Tootsie Roll Industries (TR) 10-Q8 Nov 232023 Q3 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information	9 Months Ended
Document and Entity Information	Sep. 30, 2023 shares
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Sep. 30, 2023
Entity File Number	1-1361
Entity Registrant Name	TOOTSIE ROLL INDUSTRIES INC
Entity Incorporation, State or Country Code	VA
Entity Tax Identification Number	22-1318955
Entity Address, Address Line One	7401 South Cicero Avenue
Entity Address, City or Town	Chicago
Entity Address, State or Province	IL
Entity Address, Postal Zip Code	60629
City Area Code	773
Local Phone Number	838-3400
Title of 12(b) Security	Common Stock, par value $0.694 per share
Trading Symbol	TR
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0000098677
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Amendment Flag	false
Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding	40,172,228
Class B Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding	29,452,004

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022
CURRENT ASSETS:
Cash and cash equivalents	$ 47,320	$ 53,270	$ 57,216
Restricted cash	360	365	332
Investments	88,080	96,128	88,510
Accounts receivable trade, less allowances of $3,302, $2,335 and $2,949	80,118	58,556	82,315
Other receivables	5,563	4,299	4,120
Inventories:
Finished goods and work-in-process	61,876	43,595	48,758
Raw materials and supplies	45,716	40,671	40,797
Prepaid expenses	7,027	12,144	2,018
Total current assets	336,060	309,028	324,066
PROPERTY, PLANT AND EQUIPMENT, at cost:
Land	21,758	21,715	21,673
Buildings	143,013	142,462	130,131
Machinery and equipment	468,292	467,977	446,487
Construction in progress	21,163	4,325	32,409
Operating lease right-of-use assets	5,991	4,703	4,746
Property, plant and equipment, gross	660,217	641,182	635,446
Less - accumulated depreciation	442,796	429,139	424,600
Net property, plant and equipment	217,421	212,043	210,846
OTHER ASSETS:
Goodwill	73,237	73,237	73,237
Trademarks	175,024	175,024	175,024
Investments	243,205	247,528	241,308
Prepaid expenses and other assets	19,344	465	480
Deferred income taxes	1,617	1,454	1,394
Total other assets	512,427	497,708	491,443
Total assets	1,065,908	1,018,779	1,026,355
CURRENT LIABILITIES:
Accounts payable	22,696	25,246	30,728
Bank loans	1,018	1,051	949
Dividends payable	6,261	6,154	6,200
Accrued liabilities	72,329	54,444	60,330
Postretirement health care benefits	658	658	616
Operating lease liabilities	1,073	791	833
Income taxes payable	1,599	1,790	1,863
Total current liabilities	105,634	90,134	101,519
NONCURRENT LIABILITIES:
Deferred income taxes	46,021	45,005	41,351
Postretirement health care benefits	9,321	9,303	12,609
Industrial development bonds	7,500	7,500	7,500
Liability for uncertain tax positions	3,818	3,747	3,540
Operating lease liabilities	5,002	3,952	3,936
Deferred compensation and other liabilities	85,045	76,256	72,577
Total noncurrent liabilities	156,707	145,763	141,513
TOOTSIE ROLL INDUSTRIES, INC. SHAREHOLDERS' EQUITY:
Capital in excess of par value	742,948	719,606	743,084
Retained earnings	39,786	48,276	29,078
Accumulated other comprehensive loss	(25,218)	(30,169)	(34,428)
Treasury stock (at cost) - 102, 99 and 99 shares, respectively	(1,992)	(1,992)	(1,992)
Total Tootsie Roll Industries, Inc. shareholders' equity	803,874	783,171	783,601
Noncontrolling interests	(307)	(289)	(278)
Total equity	803,567	782,882	783,323
Total liabilities and shareholders' equity	1,065,908	1,018,779	1,026,355
Common Stock
TOOTSIE ROLL INDUSTRIES, INC. SHAREHOLDERS' EQUITY:
Common stock, value	27,897	27,584	27,982
Class B Common Stock
TOOTSIE ROLL INDUSTRIES, INC. SHAREHOLDERS' EQUITY:
Common stock, value	$ 20,453	$ 19,866	$ 19,877

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022
Trade accounts receivable, allowances	$ 3,302	$ 2,335	$ 2,949
Treasury stock, shares	102	99	99
Common Stock
Common stock, par value (in dollars per share)	$ 0.694	$ 0.694	$ 0.694
Common stock, shares authorized	120,000	120,000	120,000
Common stock, shares issued	40,172	39,721	40,294
Class B Common Stock
Common stock, par value (in dollars per share)	$ 0.694	$ 0.694	$ 0.694
Common stock, shares authorized	40,000	40,000	40,000
Common stock, shares issued	29,452	28,607	28,622

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS AND RETAINED EARNINGS - USD ($) shares in Thousands, $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Total revenue		$ 249,852	$ 213,173	$ 572,089	$ 497,250
Total costs		164,652	141,631	383,984	330,148
Total gross margin		85,200	71,542	188,105	167,102
Selling, marketing and administrative expenses		39,300	35,957	114,656	83,704
Earnings from operations		45,900	35,585	73,449	83,398
Other income (loss), net		(718)	(1,246)	8,866	(17,399)
Earnings before income taxes		45,182	34,339	82,315	65,999
Provision for income taxes		10,805	7,778	19,824	15,438
Net earnings		34,377	26,561	62,491	50,561
Less: net loss attributable to noncontrolling interests		(5)	(16)	(18)	(32)
Net earnings attributable to Tootsie Roll Industries, Inc.		$ 34,382	$ 26,577	$ 62,509	$ 50,593
Net earnings attributable to Tootsie Roll Industries, Inc. per share		$ 0.49	$ 0.37	$ 0.89	$ 0.71
Dividends per share	[1]	$ 0.09	$ 0.09	$ 0.27	$ 0.27
Average number of shares outstanding (in shares)		69,621	70,915	69,973	70,992
Product
Total revenue		$ 248,336	$ 211,888	$ 567,884	$ 493,260
Total costs		164,163	141,243	382,644	328,995
Total gross margin		84,173	70,645	185,240	164,265
Rental and Royalty
Total revenue		1,516	1,285	4,205	3,990
Total costs		489	388	1,340	1,153
Total gross margin		$ 1,027	$ 897	$ 2,865	$ 2,837

[1]Does not include 3% stock dividend to shareholders of record on 3/6/23 and 3/7/22.

