Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2019 | Apr. 30, 2019 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | SENSIENT TECHNOLOGIES CORP | |
Entity Central Index Key | 0000310142 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Ex Transition Period | false | |
Entity Common Stock, Shares Outstanding | 42,319,163 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q1 |
CONSOLIDATED CONDENSED STATEMEN
CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS (Unaudited) [Abstract] | ||
Revenue | $ 347,513 | $ 356,477 |
Cost of products sold | 232,288 | 233,406 |
Selling and administrative expenses | 65,805 | 67,390 |
Operating income | 49,420 | 55,681 |
Interest expense | 5,402 | 5,555 |
Earnings before income taxes | 44,018 | 50,126 |
Income taxes | 11,211 | 11,932 |
Net earnings | $ 32,807 | $ 38,194 |
Weighted average number of shares outstanding: | ||
Basic (in shares) | 42,239 | 42,879 |
Diluted (in shares) | 42,275 | 43,034 |
Earnings per common share: | ||
Basic (in dollars per share) | $ 0.78 | $ 0.89 |
Diluted (in dollars per share) | 0.78 | 0.89 |
Dividends declared per common share (in dollars per share) | $ 0.36 | $ 0.33 |
CONSOLIDATED CONDENSED STATEM_2
CONSOLIDATED CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
CONSOLIDATED CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) [Abstract] | ||
Comprehensive Income | $ 32,091 | $ 62,058 |
CONSOLIDATED CONDENSED BALANCE
CONSOLIDATED CONDENSED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 33,896 | $ 31,901 |
Trade accounts receivable, net | 273,800 | 255,350 |
Inventories | 468,324 | 490,757 |
Prepaid expenses and other current assets | 50,276 | 44,857 |
TOTAL CURRENT ASSETS | 826,296 | 822,865 |
OTHER ASSETS | 87,891 | 66,788 |
DEFERRED TAX ASSETS | 8,653 | 9,189 |
INTANGIBLE ASSETS, NET | 18,295 | 18,867 |
GOODWILL | 413,710 | 416,175 |
PROPERTY, PLANT AND EQUIPMENT: | ||
Land | 36,467 | 36,787 |
Buildings | 319,242 | 318,463 |
Machinery and equipment | 695,811 | 688,003 |
Construction in progress | 32,973 | 34,772 |
Property, plant and equipment, gross | 1,084,493 | 1,078,025 |
Less accumulated depreciation | (598,467) | (586,969) |
Property, plant and equipment, net | 486,026 | 491,056 |
TOTAL ASSETS | 1,840,871 | 1,824,940 |
CURRENT LIABILITIES: | ||
Trade accounts payable | 108,381 | 131,812 |
Accrued salaries, wages and withholdings from employees | 20,255 | 23,410 |
Other accrued expense | 38,703 | 31,198 |
Income taxes | 10,031 | 8,234 |
Short-term borrowings | 20,082 | 20,046 |
TOTAL CURRENT LIABILITIES | 197,452 | 214,700 |
DEFERRED TAX LIABILITIES | 31,097 | 28,976 |
OTHER LIABILITIES | 21,845 | 8,554 |
ACCRUED EMPLOYEE AND RETIREE BENEFITS | 23,801 | 23,210 |
LONG-TERM DEBT | 688,952 | 689,553 |
SHAREHOLDERS' EQUITY: | ||
Common stock | 5,396 | 5,396 |
Additional paid-in capital | 100,485 | 101,663 |
Earnings reinvested in the business | 1,533,832 | 1,516,243 |
Treasury stock, at cost | (595,718) | (597,800) |
Accumulated other comprehensive loss | (166,271) | (165,555) |
TOTAL SHAREHOLDERS' EQUITY | 877,724 | 859,947 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 1,840,871 | $ 1,824,940 |
CONSOLIDATED CONDENSED STATEM_3
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Cash flows from operating activities: | ||
Net earnings | $ 32,807 | $ 38,194 |
Adjustments to arrive at net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 13,672 | 12,578 |
Share-based compensation | 687 | 1,254 |
Net (gain) loss on assets | (41) | 70 |
Deferred income taxes | 2,674 | (4,346) |
Changes in operating assets and liabilities | (26,375) | (66,441) |
Net cash provided by (used in) operating activities | 23,424 | (18,691) |
Cash flows from investing activities: | ||
Acquisition of property, plant and equipment | (8,300) | (11,058) |
Cash receipts on sold receivables | 0 | 44,406 |
Proceeds from sale of assets | 45 | 45 |
Acquisition of new businesses | 0 | (11,000) |
Other investing activity | (301) | 789 |
Net cash (used in) provided by investing activities | (8,556) | 23,182 |
Cash flows from financing activities: | ||
Proceeds from additional borrowings | 16,689 | 92,348 |
Debt payments | (12,577) | (12,280) |
Purchase of treasury stock | 0 | (72,704) |
Dividends paid | (15,218) | (14,274) |
Other financing activity | (803) | (2,715) |
Net cash used in financing activities | (11,909) | (9,625) |
Effect of exchange rate changes on cash and cash equivalents | (964) | 6,210 |
Net increase in cash and cash equivalents | 1,995 | 1,076 |
Cash and cash equivalents at beginning of period | 31,901 | 29,344 |
Cash and cash equivalents at end of period | $ 33,896 | $ 30,420 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-In Capital [Member] | Earnings Reinvested in the Business [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Total |
Beginning balance at Dec. 31, 2017 | $ 5,396 | $ 107,176 | $ 1,414,485 | $ (525,422) | $ (149,334) | |
Beginning balance (in shares) at Dec. 31, 2017 | 10,759,291 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 0 | 0 | 38,194 | $ 0 | 0 | $ 38,194 |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | 23,864 | |
Cash dividends paid | 0 | 0 | (14,274) | 0 | 0 | |
Share-based compensation | 0 | 1,254 | 0 | 0 | 0 | |
Stock options exercised | 0 | (38) | 0 | $ 98 | 0 | |
Stock options exercised (in shares) | (2,000) | |||||
Non-vested stock issued upon vesting | 0 | (4,842) | 0 | $ 4,842 | 0 | |
Non-vested stock issued upon vesting (in shares) | (99,152) | |||||
Benefit plans | 0 | 350 | 0 | $ 769 | 0 | |
Benefit plans (in shares) | (15,126) | |||||
Purchase of treasury stock | 0 | 0 | 0 | $ (72,704) | 0 | |
Purchase of treasury stock (in shares) | 1,000,000 | |||||
Other | 0 | (801) | 418 | $ (1,975) | 0 | |
Other (in shares) | 40,430 | |||||
Ending balance at Mar. 31, 2018 | 5,396 | 103,099 | 1,438,823 | $ (594,392) | (125,470) | |
