v3.25.2
SEGMENT INFORMATION
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
The Company’s products and operations are managed and reported in two operating segments: Fire Safety and Specialty Products. The Fire Safety segment provides fire retardants and firefighting foams, as well as specialized equipment and services typically offered in conjunction with the Company’s retardant and foam products. The Specialty Products segment includes operations that develop, produce and market products for non-fire safety markets. The Company’s largest end market application for the Specialty Products segment is Phosphorus Pentasulfide (“P2S5”) based lubricant additives. P2S5 is also used in pesticide and mining chemicals applications, and emerging electric battery technologies. The Specialty Products segment also includes IMS, which is a manufacturer of electronic or electro-mechanical components of larger solutions. IMS has a flexible, vertically integrated production facility centered on its printed circuit board (“PCB”) line that allows it to acquire and produce a variety of product lines across a range of end markets, including large medical systems, communications infrastructure, energy infrastructure, defense systems, and industrial systems, with a substantial focus on aftermarket repair and replacement.
The chief operating decision-maker (“CODM”) is the Company's CEO. The CODM uses Segment Adjusted EBITDA for each segment predominantly in the annual budget and forecasting process. The CODM considers budget/forecast-to-actual variances on a quarterly basis when making decisions about the allocation of operating and capital resources to each segment.
Segment Adjusted EBITDA is defined as income (loss) before income taxes plus net interest and other financing expenses, and depreciation and amortization, adjusted on a consistent basis for certain non-recurring, unusual or non-operational items. These items include (i) restructuring and transaction related costs (ii) founder advisory fee expenses, (iii) stock-based compensation expense and (iv) foreign currency loss (gain).

Interest income, interest expense, other income (expense) and certain corporate operating expenses are not included in the measures of segment performance reviewed by the CODM. The corporate category is not considered to be a segment.

Information related to net sales, Segment Adjusted EBITDA, depreciation and amortization, purchases of property and equipment, and purchases of intangible assets are summarized below (in thousands):
Three Months Ended June 30, 2025
Fire SafetySpecialty ProductsTotal
Net sales:
Product$88,543 $42,230 $130,773 
Services and others31,741 125 31,866 
Total net sales$120,284 $42,355 $162,639 
Less:
Adjusted cost of goods sold$33,632 $24,367 $57,999 
Adjusted selling, general and administrative expense8,993 4,309 13,302 
Segment Adjusted EBITDA$77,659 $13,679 $91,338 
Less:
Depreciation and amortization17,924 
Interest and financing expense9,930 
Founders advisory fees - related party96,883 
Non-recurring expenses307 
Stock-based compensation expense2,238 
Foreign currency gain(2,096)
Loss before income taxes$(33,848)
 
Depreciation and amortization$13,620 $4,304 $17,924 
Purchases of property and equipment$10,409 $2,355 $12,764 
Purchase of intangible assets$15,226 $— $15,226 
Three Months Ended June 30, 2024
Fire SafetySpecialty ProductsTotal
Net sales:
Product$65,998 $28,738 $94,736 
Services and others32,540 — 32,540 
Total net sales$98,538 $28,738 $127,276 
Less:
Adjusted cost of goods sold$34,680 $16,672 $51,352 
Adjusted selling, general and administrative expense8,219 2,797 11,016 
Segment Adjusted EBITDA$55,639 $9,269 $64,908 
Less:
Depreciation and amortization16,359 
Interest and financing expense10,590 
Founders advisory fees - related party588 
Non-recurring expenses23 
Stock-based compensation expense2,994 
Foreign currency loss224 
Income before income taxes$34,130 
   
Depreciation and amortization$12,798 $3,561 $16,359 
Purchases of property and equipment$1,685 $1,958 $3,643 
Six Months Ended June 30, 2025
Fire SafetySpecialty ProductsTotal
Net sales:
Product$122,575 $76,914 $199,489 
Services and others34,872 308 35,180 
Total net sales$157,447 $77,222 $234,669 
Less:
Adjusted cost of goods sold$52,214 $46,987 $99,201 
Adjusted selling, general and administrative expense17,489 8,558 26,047 
Segment Adjusted EBITDA$87,744 $21,677 $109,421 
Less:
Depreciation and amortization34,817 
Interest and financing expense19,574 
Founders advisory fees - related party16,270 
Non-recurring expenses1,775 
Stock-based compensation expense4,909 
Foreign currency gain(3,255)
Income before income taxes$35,331 
 
Depreciation and amortization$26,385 $8,432 $34,817 
Purchases of property and equipment$13,671 $3,906 $17,577 
Purchase of intangible assets$15,226 $— $15,226 
Six Months Ended June 30, 2024
Fire SafetySpecialty ProductsTotal
Net sales:
Product$89,990 $62,627 $152,617 
Services and others33,703 — 33,703 
Total net sales$123,693 $62,627 $186,320 
Less:
Adjusted cost of goods sold$51,532 $35,447 $86,979 
Adjusted selling, general and administrative expense16,763 5,534 22,297 
Segment Adjusted EBITDA$55,398 $21,646 $77,044 
Less:
Depreciation and amortization32,771 
Interest and financing expense21,238 
Founders advisory fees - related party68,921 
Non-recurring expenses563 
Stock-based compensation expense4,736 
Foreign currency loss1,517 
Loss before income taxes$(52,702)
   
Depreciation and amortization$25,688 $7,083 $32,771 
Purchases of property and equipment$2,478 $2,718 $5,196 
Total segment assets reconciled to consolidated amounts are as follows (in thousands):
June 30, 2025
Fire SafetySpecialty ProductsTotal
Segment assets$154,683 $240,622 $395,305 
Cash and cash equivalents140,658 
Goodwill1,053,108 
Customer lists, net624,787 
Technology and patents, net186,494 
Tradenames, net85,482 
Tax assets428 
Total consolidated assets$2,486,262 
December 31, 2024
Fire SafetySpecialty ProductsTotal
Segment assets$83,677 $189,912 $273,589 
Cash and cash equivalents198,456 
Goodwill1,034,543 
Customer lists, net637,745 
Technology and patents, net173,307 
Tradenames, net87,365 
Tax assets11,389 
Total consolidated assets$2,416,394 
Net sales by geographical area are as follows:
Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
United States71%78%70%75%
Canada13%6%9%4%
Other international sales (1)
16%16%21%21%
Total net sales100%100%100%100%
(1)    The Company did not have net sales in excess of 10% in any other countries for the three and six months ended June 30, 2025, and June 30, 2024.
Property, plant and equipment, net by geographical area consisted of the following (in thousands):
June 30, 2025December 31, 2024
United States$58,875 $46,580 
Germany13,678 12,643 
Other foreign jurisdictions6,278 5,554 
Total property, plant and equipment, net$78,831 $64,777