Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
|
Statement Of Comprehensive Income [Abstract] | ||
Net income | $ 19,821 | $ 38,632 |
Currency translation adjustments | (6,866) | (25,461) |
Defined Benefit Plans [Abstract] | ||
Defined benefit retirement plans | 496 | 1,292 |
Current period change in fair value of derivatives | 1,100 | 562 |
Unrealized loss on available-for-sale securities | (1,000) | (3,025) |
Other comprehensive loss | (6,270) | (26,632) |
Comprehensive income | 13,551 | 12,000 |
Less: Comprehensive income attributable to noncontrolling interest | (6) | (15) |
Comprehensive income attributable to Quaker Chemical Corporation | $ 13,545 | $ 11,985 |
Condensed Consolidated Balance Sheets (Parentheticals) - $ / shares |
Mar. 31, 2022 |
Dec. 31, 2021 |
---|---|---|
Statement Of Financial Position [Abstract] | ||
Common Stock Par Value | $ 1 | $ 1 |
Common Stock Shares Authorized | 30,000,000 | 30,000,000 |
Common Stock Shares, Issued | 17,911,583 | 17,897,033 |
Common stock shares, outstanding | 17,911,583 | 17,897,033 |
Condensed Consolidated Statements of Changes in Equity - USD ($) $ in Thousands |
Total |
Common Stock [Member] |
Capital in Excess of Par Value [Member] |
Retained Earnings [Member] |
Accumulated Other Comprehensive Loss [Member] |
Noncontrolling Interest [Member] |
---|---|---|---|---|---|---|
Beginning Balance at Dec. 31, 2020 | $ 1,320,914 | $ 17,851 | $ 905,171 | $ 423,940 | $ (26,598) | $ 550 |
Net income | 38,632 | 0 | 0 | 38,615 | 0 | 17 |
Amounts reported in other comprehensive loss | (26,632) | 0 | 0 | 0 | (26,630) | (2) |
Dividends ($0.395 per share) ($0.415 per share) | (7,062) | 0 | 0 | (7,062) | 0 | 0 |
Share issuance and equity-based compensation plans | 3,601 | 24 | 3,577 | 0 | 0 | 0 |
Ending Balance at Mar. 31, 2021 | 1,329,453 | 17,875 | 908,748 | 455,493 | (53,228) | 565 |
Beginning Balance at Dec. 31, 2021 | 1,387,922 | 17,897 | 917,053 | 516,334 | (63,990) | 628 |
Net income | 19,821 | 0 | 0 | 19,816 | 0 | 5 |
Amounts reported in other comprehensive loss | (6,270) | 0 | 0 | 0 | (6,271) | 1 |
Dividends ($0.395 per share) ($0.415 per share) | (7,434) | 0 | 0 | (7,434) | 0 | 0 |
Share issuance and equity-based compensation plans | 1,661 | 15 | 1,646 | 0 | 0 | 0 |
Ending Balance at Mar. 31, 2022 | $ 1,395,700 | $ 17,912 | $ 918,699 | $ 528,716 | $ (70,261) | $ 634 |
Condensed Consolidated Statements of Changes in Equity (Parentheticals) - $ / shares |
3 Months Ended | |
---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
|
Statement of Changes in Equity [Abstract] | ||
Dividend per share | $ 0.415 | $ 0.395 |
Basis of Presentation and Description of Business |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Basis of Presentation and Description of Business [Abstract] | |
Basis of Presentation and Description of Business [Text Block] | Note 1 – Basis of Presentation and Description of Business Basis of Presentation As used in these Notes to Condensed Consolidated Financial Statements, the “Company,” “we,” and “our” refer to Quaker Chemical Corporation associated companies, unless the context otherwise requires. the term Legacy Quaker refers to the Company prior to the closing of its combination (herein referred to as the “Combination”). been prepared in accordance with generally accepted accounting principles reporting and the United States Securities and Exchange Commission (“SEC”) disclosures normally included in financial statements prepared in accordance pursuant to such rules and regulations. of normal recurring adjustments, which are necessary for a fair statement of for the interim periods. expected for the full year. 10-K for the year ended December 31, 2021 (the “2021 Form 10-K”). Description of Business The Company was organized in 1918, incorporated as a Pennsylvania completed the Combination with Houghton to form Quaker Houghton. fluids. 25 the world’s most advanced and specialized companies. chemical management services (which the Company refers to as “Fluidcare TM ”) for various heavy industrial and manufacturing applications throughout its four Businesses. Hyper-inflationary economies Based on various indices or index compilations being used to monitor inflation effective July 1, 2018, Argentina’s ended March 31, 2022, the Company's Argentine subsidiaries represented 1 % of the Company’s consolidated net sales, respectively. 0.2 remeasurement losses associated with the applicable currency conversions foreign exchange losses, net, which is a component of other (expense) income, net, Statements of Income. |
Business Acquisitions |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Business Acquisitions [Abstract] | |
Business acquisitions disclosure [Text Block] | Note 2 – Business Acquisitions 2022 Acquisitions lubricants and stamping oil for metalworking, and various other lubrication, Americas reportable segment for approximately $ 8.0 existing metals and metalworking business in the Americas region. 5.6 intangible assets, comprised of $ 5.1 14 0.5 product technologies to be amortized over 14 1.8 value not allocated to other acquired assets, all of which is expected to be tax deductible Company operates. sector, as well as impregnation resin and for approximately 1.2 1.4 Germany as well as broadens its product offerings and the Norman Hay acquisition in 2019. The results of operations of the 2022 acquired assets and businesses subsequent the unaudited Condensed Consolidated Statements of Income for the quarter ended associated with these acquisitions are included in Combination, unaudited Condensed Consolidated Statements of Income. of the acquired assets and businesses are not considered material to the overall operations Previous Acquisitions impregnation services of castings, powder metals and electrical components $ 11.0 7.1 provisions initially estimated at $ 3.9 could total a maximum of $ 4.5 8.0 1.1 property, plant and 1.5 0.3 acquired. 0.4 comprised $ 7.2 15 years ; and $ 0.8 amortized over 13 years . in Turkey for its EMEA reportable segment for 3.2 3.7 provider of coolant control and delivery systems for its Global Specialty Businesses reportable 2.4 approximately $ 2.9 0.3 Company acquired a 38 % ownership interest in Grindaix for 1.4 1.7 its initial investment as an equity method investment within the Consolidated Financial the remaining interest as a step acquisition whereby the Company remeasured value. Businesses reportable segment for 2.3 2.8 25.0 acquisition is part of each of the Company’s 19.6 price to intangible assets, comprised of $ 18.3 19 years ; $ 0.9 product technology to be amortized over 14 years ; and $ 0.4 3 years . the Company recorded $ 5.0 operate. personnel that will allow Quaker Houghton to better serve its customers. measurement period has not ended, with the exception of the tin-plating measurement period for which ended in February 2022. assessment of additional information related to the fair value of assets acquired finishing fluid solutions. certain post-closing adjustments. related to tax attributes of the acquisition. believes the potential range of exposure for this claim is $ 0 1.5 |
Recently Issued Accounting Standards |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Recently Issued Accounting Standards [Abstract] | |
Recently Issued Accounting Standards [Text Block] | Note 3 – Recently Issued Accounting Standards Recently Issued Accounting Standards The FASB issued ASU 2020 , Reference Rate Reform (Topic Financial Reporting , Reference Rate Reform (Topic January 2021 which clarified the guidance but did not materially change amendments provide temporary optional expedients and exceptions relationships and other transactions to ease the potential accounting from reference rates that are expected to be discontinued, including effective for the Company as of March 12, 2020 and generally can the Company entered into a Second Amendment to Credit Agreement (“Second to provide for the use of a non-USD currency LIBOR successor rate. 2020-04 with respect to the Second Amendment. based LIBOR rates. |
Business Segments |
3 Months Ended |
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Mar. 31, 2022 | |
Business Segment Disclosures [Abstract] | |
