Revenue

6 Months Ended

Jun. 30, 2023

Revenue from Contract with Customer [Abstract]

Revenue from Contract with Customer [Text Block]

Revenue

Revenue is recognized for manufactured parts at a point in time, generally when products are shipped or delivered. The Company usually enters into agreements with customers to produce products at the beginning of a vehicle’s life. Blanket purchase orders received from customers and related documents generally establish the annual terms, including pricing, related to a vehicle model. Customers typically pay for parts based on customary business practices with payment terms generally between 30 and 90 days.

Revenue by customer group for the three months ended June 30, 2023 was as follows:

	North America		Europe		Asia Pacific		South America		Corporate, Eliminations and Other		Consolidated
Passenger and Light Duty	$	359,797	$	171,368	$	111,046	$	33,511	$	—	$	675,722
Commercial	4,532		6,487		173		3		1,897		13,092
Other	4,481		42		3		—		30,400		34,926
Revenue	$	368,810	$	177,897	$	111,222	$	33,514	$	32,297	$	723,740

Revenue by customer group for the six months ended June 30, 2023 was as follows:

	North America		Europe		Asia Pacific		South America		Corporate, Eliminations and Other		Consolidated
Passenger and Light Duty	$	716,923	$	326,561	$	205,661	$	62,349	$	—	$	1,311,494
Commercial	8,637		13,009		343		6		3,679		25,674
Other	8,377		182		3		—		60,468		69,030
Revenue	$	733,937	$	339,752	$	206,007	$	62,355	$	64,147	$	1,406,198

Revenue by customer group for the three months ended June 30, 2022 was as follows:

	North America		Europe		Asia Pacific		South America		Corporate, Eliminations and Other		Consolidated
Passenger and Light Duty	$	323,532	$	120,693	$	85,338	$	26,256	$	—	$	555,819
Commercial	4,049		5,546		441		5		1,665		11,706
Other	4,106		48		—		—		34,238		38,392
Revenue	$	331,687	$	126,287	$	85,779	$	26,261	$	35,903	$	605,917

Revenue by customer group for the six months ended June 30, 2022 was as follows:

	North America		Europe		Asia Pacific		South America		Corporate, Eliminations and Other		Consolidated
Passenger and Light Duty	$	638,119	$	246,061	$	188,742	$	47,769	$	—	$	1,120,691
Commercial	7,723		11,469		788		11		3,322		23,313
Other	7,739		171		2		—		66,985		74,897
Revenue	$	653,581	$	257,701	$	189,532	$	47,780	$	70,307	$	1,218,901

The passenger and light duty customer group consists of sales to automotive OEMs and automotive suppliers, while the commercial customer group represents sales to OEMs of on- and off-highway commercial equipment and vehicles. The other customer group includes sales related to specialty and adjacent markets.

Substantially all of the Company’s revenues were generated from sealing and fluid handling (consisting of fuel and brake delivery and fluid transfer) systems for use in passenger vehicles and light trucks manufactured by global OEMs.

A summary of the Company’s products is as follows:

Product Line	Description
Sealing Systems	Protect vehicle interiors from weather, dust and noise intrusion for improved driving experience; provide aesthetic and functional class-A exterior surface treatment
Fuel and Brake Delivery Systems	Sense, deliver and control fluids to fuel and brake systems
Fluid Transfer Systems	Sense, deliver and control fluids and vapors for optimal powertrain & HVAC operation

Revenue by product line for the three months ended June 30, 2023 was as follows:

	North America		Europe		Asia Pacific		South America		Corporate, Eliminations and Other		Consolidated
Sealing systems	$	138,153	$	141,656	$	69,881	$	24,913	$	—	$	374,603
Fluid handling:
Fuel and brake delivery systems	125,152		32,113		23,442		6,487		—		187,194
Fluid transfer systems	105,505		4,128		17,899		2,114		—		129,646
Total fluid handling	230,657		36,241		41,341		8,601		—		316,840
Other	—		—		—		—		32,297		32,297
Revenue	$	368,810	$	177,897	$	111,222	$	33,514	$	32,297	$	723,740