Ending balance (in shares) at Mar. 31, 2018 | 11,683,443 | |||||
Beginning balance at Dec. 31, 2018 | 5,396 | 101,663 | 1,516,243 | $ (597,800) | (165,555) | 859,947 |
Beginning balance (in shares) at Dec. 31, 2018 | 11,731,223 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 0 | 0 | 32,807 | $ 0 | 0 | 32,807 |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | (716) | |
Cash dividends paid | 0 | 0 | (15,218) | 0 | 0 | |
Share-based compensation | 0 | 687 | 0 | 0 | 0 | |
Non-vested stock issued upon vesting | 0 | (1,784) | 0 | $ 1,784 | 0 | |
Non-vested stock issued upon vesting (in shares) | (35,016) | |||||
Benefit plans | 0 | 72 | 0 | $ 948 | 0 | |
Benefit plans (in shares) | (18,597) | |||||
Other | 0 | (153) | 0 | $ (650) | 0 | |
Other (in shares) | 12,769 | |||||
Ending balance at Mar. 31, 2019 | $ 5,396 | $ 100,485 | $ 1,533,832 | $ (595,718) | $ (166,271) | $ 877,724 |
Ending balance (in shares) at Mar. 31, 2019 | 11,690,379 |
CONSOLIDATED STATEMENTS OF SH_2
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Unaudited) [Abstract] | ||
Cash dividends per share (in dollars per share) | $ 0.36 | $ 0.33 |
Accounting Policies
Accounting Policies | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Accounting Policies | 1. Accounting Policies In the opinion of Sensient Technologies Corporation (the “Company”), the accompanying unaudited consolidated condensed financial statements contain all adjustments (consisting of only normal recurring adjustments) that are necessary to present fairly the financial position of the Company as of March 31, 2019, and the results of operations, comprehensive income, cash flows, and shareholders’ equity for the three months ended March 31, 2019 and 2018. The results of operations for any interim period are not necessarily indicative of the results to be expected for the full year. The preparation of financial statements in conformity with U.S. generally accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Expenses are charged to operations in the period incurred. Please refer to the notes in the Company’s annual consolidated financial statements for the year ended December 31, 2018, for additional details of the Company’s financial condition and a description of the Company’s accounting policies, which have been continued without change except for the Company’s Lease and Derivative Financial Instruments accounting policies. These policies have been updated as a result of the Company’s adoption of Accounting Standards Update (ASU) 2016-02 , Leases (Topic 842) and ASU No. 2017-12, Targeted Improvements to Accounting for Hedging Activities , Leases The Company enters into lease agreements for certain office space, warehouses, land, and equipment in the ordinary course of business. The Company determines if an arrangement is a lease at inception and evaluates the lease classification (i.e., operating lease or financing lease) at that time. Lease arrangements with an initial term of 12 months or less are considered short-term leases and are not recorded on the balance sheet. The Company recognizes lease expense for these leases on a straight-line basis over the term of the lease. Operating leases are included in Other Assets Other Accrued Expenses Other Liabilities The Company uses its incremental borrowing rate on the commencement date for determining the present value of lease payments. The Company considers the likelihood of exercising options to extend or terminate the lease when determining the lease term. The Company has lease agreements with lease and non-lease components. The Company has elected the practical expedient to account for the lease and non-lease components as a single lease component for all leases. Derivative Financial Instruments The Company selectively uses derivative financial instruments to reduce market risk associated with changes in foreign currency and interest rate exposures that exist as part of ongoing business operations. All derivative transactions are authorized and executed pursuant to the Company’s risk management policies and procedures, which strictly prohibit the use of financial instruments for speculative trading purposes. The primary objectives of the foreign exchange risk management activities are to understand and mitigate the impact of potential foreign exchange fluctuations on the Company’s financial results and its economic well-being. Changes in the fair value of derivatives that are designated as fair value hedges, along with the gain or loss on the hedged item, are recorded in current period earnings. Generally, these risk management transactions involve the use of foreign currency derivatives to protect against exposure resulting from recorded accounts receivable and payable. The Company may utilize forward exchange contracts, generally with maturities of less than 18 months, that qualify as cash flow hedges. Generally, these foreign exchange contracts are intended to offset the effect of exchange rate fluctuations on non-functional currency denominated sales and purchases. For derivative instruments that are designated as cash flow hedges, gains and losses , Hedge effectiveness is determined by how closely the changes in the fair value of the hedging instrument offset the changes in the fair value or cash flows of the hedged item. Hedge accounting is permitted only if the hedging relationship is expected to be highly effective at the inception of the transaction and on an ongoing basis. Recently Adopted Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (FASB) issued ASU No. 2016-02, Leases (Topic 842) , Leases (Topic 842) Targeted Improvements The Company elected the following practical expedients permitted within the standard: 1. The Company will not re-assess an expired or existing contract to determine if it is a lease or contains a lease. 