☒ | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
WISCONSIN | 39-0561070 | |
(State of Incorporation) | (IRS Employer Identification Number) |
TITLE OF EACH CLASS Common Stock, $0.10 par value | TRADING SYMBOL(S) SXT | NAME OF EACH EXCHANGE ON WHICH REGISTERED New York Stock Exchange LLC |
Large Accelerated Filer ☒ | Accelerated Filer ☐ | Non-Accelerated Filer ☐ | |
Smaller Reporting Company ☐ | Emerging Growth Company ☐ |
5 | |||
19 | |||
59 | |||
Item 1. |
● | flavors, flavor enhancers, ingredients, extracts, and bionutrients; |
● | essential oils; |
● | dehydrated vegetables and other food ingredients; |
● | natural and synthetic food and beverage colors; |
● | personal care colors and ingredients; |
● | pharmaceutical and nutraceutical colors, excipients, and ingredients; and |
● | technical colors, specialty colors, and specialty dyes and pigments. |
● | Sensient Food Colors (food and beverage colors); |
● | Sensient Pharmaceutical Coating Systems (pharmaceutical and nutraceutical colors and coatings); |
● | Sensient Cosmetic Technologies |
● | Sensient |
• | Flavors & Extracts. Competition in the flavors, extracts, and |
• | Color. Competition in the color market is diverse, with the majority of the Company’s competitors specializing in either synthetic dyes and pigments or natural colors or coloring foodstuffs (in Europe). The Company believes that it gains a competitive advantage as the only major basic manufacturer of a full range of color products, including synthetic dyes and pigments as well as natural colors. Competition in the supply of |
• | Asia Pacific. The Company offers a broad array of products to customers through the Asia Pacific Group. Competition is based upon reliability in product quality, service, and price as well as technical support available to customers. |
Item 1A. | Risk Factors. |
Item 1B. | Unresolved Staff Comments. |
Item 1C. | Cybersecurity. |
Item 2. | Properties. |
Item 3. | Legal Proceedings. |
Item 4. | Mine Safety Disclosure. |
Name | Age | Position |
Paul Manning | Chairman, President, and Chief Executive Officer | |
Amy M. Agallar | Vice President and Treasurer | |
Michael C. Geraghty | President, Color Group | |
Thierry Hoang | Vice President, Asia Pacific Group | |
Amy Schmidt Jones | Vice President, Human Resources and Senior Counsel | |
John J. Manning | Senior Vice President, General Counsel, and Secretary | |
President, Flavors | ||
Stephen J. Rolfs | Senior Vice President and Chief Financial Officer | |
Tobin Tornehl | Vice President, Controller and Chief Accounting Officer |
Item 5. | Market for the Registrant’s Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities. |
2015 | 2016 | 2017 | 2018 | 2019 | 2020 | |||||||||||||||||||
Sensient Technologies Corporation | $ | 100 | $ | 127 | $ | 120 | $ | 94 | $ | 113 | $ | 130 | ||||||||||||
S&P Midcap Specialty Chemicals Index | 100 | 125 | 134 | 127 | 151 | 162 | ||||||||||||||||||
S&P Midcap Food Products Index | 100 | 122 | 128 | 119 | 139 | 153 | ||||||||||||||||||
S&P 500 Index | 100 | 112 | 136 | 130 | 171 | 203 |
December 31, 2018 | December 31, 2019 | December 31, 2020 | December 31, 2021 | December 31, 2022 | December 31, 2023 | |||||||||||||||||||
Sensient Technologies Corporation | $ | 100 | $ | 121 | $ | 139 | $ | 192 | $ | 143 | $ | 132 | ||||||||||||
S&P Midcap Specialty Chemicals Index | 100 | 118 | 127 | 151 | 135 | 151 | ||||||||||||||||||
S&P Midcap Food Products Index | 100 | 117 | 128 | 150 | 147 | 134 | ||||||||||||||||||
S&P 500 Index | 100 | 131 | 156 | 200 | 164 | 207 |
Item 6. | [Reserved] |
Quarterly Data | ||||||||||||||||||||
(In thousands except per share amounts) (unaudited) | ||||||||||||||||||||
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Full Year | ||||||||||||||||
2020 | ||||||||||||||||||||
Revenue | $ | 350,677 | $ | 323,090 | $ | 323,566 | $ | 334,668 | $ | 1,332,001 | ||||||||||
Gross profit | 111,893 | 102,214 | 105,646 | 103,994 | 423,747 | |||||||||||||||
Net earnings | 20,773 | 30,620 | 32,910 | 25,169 | 109,472 | |||||||||||||||
Earnings per basic share | 0.49 | 0.72 | 0.78 | 0.59 | 2.59 | |||||||||||||||
Earnings per diluted share | 0.49 | 0.72 | 0.78 | 0.59 | 2.59 | |||||||||||||||
2019 | ||||||||||||||||||||
Revenue | $ | 347,513 | $ | 339,186 | $ | 317,650 | $ | 318,585 | $ | 1,322,934 | ||||||||||
Gross profit | 115,225 | 111,768 | 102,400 | 85,480 | 414,873 | |||||||||||||||
Net earnings (loss) | 32,807 | 34,331 | 31,871 | (16,962 | ) | 82,047 | ||||||||||||||
Earnings (loss) per basic share | 0.78 | 0.81 | 0.75 | (0.40 | ) | 1.94 | ||||||||||||||
Earnings (loss) per diluted share | 0.78 | 0.81 | 0.75 | (0.40 | ) | 1.94 |
Years ended December 31, | 2020 | 2019 | 2018 | 2017 | 2016 | |||||||||||||||||||||||||||||||||||
Summary of Operations | ||||||||||||||||||||||||||||||||||||||||
Revenue | $ | 1,332,001 | 100.0 | % | $ | 1,322,934 | 100.0 | % | $ | 1,386,815 | 100.0 | % | $ | 1,362,265 | 100.0 | % | $ | 1,383,210 | 100.0 | % | ||||||||||||||||||||
Cost of products sold | 908,254 | 68.2 | 908,061 | 68.6 | 920,686 | 66.4 | 886,775 | 65.1 | 907,783 | 65.6 | ||||||||||||||||||||||||||||||
Selling and administrative expenses | 271,091 | 20.4 | 293,763 | 22.2 | 262,751 | 18.9 | 307,684 | 22.6 | 289,818 | 21.0 | ||||||||||||||||||||||||||||||
Operating income | 152,656 | 11.5 | % | 121,110 | 9.2 | % | 203,378 | 14.7 | % | 167,806 | 12.3 | % | 185,609 | 13.4 | % | |||||||||||||||||||||||||
Interest expense | 14,811 | 20,107 | 21,853 | 19,383 | 18,324 | |||||||||||||||||||||||||||||||||||
Earnings before income taxes | 137,845 | 101,003 | 181,525 | 148,423 | 167,285 | |||||||||||||||||||||||||||||||||||
Income taxes | 28,373 | 18,956 | 24,165 | 58,823 | 44,372 | |||||||||||||||||||||||||||||||||||
Earnings from continuing operations | 109,472 | 82,047 | 157,360 | 89,600 | 122,913 | |||||||||||||||||||||||||||||||||||
Gain from discontinued operations, net of tax | - | - | - | - | 3,343 | |||||||||||||||||||||||||||||||||||
Net earnings | $ | 109,472 | $ | 82,047 | $ | 157,360 | $ | 89,600 | $ | 126,256 | ||||||||||||||||||||||||||||||
Earnings per basic share: | ||||||||||||||||||||||||||||||||||||||||
Continuing operations | $ | 2.59 | $ | 1.94 | $ | 3.71 | $ | 2.05 | $ | 2.76 | ||||||||||||||||||||||||||||||
Discontinued operations | - | - | - | - | 0.08 | |||||||||||||||||||||||||||||||||||
Earnings per basic share | $ | 2.59 | $ | 1.94 | $ | 3.71 | $ | 2.05 | $ | 2.84 | ||||||||||||||||||||||||||||||
Earnings per diluted share: | ||||||||||||||||||||||||||||||||||||||||
Continuing operations | $ | 2.59 | $ | 1.94 | $ | 3.70 | $ | 2.03 | $ | 2.74 | ||||||||||||||||||||||||||||||
Discontinued operations | - | - | - | - | 0.07 | |||||||||||||||||||||||||||||||||||
Earnings per diluted share | $ | 2.59 | $ | 1.94 | $ | 3.70 | $ | 2.03 | $ | 2.82 | ||||||||||||||||||||||||||||||
Other Related Data | ||||||||||||||||||||||||||||||||||||||||
Dividends per share, declared and paid | $ | 1.56 | $ | 1.47 | $ | 1.35 | $ | 1.23 | $ | 1.11 | ||||||||||||||||||||||||||||||
Average common shares outstanding: | ||||||||||||||||||||||||||||||||||||||||
Basic | 42,301 | 42,263 | 42,404 | 43,780 | 44,523 | |||||||||||||||||||||||||||||||||||
Diluted | 42,346 | 42,294 | 42,499 | 44,031 | 44,843 | |||||||||||||||||||||||||||||||||||
Book value per common share | $ | 22.04 | $ | 20.83 | $ | 20.34 | $ | 19.70 | $ | 18.83 | ||||||||||||||||||||||||||||||
Price range per common share | 38.24-75.30 | 54.77-75.21 | 51.93-78.40 | 71.21- 84.98 | 52.69- 83.38 | |||||||||||||||||||||||||||||||||||
Share price at December 31 | 73.77 | 66.09 | 55.85 | 73.15 | 78.58 | |||||||||||||||||||||||||||||||||||
Capital expenditures | 52,162 | 39,100 | 50,740 | 56,344 | 81,216 | |||||||||||||||||||||||||||||||||||
Depreciation | 48,153 | 52,159 | 50,950 | 46,956 | 45,714 | |||||||||||||||||||||||||||||||||||
Amortization | 1,488 | 2,856 | 2,294 | 1,562 | 1,305 | |||||||||||||||||||||||||||||||||||
Total assets | 1,740,860 | 1,740,151 | 1,824,940 | 1,724,340 | 1,667,860 | |||||||||||||||||||||||||||||||||||
Long-term debt | 518,004 | 598,499 | 689,553 | 604,159 | 582,780 | |||||||||||||||||||||||||||||||||||
Total debt | 527,251 | 619,111 | 709,599 | 624,289 | 603,358 | |||||||||||||||||||||||||||||||||||
Shareholders’ equity | 934,336 | 881,589 | 859,947 | 852,301 | 835,741 | |||||||||||||||||||||||||||||||||||
Return on average shareholders’ equity | 12.3 | % | 9.2 | % | 18.8 | % | 10.3 | % | 14.7 | % | ||||||||||||||||||||||||||||||
Total debt to total capital | 36.1 | % | 41.3 | % | 45.2 | % | 42.3 | % | 41.9 | % | ||||||||||||||||||||||||||||||
Employees | 3,948 | 4,058 | 4,113 | 4,023 | 4,083 |
Item 7. | Management’s Discussion and Analysis of Financial Condition and Results of Operations. |
2020 | 2019 | 2023 | 2022 | |||||||||||||
Rate before divestiture and discrete items | 24.8 | % | 25.7 | % | ||||||||||||
Divestiture & other related costs impact | 0.3 | % | 4.1 | % | ||||||||||||
Rate before portfolio optimization plan and discrete items | 25.5 | % | 25.8 | % | ||||||||||||
Portfolio optimization plan impact | 4.7 | % | - | |||||||||||||
Discrete items | (4.5 | %) | (11.0 | %) | (2.1 | %) | (3.1 | %) | ||||||||
Reported effective tax rate | 20.6 | % | 18.8 | % | 28.1 | % | 22.7 | % |
Twelve Months Ended December 31, | ||||||||||||
(In thousands except per share amounts) | 2023 | 2022 | % Change | |||||||||
Operating Income (GAAP) | $ | 155,023 | $ | 196,751 | (21.2 | )% | ||||||
Portfolio optimization plan costs – Cost of products sold | 3,135 | - | ||||||||||
Divestiture & other related income – Selling and administrative expenses | - | (2,532 | ) | |||||||||
Portfolio optimization plan costs – Selling and administrative expenses | 24,706 | - | ||||||||||
Adjusted operating income | $ | 182,864 | $ | 194,219 | (5.8 | )% | ||||||
Net Earnings (GAAP) | $ | 93,394 | $ | 140,887 | (33.7 | )% | ||||||
Divestiture & other related income, before tax | - | (2,532 | ) | |||||||||
Tax impact of divestiture & other related income(1) | - | 636 | ||||||||||
Portfolio optimization plan costs, before tax | 27,841 | |||||||||||
Tax impact of portfolio optimization plan costs(1) | (415 | ) | ||||||||||
Adjusted net earnings | $ | 120,820 | $ | 138,991 | (13.1 | )% | ||||||
Diluted Earnings Per Share (GAAP) | $ | 2.21 | $ | 3.34 | (33.8 | )% | ||||||
Divestiture & other related income, net of tax | - | (0.04 | ) | |||||||||
Portfolio optimization plan costs, net of tax | 0.65 | - | ||||||||||
Adjusted diluted earnings per share | $ | 2.86 | $ | 3.29 | (13.1 | )% |
Twelve Months Ended December 31, | ||||||||||||
(In thousands except per share amounts) | 2020 | 2019 | % Change | |||||||||
Revenue (GAAP) | $ | 1,332,001 | $ | 1,322,934 | 0.7 | % | ||||||
Revenue of the product lines divested or to be divested | (113,553 | ) | (143,172 | ) | ||||||||
Adjusted revenue | $ | 1,218,448 | $ | 1,179,762 | 3.3 | % | ||||||
Operating Income (GAAP) | $ | 152,656 | $ | 121,110 | 26.0 | % | ||||||
Divestiture & other related costs – Cost of products sold | 1,795 | 10,567 | ||||||||||
Divestiture & other related costs – Selling and administrative expenses | 10,360 | 35,313 | ||||||||||
Operating income of the product lines divested or to be divested | (7,580 | ) | (1,978 | ) | ||||||||
