1.2 $ 2.5 |
Retirement and Postretirement_2
Retirement and Postretirement Plans (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | |
Schedule of Defined Benefit Plans Disclosures | The components of net periodic benefit cost (income) for the three months ended June 30, 2022 were as follows: Pension United States of America United Kingdom Mexico Bargaining Salaried Supplemental Pension Pension Total Postretirement Service cost $ 4.1 $ 0.1 $ — $ — $ — $ 4.2 $ 0.3 Interest cost 7.5 1.6 0.2 0.4 — 9.7 0.9 Expected return on plan assets ( 14.4 ) ( 1.3 ) — ( 0.9 ) — ( 16.6 ) ( 0.9 ) Amortization of prior service cost 0.3 — — — — 0.3 ( 1.5 ) Net remeasurement losses (gains) ( 44.8 ) 9.3 — — — ( 35.5 ) — Net Periodic Benefit Cost (Income) $ ( 47.3 ) $ 9.7 $ 0.2 $ ( 0.5 ) $ — $ ( 37.9 ) $ ( 1.2 ) The components of net periodic benefit cost (income) for the three months ended June 30, 2021 were as follows: Pension United States of America United Kingdom Mexico Bargaining Salaried Supplemental Pension Pension Total Postretirement Service cost $ 4.2 $ 0.1 $ — $ — $ — $ 4.3 $ 0.3 Interest cost 7.1 1.6 0.2 0.3 — 9.2 0.8 Expected return on plan assets ( 12.9 ) ( 3.0 ) — ( 0.8 ) — ( 16.7 ) ( 0.9 ) Amortization of prior service cost — — — — — — ( 1.5 ) Net remeasurement losses (gains) — ( 0.7 ) — — — ( 0.7 ) — Net Periodic Benefit Cost (Income) $ ( 1.6 ) $ ( 2.0 ) $ 0.2 $ ( 0.5 ) $ — $ ( 3.9 ) $ ( 1.3 ) The components of net periodic benefit cost (income) for the six months ended June 30, 2022 were as follows: Pension United States of America United Kingdom Mexico Bargaining Salaried Supplemental Pension Pension Total Postretirement Service cost $ 8.2 $ 0.2 $ — $ — $ — $ 8.4 $ 0.6 Interest cost 15.0 3.0 0.3 0.8 — 19.1 1.7 Expected return on plan assets ( 28.8 ) ( 2.8 ) — ( 1.8 ) — ( 33.4 ) ( 1.8 ) Amortization of prior service cost 0.6 — — — — 0.6 ( 3.0 ) Net remeasurement losses (gains) ( 44.8 ) 5.3 ( 2.5 ) — — ( 42.0 ) — Net Periodic Benefit Cost (Income) $ ( 49.8 ) $ 5.7 $ ( 2.2 ) $ ( 1.0 ) $ — $ ( 47.3 ) $ ( 2.5 ) The components of net periodic benefit cost (income) for the six months ended June 30, 2021 were as follows: Pension United States of America United Kingdom Mexico Bargaining Salaried Supplemental Pension Pension Total Postretirement Service cost $ 8.5 $ 0.2 $ — $ — $ — $ 8.7 $ 0.6 Interest cost 14.2 3.1 0.4 0.6 — 18.3 1.6 Expected return on plan assets ( 25.8 ) ( 6.5 ) — ( 1.6 ) — ( 33.9 ) ( 1.8 ) Amortization of prior service cost 0.1 — — — — 0.1 ( 3.0 ) Net remeasurement losses (gains) — ( 0.5 ) — — — ( 0.5 ) — Net Periodic Benefit Cost (Income) $ ( 3.0 ) $ ( 3.7 ) $ 0.4 $ ( 1.0 ) $ — $ ( 7.3 ) $ ( 2.6 ) |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | Changes in accumulated other comprehensive income (loss) for the six months ended June 30, 2022 and 2021 by component were as follows: Foreign Currency Pension and Total Balance as of December 31, 2021 $ ( 5.1 ) $ 25.8 $ 20.7 Other comprehensive income (loss) before reclassifications, before income tax ( 3.1 ) — ( 3.1 ) Amounts reclassified from accumulated other comprehensive income (loss), before income tax — ( 2.3 ) ( 2.3 ) Tax effect — 0.4 0.4 Net current period other comprehensive income (loss), net of income taxes ( 3.1 ) ( 1.9 ) ( 5.0 ) Balance as of June 30, 2022 $ ( 8.2 ) $ 23.9 $ 15.7 Foreign Currency Pension and Total Balance at December 31, 2020 $ ( 5.4 ) $ 45.8 $ 40.4 Other comprehensive income (loss) before reclassifications, before income tax 0.4 — 0.4 Amounts reclassified from accumulated other comprehensive income (loss), before income tax — ( 2.9 ) ( 2.9 ) Tax effect — — — Net current period other comprehensive income (loss), net of income taxes 0.4 ( 2.9 ) ( 2.5 ) Balance as of June 30, 2021 $ ( 5.0 ) $ 42.9 $ 37.9 |
Basis of Presentation - Narrati