2. The Company will not re-assess the lease classification for an existing lease based on the new standard’s lease classification criteria. 3. The Company will not re-assess the accounting treatment for initial direct costs on existing leases based on the new standard’s guidance. 4. The Company will account for the lease and non-lease components as a single lease component for all leases. The adoption of this standard resulted in the recognition of $20.7 million in right-of-use assets and lease liabilities for operating leases as of January 1, 2019. The adoption of this standard did not have an impact on the Company’s Consolidated Statements of Earnings, or to cash provided by or used in operating, financing, or investing activities on the Company’s Consolidated Condensed Statements of Cash Flows. In August 2017, the FASB issued ASU No. 2017-12, Targeted Improvements to Accounting for Hedging Activities - The Company adopted ASU 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments , in the first quarter of 2018 using monthly cash receipts as its unit of account. In the second quarter of 2018, the Company updated its unit of account to daily cash receipts for the cash received related to the beneficial interest in the previously transferred receivables. As a result, the reported results as of June 30, 2018, included an adjustment of $35.4 million for collections on beneficial interest in previously transferred receivables and an adjustment of $1.6 million for company owned life insurance proceeds for the three months ended March 31, 2018, which were previously reported as cash flows from operating activities. The Consolidated Condensed Statement of Cash Flows for the three months ended March 31, 2018 have been updated to reflect these adjustments. Recently Issued Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses of Financial Instruments In January 2017, the FASB issued ASU 2017-04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment In August 2018, the FASB issued ASU 2018-13 , Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement Please refer to the notes in the Company’s annual consolidated financial statements for the year ended December 31, 2018, for additional details of the Company’s financial condition and a description of the Company’s accounting policies, which have been continued without change, except as discussed above. |
Acquisitions
Acquisitions | 3 Months Ended |
Mar. 31, 2019 | |
Acquisitions [Abstract] | |
Acquisitions | 2. Acquisitions On March 9, 2018, the Company completed the acquisition of certain net assets and the natural color business of GlobeNatural, On July 10, 2018, the Company completed the acquisition of Mazza Innovation Limited |
Fair Value
Fair Value | 3 Months Ended |
Mar. 31, 2019 | |
Fair Value [Abstract] | |
Fair Value | 3. Fair Value Accounting Standards Codification (ASC) 820, Fair Value Measurements and Disclosures |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2019 | |
Segment Information [Abstract] | |
Segment Information | 4. Segment Information Operating results by segment for the periods presented are as follows: (In thousands) Flavors & Fragrances Color Asia Pacific Corporate & Other Consolidated Three months ended March 31, 2019: Revenue from external customers $ 178,744 $ 140,250 $ 28,519 $ - $ 347,513 Intersegment revenue 4,809 3,629 - - 8,438 Total revenue $ 183,553 $ 143,879 $ 28,519 $ - $ 355,951 Operating income (loss) $ 23,125 $ 30,199 $ 4,218 $ (8,122 ) $ 49,420 Interest expense - - - 5,402 5,402 Earnings (loss) before income taxes $ 23,125 $ 30,199 $ 4,218 $ (13,524 ) $ 44,018 Three months ended March 31, 2018: Revenue from external customers $ 182,482 $ 143,728 $ 30,267 $ - $ 356,477 Intersegment revenue 5,864 3,432 - - 9,296 Total revenue $ 188,346 $ 147,160 $ 30,267 $ - $ 365,773 Operating income (loss) $ 25,327 $ 33,672 $ 4,872 $ (8,190 ) $ 55,681 Interest expense - - - 5,555 5,555 Earnings (loss) before income taxes $ 25,327 $ 33,672 $ 4,872 $ (13,745 ) $ 50,126 The Company evaluates performance based on operating income of the respective segments before restructuring and other costs, interest expense, and income taxes. There were no restructuring and other costs incurred in either the first quarter of 2019 or 2018. In July 2018, the Company completed the acquisition of Mazza Innovation Limited Acquisitions In addition to evaluating the Company’s performance based on the segments above, revenue is also disaggregated and analyzed by product line and geographic market. The following table displays the Company’s revenue by these major sources. Product Lines (In thousands) Flavors & Fragrances Color Asia Pacific Consolidated Three months ended March 31, 2019: Flavors $ 104,276 $ - $ - $ 104,276 Natural Ingredients 51,219 - - 51,219 Fragrances 28,058 - - 28,058 Food & Beverage Colors - 80,364 - 80,364 Cosmetics - 38,283 - 38,283 Other Colors - 25,232 - 25,232 Asia Pacific - - 28,519 28,519 Intersegment Revenue (4,809 ) (3,629 ) - (8,438 ) Total revenue from external customers $ 178,744 $ 140,250 $ 28,519 $ 347,513 (In thousands) Flavors & Fragrances Color Asia Pacific Consolidated Three months ended March 31, 2018: Flavors $ 109,051 $ - $ - $ 109,051 Natural Ingredients 53,201 - - 53,201 Fragrances 26,094 - - 26,094 Food & Beverage Colors - 76,816 - 76,816 Cosmetics - 45,504 - 45,504 Other Colors - 24,840 - 24,840 Asia Pacific - - 30,267 30,267 Intersegment Revenue (5,864 ) (3,432 ) - (9,296 ) Total revenue from external customers $ 182,482 $ 143,728 $ 30,267 $ 356,477 Geographic Markets (In thousands) Flavors & Fragrances Color Asia Pacific Consolidated Three months ended March 31, 2019: North America $ 112,747 $ 66,007 $ 25 $ 178,779 Europe 48,001 42,135 41 90,177 Asia Pacific 7,609 16,425 28,266 52,300 Other 10,387 15,683 187 26,257 Total revenue from external customers $ 178,744 $ 140,250 $ 28,519 $ 347,513 Three months ended March 31, 2018: North America $ 119,055 $ 63,582 $ - $ 182,637 Europe 45,427 43,631 6 89,064 Asia Pacific 7,022 16,910 30,011 53,943 Other 10,978 19,605 250 30,833 Total revenue from external customers $ 182,482 $ 143,728 $ 30,267 $ 356,477 |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2019 | |
