Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2024 | Jul. 19, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2024 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | PLPC | |
Entity Registrant Name | Preformed Line Products Company | |
Entity Central Index Key | 0000080035 | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell company | false | |
Entity Common Stock, Shares Outstanding | 4,913,647 | |
Entity File Number | 0-31164 | |
Entity Tax Identification Number | 34-0676895 | |
Entity Address, Address Line One | 660 Beta Drive | |
Entity Address, City or Town | Mayfield Village | |
Entity Address, State or Province | OH | |
Entity Address, Postal Zip Code | 44143 | |
City Area Code | 440 | |
Local Phone Number | 461‑5200 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Title of 12(b) Security | Common Shares, $2 par value per share | |
Security Exchange Name | NASDAQ | |
Entity Incorporation, State or Country Code | OH | |
Entity Interactive Data Current | Yes |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
ASSETS | ||
Cash, cash equivalents and restricted cash | $ 47,424 | $ 53,607 |
Accounts receivable, net | 101,460 | 106,892 |
Inventories, net | 141,812 | 148,814 |
Prepaid expenses | 7,394 | 8,246 |
Other current assets | 6,983 | 7,256 |
TOTAL CURRENT ASSETS | 305,073 | 324,815 |
Property, plant and equipment, net | 200,441 | 207,892 |
Operating lease, right-of-use assets | 10,594 | 11,671 |
Goodwill | 27,901 | 29,497 |
Other intangible assets, net | 11,059 | 12,981 |
Deferred income taxes | 7,721 | 7,109 |
Other assets | 9,798 | 9,186 |
TOTAL ASSETS | 572,587 | 603,151 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Trade accounts payable | 42,945 | 37,788 |
Notes payable to banks | 6,938 | 6,968 |
Operating lease liabilities, current | 1,563 | 1,671 |
Current portion of long-term debt | 2,812 | 6,486 |
Accrued compensation and other benefits | 24,398 | 28,018 |
Accrued expenses and other liabilities | 22,574 | 27,414 |
Dividends payable | 1,224 | 1,300 |
Income taxes payable | 1,530 | 1,672 |
TOTAL CURRENT LIABILITIES | 103,984 | 111,317 |
Long-term debt, less current portion | 28,820 | 48,796 |
Operating lease liabilities, non-current | 7,011 | 7,892 |
Deferred income taxes | 2,207 | 3,536 |
Other noncurrent liabilities | 14,347 | 15,454 |
Shareholders' equity: | ||
Common shares - $2 par value per share, 15,000,000 shares authorized, 4,913,496 and 4,908,413 issued and outstanding, at June 30, 2024 and December 31, 2023 | 13,711 | 13,607 |
Common shares issued to rabbi trust, 238,787 and 243,118 shares at June 30, 2024 and December 31, 2023, respectively | (10,233) | (10,183) |
Deferred compensation liability | 10,233 | 10,183 |
Paid-in capital | 62,361 | 60,958 |
Retained earnings | 537,079 | 520,154 |
Treasury shares, at cost, 1,941,690 and 1,894,419 shares at June 30, 2024 and December 31, 2023, respectively | (124,269) | (118,249) |
Accumulated other comprehensive loss | (72,664) | (60,306) |
TOTAL PREFORMED LINE PRODUCTS COMPANY SHAREHOLDERS' EQUITY | 416,218 | 416,164 |
Noncontrolling interest | 0 | (8) |
TOTAL SHAREHOLDERS' EQUITY | 416,218 | 416,156 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 572,587 | $ 603,151 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 2 | $ 2 |
Common stock, shares authorized | 15,000,000 | 15,000,000 |
Common stock, shares issued | 4,913,496 | 4,908,413 |
Common stock, shares outstanding | 4,913,496 | 4,908,413 |
Common stock, shares issued to rabbi trust | 238,787 | 243,118 |
Treasury stock shares | 1,941,690 | 1,894,419 |
Statements of Consolidated Inco
Statements of Consolidated Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Income Statement [Abstract] | ||||
Net sales | $ 138,720 | $ 181,813 | $ 279,625 | $ 363,637 |
Cost of products sold | 94,447 | 115,486 | 191,220 | 231,026 |
GROSS PROFIT | 44,273 | 66,327 | 88,405 | 132,611 |
Costs and expenses | ||||
Selling | 11,928 | 13,013 | 23,828 | 25,401 |
General and administrative | 15,250 | 18,220 | 31,858 | 36,830 |
Research and engineering | 5,358 | 5,760 | 10,789 | 10,953 |
Other operating expense (income), net | 445 | 1,186 | (921) | 2,298 |
Total costs and expenses | 32,981 | 38,179 | 65,554 | 75,482 |
OPERATING INCOME | 11,292 | 28,148 | 22,851 | 57,129 |
Other income (expense) | ||||
Interest income | 346 | 419 | 1,318 | 723 |
Interest expense | (568) | (1,134) | (1,276) | (2,199) |
Other income, net | 91 | 108 | 126 | 147 |
Total other income (expense) | (131) | (607) | 168 | (1,329) |
INCOME BEFORE INCOME TAXES | 11,161 | 27,541 | 23,019 | 55,800 |
Income tax expense | 1,794 | 7,077 | 4,049 | 13,917 |
NET INCOME | 9,367 | 20,464 | 18,970 | 41,883 |
Net income attributable to noncontrolling interests | (1) | 8 | (8) | (13) |
NET INCOME ATTRIBUTABLE TO PREFORMED LINE PRODUCTS COMPANY SHAREHOLDERS | $ 9,366 | $ 20,472 | $ 18,962 | $ 41,870 |
AVERAGE NUMBER OF SHARES OF COMMON STOCK OUTSTANDING: | ||||
Basic | 4,915 | 4,944 | 4,915 | 4,940 |
Diluted | 4,964 | 5,024 | 4,955 | 5,013 |
EARNINGS PER SHARE OF COMMON STOCK ATTRIBUTABLE TO PREFORMED LINE PRODUCTS COMPANY SHAREHOLDERS: | ||||
Basic | $ 1.91 | $ 4.14 | $ 3.86 | $ 8.48 |
Diluted | $ 1.89 | $ 4.08 | $ 3.83 | $ 8.35 |
Statements of Consolidated Comp
Statements of Consolidated Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | ||||
Net income | $ 9,367 | $ 20,464 | $ 18,970 | $ 41,883 |
Other comprehensive (loss) income, net of tax: | ||||
Foreign currency translation adjustment | (5,971) | 2,301 | (12,536) | 6,223 |
Recognized net actuarial gain | 89 | 89 | 178 | 178 |
Net current period other comprehensive income (loss) | (5,882) | 2,390 | (12,358) | 6,401 |
Comprehensive income attributable to noncontrolling interests | (1) | 8 | (8) | (13) |
COMPREHENSIVE INCOME ATTRIBUTABLE TO PREFORMED LINE PRODUCTS COMPANY SHAREHOLDERS | $ 3,484 | $ 22,862 | $ 6,604 | $ 48,271 |
Statements of Consolidated Cash
Statements of Consolidated Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
OPERATING ACTIVITIES | ||
Net income | $ 18,970 | $ 41,883 |
Adjustments to reconcile net income to net cash provided by (used in) operations: | ||
Depreciation and amortization | 10,660 | 8,964 |
Deferred income taxes | (1,913) | (2,011) |
Share-based compensation expense | 1,317 | 2,791 |
(Gain) loss on sale of property and equipment | (1,852) | 44 |
Other, net | 467 | 4,096 |
Changes in operating assets and liabilities | 6,398 | (9,917) |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 34,047 | 45,850 |
INVESTING ACTIVITIES | ||
Capital expenditures | (7,646) | (17,177) |
Proceeds from the sale of property and equipment | 3,365 | 129 |
Acquisition of businesses, net of cash | 0 | (12,089) |
NET CASH USED IN INVESTING ACTIVITIES | (4,281) | (29,137) |
FINANCING ACTIVITIES | ||
Proceeds (payments) of notes payable to banks | 163 | (4,243) |
Proceeds from long-term debt | 53,099 | 104,183 |
Payments of long-term debt | (76,219) | (100,283) |
Dividends paid | (2,114) | (2,143) |
Proceeds from issuance of common shares | 61 | 664 |
Purchase of common shares for treasury | (113) | (116) |
Purchase of common shares for treasury from related parties | (5,908) | (9,724) |
Other | (2,473) | 0 |
NET CASH USED IN FINANCING ACTIVITIES | (33,504) | (11,662) |
Effects of exchange rate changes on cash, cash equivalents and restricted cash | (2,445) | 870 |
Net decrease in cash, cash equivalents and restricted cash | (6,183) | 5,921 |
Cash, cash equivalents and restricted cash at beginning of year | 53,607 | 37,239 |
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD | $ 47,424 | $ 43,160 |
Statements of Consolidated Shar
Statements of Consolidated Shareholders' Equity - USD ($) $ in Thousands | Total | Common Shares [Member] | Common Shares Issued to Rabbi Trust [Member] | Deferred Compensation Liability [Member] | Paid In Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Cumulative Translation Adjustment [Member] | Unrecognized Pension Benefit Cost [Member] | Total Preformed Line Products, Company Equity [Member] | Noncontrolling Interests [Member] |
Beginning Balance at Dec. 31, 2022 | $ 358,624 | $ 13,351 | $ (10,261) | $ 10,261 | $ 53,646 | $ 460,930 | $ (99,303) | $ (65,495) | $ (4,492) | $ 358,637 | $ (13) |
Net income | 21,419 | 21,398 | 21,398 | 21 | |||||||
Foreign currency translation adjustment | 3,922 | 3,922 | 3,922 | ||||||||
Pension adjustment, net of tax | 89 | 89 | 89 | ||||||||
Total comprehensive income | 25,430 | 25,409 | 21 | ||||||||
Share-based compensation | 1,066 | 1,066 | 1,066 | ||||||||
Purchase of common shares | (3,740) | (3,740) | (3,740) | ||||||||
Issuance of common shares | 384 | 140 | 244 | 384 | |||||||
Common shares distributed from rabbi trust of net | 185 | (185) | |||||||||
Cash dividends declared | (1,050) | (1,050) | (1,050) | ||||||||
Ending Balance at Mar. 31, 2023 | 380,714 | 13,491 | (10,076) | 10,076 | 54,956 | 481,278 | (103,043) | (61,573) | (4,403) | 380,706 | 8 |
Beginning Balance at Dec. 31, 2022 | 358,624 | 13,351 | (10,261) | 10,261 | 53,646 | 460,930 | (99,303) | (65,495) | (4,492) | 358,637 | (13) |
Net income | 41,883 | ||||||||||
Foreign currency translation adjustment | 6,223 | ||||||||||
Ending Balance at Jun. 30, 2023 | 398,449 | 13,509 | (10,039) | 10,039 | 56,943 | 500,726 | (109,143) | (59,272) | (4,314) | 398,449 | 0 |
Beginning Balance at Mar. 31, 2023 | 380,714 | 13,491 | (10,076) | 10,076 | 54,956 | 481,278 | (103,043) | (61,573) | (4,403) | 380,706 | 8 |
Net income | 20,464 | 20,472 | 20,472 | (8) | |||||||
Foreign currency translation adjustment | 2,301 | 2,301 | 2,301 | ||||||||
Pension adjustment, net of tax | 89 | 89 | 89 | ||||||||