Basis of Presentation - Narrative (Details) $ in Millions | Jun. 30, 2022 USD ($) |
Restricted Cash and Cash Equivalents [Abstract] | |
Restricted Cash | $ 1 |
Recent Accounting Pronounceme_3
Recent Accounting Pronouncements - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | ||||
Jan. 01, 2021 | Mar. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2022 | Dec. 31, 2020 | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||||
Retained deficit | $ 188.2 | $ 76.6 | |||
Proceeds from issuance of internal revenue service | 0.5 | ||||
Cash proceeds from issuance of remaining internal revenue service | $ 1.8 | ||||
Coronavirus Aid, Relief, and Economic Security Act | |||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||||
Deferred cash payments of payroll taxes | $ 3.2 | $ 6.4 | |||
Accrued benefit | $ 2.3 | ||||
Accounting Standards Update 202006 Member | Revision of Prior Period, Accounting Standards Update, Adjustment | |||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||||
Decrease to additional paid in capital | $ (10.6) | ||||
Increase to current convertible notes net | 1.1 | ||||
Increase to non-current convertible notes net | 5.3 | ||||
Retained deficit | $ 4.2 |
Revenue Recognition (Details)
Revenue Recognition (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Net sales | $ 415.7 | $ 327.3 | $ 767.7 | $ 600.9 |
Bar | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 295.2 | 225.3 | 531.6 | 398.5 |
Tube | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 52.8 | 40.9 | 99.3 | 77 |
Manufactured Components | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 59.4 | 53.5 | 120.6 | 110.2 |
Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 8.3 | 7.6 | 16.2 | 15.2 |
Mobile | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 152.9 | 132.9 | 297 | 266.5 |
Industrial | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 208.2 | 173.6 | 383.2 | 298.3 |
Energy | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 46.3 | 13.2 | 71.3 | 21 |
Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | $ 8.3 | $ 7.6 | $ 16.2 | $ 15.1 |
Revenue Recognition - Narrative
Revenue Recognition - Narrative (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Revenue from Contract with Customer [Abstract] | ||
Contract liabilities totalated | $ 1.7 | $ 0.1 |
Restructuring Charges - Narrati
Restructuring Charges - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Restructuring and Related Activities [Abstract] | ||||
Restructuring charges | $ 0.4 | $ 1 | $ 0.8 | $ 1.6 |
Restructuring charges related to severance and employee-related benefits | $ 0.3 | $ 1.3 |
Restructuring Charges - Summary
Restructuring Charges - Summary of Restructuring Reserve (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Restructuring Reserve [Roll Forward] | ||||
Beginning balance | $ 4.7 | $ 1.5 | ||
Expenses | $ 0.4 | $ 1 | 0.8 | 1.6 |
Payments | (3.6) | (2.7) | ||
Ending balance | $ 1.9 | $ 0.4 | $ 1.9 | $ 0.4 |
Disposition of Non-Core Assets
Disposition of Non-Core Assets (Details) - USD ($) $ in Millions | 3 Months Ended | |||
Sep. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2022 | Dec. 31, 2021 | |
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Assets held for sale | $ 4.3 | $ 4.3 | ||
TimkenSteel (Shanghai) Corporation Limited | Daido Steel (Shanghai) Co., Ltd. | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Proceeds from sale of consolidated subsidiary, net | $ 6.2 | |||
Loss on sale of consolidated subsidiary | $ (1.1) | |||
Harrison Facility | Melt and Cast Related Assets | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Non-cash charges related to write down of assets | $ 9.5 | |||
Machinery and Equipment | Harrison Facility | Melt and Cast Related Assets | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Non-cash charges related to write down of assets | 7.9 | |||