Inventories [Abstract] | |
Inventories | 5. Inventories At March 31, 2019, and December 31, 2018, inventories included finished and in-process products totaling $310.6 million and $320.4 million, respectively, and raw materials and supplies of $157.7 million and $170.4 million, respectively. |
Retirement Plans
Retirement Plans | 3 Months Ended |
Mar. 31, 2019 | |
Retirement Plans [Abstract] | |
Retirement Plans | 6. Retirement Plans The Company’s components of annual benefit cost for the defined benefit plans for the periods presented are as follows: Three Months Ended March 31, (In thousands) 2019 2018 Service cost $ 359 $ 368 Interest cost 320 289 Expected return on plan assets (231 ) (245 ) Recognized actuarial gain (39 ) (27 ) Total defined benefit expense $ 409 $ 385 The Company’s non-service cost portion of defined benefit expense is recorded in Interest Expense on the Company’s Consolidated Condensed Statements of Earnings. The Company’s service cost portion of defined benefit expense is recorded in Selling and Administrative Expenses on the Company’s Consolidated Condensed Statements of Earnings. |
Leases
Leases | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Leases | 7. Leases The Company leases certain office space, warehouses, land, and equipment under operating lease arrangements. Some of the Company’s leases include options to extend the leases for up to an additional five years. Some of the Company’s lease agreements also include rental payments that are adjusted periodically for inflation (i.e., CPI index). The Company recorded operating lease expense, which includes short-term lease expense and variable lease costs, of $3.0 million for the three months ended March 31, 2019. For the three months ended March 31, 2019, the Company paid $2.5 million in cash for operating leases, not including short-term lease expense or variable lease costs. The Company entered into operating leases that resulted in $2.4 million of right-of-use assets in exchange for operating lease obligations for the three months ended March 31, 2019. The Company included $20.8 million of right-of-use assets in Other Assets Other Accrued Expenses Other Liabilities The Company’s weighted average remaining operating lease term was 3.7 years as of March 31, 2019. The Company’s weighted average discount rate for operating leases was 3.8% as of March 31, 2019. As of March 31, 2019, maturities of operating lease liabilities for future annual periods are as follows: (in thousands) Year ending December 31, 2019 $ 6,537 2020 6,998 2021 3,715 2022 1,800 2023 1,044 Thereafter 2,330 Total lease payments 22,424 Less imputed interest (1,651 ) Present value of lease liabilities $ 20,773 |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activity | 3 Months Ended |
Mar. 31, 2019 | |
Derivative Instruments and Hedging Activity [Abstract] | |
Derivative Instruments and Hedging Activity | 8. Derivative Instruments and Hedging Activity The Company may use forward exchange contracts and foreign currency denominated debt to manage its exposure to foreign exchange risk in order to reduce the effect of fluctuating foreign currencies on short-term foreign currency denominated intercompany transactions, non-functional currency raw material purchases, non-functional currency sales, and other known foreign currency exposures. These forward exchange contracts generally have maturities of less than 18 months. The Company’s primary hedging activities and their accounting treatment are summarized below. Forward exchange contracts Net investment hedges |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2019 | |
Income Taxes [Abstract] | |
Income Taxes | 9. Income Taxes The effective income tax rates for the three months ended March 31, 2019 and 2018, were 25.5% and 23.8%, respectively. The effective tax rates in both 2019 and 2018 were impacted by changes in estimates associated with the finalization of prior year foreign and domestic tax items, audit settlements, and the mix of foreign earnings. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 3 Months Ended |
Mar. 31, 2019 | |
Accumulated Other Comprehensive Income [Abstract] | |
Accumulated Other Comprehensive Income | 10. Accumulated Other Comprehensive Income The following table summarizes the changes in OCI during the three-month periods ended March 31, 2019 and 2018: (In thousands) Cash Flow Hedges (a) Pension Items (a) Foreign Currency Items Total Balance as of December 31, 2017 $ (669 ) $ (309 ) $ (148,356 ) $ (149,334 ) Other comprehensive income before reclassifications 670 - 23,186 23,856 Amounts reclassified from OCI 38 (30 ) - 8 Balance as of March 31, 2018 $ 39 $ (339 ) $ (125,170 ) $ (125,470 ) (In thousands) Cash Flow Hedges (a) Pension Items (a) Foreign Currency Items Total Balance as of December 31, 2018 $ 147 $ 549 $ (166,251 ) $ (165,555 ) Other comprehensive income before reclassifications 597 - (1,164 ) (567 ) Amounts reclassified from OCI (112 ) (37 ) - (149 ) Balance as of March 31, 2019 $ 632 $ 512 $ (167,415 ) $ (166,271 ) (a) Cash Flow Hedges and Pension Items are net of tax. |
Accounts Receivable Securitizat
Accounts Receivable Securitization | 3 Months Ended |
Mar. 31, 2019 | |
Accounts Receivable Securitization [Abstract] | |