Total comprehensive income | 22,854 | 22,862 | (8) | ||||||||
Share-based compensation | 1,725 | 1,725 | 1,725 | ||||||||
Purchase of common shares | (6,100) | (6,100) | (6,100) | ||||||||
Issuance of common shares | 280 | 18 | 262 | 280 | |||||||
Common shares distributed from rabbi trust of net | 37 | (37) | |||||||||
Cash dividends declared | (1,024) | (1,024) | (1,024) | ||||||||
Ending Balance at Jun. 30, 2023 | 398,449 | 13,509 | (10,039) | 10,039 | 56,943 | 500,726 | (109,143) | (59,272) | (4,314) | 398,449 | 0 |
Beginning Balance at Dec. 31, 2023 | 416,156 | 13,607 | (10,183) | 10,183 | 60,958 | 520,154 | (118,249) | (55,828) | (4,478) | 416,164 | (8) |
Net income | 9,603 | 9,596 | 9,596 | 7 | |||||||
Foreign currency translation adjustment | (6,565) | (6,565) | (6,565) | ||||||||
Pension adjustment, net of tax | 89 | 89 | 89 | ||||||||
Total comprehensive income | 3,127 | 3,120 | 7 | ||||||||
Share-based compensation | 383 | 383 | 383 | ||||||||
Purchase of common shares | (5,452) | (5,452) | (5,452) | ||||||||
Issuance of common shares | 171 | 104 | 67 | 171 | |||||||
Common shares distributed from rabbi trust of net | (31) | 31 | |||||||||
Cash dividends declared | (1,017) | (1,017) | (1,017) | ||||||||
Ending Balance at Mar. 31, 2024 | 413,368 | 13,711 | (10,214) | 10,214 | 61,408 | 528,733 | (123,701) | (62,393) | (4,389) | 413,369 | (1) |
Beginning Balance at Dec. 31, 2023 | 416,156 | 13,607 | (10,183) | 10,183 | 60,958 | 520,154 | (118,249) | (55,828) | (4,478) | 416,164 | (8) |
Net income | 18,970 | ||||||||||
Foreign currency translation adjustment | (12,536) | ||||||||||
Ending Balance at Jun. 30, 2024 | 416,218 | 13,711 | (10,233) | 10,233 | 62,361 | 537,079 | (124,269) | (68,364) | (4,300) | 416,218 | |
Beginning Balance at Mar. 31, 2024 | 413,368 | 13,711 | (10,214) | 10,214 | 61,408 | 528,733 | (123,701) | (62,393) | (4,389) | 413,369 | (1) |
Net income | 9,367 | 9,366 | 9,366 | 1 | |||||||
Foreign currency translation adjustment | (5,971) | (5,971) | (5,971) | ||||||||
Pension adjustment, net of tax | 89 | ||||||||||
Total comprehensive income | 3,485 | 3,484 | $ 1 | ||||||||
Share-based compensation | 934 | 934 | 934 | ||||||||
Purchase of common shares | (568) | (568) | (568) | ||||||||
Issuance of common shares | 19 | 19 | 19 | ||||||||
Common shares distributed from rabbi trust of net | (19) | 19 | |||||||||
Cash dividends declared | (1,020) | (1,020) | (1,020) | ||||||||
Ending Balance at Jun. 30, 2024 | $ 416,218 | $ 13,711 | $ (10,233) | $ 10,233 | $ 62,361 | $ 537,079 | $ (124,269) | $ (68,364) | $ (4,300) | $ 416,218 |
Statements of Consolidated Sh_2
Statements of Consolidated Shareholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | |||
Jun. 30, 2024 | Mar. 31, 2024 | Jun. 30, 2023 | Mar. 31, 2023 | |
Common Shares [Member] | ||||
Issuance of common shares | 146 | 52,354 | 9,655 | 72,477 |
Common Shares Issued to Rabbi Trust [Member] | ||||
Common shares distributed from rabbi trust | 146 | 4,477 | 502 | 3,541 |
Deferred Compensation Liability [Member] | ||||
Common shares distributed from rabbi trust | 146 | 4,477 | 502 | 3,541 |
Paid In Capital [Member] | ||||
Issuance of common shares | 146 | 52,354 | 9,655 | 72,477 |
Retained Earnings [Member] | ||||
Cash dividends declared per share | $ 0.2 | $ 0.2 | $ 0.2 | $ 0.2 |
Treasury Stock [Member] | ||||
Purchase of common shares | 4,540 | 42,731 | 40,078 | 41,573 |
Significant Accounting Policies
Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Note 1 – Significant Accounting Policies The accompanying unaudited consolidated financial statements of Preformed Line Products Company and subsidiaries (the “Company” or “PLPC”) have been prepared in accordance with United States ("U.S.") generally accepted accounting principles ("GAAP") 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 the information and footnotes required by GAAP for complete financial statements. This Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes included in our Form 10-K for the year ended December 31, 2023 filed on March 8, 2024 with the Securities and Exchange Commission. The interim period results are not necessarily indicative of the results to be expected for the full year. Management has evaluated subsequent events through the date this Form 10-Q was filed with the Securities and Exchange Commission. The preparation of these consolidated financial statements requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and the accompanying notes. Actual results could differ from these estimates. In the opinion of management, these consolidated financial statements contain all estimates and adjustments, consisting of normal recurring accruals, required to fairly present the financial position, results of operations, and cash flows for the interim periods. Operating results for the three and six months ended June 30, 2024 are not necessarily indicative of the results to be expected for the full-year ending December 31, 2024. Noncontrolling interests a re presented in the Company’s consolidated financial statements as if parent company investors (controlling interests) and other minority investors (noncontrolling interests) in partially-owned subsidiaries have similar economic interests in a single entity. As a result, investments in noncontrolling interests are reported as equity in the Company’s consolidated financial statements. Additionally, the Company’s consolidated financial statements include 100 % of a controlled subsidiary’s earnings, rather than only its share. Transactions between the parent company and noncontrolling interests are reported in equity as transactions between stockholders, provided that these transactions do not create a change in control. Certain prior year amounts have been reclassified to conform to the current year presentation. Recently Adopted or Issued Accounting Pronouncements In November 2023, the FASB issued Accounting Standards Update ("ASU") No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.” This ASU enhances reportable segment disclosures on both an annual and interim basis primarily in regards to the disclosure of significant segment expenses that are regularly provided to the chief operating decision maker (CODM) and included within the reported measure(s) of segment profit or loss. In addition, the ASU requires disclosure, by segment, of other items included in the reported measure(s) of segment profit or loss, including qualitative information describing the composition, nature and type of each item. The ASU also expands disclosure requirements related to the CODM, including how the reported measure(s) of segment profit or loss are used to assess segment performance and allocate resources, the method used to allocate overhead for significant segment expenses and others. Lastly, all current required annual segment reporting disclosures under Topic 280 are now effective for interim periods. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is evaluating the impact of adopting this ASU. In December 2023, the FASB issued Accounting Standards Update No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” This ASU enhances income tax disclosures by providing information to better assess how an entity's operations, related tax risks, tax planning and operational opportunities affect its tax rate and prospects for future cash flows. This ASU requires additional disclosures to the annual effective tax rate reconciliation including specific categories and further disaggregated reconciling items that meet the quantitative threshold. Additionally, the ASU requires disclosures relating to income tax expense and payments made to federal, state, local and foreign jurisdictions. This ASU is effective for fiscal years and interim periods beginning after December 15, 2024. The Company is evaluating the impact of adopting this ASU. |
Revenue
Revenue | 6 Months Ended |
Jun. 30, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Note 2 – Revenue Revenue Recognition Sales are recognized when obligations under the terms of the contract are satisfied and control of promised goods or services have transferred to our customers. Control is transferred when the customer has the ability to direct the use of and obtain benefits from the goods or services and is primarily based on shipping terms. Sales are measured as the amount of consideration the Company expects to receive in exchange for transferring products. Disaggregated Revenue The Company’s revenues by segment and product type are as follows: Three Months Ended June 30, 2024 Product Type PLP-USA The Americas EMEA Asia-Pacific Consolidated Energy 63 % 80 % 71 % 79 % 71 % Communications 30 % 18 % 24 % 4 % 22 % Special Industries 7 % 2 % 5 % 17 % 7 % Total 100 % 100 % 100 % 100 % 100 % Three Months Ended June 30, 2023 Product Type PLP-USA The Americas EMEA Asia-Pacific Consolidated Energy 60 % 70 % 46 % 72 % 60 % Communications 36 % 28 % 51 % 3 % 33 % Special Industries 4 % 2 % 3 % 25 % 7 % Total 100 % 100 % 100 % 100 % 100 % Six Months Ended June 30, 2024 Product Type PLP-USA The Americas EMEA Asia-Pacific Consolidated Energy 66 % 78 % 71 % 78 % 71 % Communications 28 % 21 % 24 % 4 % 22 % Special Industries 6 % 1 % 5 % 18 % 7 % Total 100 % 100 % 100 % 100 % 100 % Six Months Ended June 30, 2023 Product Type PLP-USA The Americas EMEA Asia-Pacific Consolidated Energy 59 % 69 % 40 % 71 % 58 % Communications 37 % 29 % 57 % 3 % 35 % Special Industries 4 % 2 % 3 % 26 % 7 % Total 100 % 100 % 100 % 100 % 100 % Credit Losses for Receivables The Company maintains an allowance for credit losses for estimated losses resulting from the inability of its customers to make required payments. The Company uses a current expected credit loss model in order to immediately recognize an estimate of credit losses that are expected to occur over the life of the financial instruments, mainly trade receivables. Additionally, the allowance is based upon identified delinquent accounts, customer payment patterns and other analyses of historical data trends. Receivable balances are written off against an allowance for credit losses after a final determination has been made. The change in the allowance for credit losses includes expense and net write-offs, which are identified in the following table: Six Months Ended June 30, 2024 2023 Allowance for credit losses, beginning of period $ 8,260 $ 5,021 (Reductions) additions charged to costs and expenses ( 1,409 ) 1,132 Write-offs ( 199 ) ( 21 ) Foreign exchange and other ( 329 ) 80 Allowance for credit losses, end of period $ 6,323 $ 6,212 |