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS AND RETAINED EARNINGS (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS AND RETAINED EARNINGS
Retained earnings at beginning of period			$ 48,276	$ 39,545
Net Income (Loss)	$ 34,382	$ 26,577	62,509	50,593
Cash dividends	(6,252)	(6,191)	(18,682)	(18,426)
Stock dividends			(52,317)	(42,634)
Retained earnings at end of period	$ 39,786	$ 29,078	$ 39,786	$ 29,078
Stock dividends (as a percent)	3%	3%	3%	3%

CONDENSED CONSOLIDATED STATEM_5

CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE EARNINGS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE EARNINGS
Net earnings	$ 34,377	$ 26,561	$ 62,491	$ 50,561
Other comprehensive income (loss), before tax:
Foreign currency translation adjustments	(543)	120	1,895	583
Pension and postretirement reclassification adjustments:
Less: reclassification adjustment for (gains) losses to net earnings	(188)	(207)	(567)	(620)
Unrealized gains (losses) on postretirement and pension benefits	(188)	(207)	(567)	(620)
Investments:
Unrealized gains (losses) for the period on investments	746	(3,321)	2,915	(11,608)
Less: reclassification adjustment for (gains) losses to net earnings		(4)	(1)	(14)
Unrealized gains (losses) on investments	746	(3,325)	2,914	(11,622)
Derivatives:
Unrealized gains (losses) for the period on derivatives	2,078	(542)	1,608	(550)
Less: reclassification adjustment for (gains) losses to net earnings	33	(121)	76	(398)
Unrealized gains (losses) on derivatives	2,111	(663)	1,684	(948)
Total other comprehensive income (loss), before tax	2,126	(4,075)	5,926	(12,607)
Income tax benefit (expense) related to items of other comprehensive income	(646)	1,015	(975)	3,192
Total comprehensive earnings	35,857	23,501	67,442	41,146
Comprehensive earnings (loss) attributable to noncontrolling interests	(5)	(16)	(18)	(32)
Total comprehensive earnings attributable to Tootsie Roll Industries, Inc.	$ 35,862	$ 23,517	$ 67,460	$ 41,178

CONDENSED CONSOLIDATED STATEM_6

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
CASH FLOWS FROM OPERATING ACTIVITIES:
Net earnings	$ 62,491	$ 50,561
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation	13,783	13,250
Deferred income taxes	21	(921)
Amortization of marketable security premiums	3,188	4,313
Changes in operating assets and liabilities:
Accounts receivable	(20,580)	(27,489)
Other receivables	20	(823)
Inventories	(22,437)	(34,012)
Prepaid expenses and other assets	(15,472)	5,886
Accounts payable and accrued liabilities	14,023	22,126
Income taxes payable	4,134	(446)
Postretirement health care benefits	(551)	(630)
Deferred compensation and other liabilities	986	(1,219)
Net cash provided by operating activities	39,606	30,596
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures	(19,458)	(17,552)
Purchases of trading securities	(1,526)	(1,292)
Sales of trading securities	574	2,567
Purchase of available for sale securities	(65,616)	(75,125)
Sale and maturity of available for sale securities	86,259	38,439
Net cash provided by (used in) investing activities	233	(52,963)
CASH FLOWS FROM FINANCING ACTIVITIES:
Shares purchased and retired	(27,550)	(8,024)
Dividends paid in cash	(18,825)	(18,438)
Proceeds from bank loans	2,922	3,240
Repayment of bank loans	(2,939)	(3,102)
Net cash used in financing activities	(46,392)	(26,324)
Effect of exchange rate changes on cash	598	13
Decrease in cash and cash equivalents	(5,955)	(48,678)
Cash, cash equivalents and restricted cash at beginning of year	53,635	106,226
Cash, cash equivalents and restricted cash at end of quarter	47,680	57,548
Supplemental cash flow information:
Income taxes paid/(received), net	15,524	15,580
Interest paid	187	36
Stock dividend issued	$ 86,433	$ 70,242

Significant Accounting Policies

Significant Accounting Policies	9 Months Ended
Significant Accounting Policies	Sep. 30, 2023
Significant Accounting Policies
Significant Accounting Policies	Note 1 — Significant Accounting Policies General Information The foregoing data has been prepared from the unaudited financial records of Tootsie Roll Industries, Inc. (the “Company”). In the opinion of Management, all adjustments, which are of a normal recurring nature, and necessary for a fair statement of the results for the interim period have been reflected. Certain amounts previously reported have been reclassified to conform to the current year presentation. The financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) for interim financial reporting and with the rules and regulations for reporting on Form 10-Q. Accordingly, they do not contain certain information and disclosures required by GAAP for comprehensive financial statements. These consolidated financial statements should be read in conjunction with the consolidated financial statements and the related notes included in the Company’s Form 10-K for the year ended December 31, 2022 (the “2022 Form 10-K”). Results of operations for the period ended September 30, 2023 are not necessarily indicative of results to be expected for the year to end December 31, 2023 because of the seasonal nature of the Company’s operations. Historically, the third quarter has been the Company’s largest net product sales quarter due to pre-Halloween net product sales. Revenue Recognition The Company’s revenues, primarily net product sales resulting from the sale of goods, reflect the consideration to which the Company expects to be entitled generally based on customer purchase orders. The Company records revenue based on a five-step model in accordance with Accounting Standards Codification ("ASC") Topic 606. Adjustments for estimated customer cash discounts upon payment, discounts for price adjustments, product returns, allowances, and certain advertising and promotional costs, including consumer coupons, are variable consideration and are recorded as a reduction of net product sales revenue in the same period the related net product sales are recorded. Such estimates are calculated using historical averages adjusted for any expected changes due to current business conditions and experience. A net product sale is recorded when the Company delivers the product to the customer or, in certain instances, when the customer picks up the goods at the Company’s distribution center and thereby obtains control of such product. Amounts billed and due from our customers are classified as accounts receivable trade on the balance sheet and require payment on a short-term basis. Accounts receivable trade are unsecured. Shipping and handling costs of $17,997 and $19,060 in third quarter 2023 and 2022, respectively, and $49,662 and $49,754 in nine months 2023 and 2022, respectively, are included in selling, marketing and administrative expenses. Royalty income from sales-based licensing arrangements, pursuant to which revenue is recognized as the third-party licensee sales occur, and rental income are not considered revenue from contracts from customers and are presented separately from net product revenue as rental and royalty revenue. Leases The Company identifies leases by evaluating its contracts to determine if the contract conveys the right to use an identified asset for a stated period of time in exchange for consideration. The Company considers whether it can control the underlying asset and have the right to obtain substantially all of the economic benefits or outputs from the asset. Leases with terms greater than 12 months are classified as either operating or finance leases at the commencement date. For these leases, we record the present value of the minimum lease payments over the lease term as a lease liability with an offsetting right-of-use asset that is then presented net of any deferred rent or lease incentives. The discount rate used to calculate the present value of the minimum lease payments is our incremental borrowing rate, as the rate implicit in the lease is generally not known or determinable. The lease term includes any noncancelable period for which the Company has the right to use the asset as well as any future periods to which the Company has the right and intent to extend the lease under the terms of the lease agreement. Currently, all capitalized leases are classified as operating leases and the Company records rental expense on a straight-line basis over the term of the lease. Recently Adopted Accounting Pronouncements As of the date of this report, there are no recent accounting pronouncements that have been adopted in the period nor any that have not yet been adopted that Management believes would have a material impact on the Company’s consolidated financial statements.

Average Shares Outstanding

Average Shares Outstanding	9 Months Ended
Average Shares Outstanding	Sep. 30, 2023
Average Shares Outstanding
Average Shares Outstanding	Note 2 — Average Shares Outstanding The average number of shares outstanding for nine months 2023 reflects aggregate stock purchases of 747 shares for $27,550, excluding excise taxes, and a 3% stock dividend of 2,040 shares distributed on April 7, 2023. The average number of shares outstanding for nine months 2022 reflects aggregate stock purchases of 230 shares for $8,024 and a 3% stock dividend of 2,006 shares distributed on April 8, 2022.

Income Taxes

Income Taxes	9 Months Ended
Income Taxes	Sep. 30, 2023
Income Taxes
Income Taxes	Note 3 — Income Taxes The Company is subject to taxation in the U.S. and various state and foreign jurisdictions. The Company remains subject to examination by U.S. federal and state and foreign tax authorities for the years 2020 through 2022. The Company’s consolidated effective income tax rate was 23.9% and 22.7% in third quarter 2023 and 2022, respectively, and 24.1% and 23.4% in nine months 2023 and 2022, respectively.