Operational improvement plan – Cost of products sold | 35 | - | ||||||||||
Operational improvement plan – Selling and administrative expenses | 3,304 | - | ||||||||||
COVID-19 employee payment– Cost of products sold | 1,036 | - | ||||||||||
COVID-19 employee payment – Selling and administrative expenses | 1,986 | - | ||||||||||
Adjusted operating income | $ | 163,592 | $ | 165,012 | (0.9 | %) | ||||||
Net Earnings (GAAP) | $ | 109,472 | $ | 82,047 | 33.4 | % | ||||||
Divestiture & other related costs, before tax | 12,155 | 45,880 | ||||||||||
Tax impact of divestiture & other related costs | (2,605 | ) | (2,671 | ) | ||||||||
Net earnings of the product lines divested or to be divested, before tax | (7,580 | ) | (1,978 | ) | ||||||||
Tax impact of the product lines divested or to be divested | 1,945 | 399 | ||||||||||
Operational improvement plan costs, before tax | 3,339 | - | ||||||||||
Tax impact of operational improvement plan | (826 | ) | - | |||||||||
COVID-19 employee payment, before tax | 3,022 | - | ||||||||||
Tax impact of COVID-19 employee payment | (675 | ) | - | |||||||||
Adjusted net earnings | $ | 118,247 | $ | 123,677 | (4.4 | %) | ||||||
Diluted Earnings Per Share (GAAP) | $ | 2.59 | $ | 1.94 | 33.5 | % | ||||||
Divestiture & other related costs, net of tax | 0.23 | 1.02 | ||||||||||
Results of operations of the product lines divested or to be divested, net of tax | (0.13 | ) | (0.04 | ) | ||||||||
Operational improvement plan, net of tax | 0.06 | - | ||||||||||
COVID-19 employee payment, net of tax | 0.06 | - | ||||||||||
Adjusted diluted earnings per share | $ | 2.79 | $ | 2.92 | (4.5 | %) |
Twelve Months Ended December 31, 2020 | Twelve Months Ended December 31, 2023 | |||||||||||||||||||||||||||||||
Total | Foreign Exchange Rates | Adjustments(1) | Adjusted Local Currency | Total | Foreign Exchange Rates | Adjustments(1) | Adjusted Local Currency | |||||||||||||||||||||||||
Revenue | ||||||||||||||||||||||||||||||||
Flavors & Extracts | 6.0 | % | (0.3 | %) | (2.5 | %) | 8.8 | % | 0.4 | % | 1.2 | % | N/A | (0.8 | %) | |||||||||||||||||
Color | (6.4 | %) | (1.8 | %) | (3.9 | %) | (0.7 | %) | 0.7 | % | 1.6 | % | N/A | (0.9 | %) | |||||||||||||||||
Asia Pacific | 2.5 | % | (0.3 | %) | (0.2 | %) | 3.0 | % | 1.7 | % | (1.8 | %) | N/A | 3.5 | % | |||||||||||||||||
Total Revenue | 0.7 | % | (0.9 | %) | (2.7 | %) | 4.3 | % | 1.4 | % | 1.1 | % | N/A | 0.3 | % | |||||||||||||||||
Operating Income | ||||||||||||||||||||||||||||||||
Flavors & Extracts | 21.4 | % | (0.7 | %) | 9.0 | % | 13.1 | % | (16.7 | %) | 0.6 | % | 0.0 | % | (17.3 | %) | ||||||||||||||||
Color | (5.1 | %) | (1.6 | %) | (1.1 | %) | (2.4 | %) | (8.1 | %) | 1.5 | % | 0.0 | % | (9.6 | %) | ||||||||||||||||
Asia Pacific | 13.9 | % | (0.2 | %) | (0.2 | %) | 14.3 | % | 4.4 | % | (1.9 | %) | 0.0 | % | 6.3 | % | ||||||||||||||||
Corporate & Other | (24.2 | %) | 0.0 | % | (57.0 | %) | 32.8 | % | 30.6 | % | 0.0 | % | 56.3 | % | (25.7 | %) | ||||||||||||||||
Operating Income | 26.0 | % | (1.9 | %) | 27.5 | % | 0.4 | % | ||||||||||||||||||||||||
Total Operating Income | (21.2 | %) | 1.0 | % | (15.4 | %) | (6.8 | %) | ||||||||||||||||||||||||
Diluted Earnings per Share | 33.5 | % | (2.1 | %) | 39.0 | % | (3.4 | %) | (33.8 | %) | 0.9 | % | (20.7 | %) | (14.0 | %) |
(1) |
Note: | Refer to table above for a reconciliation of these non-GAAP measures. |
2019 | 2018 | |||||||
Rate before 2017 Tax Legislation, divestiture and discrete items | 25.7 | % | 20.7 | % | ||||
2017 Tax Legislation | - | (3.7 | %) | |||||
Divestiture & other related costs impact | 4.1 | % | - | |||||
Discrete items | (11.0 | %) | (3.7 | %) | ||||
Reported effective tax rate | 18.8 | % | 13.3 | % |
Twelve Months Ended December 31, | ||||||||||||
(In thousands except per share amounts) | 2019 | 2018 | % Change | |||||||||
Revenue (GAAP) | $ | 1,322,934 | $ | 1,386,815 | (4.6 | %) | ||||||
Revenue of the product lines divested or to be divested | (143,172 | ) | (160,870 | ) | ||||||||
Adjusted revenue | $ | 1,179,762 | $ | 1,225,945 | (3.8 | %) | ||||||
Operating Income (GAAP) | $ | 121,110 | $ | 203,378 | (40.5 | %) | ||||||
Divestiture & other related costs – Cost of products sold | 10,567 | - | ||||||||||
Divestiture & other related costs – Selling and administrative expenses | 35,313 | - | ||||||||||
Operating income of the product lines divested or to be divested | (1,978 | ) | (3,123 | ) | ||||||||
Adjusted operating income | $ | 165,012 | $ | 200,255 | (17.6 | %) | ||||||
Net Earnings (GAAP) | $ | 82,047 | $ | 157,360 | (47.9 | %) | ||||||
Divestiture & other related costs, before tax | 45,880 | - | ||||||||||
Tax impact of divestiture & other related costs | (2,671 | ) | - | |||||||||
Net earnings of the product lines divested or to be divested, before tax | (1,978 | ) | (3,123 | ) | ||||||||
Tax impact of the product lines divested or to be divested | 399 | 103 | ||||||||||
2017 Tax Legislation | - | (6,634 | ) | |||||||||
Adjusted net earnings | $ | 123,677 | $ | 147,706 | (16.3 | %) | ||||||
Diluted Earnings per Share (GAAP) | $ | 1.94 | $ | 3.70 | (47.6 | %) | ||||||
Divestiture & other related costs, net of tax | 1.02 | - | ||||||||||
Results of operations of the product lines divested or to be divested, net of tax | (0.04 | ) | (0.07 | ) | ||||||||
2017 Tax Legislation | - | (0.16 | ) | |||||||||
Adjusted diluted earnings per share | $ | 2.92 | $ | 3.48 | (16.1 | %) |
Twelve Months Ended December 31, 2019 | ||||||||||||||||
Total | Foreign Exchange Rates | Adjustments(1) | Adjusted Local Currency | |||||||||||||
Revenue | ||||||||||||||||
Flavors & Extracts | (6.2 | %) | (1.4 | %) | (0.3 | %) | (4.5 | %) | ||||||||
Color | (3.4 | %) | (2.7 | %) | (1.0 | %) | 0.3 | % | ||||||||
Asia Pacific | (4.0 | %) | (0.4 | %) | 0.0 | % | (3.6 | %) | ||||||||
Total Revenue | (4.6 | %) | (1.8 | %) | (0.7 | %) | (2.1 | %) | ||||||||
Operating Income | ||||||||||||||||
Flavors & Extracts | (22.3 | %) | (0.5 | %) | (0.8 | %) | (21.0 | %) | ||||||||
Color | (10.7 | %) | (2.9 | %) | 0.1 | % | (7.9 | %) | ||||||||
Asia Pacific | (7.1 | %) | 2.9 | % | 0.0 | % | (10.0 | %) | ||||||||
Corporate & Other | 173.4 | % | (0.1 | %) | 168.6 | % | 4.9 | % | ||||||||
Operating Income | (40.5 | %) | (1.6 | %) | (22.9 | %) | (16.0 | %) | ||||||||
Diluted Earnings per Share | (47.6 | %) | (1.4 | %) | (31.8 | %) | (14.4 | %) |
Item 7A. | Quantitative and Qualitative Disclosures about Market Risk. |
Item 8. | Financial Statements and Supplementary Data. |
Years Ended December 31, | Years Ended December 31, | |||||||||||||||||||||||
(In thousands except per share amounts) | 2020 | 2019 | 2018 | 2023 | 2022 | 2021 | ||||||||||||||||||
Revenue | $ | 1,332,001 | $ | 1,322,934 | $ | 1,386,815 | $ | 1,456,450 | $ | 1,437,039 | $ | 1,380,264 | ||||||||||||
Cost of products sold | 908,254 | 908,061 | 920,686 | 996,153 | 947,928 | 925,603 | ||||||||||||||||||
Selling and administrative expenses | 271,091 | 293,763 | 262,751 | 305,274 | 292,360 | 284,633 | ||||||||||||||||||
Operating income | 152,656 | 121,110 | 203,378 | 155,023 | 196,751 | 170,028 | ||||||||||||||||||
Interest expense | 14,811 | 20,107 | 21,853 | 25,172 | 14,547 | 12,544 | ||||||||||||||||||
Earnings before income taxes | 137,845 | 101,003 | 181,525 | 129,851 | 182,204 | 157,484 | ||||||||||||||||||
Income taxes | 28,373 | 18,956 | 24,165 | 36,457 | 41,317 | 38,739 | ||||||||||||||||||
Net earnings | $ | 109,472 | $ | 82,047 | $ | 157,360 | $ | 93,394 | $ | 140,887 | $ | 118,745 | ||||||||||||
Earnings per common share: | ||||||||||||||||||||||||
Basic | $ | 2.59 | $ | 1.94 | $ | 3.71 | $ | 2.22 | $ | 3.36 | $ | 2.82 | ||||||||||||
Diluted | $ | 2.59 | $ | 1.94 | $ | 3.70 | $ | 2.21 | $ | 3.34 | $ | 2.81 | ||||||||||||
Weighted average number of common shares outstanding: | ||||||||||||||||||||||||
Basic | 42,301 | 42,263 | 42,404 | 42,027 | 41,888 | 42,077 | ||||||||||||||||||
Diluted | 42,346 | 42,294 | 42,499 | 42,242 | 42,213 | 42,258 |
(In thousands) | Years Ended December 31, | |||||||||||
2020 | 2019 | 2018 | ||||||||||
Net earnings | $ | 109,472 | $ | 82,047 | $ | 157,360 | ||||||
Cash flow hedges adjustment, net of tax of $524, $193 and $32, respectively | 948 | (346 | ) | 816 | ||||||||
Pension adjustment, net of tax of $475, $409 and $347, respectively | (1,293 | ) | (1,221 | ) | 1,027 | |||||||
Foreign currency translation on net investment hedges | (24,044 | ) | 3,091 | 13,661 | ||||||||
Tax effect of current year activity on net investment hedges | 5,973 | (768 | ) | (3,393 | ) | |||||||
Foreign currency translation on long-term intercompany loans | (7,731 | ) | (752 | ) | 3,276 | |||||||
Tax effect of current year activity on intercompany long-term loans | 3,757 | (768 | ) | (2,498 | ) | |||||||
Reclassification of cumulative translation to net earnings | (8,625 | ) | 0 | 0 | ||||||||
Other foreign currency translation | 34,932 | 3,311 | (27,721 | ) | ||||||||
Total comprehensive income | $ | 113,389 | $ | 84,594 | $ | 142,528 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Net earnings | $ | 93,394 | $ | 140,887 | $ | 118,745 | ||||||
Cash flow hedges adjustment, net of tax benefit of $(984), $(471), and $(430), respectively | 1,596 | (805 | ) | (543 | ) | |||||||
Pension adjustment, net of tax (benefit) expense of $(72), $(462), and $577, respectively | (287 | ) | (1,439 | ) | 1,612 | |||||||
Foreign currency translation on net investment hedges | (11,378 | ) | 19,340 | 17,937 | ||||||||
Tax effect of current year activity on net investment hedges | 2,826 | (4,804 | ) | (4,455 | ) | |||||||
Foreign currency translation on long-term intercompany loans | (1,813 | ) | (2,468 | ) | 13,798 | |||||||
Tax effect of current year activity on long-term intercompany loans | 1,820 | (2,408 | ) | (3,990 | ) | |||||||
Reclassification of cumulative translation to net earnings | - | - | 10,203 | |||||||||
Other foreign currency translation | 35,807 | (33,476 | ) | (50,099 | ) | |||||||
Total comprehensive income | $ | 121,965 | $ | 114,827 | $ | 103,208 |
(In thousands except share and per share amounts) | December 31, | |||||||
2020 | 2019 | |||||||
Assets | ||||||||
Current Assets: | ||||||||
Cash and cash equivalents | $ | 24,770 | $ | 21,153 | ||||
Trade accounts receivable | 234,132 | 213,201 | ||||||
Inventories | 381,346 | 422,517 | ||||||
Prepaid expenses and other current assets | 48,578 | 40,049 | ||||||
Assets held for sale | 52,760 | 91,293 | ||||||
Total current assets | 741,586 | 788,213 | ||||||
Other assets | 89,883 | 80,939 | ||||||
Deferred tax assets | 29,678 | 14,976 | ||||||
Intangible assets, net | 10,930 | 11,802 | ||||||
Goodwill | 423,290 | 407,042 | ||||||
Property, Plant, and Equipment: | ||||||||
Land | 31,422 | 31,431 | ||||||
Buildings | 316,533 | 298,733 | ||||||
Machinery and equipment | 703,485 | 652,063 | ||||||
Construction in progress | 21,759 | 24,613 | ||||||
1,073,199 | 1,006,840 | |||||||
Less accumulated depreciation | (627,706 | ) | (569,661 | ) | ||||
445,493 | 437,179 | |||||||
Total assets | $ | 1,740,860 | $ | 1,740,151 | ||||
Liabilities and Shareholders’ Equity | ||||||||
Current Liabilities: | ||||||||
Trade accounts payable | $ | 107,324 | $ | 94,653 | ||||
Accrued salaries, wages, and withholdings from employees | 34,462 | 18,655 | ||||||
