Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2022 | Apr. 30, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2022 | |
Document Transition Report | false | |
Entity File Number | 000-03134 | |
Entity Registrant Name | Park-Ohio Holdings Corp | |
Entity Incorporation, State or Country Code | OH | |
Entity Tax Identification Number | 34-1867219 | |
Entity Address, Address Line One | 6065 Parkland Boulevard, | |
Entity Address, City or Town | Cleveland, | |
Entity Address, State or Province | OH | |
Entity Address, Postal Zip Code | 44124 | |
City Area Code | 440 | |
Local Phone Number | 947-2000 | |
Title of 12(b) Security | Common Stock, Par Value $1.00 Per Share | |
Trading Symbol | PKOH | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 12,578,951 | |
Entity Central Index Key | 0000076282 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --12-31 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Mar. 31, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 61.6 | $ 54.1 |
Accounts receivable, net | 299.5 | 255.3 |
Inventories, net | 401.5 | 382.9 |
Prepaid and other current assets | 86.3 | 83.2 |
Total current assets | 848.9 | 775.5 |
Property, plant and equipment, net | 228.2 | 229.1 |
Operating lease right-of-use assets | 64.1 | 63.4 |
Goodwill | 105.2 | 106 |
Intangible assets, net | 79.6 | 81.7 |
Other long-term assets | 105.3 | 104.3 |
Total assets | 1,431.3 | 1,360 |
Current liabilities: | ||
Trade accounts payable | 226.9 | 194 |
Current portion of long-term debt and short-term debt | 9.9 | 10.7 |
Current portion of operating lease liabilities | 12.8 | 12.8 |
Accrued expenses and other | 139.5 | 131.5 |
Total current liabilities | 389.1 | 349 |
Long-term liabilities, less current portion: | ||
Long-term debt | 619.2 | 591.5 |
Long-term operating lease liabilities | 51.4 | 50.7 |
Other long-term liabilities | 43.7 | 44 |
Total long-term liabilities | 714.3 | 686.2 |
Park-Ohio Holdings Corp. and Subsidiaries shareholders' equity | 317 | 314.1 |
Noncontrolling interests | 10.9 | 10.7 |
Total equity | 327.9 | 324.8 |
Total liabilities and shareholders' equity | $ 1,431.3 | $ 1,360 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Income Statement [Abstract] | ||
Net sales | $ 418.4 | $ 359.6 |
Cost of sales | 364.7 | 307.6 |
Gross profit | 53.7 | 52 |
Selling, general and administrative expenses | 45.8 | 39.7 |
Operating income | 7.9 | 12.3 |
Other components of pension income and other postretirement benefits expense, net | 2.8 | 2.4 |
Interest expense, net | (7.8) | (7.4) |
Income before income taxes | 2.9 | 7.3 |
Income tax benefit (expense) | 3.4 | (1.9) |
Net income | 6.3 | 5.4 |
Net (income) loss attributable to noncontrolling interests | (0.2) | 0.1 |
Net income attributable to Park-Ohio Holdings Corp. common shareholders | $ 6.1 | $ 5.5 |
Income per common share attributable to Park-Ohio Holdings Corp. common shareholders: | ||
Basic (in dollars per share) | $ 0.51 | $ 0.46 |
Diluted (in dollars per share) | $ 0.50 | $ 0.45 |
Weighted-average shares used to compute income per share: | ||
Basic (in shares) | 12 | 12 |
Diluted (in shares) | 12.2 | 12.3 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 6.3 | $ 5.4 |
Other comprehensive (loss) income, net of tax: | ||
Currency translation | (3.9) | (4.3) |
Foreign currency forward contracts | 0.7 | 0 |
Pension and other postretirement benefits | 0.1 | 0.2 |
Total other comprehensive loss | (3.1) | (4.1) |
Total comprehensive income, net of tax | 3.2 | 1.3 |
Comprehensive (income) loss attributable to noncontrolling interests | (0.2) | 0.1 |
Comprehensive income attributable to Park-Ohio Holdings Corp. common shareholders | $ 3 | $ 1.4 |
Condensed Consolidated Statem_3
Condensed Consolidated Statement of Shareholders' Equity (Unaudited) - USD ($) $ in Millions | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Loss | Noncontrolling Interests |
Beginning balance (in shares) at Dec. 31, 2020 | 16,148,791 | ||||||
Beginning balance at Dec. 31, 2020 | $ 357.9 | $ 16.1 | $ 135.5 | $ 290.5 | $ (79.8) | $ (18.1) | $ 13.7 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Other comprehensive income (loss) | 1.3 | 5.5 | (4.1) | (0.1) | |||
Stock-based compensation expense | 1.6 | 1.6 | |||||
Stock-based compensation activity (in shares) | (6,667) | ||||||
Dividends | (1.6) | (1.6) | |||||
Increase in Park-Ohio ownership interest | 0 | 1.1 | (1.1) | ||||
Payments of withholding taxes on share awards | (0.1) | (0.1) | |||||
Ending balance (in shares) at Mar. 31, 2021 | 16,142,124 | ||||||
Ending balance at Mar. 31, 2021 | 359.1 | $ 16.1 | 138.2 | 294.4 | (79.9) | (22.2) | 12.5 |
Beginning balance (in shares) at Dec. 31, 2021 | 16,339,722 | ||||||
Beginning balance at Dec. 31, 2021 | 324.8 | $ 16.3 | 142.9 | 259.4 | (85.3) | (19.2) | 10.7 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Other comprehensive income (loss) | 3.2 | 6.1 | (3.1) | 0.2 | |||
Stock-based compensation expense | 1.6 | 1.6 | |||||
Stock-based compensation activity (in shares) | (5,502) | ||||||
Dividends | (1.6) | (1.6) | |||||
Payments of withholding taxes on share awards | (0.1) | (0.1) | |||||
Ending balance (in shares) at Mar. 31, 2022 | 16,334,220 | ||||||
Ending balance at Mar. 31, 2022 | $ 327.9 | $ 16.3 | $ 144.5 | $ 263.9 | $ (85.4) | $ (22.3) | $ 10.9 |
Condensed Consolidated Statem_4
Condensed Consolidated Statement of Shareholders' Equity (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Statement of Stockholders' Equity [Abstract] | ||
Dividends per common share (in dollars per share) | $ 0.125 | $ 0.125 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
OPERATING ACTIVITIES | ||
Net income | $ 6.3 | $ 5.4 |
Adjustments to reconcile net income to net cash (used) provided by operating activities: | ||
Depreciation and amortization | 9.7 | 9.4 |
Stock-based compensation expense | 1.6 | 1.6 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (45) | (1.4) |
Inventories | (19.3) | (22.9) |
Prepaid and other current assets | (3.5) | 2.2 |
Accounts payable and accrued expenses | 41.9 | 17.1 |
Other | (1.8) | (1.5) |
Net cash (used) provided by operating activities | (10.1) | 9.9 |