Spare Parts | Harrison Facility | Melt and Cast Related Assets | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Non-cash charges related to write down of assets | 1.6 | |||
Disposal Group, Held-for-sale, Not Discontinued Operation | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Impairment charges | 0.3 | |||
Assets held for sale | $ 4.3 | $ 4.3 | ||
Disposal Group, Held-for-sale, Not Discontinued Operation | Machinery and Equipment | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Accelerated depreciation | 1.5 | |||
Disposal Group, Held-for-sale, Not Discontinued Operation | Spare Parts | ||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||
Impairment charges related to the indefinite idling of assets | $ 0.5 |
Other (Income) Expense, Net (De
Other (Income) Expense, Net (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Other Income and Expenses [Abstract] | ||||
Pension and postretirement non-service benefit (income) loss | $ (8.1) | $ (9.2) | $ (16.8) | $ (18.8) |
Loss (gain) from remeasurement of benefit plans | (35.5) | (0.7) | (42) | (0.5) |
Sales and use tax refund | 0 | (2.5) | 0 | (2.5) |
Foreign currency exchange loss (gain) | (0.1) | (0.1) | 0 | |
Miscellaneous (income) expense | (0.1) | 0.1 | (0.1) | 0.1 |
Total other (income) expense, net | $ (43.8) | $ (12.3) | $ (59) | $ (21.7) |
Other (Income) Expense, Net - N
Other (Income) Expense, Net - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Other Income and Expenses [Abstract] | ||||
Total gain from remeasurement of benefit plans | $ 35.5 | $ 0.7 | $ 42 | $ 0.5 |
Decrease in liability | 205.5 | 9.5 | 231.1 | 10 |
Investment losses on plan assets | 170 | 8.8 | 189.1 | 9.5 |
Sales and use taxes refund | $ 0 | $ 2.5 | $ 0 | $ 2.5 |
Income Tax Provision - Schedule
Income Tax Provision - Schedule of (Benefit) Provision for Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | ||||
Provision (benefit) for income taxes | $ 1.5 | $ 1.4 | $ 2.4 | $ 1.6 |
Effective tax rate | 2% | 2.50% | 2.10% | 2.40% |
Income Tax Provision - Narrativ
Income Tax Provision - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | ||||
Federal statutory income tax rate | 21% | |||
Effective tax rate | 2% | 2.50% | 2.10% | 2.40% |
State and local tax payments | $ 1.5 | $ 0.3 | ||
U.S federal payments | 1 | 0 | ||
Foreign tax payments | $ 0.1 | $ 0.5 |
Earnings (Loss) Per Share - Add
Earnings (Loss) Per Share - Additional Information (Details) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Incremental Common Shares Attributable To Share Based Payment Arrangements Shares Assumed Issued | 3.2 | 3.3 | 3.1 | 3.1 |
Shares assumed purchased | 1 | 1.4 | ||
Shares assumed purchased with potential proceeds | 0.9 | 1.5 | ||
Convertible Senior Notes due 2025 | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from calculation of computation of diluted earnings (loss) per share | 1.9 | 1.3 | ||
Convertible notes repurchased outstanding principal amount | $ 15.2 | $ 25.2 | ||
Underwater Options [Member] | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from calculation of computation of diluted earnings (loss) per share | 0.8 | 1.6 | 1 | 1.9 |
Equity-based Awards [Member] | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from calculation of computation of diluted earnings (loss) per share | 4 | 4.9 | 4.1 | 5 |
Earnings (Loss) Per Share - Sch
Earnings (Loss) Per Share - Schedule of Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Numerator: | ||||
Net income (loss), basic | $ 74.5 | $ 54 | $ 111.6 | $ 63.8 |
Add convertible notes interest | 0.5 | 1.2 | 1.2 | 2.5 |
Net income (loss), diluted | $ 75 | $ 55.2 | $ 112.8 | $ 66.3 |
Denominator: | ||||
Weighted average shares outstanding, basic (in shares) | 46.6 | 45.9 | 46.5 | 45.6 |