Segment Reporting Disclosure [Text Block] | Note 4 – Business Segments The Company’s operating internal organization, the method by which the Company’s decision maker assesses the Company’s four Asia/Pacific; and (iv) Global Specialty Businesses. each respective region, excluding net sales and operations managed globally includes the Company’s container, Segment operating earnings for each of the Company’s related cost of goods sold (“COGS”) and selling, general and administrative attributable to the net sales of each respective segment, and other acquisition-related expenses, and Restructuring and related items not specifically identified with the Company’s net. The following table presents information about the performance of the Company’s months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 2021 Net sales Americas $ 154,144 $ 134,871 EMEA 125,687 119,814 Asia/Pacific 104,234 96,706 Global Specialty Businesses 90,106 78,392 Total $ 474,171 $ 429,783 Segment operating earnings Americas $ 29,220 $ 32,234 EMEA 16,766 25,244 Asia/Pacific 21,907 27,478 Global Specialty Businesses 25,035 24,169 Total 92,928 109,125 Combination, integration and other acquisition-related expenses (4,053) (5,815) Restructuring and related charges (820) (1,175) Fair value step up of acquired inventory sold — (801) Non-operating and administrative expenses (43,463) (40,992) Depreciation of corporate assets and amortization (15,189) (15,448) Operating income 29,403 44,894 Other (expense) income, net (2,206) 4,687 Interest expense, net (5,345) (5,470) Income before taxes and equity in net income of associated companies $ 21,852 $ 44,111 Inter-segment revenues for the three months ended March 31, 2.9 3.3 $ 8.9 8.8 0.3 0.1 1.7 2.0 Specialty Businesses, respectively. segment’s net sales and earnings for |
Net Sales and Revenue Recognition |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Net Sales and Revenue Recognition [Abstract] | |
Net Sales and Revenue Recognition [TextBlock] | Note 5 – Net Sales and Revenue Recognition Arrangements Resulting in Net Reporting As part of the Company’s Fluidcare TM Company transferred third-party products under arrangements recognized 19.8 17.8 for the three months ended March 31, 2022 and 2021, respectively. Customer Concentration A significant portion of the Company’s steel, aluminum, automobiles, aircraft, industrial equipment, and durable during the year ended December 31, 2021, the Company’s with semiautonomous purchasing authority) accounted for approximately 10 % of consolidated net sales, with its largest customer accounting for approximately 3 % of consolidated net sales. Contract Assets and Liabilities The Company had no material contract assets recorded on its Condensed December 31, 2021. The Company had approximately $ 6.9 7.0 2021, respectively. recognized into revenue the advance payments received and recorded Disaggregated Revenue The Company sells its various industrial process fluids, its specialty chemicals portfolio. by individual product lines. the Company’s geographic The following tables disaggregate the Company’s revenue recognized for the three months ended March 31, 2022 and 2021. Three Months Ended March 31, 2022 Consolidated Americas EMEA Asia/Pacific Total Customer Industries Metals $ 56,160 $ 36,839 $ 55,287 $ 148,286 Metalworking and other 97,984 88,848 48,947 235,779 154,144 125,687 104,234 384,065 Global Specialty Businesses 57,264 20,021 12,821 90,106 $ 211,408 $ 145,708 $ 117,055 $ 474,171 Timing of Revenue Recognized Product sales at a point in time $ 201,284 $ 137,203 $ 114,625 $ 453,112 Services transferred over time 10,124 8,505 2,430 21,059 $ 211,408 $ 145,708 $ 117,055 $ 474,171 Three Months Ended March 31, 2021 Consolidated Americas EMEA Asia/Pacific Total Customer Industries Metals $ 46,793 $ 34,274 $ 49,743 $ 130,810 Metalworking and other 88,078 85,540 46,963 220,581 134,871 119,814 96,706 351,391 Global Specialty Businesses 45,256 20,272 12,864 78,392 $ 180,127 $ 140,086 $ 109,570 $ 429,783 Timing of Revenue Recognized Product sales at a point in time $ 171,594 $ 131,162 $ 106,399 $ 409,155 Services transferred over time 8,533 8,924 3,171 20,628 $ 180,127 $ 140,086 $ 109,570 $ 429,783 |
Leases |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Leases [Abstract] | |
Leases Disclosure [TextBlock] | Note 6 - Leases The Company has operating leases for certain facilities, vehicles and machinery 10 years . use leases with remaining lease terms up to 93 years . The Company has no following table sets forth the components of the Company’s Three Months Ended March 31, 2022 2021 Operating lease expense $ 3,409 $ 3,612 Short-term lease expense 219 251 Supplemental cash flow information related to the Company’s Three Months Ended March 31, 2022 2021 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 3,365 $ 3,579 Non-cash lease liabilities activity: Leased assets obtained in exchange for new operating lease liabilities 4,689 3,050 Supplemental balance sheet information related to the Company’s March 31, December 31, 2022 2021 Right of use lease assets $ 38,245 $ 36,635 Other current liabilities 10,540 9,976 Long-term lease liabilities 27,433 26,335 Total operating lease liabilities $ 37,973 $ 36,311 Weighted average 5.9 5.6 Weighted average 4.14% 4.22% Maturities of operating lease liabilities as of March 31, 2022 were as follows: March 31, 2022 For the remainder of 2022 $ 8,990 For the year ended December 31, 2023 9,513 For the year ended December 31, 2024 7,292 For the year ended December 31, 2025 5,375 For the year ended December 31, 2026 4,338 For the year ended December 31, 2027 and beyond 7,046 Total lease payments 42,554 Less: imputed interest (4,581) Present value of lease liabilities $ 37,973 |
Restructuring and Related Activities |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Restructuring And Related Activities [Abstract] | |
Restructuring And Related Activities Disclosure [Text Block] | Note 7 – Restructuring and Related Activities The Company’s management approved a global restructuring plan (the “QH Program”) as part of its plan to realize certain cost synergies associated with the Combination in the third quarter of 2019. The QH Program includes restructuring and associated severance costs to reduce total headcount by approximately 400 people globally, as well as plans for the closure of certain manufacturing and non-manufacturing facilities. number of factors and are subject to change; however, continue to occur throughout 2022 under the QH Program. within certain foreign countries and will include severance and other benefits. All costs incurred to date relate to severance costs to reduce headcount, estimates for employee separation costs, as well as costs to close certain charges in the Company’s Consolidated Financial Statements, restructuring and related charges segments’ measure of operating earnings and therefore these costs are not Activity in the Company’s accrual follows: QH Program Accrued restructuring as of December 31, 2021 $ 4,087 Restructuring and related charges 820 Cash payments (408) Currency translation adjustments (64) Accrued restructuring as of March 31, 2022 $ 4,435 |
Share-Based Compensation |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Share-Based Compensation [Abstract] | |