Share Capital and Capital In Ex

Share Capital and Capital In Excess of Par Value	9 Months Ended
Share Capital and Capital In Excess of Par Value	Sep. 30, 2023
Share Capital and Capital In Excess of Par Value
Share Capital and Capital In Excess of Par Value	NOTE 4—Share Capital and Capital In Excess of Par Value: Capital in Class B Excess Common Stock Common Stock Treasury Stock of Par Shares Amount Shares Amount Shares Amount Value (000’s) (000’s) (000’s) Balance at June 30, 2023 40,490 $ 28,118 29,452 $ 20,453 102 $ (1,992) $ 753,839 Issuance of 3% stock dividend - - - - - - - Conversion of Class B common shares to common shares - - - - - - - Purchase and retirement of common shares and other (318) (221) - - - - (10,891) Balance at September 30, 2023 40,172 $ 27,897 29,452 $ 20,453 102 $ (1,992) $ 742,948 Balance at June 30, 2022 40,379 $ 28,041 28,623 $ 19,877 99 $ (1,992) $ 746,026 Issuance of 3% stock dividend - - - - - - - Conversion of Class B common shares to common shares - - - - - - - Purchase and retirement of common shares and other (85) (59) (1) - - - (2,942) Balance at September 30, 2022 40,294 $ 27,982 28,622 $ 19,877 99 $ (1,992) $ 743,084 Balance at December 31, 2022 39,721 $ 27,584 28,607 $ 19,866 99 $ (1,992) $ 719,606 Issuance of 3% stock dividend 1,185 823 858 596 3 - 50,648 Conversion of Class B common shares to common shares 13 9 (13) (9) - - - Purchase and retirement of common shares and other (747) (519) - - - - (27,306) Balance at September 30, 2023 40,172 $ 27,897 29,452 $ 20,453 102 $ (1,992) $ 742,948 Balance at December 31, 2021 39,344 $ 27,322 27,793 $ 19,300 96 $ (1,992) $ 709,880 Issuance of 3% stock dividend 1,176 817 833 579 3 - 41,068 Conversion of Class B common shares to common shares 4 3 (4) (3) - - - Purchase and retirement of common shares and other (230) (160) - 1 - - (7,864) Balance at September 30, 2022 40,294 $ 27,982 28,622 $ 19,877 99 $ (1,992) $ 743,084

Fair Value Measurements

Fair Value Measurements	9 Months Ended
Fair Value Measurements	Sep. 30, 2023
Fair Value Measurements
Fair Value Measurements	Note 5 — Fair Value Measurements Current accounting guidance defines fair value as the price that would be received on the sale of an asset, or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Guidance requires disclosure of the extent to which fair value is used to measure financial assets and liabilities, the inputs utilized in calculating valuation measurements, and the effect of the measurement of significant unobservable inputs on earnings, or changes in net assets, as of the measurement date. Guidance establishes a three-level valuation hierarchy based upon the transparency of inputs utilized in the measurement and valuation of financial assets or liabilities as of the measurement date. Level 1 inputs include quoted prices for identical instruments and are the most observable. Level 2 inputs include quoted prices for similar assets and observable inputs such as interest rates, foreign currency exchange rates, commodity rates and yield curves. Level 3 inputs are not observable in the market and include Management’s own judgments about the assumptions market participants would use in pricing the asset or liability. The use of observable and unobservable inputs is reflected in the hierarchy assessment disclosed in the table below. As of September 30, 2023, December 31, 2022 and September 30, 2022, the Company held certain financial assets that are required to be measured at fair value on a recurring basis. These included derivative hedging instruments related to the purchase of certain raw materials and foreign currencies, investments in trading securities and available for sale securities. The Company’s available for sale securities principally consist of corporate and government bonds but also include variable rate demand notes. While the Company generally holds its available for sale investments to maturity, the Company would sell prior to maturity if it was considered beneficial to do so for tax-planning strategies or if the Company required the funds to finance a significant reinvestment in the Company, including an acquisition. As such, the Company does not classify any investments as held to maturity which is restrictive under GAAP because the use of amortized cost must be justified for each security. The fair value of the Company’s industrial revenue development bonds at September 30, 2023, December 31, 2022 and September 30, 2022 were valued using Level 2 inputs which approximates the carrying value of $7,500 for the respective periods. Interest rates on these bonds are reset weekly based on current market conditions. The following table presents information about the Company’s financial assets and liabilities measured at fair value as of September 30, 2023, December 31, 2022 and September 30, 2022 and indicate the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value: Estimated Fair Value September 30, 2023 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ 47,320 $ 47,320 $ - $ - Available for sale securities 251,531 4,479 247,052 - Foreign currency derivatives (141) - (141) - Commodity derivatives 1,554 1,554 - - Trading securities 79,754 63,350 16,404 - Total assets measured at fair value $ 380,018 $ 116,703 $ 263,315 $ - Estimated Fair Value December 31, 2022 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ 53,270 $ 53,270 $ - $ - Available for sale securities 272,448 1,889 270,559 - Foreign currency derivatives (282) - (282) - Commodity derivatives 10 10 - - Trading securities 71,208 56,049 15,159 - Total assets measured at fair value $ 396,654 $ 111,218 $ 285,436 $ - Estimated Fair Value September 30, 2022 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ 57,216 $ 57,216 $ - $ - Available for sale securities 262,159 742 261,417 - Foreign currency derivatives (366) - (366) - Commodity derivatives (31) (31) - - Trading securities 67,659 52,900 14,759 - Total assets measured at fair value $ 386,637 $ 110,827 $ 275,810 $ -