Other accrued expenses | 42,985 | 41,429 | ||||||
Income taxes | 4,598 | 6,841 | ||||||
Short-term borrowings | 9,247 | 20,612 | ||||||
Liabilities held for sale | 17,339 | 19,185 | ||||||
Total current liabilities | 215,955 | 201,375 | ||||||
Deferred tax liabilities | 13,411 | 15,053 | ||||||
Other liabilities | 30,213 | 17,813 | ||||||
Accrued employee and retiree benefits | 28,941 | 25,822 | ||||||
Long-term debt | 518,004 | 598,499 | ||||||
Shareholders’ Equity: | ||||||||
Common stock, par value $0.10 a share, authorized 100,000,000 shares; issued 53,954,874 shares | 5,396 | 5,396 | ||||||
Additional paid-in capital | 102,909 | 98,425 | ||||||
Earnings reinvested in the business | 1,578,662 | 1,536,100 | ||||||
Treasury stock, 11,647,627 and 11,682,636 shares, respectively, at cost | (593,540 | ) | (595,324 | ) | ||||
Accumulated other comprehensive loss | (159,091 | ) | (163,008 | ) | ||||
934,336 | 881,589 | |||||||
Total liabilities and shareholders’ equity | $ | 1,740,860 | $ | 1,740,151 |
December 31, | ||||||||
(In thousands except share and per share amounts) | 2023 | 2022 | ||||||
Assets | ||||||||
Current Assets: | ||||||||
Cash and cash equivalents | $ | 28,934 | $ | 20,921 | ||||
Trade accounts receivable | 272,164 | 302,109 | ||||||
Inventories | 598,399 | 564,110 | ||||||
Prepaid expenses and other current assets | 37,119 | 47,640 | ||||||
Total current assets | 936,616 | 934,780 | ||||||
Other assets | 94,873 | 96,609 | ||||||
Deferred tax assets | 41,564 | 32,717 | ||||||
Intangible assets, net | 12,112 | 18,600 | ||||||
Goodwill | 424,065 | 415,715 | ||||||
Property, Plant, and Equipment: | ||||||||
Land | 31,901 | 31,444 | ||||||
Buildings | 343,594 | 322,268 | ||||||
Machinery and equipment | 781,789 | 722,294 | ||||||
Construction in progress | 59,091 | 65,809 | ||||||
1,216,375 | 1,141,815 | |||||||
Less accumulated depreciation | (711,098 | ) | (658,622 | ) | ||||
505,277 | 483,193 | |||||||
Total assets | $ | 2,014,507 | $ | 1,981,614 | ||||
Liabilities and Shareholders’ Equity | ||||||||
Current Liabilities: | ||||||||
Trade accounts payable | $ | 131,114 | $ | 142,365 | ||||
Accrued salaries, wages, and withholdings from employees | 26,412 | 43,738 | ||||||
Other accrued expenses | 52,024 | 51,231 | ||||||
Income taxes | 13,296 | 14,446 | ||||||
Short-term borrowings | 13,460 | 20,373 | ||||||
Total current liabilities | 236,306 | 272,153 | ||||||
Deferred tax liabilities | 14,260 | 15,977 | ||||||
Other liabilities | 37,817 | 37,191 | ||||||
Accrued employee and retiree benefits | 27,715 | 26,364 | ||||||
Long-term debt | 645,085 | 630,331 | ||||||
Shareholders’ Equity: | ||||||||
Common stock, par value $0.10 a share, authorized 100,000,000 shares; issued 53,954,874 shares | 5,396 | 5,396 | ||||||
Additional paid‑in capital | 115,941 | 124,043 | ||||||
Earnings reinvested in the business | 1,726,872 | 1,702,700 | ||||||
Treasury stock, 11,885,398 and 12,058,773 shares, respectively, at cost | (622,768 | ) | (631,853 | ) | ||||
Accumulated other comprehensive loss | (172,117 | ) | (200,688 | ) | ||||
1,053,324 | 999,598 | |||||||
Total liabilities and shareholders’ equity | $ | 2,014,507 | $ | 1,981,614 |
(In thousands) | Years ended December 31, | |||||||||||
2020 | 2019 | 2018 | ||||||||||
Cash Flows from Operating Activities | ||||||||||||
Net earnings | $ | 109,472 | $ | 82,047 | $ | 157,360 | ||||||
Adjustments to arrive at net cash provided by operating activities: | ||||||||||||
Depreciation and amortization | 49,641 | 55,015 | 53,244 | |||||||||
Share-based compensation expense (income) | 5,608 | (739 | ) | 503 | ||||||||
Net (gain) loss on assets | (252 | ) | (1,122 | ) | 63 | |||||||
Loss on divestitures and other charges | 6,904 | 44,375 | 0 | |||||||||
Deferred income taxes | (8,705 | ) | (19,340 | ) | 9,844 | |||||||
Changes in operating assets and liabilities: | ||||||||||||
Trade accounts receivable | (11,357 | ) | 10,930 | (96,638 | ) | |||||||
Inventories | 46,828 | 25,238 | (34,114 | ) | ||||||||
Prepaid expenses and other assets | (12,868 | ) | 3,257 | (12,544 | ) | |||||||
Trade accounts payable and other accrued expenses | 15,524 | (18,251 | ) | 7,457 | ||||||||
Accrued salaries, wages, and withholdings from employees | 15,140 | (3,039 | ) | 599 | ||||||||
Income taxes | 22 | (1,836 | ) | (7,335 | ) | |||||||
Other liabilities | 2,823 | 647 | 5,081 | |||||||||
Net cash provided by operating activities | 218,780 | 177,182 | 83,520 | |||||||||
Cash Flows from Investing Activities | ||||||||||||
Acquisition of property, plant, and equipment | (52,162 | ) | (39,100 | ) | (50,740 | ) | ||||||
Cash receipts on sold receivables | 0 | 0 | 91,142 | |||||||||
Proceeds from sale of assets | 1,075 | 2,242 | 2,615 | |||||||||
Proceeds from divestiture of businesses | 12,595 | 0 | 0 | |||||||||
Acquisition of new business | 0 | 0 | (31,100 | ) | ||||||||
Other investing activities | 5,071 | (553 | ) | 2,916 | ||||||||
Net cash (used in) provided by investing activities | (33,421 | ) | (37,411 | ) | 14,833 | |||||||
Cash Flows from Financing Activities | ||||||||||||
Proceeds from additional borrowings | 36,667 | 47,083 | 322,529 | |||||||||
Debt payments | (154,348 | ) | (134,449 | ) | (284,332 | ) | ||||||
Purchase of treasury stock | 0 | 0 | (76,734 | ) | ||||||||
Dividends paid | (66,057 | ) | (62,190 | ) | (57,410 | ) | ||||||
Other financing activities | (415 | ) | (1,027 | ) | (2,777 | ) | ||||||
Net cash used in financing activities | (184,153 | ) | (150,583 | ) | (98,724 | ) | ||||||
Effect of exchange rate changes on cash and cash equivalents | 2,411 | 64 | 2,928 | |||||||||
Net increase (decrease) in cash and cash equivalents | 3,617 | (10,748 | ) | 2,557 | ||||||||
Cash and cash equivalents at beginning of year | 21,153 | 31,901 | 29,344 | |||||||||
Cash and cash equivalents at end of year | $ | 24,770 | $ | 21,153 | $ | 31,901 | ||||||
Cash paid during the year for: | ||||||||||||
Interest | $ | 14,751 | $ | 20,130 | $ | 21,567 | ||||||
Income taxes | 44,755 | 40,139 | 24,089 | |||||||||
Capitalized interest | 514 | 540 | 604 |
Years ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Cash Flows from Operating Activities | ||||||||||||
Net earnings | $ | 93,394 | $ | 140,887 | $ | 118,745 | ||||||
Adjustments to arrive at net cash provided by operating activities: | ||||||||||||
Depreciation and amortization | 57,820 | 52,467 | 52,051 | |||||||||
Share-based compensation expense | 8,933 | 16,138 | 9,573 | |||||||||
Net loss on assets | 541 | 276 | 331 | |||||||||
Net (gain) loss on divestitures and other charges | — | (2,532 | ) | 14,021 | ||||||||
Portfolio optimization plan costs | 24,089 | — | — | |||||||||
Deferred income taxes | (5,100 | ) | (11,010 | ) | (6,071 | ) | ||||||
Changes in operating assets and liabilities: | ||||||||||||
Trade accounts receivable | 35,801 | (46,086 | ) | (34,571 | ) | |||||||
Inventories | (28,193 | ) | (159,014 | ) | (36,323 | ) | ||||||
Prepaid expenses and other assets | 5,767 | (5,055 | ) | (6,057 | ) | |||||||
Trade accounts payable and other accrued expenses | (5,978 | ) | 17,489 | 21,326 | ||||||||
Accrued salaries, wages, and withholdings from employees | (17,830 | ) | 3,486 | 7,321 | ||||||||
Income taxes | (1,175 | ) | 4,422 | 4,275 | ||||||||
Other liabilities | 1,628 | 602 | 597 | |||||||||
Net cash provided by operating activities | 169,697 | 12,070 | 145,218 | |||||||||
Cash Flows from Investing Activities | ||||||||||||
Acquisition of property, plant, and equipment | (87,868 | ) | (79,322 | ) | (60,788 | ) | ||||||
Proceeds from sale of assets | 156 | 264 | 216 | |||||||||
Proceeds from divestiture of businesses | - | 2,532 | 37,790 | |||||||||
Acquisition of new businesses | (1,650 | ) | (22,714 | ) | (13,875 | ) | ||||||
Other investing activities | 1,741 | 792 | 1,097 | |||||||||
Net cash used in investing activities | (87,621 | ) | (98,448 | ) | (35,560 | ) | ||||||
Cash Flows from Financing Activities | ||||||||||||
Proceeds from additional borrowings | 351,662 | 328,597 | 112,194 | |||||||||
Debt payments | (355,161 | ) | (171,447 | ) | (110,168 | ) | ||||||
Purchase of treasury stock | — | — | (42,511 | ) | ||||||||
Dividends paid | (69,222 | ) | (68,915 | ) | (66,694 | ) | ||||||
Other financing activities | (9,278 | ) | (2,056 | ) | (582 | ) | ||||||
Net cash (used in) provided by financing activities | (81,999 | ) | 86,179 | (107,761 | ) | |||||||
Effect of exchange rate changes on cash and cash equivalents | 7,936 | (4,620 | ) | (927 | ) | |||||||
Net increase (decrease) in cash and cash equivalents | 8,013 | (4,819 | ) | 970 | ||||||||
Cash and cash equivalents at beginning of year | 20,921 | 25,740 | 24,770 | |||||||||
Cash and cash equivalents at end of year | $ | 28,934 | $ | 20,921 | $ | 25,740 | ||||||
Cash paid during the year for: | ||||||||||||
Interest | $ | 24,443 | $ | 14,716 | $ | 12,593 | ||||||
Income taxes | 39,681 | 48,242 | 29,224 | |||||||||
Capitalized interest | 1,984 | 910 | 471 |
(In thousands except share and per share amounts) | Common | Additional Paid-in | Earnings Reinvested in the | Treasury Stock | Accumulated Other Comprehensive | |||||||||||||||||||
Stock | Capital | Business | Shares | Amount | (Loss) Income | |||||||||||||||||||
Balances at December 31, 2017 | $ | 5,396 | $ | 107,176 | $ | 1,414,485 | 10,759,291 | $ | (525,422 | ) | $ | (149,334 | ) | |||||||||||
Net earnings | 157,360 | |||||||||||||||||||||||
Other comprehensive loss | (14,832 | ) | ||||||||||||||||||||||
Cash dividends paid – $1.35 per share | (57,410 | ) | ||||||||||||||||||||||
Share-based compensation | 503 | |||||||||||||||||||||||
Stock options exercised | (80 | ) | (4,000 | ) | 200 | |||||||||||||||||||
Non-vested stock issued upon vesting | (5,454 | ) | (111,185 | ) | 5,454 | |||||||||||||||||||
Benefit plans | 350 | (15,126 | ) | 769 | ||||||||||||||||||||
Purchase of treasury stock | 1,060,000 | (76,734 | ) | |||||||||||||||||||||
Other | (832 | ) | 1,808 | 42,243 | (2,067 | ) | (1,389 | ) | ||||||||||||||||
Balances at December 31, 2018 | 5,396 | 101,663 | 1,516,243 | 11,731,223 | (597,800 | ) | (165,555 | ) | ||||||||||||||||
Net earnings | 82,047 | |||||||||||||||||||||||
Other comprehensive income | 2,547 | |||||||||||||||||||||||
Cash dividends paid – $1.47 per share | (62,190 | ) | ||||||||||||||||||||||
Share-based compensation | (739 | ) | ||||||||||||||||||||||
Non-vested stock issued upon vesting | (2,343 | ) | (45,981 | ) | 2,343 | |||||||||||||||||||
Benefit plans | 72 | (18,597 | ) | 948 | ||||||||||||||||||||
Other | (228 | ) | 15,991 | (815 | ) | |||||||||||||||||||
Balances at December 31, 2019 | 5,396 | 98,425 | 1,536,100 | 11,682,636 | (595,324 | ) | (163,008 | ) | ||||||||||||||||
Net earnings | 109,472 | |||||||||||||||||||||||
Other comprehensive income | 3,917 | |||||||||||||||||||||||
Cash dividends paid – $1.56 per share | (66,057 | ) | ||||||||||||||||||||||
Share-based compensation | 5,608 | |||||||||||||||||||||||
Non-vested stock issued upon vesting | (1,352 | ) | (26,515 | ) | 1,352 | |||||||||||||||||||
Benefit plans | 241 | (16,344 | ) | 833 | ||||||||||||||||||||
Other | (13 | ) | (853 | ) | 7,850 | (401 | ) | |||||||||||||||||