Accounts Receivable Securitization | 11. Accounts Receivable Securitization The Company is engaged in an accounts receivable securitization program with Wells Fargo & Company (Wells Fargo). The commitment size under the program is $70 million. Between October 2016 and June 2018, the Company accounted for sales of trade receivables under the program as a reduction of accounts receivable in the Consolidated Condensed Balance Sheets in accordance with ASC Topic 860, Transfers and Servicing In June 2018, the Company amended the program. Following the amendment, the Company no longer accounts for the sales of the trade receivables in accordance with ASC Topic 860, and instead now maintains the trade receivables and related debt on its Consolidated Condensed Balance Sheets. Under the amended program, Wells Fargo has extended a secured loan of up to $70 million to the Company secured by Wells Fargo’s undivided interests in certain of the Company’s trade accounts receivables. The program expires in October 2019; however, the Company has the intent and ability to refinance or extend the program prior to maturity. As of March 31, 2019, $70 million was borrowed under the program. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | 12. Commitments and Contingencies The Company is subject to various claims and litigation arising in the normal course of business. The Company establishes reserves for claims and proceedings when it is probable that liabilities exist and reasonable estimates of loss can be made. While it is not possible to predict the outcome of these matters, based on our assessment of the facts and circumstances now known, we do not believe that these matters, individually or in the aggregate, will have a material adverse effect on our financial position. However, actual outcomes may be different from those expected and could have a material effect on our results of operations or cash flows in a particular period. |
Accounting Policies (Policies)
Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Leases | Leases The Company enters into lease agreements for certain office space, warehouses, land, and equipment in the ordinary course of business. The Company determines if an arrangement is a lease at inception and evaluates the lease classification (i.e., operating lease or financing lease) at that time. Lease arrangements with an initial term of 12 months or less are considered short-term leases and are not recorded on the balance sheet. The Company recognizes lease expense for these leases on a straight-line basis over the term of the lease. Operating leases are included in Other Assets Other Accrued Expenses Other Liabilities The Company uses its incremental borrowing rate on the commencement date for determining the present value of lease payments. The Company considers the likelihood of exercising options to extend or terminate the lease when determining the lease term. The Company has lease agreements with lease and non-lease components. The Company has elected the practical expedient to account for the lease and non-lease components as a single lease component for all leases. |
Derivative Financial Instruments | Derivative Financial Instruments The Company selectively uses derivative financial instruments to reduce market risk associated with changes in foreign currency and interest rate exposures that exist as part of ongoing business operations. All derivative transactions are authorized and executed pursuant to the Company’s risk management policies and procedures, which strictly prohibit the use of financial instruments for speculative trading purposes. The primary objectives of the foreign exchange risk management activities are to understand and mitigate the impact of potential foreign exchange fluctuations on the Company’s financial results and its economic well-being. Changes in the fair value of derivatives that are designated as fair value hedges, along with the gain or loss on the hedged item, are recorded in current period earnings. Generally, these risk management transactions involve the use of foreign currency derivatives to protect against exposure resulting from recorded accounts receivable and payable. The Company may utilize forward exchange contracts, generally with maturities of less than 18 months, that qualify as cash flow hedges. Generally, these foreign exchange contracts are intended to offset the effect of exchange rate fluctuations on non-functional currency denominated sales and purchases. For derivative instruments that are designated as cash flow hedges, gains and losses , Hedge effectiveness is determined by how closely the changes in the fair value of the hedging instrument offset the changes in the fair value or cash flows of the hedged item. Hedge accounting is permitted only if the hedging relationship is expected to be highly effective at the inception of the transaction and on an ongoing basis. |
Recently Adopted/Issued Accounting Pronouncements | Recently Adopted Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (FASB) issued ASU No. 2016-02, Leases (Topic 842) , Leases (Topic 842) Targeted Improvements The Company elected the following practical expedients permitted within the standard: 1. The Company will not re-assess an expired or existing contract to determine if it is a lease or contains a lease. 2. The Company will not re-assess the lease classification for an existing lease based on the new standard’s lease classification criteria. 3. The Company will not re-assess the accounting treatment for initial direct costs on existing leases based on the new standard’s guidance. 