QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
For the quarterly period ended:
|
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
For the transition period from
|
to
|
|
|
|
(State or other jurisdiction of incorporation or organization)
|
(I.R.S. Employer Identification Number)
|
Registrant’s telephone number, including area code:
|
(
|
Title of each class
|
Trading Symbol(s)
|
Name of each exchange on which registered
|
|
|
|
|
Accelerated Filer ☐
|
Non-Accelerated Filer ☐
|
Smaller Reporting Company
|
Emerging Growth Company
|
Class
|
Outstanding at April 26, 2023
|
|
Common Stock, par value $0.10 per share
|
|
Page No.
|
|||
PART I. FINANCIAL INFORMATION:
|
|||
Item 1.
|
Financial Statements:
|
||
1
|
|||
2
|
|||
3
|
|||
4
|
|||
5
|
|||
6
|
|||
Item 2.
|
11
|
||
Item 3.
|
14
|
||
Item 4.
|
14
|
||
PART II. OTHER INFORMATION:
|
|||
Item 1.
|
15
|
||
Item 1A.
|
15
|
||
Item 2.
|
15
|
||
Item 6.
|
15
|
||
16
|
|||
17 |
PART I. |
FINANCIAL INFORMATION
|
ITEM 1. |
FINANCIAL STATEMENTS
|
Three Months
Ended March 31,
|
||||||||
2023
|
2022
|
|||||||
Revenue
|
$
|
|
$
|
|
||||
Cost of products sold
|
|
|
||||||
Selling and administrative expenses
|
|
|
||||||
Operating income
|
|
|
||||||
Interest expense
|
|
|
||||||
Earnings before income taxes
|
|
|
||||||
Income taxes
|
|
|
||||||
Net earnings
|
$
|
|
$
|
|
||||
Weighted average number of common shares outstanding:
|
||||||||
Basic
|
|
|
||||||
Diluted
|
|
|
||||||
Earnings per common share:
|
||||||||
Basic
|
$
|
|
$
|
|
||||
Diluted
|
$
|
|
$
|
|
||||
Dividends declared per common share
|
$
|
|
$
|
|
Three Months
Ended March 31,
|
||||||||
2023
|
2022
|
|||||||
Comprehensive income
|
$
|
|
$
|
|
|
March 31,
2023
(Unaudited)
|
December 31,
2022
|
||||||
Assets |
||||||||
Current Assets:
|
||||||||
Cash and cash equivalents
|
$
|
|
$
|
|
||||
Trade accounts receivable
|
|
|
||||||
Inventories
|
|
|
||||||
Prepaid expenses and other current assets
|
|
|
||||||
Total current assets
|
|
|
||||||
Other assets
|
|
|
||||||
Deferred tax assets
|
|
|
||||||
Intangible assets, net
|
|
|
||||||
Goodwill
|
|
|
||||||
Property, Plant, and Equipment:
|
||||||||
Land
|
|
|
||||||
Buildings
|
|
|
||||||
Machinery and equipment
|
|
|
||||||
Construction in progress
|
|
|
||||||
|
|
|||||||
Less accumulated depreciation
|
(
|
)
|
(
|
)
|
||||
|
|
|||||||
Total assets
|
$
|
|
$
|
|
||||
Liabilities
and Shareholders’ Equity
|
||||||||
Current Liabilities:
|
||||||||
Trade accounts payable
|
$
|
|
$
|
|
||||
Accrued salaries, wages, and withholdings from employees
|
|
|
||||||
Other accrued expenses
|
|
|
||||||
Income taxes
|
|
|
||||||
Short-term borrowings
|
|
|
||||||
Total current liabilities
|
|
|
||||||
Deferred tax liabilities
|
|
|
||||||
Other liabilities
|
|
|
||||||
Accrued employee and retiree benefits
|
|
|
||||||
Long-term debt
|
|
|
||||||
Shareholders’ Equity:
|
||||||||
Common stock
|
|
|
||||||
Additional paid-in capital
|
|
|
||||||
Earnings reinvested in the business
|
|
|
||||||
Treasury stock, at cost
|
(
|
)
|
(
|
)
|
||||
Accumulated other comprehensive loss
|
(
|
)
|
(
|
)
|
||||
Total shareholders’ equity
|
|
|
||||||
Total liabilities and shareholders’ equity
|
$
|
|
$
|
|
Three Months
Ended March 31,