INVESTING ACTIVITIES | ||
Purchases of property, plant and equipment | (7.1) | (6.6) |
Net cash used by investing activities | (7.1) | (6.6) |
FINANCING ACTIVITIES | ||
Proceeds from revolving credit facility, net | 29.2 | 5.7 |
Payments on other debt | (0.7) | (2.8) |
Proceeds from other debt | 0 | 1.8 |
Payments on finance lease facilities, net | (1.6) | (1.5) |
Dividends | (1.6) | (1.6) |
Payments of withholding taxes on share awards | (0.1) | (0.1) |
Net cash provided by financing activities | 25.2 | 1.5 |
Effect of exchange rate changes on cash | (0.5) | (0.9) |
Increase in cash and cash equivalents | 7.5 | 3.9 |
Cash and cash equivalents at beginning of period | 54.1 | 55 |
Cash and cash equivalents at end of period | 61.6 | 58.9 |
Interest paid | 1.7 | 1.1 |
Income taxes paid | $ 1.4 | $ 1.8 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The condensed consolidated financial statements include the accounts of Park-Ohio Holdings Corp. and its subsidiaries (collectively, “we,” “our” or the “Company”). All intercompany accounts and transactions have been eliminated in consolidation. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles in the United States (“U.S. GAAP”) for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three- month period ended March 31, 2022 are not necessarily indicative of the results that may be expected for the year ending December 31, 2022. The balance sheet at December 31, 2021 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. |
New Accounting Pronouncements
New Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements | New Accounting Pronouncements Recent Accounting Pronouncements Not Yet Adopted 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,” which was issued in response to concerns about structural risks of interbank offered rates, and, particularly, the risk of cessation of the London Interbank Offered Rate. The guidance is effective upon issuance and may be adopted on any date on or after March 12, 2020. However, the relief is temporary and generally cannot be applied to contract modifications that occur after December 31, 2022 or hedging relationships entered into or evaluated after that date. This standard is not expected to have a material impact once adopted. No other recently issued ASUs are expected to have a material impact on our results of operations, financial condition or liquidity. |
Revenue
Revenue | 3 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | RevenueWe disaggregate our revenue by product line and geographic region of our customer, as we believe these metrics best depict how the nature, amount, timing and uncertainty of our revenues and cash flows are affected by economic factors. See details in the tables below. Three Months Ended March 31, 2022 2021 (In millions) PRODUCT LINE Supply Technologies $ 146.2 $ 136.5 Engineered specialty fasteners and other products 22.6 21.2 Supply Technologies Segment 168.8 157.7 Fuel, rubber and plastic products 98.3 82.4 Aluminum products 60.3 43.6 Assembly Components Segment 158.6 126.0 Industrial equipment 64.3 55.4 Forged and machined products 26.7 20.5 Engineered Products Segment 91.0 75.9 Total revenues $ 418.4 $ 359.6 Supply Technologies Segment Assembly Components Segment Engineered Products Segment Total Revenues (In millions) Three Months Ended March 31, 2022 GEOGRAPHIC REGION United States $ 101.6 $ 98.2 $ 52.2 $ 252.0 Europe 31.9 4.3 16.1 52.3 Asia 14.9 5.2 12.7 32.8 Mexico 16.2 28.8 4.1 49.1 Canada 3.0 21.6 4.6 29.2 Other 1.2 0.5 1.3 3.0 Total $ 168.8 $ 158.6 $ 91.0 $ 418.4 Three Months Ended March 31, 2021 GEOGRAPHIC REGION United States $ 97.1 $ 87.6 $ 38.1 $ 222.8 Europe 28.9 3.8 13.4 46.1 Asia 11.1 6.8 13.2 31.1 Mexico 16.7 10.7 3.9 31.3 Canada 2.9 16.6 3.7 23.2 Other 1.0 0.5 3.6 5.1 Total $ 157.7 $ 126.0 $ 75.9 $ 359.6 For over time arrangements, contract liabilities primarily relate to advances or deposits received from the Company’s customers before revenue is recognized. These amounts, which totaled $56.6 million and $51.7 million at March 31, 2022 and December 31, 2021, respectively, are recorded in Accrued expenses and other in the Condensed Consolidated Balance Sheets. For over time arrangements, contract assets primarily relate to revenue recognized in advance of billings to customers under long-term contracts accounted for under percentage of completion. These amounts, which totaled $56.6 million and $55.0 million at March 31, 2022 and December 31, 2021, respectively, are recorded in Prepaid and other current assets in the Condensed Consolidated Balance Sheets. |
Segments
Segments | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Segments | Segments Our operating segments are defined as components of the enterprise for which separate financial information is available and evaluated on a regular basis by our chief operating decision maker to allocate resources and assess performance. For purposes of measuring business segment performance, the Company utilizes segment operating income, which is defined as revenues less expenses identifiable to the product lines within each segment. The Company does not allocate items that are non-operating; unusual in nature; or corporate costs, which include but are not limited to executive and share-based compensation and corporate office costs. Segment operating income reconciles to consolidated income before income taxes by deducting corporate costs; Other components of pension income and other postretirement benefits expense, net; and interest expense, net. Results by business segment were as follows: Three Months Ended March 31, 2022 2021 (In millions) Net sales: Supply Technologies $ 168.8 $ 157.7 Assembly Components 158.6 126.0 Engineered Products 91.0 75.9 $ 418.4 $ 359.6 Segment operating income (loss): Supply Technologies $ 12.0 $ 12.2 Assembly Components 2.0 6.4 Engineered Products 1.8 (1.3) Total segment operating income 15.8 17.3 Corporate costs (7.9) (5.0) Operating income 7.9 12.3 Other components of pension income and other postretirement benefits expense, net 2.8 2.4 Interest expense, net (7.8) (7.4) Income before income taxes $ 2.9 $ 7.3 |