Balances at December 31, 2020 | $ | 5,396 | $ | 102,909 | $ | 1,578,662 | 11,647,627 | $ | (593,540 | ) | $ | (159,091 | ) |
(In thousands except share and per share | Common | Additional Paid-in | Earnings Reinvested in the | Treasury Stock | Accumulated Other Comprehensive | |||||||||||||||||||
amounts) | Stock | Capital | Business | Shares | Amount | (Loss) Income | ||||||||||||||||||
Balances at December 31, 2020 | $ | 5,396 | $ | 102,909 | $ | 1,578,662 | 11,647,627 | $ | (593,540 | ) | $ | (159,091 | ) | |||||||||||
Net earnings | 118,745 | |||||||||||||||||||||||
Other comprehensive loss | (15,537 | ) | ||||||||||||||||||||||
Cash dividends paid – $1.58 per share | (66,694 | ) | ||||||||||||||||||||||
Share-based compensation | 9,573 | |||||||||||||||||||||||
Non-vested stock issued upon vesting | (1,264 | ) | (24,711 | ) | 1,264 | |||||||||||||||||||
Benefit plans | 338 | (14,791 | ) | 756 | ||||||||||||||||||||
Purchase of treasury stock | 492,045 | (42,511 | ) | |||||||||||||||||||||
Other | (204 | ) | 7,379 | (377 | ) | |||||||||||||||||||
Balances at December 31, 2021 | 5,396 | 111,352 | 1,630,713 | 12,107,549 | (634,408 | ) | (174,628 | ) | ||||||||||||||||
Net earnings | 140,887 | |||||||||||||||||||||||
Other comprehensive loss | (26,060 | ) | ||||||||||||||||||||||
Cash dividends paid – $1.64 per share | (68,915 | ) | ||||||||||||||||||||||
Share-based compensation | 16,138 | |||||||||||||||||||||||
Non-vested stock issued upon vesting | (3,239 | ) | (61,821 | ) | 3,239 | |||||||||||||||||||
Benefit plans | 560 | (11,786 | ) | 618 | ||||||||||||||||||||
Other | (768 | ) | 15 | 24,831 | (1,302 | ) | ||||||||||||||||||
Balances at December 31, 2022 | | 5,396 | | 124,043 | 1,702,700 | 12,058,773 | | (631,853 | ) | | (200,688 | ) | ||||||||||||
Net earnings | 93,394 | |||||||||||||||||||||||
Other comprehensive income | 28,571 | |||||||||||||||||||||||
Cash dividends paid – $1.64 per share | (69,222 | ) | ||||||||||||||||||||||
Share-based compensation | 8,933 | |||||||||||||||||||||||
Non-vested stock issued upon vesting | (14,987 | ) | (286,019 | ) | 14,987 | |||||||||||||||||||
Benefit plans | 375 | (18,172 | ) | 952 | ||||||||||||||||||||
Other | (2,423 | ) | 130,816 | (6,854 | ) | |||||||||||||||||||
Balances at December 31, 2023 | $ | 5,396 | $ | 115,941 | $ | 1,726,872 | 11,885,398 | $ | (622,768 | ) | $ | (172,117 | ) |
• | Identification of the contract, or contracts, with a customer |
• | Identification of the performance obligations in the contract |
• | Determination of the transaction price |
• | Allocation of the transaction price to the performance obligations in the contract |
• | Recognition of revenue when, or as, the Company satisfies the performance obligations |
Years Ended December 31, | Years Ended December 31, | |||||||||||||||||||||||
(In thousands except per share amounts) | 2020 | 2019 | 2018 | 2023 | 2022 | 2021 | ||||||||||||||||||
Numerator: | ||||||||||||||||||||||||
Net earnings | $ | 109,472 | $ | 82,047 | $ | 157,360 | $ | 93,394 | $ | 140,887 | $ | 118,745 | ||||||||||||
Denominator: | ||||||||||||||||||||||||
Denominator for basic EPS - weighted average common shares | 42,301 | 42,263 | 42,404 | 42,027 | 41,888 | 42,077 | ||||||||||||||||||
Effect of dilutive securities | 45 | 31 | 95 | 215 | 325 | 181 | ||||||||||||||||||
Denominator for diluted EPS - diluted weighted average shares outstanding | 42,346 | 42,294 | 42,499 | 42,242 | 42,213 | 42,258 | ||||||||||||||||||
Earnings per Common Share | ||||||||||||||||||||||||
Earnings per Common Share: | ||||||||||||||||||||||||
Basic | $ | 2.59 | $ | 1.94 | $ | 3.71 | $ | 2.22 | $ | 3.36 | $ | 2.82 | ||||||||||||
Diluted | $ | 2.59 | $ | 1.94 | $ | 3.70 | $ | 2.21 | $ | 3.34 | $ | 2.81 |
(In thousands) | Allowance for Doubtful Accounts | Allowance for Doubtful Accounts | ||||||
Balance at December 31, 2019 | $ | 6,913 | ||||||
Adoption of ASU 2016-13 | 853 | |||||||
Balance at December 31, 2021 | $ | 4,877 | ||||||
Provision for expected credit losses | 565 | 944 | ||||||
Accounts written off | (1,590 | ) | (1,305 | ) | ||||
Divestitures | (2,174 | ) | ||||||
Translation and other activity | (676 | ) | (80 | ) | ||||
Balance at December 31, 2020 | $ | 3,891 | ||||||
Balance at December 31, 2022 | $ | 4,436 | ||||||
Provision for expected credit losses | 1,020 | |||||||
Accounts written off | (1,279 | ) | ||||||
Translation and other activity | ||||||||
Balance at December 31, 2023 | $ | 4,373 |
2020 | 2019 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||
(In thousands except weighted average amortization years) | Weighted Average Amortization Years | Cost | Accumulated Amortization | Cost | Accumulated Amortization | Weighted Average Amortization Years | Cost | Accumulated Amortization | Cost | Accumulated Amortization | ||||||||||||||||||||||||||||||
Technological know-how | 17.8 | $ | 7,570 | $ | (1,787 | ) | $ | 7,570 | $ | (1,391 | ) | 12.6 | $ | 7,452 | $ | (4,412 | ) | $ | 12,005 | $ | (3,383 | ) | ||||||||||||||||||
Customer relationships | 13.4 | 3,401 | (1,898 | ) | 3,474 | (1,653 | ) | 19.0 | 9,689 | (3,242 | ) | 9,697 | (2,691 | ) | ||||||||||||||||||||||||||
Patents, trademarks, non-compete agreements, and other | 15.2 | 10,925 | (7,281 | ) | 10,496 | (6,694 | ) | 15.4 | 12,147 | (9,522 | ) | 11,596 | (8,624 | ) | ||||||||||||||||||||||||||
Total finite-lived intangibles | 15.8 | $ | 21,896 | $ | (10,966 | ) | $ | 21,540 | $ | (9,738 | ) | 15.9 | $ | 29,288 | $ | (17,176 | ) | $ | 33,298 | $ | (14,698 | ) |
(In thousands) | Flavors & Extracts | Color | Asia Pacific | Consolidated | ||||||||||||
Balance as of December 31, 2018 | $ | 112,086 | $ | 298,908 | $ | 5,181 | $ | 416,175 | ||||||||
Currency translation impact | (184 | ) | (641 | ) | 77 | (748 | ) | |||||||||
Goodwill related to divestitures(1) | (3,754 | ) | (4,631 | ) | 0 | (8,385 | ) | |||||||||
Balance as of December 31, 2019 | $ | 108,148 | $ | 293,636 | $ | 5,258 | $ | 407,042 | ||||||||
Currency translation impact | 3,565 | 10,086 | 399 | 14,050 | ||||||||||||
Goodwill related to divestitures(2) | 657 | 1,541 | 0 | 2,198 | ||||||||||||
Balance as of December 31, 2020 | $ | 112,370 | $ | 305,263 | $ | 5,657 | $ | 423,290 |
(In thousands) | Flavors & Extracts | Color | Asia Pacific | Consolidated | ||||||||||||
Balance as of December 31, 2021 | $ | 103,716 | $ | 311,264 | $ | 5,054 | $ | 420,034 | ||||||||
Currency translation impact | (2,796 | ) | (10,625 | ) | (338 | ) | (13,759 | ) | ||||||||
Acquisitions(1) | — | 9,440 | — | 9,440 | ||||||||||||
Balance as of December 31, 2022 | $ | 100,920 | $ | 310,079 | $ | 4,716 | $ | 415,715 | ||||||||
Currency translation impact | 2,393 | 6,102 | (145 | ) | 8,350 | |||||||||||
Balance as of December 31, 2023 | $ | 103,313 | $ | 316,181 | $ | 4,571 | $ | 424,065 |
(1) | In |
(In thousands) | ||||
Year ending December 31, | ||||
2021 | $ | 6,861 | ||
2022 | 4,762 | |||
2023 | 3,436 | |||
2024 | 2,500 | |||
2025 | 1,945 | |||
Thereafter | 7,850 | |||
Total lease payments | 27,354 | |||
Less imputed interest | (3,806 | ) | ||
Present value of lease liabilities | $ | 23,548 |
(In thousands) | ||||
Year ending December 31, | ||||
2024 | $ | 10,023 | ||
2025 | 6,207 | |||
2026 | 4,801 | |||
2027 | 4,151 | |||
2028 | 3,236 | |||
Thereafter | 14,932 | |||
Total lease payments | 43,350 | |||
Less imputed interest | (6,762 | ) | ||
Present value of lease liabilities | $ | 36,588 |
(In thousands) | 2020 | 2019 | 2023 | 2022 | ||||||||||||
3.66% senior notes due November 2023 | $ | 75,000 | $ | 75,000 | ||||||||||||
3.65% senior notes due May 2024 | 27,000 | 27,000 | ||||||||||||||
4.19% senior notes due November 2025 | 25,000 | 25,000 | ||||||||||||||
1.85% Euro-denominated senior notes due November 2022 | 81,672 | 74,968 | ||||||||||||||
3.06% Euro-denominated senior notes due November 2023 | 46,722 | 42,887 | ||||||||||||||
1.27% Euro-denominated senior notes due May 2024 | 61,080 | 56,066 | ||||||||||||||
1.71% Euro-denominated senior notes due May 2027 | 48,864 | 44,853 | ||||||||||||||
2.53% British Pound-denominated notes due November 2023 | 34,176 | 33,143 | ||||||||||||||
2.76% British Pound-denominated notes due November 2025 | 34,176 | 33,143 | ||||||||||||||
Term loan | 8,375 | 51,438 | ||||||||||||||
3.66% senior notes due November 2023 | $ | - | $ | 75,000 | ||||||||||||
3.65% senior notes due May 2024 | 27,000 | 27,000 | ||||||||||||||
4.19% senior notes due November 2025 | 25,000 | 25,000 | ||||||||||||||
6.08% senior notes due November 2026 | 35,000 | - | ||||||||||||||
6.14% senior notes due November 2027 | 35,000 | - | ||||||||||||||
4.94% senior notes due May 2028 | 75,000 | - | ||||||||||||||
6.34% senior notes due November 2029 | 35,000 | - | ||||||||||||||
3.06% Euro-denominated senior notes due November 2023 | - | 40,945 | ||||||||||||||
1.27% Euro-denominated senior notes due May 2024 | 55,194 | 53,527 | ||||||||||||||
1.71% Euro-denominated senior notes due May 2027 | 44,155 | 42,822 | ||||||||||||||
4.15% Euro-denominated senior notes due May 2028 | 44,155 | - | ||||||||||||||
4.62% Euro-denominated senior notes due November 2029 | 44,155 | - | ||||||||||||||
2.53% British Pound-denominated notes due November 2023 | - | 30,208 | ||||||||||||||
2.76% British Pound-denominated notes due November 2025 | 31,827 | 30,208 | ||||||||||||||
Euro-denominated term loan | 82,790 | 80,291 | ||||||||||||||
Revolving Credit Facilities | 83,324 | 134,393 | 111,039 | 225,469 | ||||||||||||
Various other notes | 1,647 | 783 | 117 | 622 | ||||||||||||
Total debt | 527,036 | 598,674 | 645,432 | 631,092 | ||||||||||||
Less debt fees | (143 | ) | (175 | ) | (230 | ) | (260 | ) | ||||||||
Less current portion | (8,889 | ) | 0 | (117 | ) | (501 | ) | |||||||||
Total long-term debt | $ | 518,004 | $ | 598,499 | $ | 645,085 | $ | 630,331 |
(In thousands) | ||||||||
Year ending December 31, | ||||||||
2021 | $ | 73,892 | ||||||
2022 | 100,481 | |||||||
2023 | 156,414 | |||||||
2024 | 88,210 | $ | 249,849 | |||||
2025 | 59,176 | 56,795 | ||||||
2026 | 61,013 | |||||||
2027 | 79,135 | |||||||
2028 | 119,144 | |||||||
Thereafter | 48,863 | 79,149 | ||||||
Total long-term debt maturities | $ | 527,036 | $ | 645,085 |
(In thousands) | 2020 | 2019 | 2023 | 2022 | ||||||||||||
U.S. credit facilities | $ | 138 | $ | 20,280 | $ | 13,343 | $ | 19,872 | ||||||||
Current maturities of long-term debt | 8,889 | 0 | 117 | 501 | ||||||||||||
Loans of foreign subsidiaries | 220 | 332 | ||||||||||||||
Total | $ | 9,247 | $ | 20,612 | $ | 13,460 | $ | 20,373 |
(In thousands except fair value) | Shares | Grant Date Weighted Average Fair Value | Aggregate Intrinsic Value | Shares | Grant Date Weighted Average Fair Value | Aggregate Intrinsic Value | ||||||||||||||||||
Outstanding at December 31, 2017 | 412 | $ | 65.64 | $ | 30,113 | |||||||||||||||||||
Outstanding at December 31, 2020 | 451 | $ | 63.28 | $ | 33,283 | |||||||||||||||||||
Granted | 142 | 59.45 | 129 | 90.10 | ||||||||||||||||||||
Vested | (111 | ) | 56.91 | (25 | ) | 61.91 | ||||||||||||||||||
Cancelled | (63 | ) | 64.71 | (73 | ) | 72.37 | ||||||||||||||||||
Outstanding at December 31, 2018 | 380 | 66.02 | 21,239 | |||||||||||||||||||||
Outstanding at December 31, 2021 | 482 | | 69.15 | 48,271 | ||||||||||||||||||||
Granted | 134 | 60.04 | 168 | 73.52 | ||||||||||||||||||||