Revenue by product line for the six months ended June 30, 2023 was as follows:

	North America		Europe		Asia Pacific		South America		Corporate, Eliminations and Other		Consolidated
Sealing systems	$	276,274	$	272,631	$	129,280	$	47,553	$	—	$	725,738
Fluid handling:
Fuel and brake delivery systems	244,447		58,604		42,349		10,934		—		356,334
Fluid transfer systems	213,216		8,517		34,378		3,868		—		259,979
Total fluid handling	457,663		67,121		76,727		14,802		—		616,313
Other	—		—		—		—		64,147		64,147
Revenue	$	733,937	$	339,752	$	206,007	$	62,355	$	64,147	$	1,406,198

Revenue by product line for the three months ended June 30, 2022 was as follows:

	North America		Europe		Asia Pacific		South America		Corporate, Eliminations and Other		Consolidated
Sealing systems	$	127,345	$	101,951	$	49,874	$	19,235	$	—	$	298,405
Fluid handling:
Fuel and brake delivery systems	107,614		21,638		20,481		4,814		—		154,547
Fluid transfer systems	96,728		2,698		15,424		2,212		—		117,062
Total fluid handling	204,342		24,336		35,905		7,026		—		271,609
Other	—		—		—		—		35,903		35,903
Revenue	$	331,687	$	126,287	$	85,779	$	26,261	$	35,903	$	605,917

Revenue by product line for the six months ended June 30, 2022 was as follows:

	North America		Europe		Asia Pacific		South America		Corporate, Eliminations and Other		Consolidated
Sealing systems	$	254,897	$	207,085	$	112,910	$	35,345	$	—	$	610,237
Fluid handling:
Fuel and brake delivery systems	210,335		44,676		44,228		8,375		—		307,614
Fluid transfer systems	188,349		5,940		32,394		4,060		—		230,743
Total fluid handling	398,684		50,616		76,622		12,435		—		538,357
Other	—		—		—		—		70,307		70,307
Revenue	$	653,581	$	257,701	$	189,532	$	47,780	$	70,307	$	1,218,901

Contract Estimates

The amount of revenue recognized is usually based on the purchase order price and adjusted for variable consideration, including pricing concessions. The Company accrues for pricing concessions by reducing revenue as products are shipped or delivered. The accruals are based on historical experience, anticipated performance and management’s best judgment. The Company also generally has ongoing adjustments to customer pricing arrangements based on the content and cost of its products. Such pricing accruals are adjusted as they are settled with customers. Customer returns, which are infrequent, are usually related to quality or shipment issues and are recorded as a reduction of revenue. The Company generally does not recognize significant return obligations due to their infrequent nature.

Contract Balances

The Company’s contract assets consist of unbilled amounts associated with variable pricing arrangements in the Asia Pacific region. Once pricing is finalized, contract assets are transferred to accounts receivable. As a result, the timing of revenue recognition and billings, as well as changes in foreign exchange rates, will impact contract assets on an ongoing basis. Contract assets were not materially impacted by any other factors during the six months ended June 30, 2023.

The Company’s contract liabilities consist of advance payments received from customers. Net contract assets (liabilities) consisted of the following:

	June 30, 2023		December 31, 2022		Change
Contract assets	$	582	$	530	$	52
Contract liabilities	(15)		(15)		—
Net contract assets (liabilities)	$	567	$	515	$	52

Other

The Company, at times, enters into agreements that provide for lump sum payments to customers. These payment agreements are recorded as a reduction of revenue during the period the commitment is made, unless the payment is contractually recoverable. Amounts related to commitments of future payments to customers in the condensed consolidated balance sheets as of June 30, 2023 and December 31, 2022 were current liabilities of $11,089 and $9,325, respectively, and long-term liabilities of $4,656 and $5,899, respectively.

The Company provides assurance-type warranties to its customers. Such warranties provide customers with assurance that the related product will function as intended and complies with any agreed-upon specifications, and are recognized in costs of products sold.