Stock-based Compensation (Tables)
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6 Months Ended |
Jun. 30, 2023 |
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| Share-based Compensation Arrangement by Share-based Payment Award [Line Items] |
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| Stock Options And Performance Award Fair Value Assumptions |
We calculated the fair value of stock options on the date of grant using the Black-Scholes-Merton model and the assumptions listed below:
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January 2022 Grant |
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January 2021 Grant |
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March 2020 Grant |
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Grant date price per share of stock
option award |
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$ |
32.19 |
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$ |
29.84 |
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$ |
19.63 |
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Expected dividend yield per share |
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0.00 |
% |
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0.00 |
% |
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0.00 |
% |
Expected life in years |
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6.76 |
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6.64 |
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6.40 |
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Expected volatility |
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54.50 |
% |
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54.80 |
% |
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42.85 |
% |
Risk-free interest rate |
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1.52 |
% |
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0.59 |
% |
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|
0.87 |
% |
Grant date fair value per share of option
awards |
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$ |
17.58 |
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$ |
15.79 |
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$ |
8.42 |
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| Summary of Performance Stock Units |
The following table shows a summary of the performance stock units as of June 30, 2023:
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Performance Period |
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Minimum
Shares |
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Target
Shares |
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Maximum
Shares |
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Market Condition Units |
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2021 – 2023 |
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66,968 |
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115,036 |
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163,104 |
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2022 – 2024 |
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17,788 |
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117,937 |
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218,086 |
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2023 – 2025 |
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0 |
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78,411 |
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156,822 |
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Performance Condition Units |
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2023 – 2025 |
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0 |
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188,238 |
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376,476 |
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| Summary of Status and Activity of Non-Vested Stock Units |
The following table shows a summary of the status and activity of non-vested stock units:
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Restricted
Stock Units |
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Performance
Stock Units |
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Total
Stock Units |
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Weighted Average
Grant Date Fair
Value per Unit |
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Non-vested at December 31, 2022 |
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524,612 |
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237,032 |
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761,644 |
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$ |
32.40 |
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Granted |
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232,494 |
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267,073 |
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499,567 |
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$ |
30.75 |
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Credited from dividends |
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3,469 |
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1,594 |
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5,063 |
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$ |
26.89 |
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Vested |
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(216,257 |
) |
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0 |
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(216,257 |
) |
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$ |
26.30 |
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Forfeited |
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(13,609 |
) |
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(6,077 |
) |
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(19,686 |
) |
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$ |
32.50 |
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Non-vested at June 30, 2023 |
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530,709 |
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499,622 |
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1,030,331 |
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$ |
32.85 |
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| Summary of Status and Activity of Stock Options |
The following table shows a summary of the status and activity of stock options:
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Options |
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Weighted Average
Exercise Price
per Option |
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Weighted Average
Remaining
Contractual Term
(in years) |
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Aggregate Intrinsic
Value (in millions) |
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Outstanding at December 31, 2022 |
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1,122,136 |
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$ |
27.05 |
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Exercised |
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(63,974 |
) |
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$ |
18.76 |
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Expired |
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(50,031 |
) |
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$ |
42.16 |
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Outstanding at June 30, 2023 |
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1,008,131 |
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$ |
26.83 |
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4.55 |
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$ |
9.0 |
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Exercisable at June 30, 2023 |
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846,655 |
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$ |
26.56 |
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3.94 |
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$ |
8.1 |
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| Schedule of Stock-based Compensation Expense Recognized |
The following table presents total stock-based compensation expense recognized under our LTIP and employee stock purchase plan:
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Three Months Ended June 30, |
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Six Months Ended June 30, |
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2023 |
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2022 |
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2023 |
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2022 |
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(Dollars in millions) |
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Stock-based compensation expense recognized: |
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Selling, general and administrative expenses |
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$ |
3.8 |
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$ |
3.2 |
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$ |
7.8 |
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$ |
6.7 |
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Less related income tax benefit |
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1.1 |
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1.1 |
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2.2 |
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2.3 |
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Decrease in net income attributable to Koppers |
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$ |
2.7 |
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$ |
2.1 |
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$ |
5.6 |
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$ |
4.4 |
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Intrinsic value of exercised stock options |
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$ |
0.2 |
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$ |
0.0 |
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$ |
0.9 |
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$ |
0.0 |
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Cash received from the exercise of stock options |
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$ |
0.3 |
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$ |
0.0 |
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$ |
1.2 |
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$ |
0.0 |
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| Performance Stock Units [Member] |
|
| Share-based Compensation Arrangement by Share-based Payment Award [Line Items] |
|
| Stock Options And Performance Award Fair Value Assumptions |
We calculated the fair value of the performance stock unit awards with a market condition on the date of grant using the assumptions listed below:
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January 2023 Grant |
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January 2022 Grant |
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January 2021 Grant |
|
Grant date price per share of performance
award |
|
$ |
29.01 |
|
|
$ |
32.19 |
|
|
$ |
29.84 |
|
Expected volatility |
|
|
66.30 |
% |
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|
66.90 |
% |
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|
68.70 |
% |
Risk-free interest rate |
|
|
4.11 |
% |
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|
1.10 |
% |
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|
0.16 |
% |
Look-back period in years |
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3.00 |
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3.00 |
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3.00 |
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Grant date fair value per share |
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$ |
39.51 |
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$ |
45.19 |
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$ |
41.50 |
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