Plant Closure and Consolidation
Plant Closure and Consolidation | 3 Months Ended |
Mar. 31, 2022 | |
Restructuring and Related Activities [Abstract] | |
Plant Closure and Consolidation | Plant Closure and Consolidation In the three months ended March 31, 2022, the Company recorded expenses totaling $2.0 million in its Assembly Components segment in connection with its plant closure and consolidation activities. Expenses of $1.8 million were included in cost of sales and $0.2 million were included in selling, general and administrative expenses in the Condensed Consolidated Statements of Operations. The Company expects to incur additional restructuring costs of approximately $1.0 million in this segment in the remainder of 2022. In the three months ended March 31, 2022, the Company recorded expenses totaling $0.6 million in its Engineered Products segment in connection with plant closure and consolidation activities. The expenses are included in selling, general and administrative expenses in the Condensed Consolidated Statements of Operations, which consisted of severance of $0.1 million and other restructuring activities of $0.5 million. The Company expects to incur additional costs of approximately $6.0 million related to the initiatives in this segment in the remainder of 2022. In the three months ended March 31, 2021, the Company recorded expenses totaling $0.6 million in its Assembly Components segment in connection with actions taken to close and consolidate its extrusion operations in Tennessee and its fuel operations in Michigan, and to complete other cost-reduction actions in this segment. The expenses, which were included in cost of sales in the Condensed Consolidated Statements of Operations, were comprised of severance of $0.2 million and other facility-related costs of $0.4 million. |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories, net consist of the following: March 31, 2022 December 31, 2021 (In millions) Raw materials and supplies $ 118.8 $ 114.2 Work-in-process 52.1 49.6 Finished goods 230.6 219.1 Inventories, net $ 401.5 $ 382.9 |
Accrued Warranty Costs
Accrued Warranty Costs | 3 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Accrued Warranty Costs | Accrued Warranty Costs The Company estimates warranty claims that may be incurred based on current and historical data of products sold. Actual warranty expense could differ from the estimates made by the Company based on product performance. The following table presents changes in the Company’s product warranty liability for the three months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 2021 (In millions) Beginning balance $ 7.2 $ 6.4 Claims paid (0.7) (0.3) Warranty expense 0.2 0.4 Ending balance $ 6.7 $ 6.5 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income TaxesThe Company’s tax provision for interim periods is determined using an estimate of its annual effective rate, adjusted for discrete items, if any, in each period.In the three months ended March 31, 2022, income tax benefit was $3.4 million on pre-tax income of $2.9 million. The benefit included a discrete tax benefit of $4.1 million related to a federal research and development credit. In the three months ended March 31, 2021, income tax expense was $1.9 million, representing an effective income tax rate of 26%. This rate is higher than the U.S. statutory rate of 21% primarily due to income subject to foreign tax at tax rates higher than the U.S. statutory rate and state taxes. |
Financing Arrangements
Financing Arrangements | 3 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Financing Arrangements | Financing Arrangements Debt consists of the following: Carrying Value at Maturity Date Interest Rate at March 31, 2022 December 31, 2021 (In millions) Senior Notes April 15, 2027 6.625 % $ 350.0 $ 350.0 Revolving credit facility November 26, 2024 1.43 % 250.1 221.1 Finance Leases Various Various 16.0 17.5 Other Various Various 16.6 17.5 Total debt 632.7 606.1 Less current portion of long-term debt and short-term debt (9.9) (10.7) Less unamortized debt issuance costs (3.6) (3.9) Total long-term debt, net $ 619.2 $ 591.5 Park-Ohio's Seventh Amended and Restated Credit Agreement (the “Credit Agreement”) provides for a revolving credit facility in the amount of $375.0 million, including a $40.0 million Canadian revolving subcommitment and a European revolving subcommitment in the amount of $30.0 million. Pursuant to the Credit Agreement, the Company has the option to increase the availability under the revolving credit facility by an aggregate incremental amount up to $100.0 million. The Credit Agreement matures on November 26, 2024. As of March 31, 2022, we had borrowing availability of $109.5 million under the credit agreement. We had outstanding bank guarantees and letters of credit under the Credit Agreement of approximately $43.6 million at March 31, 2022 and $39.7 million at December 31, 2021. In 2017, Park-Ohio completed the issuance, in a private placement, of $350.0 million aggregate principal amount of 6.625% Senior Notes due 2027 (the “Notes”). The Notes are unsecured senior obligations of Park-Ohio and are guaranteed on an unsecured senior basis by the 100% owned material domestic subsidiaries of Park-Ohio. In 2015, the Company entered into a finance lease agreement (the “Lease Agreement”). The Lease Agreement provides the Company up to $50.0 million for finance leases. Finance lease obligations of $16.0 million were borrowed under the Lease Agreement to acquire machinery and equipment as of March 31, 2022. In 2015, the Company, through its Southwest Steel Processing LLC subsidiary, entered into a financing agreement with the Arkansas Development Finance Authority which matures in September 2025. The financing agreement provides the Company the ability to borrow up to $11.0 million for expansion of its manufacturing facility in Arkansas. The Company had $5.3 million of borrowings outstanding under this agreement as of March 31, 2022, which is included in Other above. The following table represents fair value information of the Notes, classified