|
||||||||
2023
|
2022
|
|||||||
Cash flows from operating activities:
|
||||||||
Net earnings
|
$
|
|
$
|
|
||||
Adjustments to arrive at net cash provided by operating activities:
|
||||||||
Depreciation and amortization
|
|
|
||||||
Share-based compensation expense
|
|
|
||||||
Net loss (gain) on assets
|
|
(
|
)
|
|||||
Deferred income taxes
|
(
|
)
|
|
|||||
Changes in operating assets and liabilities:
|
||||||||
Trade accounts receivable
|
(
|
)
|
(
|
)
|
||||
Inventories
|
(
|
)
|
(
|
)
|
||||
Prepaid expenses and other assets
|
(
|
)
|
(
|
)
|
||||
Accounts payable and other accrued expenses
|
(
|
)
|
(
|
)
|
||||
Accrued salaries, wages, and withholdings from employees
|
(
|
)
|
(
|
)
|
||||
Income taxes
|
|
|
||||||
Other liabilities
|
|
|
||||||
Net cash used in operating activities
|
(
|
)
|
(
|
)
|
||||
Cash flows from investing activities:
|
||||||||
Acquisition of property, plant, and equipment
|
(
|
)
|
(
|
)
|
||||
Proceeds from sale of assets
|
|
|
||||||
Other investing activities
|
(
|
)
|
|
|||||
Net cash used in investing activities
|
(
|
)
|
(
|
)
|
||||
Cash flows from financing activities:
|
||||||||
Proceeds from additional borrowings
|
|
|
||||||
Debt payments
|
(
|
)
|
(
|
)
|
||||
Dividends paid
|
(
|
)
|
(
|
)
|
||||
Other financing activities
|
(
|
)
|
(
|
)
|
||||
Net cash provided by financing activities
|
|
|
||||||
Effect of exchange rate changes on cash and cash equivalents
|
|
|
||||||
Net increase in cash and cash equivalents
|
|
|
||||||
Cash and cash equivalents at beginning of period
|
|
|
||||||
Cash and cash equivalents at end of period
|
$
|
|
$
|
|
Common
|
Additional
Paid-In
|
Earnings
Reinvested
in the
|
Treasury Stock
|
Accumulated
Other
Comprehensive
|
Total
|
|||||||||||||||||||||||
Three Months
Ended March 31, 2023
|
Stock
|
Capital
|
Business
|
Shares
|
Amount
|
Income (Loss)
|
Equity
|
|||||||||||||||||||||
Balances at December 31, 2022
|
$
|
|
$
|
|
$
|
|
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
|
|||||||||||||
Net earnings
|
|
|
|
-
|
|
|
|
|||||||||||||||||||||
Other comprehensive income
|
|
|
|
-
|
|
|
|
|||||||||||||||||||||
Cash dividends
paid – $
|
|
|
(
|
)
|
-
|
|
|
(
|
)
|
|||||||||||||||||||
Share-based compensation
|
|
|
|
-
|
|
|
|
|||||||||||||||||||||
Non-vested stock issued upon vesting
|
|
(
|
)
|
|
(
|
)
|
|
|
|
|||||||||||||||||||
Benefit plans
|
( |
) | ||||||||||||||||||||||||||
Other
|
|
(
|
)
|
|
|
(
|
)
|
|
(
|
)
|
||||||||||||||||||
Balances at March 31, 2023
|
$
|
|
$
|
|
$
|
|
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
|
Three Months Ended March 31, 2022
|
||||||||||||||||||||||||||||
Balances at December 31, 2021
|
$ | $ | $ | $ | ( |
) | $ | ( |
) | $ | ||||||||||||||||||
Net earnings
|
- | |||||||||||||||||||||||||||
Other comprehensive loss
|
- | ( |
) | ( |
) | |||||||||||||||||||||||
Cash dividends
paid – $
|
( |
) | - | ( |
) | |||||||||||||||||||||||
Share-based compensation
|
- | |||||||||||||||||||||||||||
Non-vested stock issued upon vesting
|
( |
) | ( |
) | ||||||||||||||||||||||||
Benefit plans
|
( |
) | ||||||||||||||||||||||||||
Other
|
( |
) | ( |
) | ( |
) | ||||||||||||||||||||||
Balances at March 31, 2022
|
$ | $ | $ | $ | ( |
) | $ | ( |
) | $ |
1.
