v3.25.2
Fair Value Measurements
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
Financial Instruments
The carrying amounts reported in the consolidated balance sheets for cash and cash equivalents, accounts receivable, other current assets, accounts payable and other current liabilities approximate fair value due to their short-term nature.
On February 21, 2024, the Company acquired certain investment securities in Brain Corp, a privately held autonomous technology company located in San Diego, California. The investment will drive the development and adoption of Brain Corp's next generation of robotic and AI technologies.
The investment securities include $12.1 million of redeemable convertible preferred stock, accounted for as available-for-sale debt instruments. The investment securities also include $12.2 million of non-redeemable convertible preferred stock and $7.8 million of warrants, accounted for as equity instruments under the elected measurement alternative. The equity and debt securities were recorded at closing at their allocated fair values. For equity instruments, the carrying amount will be adjusted to fair value through net income each period based upon observable transactions for identical or similar investments of the same issuer and monitored for impairment. For debt instruments, the carrying amount will be adjusted to fair value each period through
accumulated other comprehensive income (loss). The securities will be measured to fair value based on Level 3 inputs.
As of June 30, 2025 and December 31, 2024, the cost and market values of our debt and equity securities were as follows:
CostFair ValueGross Unrealized GainsGross Unrealized Losses
Balance as of June 30, 2025
Available-for-sale debt securities$12.1 $12.3 $0.2 $— 
Equity securities20.0 20.0 — — 
Total debt and equity securities$32.1 $32.3 $0.2 $— 
Balance as of December 31, 2024
Available-for-sale debt securities$12.1 $12.3 $0.2 $— 
Equity securities20.0 20.0 — — 
Total debt and equity securities$32.1 $32.3 $0.2 $— 
The aggregate unrealized gains and losses on available-for-sale debt securities, net of tax effects, are classified in accumulated other comprehensive loss within shareholders' equity.
Scheduled maturities of our debt securities were as follows:
Cost Fair Value
After 5 years through 10 years$12.1 $12.3 
Total debt securities$12.1 $12.3 
Fair Value Measurements and Financial Statement Presentation
Estimates of fair value for financial assets and financial liabilities are based on the framework established in the accounting guidance for fair value measurements. The framework defines fair value, provides guidance for measuring fair value and requires certain disclosures. The framework discusses valuation techniques, such as the market approach (comparable market prices), the income approach (present value of future income or cash flow) and the cost approach (cost to replace the service capacity of an asset or replacement cost). The framework utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The following is a brief description of those three levels:
•Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities.
•Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active.
•Level 3: Unobservable inputs that reflect the reporting entity’s own assumptions.
Our population of assets and liabilities subject to fair value measurements at June 30, 2025 was as follows:
Fair
Value		Level 1Level 2Level 3
Assets:
Equity securities$20.0 $— $— $20.0 
Debt securities12.3 — — 12.3 
Foreign currency forward contracts0.1 — 0.1 — 
Cross-currency swaps2.4 — 2.4 — 
Total assets34.8 — 2.5 32.3 
Liabilities:
Foreign currency forward contracts1.0 — 1.0 — 
Cross-currency swaps19.1 — 19.1 — 
Interest rate swaps0.8 — 0.8 — 
Total liabilities$20.9 $— $20.9 $— 
Our population of assets and liabilities subject to fair value measurements at December 31, 2024 was as follows:
Fair
Value		Level 1Level 2Level 3
Assets:
Equity securities$20.0 $— $— $20.0 
Debt securities12.3 — — 12.3 
Foreign currency forward contracts0.8 — 0.8 — 
Cross-currency swaps3.4 — 3.4 — 
Interest rate swaps0.1 — 0.1 — 
Total assets36.6 — 4.3 32.3 
Liabilities:
Interest rate swaps0.2 — 0.2 — 
Total liabilities$0.2 $— $0.2 $— 
Our foreign currency forward contracts, cross-currency swaps and interest rate swaps are valued using observable Level 2 market expectations at the measurement date and standard valuation techniques to convert future amounts to a single present value amount. Further details regarding our derivative instruments are discussed in Note 10.
There were no transfers into or out of Level 3 investments in the periods ended June 30, 2025 and December 31, 2024.
The fair value and carrying value of total debt, including current portion, was $247.7 million and $213.8 million, respectively, as of June 30, 2025. The fair value and carrying value of total debt, including current portion, was $235.9 million and $199.5 million, respectively, as of December 31, 2024. The fair value was estimated using Level 3 inputs based on the borrowing rates currently available to us for bank loans with similar terms and remaining maturities.