Cover page
Cover page - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 01, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 001-37586 | |
Entity Registrant Name | INGEVITY CORPORATION | |
(State or other jurisdiction of incorporation or organization) | DE | |
(I.R.S. Employer Identification No.) | 47-4027764 | |
Entity Address, Address Line One | 4920 O'Hear Avenue Suite 400 | |
Entity Address, City or Town | North Charleston | |
Entity Address, State or Province | SC | |
(Zip code) | 29405 | |
City Area Code | 843 | |
Local Phone Number | 740-2300 | |
Title of 12(b) Security | Common Stock ($0.01 par value) | |
Trading Symbol(s) | NGVT | |
Name of each exchange on which registered | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Large accelerated filer | Large Accelerated Filer | |
Smaller reporting company | false | |
Emerging growth company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 38,048,833 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0001653477 | |
Current Fiscal Year End Date | --12-31 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ 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 | $ 419.9 | $ 358.4 | $ 802.7 | $ 678.7 |
Cost of sales | 269.3 | 218.6 | 514.3 | 412.7 |
Gross profit | 150.6 | 139.8 | 288.4 | 266 |
Selling, general, and administrative expenses | 48.7 | 47.5 | 88.7 | 87.5 |
Research and technical expenses | 8.2 | 5.9 | 15.5 | 12.5 |
Restructuring and other (income) charges, net | 3.7 | 4.3 | 7.3 | 8.2 |
Acquisition-related costs | 0 | 0.4 | 0 | 0.7 |
Other (income) expense, net | (1.6) | (4.2) | (3) | (3) |
Interest expense, net | 15.1 | 12.2 | 25.8 | 24.6 |
Income (loss) before income taxes | 76.5 | 73.7 | 154.1 | 135.5 |
Provision (benefit) for income taxes | 16.7 | 29.4 | 33.5 | 42.5 |
Net income (loss) | $ 59.8 | $ 44.3 | $ 120.6 | $ 93 |
Per share data | ||||
Basic earnings (loss) per share (usd per share) | $ 1.55 | $ 1.11 | $ 3.11 | $ 2.31 |
Diluted earnings (loss) per share (usd per share) | $ 1.54 | $ 1.10 | $ 3.09 | $ 2.30 |
Condensed Consolidated Statem_2
Condensed 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) | $ 59.8 | $ 44.3 | $ 120.6 | $ 93 |
Foreign currency adjustments: | ||||
Foreign currency translation adjustment | (53) | 5.8 | (69.6) | 8.2 |
Unrealized gain (loss) on net investment hedges, net of tax provision (benefit) of $1.8, $(0.5), $2.2, $1.0 | 6 | (1.7) | 7.3 | 3.2 |
Total foreign currency adjustments, net of tax provision (benefit) of $1.8, $(0.5), $2.2, $1.0 | (47) | 4.1 | (62.3) | 11.4 |
Derivative instruments: | ||||
Unrealized gain (loss), net of tax provision (benefit) of $0.7, $0.4, $2.7, $0.8 | 2.4 | 1.2 | 8.7 | 2.5 |
Reclassifications of deferred derivative instruments (gain) loss, included in net income (loss), net of tax (provision) benefit of $(0.6), zero, $(1.0), zero | (2.2) | 0 | (3.3) | (0.1) |
Total derivative instruments, net of tax provision (benefit) of $0.1, $0.4, $1.7, $0.8 | 0.2 | 1.2 | 5.4 | 2.4 |
Pension & other postretirement benefits: | ||||
Unrealized actuarial gains (losses) and prior service (costs) credits, net of tax of zero for all periods | 0 | 0 | 0 | 0 |
Net actuarial gains (losses) and prior service (costs) credits | 0.1 | 0.1 | 0.1 | 0.1 |
Total pension and other postretirement benefits, net of tax of zero for all periods | 0.1 | 0.1 | 0.1 | 0.1 |
Other comprehensive income (loss), net of tax | (46.7) | 5.4 | (56.8) | 13.9 |
Comprehensive income (loss) | $ 13.1 | $ 49.7 | $ 63.8 | $ 106.9 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (Parenthetical) - 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] | ||||
Tax on net investment hedge | $ 2.2 | $ 1 | $ 1.8 | $ (0.5) |
Foreign currency tax | 2.2 | 1 | 1.8 | (0.5) |
Unrealized tax (benefit) expense, derivative instruments | 2.7 | 0.8 | 0.7 | 0.4 |
Reclassifications tax expense (benefit), derivative instruments | (1) | 0 | (0.6) | 0 |
Total derivative instruments tax (benefit) expense | 1.7 | 0.8 | 0.1 | 0.4 |
Less: tax provision (benefit) | 0 | 0 | 0 | 0 |
Reclassifications of net actuarial and other (gain) loss and amortization of prior service cost, tax | 0 | 0 | 0 | 0 |
Total pension and other postretirement benefits, tax | 0 | 0 | 0 | 0 |
Other comprehensive income (loss), tax | $ 3.9 | $ 1.8 | $ 1.9 | $ (0.1) |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Cash and cash equivalents | $ 131.3 | $ 275.4 |
Accounts receivable, net of allowance for credit losses of $2.0 - 2022 and $2.0 - 2021 | 221.4 | 161.7 |
Inventories, net | 277 | 241.2 |
Prepaid and other current assets | 48 | 46.6 |
Current assets | 677.7 | 724.9 |
Property, plant and equipment, net | 717.4 | 719.7 |
Operating lease assets, net | 50.5 | 52.4 |
Goodwill | 410.8 | 442 |
Other intangibles, net | 297.3 | 337.6 |
Deferred income taxes | 9.3 | 6.8 |
Restricted investment, net of allowance for credit losses of $0.5 - 2022 and $0.5 - 2021 | 77.1 | 76.1 |
Other assets | 125.9 | 109.5 |
Total Assets | 2,366 | 2,469 |
Liabilities | ||
Accounts payable | 168.3 | 125.8 |
Accrued expenses | 44.8 | 51.7 |
Accrued payroll and employee benefits | 30.6 | 48.2 |
Current operating lease liabilities | 17 | 17.4 |
Notes payable and current maturities of long-term debt | 0.9 | 19.6 |
Income taxes payable | 5.6 | 6.2 |
Current liabilities | 267.2 | 268.9 |
Long-term debt including finance lease obligations | 1,176.2 | 1,250 |
Noncurrent operating lease liabilities | 34.6 | 36.2 |
Deferred income taxes | 114.1 | 114.6 |
Other liabilities | 119.6 | 125.5 |
Total Liabilities | 1,711.7 | 1,795.2 |
Commitments and contingencies (Note 14) | ||
Equity | ||
Preferred stock (par value $0.01 per share; 50,000,000 shares authorized; zero issued and outstanding - 2022 and 2021) | 0 | 0 |
Common stock (par value $0.01 per share; 300,000,000 shares authorized; issued: 43,199,828 - 2022 and 43,102,011 - 2021; outstanding: 38,032,992 - 2022 and 39,269,399 - 2021) | 0.4 | 0.4 |
Additional paid-in capital | 143 | 136.3 |
Retained earnings | 916.7 | 796.1 |
Accumulated other comprehensive income (loss) | (43.7) | 13.1 |
Treasury stock, common stock, at cost (5,166,836 shares - 2022 and 3,832,612 shares - 2021) | (362.1) | (272.1) |
Total Equity | 654.3 | 673.8 |
Total Liabilities and Equity | $ 2,366 | $ 2,469 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Allowance for accounts receivable | $ 2 | $ 2 |
Held-to-maturity, allowance for credit loss | $ 0.5 | $ 0.5 |
Preferred stock, par value (usd per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (shares) | 50,000,000 | 50,000,000 |
Preferred stock, shares issued (shares) | 0 | 0 |
Preferred stock, shares outstanding (shares) | 0 | 0 |
Common stock, par value (usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (shares) | 300,000,000 | 300,000,000 |
Common stock, shares issued (shares) | 43,199,828 | 43,102,011 |
Common stock shares outstanding (shares) | 38,032,992 | 39,269,399 |
Treasury stock (shares) | 5,166,836 | 3,832,612 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | ||
Cash provided by (used in) operating activities: | |||
Net income (loss) | $ 120.6 | $ 93 | |
Adjustments to reconcile net income (loss) to cash provided by (used in) operating activities: | |||
Depreciation and amortization | 52.9 | 54.1 | |
Non cash operating lease costs | 9.2 | 8.7 | |
Deferred income taxes | (0.6) | 11.3 | |
LIFO Reserve | 10.7 | 1.7 | |
Share-based compensation | 6.7 | 6.7 | |
Other non-cash items | 10.4 | 6.6 | |
Changes in operating assets and liabilities, net of effect of acquisitions: | |||
Accounts receivable, net | (64.8) | (29.2) | |
Inventories, net | (52.7) | (26.5) | |
Prepaid and other current assets | (5.2) | (10.8) | |
Accounts payable | 49.1 | 10.8 | |
Accrued expenses | (6.7) | (2.4) | |
Accrued payroll and employee benefits | (17.3) | 4.2 | |
Income taxes | 5.8 | 4.4 | |
Operating leases | (10.6) | (10.3) | |
Changes in other operating assets and liabilities, net | 7.3 | (5.4) | |
Net cash provided by (used in) operating activities | 114.8 | 116.9 | |
Cash provided by (used in) investing activities: | |||
Capital expenditures | (57.2) | (40.9) | |
Purchase of strategic investments | (2) | (16.5) | |
Other investing activities, net | 0.6 | 0.2 | |
Net cash provided by (used in) investing activities | (58.6) | (57.2) | |
Cash provided by (used in) financing activities: | |||
Proceeds from revolving credit facility | 788 | 0 | |
Payments on revolving credit facility | (256) | 0 | |
Payments on long-term borrowings | (628.1) | (14.1) | |
Debt issuance costs | (3) | 0 | |
Debt repayment costs | (3.8) | 0 | |
Finance lease obligations, net | (0.4) | (0.4) | |
Borrowings (repayments) of notes payable and other short-term borrowings, net | 0 | (1.9) | |
Tax payments related to withholdings on vested equity awards | (2) | (2.3) | |
Proceeds and withholdings from share-based compensation plans, net | 1.9 | 3.2 | |
Repurchases of common stock under publicly announced plan | (89.9) | (68.1) | |
Net cash provided by (used in) financing activities | (193.3) | (83.6) | |
Increase (decrease) in cash, cash equivalents, and restricted cash | (137.1) | (23.9) | |
Effect of exchange rate changes on cash | (7.2) | (0.6) | |
Change in cash, cash equivalents, and restricted cash | (144.3) | (24.5) | |
Cash, cash equivalents, and restricted cash at beginning of period | 276.1 | 258.4 | |
Cash, cash equivalents and restricted cash at end of period | [1] | 131.8 | 233.9 |
Supplemental cash flow information: | |||
Cash paid for interest, net of capitalized interest | 28.7 | 24.1 | |
Cash paid for income taxes, net of refunds | 26.9 | 27 | |
Purchases of property, plant and equipment in accounts payable | 6 | 3.1 | |
Leased assets obtained in exchange for new operating lease liabilities | $ 7.7 | $ 7.4 | |
[1]Includes restricted cash of $0.5 million and $0.6 million and cash and cash equivalents of $131.3 million and $233.3 million at June 30, 2022 and 2021, respectively. Restricted cash is included within "Prepaid and other current assets" within the condensed consolidated balance sheets. |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Cash Flows (Unaudited) (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2022 | Jun. 30, 2021 |
Statement of Cash Flows [Abstract] | ||
Restricted cash | $ 0.5 | $ 0.6 |
Cash and cash equivalents | $ 131.3 | $ 233.3 |
Background
Background | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Background | Background Description of Business Ingevity Corporation ("Ingevity," "the Company," "we," "us," or "our") provides products and technologies that purify, protect, and enhance the world around us. Through a team of talented and experienced people, we develop, manufacture, and bring to market solutions that help customers solve complex problems and make the world more sustainable. We report in two business segments, Performance Materials and Performance Chemicals. Our Performance Materials segment manufactures products in the form of powder, granular, extruded pellets, extruded honeycombs, and activated carbon sheets. Automotive technologies products are sold into the gasoline vapor emission control applications within the automotive industry, while process purification products are sold into the food, water, beverage, and chemical purification industries. Our Performance Chemicals segment consists of our pavement technologies, industrial specialties, and engineered polymers product lines. Performance Chemicals manufactures products derived from crude tall oil ("CTO") and lignin extracted from the kraft pulping process as well as caprolactone monomers and derivatives derived from cyclohexanone and hydrogen peroxide. Performance Chemicals products serve as critical inputs used in a variety of high performance applications, including warm mix paving, pavement preservation, and pavement reconstruction and recycling (pavement technologies product line), adhesives, agrochemicals, lubricants, printing inks, industrial intermediates, and oilfield (industrial specialties product line), coatings, resins, elastomers, adhesives, bio-plastics, and medical devices (engineered polymers product line). Basis of Consolidation and Presentation These unaudited Condensed Consolidated Financial Statements reflect the consolidated operations of the Company and have been prepared in accordance with United States Securities and Exchange Commission ("SEC") interim reporting requirements. Accordingly, the accompanying Condensed Consolidated Financial Statements do not include all disclosures required by accounting principles generally accepted in the United States of America ("GAAP") for full financial statements and should be read in conjunction with the Annual Consolidated Financial Statements for the years ended December 31, 2021, 2020 and 2019, collectively referred to as the “Annual Consolidated Financial Statements,” included in our Annual Report on Form 10-K for the year ended December 31, 2021 (the "2021 Annual Report"). In the opinion of management, the Condensed Consolidated Financial Statements contain all adjustments, which include only normal recurring adjustments, necessary to fairly state the condensed consolidated results for the interim periods presented. The consolidated results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. The preparation of the Condensed Consolidated Financial Statements requires management to make estimates and assumptions with respect to the reported amounts of assets, liabilities, revenue and expenses and the disclosure of contingent assets and liabilities. Actual results could differ from these estimates. Certain prior year amounts have been reclassified to conform with the current year's presentation. |
New Accounting Guidance
New Accounting Guidance | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
New Accounting Guidance | New Accounting Guidance The Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC" or "Codification") is the sole source of authoritative GAAP other than SEC issued rules and regulations that apply only to SEC registrants. The FASB issues an Accounting Standards Update ("ASU") to communicate changes to the Codification. We consider the applicability and impact of all ASUs. ASUs not listed below were assessed and determined to be either not applicable or are not expected to have a material impact on the consolidated financial statements. Recently Issued Accounting Pronouncements In March 2020, the FASB issued ASU 2020-04 "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting." The ASU is intended to provide temporary optional expedients and exceptions to the GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the |
Revenues
