v3.26.1
BUSINESS SEGMENTS
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
BUSINESS SEGMENTS 9. BUSINESS SEGMENTS
The Company's business segments are Aluminum Extrusions and High Performance Films. Aluminum Extrusions, also referred to as Bonnell Aluminum, produces high-quality, soft and medium strength alloyed aluminum extrusions, custom fabricated and finished, for the building and construction, automotive and transportation, consumer durables goods, machinery and equipment, electrical and renewable energy, and distribution markets. High Performance Films produces surface protection films, advanced packaging films and films for other markets.
The Company’s reportable segments are based on its method of internal reporting, which is generally segregated by differences in products. Accounting standards for presentation of segments require an approach based on the way the Company organizes the segments for making operating decisions and how the chief operating decision maker (“CODM”) assesses performance. EBITDA from ongoing operations is the key profitability measure used by the CODM (Tredegar’s President and Chief Executive Officer) for purposes of assessing financial performance.
EBITDA from ongoing operations used by the CODM excludes certain non-recurring items, such as restructuring costs, asset impairments and other items, which are reported separately. The CODM uses EBITDA from ongoing operations to evaluate the operating performance of Tredegar’s ongoing operations, monitor budget versus actual results, establish management’s compensation and allocate resources. EBITDA from ongoing operations is the primary measure of segment performance and is consistent with how the business is managed internally, in addition to being a key financial and analytic metric for borrowing capacity and estimated enterprise value.
The Company uses sales less freight (“net sales”) as its measure of revenues from external customers at the segment level. This measure is separately included in the financial information regularly provided to the CODM.
The following tables present segment revenue, segment profit (loss), and significant expenses for the three months ended June 30, 2026 and 2025:
Three Months Ended June 30, 2026
(In thousands)Aluminum ExtrusionsHigh Performance FilmsTotal
Net Sales$184,129 $25,635 $209,764 
Reconciliation of revenue:
Add back freight6,472 
Sales as shown in the consolidated statements of income (loss)$216,236 
Less:
Variable costs$146,596 $13,385 $159,981 
Manufacturing fixed costs1
12,340 3,652 15,992 
Selling, general and administrative costs1
11,028 2,857 13,885 
Other2
(345)(39)(384)
EBITDA from ongoing operations$14,510 $5,780 $20,290 
Reconciliation of profit (loss):
Depreciation and amortization5,396 
Plant shutdowns, asset impairments, restructurings and other366 
Interest income18 
Interest expense465 
Corporate expenses, net3
6,303 
Income (loss) from continuing operations before income tax7,778 
Income tax expense (benefit)1,731 
Net income (loss) from continuing operations6,047 
Income (loss) from discontinued operations, net of tax(30)
Net income (loss)$6,017 
1. Excludes related depreciation and amortization.
2. Includes segment allocated employee compensation benefit expenses.
3. Includes corporate depreciation and amortization.
Three Months Ended June 30, 2025
(In thousands)Aluminum ExtrusionsHigh Performance FilmsTotal
Net Sales$148,367 $24,596 $172,963 
Reconciliation of revenue:
Add back freight6,153 
Sales as shown in the consolidated statements of income (loss)$179,116 
Less:
Variable costs$116,059 $11,688 $127,747 
Manufacturing fixed costs1
11,760 3,243 15,003 
Selling, general and administrative costs1
10,129 2,867 12,996 
Other2
1,136 87 1,223 
EBITDA from ongoing operations$9,283 $6,711 $15,994 
Reconciliation of profit (loss):
Depreciation and amortization5,323 
Plant shutdowns, asset impairments, restructurings and other56 
Interest income6 
Interest expense1,785 
Corporate expenses, net3
6,024 
Income (loss) from continuing operations before income tax2,812 
Income tax expense (benefit)984 
Net income (loss) from continuing operations1,828 
Income (loss) from discontinued operations, net of tax(97)
Net income (loss)$1,731 
1. Excludes related depreciation and amortization.
2. Includes segment allocated employee compensation benefit expenses.
3. Includes corporate depreciation and amortization.
The following tables present segment revenue, segment profit (loss), and significant expenses for the six months ended June 30, 2026 and 2025:
Six Months Ended June 30, 2026
(In thousands)Aluminum ExtrusionsHigh Performance FilmsTotal
Net Sales$343,586 $47,168 $390,754 
Reconciliation of revenue:
Add back freight11,971 
Sales as shown in the consolidated statements of income (loss)$402,725 
Less:
Variable costs$273,929 $23,807 $297,736 
Manufacturing fixed costs1
24,139 7,123 31,262 
Selling, general and administrative costs1
19,933 5,450 25,383 
Other2
(607)(66)(673)
EBITDA from ongoing operations$26,192 $10,854 $37,046 
Reconciliation of profit (loss):