Share-Based Compensation [Text Block] | Note 8 – Share-Based Compensation The Company recognized the following share-based compensation expense for the three months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 2021 Stock options $ 267 $ 308 Non-vested stock awards and restricted stock units 1,548 1,396 Non-elective and elective 401(k) matching contribution in stock — 1,553 Director stock ownership plan 24 203 Performance stock units 623 319 Total share-based $ 2,462 $ 3,779 Share-based compensation expense is recorded in SG&A, except for less than $ 0.1 0.3 months ended March 31, 2022 and 2021, respectively, expenses. Stock Options During the first quarter of 2022, the Company granted stock options under only to time vesting over a three year used a Black-Scholes option pricing model and the assumptions set forth March 2022 Grant Number of options granted 27,077 Dividend yield 0.80 % Expected volatility 38.60 % Risk-free interest rate 2.07 % Expected term (years) 4.0 The fair value of these options is amortized on a straight-line basis over the vesting period. compensation expense related to all stock options granted 2.9 period of 1.9 Restricted Stock Awards During the three months ended March 31, 2022, the Company granted 17,425 4,490 restricted stock units under its LTIP, three year based on the trading price of the Company’s these awards for expected forfeitures based on historical experience. related to the nonvested restricted shares was $ 6.4 2.1 and unrecognized compensation expense related to nonvested restricted 1.3 average remaining period of 2.3 Performance Stock Units The Company grants performance-dependent stock awards (“PSUs”) as a component certain number of shares subject to market-based and time-based vesting conditions. ultimately be issued as settlement for each award may range from 0 % up to 200 % of the target award, subject to the achievement of the Company’s total shareholder Materials group. from January 1 of the year of grant through December 31 of the year prior Compensation expense for PSUs the three year vesting period. and using the following assumptions set forth in the table below: March 2022 Grant Number of PSUs granted 16,820 Risk-free interest rate 2.11 % Dividend yield 0.93 % Expected term (years) 3.0 As of March 31, 2022, the Company estimates that it will issue 0 fully vested shares outstanding PSUs awards based on the conditions of the PSUs and performance was approximately $ 6.4 over a weighted-average period of 2.3 Defined Contribution Plan The Company has a 401(k) plan with an employer match covering 50 % of the first 6 % of compensation that is contributed to the plan, with a maximum matching contribution of 3% of Additionally, the plan of service equal to 3 % of the eligible participants’ compensation. Company matched both non-elective and elective 401(k) contributions than cash. no March 31, 2021, total contributions were $ 1.5 |
Pension and Postretirement Benefits |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Pension and Postretirement Benefits [Abstract] | |
Pension and Postretirement Benefits [Text Block] | Note 9 – Pension and Other Postretirement The components of net periodic benefit (income) cost for the three months Three Months Ended March 31, Other Pension Benefits Postretirement Benefits 2022 2021 2022 2021 Service cost $ 180 $ 316 $ (8) $ 1 Interest cost 1,360 1,090 9 11 Expected return on plan assets (2,084) (2,082) — — Actuarial loss (gain) amortization 257 855 (24) — Prior service cost (income) amortization 2 2 1 — Total net periodic benefit $ (285) $ 181 $ (22) $ 12 Employer Contributions As of March 31, 2022, $ 1.0 0.1 plans and its other postretirement benefit plans, respectively. requirements, the Company currently expects to make full year cash contributions 6.6 foreign pension plans and approximately $ 0.2 |
Other (Expense) Income, Net |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Other (Expense) Income, Net [Abstract] | |
Other (Expense) Income, Net [Text Block] | Note 10 – Other (Expense) Income, Net The components of other (expense) income, net for the three months ended Three Months Ended March 31, 2022 2021 Income from third party license fees $ 404 $ 339 Foreign exchange losses, net (1,905) (1,478) Gain on disposals of property, 23 5,410 Non-income tax refunds and other related (expense) credits (1,322) 97 Pension and postretirement benefit income, non-service components 479 124 Other non-operating income, net 115 195 Total other (expense) $ (2,206) $ 4,687 Non-income tax refunds and other related (expense) credits during the related to an indemnification asset associated with the settlement of certain for tax periods prior to August 1, 2019. property, plant, equipment held-for-sale real property assets related to the Combination. March 31, 2022 and 2021 include foreign currency transaction losses of approximately 0.2 accounting for the Company’s Argentine |
Income Taxes and Uncertain Income Tax Positions |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Income Taxes and Uncertain Tax Positions [Abstract] | |
Income Taxes and Uncertain Income Tax Positions [Text Block] | Note 11 – Income Taxes The Company’s effective 13.1 % and 24.2 %, respectively. The Company’s effective allowance for foreign tax credits due to recently issued legislative guidance In addition, the Company incurred higher tax expense during the three months recording earnings in one of its subsidiaries at a statutory tax rate of 25 % while it awaits recertification of a concessionary 15 % tax rate, which was available to the Company during all of 2021. impacted by the sale of a subsidiary which included certain held-for-sale As of December 31, 2021, the Company had a deferred tax liability of $ 8.4 which primarily represents the Company’s earnings to the U.S. 8.0 As of March 31, 2022, the Company’s 20.1 approximately $ 2.4 The Company continues to recognize interest and penalties associated with uncertain income before equity in net income of associated companies in its Condensed recognized a benefit of $ 0.3 1.6 Income for the three months ended March 31, 2022, and recognized 0.1 $ 0.1 March 31, 2022, the Company had accrued $ 2.7 1.6 Condensed Consolidated Balance Sheets, compared to $ 3.1 3.1 accrued at December 31, 2021. During the three months ended March 31, 2022 and 2021, the Company 2.8 0.3 respectively, in its cumulative tax authorities, as well as the expiration of the applicable statutes of The Company estimates that during the year ending December 31, 202 unrecognized tax benefits by approximately $ 4.2 limitations with regard to certain tax positions. not consider any increase in liability for unrecognized tax benefits with regard liability for unrecognized tax benefits with regard to new tax positions for The Company tax jurisdictions. 2007 , Brazil from 2011 , Germany from 2015 , the Netherlands, Mexico and China from 2016 , Canada, Spain, and the U.S. from 2017 , the United Kingdom from 2018 , India from fiscal year beginning April 1, 2017 and ending March 31, 2018 , and various U.S. state tax jurisdictions from 2011 . As previously reported, the Italian tax authorities have assessed additional tax due from the Company’s subsidiary, Quaker Italia S.r.l., relating to the tax years 2007 through 2015. The Company has filed for competent authority relief from these assessments under the Mutual Agreement Procedures (“MAP”) of the Organization for Economic Co-Operation and Development for all years except 2007. In 2020, the respective tax authorities in Italy, Spain and the Netherlands reached agreement with respect to the MAP proceedings which the Company has accepted. 1.6 Netherlands and Spain. amount due of $ 2.6 liability. 0.8 Houghton Italia, S.r.l is also involved 2014 through 2018 . audit with the Italian tax authorities for the tax years 2014 2015 . settled tax years 2016 through 2018 for a total of $ 2.1 $ 3.7 settlement and reserve release the Company recognized a net benefit 2.1 2022. 3.8 owners of Houghton for any pre-Combination tax liabilities arising from Houghton Deutschland GmbH is also under audit by the German tax authorities for 2015 2017 . preliminary audit findings, primarily related to transfer pricing, 0.3 2022. 0.3 indemnification claim with Houghton’s indemnification receivable has also been established. |
Earnings Per Share |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | Note 12 – Earnings Per Share The following table summarizes earnings per share calculations for Three Months Ended March 31, 2022 2021 Basic earnings per common share Net income attributable to Quaker Chemical Corporation $ 19,816 $ 38,615 Less: income allocated to participating securities (78) (154) Net income available to common shareholders $ 19,738 $ 38,461 Basic weighted average common shares outstanding 17,826,061 17,785,370 Basic earnings per common share $ 1.11 $ 2.16 Diluted earnings per common share Net income attributable to Quaker Chemical Corporation $ 19,816 $ 38,615 Less: income allocated to participating securities (78) (154) Net income available to common shareholders $ 19,738 $ 38,461 Basic weighted average common shares outstanding 17,826,061 17,785,370 Effect of dilutive securities 25,798 70,607 Diluted weighted average common shares outstanding 17,851,859 17,855,977 Diluted earnings per common $ 1.11 $ 2.15 Certain stock options, effect would have been anti-dilutive. 12,260 2,083 months ended March 31, 2022 and 2021, respectively. |