as Level 1 using estimated quoted market prices. March 31, 2022 December 31, 2021 (In millions) Carrying amount $ 350.0 $ 350.0 Fair value $ 295.3 $ 337.6 |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation A summary of restricted share activity for the three months ended March 31, 2022 is as follows: 2022 Time-Based Performance-Based Number of Shares Weighted Average Number of Shares Weighted Average (In whole shares) (In whole shares) Outstanding - beginning of year 655,093 $ 24.62 50,000 $ 32.55 Granted — — — — Vested (9,667) 33.07 — — Canceled or expired (5,502) 27.24 — — Outstanding - end of period 639,924 $ 24.47 50,000 $ 32.55 Stock-based compensation is included in Selling, general and administrative expenses in the Condensed Consolidated Statements of Operations. Total stock-based compensation expense was $1.6 million in both the three months ended March 31, 2022 and 2021. As of March 31, 2022, there was $8.4 million of unrecognized compensation cost related to non-vested stock-based compensation, which cost is expected to be recognized over a weighted-average period of 1.7 years. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies The Company is subject to various pending and threatened legal proceedings arising in the ordinary course of business. The Company records a liability for loss contingencies in the consolidated financial statements when a loss is known or considered probable and the amount can be reasonably estimated. Our provisions are based on historical experience, current information and legal advice, and they may be adjusted in the future based on new developments. Estimating probable losses requires the analysis of multiple forecasted factors that often depend on judgments and potential actions by third parties. Although it is not possible to predict with certainty the ultimate outcome or cost of these matters, the Company believes they will not have a material adverse effect on our consolidated financial statements. Our subsidiaries are involved in a number of contractual and warranty-related disputes. We believe that appropriate liabilities for these contingencies have been recorded; however, actual results may differ materially from our estimates. In addition to the routine lawsuits and asserted claims noted above, we are also a co-defendant in 99 cases asserting claims on behalf of 161 plaintiffs alleging personal injury as a result of exposure to asbestos. In every asbestos case in which we are named as a party, the complaints are filed against multiple named defendants. Historically, we have been dismissed from asbestos cases. We intend to vigorously defend these cases and believe we will continue to be successful in being dismissed from such cases. While it is not possible to predict the ultimate outcome of asbestos-related lawsuits, claims and proceedings due to the unpredictable nature of personal injury litigation, and although our results of operations and cash flows for a particular period could be adversely affected by asbestos-related lawsuits, claims and proceedings, management believes that the ultimate resolution of these matters will not have a material adverse effect on our financial condition, liquidity or results of operations. |
Pension and Postretirement Bene
Pension and Postretirement Benefits | 3 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
Pension and Postretirement Benefits | Pension and Postretirement Benefits The components of net periodic benefit (income) expense costs recognized for the three months ended March 31, 2022 and 2021 were as follows: Pension Benefits Postretirement Benefits Three Months Ended March 31, Three Months Ended March 31, 2022 2021 2022 2021 (In millions) Service costs $ 1.1 $ 1.1 $ — $ — Interest costs 0.4 0.3 — — Expected return on plan assets (3.2) (3.1) (0.1) — Recognized net actuarial loss — 0.2 0.1 0.1 Net periodic benefit (income) expense $ (1.7) $ (1.5) $ — $ 0.1 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive LossThe components of and changes in accumulated other comprehensive loss for the three months ended March 31, 2022 and 2021 were as follows: Cumulative Translation Adjustment Cash Flow Hedges Pension and Postretirement Benefits Total Cumulative Translation Adjustment Cash Flow Hedges Pension and Postretirement Benefits Total (In millions) Three Months Ended March 31, 2022 Three Months Ended March 31, 2021 Beginning balance $ (18.3) $ — $ (0.9) $ (19.2) $ (8.3) $ — $ (9.8) $ (18.1) Currency translation (a) (3.9) — — (3.9) (4.3) — — (4.3) Foreign currency forward contracts — 0.7 — 0.7 — — — — Pension and OPEB activity, net of tax — — 0.1 0.1 — — 0.2 0.2 Ending balance $ (22.2) $ 0.7 $ (0.8) $ (22.3) $ (12.6) $ — $ (9.6) $ (22.2) (a) No income taxes were provided on currency translation as foreign earnings are considered permanently reinvested. |
Weighted-Average Number of Shar
Weighted-Average Number of Shares Used in Computing Earnings Per Share | 3 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Weighted-Average Number of Shares Used in Computing Earnings Per Share | Weighted-Average Number of Shares Used in Computing Earnings Per Share The following table sets forth the weighted-average number of shares used in the computation of earnings per share: Three Months Ended March 31, 2022 2021 (In millions) Weighted-average basic shares outstanding 12.0 12.0 Plus: Dilutive impact of employee stock awards 0.2 0.3 Weighted-average diluted shares outstanding 12.2 12.3 |
Subsequent Event
Subsequent Event | 3 Months Ended |
Mar. 31, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Event | Subsequent EventOn April 22, 2022, the Company's Board of Directors declared a quarterly dividend of $0.125 per common share. The dividend will be paid on May 20, 2022 to shareholders of record as of the close of business on May 6, 2022 and will result in a cash outlay of approximately $1.6 million. |
New Accounting Pronouncements (