|
Accounting Policies
|
2. |
Acquisition
|
3. |
Trade Accounts Receivable
|
(In
thousands)
Three Months Ended March 31, 2023
|
Allowance for
Doubtful Accounts
|
|||
Balance at December 31, 2022
|
$
|
|
||
Provision for expected credit losses
|
|
|||
Accounts written off
|
(
|
)
|
||
Translation and other activity
|
|
|||
Balance at March 31, 2023
|
$
|
|
(In
thousands)
Three Months Ended March 31, 2022
|
Allowance for
Doubtful Accounts
|
|||
Balance at December 31, 2021
|
$
|
|
||
Provision for expected credit losses
|
|
|||
Accounts written off
|
(
|
)
|
||
Translation and other activity
|
|
|||
Balance at March 31, 2022
|
$
|
|
4. |
Inventories
|
5. |
Fair Value
|
6. |
Segment Information
|
(In
thousands)
|
Flavors &
Extracts
|
Color
|
Asia
Pacific
|
Corporate &
Other
|
Consolidated
|
|||||||||||||||
Three months ended March 31, 2023:
|
||||||||||||||||||||
Revenue from
external customers
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Intersegment
revenue
|
|
|
|
|
|
|||||||||||||||
Total revenue
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Operating
income (loss)
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||
Interest
expense
|
|
|
|
|
|
|||||||||||||||
Earnings
(loss) before income taxes
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||
Three months ended March 31, 2022:
|
||||||||||||||||||||
Revenue from
external customers
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Intersegment
revenue
|
|
|
|
|
|
|||||||||||||||
Total revenue
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||
Operating
income (loss)
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||
Interest
expense
|
|
|
|
|
|
|||||||||||||||
Earnings
(loss) before income taxes
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
(In
thousands)
|
Flavors &
Extracts
|
Color
|
Asia Pacific
|
Consolidated
|
||||||||||||
Three
months ended March 31, 2023:
|
||||||||||||||||
Flavors,
Extracts & Flavor Ingredients
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Natural
Ingredients
|
|
|
|
|
||||||||||||
Food &
Pharmaceutical Colors
|
|
|
|
|
||||||||||||
Personal Care
|
|
|
|
|
||||||||||||
Asia Pacific
|
|
|
|
|
||||||||||||
Intersegment
Revenue
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|||||||||
Total revenue
from external customers
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Three
months ended March 31, 2022:
|
||||||||||||||||
Flavors,
Extracts & Flavor Ingredients
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Natural
Ingredients
|
|
|
|
|
||||||||||||
Food &
Pharmaceutical Colors
|
|
|
|
|
||||||||||||
Personal Care
|
|
|
|
|
||||||||||||
Inks
|
|
|
|
|
||||||||||||
Asia Pacific
|
|
|
|
|
||||||||||||
Intersegment
Revenue
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
Total revenue
from external customers
|
$
|
|
$
|
|
$
|
|
$
|
|
(In
thousands)
|
Flavors &
Extracts
|
Color
|
Asia Pacific
|
Consolidated
|
||||||||||||
Three months ended March 31, 2023:
|
||||||||||||||||
North America
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Europe
|
|
|
|
|
||||||||||||
Asia Pacific
|
|
|
|
|
||||||||||||
Other
|
|
|
|
|
||||||||||||
Total revenue
from external customers
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Three months ended March 31, 2022:
|
||||||||||||||||
North America
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Europe
|
|
|
|
|
||||||||||||
Asia Pacific
|
|
|
|
|
||||||||||||
Other
|
|
|
|
|
||||||||||||
Total revenue
from external customers
|
$
|
|
$
|
|
$
|
|
$
|
|
7. |
Retirement Plans
|
Three Months Ended
March 31,
|
||||||||
(In thousands)
|
2023
|
2022
|
||||||
Service cost
|
$
|
|
$
|
|
||||
Interest cost
|
||||||||
Expected return on plan assets
|
(
|
)
|
(
|
)
|
||||
Recognized actuarial (gain) loss
|
( |
) | ||||||
Total defined benefit expense
|
$
|
|
$
|
|
8. |
Derivative Instruments and Hedging
Activity
|
9. |
Income Taxes
|
10. |
Accumulated Other Comprehensive Income
|
(In thousands)
|
Cash Flow
Hedges (1)
|
Pension
Items (1)
|
Foreign
Currency
Items
|
Total
|
||||||||||||
Balances at December 31, 2022
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
||||
Other comprehensive income before reclassifications
|
|
|
|
|
||||||||||||
Amounts reclassified from OCI
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|||||||||
Balances at March 31, 2023
|
$
|
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
(In thousands)
|
Cash Flow
Hedges (1)
|
Pension
Items (1)
|
Foreign
Currency
Items
|
Total
|
||||||||||||
Balances at December 31, 2021
|
$
|
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
|||||
Other comprehensive income (loss) before
reclassifications
|
|
|
(
|
)
|
|
|||||||||||
Amounts reclassified from OCI
|
(
|
)
|
|
|
(
|
)
|
||||||||||
Balances at March 31, 2022
|
$
|
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
(1) |
|
11. |
Commitments and Contingencies
|
12. |
Subsequent Event
|
ITEM 2. |
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
|
Three Months Ended March 31, 2023
|
|||
Revenue
|
Total
|
Foreign
Exchange
Rates
|
Local Currency
|
Flavors & Extracts
|
(2.1%)
|
(0.8%)
|
(1.3%)
|
Color
|
8.6%
|
(1.4%)
|
10.0%
|
Asia Pacific
|
9.9%
|
(4.7%)
|
14.6%
|
Total Revenue
|
3.8%
|
(1.4%)
|
5.2%
|
|
|||
Operating Income
|
|||
Flavors & Extracts
|
(19.6%)
|
(0.1%)
|
(19.5%)
|
Color
|
4.0%
|
(2.3%)
|
6.3%
|
Asia Pacific
|
12.6%
|
(5.4%)
|
18.0%
|
Corporate & Other
|
(8.7%)
|
(0.1%)
|
(8.6%)
|
Total Operating Income
|
(3.7%)
|
(2.2%)
|
(1.5%)
|
Diluted Earnings per Share
|
(9.1%)
|
(2.3%)
|
(6.8%)
|
ITEM 3. |
QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
|
ITEM 4. |
CONTROLS AND PROCEDURES
|
ITEM 1A. |
RISK FACTORS
|
ITEM 2. |
UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
|
ITEM 6. |
EXHIBITS
|
Exhibit
|
Description
|
Incorporated by Reference From
|
Filed Herewith
|
3.1 |
Amended and Restated By-Laws of Sensient Technologies Corporation, dated February 9, 2023
|
Exhibit 3.1 to Current Report on
Form 8-K filed February 14, 2023