Revenues | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenues | Revenues Disaggregation of Revenue The following table presents our Net sales disaggregated by product line. Three Months Ended June 30, Six Months Ended June 30, In millions 2022 2021 2022 2021 Performance Materials segment $ 122.4 $ 126.0 $ 270.8 $ 266.7 Performance Chemicals segment Pavement Technologies product line 77.8 67.7 105.7 89.1 Industrial Specialties product line 165.9 120.1 310.6 232.2 Engineered Polymers product line 53.8 44.6 115.6 90.7 Total $ 297.5 $ 232.4 $ 531.9 $ 412.0 Net sales $ 419.9 $ 358.4 $ 802.7 $ 678.7 The following table presents our Net sales disaggregated by geography, based on the delivery address of our customer. Three Months Ended June 30, Six Months Ended June 30, In millions 2022 2021 2022 2021 North America $ 255.2 $ 198.4 $ 467.8 $ 361.5 Asia Pacific 86.1 94.7 183.7 195.4 Europe, Middle East, and Africa 68.7 59.1 131.4 110.2 South America 9.9 6.2 19.8 11.6 Net sales $ 419.9 $ 358.4 $ 802.7 $ 678.7 Contract Balances The following table provides information about contract assets and contract liabilities from contracts with customers. The contract assets primarily relate to our rights to consideration for products produced but not billed at the reporting date. The contract assets are recognized as accounts receivables when the rights become unconditional and the customer has been billed. Contract liabilities represent obligations to transfer goods to a customer for which we have received consideration from our customer. For all periods presented we had no contract liabilities. Contract Asset June 30, In millions 2022 2021 Beginning balance $ 5.3 $ 5.7 Contract asset additions 8.3 10.0 Reclassification to accounts receivable, billed to customers (7.0) (9.2) Ending balance (1) $ 6.6 $ 6.5 ______________ (1) Included within "Prepaid and other current assets" on the condensed consolidated balance sheets. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Fair Value Measurements Recurring Fair Value Measurements The following information is presented for assets and liabilities that are recorded in the condensed consolidated balance sheets at fair value measured on a recurring basis. There were no transfers of assets and liabilities that were recorded at fair value between the three-level fair value hierarchy during the periods reported. In millions Level 1 (1) Level 2 (2) Level 3 (3) Total June 30, 2022 Assets: Deferred compensation plan investments (4) $ 0.5 $ — $ — $ 0.5 Total assets $ 0.5 $ — $ — $ 0.5 Liabilities: Deferred compensation arrangement (4) $ 13.0 $ — $ — $ 13.0 Contingent consideration (5) — — 0.8 0.8 Total liabilities $ 13.0 $ — $ 0.8 $ 13.8 December 31, 2021 Assets: Deferred compensation plan investments (4) $ 0.9 $ — $ — $ 0.9 Total assets $ 0.9 $ — $ — $ 0.9 Liabilities: Deferred compensation arrangement (4) $ 13.7 $ — $ — $ 13.7 Contingent consideration (5) — — 0.8 0.8 Total liabilities $ 13.7 $ — $ 0.8 $ 14.5 ______________ (1) Quoted prices in active markets for identical assets. (2) Quoted prices for similar assets and liabilities in active markets. (3) Significant unobservable inputs. (4) Consists of a deferred compensation arrangement, through which we hold various investment securities. Both the asset and liability are recorded at fair value and are included within "Other assets" and "Other liabilities" on the condensed consolidated balance sheets, respectively. In addition to the investment securities, we also have company-owned life insurance ("COLI") related to the deferred compensation arrangement. COLI is recorded at cash surrender value and included in "Other assets" on the condensed consolidated balance sheets in the amount of $13.4 million and $14.0 million at June 30, 2022 and December 31, 2021, respectively. (5) Included within "Other liabilities" on the condensed consolidated balance sheets. Nonrecurring Fair Value Measurements There were no nonrecurring fair value measurements in the condensed consolidated balance sheet during the quarters ended June 30, 2022 and December 31, 2021. Strategic Investments During the first quarter of 2022, we acquired a strategic investment in a privately-held company for $2.0 million, which is accounted for under the measurement alternative method. The aggregate carrying value of all measurement alternative investments where fair value is not readily determinable totaled $20.8 million and $18.8 million at June 30, 2022 and December 31, 2021, respectively. There were no adjustments to the carrying value of the measurement alternative method investments for impairment or observable price changes for the period ended June 30, 2022. During the second quarter of 2021, we acquired a strategic investment in a privately-held company for $16.5 million, which is accounted for under the equity method of accounting. The carrying value of our strategic equity investment was $15.5 million and $16.5 million at June 30, 2022 and December 31, 2021, respectively. Restricted Investment At June 30, 2022 and December 31, 2021, the carrying value of our restricted investment, which is accounted for as held-to-maturity ("HTM") and therefore recorded at amortized costs, was $77.1 million and $76.1 million, net of an allowance for credit losses of $0.5 million and $0.5 million, and included cash of $5.8 million and $4.7 million, respectively. The fair value at June 30, 2022 and December 31, 2021 was $75.2 million and $80.0 million, respectively, based on Level 1 inputs. The following table shows the total amortized cost of our HTM debt securities by credit rating, excluding the allowance for credit losses and cash. The primary factor in our expected credit loss calculation is the composite bond rating. As the rating decreases, the risk present in holding the bond is inherently increased, leading to an increase in expected credit losses. HTM Debt Securities In millions AA+ AA AA- A A- BBB+ Total June 30, 2022 $ 13.4 — 10.5 13.3 14.1 20.5 $ 71.8 December 31, 2021 $ 13.4 — 10.6 13.3 14.1 20.5 $ 71.9 Debt and Finance Lease Obligations At June 30, 2022 and December 31, 2021, the carrying value of finance lease obligations was $102.1 million and $102.4 million, respectively, and the fair value was $109.3 million and $118.6 million, respectively. The fair value of our finance lease obligations is based on the period-end quoted market prices for the obligations, using Level 2 inputs. The fair value of all other finance lease obligations approximates their carrying values. The carrying amount, excluding debt issuance fees, of our variable interest rate long-term debt was $532.0 million and $328.1 million as of June 30, 2022 and December 31, 2021, respectively. The carrying value is a reasonable estimate of the fair value of the outstanding debt based on the variable interest rate of the debt. At June 30, 2022 and December 31, 2021, the carrying value of our fixed rate debt was $550.0 million and $850.0 million, respectively, and the fair value was $462.7 million and $843.9 million, respectively, based on Level 2 inputs. Contingent Consideration In connection with the acquisition of certain assets in 2020, we are contingently obligated to make an additional payment for such assets of up to an aggregate amount of $7.0 million. The contingent consideration is payable if certain sales volume targets are achieved prior to December 31, 2024, herein referred to as "Revenue Earn-out." The fair value of the five-year Revenue Earn-out consideration was $0.8 million at June 30, 2022 and December 31, 2021, respectively. Any subsequent changes in the fair value of the contingent consideration liability will be recorded in current period earnings as a selling, general, and administrative expense. The following table summarizes the activity for financial liabilities utilizing Level 3 fair value measurements: Contingent Consideration In millions June 30, 2022 December 31, 2021 Beginning balance $ 0.8 $ 0.8 Newly issued — — Change in revaluation of contingent consideration included in earnings — — Exercises/settlements — — Ending balance (1) $ 0.8 $ 0.8 ______________ (1) Included within "Other liabilities" on the condensed consolidated balance sheets. |
Inventories, net
Inventories, net | 6 Months Ended |
Jun. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Inventories, net | Inventories, net In millions June 30, 2022 December 31, 2021 Raw materials $ 71.3 $ 48.8 Production materials, stores and supplies 28.1 26.8 Finished and in-process goods 206.1 183.4 Subtotal $ 305.5 $ 259.0 Less: LIFO reserve (28.5) (17.8) Inventories, net $ 277.0 $ 241.2 |
Property, Plant and Equipment,
Property, Plant and Equipment, net | 6 Months Ended |
Jun. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, net | Property, Plant, and Equipment, net In millions June 30, 2022 December 31, 2021 Machinery and equipment $ 1,121.4 $ 1,113.3 Buildings and leasehold improvements 176.6 177.2 Land and land improvements 21.7 20.4 Construction in progress 77.9 64.4 Total cost $ 1,397.6 $ 1,375.3 Less: accumulated depreciation (680.2) (655.6) Property, plant, and equipment, net $ 717.4 $ 719.7 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets, net | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets, net | Goodwill and Other Intangible Assets, net Goodwill Reporting Units In millions Performance Chemicals Performance Materials Total December 31, 2021 $ 437.7 $ 4.3 $ 442.0 Foreign currency translation (31.2) — (31.2) June 30, 2022 $ 406.5 $ 4.3 $ 410.8 There were no interim triggering events or circumstances indicating that goodwill might be impaired as of June 30, 2022. Other Intangible Assets June 30, 2022 December 31, 2021 In millions Gross Accumulated amortization Net Gross Accumulated amortization Net Customer contracts and relationships $ 301.1 $ 102.5 $ 198.6 $ 317.8 $ 95.0 $ 222.8 Brands (1) 74.7 21.5 53.2 81.7 20.3 61.4 Developed technology 65.4 19.9 45.5 72.2 18.8 53.4 Other — — — 0.5 0.5 — Other intangibles, net $ 441.2 $ 143.9 $ 297.3 $ 472.2 $ 134.6 $ 337.6 _______________ (1) Represents trademarks, trade names, and know-how. Intangible assets subject to amortization were allocated among our business segments as follows: In millions June 30, 2022 December 31, 2021 Performance Materials $ 1.8 $ 1.9 Performance Chemicals 295.5 335.7 Other intangibles, net $ 297.3 $ 337.6 Amortization expense related to our intangible assets is included in Selling, general and administrative expenses on the condensed consolidated statement of operations. During the three and six months ended June 30, 2022, we recognized amortization expense of $7.8 million and $15.9 million, respectively, and during the three and six months ended June 30, 2021, we recognized amortization expense of $8.4 million and $16.8 million, respectively. Based on the current carrying values of intangible assets, estimated pre-tax amortization expense for the next five years is as follows: 2022 - $31.8 million, 2023 - $31.8 million, 2024 - $31.4 million, 2025 - $31.4 million, and 2026 - $31.4 million. The estimated pre-tax amortization expense may fluctuate due to changes in foreign currency exchange rates. |
Financial Instruments and Risk
Financial Instruments and Risk Management | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments and Risk Management | Financial Instruments and Risk Management Net Investment Hedges We have fixed-to-fixed cross-currency interest rate swaps with an aggregate notional amount of $166.2 million and a maturity date of July 2023. We designated the swaps to hedge a portion of our net investment in a euro functional currency denominated subsidiary against foreign currency fluctuations. These contracts involve the exchange of fixed U.S. dollars with fixed euro interest payments periodically over the life of the contract and an exchange of the notional amount at maturity. This effectively converts a portion of our U.S. dollar denominated fixed-rate debt from a weighted average rate of 3.79 percent to a euro denominated weighted average fixed rate of 1.63 percent. The difference between the fixed interest rate on the U.S. dollar denominated debt compared to euro denominated debt is recorded as interest income on the condensed consolidated statements of operations. The fair value of the fixed-to-fixed cross currency interest rate swap was a net asset (liability) of $10.6 million and $1.0 million at June 30, 2022 and December 31, 2021, respectively. During the three and six months ended June 30, 2022, we recognized net interest income associated with this financial instrument of $2.5 million and $2.7 million, respectively, and during the three and six months ended June 30, 2021, we recognized net interest income associated with this financial instrument of $0.1 million and $0.2 million, respectively. Cash Flow Hedges Foreign Currency Exchange Risk Management We manufacture and sell our products in several countries throughout the world and, thus, we are exposed to changes in foreign currency exchange rates. To manage the volatility relating to these exposures, we net the exposures on a consolidated basis to take advantage of natural offsets. To manage the remaining exposure, from time to time, we utilize forward currency exchange contracts and zero cost collar option contracts to minimize the volatility to earnings and cash flows resulting from the effect of fluctuating foreign currency exchange rates on export sales denominated in foreign currencies (principally the euro). These contracts are generally designated as cash flow hedges. Designated cash flow hedges entered to minimize foreign currency exchange risk of forecasted revenue transactions are recorded to Net sales on the condensed consolidated statement of operations when the forecasted transaction occurs. As of June 30, 2022, there were $12.0 million open foreign currency derivative contracts. The fair value of the designated foreign currency hedge contracts was an asset (liability) of $1.1 million and $0.5 million at June 30, 2022 and December 31, 2021, respectively. Commodity Price Risk Management Certain energy sources used in our manufacturing operations are subject to price volatility caused by weather, supply and demand conditions, economic variables, and other unpredictable factors. This volatility is primarily related to the market pricing of natural gas. To mitigate expected fluctuations in market prices and the volatility to earnings and cash flow resulting from changes to pricing of natural gas purchases, from time to time, we will enter into swap contracts and zero cost collar option contracts and designate these contracts as cash flow hedges. As of June 30, 2022, we had 1.7 million and 0.7 million mm BTUS (millions of British Thermal Units) in aggregate notional volume of outstanding natural gas commodity swap contracts and zero cost collar option contracts, respectively, designated as cash flow hedges. As of June 30, 2022, open commodity contracts hedge forecasted transactions until December 2023. The fair value of the outstanding designated natural gas commodity hedge contracts as of June 30, 2022 and December 31, 2021 was a net asset (liability) of $1.2 million and $(0.6) million, respectively. Interest Rate Risk Management Our policy is to manage interest expense using a mix of fixed and variable rate debt. To manage interest rate risk effectively, from time to time, we may enter into interest rate derivative instruments. In all cases, the notional amount of the interest rate swap agreements is equal to or less than the designated debt being hedged. These instruments are designated as cash flow hedges. Designated interest rate cash flow hedge gains or losses are recorded in Accumulated other comprehensive income (loss) ("AOCI") and are recognized in "Interest expense, net" on the condensed consolidated statements of operations on a straight-line basis over the remaining maturity of the underlying debt. We had floating-to-fixed interest rate swaps with a combined notional amount of $166.2 million to manage the variability of cash flows in the interest rate payments associated with our existing LIBOR-based interest payments, effectively converting $166.2 million of our floating rate debt to a fixed rate. Per the terms of these instruments, we receive floating rate interest payments ba sed upon three-month U.S. dollar LIBOR and in return are obligated to pay interest at a fixed rate of 3.79 percent until July 2023. Due to the repayment of our term loan (refer to Note 9 for more information), during the three months ended June 30, 2022, we terminated these interest rate swap instruments. Upon termination of the interest rate swap instruments, we reclassified a $1.7 million gain from AOCI into Interest expense, net on the condensed consolidated statement of operations. The fair value of outstanding interest rate instruments at June 30, 2022 and December 31, 2021 was an asset (liability) of zero and $(4.0) million, respectively. Effect of Cash Flow and Net Investment Hedge Accounting on AOCI In millions Amount of Gain (Loss) Recognized in AOCI Amount of Gain (Loss) Reclassified from AOCI into Net income Location of Gain (Loss) Reclassified from AOCI in Net income Three Months Ended June 30, 2022 2021 2022 2021 Cash flow hedging derivatives Currency exchange contracts $ 0.8 $ — $ 0.6 $ — Net sales Natural gas contracts 0.3 0.8 0.5 — Cost of sales Interest rate swap contracts 2.0 0.8 1.7 — Interest expense, net Total $ 3.1 $ 1.6 $ 2.8 $ — Amount of Gain (Loss) Recognized in AOCI Amount of Gain (Loss) Recognized in Income on Derivative Location of Gain or (Loss) Recognized in Income on Derivative Three Months Ended June 30, 2022 2021 2022 2021 Net investment hedging derivative Currency exchange contracts (1) $ 7.8 $ (2.2) $ 2.5 $ 0.1 Interest expense, net Total $ 7.8 $ (2.2) $ 2.5 $ 0.1 In millions Amount of Gain (Loss) Recognized in AOCI Amount of Gain (Loss) Reclassified from AOCI into Net income Location of Gain (Loss) Reclassified from AOCI in Net income Six Months Ended June 30, 2022 2021 2022 2021 Cash flow hedging derivatives Currency exchange contracts $ 1.3 $ 0.2 $ 0.8 $ — Net sales Natural gas contracts 4.4 0.9 1.8 0.1 Cost of sales Interest