New Accounting Pronouncements (Policies) | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | The condensed consolidated financial statements include the accounts of Park-Ohio Holdings Corp. and its subsidiaries (collectively, “we,” “our” or the “Company”). All intercompany accounts and transactions have been eliminated in consolidation. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles in the United States (“U.S. GAAP”) for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three- month period ended March 31, 2022 are not necessarily indicative of the results that may be expected for the year ending December 31, 2022. The balance sheet at December 31, 2021 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. |
Use of Estimates | The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Recent Accounting Pronouncements Not Yet Adopted | Recent Accounting Pronouncements Not Yet Adopted 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,” which was issued in response to concerns about structural risks of interbank offered rates, and, particularly, the risk of cessation of the London Interbank Offered Rate. The guidance is effective upon issuance and may be adopted on any date on or after March 12, 2020. However, the relief is temporary and generally cannot be applied to contract modifications that occur after December 31, 2022 or hedging relationships entered into or evaluated after that date. This standard is not expected to have a material impact once adopted. |
Segments | Our operating segments are defined as components of the enterprise for which separate financial information is available and evaluated on a regular basis by our chief operating decision maker to allocate resources and assess performance. For purposes of measuring business segment performance, the Company utilizes segment operating income, which is defined as revenues less expenses identifiable to the product lines within each segment. The Company does not allocate items that are non-operating; unusual in nature; or corporate costs, which include but are not limited to executive and share-based compensation and corporate office costs. Segment operating income reconciles to consolidated income before income taxes by deducting corporate costs; Other components of pension income and other postretirement benefits expense, net; and interest expense, net. |
Accrued Warranty Costs | The Company estimates warranty claims that may be incurred based on current and historical data of products sold. Actual warranty expense could differ from the estimates made by the Company based on product performance. |
Income Taxes | The Company’s tax provision for interim periods is determined using an estimate of its annual effective rate, adjusted for discrete items, if any, in each period. |
Commitments and Contingencies | The Company is subject to various pending and threatened legal proceedings arising in the ordinary course of business. The Company records a liability for loss contingencies in the consolidated financial statements when a loss is known or considered probable and the amount can be reasonably estimated. Our provisions are based on historical experience, current information and legal advice, and they may be adjusted in the future based on new developments. Estimating probable losses requires the analysis of multiple forecasted factors that often depend on judgments and potential actions by third parties. Although it is not possible to predict with certainty the ultimate outcome or cost of these matters, the Company believes they will not have a material adverse effect on our consolidated financial statements. |
Revenue (Tables)
Revenue (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of disaggregation of revenue | We disaggregate our revenue by product line and geographic region of our customer, as we believe these metrics best depict how the nature, amount, timing and uncertainty of our revenues and cash flows are affected by economic factors. See details in the tables below. Three Months Ended March 31, 2022 2021 (In millions) PRODUCT LINE Supply Technologies $ 146.2 $ 136.5 Engineered specialty fasteners and other products 22.6 21.2 Supply Technologies Segment 168.8 157.7 Fuel, rubber and plastic products 98.3 82.4 Aluminum products 60.3 43.6 Assembly Components Segment 158.6 126.0 Industrial equipment 64.3 55.4 Forged and machined products 26.7 20.5 Engineered Products Segment 91.0 75.9 Total revenues $ 418.4 $ 359.6 |
Schedule of revenue by geographic areas | Supply Technologies Segment Assembly Components Segment Engineered Products Segment Total Revenues (In millions) Three Months Ended March 31, 2022 GEOGRAPHIC REGION United States $ 101.6 $ 98.2 $ 52.2 $ 252.0 Europe 31.9 4.3 16.1 52.3 Asia 14.9 5.2 12.7 32.8 Mexico 16.2 28.8 4.1 49.1 Canada 3.0 21.6 4.6 29.2 Other 1.2 0.5 1.3 3.0 Total $ 168.8 $ 158.6 $ 91.0 $ 418.4 Three Months Ended March 31, 2021 GEOGRAPHIC REGION United States $ 97.1 $ 87.6 $ 38.1 $ 222.8 Europe 28.9 3.8 13.4 46.1 Asia 11.1 6.8 13.2 31.1 Mexico 16.7 10.7 3.9 31.3 Canada 2.9 16.6 3.7 23.2 Other 1.0 0.5 3.6 5.1 Total $ 157.7 $ 126.0 $ 75.9 $ 359.6 |
Segments (Tables)
Segments (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Schedule of results by business segment | Results by business segment were as follows: Three Months Ended March 31, 2022 2021 (In millions) Net sales: Supply Technologies $ 168.8 $ 157.7 Assembly Components 158.6 126.0 Engineered Products 91.0 75.9 $ 418.4 $ 359.6 Segment operating income (loss): Supply Technologies $ 12.0 $ 12.2 Assembly Components 2.0 6.4 Engineered Products 1.8 (1.3) Total segment operating income 15.8 17.3 Corporate costs (7.9) (5.0) Operating income 7.9 12.3 Other components of pension income and other postretirement benefits expense, net 2.8 2.4 Interest expense, net (7.8) (7.4) Income before income taxes $ 2.9 $ 7.3 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Schedule of inventories | Inventories, net consist of the following: March 31, 2022 December 31, 2021 (In millions) Raw materials and supplies $ 118.8 $ 114.2 Work-in-process 52.1 49.6 Finished goods 230.6 219.1 Inventories, net $ 401.5 $ 382.9 |
Accrued Warranty Costs (Tables)