Derivative Instruments and Hedg

Derivative Instruments and Hedging Activities	9 Months Ended
Derivative Instruments and Hedging Activities	Sep. 30, 2023
Derivative Instruments and Hedging Activities
Derivative Instruments and Hedging Activities	Note 6 — Derivative Instruments and Hedging Activities From time to time, the Company uses derivative instruments, including foreign currency forward contracts and commodity futures contracts, to manage its exposures to foreign exchange and commodity prices. Commodity futures contracts are intended and effective as hedges of market price risks associated with the anticipated purchase of certain raw materials (primarily sugar). Foreign currency forward contracts are intended and effective as hedges of the Company’s exposure to the variability of cash flows, primarily related to the foreign exchange rate changes of products manufactured in Canada and sold in the United States, and periodic equipment purchases from foreign suppliers denominated in a foreign currency. The Company does not engage in trading or other speculative use of derivative instruments. The Company recognizes all derivative instruments as either assets or liabilities at fair value in the Condensed Consolidated Statement of Financial Position. Derivative assets are recorded in other receivables and derivative liabilities are recorded in accrued liabilities. The Company uses hedge accounting for its foreign currency and commodity derivative instruments as discussed above. Derivatives that qualify for hedge accounting are designated as cash flow hedges by formally documenting the hedge relationships, including identification of the hedging instruments, the hedged items and other critical terms, as well as the Company’s risk management objectives and strategies for undertaking the hedge transaction. Changes in the fair value of the Company’s cash flow hedges are recorded in accumulated other comprehensive loss, net of tax, and are reclassified to earnings in the periods in which earnings are affected by the hedged item. Substantially all amounts reported in accumulated other comprehensive loss for commodity derivatives are expected to be reclassified to cost of goods sold. Approximately $1,293, and $261 of this accumulated comprehensive gain (loss) is expected to be reclassified to earnings in 2024, and 2025, respectively. Approximately $(45) and $(96) reported in accumulated other comprehensive gain (loss) for foreign currency derivatives are expected to be reclassified to other income, net in 2023 and 2024, respectively. The following table summarizes the Company’s outstanding derivative contracts and their effects on its Condensed Consolidated Statements of Financial Position at September 30, 2023, December 31, 2022 and September 30, 2022: September 30, 2023 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency derivatives $ 10,498 $ 1 $ (142) Commodity derivatives 19,063 1,554 - Total derivatives $ 1,555 $ (142) December 31, 2022 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency derivatives $ 7,264 $ - $ (282) Commodity derivatives 189 10 - Total derivatives $ 10 $ (282) September 30, 2022 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency derivatives $ 6,782 $ 26 $ (392) Commodity derivatives 1,009 1 (32) Total derivatives $ 27 $ (424) The effects of derivative instruments on the Company’s Condensed Consolidated Statements of Earnings and Retained Earnings and the Condensed Consolidated Statements of Comprehensive Earnings for periods ended September 30, 2023 and September 30, 2022 are as follows: For Quarter Ended September 30, 2023 Gain (Loss) Gain (Loss) on Amount Excluded Gain (Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency derivatives $ (276) $ (27) $ - Commodity derivatives 2,354 (6) - Total $ 2,078 $ (33) $ - For Quarter Ended September 30, 2022 Gain (Loss) Gain (Loss) on Amount Excluded Gain (Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency derivatives $ (483) $ 48 $ - Commodity derivatives (59) 73 - Total $ (542) $ 121 $ - For Year to Date Ended September 30, 2023 Gain (Loss) Gain (Loss) on Amount Excluded Gain (Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency derivatives $ (23) $ (163) $ - Commodity derivatives 1,631 87 - Total $ 1,608 $ (76) $ - For Year to Date Ended September 30, 2022 Gain (Loss) Gain (Loss) on Amount Excluded Gain (Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency derivatives $ (556) $ 236 $ - Commodity derivatives 6 162 - Total $ (550) $ 398 $ -

Pension Plans

Pension Plans	9 Months Ended
Pension Plans	Sep. 30, 2023
Pension Plans
Pension Plans	Note 7 — Pension Plans Beginning in 2012, the Company received periodic notices from the Bakery and Confectionery Union and Industry International Pension Fund (Plan), a multi-employer defined benefit pension plan for certain Company union employees, that the Plan’s actuary certified the Plan to be in “critical status”, as defined by the Pension Protection Act (PPA) and the Pension Benefit Guaranty Corporation (PBGC); and that a plan of rehabilitation was adopted by the trustees of the Plan in 2012. The Plan was reclassified to “critical and declining status”, as defined by the PPA and PBGC, for the plan year beginning January 1, 2015. A designation of “critical and declining status” implies that the Plan is expected to become insolvent in the next 20 years. In 2016, the Company received new notices that the Plan’s trustees adopted an updated Rehabilitation Plan effective January 1, 2016, and all annual notices through 2023 have continued to classify the Plan in the “critical and declining status” category. The Company has been advised that its withdrawal liability would have been $96,000, $104,300 and $99,300 if it had withdrawn from the Plan during 2022, 2021 and 2020, respectively. Should the Company actually withdraw from the Plan at a future date, its withdrawal liability payable under the Plan could be higher than the above discussed amounts. The Company’s pension expense for this Plan for nine months 2023 and 2022 was $2,785 and $2,754, respectively. The aforementioned expense includes surcharges of $982 and $971 for nine months 2023 and 2022, respectively, as required under the amended plan of rehabilitation. The Company’s twelve months pension expense for this Plan for 2022 and 2021 was $3,510 and $3,156, respectively, which includes surcharges of $1,237 and $1,112, respectively. From 2012 through 2020, the Company’s employer contributions were subject to annual 5% compounded surcharge increases. Beginning in 2021, the Plan ceased additional surcharges, but the prior surcharges remain in effect indefinitely. During first quarter 2023, the Plan submitted an initial application to the PBGC for Special Financial Assistance under the American Rescue Plan Act of 2021. The Plan subsequently withdrew the application in the second quarter of 2023 and resubmitted the application in the fourth quarter of 2023. If the application is approved, the Special Financial Assistance funds the plan would receive are expected to have a material effect on the Plan’s assets. The Company’s actuary believes that it still remains unclear if the Plan can remain solvent through the targeted date of 2051 and that the regulations under the aforementioned PBGC financial assistance could result in a higher withdrawal liability even with PBGC financial assistance. The Company is currently unable to determine the ultimate outcome of the above discussed multi-employer union pension matters and therefore is unable to determine the effects on its consolidated financial statements, but the ultimate outcome could have a material adverse effect on the Company’s consolidated results of operations or cash flows in one or more future periods.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Earnings (Loss)	9 Months Ended
Accumulated Other Comprehensive Earnings (Loss)	Sep. 30, 2023
Accumulated Other Comprehensive Earnings (Loss)
Accumulated Other Comprehensive Earnings (Loss)	Note 8 — Accumulated Other Comprehensive Earnings (Loss) Accumulated Other Comprehensive Earnings (Loss) consists of the following components: Accumulated Foreign Foreign Postretirement Other Currency Currency Commodity and Pension Comprehensive Translation Investments Derivatives Derivatives Benefits Earnings (Loss) Balance at June 30, 2023 $ (21,357) $ (7,166) $ 79 $ (609) $ 2,355 $ (26,698) Other comprehensive earnings (loss) before reclassifications (543) 567 (209) 1,783 - 1,598 Reclassifications from accumulated other comprehensive loss - - 22 4 (144) (118) Other comprehensive earnings (loss) net of tax (543) 567 (187) 1,787 (144) 1,480 Balance at September 30, 2023 $ (21,900) $ (6,599) $ (108) $ 1,178 $ 2,211 $ (25,218) Balance at June 30, 2022 $ (24,419) $ (7,575) $ 124 $ 76 $ 426 $ (31,368) Other comprehensive earnings (loss) before reclassifications 120 (2,518) (365) (45) - (2,808) Reclassifications from accumulated other comprehensive loss - (3) (37) (55) (157) (252) Other comprehensive earnings (loss) net of tax 120 (2,521) (402) (100) (157) (3,060) Balance at September 30, 2022 $ (24,299) $ (10,096) $ (278) $ (24) $ 269 $ (34,428) Balance at December 31, 2022 $ (23,795) $ (8,809) $ (215) $ 8 $ 2,642 $ (30,169) Other comprehensive earnings (loss) before reclassifications 1,895 2,210 (17) 1,236 - 5,324 Reclassifications from accumulated other comprehensive loss - - 124 (66) (431) (373) Other comprehensive earnings (loss) net of tax 1,895 2,210 107 1,170 (431) 4,951 Balance at September 30, 2023 $ (21,900) $ (6,599) $ (108) $ 1,178 $ 2,211 $ (25,218) Balance at December 31, 2021 $ (24,882) $ (1,286) $ 322 $ 94 $ 739 $ (25,013) Other comprehensive earnings (loss) before reclassifications 583 (8,799) (421) 5 - (8,632) Reclassifications from accumulated other comprehensive loss - (11) (179) (123) (470) (783) Other comprehensive earnings (loss) net of tax 583 (8,810) (600) (118) (470) (9,415) Balance at September 30, 2022 $ (24,299) $ (10,096) $ (278) $ (24) $ 269 $ (34,428) The amounts reclassified from accumulated other comprehensive income (loss) consisted of the following: Details about Accumulated Other Quarter Ended Year to Date Ended Location of (Gain) Loss Comprehensive Income Components September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Recognized in Earnings Investments $ - $ (4) $ (1) $ (14) Other income, net Foreign currency derivatives 27 (48) 163 (236) Other income, net Commodity derivatives 6 (73) (87) (162) Product cost of goods sold Postretirement and pension benefits (188) (207) (567) (620) Other income, net Total before tax (155) (332) (492) (1,032) Tax (expense) benefit 37 80 119 249 Net of tax $ (118) $ (252) $ (373) $ (783)

Restricted Cash

Restricted Cash	9 Months Ended
Restricted Cash	Sep. 30, 2023
Restricted Cash
Restricted Cash	Note 9 — Restricted Cash Restricted cash comprises certain cash deposits of the Company’s Spanish subsidiary with international banks that are pledged as collateral for letters of credit and bank borrowings.