Dilutive effect of stock-based awards (in shares) | 2.2 | 1.9 | 2.2 | 1.6 |
Dilutive effect of convertible notes (in shares) | 4 | 8.3 | 4.6 | 8.6 |
Weighted average shares outstanding, diluted (in shares) | 52.8 | 56.1 | 53.3 | 55.8 |
Basic earnings (loss) per share | $ 1.60 | $ 1.18 | $ 2.40 | $ 1.40 |
Diluted earnings (loss) per share | $ 1.42 | $ 0.98 | $ 2.12 | $ 1.19 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventory (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Inventory Disclosure [Abstract] | ||
Manufacturing supplies | $ 31.2 | $ 29.3 |
Raw materials | 41 | 37.3 |
Work in process | 138.5 | 89.3 |
Finished products | 51.6 | 55.8 |
Gross inventory | 262.3 | 211.7 |
Allowance for inventory reserves | (0.5) | (0.8) |
Total inventories, net | $ 261.8 | $ 210.9 |
Financing Arrangements - Summar
Financing Arrangements - Summary of Current and Non-current Debt (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Total debt | $ 20.4 | $ 44.9 |
Less current portion of debt | 20.4 | 44.9 |
Total non-current portion of debt | 0 | 0 |
Convertible Senior Notes due 2025 | ||
Debt Instrument [Line Items] | ||
Total debt | $ 20.4 | $ 44.9 |
Financing Arrangements - Narrat
Financing Arrangements - Narrative (Details) $ / shares in Units, shares in Millions | 3 Months Ended | 6 Months Ended | ||||||
Jun. 01, 2021 USD ($) | Jun. 30, 2022 USD ($) shares | Jun. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) Days shares | Jun. 30, 2021 USD ($) | Jul. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 USD ($) | Dec. 20, 2021 shares | |
Debt Instrument [Line Items] | ||||||||
Settled with cash payment | $ 67,600,000 | $ 38,900,000 | ||||||
Interest paid | 1,900,000 | 3,100,000 | ||||||
Loss on extinguishment of debt | $ (26,000,000) | $ 0 | (43,000,000) | $ 0 | ||||
Common Stock, Shares outstanding | shares | 50 | |||||||
Money market investment carrying value | $ 200,100,000 | $ 200,100,000 | $ 0 | |||||
Stock Repurchased, Shares | shares | 0.4 | 0.6 | ||||||
Stock Repurchased, Amount | $ 9,300,000 | $ 12,700,000 | ||||||
Average Repurchase price | 21.20 | 20.94 | ||||||
Stock Repurchase Program, Remaining Amount | 37,300,000 | 37,300,000 | ||||||
Stock Repurchase Program, Amount | 50,000,000 | 50,000,000 | $ 50,000,000 | |||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | 37,300,000 | 37,300,000 | ||||||
Common Shares | ||||||||
Debt Instrument [Line Items] | ||||||||
Stock Repurchase Program, Remaining Amount | $ 34,000,000 | |||||||
Shares repurchased | shares | 0.2 | |||||||
Aggregate cost | $ 3,300,000 | |||||||
Average repurchase price | $ / shares | $ 17.72 | |||||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 34,000,000 | |||||||
Third Amended Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Outstanding borrowings | 0 | 0 | ||||||
Third Amended Credit Facility | Credit Agreement | ||||||||
Debt Instrument [Line Items] | ||||||||
Line of credit facility, tentative future commitment increase | 320,200,000 | $ 320,200,000 | ||||||
Convertible Senior Notes due 2021 | ||||||||
Debt Instrument [Line Items] | ||||||||
Terms of conversion | The Convertible Senior Notes due 2021 were settled on June 1, 2021 with cash payment of $38.9 million and issuance of shares of 0.1 million, as most noteholders exercised the conversion option prior to the date of maturity. | |||||||
Settled with cash payment | $ 38,900,000 | |||||||
Settlement through issuance of shares | shares | 0.1 | |||||||
Final cash payment of interest made to noteholders | $ 1,200,000 | |||||||
Debt Instrument, Face Amount | 46,000,000 | 46,000,000 | ||||||
Convertible Senior Notes due 2025 | ||||||||
Debt Instrument [Line Items] | ||||||||
Outstanding borrowings | 0 | 0 | ||||||
Principal amount | 20,800,000 | 20,800,000 | 46,000,000 | |||||
