v3.26.1
Segment and Related Information
 6 Months Ended
Jul. 05, 2026
Segment and Related Information [Abstract]  
Segment and Related Information
Note 13.  Segment and Related Information
 
The Company determines its operating segments based on the discrete financial information that is regularly evaluated by its chief operating decision maker, our Chief Executive Officer, in deciding how to allocate resources and in assessing performance. The Company’s operating segments are strategic business units that offer different products and serve different markets. They are managed separately and require different technology and marketing strategies.  
 
The Company has two reportable segments: Consumer & Specialties and Engineered Solutions. See Note 1 to the Condensed Consolidated Financial Statements.
 
The Company evaluates performance based on the operating income of the respective business units. The costs deducted to arrive at operating profit do not include several items, such as net interest or income tax expense. Depreciation expense related to corporate assets is allocated to the business segments and is included in their income from operations. However, such corporate depreciable assets are not included in the segment assets. Intersegment sales and transfers are not significant.
 
Segment revenues, expenses, operating income, and a reconciliation of the operating segment totals to the applicable line items on the Condensed Consolidated Financial Statements are as follows for the three and six-month periods ended July 5, 2026 and June 29, 2025:
 
 Three Months Ended
 Jul. 5, 2026 Jun. 29, 2025
 Consumer & Engineered   Consumer & Engineered  
(in millions of dollars)Specialties Solutions Total Specialties Solutions Total
Net sales$274.5  $273.9  $548.4  $277.7  $251.2  $528.9 
Cost of goods sold 224.5   190.1   414.6   218.1   173.9   392.0 
Segment production margin 50.0   83.8   133.8   59.6   77.3   136.9 
Marketing and administrative expenses 17.4   32.4   49.8   19.1   31.1   50.2 
Research and development expenses 3.3   2.6   5.9   3.2   2.5   5.7 
Restructuring and other items -   -   -   3.3   2.5   5.8 
Gain on sale of assets, net -   -   -   -   (5.6)   (5.6) 
Segment income from operations$29.3  $48.8  $78.1  $34.0  $46.8  $80.8 
 Six Months Ended
 Jul. 5, 2026 Jun. 29, 2025
 Consumer & Engineered   Consumer & Engineered  
(in millions of dollars)Specialties Solutions Total Specialties Solutions Total
Net sales$571.1  $524.2  $1,095.3  $546.0  $474.7  $1,020.7 
Cost of goods sold 465.3   365.1   830.4   433.8   330.4   764.2 
Segment production margin 105.8   159.1   264.9   112.2   144.3   256.5 
Marketing and administrative expenses 37.4   65.6   103.0   38.3   61.3   99.6 
Research and development expenses 6.6   5.4   12.0   6.6   4.9   11.5 
Restructuring and other items -   -   -   5.8   3.3   9.1 
Gain on sale of assets, net -   -   -   -   (5.6)   (5.6) 
Segment income from operations$61.8  $88.1  $149.9  $61.5  $80.4  $141.9 
 
 
 Three Months Ended Six Months Ended
 Jul. 5, Jun. 29, Jul. 5, Jun. 29,
(in millions of dollars)2026 2025 2026 2025
Segment income from operations$78.1  $80.8  $149.9  $141.9 
Interest expense, net (12.1)   (13.6)   (25.4)   (27.8) 
Other non-operating income (deductions), net 1.1   (1.9)   1.6   (3.9) 
Unallocated expenses:       
Provision for litigation accrual and credit losses 290.0   -   290.0   215.0 
Restructuring and other items -   -   -   2.2 
Litigation expenses 4.9   4.2   13.7   7.0 
Unallocated corporate expenses 3.5   2.0   7.8   3.2 
Income (loss) before tax and equity in earnings$(231.3)  $59.1  $(185.4)  $(117.2) 
 
Segment information is as follows for the three and six-month periods ended July 5, 2026 and June 29, 2025:
 
 Three Months Ended Six Months Ended
 Jul. 5, Jun. 29, Jul. 5, Jun. 29,
(in millions of dollars)2026 2025 2026 2025
Depreciation, Depletion, and Amortization       
Consumer & Specialties$11.3  $10.1  $23.0  $20.9 
Engineered Solutions 12.2   11.9   25.4   24.6 
Total$23.5  $22.0  $48.4  $45.5 
        
Capital Expenditures       
Consumer & Specialties$14.7  $18.9  $28.4  $30.4 
Engineered Solutions 11.2   8.5   20.1   14.3 
Corporate 1.3   1.7   1.8   2.7 
Total$27.2  $29.1  $50.3  $47.4 
The Company’s segment assets as of July 5, 2026 and December 31, 2025 are as follows:
 
 Jul. 5, Dec. 31,
(in millions of dollars)2026 2025
Segment Assets   
Consumer & Specialties$1,335.9  $1,333.4 
Engineered Solutions 2,071.0   2,043.9 
Corporate 88.3   91.7 
Total$3,495.2  $3,469.0 
 
The Company’s sales by product category are as follows:
 
 Three Months Ended Six Months Ended
 Jul. 5, Jun. 29, Jul. 5, Jun. 29,
(in millions of dollars)2026 2025 2026 2025
Household & Personal Care$123.4  $127.4  $265.8  $250.5 
Specialty Additives 151.1   150.3   305.3   295.5 
High-Temperature Technologies 190.3   178.4   373.6   347.8 
Environmental & Infrastructure 83.6   72.8   150.6   126.9 
Total$548.4  $528.9  $1,095.3  $1,020.7