Bank Loans

Bank Loans	9 Months Ended
Bank Loans	Sep. 30, 2023
Bank Loans
Bank Loans	Note 10 — Bank Loans Bank loans consist of short term (less than 120 days) borrowings by the Company’s Spanish subsidiary that are held by international banks. The weighted-average interest rate as of September 30, 2023 and 2022 was 6.8% and 3.1%, respectively.

Leases

Leases	9 Months Ended
Leases	Sep. 30, 2023
Leases
Leases	Note 11 — Leases The Company leases certain buildings, land and equipment that are classified as operating leases. These leases have remaining lease terms of up to approximately 18 years. Operating lease cost totaled $372 and $231 in the third quarter of 2023 and 2022, respectively, and $971 and $783 for the nine months of 2023 and 2022, respectively. Cash paid for operating lease liabilities totaled $354 and $275 in the third quarter of 2023 and 2022, respectively, and $918 and $813 for the nine months of 2023 and 2022, respectively, and is presented in cash flows from operating activities. As of September 30, 2023 and 2022, operating lease right-of-use assets were $5,991 and $4,746, respectively, and operating lease liabilities were $6,075 and $4,769, respectively. The weighted-average remaining lease term related to these operating leases was 12.9 years and 16.1 years as of September 30, 2023 and 2022, respectively. The weighted-average discount rate related to the Company’s operating leases was 3.4% and 3.3% as of September 30, 2023 and 2022, respectively. Maturities of the Company’s operating lease liabilities at September 30, 2023 are as follows: $242 in 2023 (rest of year), $821 in 2024, $702 in 2025, $428 in 2026, $320 in 2027 and $3,562 thereafter. The Company, as lessor, rents certain commercial real estate to third-party lessees. The September 30, 2023 and 2022 cost related to these leased properties was $51,370 and $51,370, respectively, and the accumulated depreciation related to these leased properties was $17,697 and $16,638, respectively. Terms of such leases, including renewal options, may be extended for up to fifty-seven years, many of which provide for periodic adjustment of rent payments based on changes in consumer or other price indices. The Company recognizes lease income on a straight-line basis over the lease term and is classified in cash flows from operating activities. Lease income in third quarter 2023 and 2022 was $1,341 and $1,233, respectively, and for nine months 2023 and 2022 was $3,784 and $3,691, respectively. On August 22, 2023, the Company, as lessee, amended an existing lease agreement to use warehouse space that will commence in the fourth quarter of 2023. The lease amendment secures the balance of the adjacent space in the same industrial building where the Company leases warehouse space under an existing lease that commenced in the second quarter of 2023. The lease amendment is coterminous with the original lease with a remaining term of 4.5 years.

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	9 Months Ended
Significant Accounting Policies (Policies)	Sep. 30, 2023
Significant Accounting Policies
General Information	General Information The foregoing data has been prepared from the unaudited financial records of Tootsie Roll Industries, Inc. (the “Company”). In the opinion of Management, all adjustments, which are of a normal recurring nature, and necessary for a fair statement of the results for the interim period have been reflected. Certain amounts previously reported have been reclassified to conform to the current year presentation. The financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) for interim financial reporting and with the rules and regulations for reporting on Form 10-Q. Accordingly, they do not contain certain information and disclosures required by GAAP for comprehensive financial statements. These consolidated financial statements should be read in conjunction with the consolidated financial statements and the related notes included in the Company’s Form 10-K for the year ended December 31, 2022 (the “2022 Form 10-K”). Results of operations for the period ended September 30, 2023 are not necessarily indicative of results to be expected for the year to end December 31, 2023 because of the seasonal nature of the Company’s operations. Historically, the third quarter has been the Company’s largest net product sales quarter due to pre-Halloween net product sales.
Revenue Recognition	Revenue Recognition The Company’s revenues, primarily net product sales resulting from the sale of goods, reflect the consideration to which the Company expects to be entitled generally based on customer purchase orders. The Company records revenue based on a five-step model in accordance with Accounting Standards Codification ("ASC") Topic 606. Adjustments for estimated customer cash discounts upon payment, discounts for price adjustments, product returns, allowances, and certain advertising and promotional costs, including consumer coupons, are variable consideration and are recorded as a reduction of net product sales revenue in the same period the related net product sales are recorded. Such estimates are calculated using historical averages adjusted for any expected changes due to current business conditions and experience. A net product sale is recorded when the Company delivers the product to the customer or, in certain instances, when the customer picks up the goods at the Company’s distribution center and thereby obtains control of such product. Amounts billed and due from our customers are classified as accounts receivable trade on the balance sheet and require payment on a short-term basis. Accounts receivable trade are unsecured. Shipping and handling costs of $17,997 and $19,060 in third quarter 2023 and 2022, respectively, and $49,662 and $49,754 in nine months 2023 and 2022, respectively, are included in selling, marketing and administrative expenses. Royalty income from sales-based licensing arrangements, pursuant to which revenue is recognized as the third-party licensee sales occur, and rental income are not considered revenue from contracts from customers and are presented separately from net product revenue as rental and royalty revenue.
Leases	Leases The Company identifies leases by evaluating its contracts to determine if the contract conveys the right to use an identified asset for a stated period of time in exchange for consideration. The Company considers whether it can control the underlying asset and have the right to obtain substantially all of the economic benefits or outputs from the asset. Leases with terms greater than 12 months are classified as either operating or finance leases at the commencement date. For these leases, we record the present value of the minimum lease payments over the lease term as a lease liability with an offsetting right-of-use asset that is then presented net of any deferred rent or lease incentives. The discount rate used to calculate the present value of the minimum lease payments is our incremental borrowing rate, as the rate implicit in the lease is generally not known or determinable. The lease term includes any noncancelable period for which the Company has the right to use the asset as well as any future periods to which the Company has the right and intent to extend the lease under the terms of the lease agreement. Currently, all capitalized leases are classified as operating leases and the Company records rental expense on a straight-line basis over the term of the lease.
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements As of the date of this report, there are no recent accounting pronouncements that have been adopted in the period nor any that have not yet been adopted that Management believes would have a material impact on the Company’s consolidated financial statements.