(Commission File No. 1-7626)
|
|
31 |
Certifications of the Company’s Chairman, President & Chief Executive Officer and Senior Vice President & Chief Financial Officer pursuant to Rule 13a-14(a) of the Exchange Act
|
X | |
Certifications of the Company’s Chairman, President & Chief Executive Officer and Senior Vice President & Chief Financial Officer pursuant to 18 United States Code § 1350
|
X
|
||
101.INS
|
Inline XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document)
|
X
|
|
101.SCH
|
Inline XBRL Taxonomy Extension Schema Document
|
X
|
|
101.CAL
|
Inline XBRL Taxonomy Extension Calculation Linkbase Document
|
X
|
|
101.DEF
|
Inline XBRL Taxonomy Extension Definition Linkbase Document
|
X
|
101.LAB
|
Inline XBRL Taxonomy Extension Label Linkbase Document
|
X
|
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101.PRE
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Inline XBRL Taxonomy Extension Presentation Linkbase Document
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104
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Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101)
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SENSIENT TECHNOLOGIES CORPORATION
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Date:
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May 2, 2023
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By:
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/s/ John J. Manning
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John J. Manning, Senior Vice
President, General Counsel &
Secretary
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Date:
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May 2, 2023
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By:
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/s/ Stephen J. Rolfs
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Stephen J. Rolfs, Senior Vice
President & Chief Financial Officer
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1. |
I have reviewed this quarterly report on Form 10-Q of Sensient Technologies Corporation;
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2. |
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not
misleading with respect to the period covered by this report;
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3. |
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, and cash flows of the registrant as of, and
for, the periods presented in this report;
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4. |
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting
(as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
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a) |
designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated
subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
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b) |
designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and
the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
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c) |
evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by
this report based on such evaluation; and
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d) |
disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report)
that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
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5. |
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or
persons performing the equivalent functions):
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a) |
all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and
report financial information; and
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b) |
any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
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Date:
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May 2, 2023
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/s/ Paul Manning
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Paul Manning, Chairman, President &
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Chief Executive Officer
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1. |
I have reviewed this quarterly report on Form 10-Q of Sensient Technologies Corporation;
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2. |
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not
misleading with respect to the period covered by this report;
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3. |
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, and cash flows of the registrant as of, and
for, the periods presented in this report;
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4. |
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting
(as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
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a) |
designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated
subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
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b) |
designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and
the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
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c) |
evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by
this report based on such evaluation; and
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d) |
disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report)
that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
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5. |
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or
persons performing the equivalent functions):
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a) |
all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and
report financial information; and
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b) |
any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
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Date:
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May 2, 2023
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/s/ Stephen J. Rolfs
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Stephen J. Rolfs, Senior Vice President &
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Chief Financial Officer
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/s/ Paul Manning
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Name:
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Paul Manning
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Title:
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Chairman, President & Chief Executive Officer
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Date:
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May 2, 2023
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/s/ Stephen J. Rolfs
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Name:
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Stephen J. Rolfs
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Title:
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Senior Vice President & Chief Financial Officer
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Date:
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May 2, 2023
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CONSOLIDATED STATEMENTS OF EARNINGS - USD ($) shares in Thousands, $ in Thousands |
3 Months Ended | |
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Mar. 31, 2023 |
Mar. 31, 2022 |
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CONSOLIDATED STATEMENTS OF EARNINGS [Abstract] | ||
Revenue | $ 369,006 | $ 355,521 |
Cost of products sold | 244,343 | 230,675 |
Selling and administrative expenses | 73,825 | 72,057 |
Operating income | 50,838 | 52,789 |
Interest expense | 6,002 | 2,993 |
Earnings before income taxes | 44,836 | 49,796 |
Income taxes | 11,185 | 12,725 |
Net earnings | $ 33,651 | $ 37,071 |
Weighted average number of common shares outstanding: | ||
Basic (in shares) | 41,970 | 41,865 |
Diluted (in shares) | 42,255 | 42,148 |
Earnings per common share: | ||
Basic (in dollars per share) | $ 0.8 | $ 0.89 |
Diluted (in dollars per share) | 0.8 | 0.88 |
Dividends declared per common share (in dollars per share) | $ 0.41 | $ 0.41 |
CONSOLIDATED CONDENSED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands |
3 Months Ended | |
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Mar. 31, 2023 |
Mar. 31, 2022 |
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CONSOLIDATED CONDENSED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | ||
Comprehensive income | $ 49,952 | $ 36,834 |
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands |
Common Stock [Member] |
Additional Paid-In Capital [Member] |
Earnings Reinvested in the Business [Member] |
Treasury Stock [Member] |
Accumulated Other Comprehensive Income (Loss) [Member] |
Total |
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Beginning balance at Dec. 31, 2021 | $ 5,396 | $ 111,352 | $ 1,630,713 | $ (634,408) | $ (174,628) | $ 938,425 |
Beginning balance (in shares) at Dec. 31, 2021 | 12,107,549 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 0 | 0 | 37,071 | $ 0 | 0 | 37,071 |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | (237) | (237) |
Cash dividends paid | 0 | 0 | (17,211) | 0 | 0 | (17,211) |
Share-based compensation | 0 | 4,163 | 0 | 0 | 0 | 4,163 |
Non-vested stock issued upon vesting | 0 | (2,478) | 0 | $ 2,478 | 0 | 0 |
Non-vested stock issued upon vesting (in shares) | (47,298) | |||||
Benefit plans | 0 | 560 | 0 | $ 618 | 0 | 1,178 |
Benefit plans (in shares) | (11,786) | |||||
Other | 0 | (624) | 15 | $ (1,070) | 0 | (1,679) |
Other (in shares) | 20,403 | |||||
Ending balance at Mar. 31, 2022 | 5,396 | 112,973 | 1,650,588 | $ (632,382) | (174,865) | 961,710 |
Ending balance (in shares) at Mar. 31, 2022 | 12,068,868 | |||||
Beginning balance at Dec. 31, 2022 | 5,396 | 124,043 | 1,702,700 | $ (631,853) | (200,688) | 999,598 |
Beginning balance (in shares) at Dec. 31, 2022 | 12,058,773 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 0 | 0 | 33,651 | $ 0 | 0 | 33,651 |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | 16,301 | 16,301 |
Cash dividends paid | 0 | 0 | (17,255) | 0 | 0 | (17,255) |
Share-based compensation | 0 | 2,267 | 0 | 0 | 0 | 2,267 |
Non-vested stock issued upon vesting | 0 | (11,956) | 0 | $ 11,956 | 0 | 0 |
Non-vested stock issued upon vesting (in shares) | (228,181) | |||||
Benefit plans | 0 | 375 | 0 | $ 952 | 0 | 1,327 |
Benefit plans (in shares) | (18,172) | |||||
Other | 0 | (2,140) | 0 | $ (5,528) | 0 | (7,668) |
Other (in shares) | 105,524 | |||||
Ending balance at Mar. 31, 2023 | $ 5,396 | $ 112,589 | $ 1,719,096 | $ (624,473) | $ (184,387) | $ 1,028,221 |
Ending balance (in shares) at Mar. 31, 2023 | 11,917,944 |
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares |
3 Months Ended | |
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Mar. 31, 2023 |
Mar. 31, 2022 |
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CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY [Abstract] | ||
Cash dividends per share (in dollars per share) | $ 0.41 | $ 0.41 |
Accounting Policies |
3 Months Ended | ||
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Mar. 31, 2023 | |||
Accounting Policies [Abstract] | |||
Accounting Policies |
In the opinion of
Sensient Technologies Corporation (the Company), the accompanying unaudited consolidated condensed financial statements contain all adjustments (consisting of only normal recurring adjustments) that are necessary to present fairly the financial
position of the Company as of March 31, 2023, and the results of operations, comprehensive income, cash flows, and shareholders’ equity for the three months ended March 31, 2023 and 2022. The results of operations for any interim period are not
necessarily indicative of the results to be expected for the full year.