Vested | (46 | ) | 63.61 | (62 | ) | 58.81 | ||||||||||||||||||
Cancelled | (64 | ) | 62.39 | (69 | ) | 58.62 | ||||||||||||||||||
Outstanding at December 31, 2019 | 404 | 64.89 | 26,710 | |||||||||||||||||||||
Outstanding at December 31, 2022 | 519 | | 73.19 | | 37,883 | |||||||||||||||||||
Granted | 142 | 65.61 | 201 | 61.61 | ||||||||||||||||||||
Vested | (27 | ) | 74.21 | |||||||||||||||||||||
Vested, net | (179 | ) | 63.02 | |||||||||||||||||||||
Cancelled | (68 | ) | 73.39 | (5 | ) | 72.45 | ||||||||||||||||||
Outstanding at December 31, 2020 | 451 | $ | 63.28 | $ | 33,283 | |||||||||||||||||||
Outstanding at December 31, 2023 | 536 | $ | 72.26 | $ | 35,383 |
(In thousands) | 2020 | 2019 | 2023 | 2022 | ||||||||||||
Benefit obligation at beginning of year | $ | 39,421 | $ | 34,152 | $ | 32,367 | $ | 41,780 | ||||||||
Service cost | 1,601 | 1,432 | 1,741 | 1,622 | ||||||||||||
Interest cost | 1,022 | 1,273 | 1,886 | 953 | ||||||||||||
Foreign currency exchange rate changes | 690 | 558 | 999 | (1,488 | ) | |||||||||||
Benefits paid | (1,948 | ) | (1,899 | ) | ||||||||||||
Amendments | 42 | 0 | ||||||||||||||
Actuarial loss | 4,803 | 3,905 | ||||||||||||||
Benefits and settlements paid | (2,737 | ) | (1,724 | ) | ||||||||||||
Actuarial loss (gain) | 2,157 | (8,776 | ) | |||||||||||||
Benefit obligation at end of year | 45,631 | 39,421 | 36,413 | 32,367 | ||||||||||||
Plan assets at beginning of year | 31,776 | 28,299 | 19,929 | 32,982 | ||||||||||||
Company contributions | 1,117 | 1,086 | 1,598 | 1,027 | ||||||||||||
Foreign currency exchange rate changes | 882 | 968 | 920 | (2,430 | ) | |||||||||||
Benefits paid | (1,948 | ) | (1,899 | ) | (2,737 | ) | (1,724 | ) | ||||||||
Actual gain on plan assets | 3,849 | 3,322 | ||||||||||||||
Actual gain (loss) on plan assets | 1,560 | (9,926 | ) | |||||||||||||
Plan assets at end of year | 35,676 | 31,776 | 21,270 | 19,929 | ||||||||||||
Funded status | $ | (9,955 | ) | $ | (7,645 | ) | $ | (15,143 | ) | $ | (12,438 | ) | ||||
Accumulated benefit obligation | $ | 44,559 | $ | 38,596 | $ | 34,786 | $ | 31,472 |
(In thousands) | 2020 | 2019 | 2023 | 2022 | ||||||||||||
Accrued employee and retiree benefits | $ | (19,349 | ) | $ | (17,143 | ) | $ | (19,165 | ) | $ | (16,822 | ) | ||||
Other accrued expenses | (722 | ) | (710 | ) | (726 | ) | (745 | ) | ||||||||
Other assets | 10,116 | 10,208 | 4,748 | 5,129 | ||||||||||||
Net liability | $ | (9,955 | ) | $ | (7,645 | ) | $ | (15,143 | ) | $ | (12,438 | ) |
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Service cost | $ | 1,741 | $ | 1,622 | $ | 1,740 | ||||||
Interest cost | 1,886 | 953 | 851 | |||||||||
Expected return on plan assets | (1,007 | ) | (785 | ) | (728 | ) | ||||||
Recognized actuarial (gain) loss | (656 | ) | 32 | 267 | ||||||||
Settlement income | - | - | (151 | ) | ||||||||
Defined benefit expense | $ | 1,964 | $ | 1,822 | $ | 1,979 |
(In thousands) | 2020 | 2019 | 2018 | |||||||||
Service cost | $ | 1,601 | $ | 1,432 | $ | 1,465 | ||||||
Interest cost | 1,022 | 1,273 | 1,137 | |||||||||
Expected return on plan assets | (813 | ) | (896 | ) | (896 | ) | ||||||
Recognized actuarial loss (gain) | 41 | (176 | ) | (141 | ) | |||||||
Settlement income | 0 | 0 | (179 | ) | ||||||||
Defined benefit expense | $ | 1,851 | $ | 1,633 | $ | 1,386 |
2020 | 2019 | 2023 | 2022 | |||||||||||||
Discount rate | 1.87 | % | 2.69 | % | 5.15 | % | 5.12 | % | ||||||||
Expected return on plan assets | 2.17 | % | 2.68 | % | 4.91 | % | 4.89 | % | ||||||||
Rate of compensation increase | 0.34 | % | 0.34 | % | 1.14 | % | 0.90 | % |
2020 | 2019 | 2018 | 2023 | 2022 | 2021 | |||||||||||||||||||
Discount rate | 2.69 | % | 3.80 | % | 3.16 | % | 5.12 | % | 2.35 | % | 1.87 | % | ||||||||||||
Expected return on plan assets | 2.68 | % | 3.21 | % | 3.03 | % | 4.89 | % | 2.54 | % | 2.17 | % | ||||||||||||
Rate of compensation increase | 0.34 | % | 0.31 | % | 0.33 | % | 0.90 | % | 1.02 | % | 1.07 | % |
(In thousands) | 2020 | 2019 | 2023 | 2022 | ||||||||||||
Unrecognized net actuarial loss | $ | 2,402 | $ | 683 | $ | 2,936 | $ | 2,210 | ||||||||
Prior service cost | 187 | 146 | 155 | 153 | ||||||||||||
Total before tax effects | $ | 2,589 | $ | 829 | $ | 3,091 | $ | 2,363 |
(In thousands) | 2020 | 2019 | 2018 | |||||||||
Net actuarial (loss) gain arising during the period | $ | (1,293 | ) | $ | (1,091 | ) | $ | 1,257 | ||||
Prior service cost | (32 | ) | 0 | (127 | ) | |||||||
Amortization of actuarial loss (gain), included in defined benefit expense | 32 | (130 | ) | (103 | ) | |||||||
Pension adjustment, net of tax | $ | (1,293 | ) | $ | (1,221 | ) | $ | 1,027 |
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Net actuarial gain (loss) arising during the period | $ | 192 | $ | (1,466 | ) | $ | 1,528 | |||||
Amortization of actuarial (gain) loss, included in defined benefit expense | (479 | ) | 27 | 84 | ||||||||
Pension adjustment, net of tax | $ | (287 | ) | $ | (1,439 | ) | $ | 1,612 |
Fair Value as of December 31, | Fair Value Measurements at December 31, 2020 Using Fair Value Hierarchy | Fair Value as of December 31, | Fair Value Measurements at December 31, 2019 Using Fair Value Hierarchy | Fair Value as of December 31, | Fair Value Measurements at December 31, 2023 Using Fair Value Hierarchy | Fair Value as of December 31, | Fair Value Measurements at December 31, 2022 Using Fair Value Hierarchy | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(In thousands) | 2020 | Level 1 | Level 2 | Level 3 | 2019 | Level 1 | Level 2 | Level 3 | 2023 | Level 1 | Level 2 | Level 3 | 2022 | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||||||||||||||||||||||||||||
Equity Funds | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Domestic | $ | 6,565 | $ | 6,565 | $ | 0 | $ | 0 | $ | 6,003 | $ | 6,003 | $ | 0 | $ | 0 | $ | 5,623 | $ | 5,623 | $ | — | $ | — | $ | 5,208 | $ | 5,208 | $ | — | $ | — | ||||||||||||||||||||||||||||||||
International | 97 | 0 | 97 | 0 | 104 | 0 | 104 | 0 | 47 | — | 47 | — | 55 | — | 55 | — | ||||||||||||||||||||||||||||||||||||||||||||||||
International Fixed Income Funds | 28,911 | 1,190 | 27,721 | 0 | 25,556 | 1,269 | 24,287 | 0 | 14,486 | 1,574 | 12,912 | — | 14,551 | 1,060 | 13,491 | — | ||||||||||||||||||||||||||||||||||||||||||||||||
Other investments | 103 | 76 | 27 | - | 113 | 79 | 34 | 0 | 1,114 | 1,097 | 17 | — | 115 | 84 | 31 | — | ||||||||||||||||||||||||||||||||||||||||||||||||
Total assets at fair value | $ | 35,676 | $ | 7,831 | $ | 27,845 | $ | 0 | $ | 31,776 | $ | 7,351 | $ | 24,425 | $ | 0 | $ | 21,270 | $ | 8,294 | $ | 12,976 | $ | — | $ | 19,929 | $ | 6,352 | $ | 13,577 | $ | — |
Level 1: | Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. |
Level 2: | Inputs other than quoted prices included in Level 1 that are observable for the asset or liability through corroboration with observable market data. |
Level 3: | Unobservable inputs that reflect the reporting entity’s own assumptions. |
(In thousands) | Cash Flow Hedges (1) | Pension Items (1) | Foreign Currency Items | Total | Cash Flow Hedges (1) | Pension Items (1) | Foreign Currency Items | Total | ||||||||||||||||||||||||
Balance as of December 31, 2017 | $ | (669 | ) | $ | (309 | ) | $ | (148,356 | ) | $ | (149,334 | ) | ||||||||||||||||||||
Balance as of December 31, 2020 | $ | 749 | $ | (1,965 | ) | $ | (157,875 | ) | $ | (159,091 | ) | |||||||||||||||||||||
Other comprehensive income (loss) before reclassifications | 667 | 1,130 | (16,675 | ) | (14,878 | ) | 775 | 1,528 | (26,809 | ) | (24,506 | ) | ||||||||||||||||||||
Amounts reclassified from OCI | 149 | (103 | ) | 0 | 46 | (1,318 | ) | 84 | 10,203 | 8,969 | ||||||||||||||||||||||
Adoption of ASU 2018-02 | 0 | (169 | ) | (1,220 | ) | (1,389 | ) | |||||||||||||||||||||||||
Balance as of December 31, 2018 | $ | 147 | $ | 549 | $ | (166,251 | ) | $ | (165,555 | ) | ||||||||||||||||||||||
Balance as of December 31, 2021 | $ | 206 | $ | (353 | ) | $ | (174,481 | ) | $ | (174,628 | ) | |||||||||||||||||||||
Other comprehensive income (loss) before reclassifications | (111 | ) | (1,091 | ) | 4,114 | 2,912 | 215 | (1,466 | ) | (23,816 | ) | (25,067 | ) | |||||||||||||||||||
Amounts reclassified from OCI | (235 | ) | (130 | ) | 0 | (365 | ) | (1,020 | ) | 27 | - | (993 | ) | |||||||||||||||||||
Balance as of December 31, 2019 | $ | (199 | ) | $ | (672 | ) | $ | (162,137 | ) | $ | (163,008 | ) | ||||||||||||||||||||
Other comprehensive income (loss) before reclassifications | (374 | ) | (1,325 | ) | 12,887 | 11,188 | ||||||||||||||||||||||||||
Balance as of December 31, 2022 | $ | (599 | ) | $ | (1,792 | ) | $ | (198,297 | ) | $ | (200,688 | ) | ||||||||||||||||||||
Other comprehensive income before reclassifications | 3,833 | 192 | 27,262 | 31,287 | ||||||||||||||||||||||||||||
Amounts reclassified from OCI | 1,322 | 32 | (8,625 | ) | (7,271 | ) | (2,237 | ) | (479 | ) | - | (2,716 | ) | |||||||||||||||||||
Balance as of December 31, 2020 | $ | 749 | $ | (1,965 | ) | $ | (157,875 | ) | $ | (159,091 | ) | |||||||||||||||||||||
Balance as of December 31, 2023 | $ | 997 | $ | (2,079 | ) | $ | (171,035 | ) | $ | (172,117 | ) |
(1) | Cash Flow Hedges and Pension Items are net of tax. |
(In thousands) | 2020 | 2019 | 2018 | 2023 | 2022 | 2021 | ||||||||||||||||||
United States | $ | 72,593 | $ | 38,356 | $ | 80,641 | $ | 45,900 | $ | 73,192 | $ | 71,764 | ||||||||||||
Foreign | 65,252 | 62,647 | 100,884 | 83,951 | 109,012 | 85,720 | ||||||||||||||||||
Total | $ | 137,845 | $ | 101,003 | $ | 181,525 | $ | 129,851 | $ | 182,204 | $ | 157,484 |
(In thousands) | 2020 | 2019 | 2018 | |||||||||
Current income tax expense (benefit): | ||||||||||||
Federal (1) | $ | 9,660 | $ | 12,994 | $ | (9,071 | ) | |||||
State | 3,000 | 2,622 | 205 | |||||||||
Foreign | 24,418 | 22,680 | 23,187 | |||||||||
37,078 | 38,296 | 14,321 | ||||||||||
Deferred expense (benefit): | ||||||||||||
Federal | (6,918 | ) | (17,246 | ) | 3,977 | |||||||
State | (565 | ) | 18 | 3,164 | ||||||||
Foreign | (1,222 | ) | (2,112 | ) | 2,703 | |||||||
(8,705 | ) | (19,340 | ) | 9,844 | ||||||||
Income taxes | $ | 28,373 | $ | 18,956 | $ | 24,165 |
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Current income tax expense: | ||||||||||||
Federal | $ | 11,153 | $ | 21,640 | $ | 16,807 | ||||||
State | 2,814 | 5,138 | 5,128 | |||||||||
Foreign | 27,590 | 25,549 | 22,875 | |||||||||
41,557 | 52,327 | 44,810 | ||||||||||
Deferred benefit: | ||||||||||||
Federal | (4,656 | ) | (8,520 | ) | (4,159 | ) | ||||||
State | (813 | ) | (1,353 | ) | (1,189 | ) | ||||||
Foreign | 369 | (1,137 | ) | (723 | ) | |||||||
(5,100 | ) | (11,010 | ) | (6,071 | ) | |||||||
Income taxes | $ | 36,457 | $ | 41,317 | $ | 38,739 |
2020 | 2019 | 2018 | 2023 | 2022 | 2021 | |||||||||||||||||||
Taxes at statutory rate | 21.0 | % | 21.0 | % | 21.0 | % | 21.0 | % | 21.0 | % | 21.0 | % | ||||||||||||
State income taxes, net of federal income tax benefit | 2.2 | 2.2 | 1.1 | 1.1 | 1.7 | 3.0 | ||||||||||||||||||
Tax credits | (1.5 | ) | (2.6 | ) | (1.5 | ) | (1.9 | ) | (1.3 | ) | (1.4 | ) | ||||||||||||
Taxes on foreign earnings | 2.8 | 5.1 | (0.4 | ) | 4.8 | 2.9 | 4.7 | |||||||||||||||||
Global Intangible Low-Taxed Income | 0.1 | 0.9 | 0.6 | 0.6 | 0.4 | 0.7 | ||||||||||||||||||