Transaction costs, debt gross | 1,500,000 | $ 1,500,000 | ||||||
Terms of conversion | The Convertible Senior Notes due 2025 are convertible at the option of holders in certain circumstances and during certain periods into the Company’s common shares, cash, or a combination thereof, at the Company’s election. | |||||||
Settled with cash payment | $ 67,600,000 | |||||||
Debt instrument, threshold trading days | Days | 20 | |||||||
Debt Instrument, , threshold consecutive trading days | Days | 30 | |||||||
Debt Instrument, threshold Percentage of stock price conversion | 130% | |||||||
Fair value of convertible notes | 54,700,000 | $ 54,700,000 | $ 107,000,000 | |||||
Loss on extinguishment of debt | 26,000,000 | 43,000,000 | ||||||
Unamortized debt issuance costs | 400,000 | 600,000 | ||||||
Convertible Senior Notes due 2025 | Convertible Notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt Instrument, Face Amount | $ 25,200,000 | $ 25,200,000 |
Financing Arrangements - Schedu
Financing Arrangements - Schedule of Convertible Debt (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Total debt | $ 20.4 | $ 44.9 |
Convertible Senior Notes due 2025 | ||
Debt Instrument [Line Items] | ||
Principal | 20.8 | 46 |
Less: Debt issuance costs, net of amortization | (0.4) | (1.1) |
Total debt | $ 20.4 | $ 44.9 |
Financing Arrangements - Sche_2
Financing Arrangements - Schedule of Interest Expense (Details) - Convertible Notes - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Debt Instrument [Line Items] | ||||
Contractual interest expense | $ 0.5 | $ 1.1 | $ 1.1 | $ 2.3 |
Amortization of debt issuance costs | 0 | 0.1 | 0.1 | 0.2 |
Total | $ 0.5 | $ 1.2 | $ 1.2 | $ 2.5 |
Financing Arrangements - Sche_3
Financing Arrangements - Schedule Components of Interest Expense (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Interest Expense [Abstract] | ||||
Interest expense | $ 0.9 | $ 1.7 | $ 2.1 | $ 3.5 |
Interest income | (0.3) | 0 | (0.3) | 0 |
Interest expense, net | $ 0.6 | $ 1.7 | $ 1.8 | $ 3.5 |
Retirement and Postretirement_3
Retirement and Postretirement Plans - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 07, 2022 | Oct. 29, 2021 | Sep. 30, 2022 | Jun. 30, 2022 | |
Bargaining Plan | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Defined benefit plan term of contract | 4 years | |||
Defined benefit plan contract expiration date | Sep. 27, 2025 | |||
Increased in pension liability | $ 14.2 | |||
Bargaining Plan's obligations | $ 256.2 | |||
Bargaining Plan | Subsequent Event | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Settlement gain | $ 2.7 | |||
Postretirement | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Defined Benefit Plan Terminated Effective Date | Mar. 31, 2022 | |||
Expected annuity purchase year | 2023 |
Retirement and Postretirement_4
Retirement and Postretirement Plans - Components of Net Periodic Benefit Cost (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Pension | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Service cost | $ 4.2 | $ 4.3 | $ 8.4 | $ 8.7 |
Interest cost | 9.7 | 9.2 | 19.1 | 18.3 |
Expected return on plan assets | (16.6) | (16.7) | (33.4) | (33.9) |
Amortization of prior service cost | 0.3 | 0.6 | 0.1 | |
Net remeasurement losses (gains) | (35.5) | (0.7) | (42) | (0.5) |
Net Periodic Benefit Cost (Income) | (37.9) | (3.9) | (47.3) | (7.3) |
Pension | United States of America | Bargaining Plan | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Service cost | 4.1 | 4.2 | 8.2 | 8.5 |
Interest cost | 7.5 | 7.1 | 15 | 14.2 |
Expected return on plan assets | (14.4) | (12.9) | (28.8) | (25.8) |
Amortization of prior service cost | 0.3 | 0.6 | 0.1 | |
Net remeasurement losses (gains) | (44.8) | (44.8) | ||
Net Periodic Benefit Cost (Income) | (47.3) | (1.6) | (49.8) | (3) |