The
preparation of financial statements in conformity with U.S. generally accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes.
Actual results could differ from those estimates. Expenses are charged to operations in the period incurred.
Please refer to the notes in the Company’s
annual consolidated financial statements for the year ended December 31, 2022, for additional details of the Company’s financial condition and a description of the Company’s accounting policies, which have been continued without change.
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Acquisition |
3 Months Ended | ||
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Mar. 31, 2023 | |||
Acquisition [Abstract] | |||
Acquisition |
On October 3, 2022, the Company acquired Endemix Doğal Maddeler A.Ş. and Teknoloji Yatırımları ve Danışmanlık Sanayi ve Ticaret A.Ş. (collectively, Endemix), a natural colors business located in Turkey. The Company paid $23.3 million in cash for this acquisition, which is net of $1.3 million in debt assumed, with $1.7 million of such amount being held back by the Company for 12 months to satisfy any indemnification claims that may arise. The assets acquired and liabilities assumed were recorded at their estimated fair
value as of the acquisition date. The Company acquired net assets of $8.9 million and identified intangible assets, principally
technological know-how and customer relationships, of $4.9 million. The remaining $9.5 million was allocated to goodwill. The Company is still in the process of finalizing the estimated values for identifiable intangible assets and fixed assets. The Company
will complete this analysis in 2023. This business is part of the Color segment.
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Trade Accounts Receivable |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Trade Accounts Receivable [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Trade Accounts Receivable |
Trade
accounts receivables are recorded at their face amount, less an allowance for expected losses on doubtful accounts. The allowance for doubtful accounts is calculated based on customer-specific analysis and an aging methodology using historical
loss information. The Company believes historical loss information is a reasonable basis for expected credit losses as the Company’s historical credit loss experience correlates with its customer delinquency status. This information is also
adjusted for any known current economic conditions. Forecasted economic conditions have not had a significant impact on the current credit loss estimate due to the short-term nature of the Company’s customer receivables; however, the Company
will continue to monitor and evaluate the rapidly changing economic conditions. Additionally, as the Company only has one
portfolio segment, there are not different risks between portfolios. Specific accounts are written off against the allowance for doubtful accounts when the receivable is deemed no longer collectible.
The following table summarizes the changes in
the allowance for doubtful accounts during the three month periods ended March 31, 2023 and 2022:
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Inventories |
3 Months Ended | ||
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Mar. 31, 2023 | |||
Inventories [Abstract] | |||
Inventories |
At March 31, 2023, and December 31, 2022, inventories included finished and in-process products totaling $372.6 million and $385.2 million, respectively, and raw materials and
supplies of $201.1 million and $178.9
million, respectively.
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Fair Value |
3 Months Ended | ||
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Mar. 31, 2023 | |||
Fair Value [Abstract] | |||
Fair Value |
Accounting
Standards Codification 820, Fair Value Measurement, defines fair value for financial assets and liabilities, establishes a framework for measuring fair value in GAAP, and expands disclosures about fair value
measurements. The carrying values of the Company’s cash and cash equivalents, trade accounts receivable, trade accounts payable, accrued expenses, and short-term borrowings were approximately the same as the fair values as of March 31, 2023 and
December 31, 2022. The net fair value of the forward exchange contracts based on current pricing obtained for comparable derivative products (Level 2 inputs) was an asset of $1.2 million and a liability of $0.2 million as of March 31, 2023 and December 31,
2022, respectively. The fair value of the Company’s long-term debt, including current maturities, is estimated using discounted cash flows based on the Company’s current incremental borrowing rates for similar types of borrowing arrangements (Level 2
inputs). The carrying value of the long-term debt at March 31, 2023 and December 31, 2022, was $680.2 million and $630.8 million, respectively. The fair value of the long-term debt at March 31, 2023 and December 31, 2022, was $672.5 million and $622.2 million, respectively.
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Segment Information |
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Segment Information [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Information |
The Company evaluates performance based on
operating income before share-based compensation, interest expense, and income taxes (segment operating income). Total revenue and segment operating income by business segment and geographic region include both sales to customers, as reported in
the Company’s Consolidated Statements of Earnings, and intersegment sales, which are accounted for at prices that approximate market prices and are eliminated in consolidation.
