Segment Information

6 Months Ended

Jun. 30, 2019

Segment Information [Abstract]

Segment Information

4.    Segment Information

Operating results by segment for the periods presented are as follows:

(In thousands)	Flavors & Fragrances		Color		Asia Pacific		Corporate & Other			Consolidated
Three months ended June 30, 2019:
Revenue from external customers	$	174,534	$	135,650	$	29,002	$	-		$	339,186
Intersegment revenue		5,600		3,262		-		-			8,862
Total revenue	$	180,134	$	138,912	$	29,002	$	-		$	348,048
Operating income (loss)	$	20,050	$	27,877	$	4,201	$	(4,760	)	$	47,368
Interest expense		-		-		-		5,200			5,200
Earnings (loss) before income taxes	$	20,050	$	27,877	$	4,201	$	(9,960	)	$	42,168
Three months ended June 30, 2018:
Revenue from external customers	$	191,818	$	140,702	$	30,521	$	-		$	363,041
Intersegment revenue		6,840		3,589		-		-			10,429
Total revenue	$	198,658	$	144,291	$	30,521	$	-		$	373,470
Operating income (loss)	$	24,001	$	31,133	$	4,634	$	(7,587	)	$	52,181
Interest expense		-		-		-		5,555			5,555
Earnings (loss) before income taxes	$	24,001	$	31,133	$	4,634	$	(13,142	)	$	46,626

(In thousands)	Flavors & Fragrances		Color		Asia Pacific		Corporate & Other			Consolidated
Six months ended June 30, 2019:
Revenue from external customers	$	353,278	$	275,900	$	57,521	$	-		$	686,699
Intersegment revenue		10,409		6,891		-		-			17,300
Total revenue	$	363,687	$	282,791	$	57,521	$	-		$	703,999
Operating income (loss)	$	43,175	$	58,076	$	8,419	$	(12,882	)	$	96,788
Interest expense		-		-		-		10,602			10,602
Earnings (loss) before income taxes	$	43,175	$	58,076	$	8,419	$	(23,484	)	$	86,186
Six months ended June 30, 2018:
Revenue from external customers	$	374,300	$	284,430	$	60,788	$	-		$	719,518
Intersegment revenue		12,704		7,021		-		-			19,725
Total revenue	$	387,004	$	291,451	$	60,788	$	-		$	739,243
Operating income (loss)	$	49,328	$	64,805	$	9,506	$	(15,777	)	$	107,862
Interest expense		-		-		-		11,110			11,110
Earnings (loss) before income taxes	$	49,328	$	64,805	$	9,506	$	(26,887	)	$	96,752

The Company evaluates performance based on operating income of the respective segments before restructuring and other costs, interest expense, and income taxes. There were no restructuring and other costs incurred in either the first six months of 2019 or 2018.

In July 2018, the Company completed the acquisition of Mazza Innovation Limited (See Note 2, Acquisitions, for further information). This business was included in Corporate & Other in 2018. Beginning in the first quarter of 2019, the results of operations of this business are now reported in the Color segment. The results for 2018 have been restated to reflect this change.

In addition to evaluating the Company’s performance based on the segments above, revenue is also disaggregated and analyzed by product line and geographic market. The following tables display the Company’s revenue by these major sources.

Product Lines

(In thousands)	Flavors & Fragrances			Color			Asia Pacific		Consolidated
Three months ended June 30, 2019:
Flavors	$	101,495		$	-		$	-	$	101,495
Natural Ingredients		52,425			-			-		52,425
Fragrances		26,214			-			-		26,214
Food & Beverage Colors		-			79,374			-		79,374
Cosmetics		-			35,855			-		35,855
Other Colors		-			23,683			-		23,683
Asia Pacific		-			-			29,002		29,002
Intersegment Revenue		(5,600	)		(3,262	)		-		(8,862	)
Total revenue from external customers	$	174,534		$	135,650		$	29,002	$	339,186
Three months ended June 30, 2018:
Flavors	$	115,222		$	-		$	-	$	115,222
Natural Ingredients		56,197			-			-		56,197
Fragrances		27,239			-			-		27,239
Food & Beverage Colors		-			77,467			-		77,467
Cosmetics		-			40,727			-		40,727
Other Colors		-			26,097			-		26,097
Asia Pacific		-			-			30,521		30,521
Intersegment Revenue		(6,840	)		(3,589	)		-		(10,429	)
Total revenue from external customers	$	191,818		$	140,702		$	30,521	$	363,041

Product Lines

(In thousands)	Flavors & Fragrances			Color			Asia Pacific		Consolidated
Six months ended June 30, 2019:
Flavors	$	205,771		$	-		$	-	$	205,771
Natural Ingredients		103,644			-			-		103,644
Fragrances		54,272			-			-		54,272
Food & Beverage Colors		-			159,738			-		159,738
Cosmetics		-			74,138			-		74,138
Other Colors		-			48,915			-		48,915
Asia Pacific		-			-			57,521		57,521
Intersegment Revenue		(10,409	)		(6,891	)		-		(17,300	)
Total revenue from external customers	$	353,278		$	275,900		$	57,521	$	686,699
Six months ended June 30, 2018:
Flavors	$	224,273		$	-		$	-	$	224,273
Natural Ingredients		109,398			-			-		109,398
Fragrances		53,333			-			-		53,333
Food & Beverage Colors		-			154,283			-		154,283
Cosmetics		-			86,231			-		86,231
Other Colors		-			50,937			-		50,937
Asia Pacific		-			-			60,788		60,788
Intersegment Revenue		(12,704	)		(7,021	)		-		(19,725	)
Total revenue from external customers	$	374,300		$	284,430		$	60,788	$	719,518

Geographic Markets

(In thousands)	Flavors & Fragrances		Color		Asia Pacific		Consolidated
Three months ended June 30, 2019:
North America	$	113,115	$	65,301	$	37	$	178,453
Europe		41,323		38,682		107		80,112
Asia Pacific		9,430		15,112		28,722		53,264
Other		10,666		16,555		136		27,357
Total revenue from external customers	$	174,534	$	135,650	$	29,002	$	339,186
Three months ended June 30, 2018:
North America	$	127,196	$	63,738	$	-	$	190,934
Europe		44,964		41,127		24		86,115
Asia Pacific		9,069		17,641		30,284		56,994
Other		10,589		18,196		213		28,998
Total revenue from external customers	$	191,818	$	140,702	$	30,521	$	363,041

Geographic Markets

(In thousands)	Flavors & Fragrances		Color		Asia Pacific		Consolidated
Six months ended June 30, 2019:
North America	$	225,862	$	131,308	$	62	$	357,232
Europe		89,324		80,817		148		170,289
Asia Pacific		17,039		31,537		56,988		105,564
Other		21,053		32,238		323		53,614
Total revenue from external customers	$	353,278	$	275,900	$	57,521	$	686,699
Six months ended June 30, 2018:
North America	$	246,251	$	127,320	$	-	$	373,571
Europe		90,391		84,758		30		175,179
Asia Pacific		16,091		34,551		60,295		110,937
Other		21,567		37,801		463		59,831
Total revenue from external customers	$	374,300	$	284,430	$	60,788	$	719,518