rate swap contracts 5.7 2.2 1.7 — Interest expense, net Total $ 11.4 $ 3.3 $ 4.3 $ 0.1 In millions Amount of Gain (Loss) Recognized in AOCI Amount of Gain (Loss) Recognized in Income on Derivative Location of Gain or (Loss) Recognized in Income on Derivative Six Months Ended June 30, 2022 2021 2022 2021 Net investment hedging derivative Currency exchange contracts (1) $ 9.5 $ 4.2 $ 2.7 $ 0.2 Interest expense, net Total $ 9.5 $ 4.2 $ 2.7 $ 0.2 __________ (1) Reclassifications from AOCI to Net Income were zero for all periods presented. Gains and losses would be reclassified from AOCI to Other (income) expense, net. Within the next twelve months, we expect to reclassify $4.4 million of net gains from AOCI to income, before taxes. Fair Value Measurements The following information is presented for derivative assets and liabilities that are recorded in the condensed consolidated balance sheets at fair value measured on a recurring basis. There were no transfers of assets and liabilities that are recorded at fair value between Level 1 and Level 2 during the periods reported. There were no nonrecurring fair value measurements related to derivative assets and liabilities on the condensed consolidated balance sheets as of June 30, 2022 or December 31, 2021. June 30, 2022 In millions Level 1 (1) Level 2 (2) Level 3 (3) Total Assets: Currency exchange contracts (4) $ — $ 1.1 $ — $ 1.1 Natural gas contracts (4) — 1.7 — 1.7 Net investment hedge (5) — 10.6 — 10.6 Total assets $ — $ 13.4 $ — $ 13.4 Liabilities: Natural gas contracts (6) $ — $ 0.5 $ — $ 0.5 Total liabilities $ — $ 0.5 $ — $ 0.5 December 31, 2021 In millions Level 1 (1) Level 2 (2) Level 3 (3) Total Assets: Currency exchange contracts (4) $ — $ 0.5 $ — $ 0.5 Net investment hedge (5) — 2.0 — 2.0 Total assets $ — $ 2.5 $ — $ 2.5 Liabilities: Natural gas contracts (6) $ — $ 0.6 $ — $ 0.6 Net investment hedge (7) — 1.0 — 1.0 Interest rate swap contracts (7) — 4.0 — 4.0 Total liabilities $ — $ 5.6 $ — $ 5.6 __________ (1) Quoted prices in active markets for identical assets. (2) Quoted prices for similar assets and liabilities in active markets. (3) Significant unobservable inputs. (4) Included within "Other current assets" on the condensed consolidated balance sheet. (5) Included within "Other assets" on the condensed consolidated balance sheet. (6) Included within "Accrued expenses" on the condensed consolidated balance sheet. (7) Included within "Other liabilities" on the condensed consolidated balance sheet. |
Debt including Finance Lease Ob
Debt including Finance Lease Obligations | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
Debt including Finance Lease Obligations | Debt, including Finance Lease Obligations Current and long-term debt including finance lease obligations consisted of the following: In millions, except percentages June 30, 2022 December 31, 2021 Revolving Credit Facility and other lines of credit (1) $ 532.0 $ — Term Loan — 328.1 3.88% Senior Notes due 2028 550.0 550.0 4.50% Senior Notes due 2026 — 300.0 Finance lease obligations 102.1 102.4 Total debt including finance lease obligations $ 1,184.1 $ 1,280.5 Less: debt issuance costs 7.0 10.9 Total debt, including finance lease obligations, net of debt issuance costs $ 1,177.1 $ 1,269.6 Less: debt maturing within one year (2) 0.9 19.6 Long-term debt including finance lease obligations $ 1,176.2 $ 1,250.0 ______________ (1) Letters of credit outstanding under the revolving credit facility were $1.8 million and $2.5 million and available funds under the facility were $466.2 million and $497.5 million at June 30, 2022 and December 31, 2021, respectively. (2) Debt maturing within one year is included in "Notes payable and current maturities of long-term debt" on the condensed consolidated balance sheets. Senior Notes due 2026 On April 27, 2022, we redeemed the $300.0 million outstanding aggregate principal balance of our 4.50% Senior Notes due in 2026 prior to maturity. The redemption was primarily funded utilizing the outstanding capacity under our revolving credit facility. At redemption, we recognized a $3.4 million redemption premium and accelerated the remaining deferred finance fees of $2.7 million. Both the redemption premium and accelerated deferred finance fees were recorded to Interest Expense, net on the condensed consolidated statements of operations during the three months ended June 30, 2022. Legal expenses associated with this redemption have been recorded as incurred. Revolving Credit Facility Amendment On June 23, 2022, we entered into an Amendment and Restatement Agreement (the “Amendment”) together with the other parties named therein, which amends and restates our existing credit agreement, dated as of March 7, 2016, as amended, supplemented or otherwise modified. Among other things, the Amendment (a) extends the maturity date from October 28, 2025 to June 23, 2027 and increased the aggregate principal amount of revolving commitments thereunder from $500 million to $1 billion, (b) adds the Ingevity UK as a borrower under the revolving credit facility, and (c) modifies certain leverage ratio tests and thresholds. Borrowings under the revolving credit facility bear interest at a rate per annum equal to either (a) the applicable term benchmark rate, subject to a zero floor, or (b) a base rate, in each case, plus an applicable margin of 1.00 percent to 1.75 percent for term benchmark loans and 0.00 percent to 0.75 percent for base rate loans. Fees of $3.0 million were incurred to secure the Amendment. These fees have been deferred and will be amortized over the term of the facility. Term Loan Repayment On the closing date of the Amendment, we repaid our outstanding Term Loan in an aggregate principal amount of $323.0 million. Upon repayment, we recognized $1.3 million in outstanding interest, $0.4 million in repayment fees and accelerated the remaining deferred finance fees of $0.4 million. The interest, fees, and accelerated deferred finance fees were recorded to Interest Expense, net on the condensed consolidated statements of operations du ring the three months ended June 30, 2022. Legal expenses associated with this redemption have been recorded as incurred. Debt Covenants Our indentures contain certain customary covenants (including covenants limiting Ingevity's and its restricted subsidiaries’ ability to grant or permit liens on certain property securing debt, declare or pay dividends, make distributions on or repurchase or redeem capital stock, make investments in unrestricted subsidiaries, engage in sale and lease-back transactions, and engage in a consolidation or merger, or sell, transfer or otherwise dispose of all or substantially all of the assets of Ingevity and our restricted subsidiaries, taken as a whole) and events of default (subject in certain cases to customary exceptions, as well as grace and cure periods). The occurrence of an event of default under the 2028 Senior Notes could result in the acceleration of the note of such series and could cause a cross-default resulting in the acceleration of other indebtedness of Ingevity and its subsidiaries. We were in compliance with all covenants under the indenture as of June 30, 2022. The credit agreements governing our revolving credit facility contain customary default provisions, including defaults for non-payment, breach of representations and warranties, insolvency, non-compliance with covenants and cross-defaults to other material indebtedness. The occurrence of an uncured event of default under the credit agreement could result in all loans and other obligations becoming immediately due and payable and our revolving credit facility being terminated. The credit agreement also contains certain customary covenants, including financial covenants. The revolving credit facility financial covenants require Ingevity to maintain on a consolidated basis a maximum total net leverage ratio of 4.0 to 1.0 (which may be increased to 4.5 to 1.0 under certain circumstances) and a minimum interest coverage ratio of 3.0 to 1.0. Our actual gross and net leverage, as calculated per the credit agreement, for the four consecutive quarters ended June 30, 2022 were 2.3 and 2.0, respectively, and our actual interest coverage for the four consecutive quarters ended June 30, 2022 was 9.3. We were in compliance with all covenants at June 30, 2022. |
Equity
Equity | 6 Months Ended |
Jun. 30, 2022 | |
Equity [Abstract] | |
Equity | Equity The tables below provide a roll forward of equity. Common Stock In millions, except per share data in thousands Shares Amount Additional paid in capital Retained earnings Accumulated Treasury stock Total Equity Balance at December 31, 2021 43,102 $ 0.4 $ 136.3 $ 796.1 $ 13.1 $ (272.1) $ 673.8 Net income (loss) — — — 60.8 — — 60.8 Other comprehensive income (loss) — — — — (10.1) — (10.1) Common stock issued 42 — — — — — — Exercise of stock options, net 36 — 0.4 — — — 0.4 Tax payments related to vested restricted stock units — — — — — (1.8) (1.8) Share repurchase program — — — — — (40.4) (40.4) Share-based compensation plans — — 2.9 — — 0.5 3.4 Balance at March 31, 2022 43,180 $ 0.4 $ 139.6 $ 856.9 $ 3.0 $ (313.8) $ 686.1 Net income (loss) — — — 59.8 — — 59.8 Other comprehensive income (loss) — — — — (46.7) — (46.7) Common stock issued 18 — — — — — — Exercise of stock options, net 2 — 0.1 — — — 0.1 Tax payments related to vested restricted stock units — — — — — (0.2) (0.2) Share repurchase program — — — — — (49.5) (49.5) Noncontrolling interest distributions — — — — — — — Share-based compensation plans — — 3.3 — — 1.4 4.7 Balance at June 30, 2022 43,200 $ 0.4 $ 143.0 $ 916.7 $ (43.7) $ (362.1) $ 654.3 Common Stock In millions, except per share data in thousands Shares Amount Additional paid in capital Retained earnings Accumulated Treasury stock Total Equity Balance at December 31, 2020 42,913 $ 0.4 $ 121.3 $ 678.0 $ 4.7 $ (162.3) $ 642.1 Net income (loss) — — — 48.7 — — 48.7 Other comprehensive income (loss) — — — — 8.5 — 8.5 Common stock issued 97 — — — — — — Exercise of stock options, net 24 — 0.9 — — — 0.9 Tax payments related to vested restricted stock units — — — — — (2.3) (2.3) Share repurchase program — — — — — (39.4) (39.4) Share-based compensation plans — — 2.6 — — — 2.6 Balance at March 31, 2021 43,034 $ 0.4 $ 124.8 $ 726.7 $ 13.2 $ (204.0) $ 661.1 Net income (loss) — — — 44.3 — — 44.3 Other comprehensive income (loss) — — — — 5.4 — 5.4 Common stock issued 19 — — — — — — Exercise of stock options, net 32 — 1.5 — — — 1.5 Tax payments related to vested restricted stock units — — — — — — — Share repurchase program — — — — — (28.7) (28.7) Share-based compensation plans — — 4.0 — — 0.9 4.9 Balance at June 30, 2021 43,085 $ 0.4 $ 130.3 $ 771.0 $ 18.6 $ (231.8) $ 688.5 Accumulated other comprehensive income (loss) Three Months Ended June 30, Six Months Ended June 30, In millions 2022 2021 2022 2021 Foreign currency translation Beginning balance $ 3.1 $ 23.7 $ 18.4 $ 16.4 Net gains (losses) on foreign currency translation (53.0) 5.8 (69.6) 8.2 Gains (losses) on net investment hedges 7.8 (2.2) 9.5 4.2 Less: tax provision (benefit) 1.8 (0.5) 2.2 1.0 Net gains (losses) on net investment hedges 6.0 (1.7) 7.3 3.2 Other comprehensive income (loss), net of tax (47.0) 4.1 (62.3) 11.4 Ending balance $ (43.9) $ 27.8 $ (43.9) $ 27.8 Derivative instruments Beginning balance $ 3.1 $ (5.7) $ (2.1) $ (6.9) Gains (losses) on derivative instruments 3.1 1.6 11.4 3.3 Less: tax provision (benefit) 0.7 0.4 2.7 0.8 Net gains (losses) on derivative instruments 2.4 1.2 8.7 2.5 (Gains) losses reclassified to net income (2.8) — (4.3) (0.1) Less: tax (provision) benefit (0.6) — (1.0) — Net (gains) losses reclassified to net income (2.2) — (3.3) (0.1) Other comprehensive income (loss), net of tax 0.2 1.2 5.4 2.4 Ending balance $ 3.3 $ (4.5) $ 3.3 $ (4.5) Pension and other postretirement benefits Beginning balance $ (3.2) $ (4.8) $ (3.2) $ (4.8) Unrealized actuarial gains (losses) and prior service (costs) credits — — — — Less: tax provision (benefit) — — — — Net actuarial gains (losses) and prior service (costs) credits — — — — Amortization of actuarial and other (gains) losses, prior service cost (credits), and settlement and curtailment (income) charge reclassified to net income 0.1 0.1 0.1 0.1 Less: tax (provision) benefit — — — — Net actuarial and other (gains) losses, amortization of prior service cost (credits), and settlement and curtailment (income) charge reclassified to net income 0.1 0.1 0.1 0.1 Other comprehensive income (loss), net of tax 0.1 0.1 0.1 0.1 Ending balance $ (3.1) $ (4.7) $ (3.1) $ (4.7) Total AOCI ending balance at June 30 $ (43.7) $ 18.6 $ (43.7) $ 18.6 Reclassifications of accumulated other comprehensive income (loss) Three Months Ended June 30, Six Months Ended June 30, In millions 2022 2021 2022 2021 Derivative instruments Currency exchange contracts (1) $ (1.8) $ — $ (1.8) $ — Natural gas contracts (2) (0.8) — (0.8) 0.1 Interest rate swap contracts (3) (1.7) — (1.7) — Total before tax (4.3) — (4.3) 0.1 (Provision) benefit for income taxes 1.0 — 1.0 — Amount included in net income (loss) $ (3.3) $ — $ (3.3) $ 0.1 Pension and other post retirement benefits Amortization of prior service costs (2) $ 0.1 $ 0.1 $ 0.1 $ 0.1 Total before tax 0.1 0.1 0.1 0.1 (Provision) benefit for income taxes — — — — Amount included in net income (loss) $ 0.1 $ 0.1 $ 0.1 $ 0.1 ______________ (1) Included within "Net sales" on the condensed consolidated statement of operations. (2) Included within "Cost of sales" on the condensed consolidated statement of operations. (3) Included within "Interest expense, net" on the condensed consolidated statement of operations. Share Repurchases On March 2, 2020, our Board of Directors authorized the repurchase of up to $500 million of our common stock (the "2020 Authorization"), and rescinded the prior two outstanding repurchase authorizations. Under the 2020 Authorization, s hares were permitted to be purchased through open market or privately negotiated transactions at the discretion of management based on its evaluation of market prevailing conditions and other factors, including through the use of trading plans intended to qualify under Rule 10b5-1 under the Securities Exchange Act of 1934, as amended. During the three and six months ended June 30, 2022, we repurchased $49.5 million and $89.9 million in common stock, representing 719,236 and 1,329,683 shares of our common stock at a weighted average cost per share of $68.72 and $67.59, respectively. At June 30, 2022, $212.7 million remained unused under our 2020 Authorization. As described in Note 17 (Subsequent Events) to the Condensed Consolidated Financial Statements included within Part I. Item 1 of this Form 10-Q, the 2020 Authorization was rescinded by our Board of Directors on July 25, 2022 and replaced by a new share repurchase authorization of up to $500 million of our common stock. |
Retirement Plans
Retirement Plans | 6 Months Ended |
Jun. 30, 2022 | |
Postemployment Benefits [Abstract] | |
Retirement Plans | Retirement Plans The following table summarizes the components of net periodic benefit cost (income) for our defined benefit pension plans: Three Months Ended June 30, Pensions Other Benefits In millions 2022 2021 2022 2021 Components of net periodic benefit cost (income): Service cost (1) $ 0.4 $ 0.5 $ — $ — Interest cost (2) 0.3 0.2 — — Expected return on plan assets (2) (0.5) (0.4) — — Amortization of prior service cost (credit) (1) 0.1 0.1 — — Amortization of net actuarial and other (gain) loss (2) — — — — Net periodic benefit cost (income) $ 0.3 $ 0.4 $ — $ — Six Months Ended June 30, Pensions Other Benefits In millions 2022 2021 2022 2021 Components of net periodic benefit cost (income): Service cost (1) $ 0.8 $ 0.9 $ — $ — Interest cost (2) 0.6 0.5 — — Expected return on plan assets (2) (0.9) (0.7) — — Amortization of prior service cost (credit) (1) 0.1 0.1 — — Amortization of net actuarial and other (gain) loss (2) — — — — Net periodic benefit cost (income) $ 0.6 $ 0.8 $ — $ — _______________ (1) Amounts are recorded to "Cost of sales" on our condensed consolidated statements of operations consistent with the employee compensation costs that participate in the plan. (2) Amounts are recorded to "Other (income) expense, net" on our condensed consolidated statements of operations. Contributions We did not make any voluntary cash contributions to our Union Hourly defined benefit pension plan in the six months ended June 30, 2022. There are no required cash contributions to our Union Hourly defined benefit pension plan in 2022, and we currently have no plans to make any voluntary cash contributions in 2022. |