Share Capital and Capital In _2

Share Capital and Capital In Excess of Par Value (Tables)	9 Months Ended
Share Capital and Capital In Excess of Par Value (Tables)	Sep. 30, 2023
Share Capital and Capital In Excess of Par Value
Schedule of changes in share capital and capital in excess of par value	Capital in Class B Excess Common Stock Common Stock Treasury Stock of Par Shares Amount Shares Amount Shares Amount Value (000’s) (000’s) (000’s) Balance at June 30, 2023 40,490 $ 28,118 29,452 $ 20,453 102 $ (1,992) $ 753,839 Issuance of 3% stock dividend - - - - - - - Conversion of Class B common shares to common shares - - - - - - - Purchase and retirement of common shares and other (318) (221) - - - - (10,891) Balance at September 30, 2023 40,172 $ 27,897 29,452 $ 20,453 102 $ (1,992) $ 742,948 Balance at June 30, 2022 40,379 $ 28,041 28,623 $ 19,877 99 $ (1,992) $ 746,026 Issuance of 3% stock dividend - - - - - - - Conversion of Class B common shares to common shares - - - - - - - Purchase and retirement of common shares and other (85) (59) (1) - - - (2,942) Balance at September 30, 2022 40,294 $ 27,982 28,622 $ 19,877 99 $ (1,992) $ 743,084 Balance at December 31, 2022 39,721 $ 27,584 28,607 $ 19,866 99 $ (1,992) $ 719,606 Issuance of 3% stock dividend 1,185 823 858 596 3 - 50,648 Conversion of Class B common shares to common shares 13 9 (13) (9) - - - Purchase and retirement of common shares and other (747) (519) - - - - (27,306) Balance at September 30, 2023 40,172 $ 27,897 29,452 $ 20,453 102 $ (1,992) $ 742,948 Balance at December 31, 2021 39,344 $ 27,322 27,793 $ 19,300 96 $ (1,992) $ 709,880 Issuance of 3% stock dividend 1,176 817 833 579 3 - 41,068 Conversion of Class B common shares to common shares 4 3 (4) (3) - - - Purchase and retirement of common shares and other (230) (160) - 1 - - (7,864) Balance at September 30, 2022 40,294 $ 27,982 28,622 $ 19,877 99 $ (1,992) $ 743,084

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
Fair Value Measurements (Tables)	Sep. 30, 2023
Fair Value Measurements
Schedule of financial assets and liabilities measured at fair value	Estimated Fair Value September 30, 2023 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ 47,320 $ 47,320 $ - $ - Available for sale securities 251,531 4,479 247,052 - Foreign currency derivatives (141) - (141) - Commodity derivatives 1,554 1,554 - - Trading securities 79,754 63,350 16,404 - Total assets measured at fair value $ 380,018 $ 116,703 $ 263,315 $ - Estimated Fair Value December 31, 2022 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ 53,270 $ 53,270 $ - $ - Available for sale securities 272,448 1,889 270,559 - Foreign currency derivatives (282) - (282) - Commodity derivatives 10 10 - - Trading securities 71,208 56,049 15,159 - Total assets measured at fair value $ 396,654 $ 111,218 $ 285,436 $ - Estimated Fair Value September 30, 2022 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ 57,216 $ 57,216 $ - $ - Available for sale securities 262,159 742 261,417 - Foreign currency derivatives (366) - (366) - Commodity derivatives (31) (31) - - Trading securities 67,659 52,900 14,759 - Total assets measured at fair value $ 386,637 $ 110,827 $ 275,810 $ -

Derivative Instruments and He_2

Derivative Instruments and Hedging Activities (Tables)	9 Months Ended
Derivative Instruments and Hedging Activities (Tables)	Sep. 30, 2023
Derivative Instruments and Hedging Activities
Summary of the company's outstanding derivative contracts and their effects on its condensed consolidated statements of financial position	September 30, 2023 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency derivatives $ 10,498 $ 1 $ (142) Commodity derivatives 19,063 1,554 - Total derivatives $ 1,555 $ (142) December 31, 2022 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency derivatives $ 7,264 $ - $ (282) Commodity derivatives 189 10 - Total derivatives $ 10 $ (282) September 30, 2022 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency derivatives $ 6,782 $ 26 $ (392) Commodity derivatives 1,009 1 (32) Total derivatives $ 27 $ (424)
Summary of the effects of derivative instruments on the consolidated statement of earnings and retained earnings, and the condensed consolidated statement of comprehensive earnings	For Quarter Ended September 30, 2023 Gain (Loss) Gain (Loss) on Amount Excluded Gain (Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency derivatives $ (276) $ (27) $ - Commodity derivatives 2,354 (6) - Total $ 2,078 $ (33) $ - For Quarter Ended September 30, 2022 Gain (Loss) Gain (Loss) on Amount Excluded Gain (Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency derivatives $ (483) $ 48 $ - Commodity derivatives (59) 73 - Total $ (542) $ 121 $ - For Year to Date Ended September 30, 2023 Gain (Loss) Gain (Loss) on Amount Excluded Gain (Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency derivatives $ (23) $ (163) $ - Commodity derivatives 1,631 87 - Total $ 1,608 $ (76) $ - For Year to Date Ended September 30, 2022 Gain (Loss) Gain (Loss) on Amount Excluded Gain (Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency derivatives $ (556) $ 236 $ - Commodity derivatives 6 162 - Total $ (550) $ 398 $ -

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Earnings (Loss) (Tables)	9 Months Ended
Accumulated Other Comprehensive Earnings (Loss) (Tables)	Sep. 30, 2023
Accumulated Other Comprehensive Earnings (Loss)
Schedule of accumulated other comprehensive earnings (loss):	Accumulated Foreign Foreign Postretirement Other Currency Currency Commodity and Pension Comprehensive Translation Investments Derivatives Derivatives Benefits Earnings (Loss) Balance at June 30, 2023 $ (21,357) $ (7,166) $ 79 $ (609) $ 2,355 $ (26,698) Other comprehensive earnings (loss) before reclassifications (543) 567 (209) 1,783 - 1,598 Reclassifications from accumulated other comprehensive loss - - 22 4 (144) (118) Other comprehensive earnings (loss) net of tax (543) 567 (187) 1,787 (144) 1,480 Balance at September 30, 2023 $ (21,900) $ (6,599) $ (108) $ 1,178 $ 2,211 $ (25,218) Balance at June 30, 2022 $ (24,419) $ (7,575) $ 124 $ 76 $ 426 $ (31,368) Other comprehensive earnings (loss) before reclassifications 120 (2,518) (365) (45) - (2,808) Reclassifications from accumulated other comprehensive loss - (3) (37) (55) (157) (252) Other comprehensive earnings (loss) net of tax 120 (2,521) (402) (100) (157) (3,060) Balance at September 30, 2022 $ (24,299) $ (10,096) $ (278) $ (24) $ 269 $ (34,428) Balance at December 31, 2022 $ (23,795) $ (8,809) $ (215) $ 8 $ 2,642 $ (30,169) Other comprehensive earnings (loss) before reclassifications 1,895 2,210 (17) 1,236 - 5,324 Reclassifications from accumulated other comprehensive loss - - 124 (66) (431) (373) Other comprehensive earnings (loss) net of tax 1,895 2,210 107 1,170 (431) 4,951 Balance at September 30, 2023 $ (21,900) $ (6,599) $ (108) $ 1,178 $ 2,211 $ (25,218) Balance at December 31, 2021 $ (24,882) $ (1,286) $ 322 $ 94 $ 739 $ (25,013) Other comprehensive earnings (loss) before reclassifications 583 (8,799) (421) 5 - (8,632) Reclassifications from accumulated other comprehensive loss - (11) (179) (123) (470) (783) Other comprehensive earnings (loss) net of tax 583 (8,810) (600) (118) (470) (9,415) Balance at September 30, 2022 $ (24,299) $ (10,096) $ (278) $ (24) $ 269 $ (34,428)
Amount reclassified from accumulated other comprehensive income (loss)	Details about Accumulated Other Quarter Ended Year to Date Ended Location of (Gain) Loss Comprehensive Income Components September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Recognized in Earnings Investments $ - $ (4) $ (1) $ (14) Other income, net Foreign currency derivatives 27 (48) 163 (236) Other income, net Commodity derivatives 6 (73) (87) (162) Product cost of goods sold Postretirement and pension benefits (188) (207) (567) (620) Other income, net Total before tax (155) (332) (492) (1,032) Tax (expense) benefit 37 80 119 249 Net of tax $ (118) $ (252) $ (373) $ (783)