The Company determines its operating segments
based on information utilized by its chief operating decision maker to allocate resources and assess performance. The Company’s three
reportable segments are the Flavors & Extracts and Color segments, which are both managed on a product line basis, and the Asia Pacific segment, which is managed on a geographic basis. The Company’s Flavors & Extracts segment produces
flavor, extracts, and essential oils products that impart a desired taste, texture, aroma, or other characteristics to a broad range of consumer and other products. The Color segment produces natural and synthetic color systems for use in foods,
beverages, pharmaceuticals, and nutraceuticals; colors and other ingredients for personal care, such as active ingredients, solubilizers, and surface treated pigments; pharmaceutical and nutraceutical excipients, such as colors, flavors, coatings,
and nutraceutical ingredients; and technical colors for industrial applications. The Asia Pacific segment is managed on a geographic basis and produces and distributes color, flavor, and essential oils products in the Asia Pacific countries. The
Company’s corporate expenses and share-based compensation are included in the “Corporate & Other” category.
Operating results by segment for the
periods presented are as follows:
Product Lines
Geographic Markets
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Retirement Plans |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Retirement Plans [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Retirement Plans |
The Company’s components of annual benefit cost for the defined benefit plans for the
periods presented are as follows:
The Company’s non-service cost portion of defined
benefit expense is recorded in Interest Expense on the Company’s Consolidated Statements of Earnings. The Company’s service cost portion of defined benefit expense is recorded in Selling and Administrative Expenses on the Company’s Consolidated Statements of Earnings.
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Derivative Instruments and Hedging Activity |
3 Months Ended | ||
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Mar. 31, 2023 | |||
Derivative Instruments and Hedging Activity [Abstract] | |||
Derivative Instruments and Hedging Activity |
The
Company may use forward exchange contracts and foreign currency denominated debt to manage its exposure to foreign exchange risk in order to reduce the effect of fluctuating foreign currencies on short-term foreign currency denominated intercompany
transactions, non-functional currency raw material purchases, non-functional currency sales, and other known foreign currency exposures. These forward exchange contracts generally have maturities of less than 18 months. The Company’s primary hedging activities and their accounting treatment are summarized below.
Forward exchange contracts – Certain forward exchange contracts have been designated as cash flow hedges. The Company had $55.5 million and $70.1 million of forward
exchange contracts designated as cash flow hedges outstanding as of March 31, 2023 and December 31, 2022, respectively. For the three months ended March 31, 2023 and 2022, the amounts reclassified into net earnings in the Company’s Consolidated Statements of Earnings that offset the underlying transactions’
impact on earnings in the same period were not material. In addition, the Company utilizes forward exchange contracts that are not designated as cash flow hedges. The results of these transactions were not material to the financial statements.
Net investment hedges – The Company has designated certain foreign currency denominated long-term borrowings as partial hedges of the Company’s foreign currency net asset positions. As of March 31, 2023 and December 31, 2022, the total value of the
Company’s net investment hedges was $319.9 million and $315.5 million, respectively. These net investment hedges included Euro and British Pound denominated long-term debt. Changes in the fair value of this debt attributable to changes in the spot foreign exchange rate
are recorded in foreign currency translation in Other Comprehensive Income (OCI). For the three months ended March 31, 2023 and 2022, the impact of foreign exchange rates on these debt instruments increased debt by $4.4 million and decreased debt by $7.9 million, respectively, which has been recorded as foreign currency
translation in OCI.
|
Income Taxes |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2023 | |||
Income Taxes [Abstract] | |||
Income Taxes |
The effective income tax rates for the three months ended March 31, 2023
and 2022, were 24.9% and 25.6%,
respectively. The effective tax rates for the three months ended March 31, 2023 and 2022 were both impacted by changes in estimates associated with the finalization of prior year foreign tax items and the mix of foreign earnings.
|
Accumulated Other Comprehensive Income |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income |
The following table summarizes the changes in OCI during the three month periods ended
March 31, 2023 and 2022:
|
Commitments and Contingencies |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2023 | |||
Commitments and Contingencies [Abstract] | |||
Commitments and Contingencies |
The Company is subject to various claims and litigation arising
in the normal course of business. The Company establishes reserves for claims and proceedings when it is probable that liabilities exist and reasonable estimates of loss can be made. While it is not possible to predict the outcome of these matters,
based on our assessment of the facts and circumstances now known, we do not believe that these matters, individually or in the aggregate, will have a material adverse effect on our financial position. However, actual outcomes may be different from
those expected and could have a material effect on our results of operations or cash flows in a particular period.
|
Subsequent Event |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2023 | |||
Subsequent Event [Abstract] | |||
Subsequent Event |
On April 27, 2023, the Company announced its quarterly dividend of $0.41 per share would be payable on June 1, 2023.
|
Accounting Policies (Policies) |
3 Months Ended |
---|---|
Mar. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of Accounting |
The
preparation of financial statements in conformity with U.S. generally accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes.