Goodwill and Intangible Assets |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Goodwill And Intangible Assets [Abstract] | |
Goodwill And Intangible Assets [Text Block] | Note 13 – Goodwill and Other Intangible Assets Changes in the carrying amount of goodwill for the three months ended Global Specialty Americas EMEA Asia/Pacific Businesses Total Balance as of December 31, 2021 $ 214,023 $ 135,520 $ 162,458 $ 119,193 $ 631,194 Goodwill additions 1,752 — — 32 1,784 Currency translation adjustments 1,376 (2,569) (328) (519) (2,040) Balance as of March 31, 2022 $ 217,151 $ 132,951 $ 162,130 $ 118,706 $ 630,938 Gross carrying amounts and accumulated amortization for definite-lived 2021 were as follows: Gross Carrying Accumulated Amount Amortization 2022 2021 2022 2021 Customer lists and rights to sell $ 855,309 $ 853,122 $ 159,576 $ 147,858 Trademarks, formulations and product 162,408 163,974 40,565 38,747 Other 6,361 6,309 5,989 5,900 Total definite-lived $ 1,024,078 $ 1,023,405 $ 206,130 $ 192,505 The Company amortizes definite-lived intangible assets on a straight-line basis over $ 14.6 14.8 Estimated annual aggregate amortization expense for the current year For the year ended December 31, 2022 $ 59,465 For the year ended December 31, 2023 59,293 For the year ended December 31, 2024 58,701 For the year ended December 31, 2025 57,924 For the year ended December 31, 2026 57,678 For the year ended December 31, 2027 and beyond 532,124 The Company has four indefinite-lived intangible assets totaling $ 194.1 193.0 indefinite-lived intangible assets for trademarks and tradename associated four indefinitely-lived intangible assets for trademarks and tradename 196.9 |
Debt |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Debt [Abstract] | |
Debt [Text Block] | Note 14 – Debt Debt as of March 31, 2022 and December 31, 2021 includes the following: As of March 31, 2022 As of December 31, 2021 Interest Outstanding Interest Outstanding Rate Balance Rate Balance Credit Facilities: Revolver 1.68% $ 254,453 1.62% $ 211,955 U.S. Term Loan 1.71% 528,750 1.65% 540,000 EURO Term Loan 1.50% 132,037 1.50% 137,616 Industrial development bonds 5.26% 10,000 5.26% 10,000 Bank lines of credit and other debt obligations Various 1,659 Various 1,777 Total debt $ 926,899 $ 901,348 Less: debt issuance costs (7,227) (8,001) Less: short-term and current portion of long-term debts (61,385) (56,935) Total long-term debt $ 858,287 $ 836,412 Credit facilities The Company’s primary credit facility 400.0 revolver (the “Revolver”), a $ 600.0 150.0 million (as of August 1, 2019) Euro equivalent term loan (the “EURO Term “Term Loans”) August 2024 . borrowers. 300.0 request if there are lenders who agree to accept additional commitments and Borrowings under the Credit Facility bear interest at a base rate or LIBOR plus an consolidated net leverage ratio. N.A., to include among other things, an update to provide for use of a non-USD rate incurred on the outstanding borrowings under the Credit Facility during approximately 1.6 %. approximately 1.7 %. a commitment fee ranging from 0.2 % to 0.3 % depending on the Company’s consolidated Revolver in respect of the unutilized commitments thereunder. approximately $ 142 4 The Credit Facility is subject to certain financial and other covenants. The Company’s initial consolidated net debt to consolidated adjusted EBITDA ratio could not exceed 4.25 to 1, with step downs in the permitted ratio over the term of the Credit Facility. As of March 31, 2021, the consolidated net debt to adjusted EBITDA may not exceed 3.75 to 1. The Company’s consolidated adjusted EBITDA to interest expense ratio cannot be less than 3.0 to 1 over the term of the agreement. The Credit Facility also prohibits the payment of cash dividends if the Company is in default or if the amount of the dividend paid annually exceeds the greater of $50.0 million and 20% of consolidated adjusted EBITDA unless the ratio of consolidated net debt to consolidated adjusted EBITDA is less than 2.0 to 1, in which case there is no such limitation on amount. As of March 31, 2022 and December 31, 2021, the Company was in compliance with all of the Credit Facility covenants . principal amortization during their five year 5.0 % amortization of the principal balance due in years 1 and 2, 7.5 % in year 3, and 10.0 % in years 4 and 5, with the remaining principal amount due at maturity. the Company made quarterly amortization payments related to 14.1 guaranteed by certain of the Company’s the Company and the domestic subsidiary guarantors, subject to certain are guaranteed only by certain foreign subsidiaries on an unsecured basis. The Credit Facility required the Company to fix its variable interest rates on at least 20 % of its total Term Loans. satisfy this requirement as well as to manage the Company’s in November 2019, the Company entered into $ 170.0 1.64 % plus an applicable margin as provided in the Credit Facility, Company entered into the swaps, and as of March 31, 2022, the aggregate an applicable margin, was 3.1 %. The Company capitalized $ 23.7 Approximately $ 15.5 term debt on the Company’s Consolidated 8.3 Revolver and recorded within other assets on the Company’s amortized into interest expense over the five year Company had $ 7.2 8.0 March 31, 2022 and December 31, 2021, the Company had $ 3.9 4.3 within other assets. Industrial development bonds As of March 31, 2022 and December 31, 2021, the Company had fixed rate, $ 10.0 2028 . Bank lines of credit and other debt obligations The Company has certain unsecured bank lines of credit and discounting collateralized. free municipality-related loans, local credit facilities of certain foreign subsidiaries capacity under these arrangements as of March 31, 2022 was approximately 30 In addition to the bank letters of credit described in the “Credit facilities” subsection sheet arrangements include certain financial and other guarantees. outstanding as of March 31, 2022 were approximately $ 6 The Company incurred the following debt related expenses included Statements of Income: Three Months Ended March 31, 2022 2021 Interest expense $ 4,746 $ 4,650 Amortization of debt issuance costs 1,187 1,187 Total $ 5,933 $ 5,837 Based on the variable interest rates associated with the Credit Facility, at which the Company’s total debt |
Accumulated Other Comprehensive Income |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Accumulated Other Comprehensive Income [Abstract] | |
Accumulated Other Comprehensive Income [Text Block] | Note 15 – Accumulated Other Comprehensive Income The following tables show the reclassifications from and resulting balances (“AOCI”) for the three months ended March 31, 2022 and 2021: Defined Unrealized Currency Benefit Gain (Loss) in Translation Retirement Available-for- Derivative Adjustments Plans Sale Securities Instruments Total Balance at December 31, 2021 $ (49,843) $ (13,172) $ 397 $ (1,372) $ (63,990) Other comprehensive (loss) income before reclassifications (6,867) 432 (1,277) 1,429 (6,283) Amounts reclassified from AOCI — 229 11 — 240 Related tax amounts — (165) 266 (329) (228) Balance at March 31, 2022 $ (56,710) $ (12,676) $ (603) $ (272) $ (70,261) Balance at December 31, 2020 $ (2,875) $ (23,467) $ 3,342 $ (3,598) $ (26,598) Other comprehensive (loss) income before reclassifications (25,459) 781 (745) 730 (24,693) Amounts reclassified from AOCI — 862 (3,085) — (2,223) Related tax amounts — (351) 805 (168) 286 Balance at March 31, 2021 $ (28,334) $ (22,175) $ 317 $ (3,036) $ (53,228) All reclassifications related to unrealized gain (loss) in available-for-sale securities captive insurance company and are recorded in equity in net income comprehensive income for non-controlling interest are related to |
Fair Value Measurements |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Fair Value Measurements [Abstract] | |