Depreciation and amortization10,644 
Plant shutdowns, asset impairments, restructurings and other588 
Interest income29 
Interest expense824 
Corporate expenses, net3
11,139 
Income (loss) from continuing operations before income tax13,880 
Income tax expense (benefit)2,763 
Net income (loss) from continuing operations11,117 
Income (loss) from discontinued operations, net of tax561 
Net income (loss)$11,678 
1. Excludes related depreciation and amortization.
2. Includes segment allocated employee compensation benefit expenses.
3. Includes corporate depreciation and amortization.
Six Months Ended June 30, 2025
(In thousands)Aluminum ExtrusionsHigh Performance FilmsTotal
Net Sales$281,999 $50,134 $332,133 
Reconciliation of revenue:
Add back freight11,720 
Sales as shown in the consolidated statements of income (loss)$343,853 
Less:
Variable costs$219,582 $23,664 $243,246 
Manufacturing fixed costs1
22,973 6,702 29,675 
Selling, general and administrative costs1
19,541 5,459 25,000 
Other2
1,462 76 1,538 
EBITDA from ongoing operations$18,441 $14,233 $32,674 
Reconciliation of profit (loss):
Depreciation and amortization10,799 
Plant shutdowns, asset impairments, restructurings and other1,224 
Interest income11 
Interest expense2,798 
Corporate expenses, net3
13,804 
Income (loss) from continuing operations before income tax4,060 
Income tax expense (benefit)1,560 
Net income (loss) from continuing operations2,500 
Income (loss) from discontinued operations, net of tax9,332 
Net income (loss)$11,832 
1. Excludes related depreciation and amortization.
2. Includes segment allocated employee compensation benefit expenses.
3. Includes corporate depreciation and amortization.
The following table presents identifiable assets by segment at June 30, 2026 and December 31, 2025:
(In thousands)June 30, 2026December 31, 2025
Aluminum Extrusions$308,993 $269,802 
High Performance Films54,690 52,998 
Subtotal363,683 322,800 
General corporate32,063 41,843 
Cash and cash equivalents17,179 6,729 
Total$412,925 $371,372 
The following table presents depreciation and amortization for the three and six months ended June 30, 2026 and 2025:
Three Months Ended June 30,Six Months Ended June 30,
(In thousands)2026202520262025
Aluminum Extrusions$4,199 $4,093 $8,244 $8,319 
High Performance Films1,197 1,230 2,400 2,480 
Subtotal5,396 5,323 10,644 10,799 
General corporate45 49 92 98 
Total$5,441 $5,372 $10,736 $10,897 
The following table presents capital expenditures for the three and six months ended June 30, 2026 and 2025:
Three Months Ended June 30,Six Months Ended June 30,
(In thousands)2026202520262025
Aluminum Extrusions$3,660 $2,386 $8,349 $4,757 
High Performance Films379 295 831 882 
General Corporate86 — 86 — 
Subtotal$4,125 $2,681 $9,266 $5,639 
The following tables disaggregate the Company’s net sales by geographic area and product group for the three and six months ended June 30, 2026 and 2025:
Net Sales by Geographic Area (a)
Three Months Ended June 30,Six Months Ended June 30,
(In thousands)2026202520262025
United States$194,180 $158,293 $360,845 $302,648 
Exports from the United States to:
Asia10,082 10,336 17,854 21,172 
Latin America2,670 1,011 4,926 2,590 
Canada2,209 2,997 5,988 5,170 
Europe32 30 81 37 
Operations outside the United States:
Asia591 296 1,060 516 
Total$209,764 $172,963 $390,754 $332,133 
(a) Export sales relate mostly to High Performance Films. The geographic area for net sales is determined by the shipping destination.
The Company’s facilities in Pottsville, PA (“PV”) and Guangzhou, China (“GZ”) have a tolling arrangement whereby certain surface protection films are manufactured in GZ for a fee with raw materials supplied from PV that are then shipped by GZ directly to customers principally in the Asian market, but paid by customers directly to PV. Amounts associated with this intercompany tolling arrangement are reported in the table above as export sales from the U.S. to Asia, and include net sales of $8.2 million and $6.3 million in the second quarter of 2026 and 2025, respectively, and $13.7 million and $12.9 million in the first six months of 2026 and 2025, respectively.
Net Sales by Product Group
Three Months Ended June 30,Six Months Ended June 30,
(In thousands)2026202520262025
Aluminum Extrusions:
Nonresidential building & construction$91,043 $81,625 $172,231 $149,223 
Consumer durables14,314 12,751 27,636 24,418 
Automotive13,532 11,069 25,124 22,067 
Residential building & construction14,809 10,025 26,749 19,023 
Electrical19,046 12,522 30,026 27,863 
Machinery & equipment25,758 15,998 51,229 31,281 
Distribution5,627 4,377 10,591 8,124 
Subtotal184,129 148,367 343,586 281,999 
High Performance Films:
Surface protection films17,972 16,741 32,171 35,512 
Advanced packaging7,663 7,855 14,997 14,622 
Subtotal25,635 24,596 47,168 50,134 
Total $209,764 $172,963 $390,754 $332,133