4. The Company will account for the lease and non-lease components as a single lease component for all leases. The adoption of this standard resulted in the recognition of $20.7 million in right-of-use assets and lease liabilities for operating leases as of January 1, 2019. The adoption of this standard did not have an impact on the Company’s Consolidated Statements of Earnings, or to cash provided by or used in operating, financing, or investing activities on the Company’s Consolidated Condensed Statements of Cash Flows. In August 2017, the FASB issued ASU No. 2017-12, Targeted Improvements to Accounting for Hedging Activities - The Company adopted ASU 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments , in the first quarter of 2018 using monthly cash receipts as its unit of account. In the second quarter of 2018, the Company updated its unit of account to daily cash receipts for the cash received related to the beneficial interest in the previously transferred receivables. As a result, the reported results as of June 30, 2018, included an adjustment of $35.4 million for collections on beneficial interest in previously transferred receivables and an adjustment of $1.6 million for company owned life insurance proceeds for the three months ended March 31, 2018, which were previously reported as cash flows from operating activities. The Consolidated Condensed Statement of Cash Flows for the three months ended March 31, 2018 have been updated to reflect these adjustments. Recently Issued Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses of Financial Instruments In January 2017, the FASB issued ASU 2017-04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment In August 2018, the FASB issued ASU 2018-13 , Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement Please refer to the notes in the Company’s annual consolidated financial statements for the year ended December 31, 2018, for additional details of the Company’s financial condition and a description of the Company’s accounting policies, which have been continued without change, except as discussed above. |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Segment Information [Abstract] | |
Segment Information | Operating results by segment for the periods presented are as follows: (In thousands) Flavors & Fragrances Color Asia Pacific Corporate & Other Consolidated Three months ended March 31, 2019: Revenue from external customers $ 178,744 $ 140,250 $ 28,519 $ - $ 347,513 Intersegment revenue 4,809 3,629 - - 8,438 Total revenue $ 183,553 $ 143,879 $ 28,519 $ - $ 355,951 Operating income (loss) $ 23,125 $ 30,199 $ 4,218 $ (8,122 ) $ 49,420 Interest expense - - - 5,402 5,402 Earnings (loss) before income taxes $ 23,125 $ 30,199 $ 4,218 $ (13,524 ) $ 44,018 Three months ended March 31, 2018: Revenue from external customers $ 182,482 $ 143,728 $ 30,267 $ - $ 356,477 Intersegment revenue 5,864 3,432 - - 9,296 Total revenue $ 188,346 $ 147,160 $ 30,267 $ - $ 365,773 Operating income (loss) $ 25,327 $ 33,672 $ 4,872 $ (8,190 ) $ 55,681 Interest expense - - - 5,555 5,555 Earnings (loss) before income taxes $ 25,327 $ 33,672 $ 4,872 $ (13,745 ) $ 50,126 |
Product Information | Product Lines (In thousands) Flavors & Fragrances Color Asia Pacific Consolidated Three months ended March 31, 2019: Flavors $ 104,276 $ - $ - $ 104,276 Natural Ingredients 51,219 - - 51,219 Fragrances 28,058 - - 28,058 Food & Beverage Colors - 80,364 - 80,364 Cosmetics - 38,283 - 38,283 Other Colors - 25,232 - 25,232 Asia Pacific - - 28,519 28,519 Intersegment Revenue (4,809 ) (3,629 ) - (8,438 ) Total revenue from external customers $ 178,744 $ 140,250 $ 28,519 $ 347,513 (In thousands) Flavors & Fragrances Color Asia Pacific Consolidated Three months ended March 31, 2018: Flavors $ 109,051 $ - $ - $ 109,051 Natural Ingredients 53,201 - - 53,201 Fragrances 26,094 - - 26,094 Food & Beverage Colors - 76,816 - 76,816 Cosmetics - 45,504 - 45,504 Other Colors - 24,840 - 24,840 Asia Pacific - - 30,267 30,267 Intersegment Revenue (5,864 ) (3,432 ) - (9,296 ) Total revenue from external customers $ 182,482 $ 143,728 $ 30,267 $ 356,477 |
Geographical Information | Geographic Markets (In thousands) Flavors & Fragrances Color Asia Pacific Consolidated Three months ended March 31, 2019: North America $ 112,747 $ 66,007 $ 25 $ 178,779 Europe 48,001 42,135 41 90,177 Asia Pacific 7,609 16,425 28,266 52,300 Other 10,387 15,683 187 26,257 Total revenue from external customers $ 178,744 $ 140,250 $ 28,519 $ 347,513 Three months ended March 31, 2018: North America $ 119,055 $ 63,582 $ - $ 182,637 Europe 45,427 43,631 6 89,064 Asia Pacific 7,022 16,910 30,011 53,943 Other 10,978 19,605 250 30,833 Total revenue from external customers $ 182,482 $ 143,728 $ 30,267 $ 356,477 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Retirement Plans [Abstract] | |
Annual Benefit Cost | The Company’s components of annual benefit cost for the defined benefit plans for the periods presented are as follows: Three Months Ended March 31, (In thousands) 2019 2018 Service cost $ 359 $ 368 Interest cost 320 289 Expected return on plan assets (231 ) (245 ) Recognized actuarial gain (39 ) (27 ) Total defined benefit expense $ 409 $ 385 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Maturities of Operating Lease Liabilities | As of March 31, 2019, maturities of operating lease liabilities for future annual periods are as follows: (in thousands) Year ending December 31, 2019 $ 6,537 2020 6,998 2021 3,715 2022 1,800 2023 1,044 Thereafter 2,330 Total lease payments 22,424 Less imputed interest (1,651 ) Present value of lease liabilities $ 20,773 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Accumulated Other Comprehensive Income [Abstract] | |
Changes in OCI | The following table summarizes the changes in OCI during the three-month periods ended March 31, 2019 and 2018: (In thousands) Cash Flow Hedges (a) Pension Items (a) Foreign Currency Items Total Balance as of December 31, 2017 $ (669 ) $ (309 ) $ (148,356 ) $ (149,334 ) Other comprehensive income before reclassifications 670 - 23,186 23,856 Amounts reclassified from OCI 38 (30 ) - 8 Balance as of March 31, 2018 $ 39 $ (339 ) $ (125,170 ) $ (125,470 ) (In thousands) Cash Flow Hedges (a) Pension Items (a) Foreign Currency Items Total Balance as of December 31, 2018 $ 147 $ 549 $ (166,251 ) $ (165,555 ) Other comprehensive income before reclassifications 597 - (1,164 ) (567 ) Amounts reclassified from OCI (112 ) (37 ) - (149 ) Balance as of March 31, 2019 $ 632 $ 512 $ (167,415 ) $ (166,271 ) (a) Cash Flow Hedges and Pension Items are net of tax. |