Accrued Warranty Costs (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of changes in product warranty liability | The following table presents changes in the Company’s product warranty liability for the three months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 2021 (In millions) Beginning balance $ 7.2 $ 6.4 Claims paid (0.7) (0.3) Warranty expense 0.2 0.4 Ending balance $ 6.7 $ 6.5 |
Financing Arrangements (Tables)
Financing Arrangements (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of long-term debt | Debt consists of the following: Carrying Value at Maturity Date Interest Rate at March 31, 2022 December 31, 2021 (In millions) Senior Notes April 15, 2027 6.625 % $ 350.0 $ 350.0 Revolving credit facility November 26, 2024 1.43 % 250.1 221.1 Finance Leases Various Various 16.0 17.5 Other Various Various 16.6 17.5 Total debt 632.7 606.1 Less current portion of long-term debt and short-term debt (9.9) (10.7) Less unamortized debt issuance costs (3.6) (3.9) Total long-term debt, net $ 619.2 $ 591.5 |
Schedule of fair value of debt | The following table represents fair value information of the Notes, classified as Level 1 using estimated quoted market prices. March 31, 2022 December 31, 2021 (In millions) Carrying amount $ 350.0 $ 350.0 Fair value $ 295.3 $ 337.6 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of restricted share and performance share activity | A summary of restricted share activity for the three months ended March 31, 2022 is as follows: 2022 Time-Based Performance-Based Number of Shares Weighted Average Number of Shares Weighted Average (In whole shares) (In whole shares) Outstanding - beginning of year 655,093 $ 24.62 50,000 $ 32.55 Granted — — — — Vested (9,667) 33.07 — — Canceled or expired (5,502) 27.24 — — Outstanding - end of period 639,924 $ 24.47 50,000 $ 32.55 |
Pension and Postretirement Be_2
Pension and Postretirement Benefits (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
Schedule of net periodic benefit cost | The components of net periodic benefit (income) expense costs recognized for the three months ended March 31, 2022 and 2021 were as follows: Pension Benefits Postretirement Benefits Three Months Ended March 31, Three Months Ended March 31, 2022 2021 2022 2021 (In millions) Service costs $ 1.1 $ 1.1 $ — $ — Interest costs 0.4 0.3 — — Expected return on plan assets (3.2) (3.1) (0.1) — Recognized net actuarial loss — 0.2 0.1 0.1 Net periodic benefit (income) expense $ (1.7) $ (1.5) $ — $ 0.1 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Schedule of changes in accumulated comprehensive loss | The components of and changes in accumulated other comprehensive loss for the three months ended March 31, 2022 and 2021 were as follows: Cumulative Translation Adjustment Cash Flow Hedges Pension and Postretirement Benefits Total Cumulative Translation Adjustment Cash Flow Hedges Pension and Postretirement Benefits Total (In millions) Three Months Ended March 31, 2022 Three Months Ended March 31, 2021 Beginning balance $ (18.3) $ — $ (0.9) $ (19.2) $ (8.3) $ — $ (9.8) $ (18.1) Currency translation (a) (3.9) — — (3.9) (4.3) — — (4.3) Foreign currency forward contracts — 0.7 — 0.7 — — — — Pension and OPEB activity, net of tax — — 0.1 0.1 — — 0.2 0.2 Ending balance $ (22.2) $ 0.7 $ (0.8) $ (22.3) $ (12.6) $ — $ (9.6) $ (22.2) (a) No income taxes were provided on currency translation as foreign earnings are considered permanently reinvested. |
Weighted-Average Number of Sh_2
Weighted-Average Number of Shares Used in Computing Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of weighted average number of shares used in computing earnings per share | The following table sets forth the weighted-average number of shares used in the computation of earnings per share: Three Months Ended March 31, 2022 2021 (In millions) Weighted-average basic shares outstanding 12.0 12.0 Plus: Dilutive impact of employee stock awards 0.2 0.3 Weighted-average diluted shares outstanding 12.2 12.3 |
Revenue - Summary of Disaggrega
Revenue - Summary of Disaggregation of Revenue by Product Line (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | $ 418.4 | $ 359.6 |
Supply Technologies Segment | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 168.8 | 157.7 |
Supply Technologies Segment | Supply Technologies | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 146.2 | 136.5 |
Supply Technologies Segment | Engineered specialty fasteners and other products | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 22.6 | 21.2 |
Assembly Components | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 158.6 | 126 |
Assembly Components | Fuel, rubber and plastic products | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 98.3 | 82.4 |
Assembly Components | Aluminum products | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 60.3 | 43.6 |
Engineered Products | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 91 | 75.9 |
Engineered Products | Industrial equipment | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 64.3 | 55.4 |
Engineered Products | Forged and machined products | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | $ 26.7 | $ 20.5 |
Revenue - Summary of Disaggre_2
Revenue - Summary of Disaggregation of Revenue by Geographical Area (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | $ 418.4 | $ 359.6 |
United States | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 252 | 222.8 |
Europe | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 52.3 | 46.1 |
Asia | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 32.8 | 31.1 |
Mexico | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 49.1 | 31.3 |
Canada | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 29.2 | 23.2 |
Other | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 3 | 5.1 |
Supply Technologies Segment | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 168.8 | 157.7 |
Supply Technologies Segment | United States | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 101.6 | 97.1 |
Supply Technologies Segment | Europe | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 31.9 | 28.9 |
Supply Technologies Segment | Asia | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 14.9 | 11.1 |