Fair Value Disclosures [Text Block] | Note 16 – Fair Value The Company has valued its company-owned life insurance policies at fair value. measurement as follows: Fair Value Total Using Fair Value Assets Fair Value Level 1 Level 2 Level 3 Company-owned life insurance $ 2,395 $ — $ 2,395 $ — Total $ 2,395 $ — $ 2,395 $ — Fair Value Total Using Fair Value Assets Fair Value Level 1 Level 2 Level 3 Company-owned life insurance $ 2,533 $ — $ 2,533 $ — Total $ 2,533 $ — $ 2,533 $ — The fair values of Company-owned life insurance assets are based on quotes terms. disclosures have not been included. |
Hedging Activities |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Hedging Activities [Abstract] | |
Hedging Activities [Text Block] | Note 17 – Hedging Activities In order to satisfy certain requirements of the Credit Facility as well as to manage rate risk associated with the Credit Facility, 170.0 year interest rate swaps. designated as cash flow hedges and, as such, the contracts are marked-to-market losses are included in AOCI to the extent effective and reclassified to interest effects earnings or it becomes probable that the forecasted The balance sheet classification and fair values of the Company’s follows: Fair Value Consolidated March 31, December 31, Balance Sheet Location 2022 2021 Derivatives designated as cash flow hedges: Interest rate swaps Other accrued liabilities $ 353 $ 1,782 $ 353 $ 1,782 The following table presents the net unrealized loss deferred to AOCI: March 31, December 31, 2022 2021 Derivatives designated as cash flow hedges: Interest rate swaps AOCI $ 272 $ 1,372 $ 272 $ 1,372 The following table presents the net gain reclassified from AOCI to earnings: Three Months Ended March 31, 2022 2021 Amount and location of expense reclassified Interest expense, net $ (637) $ (643) Interest rate swaps are entered into with a limited number of counterparties, contracts through a single payment in a single currency in the event of a default on accordance with the Company’s accounting Consolidated Balance Sheets. |
Commitments and Contingencies |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingencies Disclosure [Text Block] | Note 18 – Commitments and Contingencies The Company previously disclosed in its 2021 Form 10-K that AC Products, Inc. operating a groundwater treatment system to hydraulically contain groundwater principal contaminant of which is perchloroethylene. closure of the groundwater treatment system, but continues to operate water remediation program is approximately $ 0.1 1.0 of operation of the treatment system as determined by groundwater modeling. maintenance of the extraction well, groundwater monitoring and The Company previously disclosed in its 2021 Form 10-K that an inactive sold certain products containing asbestos, primarily on an installed basis, and injury due to exposure to asbestos. or circumstances of this previously disclosed matter, Based on a continued analysis of the existing and anticipated future claims against subsidiary’s total liability over 50 years 0.3 The Company previously disclosed in its 2021 Form 10-K that it is party to certain environmental domestic and foreign properties. well as operating and maintenance at each of the applicable sites. significant changes to the facts or circumstances of these previously disclosed maintenance activities and routine payments associated with each of related to such matters, and based on historical costs incurred and 27 years , has estimated the range of costs for all of these environmental matters, on a discounted 5 6 as of March 31, 2022, for which $ 5.9 Company’s had $ 5.6 The Company believes, although there can be no assurance regarding the it has made adequate accruals for costs associated with other environmental 0.4 million were accrued as of both March 31, 2022 and December 31, 2021, environmental assessments and remediation costs. In connection with obtaining regulatory approvals for the Combination, Houghton were divested in August 2019. acquired these divested product lines submitted an indemnification claim Houghton in the agreement pursuant to which such assets had been divested. indemnification claim and during the first quarter of 2022 the matter was resolved position that there were no amounts owed by the Company. The Company previously disclosed in its 2021 Form 10-K that two of the Company’s result of flooding and fire, respectively. months ended March 31, 2022, there have been no significant changes to matters, aside from the on-going restoration of both sites. managing the remediation and restoration activities associated with these all available information and discussions with its insurance adjuster Company’s property insurance 2.0 its insurers of $ 2.1 for losses incurred) of $ 0.5 The Company is party to other litigation which management currently Company’s results of operations, purchase obligations. |
Basis of Presentation and Description of Business (Policies) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Basis of Presentation and Description of Business [Abstract] | |
Description of Business [Policy Text Block] | Description of Business The Company was organized in 1918, incorporated as a Pennsylvania completed the Combination with Houghton to form Quaker Houghton. fluids. 25 the world’s most advanced and specialized companies. chemical management services (which the Company refers to as “Fluidcare TM ”) for various heavy industrial and manufacturing applications throughout its four Businesses. |
Basis of Presentation [Policy Text Block] | Basis of Presentation As used in these Notes to Condensed Consolidated Financial Statements, the “Company,” “we,” and “our” refer to Quaker Chemical Corporation associated companies, unless the context otherwise requires. the term Legacy Quaker refers to the Company prior to the closing of its combination (herein referred to as the “Combination”). been prepared in accordance with generally accepted accounting principles reporting and the United States Securities and Exchange Commission (“SEC”) disclosures normally included in financial statements prepared in accordance pursuant to such rules and regulations. of normal recurring adjustments, which are necessary for a fair statement of for the interim periods. expected for the full year. 10-K for the year ended December 31, 2021 (the “2021 Form 10-K”). |
Hyper-inflationary economies [Policy Text Block] | Hyper-inflationary economies Based on various indices or index compilations being used to monitor inflation effective July 1, 2018, Argentina’s ended March 31, 2022, the Company's Argentine subsidiaries represented 1 % of the Company’s consolidated net sales, respectively. 0.2 remeasurement losses associated with the applicable currency conversions foreign exchange losses, net, which is a component of other (expense) income, net, Statements of Income. |
Segments [Policy Text Block] | The Company’s operating internal organization, the method by which the Company’s decision maker assesses the Company’s |
Business Segments (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Business Segment Disclosures [Abstract] | |
Schedule of information about the performance of the Company's reportable segments, sales and total assets [Table Text Block] | Three Months Ended March 31, 2022 2021 Net sales Americas $ 154,144 $ 134,871 EMEA 125,687 119,814 Asia/Pacific 104,234 96,706 Global Specialty Businesses 90,106 78,392 Total $ 474,171 $ 429,783 Segment operating earnings Americas $ 29,220 $ 32,234 EMEA 16,766 25,244 Asia/Pacific 21,907 27,478 Global Specialty Businesses 25,035 24,169 Total 92,928 109,125 Combination, integration and other acquisition-related expenses (4,053) (5,815) Restructuring and related charges (820) (1,175) Fair value step up of acquired inventory sold — (801) Non-operating and administrative expenses (43,463) (40,992) Depreciation of corporate assets and amortization (15,189) (15,448) Operating income 29,403 44,894 Other (expense) income, net (2,206) 4,687 Interest expense, net (5,345) (5,470) Income before taxes and equity in net income of associated companies $ 21,852 $ 44,111 |
Net Sales and Revenue Recognition (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Net Sales and Revenue Recognition [Abstract] | |