Restructuring and Other (Income
Restructuring and Other (Income) Charges, net | 6 Months Ended |
Jun. 30, 2022 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Other (Income) Charges, net | Restructuring and Other (Income) Charges, net Other (income) charges, net Business transformation costs In 2020, we embarked upon a business transformation initiative that includes the implementation of an upgraded enterprise resource planning ("ERP") system. This new ERP system will equip our employees with standardized processes and secure integrated technology that enable us to better understand and meet our customers' needs and compete in the marketplace. The implementation of our new ERP is expected to occur in multiple phases over two years beginning with our pilot deployment which occurred during the first quarter of 2022. This business transformation requires the integration of the new ERP system with multiple new and existing information systems and business processes in order to maintain the accuracy of our books and records and to provide our management team with real-time information important to the operation of our business. Such an implementation initiative is a major financial undertaking and will require substantial time and attention of management and key employees. Costs incurred, during the three and six months ended June 30, 2022, of $3.7 million and $7.3 million, respectively, and during the three and six months ended June 30, 2021, of $4.3 million and $8.1 million, respectively, represent costs directly associated with the business transformation initiative that, in accordance with GAAP, cannot be capitalized. Over the course of this initiative, we anticipate incurring approximately $90-95 million of total costs, which includes $45-50 million of non-capitalizable costs, $15-17 million of which we expect to be incurred in 2022. Rollforward of Restructuring Reserves The following table shows a roll forward of restructuring reserves that will result in cash spending. Balance at Change in Cash Balance at In millions 12/31/2021 (1) Reserve Payments Other (2) 6/30/2022 (1) Restructuring Reserves $ 0.5 — — — $ 0.5 _______________ (1) Included in "Accrued Expenses" on the condensed consolidated balance sheets. (2) Primarily foreign currency translation adjustments. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The effective tax rates, including discrete items, were as follows: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Effective tax rate (1) 21.8 % 39.9 % 21.7 % 31.4 % _______________ (1) The decrease in the effective tax rate in the three and six months ended June 30, 2022 was driven by a one-time legislative tax rate change in 2021. We determine our interim tax provision using an Estimated Annual Effective Tax Rate methodology (“EAETR”). The EAETR is applied to the year-to-date ordinary income, exclusive of discrete items. The tax effects of discrete items are then included to arrive at the total reported interim tax provision. The determination of the EAETR is based upon a number of estimates, including the estimated annual pre-tax ordinary income in each tax jurisdiction in which we operate. As our projections of ordinary income change throughout the year, the EAETR will change period-to-period. The tax effects of discrete items are recognized in the tax provision in the period they occur. Depending on various factors, such as the item’s significance in relation to total income and the rate of tax applicable in the jurisdiction to which it relates, discrete items in any quarter may materially impact the reported effective tax rate. As a global enterprise, our tax expense may be impacted by changes in tax rates or laws, the finalization of tax audits and reviews, as well as other factors. As such, there may be significant volatility in interim tax provisions. The below table provides a reconciliation between our reported effective tax rates and the EAETR. Three Months Ended June 30, 2022 2021 In millions, except percentages Before tax Tax Effective tax rate % impact Before tax Tax Effective tax rate % impact Consolidated operations $ 76.5 $ 16.7 21.8 % $ 73.7 $ 29.4 39.9 % Discrete items: Restructuring and other (income) charges, net — — — — Acquisition and other-related costs — — — — Legislative tax rate changes (1) — 0.1 — (14.7) Other tax only discrete items — (0.2) — 0.1 Total discrete items — (0.1) — (14.6) Consolidated operations, before discrete items $ 76.5 $ 16.6 $ 73.7 $ 14.8 EAETR (2) 21.7 % 20.1 % Six Months Ended June 30, 2022 2021 In millions, except percentages Before tax Tax Effective tax rate % impact Before tax Tax Effective tax rate % impact Consolidated operations $ 154.1 $ 33.5 21.7 % $ 135.5 $ 42.5 31.4 % Discrete items: Restructuring and other (income) charges, net — — 0.1 — Legislative tax rate changes (1) — — — (14.7) Other tax only discrete items — (0.8) — 0.2 Total discrete items — (0.8) 0.1 (14.5) Consolidated operations, before discrete items $ 154.1 $ 32.7 $ 135.6 $ 28.0 EAETR (2) 21.2 % 20.6 % _______________ (1) Legislative tax rate changes in 2021, enacted in the United Kingdom ("UK"), resulted in discrete tax expense of $14.7 million related to the revaluation of our net deferred tax liability associated with our UK operations. The corporate tax rate in the UK increased from 19.0% to 25.0%. (2) Increase in EAETR for the three and six months ended June 30, 2022, as compared to June 30, 2021, is due to an overall change in the mix of forecasted earnings in various tax jurisdictions with varying rates, as well as an increase in foreign earnings deemed taxable in the US. At June 30, 2022 and December 31, 2021, we had deferred tax assets of $9.4 million and $8.8 million, respectively, resulting from certain historical net operating losses from our Brazilian and Chinese operations and U.S. state tax credits for which a valuation allowance has been established. The ultimate realization of these deferred tax assets depends on the generation of future taxable income during the periods in which these net operating losses and tax credits are available to be used. In evaluating the realizability of these deferred tax assets, we consider projected future taxable income and tax planning strategies in making our assessment. As of June 30, 2022, we cannot objectively assert that these deferred tax assets are more likely than not to be realized and therefore we have maintained a valuation allowance. We intend to continue maintaining a valuation allowance on these deferred tax assets until there is sufficient evidence to support the reversal of all or some portion of these allowances. A release of all or a portion of the valuation allowance could be possible, if we determine that sufficient positive evidence becomes available to allow us to reach a conclusion that the valuation allowance will no longer be needed. A release of the valuation allowance would result in the recognition of certain deferred tax assets and a reduction to income tax expense for the period the release is recorded. However, the exact timing and amount of the valuation allowance release are subject to change based on the level of profitability that we are able to actually achieve. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Legal Proceedings On July 19, 2018, we filed suit against BASF Corporation (“BASF”) in the United States District Court for the District of Delaware (the “Delaware Proceeding”) alleging BASF infringed Ingevity’s patent covering canister systems used in the control of automotive gasoline vapor emissions (U.S. Patent No. RE38,844) (the “844 Patent”). On February 14, 2019, BASF asserted counterclaims against us in the Delaware Proceeding, alleging two claims for violations of U.S. antitrust law (one for exclusive dealing and the other for tying) as well as a claim for tortious interference with an alleged prospective business relationship between BASF and a BASF customer (the “BASF Counterclaims”). The BASF Counterclaims relate to our enforcement of the 844 Patent and our entry into several supply agreements with customers of its fuel vapor canister honeycombs. The U.S. District Court dismissed our patent infringement claims on November 18, 2020, and the case proceeded to trial on the BASF Counterclaims in September 2021. On September 15, 2021, a jury in the Delaware Proceeding issued a verdict in favor of BASF on the BASF Counterclaims and awarded BASF damages of approximately $28.3 million, which will be trebled under U.S. antitrust law to approximately $85.0 million when the court enters judgment. In addition, BASF may seek pre- and post-judgment interest and attorneys’ fees and costs in amounts that they will have to support at a future date. We disagree with the verdict, including the court’s application of the law, and we intend to seek judgment as a matter of law in the Delaware Proceeding post-trial briefing stage and on appeal, if necessary. In addition, we intend to challenge the U.S. District Court’s November 2020 dismissal of our patent infringement claims against BASF. Ingevity believes in the strength of its intellectual property and the merits of its position and intends to pursue all legal relief available to challenge these outcomes in the Delaware Proceeding. Final resolution of these matters could take up to eighteen months. As of June 30, 2022, there has been no progress in the post-trial proceedings to warrant any change to our conclusions as disclosed within our 2021 Annual Report. As such, no changes to our reserve were made during this quarter. The full amount of the jury's verdict, $85.0 million, is accrued in Other liabilities on the condensed consolidated balance sheet as of June 30, 2022. The amount of any liability we may ultimately incur related to the Delaware Proceeding could be more or less than the amount accrued. |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information Three Months Ended June 30, Six Months Ended June 30, In millions 2022 2021 2022 2021 Net sales Performance Materials $ 122.4 $ 126.0 $ 270.8 $ 266.7 Performance Chemicals 297.5 232.4 531.9 412.0 Total net sales (1) $ 419.9 $ 358.4 $ 802.7 $ 678.7 Segment EBITDA (2) Performance Materials $ 55.6 $ 61.3 $ 133.5 $ 135.0 Performance Chemicals 65.5 56.4 106.6 88.1 Total Segment EBITDA (2) $ 121.1 $ 117.7 $ 240.1 $ 223.1 Interest expense, net (15.1) (12.2) (25.8) (24.6) (Provision) benefit for income taxes (16.7) (29.4) (33.5) (42.5) Depreciation and amortization - Performance Materials (8.8) (8.8) (17.8) (17.9) Depreciation and amortization - Performance Chemicals (17.0) (18.3) (35.1) (36.2) Restructuring and other income (charges), net (3) (3.7) (4.3) (7.3) (8.2) Acquisition and other-related costs (4) — (0.4) — (0.7) Net income (loss) $ 59.8 $ 44.3 $ 120.6 $ 93.0 _______________ (1) Relates to external customers only, all intersegment sales and related profit have been eliminated in consolidation. (2) Segment EBITDA is the primary measure used by our chief operating decision maker to evaluate the performance of and allocate resources among our operating segments. Segment EBITDA is defined as segment revenue less segment operating expenses (segment operating expenses consist of costs of sales, selling, general and administrative expenses, research and technical expenses, other (income) expense, net, excluding depreciation and amortization). We have excluded the following items from segment EBITDA: interest expense, net, associated with corporate debt facilities, income taxes, depreciation, amortization, restructuring and other (income) charges, net, acquisition and other related costs, litigation verdict charges, pension and postretirement settlement and curtailment (income) charges, net. (3) Income (charges) for all periods presented relate to restructuring activity and costs associated with the business transformation initiative. For the three and six months ended June 30, 2022, charges of $1.3 million and $2.6 million relate to the Performance Materials segment and charges of $2.4 million and $4.7 million relate to the Performance Chemicals segment, respectively. For the three and six months ended June 30, 2021, charges of $1.7 million and $3.4 million relate to the Performance Materials segment and charges of $2.6 million and $4.8 million relate to the Performance Chemicals segment, respectively. For more detail on the charges incurred see Note 12. |
Earnings (Loss) per Share
Earnings (Loss) per Share | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) per Share | Earnings (Loss) per Share Basic earnings (loss) per share is computed by dividing net income (loss) for the period by the weighted average number of common shares outstanding during the period. Diluted earnings (loss) per share is computed by dividing net income (loss) for the period by the weighted average number of common shares and potentially dilutive common shares outstanding for the period. The calculation of diluted net income per share excludes all antidilutive common shares. Three Months Ended June 30, Six Months Ended June 30, In millions, except share and per share data 2022 2021 2022 2021 Net income (loss) $ 59.8 $ 44.3 $ 120.6 $ 93.0 Basic and Diluted earnings (loss) per share Basic earnings (loss) per share $ 1.55 $ 1.11 $ 3.11 $ 2.31 Diluted earnings (loss) per share 1.54 1.10 3.09 2.30 Shares (in thousands) Weighted average number of common shares outstanding - Basic 38,515 40,030 38,762 40,226 Weighted average additional shares assuming conversion of potential common shares 233 288 250 279 Shares - diluted basis 38,748 40,318 39,012 40,505 The following average number of potential common shares were antidilutive, and therefore, were not included in the diluted earnings per share calculation: Three Months Ended June 30, Six Months Ended June 30, In thousands 2022 2021 2022 2021 Average number of potential common shares - antidilutive 217 93 201 76 |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events Share Repurchase On July 25, 2022, our Board of Directors authorized the repurchase of up to $500 million of our common stock (the "2022 Authorization"), and rescinded the prior outstanding 2020 Authorization with respect to the shares that remained unused under the 2020 Authorization. Shares under the 2022 Authorization may be purchased through open market or privately negotiated transactions at the discretion of management based on its evaluation of market prevailing conditions and other factors, including through the use of trading plans intended to qualify under Rule 10b5-1 under the Securities Exchange Act of 1934, as amended. Ozark Materials Acquisition On July 31, 2022, we entered into an Equity Purchase Agreement (the “Purchase Agreement”), with Ozark Holdings, Inc. (“Seller”), Ozark Materials, LLC, (“OM”), and Ozark Logistics, LLC, (“OL” and, together with OM, “Ozark Materials”), pursuant to which, among other things, we will acquire all of the issued and outstanding limited liability company membership interests of Ozark Materials (the “Acquisition”). Ozark Materials is a leading producer of pavement marking materials, including thermoplastic pavement markings, waterborne traffic paints, and preformed thermoplastics. The purchase price for the Acquisition is $325 million, subject to a customary adjustment for working capital, indebtedness and transaction expenses. We expect to finance the Acquisition through a combination of borrowings under our existing credit facilities and cash on hand. The Purchase Agreement contains representations, warranties and covenants and conditions to closing that the Company believes are customary for a transaction of this size and type (including all required consents, approvals and waivers under applicable antitrust laws). Seller does not have a material relationship with us and the Acquisition will not be an affiliated transaction. The closing of the Acquisition is subject to satisfaction of certain customary conditions, including regulatory approvals, but is not subject to any financing or similar condition. The Acquisition is expected to close early in the fourth quarter of 2022. The Purchase Agreement contains customary termination rights for Ingevity and the Seller. |