Accounting Policies (Details)
Accounting Policies (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |||
Right of use assets | $ 20,800 | ||
Lease liabilities | 20,773 | ||
Collected on sold receivables | $ 0 | $ 44,406 | |
ASU 2016-02 [Member] | |||
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |||
Right of use assets | $ 20,700 | ||
Lease liabilities | $ 20,700 | ||
ASU 2016-15 [Member] | Restatement Adjustment [Member] | |||
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |||
Collected on sold receivables | 35,400 | ||
Proceeds from life insurance | $ 1,600 |
Acquisitions (Details)
Acquisitions (Details) - USD ($) $ in Thousands | Jul. 10, 2018 | Mar. 09, 2018 | Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 |
Acquisition [Abstract] | |||||
Acquisition of new businesses | $ 0 | $ (11,000) | |||
Goodwill | $ 413,710 | $ 416,175 | |||
Globe Natural [Member] | |||||
Acquisition [Abstract] | |||||
Acquisition of new businesses | $ (10,800) | ||||
Net assets acquired | 1,400 | ||||
Goodwill | 7,400 | ||||
Globe Natural [Member] | Customer Relationships [Member] | |||||
Acquisition [Abstract] | |||||
Intangibles assets acquired | $ 2,000 | ||||
Mazza Innovation Limited [Member] | |||||
Acquisition [Abstract] | |||||
Acquisition of new businesses | $ (19,800) | ||||
Net assets acquired | 4,000 | ||||
Goodwill | 8,900 | ||||
Mazza Innovation Limited [Member] | Technological Know-how [Member] | |||||
Acquisition [Abstract] | |||||
Intangibles assets acquired | $ 6,900 |
Fair Value (Details)
Fair Value (Details) - Level 2 [Member] $ in Millions | Mar. 31, 2019USD ($) |
Carrying Value [Member] | |
Investments, Fair Value Disclosure [Abstract] | |
Long term debt | $ 689 |
Fair Value [Member] | |
Investments, Fair Value Disclosure [Abstract] | |
Long term debt | $ 702.7 |
Segment Information, Operating
Segment Information, Operating Results by Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Revenue [Abstract] | ||
Revenue | $ 347,513 | $ 356,477 |
Operating income (loss) | 49,420 | 55,681 |
Interest expense | 5,402 | 5,555 |
Earnings before income taxes | 44,018 | 50,126 |
Flavors & Fragrances [Member] | ||
Revenue [Abstract] | ||
Revenue | 178,744 | 182,482 |
Operating income (loss) | 23,125 | 25,327 |
Interest expense | 0 | 0 |
Earnings before income taxes | 23,125 | 25,327 |
Color [Member] | ||
Revenue [Abstract] | ||
Revenue | 140,250 | 143,728 |
Operating income (loss) | 30,199 | 33,672 |
Interest expense | 0 | 0 |
Earnings before income taxes | 30,199 | 33,672 |
Asia Pacific [Member] | ||
Revenue [Abstract] | ||
Revenue | 28,519 | 30,267 |
Operating income (loss) | 4,218 | 4,872 |
Interest expense | 0 | 0 |
Earnings before income taxes | 4,218 | 4,872 |
Reportable Segments [Member] | ||
Revenue [Abstract] | ||
Revenue | 355,951 | 365,773 |
Reportable Segments [Member] | Flavors & Fragrances [Member] | ||
Revenue [Abstract] | ||
Revenue | 183,553 | 188,346 |
Reportable Segments [Member] | Color [Member] | ||
Revenue [Abstract] | ||
Revenue | 143,879 | 147,160 |
Reportable Segments [Member] | Asia Pacific [Member] | ||
Revenue [Abstract] | ||
Revenue | 28,519 | 30,267 |
Intersegment Revenue [Member] | ||
Revenue [Abstract] | ||
Revenue | (8,438) | (9,296) |
Intersegment Revenue [Member] | Flavors & Fragrances [Member] | ||
Revenue [Abstract] | ||
Revenue | (4,809) | (5,864) |
Intersegment Revenue [Member] | Color [Member] | ||
Revenue [Abstract] | ||
Revenue | (3,629) | (3,432) |
Intersegment Revenue [Member] | Asia Pacific [Member] | ||
Revenue [Abstract] | ||
Revenue | 0 | 0 |
Corporate & Other [Member] | ||
Revenue [Abstract] | ||
Revenue | 0 | 0 |
Operating income (loss) | (8,122) | (8,190) |
Interest expense | 5,402 | 5,555 |
Earnings before income taxes | $ (13,524) | $ (13,745) |
Segment Information, Revenue fr
Segment Information, Revenue from External Customers by Product Line (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Revenue [Abstract] | ||
Revenue | $ 347,513 | $ 356,477 |
Flavors & Fragrances [Member] | ||
Revenue [Abstract] | ||
Revenue | 178,744 | 182,482 |
Flavors [Member] | ||
Revenue [Abstract] | ||
Revenue | 104,276 | 109,051 |
Natural Ingredients [Member] | ||
Revenue [Abstract] | ||
Revenue | 51,219 | 53,201 |
Fragrances [Member] | ||
Revenue [Abstract] | ||
Revenue | 28,058 | 26,094 |
Color [Member] | ||
Revenue [Abstract] | ||
Revenue | 140,250 | 143,728 |
Food & Beverage Colors [Member] | ||
Revenue [Abstract] | ||
Revenue | 80,364 | 76,816 |
Cosmetics [Member] | ||
Revenue [Abstract] | ||
Revenue | 38,283 | 45,504 |
Other Colors [Member] | ||
Revenue [Abstract] | ||
Revenue | 25,232 | 24,840 |
Asia Pacific [Member] | ||
Revenue [Abstract] | ||
Revenue | 28,519 | 30,267 |
Intersegment Revenue [Member] | ||
Revenue [Abstract] | ||
Revenue | (8,438) | (9,296) |
Intersegment Revenue [Member] | Flavors & Fragrances [Member] | ||
Revenue [Abstract] | ||
Revenue | (4,809) | (5,864) |
Intersegment Revenue [Member] | Color [Member] | ||
Revenue [Abstract] | ||
Revenue | (3,629) | (3,432) |
Intersegment Revenue [Member] | Asia Pacific [Member] | ||
Revenue [Abstract] | ||
Revenue | $ 0 | $ 0 |
Segment Information, Revenue _2
Segment Information, Revenue from External Customers by Geographic Markets (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Revenue [Abstract] | ||
Revenue | $ 347,513 | $ 356,477 |
North America [Member] | ||
Revenue [Abstract] | ||
Revenue | 178,779 | 182,637 |
Europe [Member] | ||
Revenue [Abstract] | ||
Revenue | 90,177 | 89,064 |
Asia Pacific [Member] | ||
Revenue [Abstract] | ||
Revenue | 52,300 | 53,943 |
Other [Member] | ||
Revenue [Abstract] | ||