Supply Technologies Segment | Mexico | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 16.2 | 16.7 |
Supply Technologies Segment | Canada | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 3 | 2.9 |
Supply Technologies Segment | Other | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 1.2 | 1 |
Assembly Components | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 158.6 | 126 |
Assembly Components | United States | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 98.2 | 87.6 |
Assembly Components | Europe | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 4.3 | 3.8 |
Assembly Components | Asia | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 5.2 | 6.8 |
Assembly Components | Mexico | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 28.8 | 10.7 |
Assembly Components | Canada | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 21.6 | 16.6 |
Assembly Components | Other | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 0.5 | 0.5 |
Engineered Products | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 91 | 75.9 |
Engineered Products | United States | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 52.2 | 38.1 |
Engineered Products | Europe | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 16.1 | 13.4 |
Engineered Products | Asia | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 12.7 | 13.2 |
Engineered Products | Mexico | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 4.1 | 3.9 |
Engineered Products | Canada | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | 4.6 | 3.7 |
Engineered Products | Other | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Total | $ 1.3 | $ 3.6 |
Revenue - Narrative (Details)
Revenue - Narrative (Details) - Transferred over Time - USD ($) $ in Millions | Mar. 31, 2022 | Dec. 31, 2021 |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Contract liabilities | $ 56.6 | $ 51.7 |
Contract assets | $ 56.6 | $ 55 |
Segments - Schedule of Segment
Segments - Schedule of Segment Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Net sales: | ||
Total | $ 418.4 | $ 359.6 |
Segment operating income (loss): | ||
Total segment operating income | 7.9 | 12.3 |
Other components of pension income and other postretirement benefits expense, net | 2.8 | 2.4 |
Interest expense, net | (7.8) | (7.4) |
Income before income taxes | 2.9 | 7.3 |
Operating Segments | ||
Segment operating income (loss): | ||
Total segment operating income | 15.8 | 17.3 |
Segment Reconciling Items | ||
Segment operating income (loss): | ||
Corporate costs | (7.9) | (5) |
Supply Technologies | ||
Net sales: | ||
Total | 168.8 | 157.7 |
Supply Technologies | Operating Segments | ||
Segment operating income (loss): | ||
Total segment operating income | 12 | 12.2 |
Assembly Components | ||
Net sales: | ||
Total | 158.6 | 126 |
Assembly Components | Operating Segments | ||
Segment operating income (loss): | ||
Total segment operating income | 2 | 6.4 |
Engineered Products | ||
Net sales: | ||
Total | 91 | 75.9 |
Engineered Products | Operating Segments | ||
Segment operating income (loss): | ||
Total segment operating income | $ 1.8 | $ (1.3) |
Plant Closure and Consolidati_2
Plant Closure and Consolidation (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Assembly Components | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | $ 2 | $ 0.6 |
Expected additional cost in the remainder of current year | 1 | |
Assembly Components | Facility-related costs | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | 1.8 | 0.4 |
Assembly Components | Severance and related employee costs | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | 0.2 | 0.2 |
Engineered Products | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | 0.6 | 0.7 |
Expected additional cost in the remainder of current year | 6 | |
Engineered Products | Facility-related costs | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | 0.5 | 0.4 |
Engineered Products | Severance and related employee costs | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | $ 0.1 | $ 0.3 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Mar. 31, 2022 | Dec. 31, 2021 |
Components of inventory | ||
Raw materials and supplies | $ 118.8 | $ 114.2 |
Work-in-process | 52.1 | 49.6 |
Finished goods | 230.6 | 219.1 |
Inventories, net | $ 401.5 | $ 382.9 |
Accrued Warranty Costs (Details
Accrued Warranty Costs (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Changes in product warranty liability [Roll Forward] | ||
Beginning balance | $ 7.2 | $ 6.4 |
Claims paid | (0.7) | (0.3) |
Warranty expense | 0.2 | 0.4 |
Ending balance | $ 6.7 | $ 6.5 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Income Tax Disclosure [Abstract] | ||
Income tax benefit (expense) | $ 3.4 | $ (1.9) |
Pre-tax income | 2.9 | $ 7.3 |
Discrete tax benefit related to a federal research and development credit | $ 4.1 | |
Effective tax rate | 26.00% |
Financing Arrangements - Schedu
Financing Arrangements - Schedule of Long-term Debt (Details) - USD ($) $ in Millions | Mar. 31, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Finance Leases | $ 16 | $ 17.5 |
Other | 16.6 | 17.5 |
Total debt | 632.7 | 606.1 |
Less current portion of long-term debt and short-term debt | (9.9) | (10.7) |
Less unamortized debt issuance costs | (3.6) | (3.9) |
Total long-term debt, net | $ 619.2 | 591.5 |
Revolving credit facility | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 1.43% | |
Long-term debt, gross | $ 250.1 | 221.1 |
Senior Notes | Senior Notes | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 6.625% | |
Long-term debt, gross | $ 350 | $ 350 |
Financing Arrangements - Narrat
Financing Arrangements - Narrative (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2017 | Mar. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2018 | Dec. 31, 2015 | |
Line of Credit Facility [Line Items] | |||||
Percentage ownership | 100.00% | ||||
Finance lease agreement, amount | $ 50,000,000 | ||||
Finance lease obligations | $ 16,000,000 | $ 17,500,000 | |||
Southwest Steel Processing LLC | Arkansas Development Finance Authority | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 11,000,000 | ||||