Background (Policies)
Background (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Consolidation | Basis of Consolidation and Presentation These unaudited Condensed Consolidated Financial Statements reflect the consolidated operations of the Company and have been prepared in accordance with United States Securities and Exchange Commission ("SEC") interim reporting requirements. Accordingly, the accompanying Condensed Consolidated Financial Statements do not include all disclosures required by accounting principles generally accepted in the United States of America ("GAAP") for full financial statements and should be read in conjunction with the Annual Consolidated Financial Statements for the years ended December 31, 2021, 2020 and 2019, collectively referred to as the “Annual Consolidated Financial Statements,” included in our Annual Report on Form 10-K for the year ended December 31, 2021 (the "2021 Annual Report"). In the opinion of management, the Condensed Consolidated Financial Statements contain all adjustments, which include only normal recurring adjustments, necessary to fairly state the condensed consolidated results for the interim periods presented. The consolidated results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. The preparation of the Condensed Consolidated Financial Statements requires management to make estimates and assumptions with respect to the reported amounts of assets, liabilities, revenue and expenses and the disclosure of contingent assets and liabilities. Actual results could differ from these estimates. Certain prior year amounts have been reclassified to conform with the current year's presentation. |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Consolidation and Presentation These unaudited Condensed Consolidated Financial Statements reflect the consolidated operations of the Company and have been prepared in accordance with United States Securities and Exchange Commission ("SEC") interim reporting requirements. Accordingly, the accompanying Condensed Consolidated Financial Statements do not include all disclosures required by accounting principles generally accepted in the United States of America ("GAAP") for full financial statements and should be read in conjunction with the Annual Consolidated Financial Statements for the years ended December 31, 2021, 2020 and 2019, collectively referred to as the “Annual Consolidated Financial Statements,” included in our Annual Report on Form 10-K for the year ended December 31, 2021 (the "2021 Annual Report"). In the opinion of management, the Condensed Consolidated Financial Statements contain all adjustments, which include only normal recurring adjustments, necessary to fairly state the condensed consolidated results for the interim periods presented. The consolidated results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. The preparation of the Condensed Consolidated Financial Statements requires management to make estimates and assumptions with respect to the reported amounts of assets, liabilities, revenue and expenses and the disclosure of contingent assets and liabilities. Actual results could differ from these estimates. Certain prior year amounts have been reclassified to conform with the current year's presentation. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In March 2020, the FASB issued ASU 2020-04 "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting." The ASU is intended to provide temporary optional expedients and exceptions to the GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the |
Income tax | We determine our interim tax provision using an Estimated Annual Effective Tax Rate methodology (“EAETR”). The EAETR is applied to the year-to-date ordinary income, exclusive of discrete items. The tax effects of discrete items are then included to arrive at the total reported interim tax provision. The determination of the EAETR is based upon a number of estimates, including the estimated annual pre-tax ordinary income in each tax jurisdiction in which we operate. As our projections of ordinary income change throughout the year, the EAETR will change period-to-period. The tax effects of discrete items are recognized in the tax provision in the period they occur. Depending on various factors, such as the item’s significance in relation to total income and the rate of tax applicable in the jurisdiction to which it relates, discrete items in any quarter may materially impact the reported effective tax rate. As a global enterprise, our tax expense may be impacted by changes in tax rates or laws, the finalization of tax audits and reviews, as well as other factors. As such, there may be significant volatility in interim tax provisions. |
Revenues (Tables)
Revenues (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following table presents our Net sales disaggregated by product line. Three Months Ended June 30, Six Months Ended June 30, In millions 2022 2021 2022 2021 Performance Materials segment $ 122.4 $ 126.0 $ 270.8 $ 266.7 Performance Chemicals segment Pavement Technologies product line 77.8 67.7 105.7 89.1 Industrial Specialties product line 165.9 120.1 310.6 232.2 Engineered Polymers product line 53.8 44.6 115.6 90.7 Total $ 297.5 $ 232.4 $ 531.9 $ 412.0 Net sales $ 419.9 $ 358.4 $ 802.7 $ 678.7 The following table presents our Net sales disaggregated by geography, based on the delivery address of our customer. Three Months Ended June 30, Six Months Ended June 30, In millions 2022 2021 2022 2021 North America $ 255.2 $ 198.4 $ 467.8 $ 361.5 Asia Pacific 86.1 94.7 183.7 195.4 Europe, Middle East, and Africa 68.7 59.1 131.4 110.2 South America 9.9 6.2 19.8 11.6 Net sales $ 419.9 $ 358.4 $ 802.7 $ 678.7 |
Schedule of Contract with Customer, Asset and Liability | The following table provides information about contract assets and contract liabilities from contracts with customers. The contract assets primarily relate to our rights to consideration for products produced but not billed at the reporting date. The contract assets are recognized as accounts receivables when the rights become unconditional and the customer has been billed. Contract liabilities represent obligations to transfer goods to a customer for which we have received consideration from our customer. For all periods presented we had no contract liabilities. Contract Asset June 30, In millions 2022 2021 Beginning balance $ 5.3 $ 5.7 Contract asset additions 8.3 10.0 Reclassification to accounts receivable, billed to customers (7.0) (9.2) Ending balance (1) $ 6.6 $ 6.5 ______________ (1) Included within "Prepaid and other current assets" on the condensed consolidated balance sheets. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value Measurements, Recurring | The following information is presented for assets and liabilities that are recorded in the condensed consolidated balance sheets at fair value measured on a recurring basis. There were no transfers of assets and liabilities that were recorded at fair value between the three-level fair value hierarchy during the periods reported. In millions Level 1 (1) Level 2 (2) Level 3 (3) Total June 30, 2022 Assets: Deferred compensation plan investments (4) $ 0.5 $ — $ — $ 0.5 Total assets $ 0.5 $ — $ — $ 0.5 Liabilities: Deferred compensation arrangement (4) $ 13.0 $ — $ — $ 13.0 Contingent consideration (5) — — 0.8 0.8 Total liabilities $ 13.0 $ — $ 0.8 $ 13.8 December 31, 2021 Assets: Deferred compensation plan investments (4) $ 0.9 $ — $ — $ 0.9 Total assets $ 0.9 $ — $ — $ 0.9 Liabilities: Deferred compensation arrangement (4) $ 13.7 $ — $ — $ 13.7 Contingent consideration (5) — — 0.8 0.8 Total liabilities $ 13.7 $ — $ 0.8 $ 14.5 ______________ (1) Quoted prices in active markets for identical assets. (2) Quoted prices for similar assets and liabilities in active markets. (3) Significant unobservable inputs. (4) Consists of a deferred compensation arrangement, through which we hold various investment securities. Both the asset and liability are recorded at fair value and are included within "Other assets" and "Other liabilities" on the condensed consolidated balance sheets, respectively. In addition to the investment securities, we also have company-owned life insurance ("COLI") related to the deferred compensation arrangement. COLI is recorded at cash surrender value and included in "Other assets" on the condensed consolidated balance sheets in the amount of $13.4 million and $14.0 million at June 30, 2022 and December 31, 2021, respectively. (5) Included within "Other liabilities" on the condensed consolidated balance sheets. |
Schedule of Debt Securities, Held-to-maturity, Credit Quality Indicator | The following table shows the total amortized cost of our HTM debt securities by credit rating, excluding the allowance for credit losses and cash. The primary factor in our expected credit loss calculation is the composite bond rating. As the rating decreases, the risk present in holding the bond is inherently increased, leading to an increase in expected credit losses. HTM Debt Securities In millions AA+ AA AA- A A- BBB+ Total June 30, 2022 $ 13.4 — 10.5 13.3 14.1 20.5 $ 71.8 December 31, 2021 $ 13.4 — 10.6 13.3 14.1 20.5 $ 71.9 |
Schedule of Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | The following table summarizes the activity for financial liabilities utilizing Level 3 fair value measurements: Contingent Consideration In millions June 30, 2022 December 31, 2021 Beginning balance $ 0.8 $ 0.8 Newly issued — — Change in revaluation of contingent consideration included in earnings — — Exercises/settlements — — Ending balance (1) $ 0.8 $ 0.8 ______________ (1) Included within "Other liabilities" on the condensed consolidated balance sheets. |
Inventories, net (Tables)
Inventories, net (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | In millions June 30, 2022 December 31, 2021 Raw materials $ 71.3 $ 48.8 Production materials, stores and supplies 28.1 26.8 Finished and in-process goods 206.1 183.4 Subtotal $ 305.5 $ 259.0 Less: LIFO reserve (28.5) (17.8) Inventories, net $ 277.0 $ 241.2 |
Property, Plant and Equipment_2
Property, Plant and Equipment, net (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | In millions June 30, 2022 December 31, 2021 Machinery and equipment $ 1,121.4 $ 1,113.3 Buildings and leasehold improvements 176.6 177.2 Land and land improvements 21.7 20.4 Construction in progress 77.9 64.4 Total cost $ 1,397.6 $ 1,375.3 Less: accumulated depreciation (680.2) (655.6) Property, plant, and equipment, net $ 717.4 $ 719.7 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets, net (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Reporting Units In millions Performance Chemicals Performance Materials Total December 31, 2021 $ 437.7 $ 4.3 $ 442.0 Foreign currency translation (31.2) — (31.2) June 30, 2022 $ 406.5 $ 4.3 $ 410.8 |
Schedule of Finite-Lived Intangible Assets | June 30, 2022 December 31, 2021 In millions Gross Accumulated amortization Net Gross Accumulated amortization Net Customer contracts and relationships $ 301.1 $ 102.5 $ 198.6 $ 317.8 $ 95.0 $ 222.8 Brands (1) 74.7 21.5 53.2 81.7 20.3 61.4 Developed technology 65.4 19.9 45.5 72.2 18.8 53.4 Other — — — 0.5 0.5 — Other intangibles, net $ 441.2 $ 143.9 $ 297.3 $ 472.2 $ 134.6 $ 337.6 _______________ (1) Represents trademarks, trade names, and know-how. Intangible assets subject to amortization were allocated among our business segments as follows: In millions June 30, 2022 December 31, 2021 Performance Materials $ 1.8 $ 1.9 Performance Chemicals 295.5 335.7 Other intangibles, net $ 297.3 $ 337.6 |
Financial Instruments and Ris_2
Financial Instruments and Risk Management (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Effect of Cash Flow and Net Investment Hedge Accounting on Accumulated Other Comprehensive Income | In millions Amount of Gain (Loss) Recognized in AOCI Amount of Gain (Loss) Reclassified from AOCI into Net income Location of Gain (Loss) Reclassified from AOCI in Net income Three Months Ended June 30, 2022 2021 2022 2021 Cash flow hedging derivatives Currency exchange contracts $ 0.8 $ — $ 0.6 $ — Net sales Natural gas contracts 0.3 0.8 0.5 — Cost of sales Interest rate swap contracts 2.0 0.8 1.7 — Interest expense, net Total $ 3.1 $ 1.6 $ 2.8 $ — Amount of Gain (Loss) Recognized in AOCI Amount of Gain (Loss) Recognized in Income on Derivative Location of Gain or (Loss) Recognized in Income on Derivative Three Months Ended June 30, 2022 2021 2022 2021 Net investment hedging derivative Currency exchange contracts (1) $ 7.8 $ (2.2) $ 2.5 $ 0.1 Interest expense, net Total $ 7.8 $ (2.2) $ 2.5 $ 0.1 In millions Amount of Gain (Loss) Recognized in AOCI Amount of Gain (Loss) Reclassified from AOCI into Net income Location of Gain (Loss) Reclassified from AOCI in Net income Six Months Ended June 30, 2022 2021 2022 2021 Cash flow hedging derivatives Currency exchange contracts $ 1.3 $ 0.2 $ 0.8 $ — Net sales Natural gas contracts 4.4 0.9 1.8 0.1 Cost of sales Interest rate swap contracts 5.7 2.2 1.7 — Interest expense, net Total $ 11.4 $ 3.3 $ 4.3 $ 0.1 In millions Amount of Gain (Loss) Recognized in AOCI Amount of Gain (Loss) Recognized in Income on Derivative Location of Gain or (Loss) Recognized in Income on Derivative Six Months Ended June 30, 2022 2021 2022 2021 Net investment hedging derivative Currency exchange contracts (1) $ 9.5 $ 4.2 $ 2.7 $ 0.2 Interest expense, net Total $ 9.5 $ 4.2 $ 2.7 $ 0.2 |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The following information is presented for derivative assets and liabilities that are recorded in the condensed consolidated balance sheets at fair value measured on a recurring basis. There were no transfers of assets and liabilities that are recorded at fair value between Level 1 and Level 2 during the periods reported. There were no nonrecurring fair value measurements related to derivative assets and liabilities on the condensed consolidated balance sheets as of June 30, 2022 or December 31, 2021. June 30, 2022 In millions Level 1 (1) Level 2 (2) Level 3 (3) Total Assets: Currency exchange contracts (4) $ — $ 1.1 $ — $ 1.1 Natural gas contracts (4) — 1.7 — 1.7 Net investment hedge (5) — 10.6 — 10.6 Total assets $ — $ 13.4 $ — $ 13.4 Liabilities: Natural gas contracts (6) $ — $ 0.5 $ — $ 0.5 Total liabilities $ — $ 0.5 $ — $ 0.5 December 31, 2021 In millions Level 1 (1) Level 2 (2) Level 3 (3) Total Assets: Currency exchange contracts (4) $ — $ 0.5 $ — $ 0.5 Net investment hedge (5) — 2.0 — 2.0 Total assets $ — $ 2.5 $ — $ 2.5 Liabilities: Natural gas contracts (6) $ — $ 0.6 $ — $ 0.6 Net investment hedge (7) — 1.0 — 1.0 Interest rate swap contracts (7) — 4.0 — 4.0 Total liabilities $ — $ 5.6 $ — $ 5.6 __________ (1) Quoted prices in active markets for identical assets. (2) Quoted prices for similar assets and liabilities in active markets. (3) Significant unobservable inputs. (4) Included within "Other current assets" on the condensed consolidated balance sheet. (5) Included within "Other assets" on the condensed consolidated balance sheet. (6) Included within "Accrued expenses" on the condensed consolidated balance sheet. (7) Included within "Other liabilities" on the condensed consolidated balance sheet. |
Debt including Finance Lease _2
Debt including Finance Lease Obligations (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Current and long-term debt including finance lease obligations consisted of the following: In millions, except percentages June 30, 2022 December 31, 2021 Revolving Credit Facility and other lines of credit (1) $ 532.0 $ — Term Loan — 328.1 3.88% Senior Notes due 2028 550.0 550.0 4.50% Senior Notes due 2026 — 300.0 Finance lease obligations 102.1 102.4 Total debt including finance lease obligations $ 1,184.1 $ 1,280.5 Less: debt issuance costs 7.0 10.9 Total debt, including finance lease obligations, net of debt issuance costs $ 1,177.1 $ 1,269.6 Less: debt maturing within one year (2) 0.9 19.6 Long-term debt including finance lease obligations $ 1,176.2 $ 1,250.0 ______________ (1) Letters of credit outstanding under the revolving credit facility were $1.8 million and $2.5 million and available funds under the facility were $466.2 million and $497.5 million at June 30, 2022 and December 31, 2021, respectively. (2) Debt maturing within one year is included in "Notes payable and current maturities of long-term debt" on the condensed consolidated balance sheets. |