Significant Accounting Polici_3

Significant Accounting Policies (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Revenue Recognition
Selling, marketing and administrative expenses	$ 39,300	$ 35,957	$ 114,656	$ 83,704
Shipping and Handling
Revenue Recognition
Selling, marketing and administrative expenses	$ 17,997	$ 19,060	$ 49,662	$ 49,754

Average Shares Outstanding (Det

Average Shares Outstanding (Details) - USD ($) shares in Thousands, $ in Thousands			3 Months Ended		9 Months Ended
	Apr. 07, 2023	Apr. 08, 2022	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Average Shares Outstanding
Stock purchases (in shares)					747	230
Purchase of common shares					$ 27,550	$ 8,024
Stock dividends (as a percent)			3%	3%	3%	3%
Stock dividend shares distributed	2,040	2,006

Income Taxes (Details)

Income Taxes (Details)	3 Months Ended		9 Months Ended
Income Taxes (Details)	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Income Taxes
Effective income tax rate (as a percent)	23.90%	22.70%	24.10%	23.40%

Share Capital and Capital In _3

Share Capital and Capital In Excess of Par Value (Details) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Changes in share capital and capital in excess of par value
Balance at the beginning of the period			$ 782,882
Balance at the beginning of the period (in shares)			99
Purchase and retirement of common shares and other			$ (27,550)	$ (8,024)
Purchase and retirement of common shares and other (in shares)			(747)	(230)
Balance at the end of the period	$ 803,567	$ 783,323	$ 803,567	$ 783,323
Balance at the end of the period (in shares)	102	99	102	99
Stock dividends (as a percent)	3%	3%	3%	3%
Treasury Stock
Changes in share capital and capital in excess of par value
Balance at the beginning of the period	$ (1,992)	$ (1,992)	$ (1,992)	$ (1,992)
Balance at the beginning of the period (in shares)	102	99	99	96
Issuance of 3% stock dividend (in shares)			3	3
Balance at the end of the period	$ (1,992)	$ (1,992)	$ (1,992)	$ (1,992)
Balance at the end of the period (in shares)	102	99	102	99
Capital in Excess of Par Value
Changes in share capital and capital in excess of par value
Balance at the beginning of the period	$ 753,839	$ 746,026	$ 719,606	$ 709,880
Issuance of 3% stock dividend			50,648	41,068
Purchase and retirement of common shares and other	(10,891)	(2,942)	(27,306)	(7,864)
Balance at the end of the period	742,948	743,084	742,948	743,084
Class B Common Stock \| Common Stock.
Changes in share capital and capital in excess of par value
Balance at the beginning of the period	$ 20,453	$ 19,877	$ 19,866	$ 19,300
Balance at the beginning of the period (in shares)	29,452	28,623	28,607	27,793
Issuance of 3% stock dividend			$ 596	$ 579
Issuance of 3% stock dividend (in shares)			858	833
Conversion of Class B common shares to common shares			$ (9)	$ (3)
Conversion of Class B common shares to common shares (in shares)			(13)	(4)
Purchase and retirement of common shares and other				$ 1
Purchase and retirement of common shares and other (in shares)		(1)
Balance at the end of the period	$ 20,453	$ 19,877	$ 20,453	$ 19,877
Balance at the end of the period (in shares)	29,452	28,622	29,452	28,622
Common Stock \| Common Stock.
Changes in share capital and capital in excess of par value
Balance at the beginning of the period	$ 28,118	$ 28,041	$ 27,584	$ 27,322
Balance at the beginning of the period (in shares)	40,490	40,379	39,721	39,344
Issuance of 3% stock dividend			$ 823	$ 817
Issuance of 3% stock dividend (in shares)			1,185	1,176
Conversion of Class B common shares to common shares			$ 9	$ 3
Conversion of Class B common shares to common shares (in shares)			13	4
Purchase and retirement of common shares and other	$ (221)	$ (59)	$ (519)	$ (160)
Purchase and retirement of common shares and other (in shares)	(318)	(85)	(747)	(230)
Balance at the end of the period	$ 27,897	$ 27,982	$ 27,897	$ 27,982
Balance at the end of the period (in shares)	40,172	40,294	40,172	40,294

Fair Value Measurements - Bonds

Fair Value Measurements - Bonds (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022
Fair Value Measurements
Industrial revenue development bonds, carrying amount, approximates fair value	$ 7,500	$ 7,500	$ 7,500
Cost Basis \| Level 2
Fair Value Measurements
Industrial revenue development bonds, carrying amount, approximates fair value	$ 7,500	$ 7,500	$ 7,500

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022
Fair Value Measurements
Cash and cash equivalents	$ 47,320	$ 53,270	$ 57,216
Fair value measured on a recurring basis
Fair Value Measurements
Cash and cash equivalents	47,320	53,270	57,216
Available for sale securities	251,531	272,448	262,159
Trading securities	79,754	71,208	67,659
Total assets measured at fair value	380,018	396,654	386,637
Fair value measured on a recurring basis \| Foreign currency derivatives.
Fair Value Measurements
Derivative instruments, net	(141)	(282)	(366)
Fair value measured on a recurring basis \| Commodity derivatives
Fair Value Measurements
Derivative instruments, net	1,554	10	(31)
Fair value measured on a recurring basis \| Level 1
Fair Value Measurements
Cash and cash equivalents	47,320	53,270	57,216
Available for sale securities	4,479	1,889	742
Trading securities	63,350	56,049	52,900
Total assets measured at fair value	116,703	111,218	110,827
Fair value measured on a recurring basis \| Level 1 \| Commodity derivatives
Fair Value Measurements
Derivative instruments, net	1,554	10	(31)
Fair value measured on a recurring basis \| Level 2
Fair Value Measurements
Available for sale securities	247,052	270,559	261,417
Trading securities	16,404	15,159	14,759
Total assets measured at fair value	263,315	285,436	275,810
Fair value measured on a recurring basis \| Level 2 \| Foreign currency derivatives.
Fair Value Measurements
Derivative instruments, net	$ (141)	$ (282)	$ (366)

Derivative Instruments and He_3

Derivative Instruments and Hedging Activities (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2025	Dec. 31, 2024	Dec. 31, 2023	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022
Derivative Instruments and Hedging Activities
Assets				$ 1,555	$ 10	$ 27
Liabilities				(142)	(282)	(424)
Derivatives designated as hedging instruments: \| Foreign currency derivatives.
Derivative Instruments and Hedging Activities
Notional Amounts				10,498	7,264	6,782
Assets				1		26
Liabilities				(142)	(282)	(392)
Derivatives designated as hedging instruments: \| Commodity derivatives
Derivative Instruments and Hedging Activities
Notional Amounts				19,063	189	1,009
Assets				$ 1,554	$ 10	1
Liabilities						$ (32)
Forecast
Derivative Instruments and Hedging Activities
Accumulated comprehensive loss to be reclassified	$ 261	$ 1,293
Forecast \| Foreign currency derivatives.
Derivative Instruments and Hedging Activities
Accumulated other comprehensive loss to be reclassified		$ (96)	$ (45)