Inventories, Net
Inventories, Net | 6 Months Ended |
Jun. 30, 2024 | |
Inventory Disclosure [Abstract] | |
Inventories, Net | Note 3 – Inventories, Net Inventories, net Inventory is carried at lower of cost or net realizable value. The components of inventory are as follows: June 30, 2024 December 31, 2023 Raw materials $ 90,472 $ 98,708 Work-in-process 14,111 14,397 Finished products 48,196 46,250 Inventories, net of excess and obsolete inventory reserve 152,779 159,355 Excess of current cost over LIFO cost ( 10,967 ) ( 10,541 ) Inventories at LIFO cost $ 141,812 $ 148,814 Costs for inventories of certain material, mainly in the U.S., are determined using the Last-In First-Out ("LIFO") method and totaled approximately $ 53.9 million at June 30, 2024 and $ 60.1 million at December 31, 2023. An actual valuation of inventories under the LIFO method can be made only at the end of the year based on the inventory levels and costs at that time. Accordingly, interim LIFO calculations are based on management’s estimates of expected year-end inventory levels and costs. Because these estimates are subject to change and may be different than the actual inventory levels and costs at the end of the year, interim results are subject to the final year-end LIFO inventory valuation. During the three-month periods ended June 30, 2024 and 202 3, the net change in LIFO inventories resulted in expense of $ 0.3 million and $ 0.6 million, respectively, to Cost of products sold. During the six-month periods ended June 30, 2024 and 2023, the net change in LIFO inventories resulted in expense of $ 0.4 million and of $ 1.2 million, respectively, to Cost of products sold. Th e Company’s reserves for slow moving and obsolete inventory were $ 18.3 million at June 30, 2024 and $ 17.6 million at December 31, 2023. |
Property and Equipment, Net
Property and Equipment, Net | 6 Months Ended |
Jun. 30, 2024 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, Net | Note 4 – Property and Equipment, Net Major classes of property, plant and equipment are stated at cost and were as follows: June 30, 2024 December 31, 2023 Land and improvements $ 20,535 $ 21,374 Buildings and improvements 125,991 129,369 Machinery, equipment and aircraft 245,344 238,868 Construction in progress 16,511 22,619 Property, plant and equipment, gross 408,381 412,230 Less accumulated depreciation ( 207,940 ) ( 204,338 ) Property, plant and equipment, net $ 200,441 $ 207,892 |
Contingent Liabilities
Contingent Liabilities | 6 Months Ended |
Jun. 30, 2024 | |
Contingent Liabilities [Abstract] | |
Contingent Liabilities | Note 5 – Contingent Liabilities The Company can be party to a variety of pending legal proceedings and claims arising in the normal course of business, including, but not limited to, litigation relating to employment, workers’ compensation, product liability, environmental and intellectual property. The Company has liability insurance to cover many of these claims. Although the outcomes of these matters are not predictable with certainty, the Company records a liability when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. In the event the Company determines that a loss is not probable, but is reasonably possible, and the likelihood to develop what the Company believes to be a reasonable range of potential loss exists, the Company will include disclosure related to such matters. To the extent that there is a reasonable possibility the losses could exceed amounts already accrued, the Company will adjust the accrual in the period in which the determination is made, disclose an estimate of the additional loss or range of loss and if the amount of such adjustment cannot be reasonably estimated, disclose that an estimate cannot be made. In November 2016, the Company and its subsidiaries Helix Uniformed Ltd. (“Helix”) and Preformed Line Products (Canada) Limited (“PLPC Canada”), were each named, jointly and severally, with each of SNC-Lavalin ATP, Inc. (“SNC ATP”), HD Supply Canada Inc., by its trade names HD Supply Power Solutions and HD Supply Utilities (“HD Supply”), and Anixter Power Solutions Canada Inc. (the corporate successor to HD Supply, “Anixter”) and, together with the Company, PLPC Canada, Helix, SNC ATP and HD Supply (the “Defendants”), in a complaint filed by Altalink, L.P. (the “Plaintiff”) in the Court of Queen’s Bench of Alberta in Alberta, Canada in November 2016 (the “Complaint”). The Complaint stated that the Plaintiff engaged SNC ATP to design, engineer, procure and construct numerous power distribution and transmission facilities in Alberta (the “Projects”) and that through SNC ATP and HD Supply (now Anixter), spacer dampers manufactured by Helix were procured and installed in the Projects. The Complaint alleged that the spacer dampers have and may continue to become loose, open and detach from the conductors, resulting in damage and potential injury and a failure to perform the intended function of providing spacing and damping to the Projects. The Plaintiff was seeking an estimated $ 56.0 million Canadian dollars in damages jointly and severally from the Defendants, representing the costs of monitoring and replacing the spacer dampers and remediating property damage, due to alleged defects in the design and construction of, and supply of materials for, the Projects by SNC ATP and HD Supply/Anixter and in the design of the spacer dampers by Helix. On September 26, 2023, the Defendants and the Plaintiff entered into a settlement agreement which dismissed the action against all Defendants with prejudice. Net of insurance, the total settlement amount paid by the Company in the fourth quarter of 2023 was $ 4.3 million Canadian dollars ($ 3.2 million US dollars). The settlement reflects the Company’s desire to eliminate the burden, expense, distraction and further uncertainties of litigation, and the settlement does not constitute an admission of liability, wrongdoing or fault by the Company and its subsidiaries . The Company is not a party to any pending legal proceedings that the Company believes would, individually or in the aggregate, have a material adverse effect on its financial condition, results of operations or cash flow. As of June 30, 2024 and December 31, 2023, there were zero reserves for known global legal matters. |
Pension Plans
Pension Plans | 6 Months Ended |
Jun. 30, 2024 | |
Retirement Benefits [Abstract] | |
Pension Plans | Note 6 – Pension Plans The Company uses a December 31 measurement date for the Preformed Line Products Company Employees’ Retirement Plan (the “U.S. Plan”). Net periodic pension expense for the U.S. Plan for the three and six month periods ended June 30, 2024 and 2023, respectively, follows: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Interest cost 387 392 $ 775 $ 785 Expected return on plan assets ( 485 ) ( 501 ) ( 971 ) ( 1,001 ) Recognized net actuarial loss 117 117 234 233 Net periodic pension expense $ 19 $ 8 $ 38 $ 17 There were no contributions to the U.S. Plan during the six months ended June 30, 2024 and 2023. The Company is evaluating whether to make additional contributions to the U.S. Plan during 2024. In August 2023, the Board of Directors of the Company approved a resolution to terminate the U.S. Plan and certain administrative actions have been undertaken to proceed with the termination. Components of pension expense are included in Other income, net in the Consolidated Statements of Income. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income ("AOCI") | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income ("AOCI") | Note 7 – Accumulated Other Comprehensive Income (“AOCI”) The following tables set forth the total changes in AOCI by component, net of tax: Three Months Ended June 30, 2024 Three Months Ended June 30, 2023 Cumulative Cumulative Unrecognized Translation Unrecognized Translation Benefit Cost Adjustment Total Benefit Cost Adjustment Total Balance at April 1 $ ( 4,389 ) $ ( 62,393 ) $ ( 66,782 ) $ ( 4,403 ) $ ( 61,573 ) $ ( 65,976 ) Other comprehensive income before reclassifications: Foreign currency translation adjustment — ( 5,971 ) ( 5,971 ) — 2,301 2,301 Amounts reclassified from AOCI: Amortization of defined benefit pension actuarial gain (a) 89 — 89 89 — 89 Net current period other comprehensive income (loss) 89 ( 5,971 ) ( 5,882 ) 89 2,301 2,390 Balance at June 30 $ ( 4,300 ) $ ( 68,364 ) $ ( 72,664 ) $ ( 4,314 ) $ ( 59,272 ) $ ( 63,586 ) Six Months Ended June 30, 2024 Six Months Ended June 30, 2023 Cumulative Cumulative Unrecognized Translation Unrecognized Translation Benefit Cost Adjustment Total Benefit Cost Adjustment Total Balance at January 1 $ ( 4,478 ) $ ( 55,828 ) $ ( 60,306 ) $ ( 4,492 ) $ ( 65,495 ) $ ( 69,987 ) Other comprehensive income before reclassifications: Foreign currency translation adjustment — ( 12,536 ) ( 12,536 ) — 6,223 6,223 Amounts reclassified from AOCI: Amortization of defined benefit pension actuarial gain (a) 178 — 178 178 — 178 Net current period other comprehensive income (loss) 178 ( 12,536 ) ( 12,358 ) 178 6,223 6,401 Balance at June 30 $ ( 4,300 ) $ ( 68,364 ) $ ( 72,664 ) $ ( 4,314 ) $ ( 59,272 ) $ ( 63,586 ) (a) This AOCI component is included in the computation of net periodic pension expense (income) as noted in Note 6 – Pension Plans . |