Disaggregation of company's net sales by segment [Table Text Block] | Three Months Ended March 31, 2022 Consolidated Americas EMEA Asia/Pacific Total Customer Industries Metals $ 56,160 $ 36,839 $ 55,287 $ 148,286 Metalworking and other 97,984 88,848 48,947 235,779 154,144 125,687 104,234 384,065 Global Specialty Businesses 57,264 20,021 12,821 90,106 $ 211,408 $ 145,708 $ 117,055 $ 474,171 Timing of Revenue Recognized Product sales at a point in time $ 201,284 $ 137,203 $ 114,625 $ 453,112 Services transferred over time 10,124 8,505 2,430 21,059 $ 211,408 $ 145,708 $ 117,055 $ 474,171 Three Months Ended March 31, 2021 Consolidated Americas EMEA Asia/Pacific Total Customer Industries Metals $ 46,793 $ 34,274 $ 49,743 $ 130,810 Metalworking and other 88,078 85,540 46,963 220,581 134,871 119,814 96,706 351,391 Global Specialty Businesses 45,256 20,272 12,864 78,392 $ 180,127 $ 140,086 $ 109,570 $ 429,783 Timing of Revenue Recognized Product sales at a point in time $ 171,594 $ 131,162 $ 106,399 $ 409,155 Services transferred over time 8,533 8,924 3,171 20,628 $ 180,127 $ 140,086 $ 109,570 $ 429,783 |
Leases (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Leases [Abstract] | |
Schedule of lease cost and supplemental information [Table Text Block] | Three Months Ended March 31, 2022 2021 Operating lease expense $ 3,409 $ 3,612 Short-term lease expense 219 251 Three Months Ended March 31, 2022 2021 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 3,365 $ 3,579 Non-cash lease liabilities activity: Leased assets obtained in exchange for new operating lease liabilities 4,689 3,050 March 31, December 31, 2022 2021 Right of use lease assets $ 38,245 $ 36,635 Other current liabilities 10,540 9,976 Long-term lease liabilities 27,433 26,335 Total operating lease liabilities $ 37,973 $ 36,311 Weighted average 5.9 5.6 Weighted average 4.14% 4.22% |
Schedule of Company's future minimum rental commitments under operating leases [Table Text Block] | March 31, 2022 For the remainder of 2022 $ 8,990 For the year ended December 31, 2023 9,513 For the year ended December 31, 2024 7,292 For the year ended December 31, 2025 5,375 For the year ended December 31, 2026 4,338 For the year ended December 31, 2027 and beyond 7,046 Total lease payments 42,554 Less: imputed interest (4,581) Present value of lease liabilities $ 37,973 |
Restructuring and Related Activities (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Restructuring And Related Activities [Abstract] | |
Restructuring and Related Costs [Table Text Block] | QH Program Accrued restructuring as of December 31, 2021 $ 4,087 Restructuring and related charges 820 Cash payments (408) Currency translation adjustments (64) Accrued restructuring as of March 31, 2022 $ 4,435 |
Share Based Compensation (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Share-Based Compensation [Abstract] | |
Schedule of share-based compensation expense in its Consolidated Statements of Income [Table Text Block] | Three Months Ended March 31, 2022 2021 Stock options $ 267 $ 308 Non-vested stock awards and restricted stock units 1,548 1,396 Non-elective and elective 401(k) matching contribution in stock — 1,553 Director stock ownership plan 24 203 Performance stock units 623 319 Total share-based $ 2,462 $ 3,779 |
Schedule of Black-Scholes option pricing model and the assumptions [Table Text Block] | March 2022 Grant Number of options granted 27,077 Dividend yield 0.80 % Expected volatility 38.60 % Risk-free interest rate 2.07 % Expected term (years) 4.0 |
Schedule of Monte Carlo option pricing model and the assumptions [Text Block] | March 2022 Grant Number of PSUs granted 16,820 Risk-free interest rate 2.11 % Dividend yield 0.93 % Expected term (years) 3.0 |
Pension and Other Post Retirement Benefits (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of components of net periodic benefit costs - pension plans [Table Text Block] | Three Months Ended March 31, Other Pension Benefits Postretirement Benefits 2022 2021 2022 2021 Service cost $ 180 $ 316 $ (8) $ 1 Interest cost 1,360 1,090 9 11 Expected return on plan assets (2,084) (2,082) — — Actuarial loss (gain) amortization 257 855 (24) — Prior service cost (income) amortization 2 2 1 — Total net periodic benefit $ (285) $ 181 $ (22) $ 12 |
Other (Expense) Income, Net (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Other (Expense) Income, Net [Abstract] | |
Schedule of other expense, net [Table Text Block] | Three Months Ended March 31, 2022 2021 Income from third party license fees $ 404 $ 339 Foreign exchange losses, net (1,905) (1,478) Gain on disposals of property, 23 5,410 Non-income tax refunds and other related (expense) credits (1,322) 97 Pension and postretirement benefit income, non-service components 479 124 Other non-operating income, net 115 195 Total other (expense) $ (2,206) $ 4,687 |
Earnings Per Share (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended March 31, 2022 2021 Basic earnings per common share Net income attributable to Quaker Chemical Corporation $ 19,816 $ 38,615 Less: income allocated to participating securities (78) (154) Net income available to common shareholders $ 19,738 $ 38,461 Basic weighted average common shares outstanding 17,826,061 17,785,370 Basic earnings per common share $ 1.11 $ 2.16 Diluted earnings per common share Net income attributable to Quaker Chemical Corporation $ 19,816 $ 38,615 Less: income allocated to participating securities (78) (154) Net income available to common shareholders $ 19,738 $ 38,461 Basic weighted average common shares outstanding 17,826,061 17,785,370 Effect of dilutive securities 25,798 70,607 Diluted weighted average common shares outstanding 17,851,859 17,855,977 Diluted earnings per common $ 1.11 $ 2.15 |
Goodwill and Intangible Assets (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Goodwill And Intangible Assets [Abstract] | |
Schedule of Goodwill [Table Text Block] | Global Specialty Americas EMEA Asia/Pacific Businesses Total Balance as of December 31, 2021 $ 214,023 $ 135,520 $ 162,458 $ 119,193 $ 631,194 Goodwill additions 1,752 — — 32 1,784 Currency translation adjustments 1,376 (2,569) (328) (519) (2,040) Balance as of March 31, 2022 $ 217,151 $ 132,951 $ 162,130 $ 118,706 $ 630,938 |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | Gross Carrying Accumulated Amount Amortization 2022 2021 2022 2021 Customer lists and rights to sell $ 855,309 $ 853,122 $ 159,576 $ 147,858 Trademarks, formulations and product 162,408 163,974 40,565 38,747 Other 6,361 6,309 5,989 5,900 Total definite-lived $ 1,024,078 $ 1,023,405 $ 206,130 $ 192,505 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | For the year ended December 31, 2022 $ 59,465 For the year ended December 31, 2023 59,293 For the year ended December 31, 2024 58,701 For the year ended December 31, 2025 57,924 For the year ended December 31, 2026 57,678 For the year ended December 31, 2027 and beyond 532,124 |
Debt (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Debt [Abstract] | |
Schedule of Debt [Table Text Block] | As of March 31, 2022 As of December 31, 2021 Interest Outstanding Interest Outstanding Rate Balance Rate Balance Credit Facilities: Revolver 1.68% $ 254,453 1.62% $ 211,955 U.S. Term Loan 1.71% 528,750 1.65% 540,000 EURO Term Loan 1.50% 132,037 1.50% 137,616 Industrial development bonds 5.26% 10,000 5.26% 10,000 Bank lines of credit and other debt obligations Various 1,659 Various 1,777 Total debt $ 926,899 $ 901,348 Less: debt issuance costs (7,227) (8,001) Less: short-term and current portion of long-term debts (61,385) (56,935) Total long-term debt $ 858,287 $ 836,412 |
Interest Income And Interest Expense Disclosure [Table Text Block] | Three Months Ended March 31, 2022 2021 Interest expense $ 4,746 $ 4,650 Amortization of debt issuance costs 1,187 1,187 Total $ 5,933 $ 5,837 |