Derivative Instruments and He_4

Derivative Instruments and Hedging Activities - OCI (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Derivative Instruments and Hedging Activities
Gain (Loss) Recognized in OCI	$ 2,078	$ (542)	$ 1,608	$ (550)
Reclassified from Accumulated OCI into Earnings
Derivative Instruments and Hedging Activities
Gain (Loss) Reclassified from Accumulated OCI into Earnings	(33)	121	(76)	398
Foreign currency derivatives.
Derivative Instruments and Hedging Activities
Gain (Loss) Recognized in OCI	(276)	(483)	(23)	(556)
Foreign currency derivatives. \| Reclassified from Accumulated OCI into Earnings
Derivative Instruments and Hedging Activities
Gain (Loss) Reclassified from Accumulated OCI into Earnings	(27)	48	(163)	236
Commodity derivatives
Derivative Instruments and Hedging Activities
Gain (Loss) Recognized in OCI	2,354	(59)	1,631	6
Commodity derivatives \| Reclassified from Accumulated OCI into Earnings
Derivative Instruments and Hedging Activities
Gain (Loss) Reclassified from Accumulated OCI into Earnings	$ (6)	$ 73	$ 87	$ 162

Pension Plans (Details)

Pension Plans (Details) - Multi-employer defined benefit pension plan - Consenting agreement entered with local bargaining union - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Pension Plans
Insolvent period	20 years
Estimated liability upon withdrawal from plan			$ 96,000	$ 104,300	$ 99,300
Percentage of annual compounded surcharge for rehabilitation	5%
Pension expense	$ 2,785	$ 2,754	3,510	3,156
Surcharges	$ 982	$ 971	$ 1,237	$ 1,112

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Earnings (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period			$ 783,171
Balance at the end of the period	$ 803,874	$ 783,601	803,874	$ 783,601
Foreign Currency Translation
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	(21,357)	(24,419)	(23,795)	(24,882)
Other comprehensive earnings (loss) before reclassifications	(543)	120	1,895	583
Other comprehensive earnings (loss) net of tax	(543)	120	1,895	583
Balance at the end of the period	(21,900)	(24,299)	(21,900)	(24,299)
Investments
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	(7,166)	(7,575)	(8,809)	(1,286)
Other comprehensive earnings (loss) before reclassifications	567	(2,518)	2,210	(8,799)
Reclassifications from accumulated other comprehensive loss		(3)		(11)
Other comprehensive earnings (loss) net of tax	567	(2,521)	2,210	(8,810)
Balance at the end of the period	(6,599)	(10,096)	(6,599)	(10,096)
Foreign Currency Derivatives
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	79	124	(215)	322
Other comprehensive earnings (loss) before reclassifications	(209)	(365)	(17)	(421)
Reclassifications from accumulated other comprehensive loss	22	(37)	124	(179)
Other comprehensive earnings (loss) net of tax	(187)	(402)	107	(600)
Balance at the end of the period	(108)	(278)	(108)	(278)
Commodity Derivatives
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	(609)	76	8	94
Other comprehensive earnings (loss) before reclassifications	1,783	(45)	1,236	5
Reclassifications from accumulated other comprehensive loss	4	(55)	(66)	(123)
Other comprehensive earnings (loss) net of tax	1,787	(100)	1,170	(118)
Balance at the end of the period	1,178	(24)	1,178	(24)
Postretirement and Pension Benefits
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	2,355	426	2,642	739
Reclassifications from accumulated other comprehensive loss	(144)	(157)	(431)	(470)
Other comprehensive earnings (loss) net of tax	(144)	(157)	(431)	(470)
Balance at the end of the period	2,211	269	2,211	269
Accumulated Other Comprehensive Earnings (Loss).
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	(26,698)	(31,368)	(30,169)	(25,013)
Other comprehensive earnings (loss) before reclassifications	1,598	(2,808)	5,324	(8,632)
Reclassifications from accumulated other comprehensive loss	(118)	(252)	(373)	(783)
Other comprehensive earnings (loss) net of tax	1,480	(3,060)	4,951	(9,415)
Balance at the end of the period	$ (25,218)	$ (34,428)	$ (25,218)	$ (34,428)

Accumulated Other Comprehensi_4

Accumulated Other Comprehensive Earnings (Loss) - Reclassification from AOCI (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other income, net	$ 718	$ 1,246	$ (8,866)	$ 17,399
Cost of goods sold	164,652	141,631	383,984	330,148
Total before tax	(45,182)	(34,339)	(82,315)	(65,999)
Tax (expense) benefit	10,805	7,778	19,824	15,438
Net of tax	(34,377)	(26,561)	(62,491)	(50,561)
Reclassified from Accumulated OCI into Earnings
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Total before tax	(155)	(332)	(492)	(1,032)
Tax (expense) benefit	37	80	119	249
Net of tax	(118)	(252)	(373)	(783)
Investments \| Reclassified from Accumulated OCI into Earnings
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other income, net		(4)	(1)	(14)
Foreign Currency Derivatives \| Reclassified from Accumulated OCI into Earnings
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other income, net	27	(48)	163	(236)
Commodity Derivatives \| Reclassified from Accumulated OCI into Earnings
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Cost of goods sold	$ 6	$ (73)	$ (87)	$ (162)
Type of Cost, Good or Service [Extensible List]	Product	Product	Product	Product
Postretirement and Pension Benefits \| Reclassified from Accumulated OCI into Earnings
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other income, net	$ (188)	$ (207)	$ (567)	$ (620)

Bank Loans (Details)

Bank Loans (Details) - Spanish Companies	9 Months Ended
Bank Loans (Details) - Spanish Companies	Sep. 30, 2023	Sep. 30, 2022
Bank Loans
Weighted interest rate (as a percent)	6.80%	3.10%
Maximum
Bank Loans
Maturity period	120 days

Leases (Details)

Leases (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Leases (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Aug. 22, 2023	Dec. 31, 2022
Leases
Operating lease cost	$ 372	$ 231	$ 971	$ 783
Operating lease payments	354	275	918	813
Operating lease right-of-use assets	5,991	4,746	5,991	4,746		$ 4,703
Operating lease liabilities	$ 6,075	$ 4,769	$ 6,075	$ 4,769
Weighted average remaining lease term	12 years 10 months 24 days	16 years 1 month 6 days	12 years 10 months 24 days	16 years 1 month 6 days
Weighted average discount rate	3.40%	3.30%	3.40%	3.30%
2023 (rest of year)	$ 242		$ 242
2024	821		821
2025	702		702
2026	428		428
2027	320		320
Thereafter	3,562		$ 3,562
Lessor, Operating Lease, Existence of Option to Extend [true false]			true
Property, plant and equipment, gross	660,217	$ 635,446	$ 660,217	$ 635,446		$ 641,182
Lease income	$ 1,341	1,233	$ 3,784	3,691
Amended lease term					4 years 6 months
Maximum
Leases
Remaining lease term	18 years		18 years
Commercial real estate leased to third parties
Leases
Property, plant and equipment, gross	$ 51,370	$ 51,370	$ 51,370	51,370
Depreciation			$ 17,697	$ 16,638
Commercial real estate leased to third parties \| Maximum
Leases
Lessor, renewal term	57 years		57 years