Debt and Credit Arrangements
Debt and Credit Arrangements | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
Debt and Credit Arrangements | Note 8 – Debt and Credit Arrangements The Company maintains a credit facility (the "Facility") with a capacity of $ 90.0 million that expires March 2, 2026 . The interest rate is defined as the Secured Overnight Financing Rate (“SOFR”) plus 1.125 % unless the Company’s funded debt to Earnings before Interest, Taxes and Depreciation ratio exceeds 2.25 to 1, at which point the SOFR spread becomes 1.500 %. At June 30, 2024, the Company had utilized $ 16.4 million with $ 73.6 million available on the Facility. There wer e no long-term outstanding letters of credit on the Facility as of June 30, 2024. Our bank debt to equity percentage was 9.2 %. The Facility contains, among other provisions, requirements for maintaining levels of net worth and profitability. At June 30, 2024, the Company was in compliance with these covenants. On January 19, 2021, the Company received funding for a term loan from PNC Equipment Finance, LLC in the principal amount of $ 20.5 million for the full amount of the purchase price for a new corporate aircraft. The term of the loan is 120 months at a fixed interest rate of 2.744 %. The loan is payable in 119 equal monthly installments , which commenced on March 1, 2021 with a final payment of any outstanding principal and accrued interest due and payable on the final monthly payment date. Of the $ 13.7 million outstanding on this debt facility at June 30, 2024, $ 2.1 million was classified as current. The loan is secured by the aircraft. The Company has other borrowing facilities at certain of its foreign subsidiaries, which consist of overdraft lines, working capital credit lines, and facilities for the issuance of letters of credit and short-term borrowing needs. At June 30, 2024, and December 31, 2 023, $ 8.5 million and $ 13.3 million were outstanding, of which $ 7.7 million and $ 11.4 million were classified as current, respectively. These facilities support commitments made in the ordinary course of business. The Company's Asia-Pacific segment had $ 0.1 million and $ 0.2 million in restricted cash used to secure bank guarantees at June 30, 2024 and December 31, 2023, respectively. The restricted cash is shown on the Company’s Consolidated Balance Sheets in Cash, cash equivalents and restricted cash. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 9 – Income Taxes For the three-month period ended June 30, 2024 and 2023, the Company’s effective tax rate was 16 % and 26 %, respectively. The lower effective tax rate for the three months ended June 30, 2024 compared to the three months ended June 30, 2023 wa s primarily due to the favorable impact from the mix of earned income in certain foreign jurisdictions as well as discrete benefits recorded as a result of amending prior year federal tax returns. For the six-month period ended June 30, 2024 and 2023, the Company’s effective tax rate was 18 % and 25 %, respectively. The lower effective tax rate for the six months ended June 30, 2024 compared to the six months ended June 30, 2023 was primarily due to the favorable impact from the mix of earnings in certain foreign jurisdictions, discrete benefits recorded as a result of amending prior year federal tax returns and an increase in excess tax benefits on share-based compensation in relation to overall lower pre-tax book income. The Company provides valuation allowances against deferred tax assets when it is more likely than not that some portion or all of its deferred tax assets will not be realized. During the period ended June 30, 2024, the Company did no t record any additional valuation allowances in various jurisdictions on its deferred tax assets. For the six-month periods ending June 30, 2024 and 2023, the Company did no t record any new uncertain tax positions. |
Computation of Earnings Per Sha
Computation of Earnings Per Share | 6 Months Ended |
Jun. 30, 2024 | |
Earnings Per Share [Abstract] | |
Computation of Earnings Per Share | Note 10 – Computation of Earnings Per Share Basic earnings per share were computed by dividing net income by the weighted-average number of common shares outstanding for each respective period. Diluted earnings per share were calculated by dividing net income by the weighted-average of all potentially dilutive common shares that were outstanding during the periods presented. The calculation of basic and diluted earnings per share for the three and six months ended June 30, was as follows: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Numerator Net income $ 9,366 $ 20,472 $ 18,962 $ 41,870 Denominator Determination of shares (in thousands) Weighted-average common shares outstanding 4,915 4,944 4,915 4,940 Dilutive effect – share-based awards 49 80 40 73 Diluted weighted-average common shares outstanding 4,964 5,024 4,955 5,013 Earnings per common share Basic $ 1.91 $ 4.14 $ 3.86 $ 8.48 Diluted $ 1.89 $ 4.08 $ 3.83 $ 8.35 For the three months ended June 30, 2024 and 2023, there were 5,570 and zero share-based awards, respectively, excluded from the calculation of diluted earnings per share as the effect would have been anti-dilutive . For the six months ended June 30, 2024 and 2023, there were zero share-based awards excluded from the calculation of diluted earnings per share. |
Goodwill and Other Intangibles
Goodwill and Other Intangibles | 6 Months Ended |
Jun. 30, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangibles | Note 11 – Goodwill and Other Intangibles The Company’s finite and indefinite-lived intangible assets consist of the following: June 30, 2024 December 31, 2023 Gross Carrying Accumulated Gross Carrying Accumulated Amount Amortization Amount Amortization Finite-lived intangible assets Patents $ 4,806 $ ( 4,806 ) $ 4,806 $ ( 4,806 ) Land use rights 649 ( 120 ) 1,109 ( 307 ) Trademark 1,948 ( 1,690 ) 1,988 ( 1,682 ) Technology 6,844 ( 3,851 ) 7,104 ( 3,738 ) Customer relationships 18,256 ( 10,977 ) 19,240 ( 10,733 ) $ 32,503 $ ( 21,444 ) $ 34,247 $ ( 21,266 ) Indefinite-lived intangible assets Goodwill $ 27,901 $ 29,497 The Company’s measurement date for its annual impairment test for goodwill is October 1st of each year. The Company performs additional interim impairment assessments as circumstances warrant. There were no indicators of impairment noted for the period ending June 30, 2024. The Company may use both quantitative and qualitative approaches when testing goodwill for impairment. For selected reporting units where the qualitative approach is utilized, a qualitative evaluation of events and circumstances impacting the reporting unit is performed to determine if it is more likely than not that the fair value of the reporting unit exceeds its carrying amount. If that determination is made, no further evaluation is necessary. Otherwise, the Company performs a quantitative impairment test on the reporting unit. For the quantitative approach, the Company uses a combination of the income approach, which uses a discounted cash flow methodology, and the market approach, which uses comparable market multiples in computing fair value by reporting unit. The Company then compares the fair value of the reporting unit with its carrying value to assess if goodwill has been impaired. The fair value estimates are subjective and sensitive to significant assumptions, such as revenue growth rates, operating margins, the weighted average cost of capital, and estimated market multiples, of which are affected by expectations of future market or economic conditions. The Company believes that the methodologies, significant assumptions, and weightings used are reasonable and result in appropriate fair values of the reporting units. The Company’s only intangible asset with an indefinite life is goodwill. The Company’s goodwill is not deductible for tax purposes. Changes in the carrying amount of goodwill by reporting unit are shown in the following table: PLP-USA The Americas EMEA Asia-Pacific Total Balance at January 1, 2024 $ 3,078 $ 10,582 $ 15,837 $ — $ 29,497 Currency translation — ( 959 ) ( 637 ) — ( 1,596 ) Balance at June 30, 2024 $ 3,078 $ 9,623 $ 15,200 $ — $ 27,901 |
Fair Value of Financial Assets
Fair Value of Financial Assets and Liabilities | 6 Months Ended |