Borrowings outstanding | $ 5,300,000 | ||||
Senior Notes Due 2027 | Senior Notes | |||||
Line of Credit Facility [Line Items] | |||||
Aggregate principal amount | $ 350,000,000 | ||||
Stated interest rate | 6.625% | ||||
Revolving credit facility | |||||
Line of Credit Facility [Line Items] | |||||
Stated interest rate | 1.43% | ||||
Revolving credit facility | Seventh Amended and Restated Credit Agreement | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 375,000,000 | ||||
Increase in additional borrowing capacity | 100,000,000 | ||||
Line of credit facility, remaining borrowing capacity | $ 109,500,000 | ||||
Bank guarantees and letters of credit outstanding | $ 43,600,000 | $ 39,700,000 | |||
Revolving Credit Facility Canadian Sub-Limit | Seventh Amended and Restated Credit Agreement | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 40,000,000 | ||||
Revolving Credit Facility European Sub-Limit | Seventh Amended and Restated Credit Agreement | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 30,000,000 |
Financing Arrangements - Fair V
Financing Arrangements - Fair Value of Debt (Details) - Level 1 - USD ($) $ in Millions | Mar. 31, 2022 | Dec. 31, 2021 |
Carrying amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying amount | $ 350 | $ 350 |
Fair value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fair value | $ 295.3 | $ 337.6 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Restricted Share and Performance Share Activity (Details) | 3 Months Ended |
Mar. 31, 2022$ / sharesshares | |
Time-Based | |
Number of Shares | |
Outstanding - beginning of year (in shares) | shares | 655,093 |
Granted (in shares) | shares | 0 |
Vested (in shares) | shares | (9,667) |
Forfeited (in shares) | shares | (5,502) |
Outstanding - end of period (in shares) | shares | 639,924 |
Weighted Average Grant Date Fair Value | |
Outstanding - beginning of year (in dollars per share) | $ / shares | $ 24.62 |
Granted (in dollars per share) | $ / shares | 0 |
Vested (in dollars per share) | $ / shares | 33.07 |
Forfeited (in dollars per share) | $ / shares | 27.24 |
Outstanding - end of period (in dollars per share) | $ / shares | $ 24.47 |
Performance-Based | |
Number of Shares | |
Outstanding - beginning of year (in shares) | shares | 50,000 |
Granted (in shares) | shares | 0 |
Vested (in shares) | shares | 0 |
Forfeited (in shares) | shares | 0 |
Outstanding - end of period (in shares) | shares | 50,000 |
Weighted Average Grant Date Fair Value | |
Outstanding - beginning of year (in dollars per share) | $ / shares | $ 32.55 |
Granted (in dollars per share) | $ / shares | 0 |
Vested (in dollars per share) | $ / shares | 0 |
Forfeited (in dollars per share) | $ / shares | 0 |
Outstanding - end of period (in dollars per share) | $ / shares | $ 32.55 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | ||
Stock-based compensation expense | $ 1.6 | $ 1.6 |
Unrecognized compensation cost related to non-vested stock-based compensation | $ 8.4 | |
Unrecognized compensation cost related to non-vested stock-based compensation, period for recognition | 1 year 8 months 12 days |
Commitments and Contingencies (
Commitments and Contingencies (Details) | 3 Months Ended |
Mar. 31, 2022claimplaintiff | |
Commitments and Contingencies Disclosure [Abstract] | |
Number of pending cases | claim | 99 |
Number of plaintiffs | plaintiff | 161 |
Pension and Postretirement Be_3
Pension and Postretirement Benefits (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Pension Benefits | ||
Components of net periodic benefit cost | ||
Service costs | $ 1.1 | $ 1.1 |
Interest costs | 0.4 | 0.3 |
Expected return on plan assets | (3.2) | (3.1) |
Recognized net actuarial loss | 0 | 0.2 |
Net periodic benefit (income) expense | (1.7) | (1.5) |
Postretirement Benefits | ||
Components of net periodic benefit cost | ||
Service costs | 0 | 0 |
Interest costs | 0 | 0 |
Expected return on plan assets | (0.1) | 0 |
Recognized net actuarial loss | 0.1 | 0.1 |
Net periodic benefit (income) expense | $ 0 | $ 0.1 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Increase (Decrease) in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Beginning balance | $ 324,800,000 | $ 357,900,000 |
Currency translation | (3,900,000) | (4,300,000) |
Foreign currency forward contracts | 700,000 | 0 |
Pension and OPEB activity, net of tax | 100,000 | 200,000 |
Ending balance | 327,900,000 | 359,100,000 |
Income taxes provided on currency translation as foreign earnings permanently reinvested | 0 | 0 |
Cumulative Translation Adjustment | ||
Increase (Decrease) in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Beginning balance | (18,300,000) | (8,300,000) |
Ending balance | (22,200,000) | (12,600,000) |
Cash Flow Hedges | ||
Increase (Decrease) in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Beginning balance | 0 | 0 |
Ending balance | 700,000 | 0 |
Pension and Postretirement Benefits | ||
Increase (Decrease) in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Beginning balance | (900,000) | (9,800,000) |
Ending balance | (800,000) | (9,600,000) |
Accumulated Other Comprehensive Loss | ||
Increase (Decrease) in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Beginning balance | (19,200,000) | (18,100,000) |
Ending balance | $ (22,300,000) | $ (22,200,000) |
Weighted-Average Number of Sh_3
Weighted-Average Number of Shares Used in Computing Earnings Per Share (Details) - shares shares in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Earnings Per Share [Abstract] | ||
Weighted average basic shares outstanding (in shares) | 12 | 12 |
Plus: Dilutive impact of employee stock awards (in shares) | 0.2 | 0.3 |
Weighted average diluted shares outstanding (in shares) | 12.2 | 12.3 |
Antidilutive securities excluded from computation of diluted EPS (in shares) | 0.2 | 0 |
Subsequent Event (Details)
Subsequent Event (Details) - Subsequent Event $ / shares in Units, $ in Millions | Apr. 22, 2022USD ($)$ / shares |
Subsequent Event [Line Items] | |
Quarterly dividend declared, per common share (in dollars per share) | $ / shares | $ 0.125 |
Cash outlay of dividend | $ | $ 1.6 |