Equity (Tables)
Equity (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Equity [Abstract] | |
Schedule of Stockholders' Equity | The tables below provide a roll forward of equity. Common Stock In millions, except per share data in thousands Shares Amount Additional paid in capital Retained earnings Accumulated Treasury stock Total Equity Balance at December 31, 2021 43,102 $ 0.4 $ 136.3 $ 796.1 $ 13.1 $ (272.1) $ 673.8 Net income (loss) — — — 60.8 — — 60.8 Other comprehensive income (loss) — — — — (10.1) — (10.1) Common stock issued 42 — — — — — — Exercise of stock options, net 36 — 0.4 — — — 0.4 Tax payments related to vested restricted stock units — — — — — (1.8) (1.8) Share repurchase program — — — — — (40.4) (40.4) Share-based compensation plans — — 2.9 — — 0.5 3.4 Balance at March 31, 2022 43,180 $ 0.4 $ 139.6 $ 856.9 $ 3.0 $ (313.8) $ 686.1 Net income (loss) — — — 59.8 — — 59.8 Other comprehensive income (loss) — — — — (46.7) — (46.7) Common stock issued 18 — — — — — — Exercise of stock options, net 2 — 0.1 — — — 0.1 Tax payments related to vested restricted stock units — — — — — (0.2) (0.2) Share repurchase program — — — — — (49.5) (49.5) Noncontrolling interest distributions — — — — — — — Share-based compensation plans — — 3.3 — — 1.4 4.7 Balance at June 30, 2022 43,200 $ 0.4 $ 143.0 $ 916.7 $ (43.7) $ (362.1) $ 654.3 Common Stock In millions, except per share data in thousands Shares Amount Additional paid in capital Retained earnings Accumulated Treasury stock Total Equity Balance at December 31, 2020 42,913 $ 0.4 $ 121.3 $ 678.0 $ 4.7 $ (162.3) $ 642.1 Net income (loss) — — — 48.7 — — 48.7 Other comprehensive income (loss) — — — — 8.5 — 8.5 Common stock issued 97 — — — — — — Exercise of stock options, net 24 — 0.9 — — — 0.9 Tax payments related to vested restricted stock units — — — — — (2.3) (2.3) Share repurchase program — — — — — (39.4) (39.4) Share-based compensation plans — — 2.6 — — — 2.6 Balance at March 31, 2021 43,034 $ 0.4 $ 124.8 $ 726.7 $ 13.2 $ (204.0) $ 661.1 Net income (loss) — — — 44.3 — — 44.3 Other comprehensive income (loss) — — — — 5.4 — 5.4 Common stock issued 19 — — — — — — Exercise of stock options, net 32 — 1.5 — — — 1.5 Tax payments related to vested restricted stock units — — — — — — — Share repurchase program — — — — — (28.7) (28.7) Share-based compensation plans — — 4.0 — — 0.9 4.9 Balance at June 30, 2021 43,085 $ 0.4 $ 130.3 $ 771.0 $ 18.6 $ (231.8) $ 688.5 |
Schedule of Accumulated Other Comprehensive Income (Loss) | Accumulated other comprehensive income (loss) Three Months Ended June 30, Six Months Ended June 30, In millions 2022 2021 2022 2021 Foreign currency translation Beginning balance $ 3.1 $ 23.7 $ 18.4 $ 16.4 Net gains (losses) on foreign currency translation (53.0) 5.8 (69.6) 8.2 Gains (losses) on net investment hedges 7.8 (2.2) 9.5 4.2 Less: tax provision (benefit) 1.8 (0.5) 2.2 1.0 Net gains (losses) on net investment hedges 6.0 (1.7) 7.3 3.2 Other comprehensive income (loss), net of tax (47.0) 4.1 (62.3) 11.4 Ending balance $ (43.9) $ 27.8 $ (43.9) $ 27.8 Derivative instruments Beginning balance $ 3.1 $ (5.7) $ (2.1) $ (6.9) Gains (losses) on derivative instruments 3.1 1.6 11.4 3.3 Less: tax provision (benefit) 0.7 0.4 2.7 0.8 Net gains (losses) on derivative instruments 2.4 1.2 8.7 2.5 (Gains) losses reclassified to net income (2.8) — (4.3) (0.1) Less: tax (provision) benefit (0.6) — (1.0) — Net (gains) losses reclassified to net income (2.2) — (3.3) (0.1) Other comprehensive income (loss), net of tax 0.2 1.2 5.4 2.4 Ending balance $ 3.3 $ (4.5) $ 3.3 $ (4.5) Pension and other postretirement benefits Beginning balance $ (3.2) $ (4.8) $ (3.2) $ (4.8) Unrealized actuarial gains (losses) and prior service (costs) credits — — — — Less: tax provision (benefit) — — — — Net actuarial gains (losses) and prior service (costs) credits — — — — Amortization of actuarial and other (gains) losses, prior service cost (credits), and settlement and curtailment (income) charge reclassified to net income 0.1 0.1 0.1 0.1 Less: tax (provision) benefit — — — — Net actuarial and other (gains) losses, amortization of prior service cost (credits), and settlement and curtailment (income) charge reclassified to net income 0.1 0.1 0.1 0.1 Other comprehensive income (loss), net of tax 0.1 0.1 0.1 0.1 Ending balance $ (3.1) $ (4.7) $ (3.1) $ (4.7) Total AOCI ending balance at June 30 $ (43.7) $ 18.6 $ (43.7) $ 18.6 Reclassifications of accumulated other comprehensive income (loss) Three Months Ended June 30, Six Months Ended June 30, In millions 2022 2021 2022 2021 Derivative instruments Currency exchange contracts (1) $ (1.8) $ — $ (1.8) $ — Natural gas contracts (2) (0.8) — (0.8) 0.1 Interest rate swap contracts (3) (1.7) — (1.7) — Total before tax (4.3) — (4.3) 0.1 (Provision) benefit for income taxes 1.0 — 1.0 — Amount included in net income (loss) $ (3.3) $ — $ (3.3) $ 0.1 Pension and other post retirement benefits Amortization of prior service costs (2) $ 0.1 $ 0.1 $ 0.1 $ 0.1 Total before tax 0.1 0.1 0.1 0.1 (Provision) benefit for income taxes — — — — Amount included in net income (loss) $ 0.1 $ 0.1 $ 0.1 $ 0.1 ______________ (1) Included within "Net sales" on the condensed consolidated statement of operations. (2) Included within "Cost of sales" on the condensed consolidated statement of operations. (3) Included within "Interest expense, net" on the condensed consolidated statement of operations. |
Retirement Plans (Tables)
Retirement Plans (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Postemployment Benefits [Abstract] | |
Schedule of Defined Benefit Plans Disclosures | The following table summarizes the components of net periodic benefit cost (income) for our defined benefit pension plans: Three Months Ended June 30, Pensions Other Benefits In millions 2022 2021 2022 2021 Components of net periodic benefit cost (income): Service cost (1) $ 0.4 $ 0.5 $ — $ — Interest cost (2) 0.3 0.2 — — Expected return on plan assets (2) (0.5) (0.4) — — Amortization of prior service cost (credit) (1) 0.1 0.1 — — Amortization of net actuarial and other (gain) loss (2) — — — — Net periodic benefit cost (income) $ 0.3 $ 0.4 $ — $ — Six Months Ended June 30, Pensions Other Benefits In millions 2022 2021 2022 2021 Components of net periodic benefit cost (income): Service cost (1) $ 0.8 $ 0.9 $ — $ — Interest cost (2) 0.6 0.5 — — Expected return on plan assets (2) (0.9) (0.7) — — Amortization of prior service cost (credit) (1) 0.1 0.1 — — Amortization of net actuarial and other (gain) loss (2) — — — — Net periodic benefit cost (income) $ 0.6 $ 0.8 $ — $ — _______________ (1) Amounts are recorded to "Cost of sales" on our condensed consolidated statements of operations consistent with the employee compensation costs that participate in the plan. |
Restructuring and Other (Inco_2
Restructuring and Other (Income) Charges, net (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring and Related Costs | The following table shows a roll forward of restructuring reserves that will result in cash spending. Balance at Change in Cash Balance at In millions 12/31/2021 (1) Reserve Payments Other (2) 6/30/2022 (1) Restructuring Reserves $ 0.5 — — — $ 0.5 _______________ (1) Included in "Accrued Expenses" on the condensed consolidated balance sheets. (2) Primarily foreign currency translation adjustments. |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of Effective Income Tax Rate Reconciliation | The effective tax rates, including discrete items, were as follows: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Effective tax rate (1) 21.8 % 39.9 % 21.7 % 31.4 % _______________ (1) The decrease in the effective tax rate in the three and six months ended June 30, 2022 was driven by a one-time legislative tax rate change in 2021. The below table provides a reconciliation between our reported effective tax rates and the EAETR. Three Months Ended June 30, 2022 2021 In millions, except percentages Before tax Tax Effective tax rate % impact Before tax Tax Effective tax rate % impact Consolidated operations $ 76.5 $ 16.7 21.8 % $ 73.7 $ 29.4 39.9 % Discrete items: Restructuring and other (income) charges, net — — — — Acquisition and other-related costs — — — — Legislative tax rate changes (1) — 0.1 — (14.7) Other tax only discrete items — (0.2) — 0.1 Total discrete items — (0.1) — (14.6) Consolidated operations, before discrete items $ 76.5 $ 16.6 $ 73.7 $ 14.8 EAETR (2) 21.7 % 20.1 % Six Months Ended June 30, 2022 2021 In millions, except percentages Before tax Tax Effective tax rate % impact Before tax Tax Effective tax rate % impact Consolidated operations $ 154.1 $ 33.5 21.7 % $ 135.5 $ 42.5 31.4 % Discrete items: Restructuring and other (income) charges, net — — 0.1 — Legislative tax rate changes (1) — — — (14.7) Other tax only discrete items — (0.8) — 0.2 Total discrete items — (0.8) 0.1 (14.5) Consolidated operations, before discrete items $ 154.1 $ 32.7 $ 135.6 $ 28.0 EAETR (2) 21.2 % 20.6 % _______________ (1) Legislative tax rate changes in 2021, enacted in the United Kingdom ("UK"), resulted in discrete tax expense of $14.7 million related to the revaluation of our net deferred tax liability associated with our UK operations. The corporate tax rate in the UK increased from 19.0% to 25.0%. (2) Increase in EAETR for the three and six months ended June 30, 2022, as compared to June 30, 2021, is due to an overall change in the mix of forecasted earnings in various tax jurisdictions with varying rates, as well as an increase in foreign earnings deemed taxable in the US. |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | Three Months Ended June 30, Six Months Ended June 30, In millions 2022 2021 2022 2021 Net sales Performance Materials $ 122.4 $ 126.0 $ 270.8 $ 266.7 Performance Chemicals 297.5 232.4 531.9 412.0 Total net sales (1) $ 419.9 $ 358.4 $ 802.7 $ 678.7 Segment EBITDA (2) Performance Materials $ 55.6 $ 61.3 $ 133.5 $ 135.0 Performance Chemicals 65.5 56.4 106.6 88.1 Total Segment EBITDA (2) $ 121.1 $ 117.7 $ 240.1 $ 223.1 Interest expense, net (15.1) (12.2) (25.8) (24.6) (Provision) benefit for income taxes (16.7) (29.4) (33.5) (42.5) Depreciation and amortization - Performance Materials (8.8) (8.8) (17.8) (17.9) Depreciation and amortization - Performance Chemicals (17.0) (18.3) (35.1) (36.2) Restructuring and other income (charges), net (3) (3.7) (4.3) (7.3) (8.2) Acquisition and other-related costs (4) — (0.4) — (0.7) Net income (loss) $ 59.8 $ 44.3 $ 120.6 $ 93.0 _______________ (1) Relates to external customers only, all intersegment sales and related profit have been eliminated in consolidation. (2) Segment EBITDA is the primary measure used by our chief operating decision maker to evaluate the performance of and allocate resources among our operating segments. Segment EBITDA is defined as segment revenue less segment operating expenses (segment operating expenses consist of costs of sales, selling, general and administrative expenses, research and technical expenses, other (income) expense, net, excluding depreciation and amortization). We have excluded the following items from segment EBITDA: interest expense, net, associated with corporate debt facilities, income taxes, depreciation, amortization, restructuring and other (income) charges, net, acquisition and other related costs, litigation verdict charges, pension and postretirement settlement and curtailment (income) charges, net. (3) Income (charges) for all periods presented relate to restructuring activity and costs associated with the business transformation initiative. For the three and six months ended June 30, 2022, charges of $1.3 million and $2.6 million relate to the Performance Materials segment and charges of $2.4 million and $4.7 million relate to the Performance Chemicals segment, respectively. For the three and six months ended June 30, 2021, charges of $1.7 million and $3.4 million relate to the Performance Materials segment and charges of $2.6 million and $4.8 million relate to the Performance Chemicals segment, respectively. For more detail on the charges incurred see Note 12. |
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 | Three Months Ended June 30, Six Months Ended June 30, In millions, except share and per share data 2022 2021 2022 2021 Net income (loss) $ 59.8 $ 44.3 $ 120.6 $ 93.0 Basic and Diluted earnings (loss) per share Basic earnings (loss) per share $ 1.55 $ 1.11 $ 3.11 $ 2.31 Diluted earnings (loss) per share 1.54 1.10 3.09 2.30 Shares (in thousands) Weighted average number of common shares outstanding - Basic 38,515 40,030 38,762 40,226 Weighted average additional shares assuming conversion of potential common shares 233 288 250 279 Shares - diluted basis 38,748 40,318 39,012 40,505 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The following average number of potential common shares were antidilutive, and therefore, were not included in the diluted earnings per share calculation: Three Months Ended June 30, Six Months Ended June 30, In thousands 2022 2021 2022 2021 Average number of potential common shares - antidilutive 217 93 201 76 |
Background (Details)
Background (Details) | 6 Months Ended |
Jun. 30, 2022 segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of business segments | 2 |
Revenues - Disaggregation of Re
Revenues - Disaggregation of Revenue by Product Line (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 | $ 419.9 | $ 358.4 | $ 802.7 | $ 678.7 |
Performance Materials segment | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 122.4 | 126 | 270.8 | 266.7 |
Performance Chemicals segment | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 297.5 | 232.4 | 531.9 | 412 |
Performance Chemicals segment | Pavement Technologies product line | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 77.8 | 67.7 | 105.7 | 89.1 |
Performance Chemicals segment | Industrial Specialties product line | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 165.9 | 120.1 | 310.6 | 232.2 |
Performance Chemicals segment | Engineered Polymers product line | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | $ 53.8 | $ 44.6 | $ 115.6 | $ 90.7 |
Revenues - Disaggregation of _2
Revenues - Disaggregation of Revenue by Geography (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 | $ 419.9 | $ 358.4 | $ 802.7 | $ 678.7 |
North America | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 255.2 | 198.4 | 467.8 | 361.5 |
Asia Pacific | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 86.1 | 94.7 | 183.7 | 195.4 |
Europe, Middle East, and Africa | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 68.7 | 59.1 | 131.4 | 110.2 |
South America | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | $ 9.9 | $ 6.2 | $ 19.8 | $ 11.6 |
Revenues - Contract assets (Det
Revenues - Contract assets (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | ||
Contract with customer, liability | $ 0 | $ 0 |
Change in Contract with Customer, Asset [Roll Forward] | ||
Beginning balance | 5,300,000 | 5,700,000 |
Contract asset additions | 8,300,000 | 10,000,000 |
Reclassification to accounts receivable, billed to customers | (7,000,000) | (9,200,000) |
Ending balance | $ 6,600,000 | $ 6,500,000 |
Fair Value Measurements - Measu
Fair Value Measurements - Measured on a Recurring Basis (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Liabilities: | ||
Life insurance owned by company | $ 13.4 | $ 14 |
Fair Value, Measurements, Recurring | ||
Assets: | ||
Deferred compensation plan investments | 0.5 | 0.9 |
Total assets | 0.5 | 0.9 |
Liabilities: | ||
Deferred compensation arrangement | 13 | 13.7 |
Contingent consideration | 0.8 | 0.8 |
Total liabilities | 13.8 | 14.5 |
Fair Value, Measurements, Recurring | Level 1 | ||
Assets: | ||
Deferred compensation plan investments | 0.5 | 0.9 |
Total assets | 0.5 | 0.9 |
Liabilities: | ||
Deferred compensation arrangement | 13 | 13.7 |
Contingent consideration | 0 | 0 |
Total liabilities | 13 | 13.7 |
Fair Value, Measurements, Recurring | Level 2 | ||
Assets: | ||
Deferred compensation plan investments | 0 | 0 |
Total assets | 0 | 0 |
Liabilities: | ||
Deferred compensation arrangement | 0 | 0 |
Contingent consideration | 0 | 0 |
Total liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | ||
Assets: | ||
Deferred compensation plan investments | 0 | 0 |
Total assets | 0 | 0 |
Liabilities: | ||