Jun. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Assets and Liabilities | Note 12 – Fair Value of Financial Assets and Liabilities Fair value is measured based on an exit price, representing the amount that would be received to sell an asset or paid to satisfy a liability in an orderly transaction between market participants. The Company measures and records certain assets and liabilities at fair value. A fair value hierarchy is used for those assets and liabilities measured at fair value that distinguishes between assumptions based on market data (observable inputs), and the Company’s assumptions (unobservable inputs). The hierarchy consists of the following three levels: (Level 1 Inputs) quoted market prices in active markets for identical assets or liabilities; (Level 2 Inputs) observable market-based inputs or unobservable inputs that are corroborated by market data; and (Level 3 Inputs) unobservable inputs that are not corroborated by market data. The following table summarizes the Company’s assets and liabilities, recorded and measured at fair value, in the Consolidated Balance Sheets as of June 30, 2024 and December 31, 2023: Description Balance as of Quoted Prices in Active Markets for Identical Assets or Liabilities Significant Other Observable Inputs Significant Unobservable Inputs Assets: Foreign currency forward contracts $ 158 $ — $ 158 $ — Total assets $ 158 $ — $ 158 $ — Liabilities: Foreign currency forward contracts $ 6 $ — $ 6 $ — Supplemental profit sharing plan 9,248 — 9,248 — Total liabilities $ 9,254 $ — $ 9,254 $ — Description Balance as of December 31, 2023 Quoted Prices in Active Markets for Identical Assets or Liabilities Significant Other Observable Inputs Significant Unobservable Inputs Assets: Foreign currency forward contracts $ 158 $ — $ 158 $ — Total assets $ 158 $ — $ 158 $ — Liabilities: Foreign currency forward contracts $ — $ — $ — $ — Supplemental profit sharing plan 8,222 — 8,222 — Total liabilities $ 8,222 $ — $ 8,222 $ — The Company operates internationally and enters into intercompany transactions denominated in foreign currencies. Consequently, the Company is subject to market risk arising from exchange rate movements between the dates foreign currency transactions occur and the dates they are settled. The Company currently uses foreign currency forward contracts to reduce the risk related to some of these transactions. These contracts usually have maturities of 90 days or less and generally require an exchange of foreign currencies for U.S. dollars at maturity at rates stated in the contracts. These contracts are not designated as hedging instruments under U.S. GAAP. Accordingly, the changes in the fair value of the foreign currency forward contracts are recognized in each accounting period in Other operating expense, net on the Consolidated Statements of Income together with the transaction gain or loss from the related balance sheet position. For the three and six months ended June 30, 2024, the Company recognized net losses o f zero and $ 0.2 million, respectively, on foreign currency forward contracts. For the three and six months ended June 30, 2023, the Company recognized net losses of $ 0.5 million and $ 0.4 million, respectively, on foreign currency forward contracts. The Company has a non-q ualified supplemental profit sharing plan for its executives (the "Supplemental Profit Sharing Plan"). The liability for the unfunded Supplemental Profit Sharing Plan was $ 9.2 million at June 30, 2024 and $ 8.2 million at December 31, 2023. These amounts are recorded within Other noncurrent liabilities on the Company’s Consolidated Balance Sheets. The Supplemental Profit Sharing Plan allows participants the ability to hypothetically inve st their proportionate award into various investment options, which primarily includes mutual funds. The Company credits earnings, gains and losses to the participants’ deferred compensation account balances based on the investments selected by the participants. The Company measures the fair value of the Supplemental Profit Sharing Plan liability using the market values of the participants’ underlying investment accounts. The carrying value of the Company’s current financial instruments, which include cash, cash equivalents and restricted cash, accounts receivable, accounts payable and short-term debt, approximates fair value because of the short-term maturity of these instruments. At June 30, 2024 and December 31, 2023, the fair value of the Company’s long-term debt was estimated using discounted cash flows analyses, based on the Company’s current incremental borrowing rates for similar types of borrowing arrangements that are considered to be Level 2 inputs. Based on the analysis performed, the fair value and the carrying value of the Company’s long-term debt are as follows: June 30, 2024 December 31, 2023 Fair Value Carrying Value Fair Value Carrying Value Long-term debt and related current maturities $ 28,241 $ 31,632 $ 51,786 $ 55,282 |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2024 | |
Segment Reporting [Abstract] | |
Segment Information | Note 13 – Segment Information Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated by the CODM, or decision making group, in deciding how to allocate resources to an individual segment and in assessing performance. The following tables present a summary of the Company’s reportable operating segments for the three and six months ended June 30, 2024 and 2023. Financial results for the PLP-USA segment include the elimination of all segments’ intercompany profit in inventory. Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Net sales PLP-USA $ 59,900 $ 96,977 $ 130,637 $ 194,155 The Americas 21,815 21,494 40,173 44,061 EMEA 32,039 37,306 60,693 76,340 Asia-Pacific 24,966 26,036 48,122 49,081 Total net sales $ 138,720 $ 181,813 $ 279,625 $ 363,637 Intersegment sales PLP-USA $ 2,812 $ 9,013 $ 5,158 $ 20,975 The Americas 1,947 4,296 4,414 8,509 EMEA 1,424 1,423 2,798 2,956 Asia-Pacific 3,501 6,094 7,265 13,103 Total intersegment sales $ 9,684 $ 20,826 $ 19,635 $ 45,543 Gross profit PLP-USA $ 20,743 $ 41,234 $ 45,439 $ 83,341 The Americas 6,712 8,198 11,678 16,185 EMEA 9,364 9,518 17,682 18,765 Asia-Pacific 7,454 7,377 13,606 14,320 Total gross profit $ 44,273 $ 66,327 $ 88,405 $ 132,611 Net income attributable to Preformed Line Products Company shareholders PLP-USA $ 3,345 $ 14,887 $ 8,661 $ 31,683 The Americas 1,796 2,750 2,693 4,639 EMEA 2,975 1,876 4,555 3,537 Asia-Pacific 1,250 959 3,053 2,011 Total net income attributable to Preformed Line Products Company shareholders $ 9,366 $ 20,472 $ 18,962 $ 41,870 |
Acquisitions of Businesses
Acquisitions of Businesses | 6 Months Ended |
Jun. 30, 2024 | |
Business Combination, Description [Abstract] | |
Acquisitions of Businesses | Note 14 – Acquisitions of Businesses Acquisition of Pilot Plastics On February 1, 2023, the Company acquired substantially all of the assets of Pilot Plastics, headquartered in Akron, Ohio. Pilot Plastics is an injection molding manufacturer and the acquisition expanded the Company's injection molding capabilities and further enhanced the Company's domestic manufacturing footprint. The purchase price was approximatel y $ 13.8 million, net of cash as of the closing date. The purchase price is subject to a holdback of approximately $ 1.7 million. To fund the Pilot Plastics acquisition, the Company borrowed on the Facility. The acquisition of Pilot Plastics is accounted for using the acquisition method of accounting, which requires the assets acquired and liabilities assumed to be recognized at their respective fair values on the acquisition date. The process of estimating the fair values of certain tangible assets and assumed liabilities requires the use of judgment in determining the appropriate assumptions and estimates. During the measurement period, opening balance sheet adjustments were made to finalize the fair value estimates based on the final valuations received, which are summarized in the table below. Final Allocation Accounts receivable $ 970 Inventory 585 Property, plant and equipment and other assets 13,628 Accounts payable ( 1,299 ) Other current liabilities ( 71 ) Total identifiable net assets 13,813 Total consideration, net of cash received $ 13,813 Due to the consideration transferred equaling the fair value of the assets acquired, no residual goodwill was recognized. All measurement period adjustments were completed within a year from the acquisition date, and such adjustments did not have a material impact on the Company's results of operations and financial position. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Policies [Abstract] | |
Recently Adopted Accounting Pronouncements | In November 2023, the FASB issued Accounting Standards Update ("ASU") No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.” This ASU enhances reportable segment disclosures on both an annual and interim basis primarily in regards to the disclosure of significant segment expenses that are regularly provided to the chief operating decision maker (CODM) and included within the reported measure(s) of segment profit or loss. In addition, the ASU requires disclosure, by segment, of other items included in the reported measure(s) of segment profit or loss, including qualitative information describing the composition, nature and type of each item. The ASU also expands disclosure requirements related to the CODM, including how the reported measure(s) of segment profit or loss are used to assess segment performance and allocate resources, the method used to allocate overhead for significant segment expenses and others. Lastly, all current required annual segment reporting disclosures under Topic 280 are now effective for interim periods. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is evaluating the impact of adopting this ASU. In December 2023, the FASB issued Accounting Standards Update No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” This ASU enhances income tax disclosures by providing information to better assess how an entity's operations, related tax risks, tax planning and operational opportunities affect its tax rate and prospects for future cash flows. This ASU requires additional disclosures to the annual effective tax rate reconciliation including specific categories and further disaggregated reconciling items that meet the quantitative threshold. Additionally, the ASU requires disclosures relating to income tax expense and payments made to federal, state, local and foreign jurisdictions. This ASU is effective for fiscal years and interim periods beginning after December 15, 2024. The Company is evaluating the impact of adopting this ASU. |