Actual results could differ from those estimates. Expenses are charged to operations in the period incurred.
|
Trade Accounts Receivable (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Trade Accounts Receivable [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in Allowance for Doubtful Accounts |
The following table summarizes the changes in
the allowance for doubtful accounts during the three month periods ended March 31, 2023 and 2022:
|
Segment Information (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Information [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating Results by Segment |
Operating results by segment for the
periods presented are as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Product Lines |
Product Lines
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Geographical Markets |
Geographic Markets
|
Retirement Plans (Tables) |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Retirement Plans [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Annual Benefit Cost |
The Company’s components of annual benefit cost for the defined benefit plans for the
periods presented are as follows:
|
Accumulated Other Comprehensive Income (Tables) |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in OCI |
The following table summarizes the changes in OCI during the three month periods ended
March 31, 2023 and 2022:
|
Acquisition (Details) - USD ($) $ in Thousands |
3 Months Ended | ||
---|---|---|---|
Oct. 03, 2022 |
Mar. 31, 2023 |
Dec. 31, 2022 |
|
Acquisition [Abstract] | |||
Goodwill | $ 419,302 | $ 415,715 | |
Endemix [Member] | |||
Acquisition [Abstract] | |||
Acquisition of new businesses | $ 23,300 | ||
Debt assumed | 1,300 | ||
Amount of cash held back for indemnification claims | 1,700 | ||
Period for cash to be held back for post-closing working capital adjustments and indemnification claims | 12 months | ||
Net assets acquired | 8,900 | ||
Goodwill | 9,500 | ||
Endemix [Member] | Technological Know-how and Customer Relationships [Member] | |||
Acquisition [Abstract] | |||
Intangibles assets acquired | $ 4,900 |
Trade Accounts Receivable (Details) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2023
USD ($)
Segment
|
Mar. 31, 2022
USD ($)
|
|
Trade Accounts Receivable [Abstract] | ||
Number of portfolio segments | Segment | 1 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||
Beginning balance | $ 4,436 | $ 4,877 |
Provision for expected credit losses | 120 | 285 |
Accounts written off | (614) | (367) |
Translation and other activity | 103 | 117 |
Ending balance | $ 4,045 | $ 4,912 |
Inventories (Details) - USD ($) $ in Millions |
Mar. 31, 2023 |
Dec. 31, 2022 |
---|---|---|
Inventories [Abstract] | ||
Finished and in-process products | $ 372.6 | $ 385.2 |
Raw materials and supplies | $ 201.1 | $ 178.9 |
Fair Value (Details) - Level 2 [Member] - USD ($) $ in Millions |
Mar. 31, 2023 |
Dec. 31, 2022 |
---|---|---|
Investments, Fair Value Disclosure [Abstract] | ||
Forward exchange contract, asset | $ 1.2 | |
Foreign currency contracts, liability | $ 0.2 | |
Carrying Value [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Long term debt | 680.2 | 630.8 |
Fair Value [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Long term debt | $ 672.5 | $ 622.2 |
Retirement Plans (Details) - Defined Benefit Plan [Member] - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2023 |
Mar. 31, 2022 |
|
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||
Service cost | $ 368 | $ 408 |
Interest cost | 409 | 244 |
Expected return on plan assets | (239) | (205) |
Recognized actuarial (gain) loss | (139) | 12 |
Total defined benefit expense | $ 399 | $ 459 |
Derivative Instruments and Hedging Activity (Details) - USD ($) $ in Millions |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2023 |
Mar. 31, 2022 |
Dec. 31, 2022 |
|
Maximum [Member] | |||
Derivative instruments and hedging activity for the period [Abstract] | |||
Number of months for contracts to mature | 18 months | ||
Forward Exchange Contracts [Member] | Cash Flow Hedges [Member] | |||
Derivative instruments and hedging activity for the period [Abstract] | |||
Derivative, fair value | $ 55.5 | $ 70.1 | |
Foreign Currency Denominated Debt, Net Investment Hedging [Member] | |||
Derivative instruments and hedging activity for the period [Abstract] | |||
Carrying value of foreign denominated debt | 319.9 | $ 315.5 | |
Impact of foreign exchange rates on debt instruments recorded in other comprehensive income | $ 4.4 | $ (7.9) |
Income Taxes (Details) |
3 Months Ended | |
---|---|---|
Mar. 31, 2023 |
Mar. 31, 2022 |
|
Income Taxes [Abstract] | ||
Effective income tax rates | 24.90% | 25.60% |
Subsequent Event (Details) - Subsequent Event [Member] |
Apr. 27, 2023
$ / shares
|
---|---|
Subsequent Events [Abstract] | |
Dividend declared date | Apr. 27, 2023 |
Dividend payable (in dollars per share) | $ 0.41 |
Dividend payable date | Jun. 01, 2023 |
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