Deferred compensation arrangement | 0 | 0 |
Contingent consideration | 0.8 | 0.8 |
Total liabilities | $ 0.8 | $ 0.8 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||||
Mar. 31, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | May 31, 2020 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Payments to acquire equity method investments | $ 2 | $ 16.5 | $ 2 | $ 16.5 | |||
Equity securities where fair value is not readily determinable | 20.8 | $ 18.8 | |||||
Carrying value of strategic equity investment | 15.5 | 16.5 | |||||
Debt securities, held-to-maturity, restricted | 77.1 | 76.1 | |||||
Held-to-maturity, allowance for credit loss | 0.5 | 0.5 | |||||
Restricted investment, restricted cash | 5.8 | 4.7 | |||||
Restricted investments, at fair value | 75.2 | 80 | |||||
Total debt including finance lease obligations | $ 1,184.1 | 1,280.5 | |||||
Earn out period | 5 years | ||||||
2020 Acquisitions | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Contingent consideration | $ 7 | ||||||
Liability | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Revenue Earn-out consideration | 0.8 | $ 0.8 | |||||
Debt Obligations | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Finance lease obligations | $ 102.1 | 102.4 | |||||
Variable Interest Rate | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Total debt including finance lease obligations | 532 | 328.1 | |||||
Senior Notes Issued 2018 | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Senior notes | 550 | 850 | |||||
Senior Notes Issued 2018 | Level 2 | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Debt instrument, fair value | 462.7 | 843.9 | |||||
Estimate of Fair Value Measurement | Debt Obligations | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Finance lease obligations | $ 109.3 | $ 118.6 |
Fair Value Measurements - Credi
Fair Value Measurements - Credit Ratings (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Debt securities, held-to-maturity | $ 71.8 | $ 71.9 |
AA+ | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Debt securities, held-to-maturity | 13.4 | 13.4 |
AA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Debt securities, held-to-maturity | 0 | 0 |
AA- | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Debt securities, held-to-maturity | 10.5 | 10.6 |
A | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Debt securities, held-to-maturity | 13.3 | 13.3 |
A- | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Debt securities, held-to-maturity | 14.1 | 14.1 |
BBB+ | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Debt securities, held-to-maturity | $ 20.5 | $ 20.5 |
Fair Value Measurements - Level
Fair Value Measurements - Level 3 (Details) - Liability - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2022 | Dec. 31, 2021 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | $ 0.8 | $ 0.8 |
Newly issued | 0 | 0 |
Change in revaluation of contingent consideration included in earnings | 0 | 0 |
Exercises/settlements | $ 0 | 0 |
Ending balance | $ 0.8 |
Inventories, net (Details)
Inventories, net (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Inventory, Net | ||
Raw materials | $ 71.3 | $ 48.8 |
Production materials, stores and supplies | 28.1 | 26.8 |
Finished and in-process goods | 206.1 | 183.4 |
Subtotal | 305.5 | 259 |
Less: LIFO reserve | (28.5) | (17.8) |
Inventories, net | $ 277 | $ 241.2 |
Property, Plant and Equipment_3
Property, Plant and Equipment, net (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Property, Plant and Equipment | ||
Total cost | $ 1,397.6 | $ 1,375.3 |
Less: accumulated depreciation | (680.2) | (655.6) |
Property, plant, and equipment, net | 717.4 | 719.7 |
Machinery and equipment | ||
Property, Plant and Equipment | ||
Total cost | 1,121.4 | 1,113.3 |
Buildings and leasehold improvements | ||
Property, Plant and Equipment | ||
Total cost | 176.6 | 177.2 |
Land and land improvements | ||
Property, Plant and Equipment | ||
Total cost | 21.7 | 20.4 |
Construction in progress | ||
Property, Plant and Equipment | ||
Total cost | $ 77.9 | $ 64.4 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets, net - Carrying Amount (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2022 USD ($) | |
Goodwill | |
Goodwill, beginning balance | $ 442 |
Foreign currency translation | (31.2) |
Goodwill, ending balance | 410.8 |
Performance Chemicals | |
Goodwill | |
Goodwill, beginning balance | 437.7 |
Foreign currency translation | (31.2) |
Goodwill, ending balance | 406.5 |
Performance Materials | |
Goodwill | |
Goodwill, beginning balance | 4.3 |
Foreign currency translation | 0 |
Goodwill, ending balance | $ 4.3 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets, net - Intangible Assets (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross | $ 441.2 | $ 472.2 |
Accumulated amortization | 143.9 | 134.6 |
Net | 297.3 | 337.6 |
Customer contracts and relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | 301.1 | 317.8 |
Accumulated amortization | 102.5 | 95 |
Net | 198.6 | 222.8 |
Brands | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | 74.7 | 81.7 |
Accumulated amortization | 21.5 | 20.3 |
Net | 53.2 | 61.4 |
Developed technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | 65.4 | 72.2 |
Accumulated amortization | 19.9 | 18.8 |
Net | 45.5 | 53.4 |
Other | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | 0 | 0.5 |
Accumulated amortization | 0 | 0.5 |
Net | $ 0 | $ 0 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets, net - Intangible Assets by Segments (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Finite-Lived Intangible Assets [Line Items] | ||
Other intangibles, net | $ 297.3 | $ 337.6 |
Performance Materials | ||
Finite-Lived Intangible Assets [Line Items] | ||
Other intangibles, net | 1.8 | 1.9 |
Performance Chemicals | ||
Finite-Lived Intangible Assets [Line Items] | ||
Other intangibles, net | $ 295.5 | $ 335.7 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets, net - Maturity (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity | ||||
Amortization expense | $ 7.8 | $ 8.4 | $ 15.9 | $ 16.8 |
2022 amortization expense | 31.8 | 31.8 | ||
2023 amortization expense | 31.8 | 31.8 | ||
2024 amortization expense | 31.4 | 31.4 | ||
2025 amortization expense | 31.4 | 31.4 | ||
2026 amortization expense | $ 31.4 | $ 31.4 |
Financial Instruments and Ris_3
Financial Instruments and Risk Management - Narrative (Details) mmbtus in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 USD ($) mmbtus | Jun. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) mmbtus | Jun. 30, 2021 USD ($) | Dec. 31, 2021 USD ($) | |
Derivative [Line Items] | |||||
Interest expense, net | $ (15.1) | $ (12.2) | $ (25.8) | $ (24.6) | |
Cash flow hedge gain to be reclassified within twelve months | 4.4 | ||||
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | |||||
Derivative [Line Items] | |||||
Interest expense, net | 7.8 | (2.2) | |||
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | |||||
Derivative [Line Items] | |||||
Interest expense, net | 2.5 | 0.1 | |||
Currency exchange contracts | |||||
Derivative [Line Items] | |||||
Derivative, notional amount | 166.2 | 166.2 | |||
Derivative, fair value, net asset (liability) | 10.6 | 10.6 | $ 1 | ||
Interest and dividend | 2.5 | 0.1 | $ 2.7 | 0.2 | |
Currency exchange contracts | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | |||||
Derivative [Line Items] | |||||
Interest expense, net | 7.8 | (2.2) | |||
Currency exchange contracts | Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | |||||
Derivative [Line Items] | |||||
Interest expense, net | $ 2.5 | 0.1 | |||
Currency exchange contracts | Eurodollar | |||||
Derivative [Line Items] | |||||
Derivative, average fixed interest rate | 1.63% | 1.63% | |||
Foreign currency hedging | |||||
Derivative [Line Items] | |||||
Derivative, notional amount | $ 12 | $ 12 | |||
Derivative, fair value, net asset (liability) | 1.1 | 1.1 | 0.5 | ||
Commodity hedging | |||||
Derivative [Line Items] | |||||
Derivative, fair value, net asset (liability) | $ 1.2 | $ 1.2 | (0.6) | ||
Commodity hedging | Swap | |||||
Derivative [Line Items] | |||||
Derivative, nonmonetary notional amount | mmbtus | 1.7 | 1.7 | |||
Commodity hedging | Zero Cost Collar | |||||
Derivative [Line Items] | |||||
Derivative, nonmonetary notional amount | mmbtus | 0.7 | 0.7 | |||
Interest rate swap contracts | |||||
Derivative [Line Items] | |||||
Derivative, notional amount | $ 166.2 | $ 166.2 | |||
Derivative, fair value, net asset (liability) | 0 | 0 | $ (4) | ||
Interest rate swap contracts | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | |||||
Derivative [Line Items] | |||||
Interest expense, net | 2 | 0.8 | 5.7 | 2.2 | |
Interest rate swap contracts | Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | |||||
Derivative [Line Items] | |||||
Interest expense, net | $ 1.7 | $ 0 | $ 1.7 | $ 0 | |
Interest rate swap contracts | US Dollar Denominated | |||||
Derivative [Line Items] | |||||
Derivative, average fixed interest rate | 3.79% | 3.79% |
Financial Instruments and Ris_4
Financial Instruments and Risk Management - Effect of Cash Flow and Net Investment Hedge Accounting on AOCI (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Net sales | $ 419,900,000 | $ 358,400,000 | $ 802,700,000 | $ 678,700,000 |
Cost of sales | 269,300,000 | 218,600,000 | 514,300,000 | 412,700,000 |
Interest expense, net | (15,100,000) | (12,200,000) | (25,800,000) | (24,600,000) |
Interest expense, net | 1,600,000 | 4,200,000 | 3,000,000 | 3,000,000 |
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Interest expense, net | 7,800,000 | (2,200,000) | ||
Total | 3,100,000 | 1,600,000 | 11,400,000 | 3,300,000 |
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | Reclassification out of Accumulated Other Comprehensive Income | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Interest expense, net | 2,500,000 | 100,000 | ||
Total | 2,800,000 | 0 | 4,300,000 | 100,000 |
Accumulated Gain Loss Net Investment Hedging | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Total | 9,500,000 | 4,200,000 | ||
Accumulated Gain Loss Net Investment Hedging | Reclassification out of Accumulated Other Comprehensive Income | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Total | 2,700,000 | 200,000 | ||
Currency exchange contracts | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Reclassifications from AOCI to net income | 0 | 0 | 0 | 0 |
Currency exchange contracts | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Net sales | 800,000 | 0 | 1,300,000 | 200,000 |
Interest expense, net | 7,800,000 | (2,200,000) | ||
Currency exchange contracts | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | Reclassification out of Accumulated Other Comprehensive Income | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Net sales | 600,000 | 0 | 800,000 | 0 |
Interest expense, net | 2,500,000 | 100,000 | ||
Currency exchange contracts | Accumulated Gain Loss Net Investment Hedging | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Interest expense, net | 9,500,000 | 4,200,000 | ||
Currency exchange contracts | Accumulated Gain Loss Net Investment Hedging | Reclassification out of Accumulated Other Comprehensive Income | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Interest expense, net | 2,700,000 | 200,000 | ||
Natural gas contracts | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Cost of sales | 300,000 | 800,000 | 4,400,000 | 900,000 |
Natural gas contracts | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | Reclassification out of Accumulated Other Comprehensive Income | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Cost of sales | 500,000 | 0 | 1,800,000 | 100,000 |
Interest rate swap contracts | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Interest expense, net | 2,000,000 | 800,000 | 5,700,000 | 2,200,000 |
Interest rate swap contracts | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | Reclassification out of Accumulated Other Comprehensive Income | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Interest expense, net | $ 1,700,000 | $ 0 | $ 1,700,000 | $ 0 |
Financial Instruments and Ris_5
Financial Instruments and Risk Management - Fair Value of Hedging Contracts (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Assets: | ||
Total assets | $ 13.4 | $ 2.5 |
Liabilities: | ||
Total liabilities | 0.5 | 5.6 |
Level 1 | ||
Assets: | ||
Total assets | 0 | 0 |
Liabilities: | ||
Total liabilities | 0 | 0 |
Level 2 | ||
Assets: | ||
Total assets | 13.4 | 2.5 |
Liabilities: | ||
Total liabilities | 0.5 | 5.6 |
Level 3 | ||
Assets: | ||
Total assets | 0 | 0 |
Liabilities: | ||
Total liabilities | 0 | 0 |
Currency exchange contracts | ||
Assets: | ||
Total assets | 1.1 | 0.5 |
Currency exchange contracts | Level 1 | ||
Assets: | ||
Total assets | 0 | 0 |
Currency exchange contracts | Level 2 | ||
Assets: | ||
Total assets | 1.1 | 0.5 |
Currency exchange contracts | Level 3 | ||
Assets: | ||
Total assets | 0 | 0 |
Natural gas contracts | ||
Assets: | ||
Total assets | 1.7 | |
Liabilities: | ||
Total liabilities | 0.5 | 0.6 |
Natural gas contracts | Level 1 | ||
Assets: | ||
Total assets | 0 | |
Liabilities: | ||
Total liabilities | 0 | 0 |
Natural gas contracts | Level 2 | ||
Assets: | ||
Total assets | 1.7 | |
Liabilities: | ||
Total liabilities | 0.5 | 0.6 |
Natural gas contracts | Level 3 | ||
Assets: | ||
Total assets | 0 | |
Liabilities: | ||
Total liabilities | 0 | 0 |
Net investment hedge | ||
Assets: | ||
Total assets | 10.6 | 2 |
Liabilities: | ||
Total liabilities | 1 | |
Net investment hedge | Level 1 | ||
Assets: | ||
Total assets | 0 | 0 |
Liabilities: | ||
Total liabilities | 0 | |
Net investment hedge | Level 2 | ||
Assets: | ||
Total assets | 10.6 | 2 |
Liabilities: | ||
Total liabilities | 1 | |
Net investment hedge | Level 3 | ||
Assets: | ||
Total assets | $ 0 | 0 |
Liabilities: | ||
Total liabilities | 0 | |
Interest rate swap contracts | ||
Liabilities: | ||
Total liabilities | 4 | |
Interest rate swap contracts | Level 1 | ||
Liabilities: | ||
Total liabilities | 0 | |
Interest rate swap contracts | Level 2 | ||
Liabilities: | ||
Total liabilities | 4 | |
Interest rate swap contracts | Level 3 | ||
Liabilities: | ||
Total liabilities | $ 0 |
Debt including Finance Lease _3
Debt including Finance Lease Obligations - Long-term Debt (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Line of Credit Facility | ||
Total debt including finance lease obligations | $ 1,184.1 | $ 1,280.5 |
Less: debt issuance costs | 7 | 10.9 |
Total debt, including finance lease obligations, net of debt issuance costs | 1,177.1 | 1,269.6 |
Less: debt maturing within one year | 0.9 | 19.6 |
Long-term debt including finance lease obligations | 1,176.2 | 1,250 |
Revolving Credit Facility and other lines of credit | ||
Line of Credit Facility | ||
Total debt including finance lease obligations | 532 | 0 |
Letters of credit outstanding | 1.8 | 2.5 |
Available under the facility | 466.2 | 497.5 |
Term Loan | ||
Line of Credit Facility | ||
Total debt including finance lease obligations | $ 0 | 328.1 |
Senior Notes | 3.88% Senior Notes due 2028 | ||
Line of Credit Facility | ||
Interest rate | 3.88% | |
Total debt including finance lease obligations | $ 550 | 550 |
Senior Notes | 4.50% Senior Notes due 2026 | ||
Line of Credit Facility | ||
Interest rate | 4.50% | |
Total debt including finance lease obligations | $ 0 | 300 |
Finance lease obligations | ||
Line of Credit Facility | ||
Total debt including finance lease obligations | $ 102.1 | $ 102.4 |
Debt including Finance Lease _4
Debt including Finance Lease Obligations - Narrative (Details) - USD ($) | 3 Months Ended | |||
Jun. 23, 2022 | Jun. 30, 2022 | Apr. 27, 2022 | Oct. 28, 2020 | |
Term Loan | ||||
Line of Credit Facility | ||||
Debt issuance costs | $ 400,000 | |||
Repayments of debt | 323,000,000 | |||
Interest expense | 1,300,000 | |||
Debt instrument, fee amount | 400,000 | |||
4.50% Senior Notes due 2026 | Senior Notes | ||||
Line of Credit Facility | ||||
Repurchased face amount | $ 300,000,000 | |||
Stated rate | 4.50% | |||
Redemption premium | $ 3,400,000 | |||
Debt issuance costs | $ 2,700,000 | |||
Revolving Credit Facility | ||||
Line of Credit Facility | ||||
Face amount | $ 1,000,000,000 | $ 500,000,000 | ||
Basis spread rate | 0% | |||
Leverage ratio potential increase | 4.5 | |||
Leverage ratio, interest | 9.3 | |||
Actual leverage ratio | 2.3 | |||