Accumulated Other Comprehensive Income (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Accumulated Other Comprehensive Income [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Defined Unrealized Currency Benefit Gain (Loss) in Translation Retirement Available-for- Derivative Adjustments Plans Sale Securities Instruments Total Balance at December 31, 2021 $ (49,843) $ (13,172) $ 397 $ (1,372) $ (63,990) Other comprehensive (loss) income before reclassifications (6,867) 432 (1,277) 1,429 (6,283) Amounts reclassified from AOCI — 229 11 — 240 Related tax amounts — (165) 266 (329) (228) Balance at March 31, 2022 $ (56,710) $ (12,676) $ (603) $ (272) $ (70,261) Balance at December 31, 2020 $ (2,875) $ (23,467) $ 3,342 $ (3,598) $ (26,598) Other comprehensive (loss) income before reclassifications (25,459) 781 (745) 730 (24,693) Amounts reclassified from AOCI — 862 (3,085) — (2,223) Related tax amounts — (351) 805 (168) 286 Balance at March 31, 2021 $ (28,334) $ (22,175) $ 317 $ (3,036) $ (53,228) |
Fair Value Measurements (Table) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Fair Value Measurements [Abstract] | |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | Fair Value Total Using Fair Value Assets Fair Value Level 1 Level 2 Level 3 Company-owned life insurance $ 2,395 $ — $ 2,395 $ — Total $ 2,395 $ — $ 2,395 $ — Fair Value Total Using Fair Value Assets Fair Value Level 1 Level 2 Level 3 Company-owned life insurance $ 2,533 $ — $ 2,533 $ — Total $ 2,533 $ — $ 2,533 $ — |
Hedging Activities (Tables) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Hedging Activities [Abstract] | |
Scheudule of fair values of the Company''s derivative instruments, Level 2 measurements [Table Text Block] | Fair Value Consolidated March 31, December 31, Balance Sheet Location 2022 2021 Derivatives designated as cash flow hedges: Interest rate swaps Other accrued liabilities $ 353 $ 1,782 $ 353 $ 1,782 March 31, December 31, 2022 2021 Derivatives designated as cash flow hedges: Interest rate swaps AOCI $ 272 $ 1,372 $ 272 $ 1,372 Three Months Ended March 31, 2022 2021 Amount and location of expense reclassified Interest expense, net $ (637) $ (643) |
Basis of Presentation and Description of Business (Details) $ in Millions |
3 Months Ended | |
---|---|---|
Mar. 31, 2022
USD ($)
|
Mar. 31, 2021
USD ($)
|
|
Basis of Presentation and Description of Business [Abstract] | ||
Number Of Countries In Which Entity Operates | 25 | |
Number Of Reportable Segments | 4 | |
Subsidiaries [Member] | Argentina [Member] | ||
Currency conversion impacts of hyper-inflationary accounting | $ 0.2 | $ 0.2 |
Assets Total [Member] | Subsidiaries [Member] | Argentina [Member] | Geographic Concentration Risk [Member] | ||
Concentration Risk, Percentage | 1.00% | |
Sales Revenue Net [Member] | Subsidiaries [Member] | Argentina [Member] | Geographic Concentration Risk [Member] | ||
Concentration Risk, Percentage | 1.00% |
Business Segments - Narrative (Details) |
3 Months Ended |
---|---|
Mar. 31, 2022 | |
Business Segment Disclosures [Abstract] | |
Number of reportable segments | 4 |
Net Sales and Revenue Recognition - Narrative (Details) - USD ($) $ in Millions |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
Dec. 31, 2021 |
|
Revenues [Abstract] | |||
Net Reporting Amount | $ 19.8 | $ 17.8 | |
Deferred Revenue | $ 6.9 | $ 7.0 | |
Customer Concentration Risk [Member] | Sales Revenue Net [Member] | Top Five Customers [Member] | |||
Concentration Risk [Line Items] | |||
Concentration Risk, Percentage | 10.00% | ||
Customer Concentration Risk [Member] | Sales Revenue Net [Member] | Largest customer [Member] | |||
Concentration Risk [Line Items] | |||
Concentration Risk, Percentage | 3.00% |
Leases - Narrative (Details) - USD ($) |
3 Months Ended | |
---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
|
Lessee, Lease, Description [Line Items] | ||
Variable Lease Cost | $ 0 | $ 0 |
Sublease Income | $ 0 | $ 0 |
Land [Member] | Maximum [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lessee Operating Lease Term Of Contract | 93 years | |
Facilities vehicles and machinery and equipment [Member] | Maximum [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lessee Operating Lease Term Of Contract | 10 years |
Leases - Supplemental Information (Details) - USD ($) $ in Thousands |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
Dec. 31, 2021 |
|
Lease cost | |||
Operating Lease Cost | $ 3,409 | $ 3,612 | |
Short Term Lease Cost | 219 | 251 | |
Supplemental cash flow information related to leases | |||
Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases | 3,365 | 3,579 | |
Leased assets obtained in exchange for new operating lease liabilities | 4,689 | $ 3,050 | |
Supplemental balance sheet information | |||
Right of use lease assets | 38,245 | $ 36,635 | |
Other current liabilities | 10,540 | 9,976 | |
Long-term lease liabilities | 27,433 | 26,335 | |
Total operating lease liabilities | $ 37,973 | $ 36,311 | |
Weighted average remaining lease term (years) | 5 years 10 months 24 days | 5 years 7 months 6 days | |
Weighted average discount rate | 4.14% | 4.22% |
Leases - Maturities of Operating Lease Liabilities (Details) - USD ($) $ in Thousands |
Mar. 31, 2022 |
Dec. 31, 2021 |
---|---|---|
Operating Lease Liabilities Payments Due [Abstract] | ||
For the remainder of 2022 | $ 8,990 | |
For the year ended December 31, 2023 | 9,513 | |
For the year ended December 31, 2024 | 7,292 | |
For the year ended December 31, 2025 | 5,375 | |
For the year ended December 31, 2026 | 4,338 | |
For the year ended December 31, 2027 and beyond | 7,046 | |
Total lease payments | 42,554 | |
Less: imputed interest | (4,581) | |
Present value of lease liabilities | $ 37,973 | $ 36,311 |
Restructuring and Related Activities - Narrative (Details) $ in Thousands |
3 Months Ended |
---|---|
Mar. 31, 2022
USD ($)
People
| |
Restructuring Cost and Reserve [Abstract] | |
Restructuring And Related Cost Description | The Company’s management approved a global restructuring plan (the “QH Program”) as part of its plan to realize certain cost synergies associated with the Combination in the third quarter of 2019. The QH Program includes restructuring and associated severance costs to reduce total headcount by approximately 400 people globally, as well as plans for the closure of certain manufacturing and non-manufacturing facilities. |
Restructuring And Related Cost Expected Number Of Positions Eliminated | People | 400 |
Restructuring, Cash Payments | $ | $ 408 |
Restructuring and Related Activities (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
|
Restructuring Reserve [Roll Forward] | ||
Accrued Restructuring, Beginning Balance | $ 4,087 | |
Restructuring and related charges | 820 | $ 1,175 |
Cash Payments | (408) | |
Currency translation adjustments | (64) | |
Accrued Restructuring, Ending Balance | $ 4,435 |
Share-Based Compensation - Black-Scholes Option Pricing Model (Details) |
3 Months Ended |
---|---|
Mar. 31, 2022
shares
| |
Black-Scholes option pricing model | |
Number of options granted | 27,077 |
Dividend Yield | 0.80% |
Expected Volatility | 38.60% |
Risk-free Interest Rate | 2.07% |
Expected Term (Years) | 4 years |
Share-Based Compensation - Monte Carlo Simulation on Grant Date (Details) |
3 Months Ended |
---|---|
Mar. 31, 2022
shares
| |
Mote Carlo option pricing model | |
Number of PSUs granted | 27,077 |
Risk-free Interest Rate | 2.07% |
Dividend Yield | 0.80% |
Expected Term (Years) | 4 years |
Performance Stock Units [Member] | |
Mote Carlo option pricing model | |
Number of PSUs granted | 16,820 |
Risk-free Interest Rate | 2.11% |
Dividend Yield | 0.93% |
Expected Term (Years) | 3 years |
Pension and Other Postretirement Benefits - Narrative (Details) $ in Millions |
3 Months Ended |
---|---|
Mar. 31, 2022
USD ($)
| |
Pension Plans, Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Contributions by Employer | $ 1.0 |
Defined Benefit Plan, Estimated Future Employer Contributions in Current Fiscal Year | 6.6 |
Other Postretirement Benefit Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Contributions by Employer | 0.1 |
Defined Benefit Plan, Estimated Future Employer Contributions in Current Fiscal Year | $ 0.2 |
Pension and Other Postretirement Benefits - Net Periodic Benefit Cost (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
|
Pension Benefit [Member] | ||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | ||
Service cost | $ 180 | $ 316 |
Interest cost | 1,360 | 1,090 |
Expected return on plan assets | (2,084) | (2,082) |