Pension | United States of America | Salaried Plan | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Service cost | 0.1 | 0.1 | 0.2 | 0.2 |
Interest cost | 1.6 | 1.6 | 3 | 3.1 |
Expected return on plan assets | (1.3) | (3) | (2.8) | (6.5) |
Net remeasurement losses (gains) | 9.3 | (0.7) | 5.3 | (0.5) |
Net Periodic Benefit Cost (Income) | 9.7 | (2) | 5.7 | (3.7) |
Pension | United States of America | Supplemental Plan | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Interest cost | 0.2 | 0.2 | 0.3 | 0.4 |
Net remeasurement losses (gains) | (2.5) | |||
Net Periodic Benefit Cost (Income) | 0.2 | 0.2 | (2.2) | 0.4 |
Pension | United Kingdom | Pension Scheme | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Interest cost | 0.4 | 0.3 | 0.8 | 0.6 |
Expected return on plan assets | (0.9) | (0.8) | (1.8) | (1.6) |
Net Periodic Benefit Cost (Income) | (0.5) | (0.5) | (1) | (1) |
Postretirement | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Service cost | 0.3 | 0.3 | 0.6 | 0.6 |
Interest cost | 0.9 | 0.8 | 1.7 | 1.6 |
Expected return on plan assets | (0.9) | (0.9) | (1.8) | (1.8) |
Amortization of prior service cost | (1.5) | (1.5) | (3) | (3) |
Net Periodic Benefit Cost (Income) | $ (1.2) | $ (1.3) | $ (2.5) | $ (2.6) |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 2.2 | $ 1.8 | $ 4.3 | $ 3.6 |
Future stock-based compensation expense | $ 15.9 | |||
Restricted Stock Units | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Shares granted | 339,453 | |||
Fair value of shares granted | $ 18.13 | |||
Performance Shares | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Shares granted | 178,467 | |||
Fair value of shares granted | $ 25.04 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Schedule of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||||
Beginning balance | $ 703.2 | $ 664.6 | $ 513.3 | $ 507.5 | $ 664.6 | $ 507.5 |
Other comprehensive income (loss) before reclassifications, before income tax | (3.1) | 0.4 | ||||
Amounts reclassified from accumulated other comprehensive income (loss), before income tax | (2.3) | (2.9) | ||||
Tax effect | 0.3 | 0.4 | 0 | |||
Other comprehensive income (loss), net of tax | (3.1) | (1.9) | (1.1) | (1.4) | (5) | (2.5) |
Ending balance | 768.9 | 703.2 | 570 | 513.3 | 768.9 | 570 |
Foreign Currency Translation Adjustments | ||||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||||
Beginning balance | (5.1) | (5.4) | (5.1) | (5.4) | ||
Other comprehensive income (loss) before reclassifications, before income tax | (3.1) | 0.4 | ||||
Amounts reclassified from accumulated other comprehensive income (loss), before income tax | 0 | 0 | ||||
Tax effect | 0 | 0 | ||||
Other comprehensive income (loss), net of tax | (3.1) | 0.4 | ||||
Ending balance | (8.2) | (5) | (8.2) | (5) | ||
Pension and Postretirement Liability Adjustments | ||||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||||
Beginning balance | 25.8 | 45.8 | 25.8 | 45.8 | ||
Other comprehensive income (loss) before reclassifications, before income tax | 0 | 0 | ||||
Amounts reclassified from accumulated other comprehensive income (loss), before income tax | (2.3) | (2.9) | ||||
Tax effect | 0.4 | 0 | ||||
Other comprehensive income (loss), net of tax | (1.9) | (2.9) | ||||
Ending balance | 23.9 | 42.9 | 23.9 | 42.9 | ||
Accumulated Other Comprehensive Income (Loss) | ||||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||||
Beginning balance | 18.8 | 20.7 | 39 | 40.4 | 20.7 | 40.4 |
Other comprehensive income (loss), net of tax | (3.1) | (1.9) | (1.1) | (1.4) | ||
Ending balance | $ 15.7 | $ 18.8 | $ 37.9 | $ 39 | $ 15.7 | $ 37.9 |
Contingencies - Narrative (Deta
Contingencies - Narrative (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Loss Contingency Accrual, Disclosures [Abstract] | ||
Contingency reserves | $ 0.8 | $ 0.3 |