v3.26.1
Derivative Financial Instruments
 6 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative financial instruments Derivative financial instruments

The following table summarizes the notional values related to the Company’s derivative instruments outstanding at June 30, 2026 (in thousands except non-currency amounts):

 

June 30, 2026

 

Interest rate swaps

$

38,252

 

Foreign currency hedges

€

23,512

 

Natural gas swaps (MMBtus)

 

920,000

 

Net notional amounts do not measure the Company’s risk of loss, quantify risk or represent assets or liabilities of the Company. Instead, they indicate the relative size of the derivative instruments and are used in the calculation of the amounts to be exchanged between counterparties upon settlements.

The following table presents the fair value of each classification of the Company’s derivative instruments as of June 30, 2026 and December 31, 2025 (in thousands):

 

 

June 30, 2026

 

 

December 31, 2025

 

Derivatives designated as hedging instruments

 

 

 

 

 

Cash flow hedges

 

 

 

 

 

Current assets

$

336

 

 

$

274

 

Non-current assets

 

474

 

 

 

218

 

Current liabilities

 

(1,658

)

 

 

—

 

Non-current liabilities

 

(211

)

 

 

—

 

Total designated as hedging instruments

$

(1,059

)

 

$

492

 

 

 

 

 

 

Derivatives not designated as hedging instruments

 

 

 

 

 

Current assets

$

2,811

 

 

$

4,353

 

Non-current assets

 

8,964

 

 

 

10,475

 

Current liabilities

 

(2,811

)

 

 

(4,353

)

Non-current liabilities

 

(8,964

)

 

 

(10,475

)

Total not designated as hedging instruments

$

—

 

 

$

—

 

 

 

 

 

 

Total current position

$

(1,322

)

 

$

274

 

Total non-current position

 

263

 

 

 

218

 

Total derivatives

$

(1,059

)

 

$

492

 

The current and non-current portions of derivative assets are included within other current assets and other assets, respectively, on the consolidated balance sheets. The current and non-current portions of derivative liabilities are included within accrued liabilities and other liabilities and other long-term liabilities, respectively, on the consolidated balance sheets.

Derivatives accounted for as cash flow hedges

The Company’s cash flow hedges include interest rate swaps that are hedges of variability in forecasted interest payments due to changes in the interest rate on SOFR-based borrowings, euro to U.S. dollar swaps that hedge the Company’s expected exchange rate

exposure related to operational and salary expenses incurred in euros, and commodity index swaps that hedge our exposure to LNG and natural gas future purchases and sales.

The following tables present the gains and losses from the Company’s derivative instruments designated in a cash flow hedging relationship recognized in the consolidated statements of income and comprehensive income for the three and six months ended June 30, 2026 and 2025 (in thousands):

Derivatives Designated in

 

 

 

Amount of Gain (Loss) Recognized in Other Comprehensive Income on Derivatives

 

Cash Flow Hedging

 

 

 

For the three months ended June 30,

 

 

For the six months ended June 30,

 

Relationship

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Interest rate swaps

 

 

 

$

3,157

 

 

$

510

 

 

$

(345

)

 

$

(530

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Derivatives Designated in

 

Location of Gain (Loss) Reclassified from

 

Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Income

 

Cash Flow Hedging

 

Accumulated Other Comprehensive

 

For the three months ended June 30,

 

 

For the six months ended June 30,

 

Relationship

 

Income into Income

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Interest rate swaps

 

Interest expense

 

$

1,055

 

 

$

217

 

 

$

1,140

 

 

$

612

 

The amount of gain (loss) recognized in other comprehensive income as of June 30, 2026 and expected to be reclassified within the next 12 months is $(1.3) million.