Foreign Derived Tangible Income | (1.1 | ) | (1.0 | ) | (0.6 | ) | ||||||||||||||||||
Foreign Derived Intangible Income | (1.3 | ) | (1.0 | ) | (0.9 | ) | ||||||||||||||||||
Loss on balance sheet hedge | 2.0 | 0 | 0 | - | - | 0.7 | ||||||||||||||||||
Resolution of prior years’ tax matters | (0.1 | ) | (0.4 | ) | (0.3 | ) | 0.3 | (0.1 | ) | (0.4 | ) | |||||||||||||
Valuation allowance adjustments | (3.7 | ) | (8.8 | ) | 0.4 | 2.8 | (2.7 | ) | (2.9 | ) | ||||||||||||||
2017 Tax Legislation | 0 | 0 | (3.7 | ) | ||||||||||||||||||||
U.S. tax accounting method changes | 0 | 0 | (2.9 | ) | ||||||||||||||||||||
Nondeductible compensation | 1.2 | 1.9 | 1.1 | |||||||||||||||||||||
Other, net | (1.1 | ) | 2.4 | (0.4 | ) | (0.5 | ) | (0.1 | ) | (1.0 | ) | |||||||||||||
Effective tax rate | 20.6 | % | 18.8 | % | 13.3 | % | 28.1 | % | 22.7 | % | 24.6 | % |
(In thousands) | 2020 | 2019 | ||||||
Deferred tax assets: | ||||||||
Benefit plans | $ | 7,665 | $ | 6,293 | ||||
Liabilities and reserves | 19,291 | 21,085 | ||||||
Operating loss and credit carryovers(1) | 77,756 | 82,000 | ||||||
Other | 13,228 | 1,126 | ||||||
Gross deferred tax assets | 117,940 | 110,504 | ||||||
Valuation allowance(1) | (47,813 | ) | (54,326 | ) | ||||
Deferred tax assets | 70,127 | 56,178 | ||||||
Deferred tax liabilities: | ||||||||
Property, plant, and equipment | (31,709 | ) | (29,869 | ) | ||||
Goodwill | (22,012 | ) | (21,744 | ) | ||||
Other | 0 | (5,192 | ) | |||||
Deferred tax liabilities | (53,721 | ) | (56,805 | ) | ||||
Net deferred tax assets (liabilities) | $ | 16,406 | $ | (627 | ) |
(In thousands) | 2023 | 2022 | ||||||
Deferred tax assets: | ||||||||
Benefit plans | $ | 8,976 | $ | 8,601 | ||||
Liabilities and reserves | 20,960 | 18,623 | ||||||
Operating loss and credit carryovers | 59,615 | 60,070 | ||||||
Capitalized research and development costs | 13,148 | 7,882 | ||||||
Other | 14,680 | 4,414 | ||||||
Gross deferred tax assets | 117,379 | 99,590 | ||||||
Valuation allowance | (34,122 | ) | (28,073 | ) | ||||
Deferred tax assets | 83,257 | 71,517 | ||||||
Deferred tax liabilities: | ||||||||
Property, plant, and equipment | (33,654 | ) | (34,174 | ) | ||||
Goodwill | (22,299 | ) | (20,603 | ) | ||||
Deferred tax liabilities | (55,953 | ) | (54,777 | ) | ||||
Net deferred tax assets | $ | 27,304 | $ | 16,740 |
(In thousands) | 2020 | 2019 | 2023 | 2022 | ||||||||||||
Balance at beginning of year | $ | 6,032 | $ | 6,026 | $ | 3,939 | $ | 3,761 | ||||||||
Increases for tax positions taken in the current year | 805 | 750 | 876 | 800 | ||||||||||||
Increases for tax positions taken in prior years | 1,267 | 199 | ||||||||||||||
Decreases related to settlements with tax authorities | (386 | ) | (341 | ) | (175 | ) | (209 | ) | ||||||||
Decreases as a result of lapse of the applicable statutes of limitations | (625 | ) | (591 | ) | (610 | ) | (338 | ) | ||||||||
Foreign currency exchange rate changes | 352 | (11 | ) | 221 | (75 | ) | ||||||||||
Balance at the end of year | $ | 7,445 | $ | 6,032 | $ | 4,251 | $ | 3,939 |
(In thousands) | Flavors & Extracts | Color | Asia Pacific | Corporate & Other | Consolidated | |||||||||||||||
2023: | ||||||||||||||||||||
Revenue from external customers | $ | 716,049 | $ | 594,316 | $ | 146,085 | $ | — | $ | 1,456,450 | ||||||||||
Intersegment revenue | 25,023 | 13,643 | 5 | — | 38,671 | |||||||||||||||
Total revenue | 741,072 | 607,959 | 146,090 | — | 1,495,121 | |||||||||||||||
Operating income (loss) | 87,773 | 105,370 | 30,800 | (68,920 | ) | 155,023 | ||||||||||||||
Interest expense | — | — | — | 25,172 | 25,172 | |||||||||||||||
Earnings (loss) before income taxes | 87,773 | 105,370 | 30,800 | (94,092 | ) | 129,851 | ||||||||||||||
Assets | 792,674 | 846,559 | 112,335 | 262,939 | 2,014,507 | |||||||||||||||
Capital expenditures | 40,489 | 37,720 | 2,923 | 6,736 | 87,868 | |||||||||||||||
Depreciation and amortization | 29,400 | 22,294 | 2,548 | 3,578 | 57,820 | |||||||||||||||
2022: | ||||||||||||||||||||
Revenue from external customers | $ | 710,592 | $ | 583,379 | $ | 143,068 | $ | — | $ | 1,437,039 | ||||||||||
Intersegment revenue | 27,411 | 20,638 | 513 | — | 48,562 | |||||||||||||||
Total revenue | 738,003 | 604,017 | 143,581 | — | 1,485,601 | |||||||||||||||
Operating income (loss) | 105,424 | 114,619 | 29,492 | (52,784 | ) | 196,751 | ||||||||||||||
Interest expense | — | — | — | 14,547 | 14,547 | |||||||||||||||
Earnings (loss) before income taxes | 105,424 | 114,619 | 29,492 | (67,331 | ) | 182,204 | ||||||||||||||
Assets | 738,181 | 849,425 | 115,132 | 278,876 | 1,981,614 | |||||||||||||||
Capital expenditures | 40,805 | 30,300 | 2,164 | 6,053 | 79,322 | |||||||||||||||
Depreciation and amortization | 26,660 | 20,174 | 2,489 | 3,144 | 52,467 | |||||||||||||||
2021: | ||||||||||||||||||||
Revenue from external customers | $ | 717,688 | $ | 527,626 | $ | 134,950 | $ | — | $ | 1,380,264 | ||||||||||
Intersegment revenue | 21,739 | 17,644 | 398 | — | 39,781 | |||||||||||||||
Total revenue | 739,427 | 545,270 | 135,348 | — | 1,420,045 | |||||||||||||||
Operating income (loss) | 98,660 | 103,575 | 26,330 | (58,537 | ) | 170,028 | ||||||||||||||
Interest expense | — | — | — | 12,544 | 12,544 | |||||||||||||||
Earnings (loss) before income taxes | 98,660 | 103,575 | 26,330 | (71,081 | ) | 157,484 | ||||||||||||||
Assets | 639,992 | 738,139 | 108,126 | 259,236 | 1,745,493 | |||||||||||||||
Capital expenditures | 35,846 | 16,806 | 2,813 | 5,323 | 60,788 | |||||||||||||||
Depreciation and amortization | 26,020 | 20,572 | 2,748 | 2,711 | 52,051 |
(In thousands) | Flavors & Extracts | Color | Asia Pacific | Corporate & Other | Consolidated | |||||||||||||||
2020: | ||||||||||||||||||||
Revenue from external customers | $ | 724,483 | $ | 486,536 | $ | 120,982 | $ | 0 | $ | 1,332,001 | ||||||||||
Intersegment revenue | 17,552 | 14,482 | 245 | 0 | 32,279 | |||||||||||||||
Total revenue | 742,035 | 501,018 | 121,227 | 0 | 1,364,280 | |||||||||||||||
Operating income (loss) | 90,974 | 96,034 | 22,075 | (56,427 | ) | 152,656 | ||||||||||||||
Interest expense | 0 | 0 | 0 | 14,811 | 14,811 | |||||||||||||||
Earnings (loss) before income taxes | 90,974 | 96,034 | 22,075 | (71,238 | ) | 137,845 | ||||||||||||||
Assets | 686,348 | 718,665 | 100,258 | 235,589 | 1,740,860 | |||||||||||||||
Capital expenditures | 24,541 | 19,840 | 2,687 | 5,094 | 52,162 | |||||||||||||||
Depreciation and amortization | 24,801 | 19,368 | 2,578 | 2,894 | 49,641 | |||||||||||||||
2019: | ||||||||||||||||||||
Revenue from external customers | $ | 682,705 | $ | 522,051 | $ | 118,178 | $ | 0 | $ | 1,322,934 | ||||||||||
Intersegment revenue | 17,651 | 13,108 | 70 | 0 | 30,829 | |||||||||||||||
Total revenue | 700,356 | 535,159 | 118,248 | 0 | 1,353,763 | |||||||||||||||
Operating income (loss) | 74,961 | 101,190 | 19,382 | (74,423 | ) | 121,110 | ||||||||||||||
Interest expense | 0 | 0 | 0 | 20,107 | 20,107 | |||||||||||||||
Earnings (loss) before income taxes | 74,961 | 101,190 | 19,382 | (94,530 | ) | 101,003 | ||||||||||||||
Assets | 714,779 | 734,343 | 99,183 | 191,846 | 1,740,151 | |||||||||||||||
Capital expenditures | 16,968 | 16,521 | 2,545 | 3,066 | 39,100 | |||||||||||||||
Depreciation and amortization | 27,179 | 22,088 | 2,581 | 3,167 | 55,015 | |||||||||||||||
2018: | ||||||||||||||||||||
Revenue from external customers | $ | 723,189 | $ | 540,499 | $ | 123,127 | $ | 0 | $ | 1,386,815 | ||||||||||
Intersegment revenue | 23,743 | 13,505 | 37 | 0 | 37,285 | |||||||||||||||
Total revenue | 746,932 | 554,004 | 123,164 | 0 | 1,424,100 | |||||||||||||||
Operating income (loss) | 96,433 | 113,306 | 20,856 | (27,217 | ) | 203,378 | ||||||||||||||
Interest expense | 0 | 0 | 0 | 21,853 | 21,853 | |||||||||||||||
Earnings (loss) before income taxes | 96,433 | 113,306 | 20,856 | (49,070 | ) | 181,525 | ||||||||||||||
Assets | 782,145 | 752,305 | 103,808 | 186,682 | 1,824,940 | |||||||||||||||
Capital expenditures | 23,679 | 21,744 | 2,858 | 2,459 | 50,740 | |||||||||||||||
Depreciation and amortization | 25,922 | 21,931 | 2,451 | 2,940 | 53,244 |
(In thousands) | Flavors & Extracts | Color | Asia Pacific | Corporate & Other | Consolidated | Flavors & Extracts | Color | Asia Pacific | Corporate & Other | Consolidated | ||||||||||||||||||||||||||||||
2020: | ||||||||||||||||||||||||||||||||||||||||
2023: | ||||||||||||||||||||||||||||||||||||||||
Revenue from external customers: | ||||||||||||||||||||||||||||||||||||||||
North America | $ | 491,641 | $ | 241,608 | $ | 81 | $ | 0 | $ | 733,330 | $ | 553,790 | $ | 304,995 | $ | 125 | $ | — | $ | 858,910 | ||||||||||||||||||||
Europe | 160,083 | 129,704 | 193 | 0 | 289,980 | 113,757 | 162,644 | 236 | — | 276,637 | ||||||||||||||||||||||||||||||
Asia Pacific | 30,080 | 52,414 | 117,427 | 0 | 199,921 | 21,382 | 58,003 | 142,281 | — | 221,666 | ||||||||||||||||||||||||||||||
Other | 42,679 | 62,810 | 3,281 | 0 | 108,770 | 27,120 | 68,674 | 3,443 | — | 99,237 | ||||||||||||||||||||||||||||||
Total revenue from external customers | $ | 724,483 | $ | 486,536 | $ | 120,982 | $ | 0 | $ | 1,332,001 | $ | 716,049 | $ | 594,316 | $ | 146,085 | $ | — | $ | 1,456,450 | ||||||||||||||||||||
Long-lived assets: | ||||||||||||||||||||||||||||||||||||||||
North America | $ | 244,921 | $ | 252,906 | $ | 0 | $ | 102,577 | $ | 600,404 | $ | 297,615 | $ | 277,730 | $ | — | $ | 114,995 | $ | 690,340 | ||||||||||||||||||||
Europe | 112,424 | 226,840 | 0 | 0 | 339,264 | 82,938 | 244,587 | — | 24 | 327,549 | ||||||||||||||||||||||||||||||
Asia Pacific | 204 | 4,670 | 31,834 | 0 | 36,708 | 8 | 4,199 | 30,473 | — | 34,680 | ||||||||||||||||||||||||||||||
Other | 782 | 22,116 | 0 | 0 | 22,898 | 241 | 25,081 | — | — | 25,322 | ||||||||||||||||||||||||||||||
Total long-lived assets | $ | 358,331 | $ | 506,532 | $ | 31,834 | $ | 102,577 | $ | 999,274 | $ | 380,802 | $ | 551,597 | $ | 30,473 | $ | 115,019 | $ | 1,077,891 | ||||||||||||||||||||
2019: | ||||||||||||||||||||||||||||||||||||||||
2022: | ||||||||||||||||||||||||||||||||||||||||
Revenue from external customers: | ||||||||||||||||||||||||||||||||||||||||
North America | $ | 448,393 | $ | 251,593 | $ | 112 | $ | 0 | $ | 700,098 | $ | 541,120 | $ | 304,778 | $ | 120 | $ | — | $ | 846,018 | ||||||||||||||||||||
Europe | 158,902 | 148,393 | 336 | 0 | 307,631 | 115,925 | 151,437 | 213 | — | 267,575 | ||||||||||||||||||||||||||||||
Asia Pacific | 32,203 | 57,268 | 116,508 | 0 | 205,979 | 29,092 | 61,064 | 139,134 | — | 229,290 | ||||||||||||||||||||||||||||||
Other | 43,207 | 64,797 | 1,222 | 0 | 109,226 | 24,455 | 66,100 | 3,601 | — | 94,156 | ||||||||||||||||||||||||||||||
Total revenue from external customers | $ | 682,705 | $ | 522,051 | $ | 118,178 | $ | 0 | $ | 1,322,934 | $ | 710,592 | $ | 583,379 | $ | 143,068 | $ | — | $ | 1,437,039 | ||||||||||||||||||||
Long-lived assets: | ||||||||||||||||||||||||||||||||||||||||
North America | $ | 251,822 | $ | 220,723 | $ | 0 | $ | 80,128 | $ | 552,673 | $ | 286,497 | $ | 271,075 | $ | — | $ | 107,784 | $ | 665,356 | ||||||||||||||||||||
Europe | 102,631 | 242,311 | 0 | 0 | 344,942 | 86,248 | 236,719 | — | 24 | 322,991 | ||||||||||||||||||||||||||||||
Asia Pacific | 1,017 | 3,758 | 31,007 | 0 | 35,782 | 237 | 3,796 | 29,915 | — | 33,948 | ||||||||||||||||||||||||||||||