Revenue (Tables)
Revenue (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenues by Segment and Product Type | The Company’s revenues by segment and product type are as follows: Three Months Ended June 30, 2024 Product Type PLP-USA The Americas EMEA Asia-Pacific Consolidated Energy 63 % 80 % 71 % 79 % 71 % Communications 30 % 18 % 24 % 4 % 22 % Special Industries 7 % 2 % 5 % 17 % 7 % Total 100 % 100 % 100 % 100 % 100 % Three Months Ended June 30, 2023 Product Type PLP-USA The Americas EMEA Asia-Pacific Consolidated Energy 60 % 70 % 46 % 72 % 60 % Communications 36 % 28 % 51 % 3 % 33 % Special Industries 4 % 2 % 3 % 25 % 7 % Total 100 % 100 % 100 % 100 % 100 % Six Months Ended June 30, 2024 Product Type PLP-USA The Americas EMEA Asia-Pacific Consolidated Energy 66 % 78 % 71 % 78 % 71 % Communications 28 % 21 % 24 % 4 % 22 % Special Industries 6 % 1 % 5 % 18 % 7 % Total 100 % 100 % 100 % 100 % 100 % Six Months Ended June 30, 2023 Product Type PLP-USA The Americas EMEA Asia-Pacific Consolidated Energy 59 % 69 % 40 % 71 % 58 % Communications 37 % 29 % 57 % 3 % 35 % Special Industries 4 % 2 % 3 % 26 % 7 % Total 100 % 100 % 100 % 100 % 100 % |
Schedule of Change in Allowance for Credit Losses | The change in the allowance for credit losses includes expense and net write-offs, which are identified in the following table: Six Months Ended June 30, 2024 2023 Allowance for credit losses, beginning of period $ 8,260 $ 5,021 (Reductions) additions charged to costs and expenses ( 1,409 ) 1,132 Write-offs ( 199 ) ( 21 ) Foreign exchange and other ( 329 ) 80 Allowance for credit losses, end of period $ 6,323 $ 6,212 |
Inventories, Net (Tables)
Inventories, Net (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Inventory Disclosure [Abstract] | |
Inventories - Net | The components of inventory are as follows: June 30, 2024 December 31, 2023 Raw materials $ 90,472 $ 98,708 Work-in-process 14,111 14,397 Finished products 48,196 46,250 Inventories, net of excess and obsolete inventory reserve 152,779 159,355 Excess of current cost over LIFO cost ( 10,967 ) ( 10,541 ) Inventories at LIFO cost $ 141,812 $ 148,814 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, Net | Major classes of property, plant and equipment are stated at cost and were as follows: June 30, 2024 December 31, 2023 Land and improvements $ 20,535 $ 21,374 Buildings and improvements 125,991 129,369 Machinery, equipment and aircraft 245,344 238,868 Construction in progress 16,511 22,619 Property, plant and equipment, gross 408,381 412,230 Less accumulated depreciation ( 207,940 ) ( 204,338 ) Property, plant and equipment, net $ 200,441 $ 207,892 |
Pension Plans (Tables)
Pension Plans (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Retirement Benefits [Abstract] | |
Components of Net Periodic Pension Expense | Net periodic pension expense for the U.S. Plan for the three and six month periods ended June 30, 2024 and 2023, respectively, follows: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Interest cost 387 392 $ 775 $ 785 Expected return on plan assets ( 485 ) ( 501 ) ( 971 ) ( 1,001 ) Recognized net actuarial loss 117 117 234 233 Net periodic pension expense $ 19 $ 8 $ 38 $ 17 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income ("AOCI") (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
Summary of Total Changes in AOCI by Component, Net of Tax | The following tables set forth the total changes in AOCI by component, net of tax: Three Months Ended June 30, 2024 Three Months Ended June 30, 2023 Cumulative Cumulative Unrecognized Translation Unrecognized Translation Benefit Cost Adjustment Total Benefit Cost Adjustment Total Balance at April 1 $ ( 4,389 ) $ ( 62,393 ) $ ( 66,782 ) $ ( 4,403 ) $ ( 61,573 ) $ ( 65,976 ) Other comprehensive income before reclassifications: Foreign currency translation adjustment — ( 5,971 ) ( 5,971 ) — 2,301 2,301 Amounts reclassified from AOCI: Amortization of defined benefit pension actuarial gain (a) 89 — 89 89 — 89 Net current period other comprehensive income (loss) 89 ( 5,971 ) ( 5,882 ) 89 2,301 2,390 Balance at June 30 $ ( 4,300 ) $ ( 68,364 ) $ ( 72,664 ) $ ( 4,314 ) $ ( 59,272 ) $ ( 63,586 ) Six Months Ended June 30, 2024 Six Months Ended June 30, 2023 Cumulative Cumulative Unrecognized Translation Unrecognized Translation Benefit Cost Adjustment Total Benefit Cost Adjustment Total Balance at January 1 $ ( 4,478 ) $ ( 55,828 ) $ ( 60,306 ) $ ( 4,492 ) $ ( 65,495 ) $ ( 69,987 ) Other comprehensive income before reclassifications: Foreign currency translation adjustment — ( 12,536 ) ( 12,536 ) — 6,223 6,223 Amounts reclassified from AOCI: Amortization of defined benefit pension actuarial gain (a) 178 — 178 178 — 178 Net current period other comprehensive income (loss) 178 ( 12,536 ) ( 12,358 ) 178 6,223 6,401 Balance at June 30 $ ( 4,300 ) $ ( 68,364 ) $ ( 72,664 ) $ ( 4,314 ) $ ( 59,272 ) $ ( 63,586 ) (a) This AOCI component is included in the computation of net periodic pension expense (income) as noted in Note 6 – Pension Plans . |
Computation of Earnings Per S_2
Computation of Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Earnings Per Share [Abstract] | |
Calculation of Basic and Diluted Earnings Per Share | The calculation of basic and diluted earnings per share for the three and six months ended June 30, was as follows: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Numerator Net income $ 9,366 $ 20,472 $ 18,962 $ 41,870 Denominator Determination of shares (in thousands) Weighted-average common shares outstanding 4,915 4,944 4,915 4,940 Dilutive effect – share-based awards 49 80 40 73 Diluted weighted-average common shares outstanding 4,964 5,024 4,955 5,013 Earnings per common share Basic $ 1.91 $ 4.14 $ 3.86 $ 8.48 Diluted $ 1.89 $ 4.08 $ 3.83 $ 8.35 |
Goodwill and Other Intangibles
Goodwill and Other Intangibles (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Finite and Indefinite-Lived Intangible Assets | The Company’s finite and indefinite-lived intangible assets consist of the following: June 30, 2024 December 31, 2023 Gross Carrying Accumulated Gross Carrying Accumulated Amount Amortization Amount Amortization Finite-lived intangible assets Patents $ 4,806 $ ( 4,806 ) $ 4,806 $ ( 4,806 ) Land use rights 649 ( 120 ) 1,109 ( 307 ) Trademark 1,948 ( 1,690 ) 1,988 ( 1,682 ) Technology 6,844 ( 3,851 ) 7,104 ( 3,738 ) Customer relationships 18,256 ( 10,977 ) 19,240 ( 10,733 ) $ 32,503 $ ( 21,444 ) $ 34,247 $ ( 21,266 ) Indefinite-lived intangible assets Goodwill $ 27,901 $ 29,497 |
Changes in Carrying Amount of Goodwill by Segment | Changes in the carrying amount of goodwill by reporting unit are shown in the following table: PLP-USA The Americas EMEA Asia-Pacific Total Balance at January 1, 2024 $ 3,078 $ 10,582 $ 15,837 $ — $ 29,497 Currency translation — ( 959 ) ( 637 ) — ( 1,596 ) Balance at June 30, 2024 $ 3,078 $ 9,623 $ 15,200 $ — $ 27,901 |
Fair Value of Financial Asset_2
Fair Value of Financial Assets and Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
Summary of Assets and Liabilities Recorded and Measured at Fair Value | The following table summarizes the Company’s assets and liabilities, recorded and measured at fair value, in the Consolidated Balance Sheets as of June 30, 2024 and December 31, 2023: Description Balance as of Quoted Prices in Active Markets for Identical Assets or Liabilities Significant Other Observable Inputs Significant Unobservable Inputs Assets: Foreign currency forward contracts $ 158 $ — $ 158 $ — Total assets $ 158 $ — $ 158 $ — Liabilities: Foreign currency forward contracts $ 6 $ — $ 6 $ — Supplemental profit sharing plan 9,248 — 9,248 — Total liabilities $ 9,254 $ — $ 9,254 $ — Description Balance as of December 31, 2023 Quoted Prices in Active Markets for Identical Assets or Liabilities Significant Other Observable Inputs Significant Unobservable Inputs Assets: Foreign currency forward contracts $ 158 $ — $ 158 $ — Total assets $ 158 $ — $ 158 $ — Liabilities: Foreign currency forward contracts $ — $ — $ — $ — Supplemental profit sharing plan 8,222 — 8,222 — Total liabilities $ 8,222 $ — $ 8,222 $ — |
Fair Value and Carrying Value of Long-Term Debt | Based on the analysis performed, the fair value and the carrying value of the Company’s long-term debt are as follows: June 30, 2024 December 31, 2023 Fair Value Carrying Value Fair Value Carrying Value Long-term debt and related current maturities $ 28,241 $ 31,632 $ 51,786 $ 55,282 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Segment Reporting [Abstract] | |
Summary of Company's Reportable Segments | The following tables present a summary of the Company’s reportable operating segments for the three and six months ended June 30, 2024 and 2023. Financial results for the PLP-USA segment include the elimination of all segments’ intercompany profit in inventory. Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Net sales PLP-USA $ 59,900 $ 96,977 $ 130,637 $ 194,155 The Americas 21,815 21,494 40,173 44,061 EMEA 32,039 37,306 60,693 76,340 Asia-Pacific 24,966 26,036 48,122 49,081 Total net sales $ 138,720 $ 181,813 $ 279,625 $ 363,637 Intersegment sales PLP-USA $ 2,812 $ 9,013 $ 5,158 $ 20,975 The Americas 1,947 4,296 4,414 8,509 EMEA 1,424 1,423 2,798 2,956 Asia-Pacific 3,501 6,094 7,265 13,103 Total intersegment sales $ 9,684 $ 20,826 $ 19,635 $ 45,543 Gross profit PLP-USA $ 20,743 $ 41,234 $ 45,439 $ 83,341 The Americas 6,712 8,198 11,678 16,185 EMEA 9,364 9,518 17,682 18,765 Asia-Pacific 7,454 7,377 13,606 14,320 Total gross profit $ 44,273 $ 66,327 $ 88,405 $ 132,611 Net income attributable to Preformed Line Products Company shareholders PLP-USA $ 3,345 $ 14,887 $ 8,661 $ 31,683 The Americas 1,796 2,750 2,693 4,639 EMEA 2,975 1,876 4,555 3,537 Asia-Pacific 1,250 959 3,053 2,011 Total net income attributable to Preformed Line Products Company shareholders $ 9,366 $ 20,472 $ 18,962 $ 41,870 |