Actuarial loss (gain) amortization | 257 | 855 |
Prior service cost (income) amortization | 2 | 2 |
Total net periodic benefit (income) cost | (285) | 181 |
Postretirement Benefits [Member] | ||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | ||
Service cost | (8) | 1 |
Interest cost | 9 | 11 |
Expected return on plan assets | 0 | 0 |
Actuarial loss (gain) amortization | (24) | 0 |
Prior service cost (income) amortization | 1 | 0 |
Total net periodic benefit (income) cost | $ (22) | $ 12 |
Other (Expense) Income, Net (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
|
Other (Expense) Income, Net [Abstract] | ||
Income from third party license fees | $ 404 | $ 339 |
Foreign exchange losses, net | (1,905) | (1,478) |
Gain on disposals of property, plant, equipment and other assets, net | 23 | 5,410 |
Non-income tax refunds and other related (expense) credits | (1,322) | 97 |
Pension and postretirement benefit income, non-service components | 479 | 124 |
Other Operating Income Expense Net | 115 | 195 |
Total other (expense) income, net | (2,206) | 4,687 |
Narrative [Abstract] | ||
Foreign Currency Transaction Loss Before Tax | $ 200 | $ 200 |
Earnings Per Share - Earnings per Share Calculations Basic (Details) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
|
Earnings Per Share [Abstract] | ||
Net income attributable to Quaker Chemical Corporation | $ 19,816 | $ 38,615 |
Less: income allocated to participating securities | (78) | (154) |
Net income available to common shareholders | $ 19,738 | $ 38,461 |
Basic weighted average common shares outstanding | 17,826,061 | 17,785,370 |
Basic earnings (loss) per common share | $ 1.11 | $ 2.16 |
Earnings Per Share - Earnings per Share Calculations Diluted (Details) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
|
Earnings Per Share [Abstract] | ||
Net income attributable to Quaker Chemical Corporation | $ 19,816 | $ 38,615 |
Less: income allocated to participating securities | (78) | (154) |
Net income available to common shareholders | $ 19,738 | $ 38,461 |
Basic weighted average common shares outstanding | 17,826,061 | 17,785,370 |
Effect of Dilutive Securities | 25,798 | 70,607 |
Diluted weighted average common shares outstanding | 17,851,859 | 17,855,977 |
Diluted earnings (loss) per common share | $ 1.11 | $ 2.15 |
Earnings Per Share - Earnings per Share Calculations Antidilutive Shares (Details) - shares |
3 Months Ended | |
---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
|
Business Acquisition [Line Items] | ||
Antidilutive Shares | 12,260 | 2,083 |
Restricted Cash (Details) - USD ($) $ in Thousands |
Mar. 31, 2022 |
Dec. 31, 2021 |
Mar. 31, 2021 |
Dec. 31, 2020 |
---|---|---|---|---|
Restricted Cash Abstract] | ||||
Cash and cash equivalents | $ 161,552 | $ 165,176 | ||
Cash cash equivalents restricted cash and restricted cash equivalents | $ 161,552 | $ 165,176 | $ 163,455 | $ 181,895 |
Goodwill and Other Intangible Assets - Gross Carrying Amounts and Accumulated Amortization for Definite-lived Intangible Assets (Details) - USD ($) $ in Thousands |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
Dec. 31, 2021 |
|
Finite Lived Intangible Assets Gross [Abstract] | |||
Amortization | $ 14,600 | $ 14,800 | |
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 1,024,078 | $ 1,023,405 | |
Accumumlated Amortization | 206,130 | 192,505 | |
Customer lists and rights to sell [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 855,309 | 853,122 | |
Accumumlated Amortization | 159,576 | 147,858 | |
Trademarks Formulations And Product Technology [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 162,408 | 163,974 | |
Accumumlated Amortization | 40,565 | 38,747 | |
Other Intangible Assets [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 6,361 | 6,309 | |
Accumumlated Amortization | $ 5,989 | $ 5,900 |
Goodwill and Other Intangible Assets - Intangible Assets - Future Amortization (Details) $ in Thousands |
Mar. 31, 2022
USD ($)
|
---|---|
Finite-Lived Intangible Assets, Future Amortization Expense [Abstract] | |
For the year ended December 31, 2022 | $ 59,465 |
For the Year ended December 31, 2023 | 59,293 |
For the Year ended December 31, 2024 | 58,701 |
For the Year ended December 31, 2025 | 57,924 |
For the Year ended December 31, 2026 | 57,678 |
For the Year ended December 31, 2027 and beyond | $ 532,124 |
Goodwill and Other Intangible Assets - Indefinite Lived (Details) - Houghton Combination [Member] - USD ($) $ in Millions |
Mar. 31, 2022 |
Dec. 31, 2021 |
---|---|---|
Finite-Lived Intangible Assets [Line Items] | ||
Indefinite Lived Trademarks and Tradename | $ 193.0 | $ 196.9 |
Indefinite lived intangible assets | $ 194.1 |
Debt - Table (Details) - USD ($) $ in Thousands |
Mar. 31, 2022 |
Dec. 31, 2021 |
---|---|---|
Debt Instrument [Line Items] | ||
Total debt | $ 926,899 | $ 901,348 |
Less: debt issuance costs | (7,227) | (8,001) |
Less: short-term and current portion of long-term debts | (61,385) | (56,935) |
Total long-term debt | $ 858,287 | $ 836,412 |
Revolver [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 1.68% | 1.62% |
Total debt | $ 254,453 | $ 211,955 |
U.S. Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 1.71% | 1.65% |
Total debt | $ 528,750 | $ 540,000 |
EURO Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 1.50% | 1.50% |
Total debt | $ 132,037 | $ 137,616 |
Industrial development bonds [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.26% | 5.26% |
Total debt | $ 10,000 | $ 10,000 |
Bank lines of credit and other debt obligations [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $ 1,659 | $ 1,777 |
Debt - Debt related expenses included within Interest expense (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
|
Debt related expenses included within Interest expense: | ||
Interest expense | $ 4,746 | $ 4,650 |
Amortization of debt issuance costs | 1,187 | 1,187 |
Total | $ 5,933 | $ 5,837 |
Accumulated Other Comprehensive Income - Changes in Equity (Parentheticals) (Details) - $ / shares |
3 Months Ended | |
---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
|
Consolidated Statement Of Changes In Equity Parentheticals [Abstract] | ||
Dividends declared | $ 0.415 | $ 0.395 |
Fair Value Measurements - Assets Subject to Fair Value Measurement (Details) - USD ($) $ in Thousands |
Mar. 31, 2022 |
Dec. 31, 2021 |
---|---|---|
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Company Owned Life Insurance | $ 2,395 | $ 2,533 |
Assets Fair Value Disclosure | 2,395 | 2,533 |
Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Company Owned Life Insurance | 0 | 0 |
Assets Fair Value Disclosure | 0 | 0 |
Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Company Owned Life Insurance | 2,395 | 2,533 |
Assets Fair Value Disclosure | 2,395 | 2,533 |
Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Company Owned Life Insurance | 0 | 0 |
Assets Fair Value Disclosure | $ 0 | $ 0 |
Hedging Activities - Narrative (Details) $ in Millions |
Nov. 30, 2019
USD ($)
|
---|---|
Interest Rate Swap [Member] | |
Derivatives, Fair Value [Line Items] | |
Derivative Liability Notional Amount | $ 170 |
Hedging Activities - Balance Sheet Classification and Fair Values (Details) - USD ($) $ in Thousands |
3 Months Ended | 12 Months Ended | |
---|---|---|---|
Mar. 31, 2022 |
Mar. 31, 2021 |
Dec. 31, 2021 |
|
Derivative Instruments Gain Loss [Line Items] | |||
Amount and location of expense reclassified from AOCI into expense (effective portion) | $ 272 | $ 1,372 | |
Interest Expense [Member] | |||
Derivative Instruments Gain Loss [Line Items] | |||
Derivative Instruments Gain Loss Recognized In Income Ineffective Portion And Amount Excluded From Effectiveness Testing Net | (637) | $ (643) | |
Interest Rate Swap [Member] | |||
Derivative Instruments Gain Loss [Line Items] | |||
Amount and location of expense reclassified from AOCI into expense (effective portion) | 272 | 1,372 | |
Interest Rate Cash Flow Hedge Liability At Fair Value | 353 | 1,782 | |
Interest Rate Swap [Member] | Other accrued liabilities [Member] | |||
Derivative Instruments Gain Loss [Line Items] | |||
Interest Rate Cash Flow Hedge Liability At Fair Value | $ 353 | $ 1,782 |
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