Other | 504 | 18,037 | 0 | 0 | 18,541 | 389 | 24,150 | — | — | 24,539 | ||||||||||||||||||||||||||||||
Total long-lived assets | $ | 355,974 | $ | 484,829 | $ | 31,007 | $ | 80,128 | $ | 951,938 | $ | 373,371 | $ | 535,740 | $ | 29,915 | $ | 107,808 | $ | 1,046,834 | ||||||||||||||||||||
2018: | ||||||||||||||||||||||||||||||||||||||||
2021: | ||||||||||||||||||||||||||||||||||||||||
Revenue from external customers: | ||||||||||||||||||||||||||||||||||||||||
North America | $ | 477,083 | $ | 245,649 | $ | 0 | $ | 0 | $ | 722,732 | $ | 523,960 | $ | 263,031 | $ | 116 | $ | — | $ | 787,107 | ||||||||||||||||||||
Europe | 173,562 | 168,340 | 155 | 0 | 342,057 | 135,348 | 142,741 | 140 | — | 278,229 | ||||||||||||||||||||||||||||||
Asia Pacific | 31,506 | 59,548 | 121,975 | 0 | 213,029 | 29,880 | 59,914 | 131,772 | — | 221,566 | ||||||||||||||||||||||||||||||
Other | 41,038 | 66,962 | 997 | 0 | 108,997 | 28,500 | 61,940 | 2,922 | — | 93,362 | ||||||||||||||||||||||||||||||
Total revenue from external customers | $ | 723,189 | $ | 540,499 | $ | 123,127 | $ | 0 | $ | 1,386,815 | $ | 717,688 | $ | 527,626 | $ | 134,950 | $ | — | $ | 1,380,264 | ||||||||||||||||||||
Long-lived assets: | ||||||||||||||||||||||||||||||||||||||||
North America | $ | 255,131 | $ | 230,187 | $ | 0 | $ | 76,996 | $ | 562,314 | $ | 268,934 | $ | 250,682 | $ | — | $ | 105,150 | $ | 624,766 | ||||||||||||||||||||
Europe | 125,157 | 265,688 | 0 | 0 | 390,845 | 91,934 | 225,916 | — | 25 | 317,875 | ||||||||||||||||||||||||||||||
Asia Pacific | 1,061 | 3,319 | 27,872 | 0 | 32,252 | 275 | 4,513 | 32,901 | — | 37,689 | ||||||||||||||||||||||||||||||
Other | 277 | 16,387 | 0 | 0 | 16,664 | 568 | 23,442 | — | — | 24,010 | ||||||||||||||||||||||||||||||
Total long-lived assets | $ | 381,626 | $ | 515,581 | $ | 27,872 | $ | 76,996 | $ | 1,002,075 | $ | 361,711 | $ | 504,553 | $ | 32,901 | $ | 105,175 | $ | 1,004,340 |
(In thousands) | Flavors & Extracts | Color | Asia Pacific | Consolidated | ||||||||||||
2020: | ||||||||||||||||
Flavors, Extracts & Flavor Ingredients | $ | 399,331 | $ | - | $ | - | $ | 399,331 | ||||||||
Natural Ingredients | 243,161 | - | - | 243,161 | ||||||||||||
Fragrances | 85,354 | - | - | 85,354 | ||||||||||||
Yogurt Fruit Preparations | 14,189 | - | - | 14,189 | ||||||||||||
Food & Pharmaceutical Colors | - | 346,269 | - | 346,269 | ||||||||||||
Personal Care | - | 141,331 | - | 141,331 | ||||||||||||
Inks | - | 13,418 | - | 13,418 | ||||||||||||
Asia Pacific | - | - | 121,227 | 121,227 | ||||||||||||
Intersegment Revenue | (17,552 | ) | (14,482 | ) | (245 | ) | (32,279 | ) | ||||||||
Total revenue from external customers | $ | 724,483 | $ | 486,536 | $ | 120,982 | $ | 1,332,001 | ||||||||
2019: | ||||||||||||||||
Flavors, Extracts & Flavor Ingredients | $ | 378,967 | $ | - | $ | - | $ | 378,967 | ||||||||
Natural Ingredients | 214,027 | - | - | 214,027 | ||||||||||||
Fragrances | 86,399 | - | - | 86,399 | ||||||||||||
Yogurt Fruit Preparations | 20,963 | - | - | 20,963 | ||||||||||||
Food & Pharmaceutical Colors | - | 340,327 | - | 340,327 | ||||||||||||
Personal Care | - | 159,640 | - | 159,640 | ||||||||||||
Inks | - | 35,192 | - | 35,192 | ||||||||||||
Asia Pacific | - | - | 118,248 | 118,248 | ||||||||||||
Intersegment Revenue | (17,651 | ) | (13,108 | ) | (70 | ) | (30,829 | ) | ||||||||
Total revenue from external customers | $ | 682,705 | $ | 522,051 | $ | 118,178 | $ | 1,322,934 | ||||||||
2018: | ||||||||||||||||
Flavors, Extracts & Flavor Ingredients | $ | 403,762 | $ | - | $ | - | $ | 403,762 | ||||||||
Natural Ingredients | 224,280 | - | - | 224,280 | ||||||||||||
Fragrances | 91,786 | - | - | 91,786 | ||||||||||||
Yogurt Fruit Preparations | 27,104 | - | - | 27,104 | ||||||||||||
Food & Pharmaceutical Colors | - | 332,878 | - | 332,878 | ||||||||||||
Personal Care | - | 179,485 | - | 179,485 | ||||||||||||
Inks | - | 41,641 | - | 41,641 | ||||||||||||
Asia Pacific | - | - | 123,164 | 123,164 | ||||||||||||
Intersegment Revenue | (23,743 | ) | (13,505 | ) | (37 | ) | (37,285 | ) | ||||||||
Total revenue from external customers | $ | 723,189 | $ | 540,499 | $ | 123,127 | $ | 1,386,815 |
(In thousands) | Flavors & Extracts | Color | Asia Pacific | Consolidated | ||||||||||||
2023: | ||||||||||||||||
Flavors, Extracts & Flavor Ingredients | $ | 496,036 | $ | — | $ | — | $ | 496,036 | ||||||||
Natural Ingredients | 245,036 | — | — | 245,036 | ||||||||||||
Food & Pharmaceutical Colors | — | 452,204 | — | 452,204 | ||||||||||||
Personal Care | — | 155,755 | — | 155,755 | ||||||||||||
Asia Pacific | — | — | 146,090 | 146,090 | ||||||||||||
Intersegment Revenue | (25,023 | ) | (13,643 | ) | (5 | ) | (38,671 | ) | ||||||||
Total revenue from external customers | $ | 716,049 | $ | 594,316 | $ | 146,085 | $ | 1,456,450 | ||||||||
2022: | ||||||||||||||||
Flavors, Extracts & Flavor Ingredients | $ | 498,055 | $ | — | $ | — | $ | 498,055 | ||||||||
Natural Ingredients | 239,948 | — | — | 239,948 | ||||||||||||
Food & Pharmaceutical Colors | — | 437,065 | — | 437,065 | ||||||||||||
Personal Care | — | 165,335 | — | 165,335 | ||||||||||||
Inks | — | 1,617 | — | 1,617 | ||||||||||||
Asia Pacific | — | — | 143,581 | 143,581 | ||||||||||||
Intersegment Revenue | (27,411 | ) | (20,638 | ) | (513 | ) | (48,562 | ) | ||||||||
Total revenue from external customers | $ | 710,592 | $ | 583,379 | $ | 143,068 | $ | 1,437,039 | ||||||||
2021: | ||||||||||||||||
Flavors, Extracts & Flavor Ingredients | $ | 455,818 | $ | — | $ | — | $ | 455,818 | ||||||||
Natural Ingredients | 255,772 | — | — | 255,772 | ||||||||||||
Fragrances | 22,739 | — | — | 22,739 | ||||||||||||
Yogurt Fruit Preparations | 5,098 | — | — | 5,098 | ||||||||||||
Food & Pharmaceutical Colors | — | 385,069 | — | 385,069 | ||||||||||||
Personal Care | — | 158,237 | — | 158,237 | ||||||||||||
Inks | — | 1,964 | — | 1,964 | ||||||||||||
Asia Pacific | — | — | 135,348 | 135,348 | ||||||||||||
Intersegment Revenue | (21,739 | ) | (17,644 | ) | (398 | ) | (39,781 | ) | ||||||||
Total revenue from external customers | $ | 717,688 | $ | 527,626 | $ | 134,950 | $ | 1,380,264 |
(In thousands) | 2020 | 2019 | ||||||
Assets held for sale: | ||||||||
Trade accounts receivable, less allowance for losses of $456 and $2,350, respectively | $ | 20,722 | $ | 31,653 | ||||
Inventories | 25,045 | 34,612 | ||||||
Prepaid expenses and other current assets | 1,843 | 5,528 | ||||||
Property, Plant, and Equipment, net | 3,434 | 14,496 | ||||||
Intangible assets | 1,716 | 5,004 | ||||||
Assets held for sale | $ | 52,760 | $ | 91,293 | ||||
Liabilities held for sale: | ||||||||
Trade accounts payable | $ | 13,967 | $ | 12,318 | ||||
Accrued salaries, wages, and withholdings from employees | 1,739 | 1,677 | ||||||
Other accrued expenses | 1,633 | 5,190 | ||||||
Liabilities held for sale | $ | 17,339 | $ | 19,185 |
(In thousands) | Yogurt Fruit Preparations | Fragrances | Inks | Corporate/ Other | Consolidated | Yogurt Fruit Preparations | Fragrances | Inks | Corporate/ Other | Consolidated | ||||||||||||||||||||||||||||||
Non-cash impairment charges – Selling and administrative expenses | $ | 2,597 | $ | 2,055 | $ | 8,928 | $ | (861 | ) | $ | 12,719 | $ | (1,000 | ) | $ | 1,062 | $ | - | $ | - | $ | 62 | ||||||||||||||||||
Non-cash charges – Cost of products sold | 1,679 | 77 | (203 | ) | 242 | 1,795 | - | 95 | (9 | ) | - | 86 | ||||||||||||||||||||||||||||
Reclassification of foreign currency translation and related items – Selling and administrative expenses | 0 | 0 | (8,625 | ) | 0 | (8,625 | ) | - | 10,201 | 2 | - | 10,203 | ||||||||||||||||||||||||||||
Other costs - Selling and administrative expenses(1) | 337 | 3,029 | 892 | 2,008 | 6,266 | 917 | 2,553 | (281 | ) | 598 | 3,787 | |||||||||||||||||||||||||||||
Total | $ | 4,613 | $ | 5,161 | $ | 992 | $ | 1,389 | $ | 12,155 | $ | (83 | ) | $ | 13,911 | $ | (288 | ) | $ | 598 | $ | 14,138 |
(1) | Other costs – Selling and administrative expenses include employee separation costs, bad debt expense, environmental remediation costs, professional services, accelerated depreciation, and other related costs. |
(In thousands) | Yogurt Fruit Preparations | Fragrances | Inks | Corporate/ Other | Consolidated | |||||||||||||||
Non-cash impairment charges – Selling and administrative expenses | $ | 0 | $ | 18,204 | $ | 15,849 | $ | 555 | $ | 34,608 | ||||||||||
Non-cash charges – Cost of products sold | 9,767 | 0 | 0 | 0 | 9,767 | |||||||||||||||
Other costs - Selling and administrative expenses(1) | 0 | 305 | 26 | 374 | 705 | |||||||||||||||
Other costs – Cost of products sold(2) | 800 | 0 | 0 | 0 | 800 | |||||||||||||||
Total | $ | 10,567 | $ | 18,509 | $ | 15,875 | $ | 929 | $ | 45,880 |
(In thousands) | Flavors & Extracts | Color | Asia Pacific | Consolidated | ||||||||||||
Employee separation | $ | (123 | ) | $ | (8 | ) | $ | (351 | ) | $ | (482 | ) | ||||
Other income(1) | - | (3,624 | ) | - | (3,624 | ) | ||||||||||
Other costs(2) | - | 2,207 | 4 | 2,211 | ||||||||||||
Total | $ | (123 | ) | $ | (1,425 | ) | $ | (347 | ) | $ | (1,895 | ) |
(In thousands) | Flavors & Extracts | Color | Asia Pacific | Consolidated | ||||||||||||
Employee separation | $ | 352 | $ | 1,749 | $ | 589 | $ | 2,690 | ||||||||
Other costs(1) | 0 | 640 | 9 | 649 | ||||||||||||
Total | $ | 352 | $ | 2,389 | $ | 598 | $ | 3,339 |
(1) | Other income includes cash received for the early termination of a lease less associated expenses. |
(2) | Other costs include professional services, accelerated depreciation, and other related costs. |
(In thousands) | Selling and Administrative Expenses | Cost of Products Sold | Consolidated | |||||||||
Employee separation | $ | 2,690 | $ | 0 | $ | 2,690 | ||||||
Other costs(1) | 614 | 35 | 649 | |||||||||
Total | $ | 3,304 | $ | 35 | $ | 3,339 |
(In thousands) | Flavors & Extracts | Color | Corporate & Other | Consolidated | ||||||||||||
Non-cash impairment charges – Selling and administrative expenses | $ | 11,599 | $ | 9,355 | $ | - | $ | 20,954 | ||||||||
Non-cash charges – Cost of products sold | 2,040 | 1,095 | - | 3,135 | ||||||||||||
Employee separation – Selling and administrative expenses | 2,820 | 288 | 108 | 3,216 | ||||||||||||
Other costs – Selling and administrative expenses(1) | 39 | 497 | - | 536 | ||||||||||||
Total | $ | 16,498 | $ | 11,235 | $ | 108 | $ | 27,841 |
(1) | Other costs include legal settlements, professional services, and other related costs. |
Income Taxes--Valuation Allowances for Deferred Tax Assets | |
Description of the Matter | As described in Note 11 to the consolidated financial statements, at December 31, |
Management’s analysis of the realizability of its deferred tax assets related to NOLs, foreign tax |
HowWe Addressed the Matter in Our | We tested controls relating to the realizability of deferred tax assets, including controls over management’s projections of future taxable income, the future reversal of existing taxable temporary differences and management’s identification and use of available tax planning strategies. |
To test |
Item 9. | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure. |
Item 9B. | Other Information |
