| ACCUMULATED OTHER COMPREHENSIVE LOSS |
ACCUMULATED OTHER COMPREHENSIVE LOSS The components of, and changes in, accumulated other comprehensive loss (AOCL) were as follows, net of tax, for the nine months ended March 31, 2026: | | | | | | | | | | | | | | | | (in thousands) | Pension and other postretirement benefits | Currency translation adjustment | Derivatives | Total | | Attributable to Kennametal: | | | | | Balance, June 30, 2025 | $ | (223,016) | | $ | (165,859) | | $ | 2,182 | | $ | (386,693) | | | Other comprehensive income (loss) before reclassifications | 1,393 | | (14,559) | | (197) | | (13,363) | | | Amounts reclassified from AOCL | 6,684 | | — | | (366) | | 6,318 | | | Net other comprehensive income (loss) | 8,077 | | (14,559) | | (563) | | (7,045) | | AOCL, March 31, 2026 | $ | (214,939) | | $ | (180,418) | | $ | 1,619 | | $ | (393,738) | | | | | | | | Attributable to noncontrolling interests: | | | | | Balance, June 30, 2025 | $ | — | | $ | (7,844) | | $ | — | | $ | (7,844) | | | Other comprehensive loss before reclassifications | — | | (2,259) | | — | | (2,259) | | | Net other comprehensive loss | — | | (2,259) | | — | | (2,259) | | AOCL, March 31, 2026 | $ | — | | $ | (10,103) | | $ | — | | $ | (10,103) | |
The components of, and changes in, AOCL were as follows, net of tax, for the nine months ended March 31, 2025: | | | | | | | | | | | | | | | | (in thousands) | Pension and other postretirement benefits | Currency translation adjustment | Derivatives | Total | | Attributable to Kennametal: | | | | | Balance, June 30, 2024 | $ | (221,308) | | $ | (216,263) | | $ | 2,983 | | $ | (434,588) | | | Other comprehensive (loss) income before reclassifications | (887) | | 1,329 | | 827 | | 1,269 | | | Amounts reclassified from AOCL | 5,277 | | — | | (1,160) | | 4,117 | | | Net other comprehensive income (loss) | 4,390 | | 1,329 | | (333) | | 5,386 | | AOCL, March 31, 2025 | $ | (216,918) | | $ | (214,934) | | $ | 2,650 | | $ | (429,202) | | | | | | | | Attributable to noncontrolling interests: | | | | | Balance, June 30, 2024 | $ | — | | $ | (8,680) | | $ | — | | $ | (8,680) | | | Other comprehensive loss before reclassifications | — | | (409) | | — | | (409) | | | Net other comprehensive loss | — | | (409) | | — | | (409) | | AOCL, March 31, 2025 | $ | — | | $ | (9,089) | | $ | — | | $ | (9,089) | |
Reclassifications out of AOCL for the three and nine months ended March 31, 2026 and 2025 consisted of the following: | | | | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended March 31, | Nine Months Ended March 31, | | | | (in thousands) | 2026 | | 2025 | 2026 | | 2025 | | Affected line item in the Income Statement | | Gains on cash flow hedges: | | | | | | | | | | Forward starting interest rate swaps | $ | (255) | | | $ | (255) | | $ | (766) | | | $ | (766) | | | Interest expense | | Currency exchange contracts | 18 | | | (762) | | 281 | | | (770) | | | Cost of goods sold | | Total before tax | (237) | | | (1,017) | | (485) | | | (1,536) | | | | | Tax impact | 58 | | | 249 | | 119 | | | 376 | | | Provision for income taxes | | Net of tax | $ | (179) | | | $ | (768) | | $ | (366) | | | $ | (1,160) | | | | | | | | | | | | | | Pension and other postretirement benefits: | | | | | | | | | | | | | | | | | | | Amortization of prior service credit | $ | (68) | | | $ | (65) | | $ | (203) | | | $ | (196) | | | Other income, net | | Recognition of actuarial losses | 2,960 | | | 2,117 | | 8,861 | | | 6,396 | | | Other income, net | | Settlement | — | | | — | | — | | | 836 | | | Other income, net | | Total before tax | 2,892 | | | 2,052 | | 8,658 | | | 7,036 | | | | | Tax impact | (730) | | | (500) | | (1,974) | | | (1,759) | | | Provision for income taxes | | Net of tax | $ | 2,162 | | | $ | 1,552 | | $ | 6,684 | | | $ | 5,277 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
The amount of income tax allocated to each component of other comprehensive (loss) income for the three months ended March 31, 2026 and 2025 were as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | 2026 | | | | | 2025 | | | (in thousands) | Pre-tax | Tax impact | Net of tax | | | Pre-tax | Tax impact | Net of tax | | Unrealized (loss) gain on derivatives designated and qualified as cash flow hedges | $ | (1) | | $ | — | | $ | (1) | | | | $ | (342) | | $ | 84 | | $ | (258) | | | Reclassification of unrealized gain on derivatives designated and qualified as cash flow hedges | (237) | | 58 | | (179) | | | | (1,017) | | 249 | | (768) | | | Unrecognized net pension and other postretirement benefit plans gain (loss) | 1,173 | | (292) | | 881 | | | | (2,033) | | 531 | | (1,502) | | | Reclassification of net pension and other postretirement benefit plans loss | 2,892 | | (730) | | 2,162 | | | | 2,052 | | (500) | | 1,552 | | | Foreign currency translation adjustments | (16,551) | | — | | (16,551) | | | | 22,880 | | — | | 22,880 | | | | | | | | | | | | Other comprehensive (loss) income | $ | (12,724) | | $ | (964) | | $ | (13,688) | | | | $ | 21,540 | | $ | 364 | | $ | 21,904 | |
The amount of income tax allocated to each component of other comprehensive (loss) income for the nine months ended March 31, 2026 and 2025 were as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | 2026 | | | | | 2025 | | | (in thousands) | Pre-tax | Tax impact | Net of tax | | | Pre-tax | Tax impact | Net of tax | | Unrealized (loss) gain on derivatives designated and qualified as cash flow hedges | $ | (261) | | $ | 64 | | $ | (197) | | | | $ | 1,095 | | $ | (268) | | $ | 827 | | | Reclassification of unrealized gain on derivatives designated and qualified as cash flow hedges | (485) | | 119 | | (366) | | | | (1,536) | | 376 | | (1,160) | | | Unrecognized net pension and other postretirement benefit plans gain (loss) | 1,854 | | (461) | | 1,393 | | | | (1,189) | | 303 | | (886) | | | Reclassification of net pension and other postretirement benefit plans loss | 8,658 | | (1,974) | | 6,684 | | | | 7,036 | | (1,759) | | 5,277 | | | Foreign currency translation adjustments | (16,818) | | — | | (16,818) | | | | 919 | | — | | 919 | | | | | | | | | | | | Other comprehensive (loss) income | $ | (7,052) | | $ | (2,252) | | $ | (9,304) | | | | $ | 6,325 | | $ | (1,348) | | $ | 4,977 | |
|