Revenue | 26,257 | 30,833 |
Flavors & Fragrances [Member] | ||
Revenue [Abstract] | ||
Revenue | 178,744 | 182,482 |
Color [Member] | ||
Revenue [Abstract] | ||
Revenue | 140,250 | 143,728 |
Asia Pacific [Member] | ||
Revenue [Abstract] | ||
Revenue | 28,519 | 30,267 |
Reportable Geographical Components [Member] | Flavors & Fragrances [Member] | North America [Member] | ||
Revenue [Abstract] | ||
Revenue | 112,747 | 119,055 |
Reportable Geographical Components [Member] | Flavors & Fragrances [Member] | Europe [Member] | ||
Revenue [Abstract] | ||
Revenue | 48,001 | 45,427 |
Reportable Geographical Components [Member] | Flavors & Fragrances [Member] | Asia Pacific [Member] | ||
Revenue [Abstract] | ||
Revenue | 7,609 | 7,022 |
Reportable Geographical Components [Member] | Flavors & Fragrances [Member] | Other [Member] | ||
Revenue [Abstract] | ||
Revenue | 10,387 | 10,978 |
Reportable Geographical Components [Member] | Color [Member] | North America [Member] | ||
Revenue [Abstract] | ||
Revenue | 66,007 | 63,582 |
Reportable Geographical Components [Member] | Color [Member] | Europe [Member] | ||
Revenue [Abstract] | ||
Revenue | 42,135 | 43,631 |
Reportable Geographical Components [Member] | Color [Member] | Asia Pacific [Member] | ||
Revenue [Abstract] | ||
Revenue | 16,425 | 16,910 |
Reportable Geographical Components [Member] | Color [Member] | Other [Member] | ||
Revenue [Abstract] | ||
Revenue | 15,683 | 19,605 |
Reportable Geographical Components [Member] | Asia Pacific [Member] | North America [Member] | ||
Revenue [Abstract] | ||
Revenue | 25 | 0 |
Reportable Geographical Components [Member] | Asia Pacific [Member] | Europe [Member] | ||
Revenue [Abstract] | ||
Revenue | 41 | 6 |
Reportable Geographical Components [Member] | Asia Pacific [Member] | Asia Pacific [Member] | ||
Revenue [Abstract] | ||
Revenue | 28,266 | 30,011 |
Reportable Geographical Components [Member] | Asia Pacific [Member] | Other [Member] | ||
Revenue [Abstract] | ||
Revenue | $ 187 | $ 250 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Inventories [Abstract] | ||
Inventories, including finished and in-process products | $ 310.6 | $ 320.4 |
Raw materials and supplies | $ 157.7 | $ 170.4 |
Retirement Plans (Details)
Retirement Plans (Details) - Defined Benefit Plan [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||
Service cost | $ 359 | $ 368 |
Interest cost | 320 | 289 |
Expected return on plan assets | (231) | (245) |
Recognized actuarial gain | (39) | (27) |
Total defined benefit expense | $ 409 | $ 385 |
Leases (Details)
Leases (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Leases [Abstract] | |
Extended lease term | 5 years |
Operating lease expense | $ 3,000 |
Cash paid for operating leases | 2,500 |
Right-of-use assets in exchange for operating lease obligations | 2,400 |
Right of use assets | 20,800 |
Operating lease, other accrued expenses | 7,900 |
Operating lease, other liabilities | $ 12,900 |
Weighted average remaining operating lease term | 3 years 8 months 12 days |
Weighted average discount rate for operating leases | 3.80% |
Maturities of Operating Lease Liabilities [Abstract] | |
2019 | $ 6,537 |
2020 | 6,998 |
2021 | 3,715 |
2022 | 1,800 |
2023 | 1,044 |
Thereafter | 2,330 |
Total lease payments | 22,424 |
Less imputed interest | (1,651) |
Present value of lease liabilities | $ 20,773 |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activity (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Dec. 31, 2018 | |
Maximum [Member] | ||
Derivative instruments and hedging activity for the period [Abstract] | ||
Number of months for contracts to mature | 18 months | |
Forward Exchange Contracts [Member] | Cash Flow Hedges [Member] | ||
Derivative instruments and hedging activity for the period [Abstract] | ||
Derivative, fair value | $ 59.2 | $ 76 |
Foreign Currency Denominated Debt, Net Investment Hedging [Member] | ||
Derivative instruments and hedging activity for the period [Abstract] | ||
Carrying value of foreign denominated debt | 361.7 | $ 366.5 |
Impact of foreign exchange rates on debt instruments recorded in Other Comprehensive Income | $ 4.9 |
Income Taxes (Details)
Income Taxes (Details) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Income Taxes [Abstract] | ||
Effective income tax rates for continuing operations | 25.50% | 23.80% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | $ 859,947 | ||
Other comprehensive income before reclassifications | (567) | $ 23,856 | |
Amounts reclassified from OCI | (149) | 8 | |
Ending balance | 877,724 | ||
Accumulated Other Comprehensive (Loss) Income [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (165,555) | (149,334) | |
Ending balance | (166,271) | (125,470) | |
Cash Flow Hedges [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | [1] | 147 | (669) |
Other comprehensive income before reclassifications | [1] | 597 | 670 |
Amounts reclassified from OCI | [1] | (112) | 38 |
Ending balance | [1] | 632 | 39 |
Pension Items [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | [1] | 549 | (309) |
Other comprehensive income before reclassifications | [1] | 0 | 0 |
Amounts reclassified from OCI | [1] | (37) | (30) |
Ending balance | [1] | 512 | (339) |
Foreign Currency Items [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (166,251) | (148,356) | |
Other comprehensive income before reclassifications | (1,164) | 23,186 | |
Amounts reclassified from OCI | 0 | 0 | |
Ending balance | $ (167,415) | $ (125,170) | |
[1] | Cash Flow Hedges and Pension Items are net of tax. |
Accounts Receivable Securitiz_2
Accounts Receivable Securitization (Details) $ in Millions | Mar. 31, 2019USD ($) |
Accounts Receivable Securitization [Abstract] | |
Accounts receivable securitization program commitment amount | $ 70 |
Maximum borrowing capacity, secured loan | 70 |
Credit facility, borrowings outstanding | $ 70 |