Acquisitions of Businesses (Tab
Acquisitions of Businesses (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Business Acquisition [Line Items] | |
Schedule of Estimated Fair Values of Assets Acquired and Liabilities Assumed | During the measurement period, opening balance sheet adjustments were made to finalize the fair value estimates based on the final valuations received, which are summarized in the table below. Final Allocation Accounts receivable $ 970 Inventory 585 Property, plant and equipment and other assets 13,628 Accounts payable ( 1,299 ) Other current liabilities ( 71 ) Total identifiable net assets 13,813 Total consideration, net of cash received $ 13,813 |
Significant Accounting Polici_3
Significant Accounting Policies - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2024 | |
Significant Accounting Policies [Line Items] | |
Percentage of ownership in earnings of subsidiary | 100% |
Revenue - Revenues by Segment a
Revenue - Revenues by Segment and Product Type (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 100% | 100% | 100% | 100% |
Energy [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 71% | 60% | 71% | 58% |
Communications [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 22% | 33% | 22% | 35% |
Special Industries [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 7% | 7% | 7% | 7% |
PLP-USA [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 100% | 100% | 100% | 100% |
PLP-USA [Member] | Energy [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 63% | 60% | 66% | 59% |
PLP-USA [Member] | Communications [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 30% | 36% | 28% | 37% |
PLP-USA [Member] | Special Industries [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 7% | 4% | 6% | 4% |
The Americas [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 100% | 100% | 100% | 100% |
The Americas [Member] | Energy [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 80% | 70% | 78% | 69% |
The Americas [Member] | Communications [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 18% | 28% | 21% | 29% |
The Americas [Member] | Special Industries [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 2% | 2% | 1% | 2% |
EMEA [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 100% | 100% | 100% | 100% |
EMEA [Member] | Energy [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 71% | 46% | 71% | 40% |
EMEA [Member] | Communications [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 24% | 51% | 24% | 57% |
EMEA [Member] | Special Industries [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 5% | 3% | 5% | 3% |
Asia-Pacific [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 100% | 100% | 100% | 100% |
Asia-Pacific [Member] | Energy [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 79% | 72% | 78% | 71% |
Asia-Pacific [Member] | Communications [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 4% | 3% | 4% | 3% |
Asia-Pacific [Member] | Special Industries [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Percentage of disaggregated revenue | 17% | 25% | 18% | 26% |
Revenue - Schedule of Change in
Revenue - Schedule of Change in Allowance for Credit Losses (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | ||
Allowance for credit losses, beginning of period | $ 8,260 | $ 5,021 |
(Reductions) additions charged to costs and expenses | (1,409) | 1,132 |
Write-offs | (199) | (21) |
Foreign exchange and other | (329) | 80 |
Allowance for credit losses, end of period | $ 6,323 | $ 6,212 |
Inventories, Net - Inventories,
Inventories, Net - Inventories, Net (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 90,472 | $ 98,708 |
Work-in-process | 14,111 | 14,397 |
Finished products | 48,196 | 46,250 |
Inventories, net of excess and obsolete inventory reserve | 152,779 | 159,355 |
Excess of current cost over LIFO cost | (10,967) | (10,541) |
Inventories at LIFO cost | $ 141,812 | $ 148,814 |
Inventories, Net - Additional I
Inventories, Net - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |||||
Cost of inventories for certain materials using LIFO method | $ 53.9 | $ 53.9 | $ 60.1 | ||
Expense (benefit) charge to earnings from LIFO inventory changes | 0.3 | $ 0.6 | 0.4 | $ 1.2 | |
Inventory reserves for slow-moving and obsolete inventory | $ 18.3 | $ 18.3 | $ 17.6 |
Property and Equipment, Net - P
Property and Equipment, Net - Property and Equipment, Net (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 408,381 | $ 412,230 |
Less accumulated depreciation | (207,940) | (204,338) |
Property, plant and equipment, net | 200,441 | 207,892 |
Land and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 20,535 | 21,374 |
Buildings and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 125,991 | 129,369 |
Machinery, Equipment and Aircraft [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 245,344 | 238,868 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 16,511 | $ 22,619 |
Contingent Liabilities - Additi
Contingent Liabilities - Additional Information (Detail) $ in Thousands, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Nov. 02, 2016 USD ($) | Dec. 31, 2023 USD ($) | Dec. 31, 2023 CAD ($) | Jun. 30, 2024 USD ($) | |
Loss Contingencies [Line Items] | ||||
Name of plaintiff | SNC ATP | |||
Complaint filling month and year | 2016-11 | |||
Estimated damages from defendants | $ 56,000 | |||
Accrued estimate for losses | $ 0 | $ 0 | ||
Defendants And Plaintiff Settlement Agreement [Member] | ||||
Loss Contingencies [Line Items] | ||||
Total settlement required to be paid | $ 3,200 | $ 4.3 |
Pension Plans - Components of N
Pension Plans - Components of Net Periodic Pension Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Retirement Benefits [Abstract] | ||||
Interest cost | $ 387 | $ 392 | $ 775 | $ 785 |
Expected return on plan assets | (485) | (501) | (971) | (1,001) |
Recognized net actuarial loss | $ 117 | $ 117 | $ 234 | $ 233 |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) Excluding Service Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] | Other Nonoperating Income (Expense) | Other Nonoperating Income (Expense) | Other Nonoperating Income (Expense) | Other Nonoperating Income (Expense) |
Net periodic pension expense | $ 19 | $ 8 | $ 38 | $ 17 |
Pension Plans - Additional Info
Pension Plans - Additional Information (Detail) - USD ($) | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Retirement Benefits [Abstract] | ||
Contribution to pension plan | $ 0 | $ 0 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income ("AOCI") - Summary of Total Changes in AOCI by Component, Net of Tax (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning Balance | $ 416,164 | ||||
Amounts reclassified from AOCI: | |||||
Net current period other comprehensive income (loss) | $ (5,882) | $ 2,390 | (12,358) | $ 6,401 | |
Ending Balance | 416,218 | 416,218 | |||
Unrecognized Benefit Cost [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning Balance | (4,389) | (4,403) | (4,478) | (4,492) | |
Amounts reclassified from AOCI: | |||||
Amortization of defined benefit pension actuarial gain | [1] | 89 | 89 | 178 | 178 |
Net current period other comprehensive income (loss) | 89 | 89 | 178 | 178 | |
Ending Balance | (4,300) | (4,314) | (4,300) | (4,314) | |
Cumulative Translation Adjustment [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning Balance | (62,393) | (61,573) | (55,828) | (65,495) | |
Other comprehensive income before reclassifications: | |||||
Foreign currency translation adjustment | (5,971) | 2,301 | (12,536) | 6,223 | |
Amounts reclassified from AOCI: | |||||
Net current period other comprehensive income (loss) | (5,971) | 2,301 | (12,536) | 6,223 | |
Ending Balance | (68,364) | (59,272) | (68,364) | (59,272) | |
Accumulated Other Comprehensive Loss [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning Balance | (66,782) | (65,976) | (60,306) | (69,987) | |
Other comprehensive income before reclassifications: | |||||
Foreign currency translation adjustment | (5,971) | 2,301 | (12,536) | 6,223 | |
Amounts reclassified from AOCI: | |||||
Amortization of defined benefit pension actuarial gain | [1] | 89 | 89 | 178 | 178 |
Net current period other comprehensive income (loss) | (5,882) | 2,390 | (12,358) | 6,401 | |
Ending Balance | $ (72,664) | $ (63,586) | $ (72,664) | $ (63,586) | |
[1] This AOCI component is included in the computation of net periodic pension expense (income) as noted in Note 6 – Pension Plans |
Debt and Credit Arrangements -
Debt and Credit Arrangements - Additional Information (Detail) - USD ($) | 6 Months Ended | |||
Mar. 02, 2022 | Jan. 19, 2021 | Jun. 30, 2024 | Dec. 31, 2023 | |
Debt Instrument [Line Items] | ||||
Borrowing capacity | $ 90,000,000 | |||
Credit facility, expiration date | Mar. 02, 2026 | |||
Debt to earnings before Interest, Taxes and Depreciation ratio | 2.25% | |||
Line of credit utilized borrowing capacity | $ 16,400,000 | |||
Line of credit remaining borrowing capacity | 73,600,000 | |||
Letters of credit outstanding amount | $ 0 | |||
Bank debt to equity percentage | 9.20% | |||