Net leverage ratio | 2 | |||
Revolving Credit Facility | Maximum | ||||
Line of Credit Facility | ||||
Basis spread rate | 175% | |||
Leverage ratio | 4 | |||
Revolving Credit Facility | Maximum | Base Rate | ||||
Line of Credit Facility | ||||
Debt issuance costs | $ 3,000,000 | |||
Basis spread rate | 75% | |||
Revolving Credit Facility | Minimum | ||||
Line of Credit Facility | ||||
Basis spread rate | 100% | |||
Leverage ratio, interest | 3 | |||
Revolving Credit Facility | Minimum | Base Rate | ||||
Line of Credit Facility | ||||
Basis spread rate | 0% |
Equity - Rollforward of Equity
Equity - Rollforward of Equity (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 | |
Increase (Decrease) in Stockholders' Equity | ||||||
Beginning balance (shares) | 39,269,399 | 39,269,399 | ||||
Beginning balance | $ 686.1 | $ 673.8 | $ 661.1 | $ 642.1 | $ 673.8 | $ 642.1 |
Net income (loss) | 59.8 | 60.8 | 44.3 | 48.7 | 120.6 | 93 |
Other comprehensive income (loss) | (46.7) | (10.1) | 5.4 | 8.5 | ||
Exercise of stock options, net | 0.1 | 0.4 | 1.5 | 0.9 | ||
Tax payments related to vested restricted stock units | (0.2) | (1.8) | (2.3) | |||
Share repurchase program | (49.5) | (40.4) | (28.7) | (39.4) | $ (89.9) | (68.1) |
Share-based compensation plans | $ 4.7 | 3.4 | 4.9 | 2.6 | ||
Ending balance (shares) | 38,032,992 | 38,032,992 | ||||
Ending balance | $ 654.3 | $ 686.1 | $ 688.5 | $ 661.1 | $ 654.3 | $ 688.5 |
Common Stock | ||||||
Increase (Decrease) in Stockholders' Equity | ||||||
Beginning balance (shares) | 43,180,000 | 43,102,000 | 43,034,000 | 42,913,000 | 43,102,000 | 42,913,000 |
Beginning balance | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 |
Common stock issued (shares) | 18,000 | 42,000 | 19,000 | 97,000 | ||
Exercise of stock options, net (shares) | 2,000 | 36,000 | 32,000 | 24,000 | ||
Ending balance (shares) | 43,200,000 | 43,180,000 | 43,085,000 | 43,034,000 | 43,200,000 | 43,085,000 |
Ending balance | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 |
Additional paid in capital | ||||||
Increase (Decrease) in Stockholders' Equity | ||||||
Beginning balance | 139.6 | 136.3 | 124.8 | 121.3 | 136.3 | 121.3 |
Exercise of stock options, net | 0.1 | 0.4 | 1.5 | 0.9 | ||
Share-based compensation plans | 3.3 | 2.9 | 4 | 2.6 | ||
Ending balance | 143 | 139.6 | 130.3 | 124.8 | 143 | 130.3 |
Retained earnings | ||||||
Increase (Decrease) in Stockholders' Equity | ||||||
Beginning balance | 856.9 | 796.1 | 726.7 | 678 | 796.1 | 678 |
Net income (loss) | 59.8 | 60.8 | 44.3 | 48.7 | ||
Ending balance | 916.7 | 856.9 | 771 | 726.7 | 916.7 | 771 |
Accumulated other comprehensive income (loss) | ||||||
Increase (Decrease) in Stockholders' Equity | ||||||
Beginning balance | 3 | 13.1 | 13.2 | 4.7 | 13.1 | 4.7 |
Other comprehensive income (loss) | (46.7) | (10.1) | 5.4 | 8.5 | ||
Ending balance | (43.7) | 3 | 18.6 | 13.2 | (43.7) | 18.6 |
Treasury stock | ||||||
Increase (Decrease) in Stockholders' Equity | ||||||
Beginning balance | (313.8) | (272.1) | (204) | (162.3) | (272.1) | (162.3) |
Tax payments related to vested restricted stock units | (0.2) | (1.8) | (2.3) | |||
Share repurchase program | (49.5) | (40.4) | (28.7) | (39.4) | ||
Share-based compensation plans | 1.4 | 0.5 | 0.9 | |||
Ending balance | $ (362.1) | $ (313.8) | $ (231.8) | $ (204) | $ (362.1) | $ (231.8) |
Equity - Rollforward of Accumul
Equity - Rollforward of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning balance | $ 686.1 | $ 661.1 | $ 673.8 | $ 642.1 |
Less: tax provision (benefit) | 0 | 0 | 0 | 0 |
Net actuarial gains (losses) and prior service (costs) credits | 0.1 | 0.1 | 0.1 | 0.1 |
Other comprehensive income (loss), net of tax | (46.7) | 5.4 | (56.8) | 13.9 |
Ending balance | 654.3 | 688.5 | 654.3 | 688.5 |
Accumulated other comprehensive income (loss) | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Ending balance | (43.7) | 18.6 | (43.7) | 18.6 |
Foreign currency translation | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning balance | 3.1 | 23.7 | 18.4 | 16.4 |
Net gains (losses) on foreign currency translation | (53) | 5.8 | (69.6) | 8.2 |
Gains (losses) on net investment hedges | 7.8 | (2.2) | 9.5 | 4.2 |
Less: tax provision (benefit) | 1.8 | (0.5) | 2.2 | 1 |
Net gains (losses) on net investment hedges | 6 | (1.7) | 7.3 | 3.2 |
Other comprehensive income (loss), net of tax | (47) | 4.1 | (62.3) | 11.4 |
Ending balance | (43.9) | 27.8 | (43.9) | 27.8 |
Derivative instruments | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning balance | 3.1 | (5.7) | (2.1) | (6.9) |
Gains (losses) on net investment hedges | 3.1 | 1.6 | 11.4 | 3.3 |
Less: tax provision (benefit) | 0.7 | 0.4 | 2.7 | 0.8 |
Net gains (losses) on derivative instruments | 2.4 | 1.2 | 8.7 | 2.5 |
(Gains) losses reclassified to net income | (2.8) | 0 | (4.3) | (0.1) |
Less: tax (provision) benefit | (0.6) | 0 | (1) | 0 |
Net (gains) losses reclassified to net income | (2.2) | 0 | (3.3) | (0.1) |
Other comprehensive income (loss), net of tax | 0.2 | 1.2 | 5.4 | 2.4 |
Ending balance | 3.3 | (4.5) | 3.3 | (4.5) |
Pension and other postretirement benefits | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning balance | (3.2) | (4.8) | (3.2) | (4.8) |
Unrealized actuarial gains (losses) and prior service (costs) credits | 0 | 0 | 0 | 0 |
Less: tax provision (benefit) | 0 | 0 | 0 | 0 |
Net actuarial gains (losses) and prior service (costs) credits | 0 | 0 | 0 | 0 |
Gains (losses) on net investment hedges | 0.1 | 0.1 | 0.1 | 0.1 |
Less: tax provision (benefit) | 0 | 0 | 0 | 0 |
Net (gains) losses reclassified to net income | 0.1 | 0.1 | 0.1 | 0.1 |
Other comprehensive income (loss), net of tax | 0.1 | 0.1 | 0.1 | 0.1 |
Ending balance | $ (3.1) | $ (4.7) | $ (3.1) | $ (4.7) |
Equity - Reclassification of AO
Equity - Reclassification of AOCI (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 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Net sales | $ 419.9 | $ 358.4 | $ 802.7 | $ 678.7 | ||
Cost of sales | 269.3 | 218.6 | 514.3 | 412.7 | ||
Interest expense, net | 1.6 | 4.2 | 3 | 3 | ||
Income (loss) before income taxes | 76.5 | 73.7 | 154.1 | 135.5 | ||
(Provision) benefit for income taxes | (16.7) | (29.4) | (33.5) | (42.5) | ||
Amount included in net income (loss) | 59.8 | $ 60.8 | 44.3 | $ 48.7 | 120.6 | 93 |
Derivative instruments | Reclassification out of Accumulated Other Comprehensive Income | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Income (loss) before income taxes | (4.3) | 0 | (4.3) | 0.1 | ||
(Provision) benefit for income taxes | 1 | 0 | 1 | 0 | ||
Amount included in net income (loss) | (3.3) | 0 | (3.3) | 0.1 | ||
Amortization of prior service costs | Reclassification out of Accumulated Other Comprehensive Income | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Cost of sales | 0.1 | 0.1 | 0.1 | 0.1 | ||
Pension and other postretirement benefits | Reclassification out of Accumulated Other Comprehensive Income | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Income (loss) before income taxes | 0.1 | 0.1 | 0.1 | 0.1 | ||
(Provision) benefit for income taxes | 0 | 0 | 0 | 0 | ||
Amount included in net income (loss) | 0.1 | 0.1 | 0.1 | 0.1 | ||
Currency exchange contracts | Derivative instruments | Reclassification out of Accumulated Other Comprehensive Income | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Net sales | (1.8) | 0 | (1.8) | 0 | ||
Natural gas contracts | Derivative instruments | Reclassification out of Accumulated Other Comprehensive Income | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Cost of sales | (0.8) | 0 | (0.8) | 0.1 | ||
Interest rate swap contracts | Derivative instruments | Reclassification out of Accumulated Other Comprehensive Income | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Interest expense, net | $ (1.7) | $ 0 | $ (1.7) | $ 0 |
Equity - Share Repurchases (Det
Equity - Share Repurchases (Details) | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2022 USD ($) $ / shares shares | Mar. 31, 2022 USD ($) | Jun. 30, 2021 USD ($) $ / shares shares | Mar. 31, 2021 USD ($) | Jun. 30, 2022 USD ($) $ / shares shares | Jun. 30, 2021 USD ($) $ / shares shares | Jul. 25, 2022 USD ($) | Mar. 02, 2020 USD ($) authorization | |
Equity, Class of Treasury Stock [Line Items] | ||||||||
Common stock amount authorized to be repurchased | $ 500,000,000 | |||||||
Number of rescinded authorizations | authorization | 2 | |||||||
Shares repurchased | $ 49,500,000 | $ 40,400,000 | $ 28,700,000 | $ 39,400,000 | $ 89,900,000 | $ 68,100,000 | ||
Shares repurchased (shares) | shares | 719,236 | 356,116 | 1,329,683 | 883,666 | ||||
Shares acquired average cost per share (usd per share) | $ / shares | $ 68.72 | $ 80.50 | $ 67.59 | $ 77 | ||||
Amount remained unused under repurchase program | $ 212,700,000 | $ 212,700,000 | ||||||
Subsequent Event | ||||||||
Equity, Class of Treasury Stock [Line Items] | ||||||||
Common stock amount authorized to be repurchased | $ 500,000,000 |
Retirement Plans - Summary of C
Retirement Plans - Summary of 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 | |
Pensions | ||||
Components of net periodic benefit cost (income): | ||||
Service cost | $ 0.4 | $ 0.5 | $ 0.8 | $ 0.9 |
Interest cost | 0.3 | 0.2 | 0.6 | 0.5 |
Expected return on plan assets | (0.5) | (0.4) | (0.9) | (0.7) |
Amortization of prior service cost (credit) | 0.1 | 0.1 | 0.1 | 0.1 |
Amortization of net actuarial and other (gain) loss | 0 | 0 | 0 | 0 |
Net periodic benefit cost (income) | 0.3 | 0.4 | 0.6 | 0.8 |
Other Benefits | ||||
Components of net periodic benefit cost (income): | ||||
Service cost | 0 | 0 | 0 | 0 |
Interest cost | 0 | 0 | 0 | 0 |
Expected return on plan assets | 0 | 0 | 0 | 0 |
Amortization of prior service cost (credit) | 0 | 0 | 0 | 0 |
Amortization of net actuarial and other (gain) loss | 0 | 0 | 0 | 0 |
Net periodic benefit cost (income) | $ 0 | $ 0 | $ 0 | $ 0 |
Retirement Plans - Narrative (D
Retirement Plans - Narrative (Details) | 6 Months Ended |
Jun. 30, 2022 USD ($) | |
Postemployment Benefits [Abstract] | |
Contributions by employer | $ 0 |
Restructuring and Other (Inco_3
Restructuring and Other (Income) Charges, net - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Restructuring Cost and Reserve [Line Items] | ||||
Digital transformation costs | $ 3.7 | $ 4.3 | $ 7.3 | $ 8.1 |
Other Restructuring | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring expected cost | 90 | 90 | ||
Other Restructuring | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring expected cost | 95 | 95 | ||
Non-Capitalizable | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring expected cost | 45 | 45 | ||
Restructuring costs expected in current fiscal year | 15 | 15 | ||
Non-Capitalizable | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring expected cost | 50 | 50 | ||
Restructuring costs expected in current fiscal year | $ 17 | $ 17 |
Restructuring and Other (Inco_4
Restructuring and Other (Income) Charges, net - Roll forward of Restructuring Reserve (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2022 USD ($) | |
Restructuring Reserve | |
Restructuring reserve, beginning balance | $ 0.5 |
Change in reserve | 0 |
Cash payments | 0 |
Other | 0 |
Restructuring reserve, ending balance | $ 0.5 |
Income Taxes - Effective tax ra
Income Taxes - Effective tax rate (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Effective Income Tax Rate Reconciliation, Percent | ||||
Effective tax rate | 21.80% | 39.90% | 21.70% | 31.40% |
Income Taxes - Tax Reconciliati
Income Taxes - Tax Reconciliation (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] | ||||
Effective tax rate | 21.80% | 39.90% | 21.70% | 31.40% |
Before tax | ||||
Income (loss) before income taxes | $ 76.5 | $ 73.7 | $ 154.1 | $ 135.5 |
Restructuring and other (income) charges, net | 0 | 0 | 0 | 0.1 |
Acquisition and other-related costs | 0 | 0 | ||
Legislative tax rate changes | 0 | 0 | 0 | 0 |
Total discrete items | 0 | 0 | 0 | 0.1 |
Consolidated operations, before discrete items | 76.5 | 73.7 | 154.1 | 135.6 |
Tax | ||||
Provision (benefit) for income taxes | 16.7 | 29.4 | 33.5 | 42.5 |
Restructuring and other (income) charges, net | 0 | 0 | 0 | 0 |
Acquisition and other-related costs | 0 | 0 | ||
Legislative tax rate changes (1) | 0.1 | (14.7) | 0 | (14.7) |
Other tax only discrete items | (0.2) | 0.1 | (0.8) | 0.2 |
Total discrete items | (0.1) | (14.6) | (0.8) | (14.5) |
Consolidated operations, before discrete items | $ 16.6 | $ 14.8 | $ 32.7 | $ 28 |
EAETR | 21.70% | 20.10% | 21.20% | 20.60% |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Millions | Jun. 30, 2022 | Dec. 31, 2021 |
Income Tax Disclosure [Abstract] | ||
Deferred tax asset | $ 9.4 | $ 8.8 |
Commitment and Contingencies (D
Commitment and Contingencies (Details) $ in Millions | 1 Months Ended | |||
Sep. 15, 2021 USD ($) | Nov. 30, 2020 | Jun. 30, 2022 USD ($) | Feb. 14, 2019 claim | |
Loss Contingencies [Line Items] | ||||
Litigation settlement | $ 85 | |||
Final resolution, term | 18 months | |||
Loss contingency accrual | $ 85 | |||
BASF Lawsuit | ||||
Loss Contingencies [Line Items] | ||||
Claims for violations | claim | 2 | |||
BASF Lawsuit | Settled Litigation | ||||
Loss Contingencies [Line Items] | ||||
Awarded damages | $ 28.3 |
Segment Information - Net Sales
Segment Information - Net Sales and Segment Operating Profit (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Net sales | $ 419.9 | $ 358.4 | $ 802.7 | $ 678.7 |
Segment Reporting Information, Profit (Loss) | ||||
Segment operating profits | 121.1 | 117.7 | 240.1 | 223.1 |
Interest expense, net | (15.1) | (12.2) | (25.8) | (24.6) |
(Provision) benefit for income taxes | (16.7) | (29.4) | (33.5) | (42.5) |
Depreciation and amortization | (52.9) | (54.1) | ||
Restructuring and other income (charges), net | (3.7) | (4.3) | (7.3) | (8.2) |
Acquisition and other related costs | 0 | (0.4) | 0 | (0.7) |
Net income (loss) | 59.8 | 44.3 | 120.6 | 93 |
Performance Materials | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 122.4 | 126 | 270.8 | 266.7 |
Segment Reporting Information, Profit (Loss) | ||||
Segment operating profits | 55.6 | 61.3 | 133.5 | 135 |
Depreciation and amortization | (8.8) | (8.8) | (17.8) | (17.9) |
Restructuring and other income (charges), net | (1.3) | (1.7) | (2.6) | (3.4) |
Performance Materials | Strategic Investment | ||||
Segment Reporting Information, Profit (Loss) | ||||
Acquisition and other related costs | (0.2) | (0.2) | ||
Performance Chemicals | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 297.5 | 232.4 | 531.9 | 412 |
Segment Reporting Information, Profit (Loss) | ||||
Segment operating profits | 65.5 | 56.4 | 106.6 | 88.1 |
Depreciation and amortization | (17) | (18.3) | (35.1) | (36.2) |
Restructuring and other income (charges), net | $ (2.4) | (2.6) | $ (4.7) | (4.8) |
Performance Chemicals | Perstorp Capa | ||||
Segment Reporting Information, Profit (Loss) | ||||
Acquisition and other related costs | $ (0.2) | $ (0.5) |
Earnings (Loss) per Share - Ear
Earnings (Loss) per Share - Earnings per share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Earnings Per Share Reconciliation | ||||
Net income (loss) | $ 59.8 | $ 44.3 | $ 120.6 | $ 93 |
Basic and Diluted earnings (loss) per share | ||||
Basic earnings (loss) per share (usd per share) | $ 1.55 | $ 1.11 | $ 3.11 | $ 2.31 |
Diluted earnings (loss) per share (usd per share) | $ 1.54 | $ 1.10 | $ 3.09 | $ 2.30 |
Shares | ||||
Weighted average number of common shares outstanding - Basic (shares) | 38,515 | 40,030 | 38,762 | 40,226 |
Weighted average additional shares assuming conversion of potential common shares (shares) | 233 | 288 | 250 | 279 |
Shares - diluted basis (shares) | 38,748 | 40,318 | 39,012 | 40,505 |
Earnings (Loss) per Share - Ant
Earnings (Loss) per Share - Antidilutive (Details) - shares shares in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Earnings Per Share [Abstract] | ||||
Average number of potential common shares - antidilutive (shares) | 217 | 93 | 201 | 76 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | Jul. 31, 2022 | Jul. 25, 2022 | Mar. 02, 2020 |
Subsequent Event [Line Items] | |||
Common stock amount authorized to be repurchased | $ 500,000,000 | ||
Subsequent Event | |||
Subsequent Event [Line Items] | |||
Common stock amount authorized to be repurchased | $ 500,000,000 | ||
Pending Acquisition, Consideration | $ 325,000,000 |