Asia Pacific [Member] | ||||
Debt Instrument [Line Items] | ||||
Restricted cash used to secure bank debt | $ 100,000 | $ 200,000 | ||
SOFR [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest rate of SOFR plus | 1.125% | |||
SOFR [Member] | Maximum [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest rate of SOFR plus | 1.50% | |||
PNC Equipment Finance, LLC [Member] | Corporate Aircraft [Member] | Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of credit utilized borrowing capacity | 13,700,000 | |||
Outstanding letters of credit, current | 2,100,000 | |||
Debt instrument, face amount | $ 20,500,000 | |||
Interest rate | 2.744% | |||
Debt instrument, payment terms | 120 months | |||
Debt instrument, description | The loan is payable in 119 equal monthly installments | |||
Debt instrument, date of first required payment | Mar. 01, 2021 | |||
Foreign Subsidiaries [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of credit utilized borrowing capacity | 8,500,000 | 13,300,000 | ||
Outstanding letters of credit, current | $ 7,700,000 | $ 11,400,000 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Income Tax Reconciliation [Line Items] | ||||
Effective income tax rate | 16% | 26% | 18% | 25% |
Uncertain tax positions | $ 0 | $ 0 | $ 0 | $ 0 |
Valuation allowance | $ 0 | $ 0 |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Detail) - shares | Jun. 30, 2024 | Dec. 31, 2023 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Deferred shares and held by the rabbi trust | 238,787 | 243,118 |
Computation of Earnings Per S_3
Computation of Earnings Per Share - Calculation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Numerator | ||||
Net income | $ 9,366 | $ 20,472 | $ 18,962 | $ 41,870 |
Determination of shares (in thousands) | ||||
Weighted-average common shares outstanding | 4,915 | 4,944 | 4,915 | 4,940 |
Dilutive effect - share-based awards | 49 | 80 | 40 | 73 |
Diluted weighted-average common shares outstanding | 4,964 | 5,024 | 4,955 | 5,013 |
Earnings per common share | ||||
Basic | $ 1.91 | $ 4.14 | $ 3.86 | $ 8.48 |
Diluted | $ 1.89 | $ 4.08 | $ 3.83 | $ 8.35 |
Computation of Earnings Per S_4
Computation of Earnings Per Share - Additional Information (Detail) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Share-Based Awards [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive shares excluded from calculation of earnings per share | 5,570 | 0 | 0 | 0 |
Goodwill and Other Intangible_2
Goodwill and Other Intangibles - Finite and Indefinite-Lived Intangible Assets (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Finite-lived intangible assets | ||
Gross Carrying Amount | $ 32,503 | $ 34,247 |
Accumulated Amortization | (21,444) | (21,266) |
Indefinite-lived intangible assets Goodwill | 27,901 | 29,497 |
Patents [Member] | ||
Finite-lived intangible assets | ||
Gross Carrying Amount | 4,806 | 4,806 |
Accumulated Amortization | (4,806) | (4,806) |
Land Use Rights [Member] | ||
Finite-lived intangible assets | ||
Gross Carrying Amount | 649 | 1,109 |
Accumulated Amortization | (120) | (307) |
Trademark [Member] | ||
Finite-lived intangible assets | ||
Gross Carrying Amount | 1,948 | 1,988 |
Accumulated Amortization | (1,690) | (1,682) |
Technology [Member] | ||
Finite-lived intangible assets | ||
Gross Carrying Amount | 6,844 | 7,104 |
Accumulated Amortization | (3,851) | (3,738) |
Customer Relationships [Member] | ||
Finite-lived intangible assets | ||
Gross Carrying Amount | 18,256 | 19,240 |
Accumulated Amortization | $ (10,977) | $ (10,733) |
Goodwill and Other Intangible_3
Goodwill and Other Intangibles - Changes in Carrying Amount of Goodwill by Segment (Detail) $ in Thousands | 6 Months Ended |
Jun. 30, 2024 USD ($) | |
Goodwill [Line Items] | |
Beginning Balance | $ 29,497 |
Currency translation | (1,596) |
Ending Balance | 27,901 |
PLP-USA [Member] | |
Goodwill [Line Items] | |
Beginning Balance | 3,078 |
Currency translation | 0 |
Ending Balance | 3,078 |
The Americas [Member] | |
Goodwill [Line Items] | |
Beginning Balance | 10,582 |
Currency translation | (959) |
Ending Balance | 9,623 |
EMEA [Member] | |
Goodwill [Line Items] | |
Beginning Balance | 15,837 |
Currency translation | (637) |
Ending Balance | 15,200 |
Asia-Pacific [Member] | |
Goodwill [Line Items] | |
Beginning Balance | 0 |
Currency translation | 0 |
Ending Balance | $ 0 |
Fair Value of Financial Asset_3
Fair Value of Financial Assets and Liabilities - Summary of Assets and Liabilities Recorded and Measured at Fair Value (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Foreign currency forward contracts | $ 158 | $ 158 |
Total assets | 158 | 158 |
Foreign currency forward contracts | 6 | 0 |
Supplemental profit sharing plan | 9,248 | 8,222 |
Total liabilities | 9,254 | 8,222 |
Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Foreign currency forward contracts | 0 | 0 |
Total assets | 0 | 0 |
Foreign currency forward contracts | 0 | 0 |
Supplemental profit sharing plan | 0 | 0 |
Total liabilities | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Foreign currency forward contracts | 158 | 158 |
Total assets | 158 | 158 |
Foreign currency forward contracts | 6 | 0 |
Supplemental profit sharing plan | 9,248 | 8,222 |
Total liabilities | 9,254 | 8,222 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Foreign currency forward contracts | 0 | 0 |
Total assets | 0 | 0 |
Foreign currency forward contracts | 0 | 0 |
Supplemental profit sharing plan | 0 | 0 |
Total liabilities | $ 0 | $ 0 |
Fair Value of Financial Asset_4
Fair Value of Financial Assets and Liabilities - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Foreign currency forward contracts Maturity Period | 90 days | ||||
Foreign currency transaction net gains (losses) | $ 0 | $ (500) | $ (200) | $ (400) | |
Supplemental profit sharing plan | 9,248 | 9,248 | $ 8,222 | ||
Profit Sharing Plan [Member] | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Supplemental profit sharing plan | $ 9,200 | $ 9,200 | $ 8,200 |
Fair Value of Financial Asset_5
Fair Value of Financial Assets and Liabilities - Fair Value and Carrying Value of Long-Term Debt (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Debt Disclosure [Abstract] | ||
Long-term debt and related current maturities, Fair Value | $ 28,241 | $ 51,786 |
Long-term debt and related current maturities, Carrying Value | $ 31,632 | $ 55,282 |
Segment Information - Summary o
Segment Information - Summary of Company's Reportable Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Net sales | ||||
Net sales | $ 138,720 | $ 181,813 | $ 279,625 | $ 363,637 |
Gross Profit | ||||
GROSS PROFIT | 44,273 | 66,327 | 88,405 | 132,611 |
Net income attributable to Preformed Line Products Company shareholders | ||||
Total net income attributable to Preformed Line Products Company shareholders | 9,366 | 20,472 | 18,962 | 41,870 |
PLP-USA [Member] | ||||
Net sales | ||||
Net sales | 59,900 | 96,977 | 130,637 | 194,155 |
Gross Profit | ||||
GROSS PROFIT | 20,743 | 41,234 | 45,439 | 83,341 |
Net income attributable to Preformed Line Products Company shareholders | ||||
Total net income attributable to Preformed Line Products Company shareholders | 3,345 | 14,887 | 8,661 | 31,683 |
The Americas [Member] | ||||
Net sales | ||||
Net sales | 21,815 | 21,494 | 40,173 | 44,061 |
Gross Profit | ||||
GROSS PROFIT | 6,712 | 8,198 | 11,678 | 16,185 |
Net income attributable to Preformed Line Products Company shareholders | ||||
Total net income attributable to Preformed Line Products Company shareholders | 1,796 | 2,750 | 2,693 | 4,639 |
EMEA [Member] | ||||
Net sales | ||||
Net sales | 32,039 | 37,306 | 60,693 | 76,340 |
Gross Profit | ||||
GROSS PROFIT | 9,364 | 9,518 | 17,682 | 18,765 |
Net income attributable to Preformed Line Products Company shareholders | ||||
Total net income attributable to Preformed Line Products Company shareholders | 2,975 | 1,876 | 4,555 | 3,537 |
Asia-Pacific [Member] | ||||
Net sales | ||||
Net sales | 24,966 | 26,036 | 48,122 | 49,081 |
Gross Profit | ||||
GROSS PROFIT | 7,454 | 7,377 | 13,606 | 14,320 |
Net income attributable to Preformed Line Products Company shareholders | ||||
Total net income attributable to Preformed Line Products Company shareholders | 1,250 | 959 | 3,053 | 2,011 |
Intersegment Eliminations [Member] | ||||
Net sales | ||||
Net sales | 9,684 | 20,826 | 19,635 | 45,543 |
Intersegment Eliminations [Member] | PLP-USA [Member] | ||||
Net sales | ||||
Net sales | 2,812 | 9,013 | 5,158 | 20,975 |
Intersegment Eliminations [Member] | The Americas [Member] | ||||
Net sales | ||||
Net sales | 1,947 | 4,296 | 4,414 | 8,509 |
Intersegment Eliminations [Member] | EMEA [Member] | ||||
Net sales | ||||
Net sales | 1,424 | 1,423 | 2,798 | 2,956 |
Intersegment Eliminations [Member] | Asia-Pacific [Member] | ||||
Net sales | ||||
Net sales | $ 3,501 | $ 6,094 | $ 7,265 | $ 13,103 |
Acquisitions of Businesses - Ad
Acquisitions of Businesses - Additional Information (Detail) - Pilot Plastics [Member] $ in Millions | Feb. 01, 2023 USD ($) |
Business Acquisition [Line Items] | |
Purchase price, net of cash received | $ 13.8 |
Purchase price holdback amount | $ 1.7 |
Acquisitions of Businesses - Sc
Acquisitions of Businesses - Schedule of Estimated Fair Values of Assets Acquired and Liabilities Assumed (Detail) $ in Thousands | Jun. 30, 2024 USD ($) |
Business Acquisition [Line Items] | |
Accounts receivable | $ 970 |
Inventory | 585 |
Property, plant and equipment and other assets | 13,628 |
Accounts payable | (1,299) |
Other current liabilities | (71) |
Total identifiable net assets | 13,813 |
Total consideration, net of cash received | $ 13,813 |