Valuation Accounts Deducted in the Balance Sheet From the Assets to Which They Apply | Balance at Beginning of Period | Additions Charged to Costs and Expenses | Additions Recorded During Acquisitions | Deductions (A) | Balance at End of Period | |||||||||||||||
2018 Allowance for losses: Trade accounts receivable | $ | 6,000 | $ | 1,004 | $ | 0 | $ | 1,028 | $ | 5,976 | ||||||||||
2019 Allowance for losses: Trade accounts receivable | $ | 5,976 | $ | 2,469 | $ | 0 | $ | 3,882 | $ | 4,563 | ||||||||||
2020 Allowance for losses: Trade accounts receivable | $ | 4,563 | $ | 565 | $ | 0 | $ | 1,693 | $ | 3,435 |
Item 10. | Directors, Executive Officers of the Registrant, and Corporate Governance. |
Item 11. | Executive Compensation. |
Item 12. | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters. |
Item 13. | Certain Relationships and Related Transactions and Director Independence. |
Item 14. | Principal Accountant Fees and Services. |
32 | ||
30 | ||
31 | ||
34 | ||
33 | ||
35 | ||
Report of Independent Registered Public Accounting Firm (PCAOB ID: 42) | 56 |
Exhibit Number | Description | Incorporated by Reference from | Filed Herewith | |||
Sensient Technologies Corporation Amended and Restated Articles of Incorporation | Exhibit 3.1 to Current Report on Form 8-K dated July 24, 2017 (Commission File No. 1-7626) | |||||
Sensient Technologies Corporation Amended and Restated By-Laws | Exhibit | |||||
Note Purchase Agreement dated as of | Exhibit | |||||
First Amendment dated as of June 22, 2018 to Note Purchase Agreement dated as of May 3, 2017 | Exhibit 4.4(b) to Quarterly Report on Form 10-Q for the quarter ended June 30, 2018 (Commission File No. 1-7626) | |||||
Second Amendment dated as of May 6, 2021 to Note Purchase Agreement dated as of May 3, 2017 | Exhibit 4.3 to Current Report on Form 8-K filed May 11, 2021 (Commission File No. 1-7626) | |||||
Note Purchase Agreement dated as of November 1, 2018 | Exhibit 10.1 to Current Report on Form 8-K dated November 1, 2018 (Commission File No. 1-7626) | |||||
First Amendment dated as of May 6, 2021 to Note Purchase Agreement dated as of November 1, 2018 | Exhibit 4.4 to Current Report on Form 8-K filed May 11, 2021 (Commission File No. 1-7626) |
Note Purchase Agreement dated as of May 31, 2023 | Exhibit 10.1 to Current Report on Form 8-K filed June 5, 2023 (Commission File No. 1-7626) | |||||
Note Purchase Agreement dated as of November 29, 2023 | Exhibit 10.1 to Current Report on Form 8-K filed December 1, 2023 (Commission File No. 1-7626) | |||||
Description of Sensient Technologies Corporation’s securities registered pursuant to Section 12 of the Securities Exchange Act | Exhibit 4.5 to Annual Report on Form 10-K for the fiscal year ended December 31, 2019 (Commission File No. 1-7626) |
10 | Material Contracts | |||||
10.1 | Management Contracts or Compensatory Plans | |||||
Executive Employment Contract dated as of February 13, 2020, between Sensient Technologies Corporation and Paul Manning | Exhibit 10.1 to Current Report on Form 8-K dated February 13, 2020 (Commission File No. 1-7626) | |||||
Form of Change of Control Employment and Severance Agreement | Exhibit 10.1(b)(3) to Annual Report on Form 10-K for the fiscal year ended December 31, 2011 (Commission File No. 1-7626) | |||||
Sensient Technologies Corporation 2012 Non-Employee Directors Stock Plan | Exhibit 10.1(c)(2) to Annual Report on Form 10-K for the fiscal year ended December 31, 2014 (Commission File No. 1-7626) | |||||
Sensient Technologies Corporation | ||||||
Exhibit 10.1 to Current Report on Form 8-K dated May 28, 2014 (Commission File No. 1-7626) | ||||||
Sensient Technologies Corporation Non-Employee Directors’ Retirement Plan | Exhibit 10.2 to Current Report on Form 8-K dated July 25, 2013 (Commission File No. 1-7626) | |||||
Sensient Technologies Corporation Frozen Management Income Deferral Plan | Exhibit 10.5(a) to Quarterly Report on Form 10-Q for the quarter ended September 30, 2008 (Commission File No. 1-7626) |
Sensient Technologies Corporation Management Income Deferral Plan | Exhibit 10.5(b) to Quarterly Report on Form 10-Q for the quarter ended September 30, 2008 (Commission File No. 1-7626) | |||||
Sensient Technologies Corporation Frozen Executive Income Deferral Plan | Exhibit 10.4(a) to Quarterly Report on Form 10-Q for the quarter ended September 30, 2008 (Commission File No. 1-7626) | |||||
Sensient Technologies Corporation Executive Income Deferral Plan | Exhibit 10.4(b) to Quarterly Report on Form 10-Q for the quarter ended September 30, 2008 (Commission File No. 1-7626) | |||||
Amended and Restated Sensient Technologies Corporation Rabbi Trust “A” Agreement dated November 30, 2009, between Sensient Technologies Corporation and Wells Fargo Bank, N.A. | Exhibit 10.1(l) to Annual Report on Form 10-K for the fiscal year ended December 31, 2009 (Commission File No. 1-7626) | |||||
Amended and Restated Sensient Technologies Corporation Rabbi Trust “B” Agreement dated November 30, 2009, between Sensient Technologies Corporation and Wells Fargo Bank, N.A. | Exhibit 10.1(m) to Annual Report on Form 10-K for the fiscal year ended December 31, 2009 (Commission File No. 1-7626) | |||||
Amendment No. 1 to the Amended and Restated Sensient Technologies Corporation Rabbi Trust “B” Agreement | Exhibit 10.1(m)(2) to Quarterly Report on Form 10-Q for the quarter ended June 30, 2017 (Commission File No. 1-7626) | |||||
Amended and Restated Sensient Technologies Corporation Rabbi Trust “C” Agreement dated November 30, 2009, between Sensient Technologies Corporation and Wells Fargo Bank, N.A. | Exhibit 10.1(n) to Annual Report on Form 10-K for the fiscal year ended December 31, 2009 (Commission File No. 1-7626) | |||||
Sensient Technologies Corporation Form of Supplemental Executive Retirement Plan A Agreement | Exhibit 10.1(s) to Annual Report on Form 10-K for the fiscal year ended December 31, 2008 (Commission File No. 1-7626) |
Form of Amendment No. 1 to the Sensient Technologies Corporation Amended and Restated Supplemental Executive Retirement Plan A | Exhibit 10.1(s)(2) to Annual Report on Form 10-K for the fiscal year ended December 31, 2010 (Commission file No. 1-7626) | |||||
Form of Amendment No. 2 to the Sensient Technologies Corporation Amended and Restated Supplemental Executive Retirement Plan A | Exhibit 10.1 to Current Report on Form 8-K dated April 22, 2010 (Commission File No. 1-7626) | |||||
Sensient Technologies Corporation Form of Supplemental Executive Retirement Plan B Agreement | Exhibit 10.1(t) to Annual Report on Form 10-K for the fiscal year ended December 31, 2008 (Commission File No. 1-7626) | |||||
Form of Amendment No. 1 to the Sensient Technologies Corporation Amended and Restated Supplemental Executive Retirement Plan B | Exhibit 10.1(t)(2) to Annual Report on Form 10-K for the fiscal year ended December 31, 2010 (Commission File No. 1-7626) | |||||
Form of Amendment No. 2 to the Sensient Technologies Corporation Amended and Restated Supplemental Executive Retirement Plan B | Exhibit 10.2 to Current Report on Form 8-K dated April 22, 2010 (Commission File No. 1-7626) | |||||
Sensient Technologies Frozen Supplemental Benefit Plan | Exhibit 10.6(a) to Quarterly Report on Form 10-Q for the quarter ended September 30, 2008 (Commission File No. 1-7626) | |||||
Sensient Technologies Supplemental Benefit Plan | Exhibit 10.6(b) to Quarterly Report on Form 10-Q for the quarter ended September 30, 2008 (Commission File No. 1-7626) | |||||
Form of Performance Stock Unit Agreement | Exhibit 10.3 to Current Report on Form 8-K dated May 28, 2014 (Commission File No. 1-7626) | |||||
Form of Restricted Stock Agreement | Exhibit 10.1 to Current Report on Form 8-K dated December 10, 2020 (Commission File No. 1-7626) | |||||
Form of Restricted Stock Unit Agreement | Exhibit 10.2 to Current Report on Form 8-K dated December 10, 2020 (Commission File No. 1-7626) |
Sensient Technologies Corporation 2017 Stock Plan, as amended and restated | Appendix B to Definitive Proxy Statement filed on Schedule 14A on March 16, 2022 (Commission File No. 1-7626) | |||||
Sensient Technologies Management Incentive Compensation Plan, as amended on February 10, | Exhibit 10.1(q) to Annual Report on Form 10-K for the fiscal year ended December 31, 2021 (Commission File No. 1-7626) | |||||
Third Amended and Restated Credit Agreement dated as of May | Exhibit 10.1 to Current Report on Form 8-K | |||||
First Amendment to | Exhibit | |||||
Receivables Sale Agreement dated as of October 3, 2016 | Exhibit 10.1 to Current Report on Form 8-K dated October 3, 2016 (Commission File No. 1-7626) | |||||
Amendment No. 1 to the Receivables Sale Agreement, dated as of October 2, 2017 | Exhibit 10.1 to Current Report on Form 8-K dated October 2, 2017 (Commission File No. 1-7626) | |||||
Receivables Purchase Agreement dated as of October 3, 2016 | Exhibit 10.2 to Current Report on Form 8-K dated October 3, 2016 (Commission File No. 1-7626) | |||||
Amendment No. 1 to the Receivables Purchase Agreement and Performance Undertaking, dated as of October 2, 2017 | Exhibit 10.2 to Current Report on Form 8-K dated October 2, 2017 (Commission File No. 1-7626) | |||||
Amendment No. 2 to Receivables Purchase Agreement, dated as of June 26, 2018 | Exhibit 10.5(c) to Quarterly Report on Form 10-Q for the quarter ended June 30, 2018 (Commission File No. 1-7626) | |||||
Amendment No. 3 to Receivables Purchase Agreement, dated as of October 1, 2018 | Exhibit 10.1 to Current Report on Form 8-K dated October 1, 2018 (Commission File No. 1-7626) | |||||
Amendment No. 4 to Receivables Purchase Agreement, dated as of October 1, 2019 | Exhibit 10.1 to Current Report on Form 8-K dated October 7, 2019 (Commission File No. 1-7626) | |||||
Amendment No. 5 to Receivables Purchase Agreement, dated as of October 1, 2020 | Exhibit 10.1 to Current Report on Form 8-K dated October 1, 2020 (Commission File No. 1-7626) | |||||
Amendment No. 6 to Receivables Purchase Agreement, dated as of November 12, 2020 | Exhibit 10.4(g) to Annual Report on Form 10-K for the fiscal year ended December 31, 2020 (Commission File No. 1-7626) | |||||
Amendment No. 7 to Receivables Purchase Agreement, dated as of October 1, 2021 | Exhibit 10.1 to Current Report on Form 8-K filed October 5, 2021 (Commission File No. 1-7626) | |||||
Amendment No. 8 to Receivables Purchase Agreement, dated as of February 28, 2022 | Exhibit 10.1 to Current Report on Form 8-K filed March 4, 2022 (Commission File No. 1-7626) | |||||
Amendment No. 9 to Receivables Purchase Agreement, dated as of August 31, 2022 | Exhibit 10.1 to Current Report on Form 8-K filed September 6, 2022 (Commission File No. 1-7626) | |||||
Amendment No. 10 to Receivables Purchase Agreement, dated as of August 31, 2023 | Exhibit 10.1 to Current Report on Form 8-K filed September 6, 2023 (Commission File No. 1-7626) | |||||
Performance Undertaking made as of October 3, 2016 | Exhibit 10.3 to Current Report on Form 8-K dated October 3, 2016 (Commission File No. 1-7626) | |||||
Loan Agreement dated as of November 7, 2022 | Exhibit 10.1 to Current Report on Form 8-K filed November 8, 2022 (Commission File No. 1-7626) | |||||
Subsidiaries of the Registrant | X | |||||
Consent of Ernst & Young LLP | X | |||||
Certifications of Sensient’s President and Chief Executive Officer and Senior Vice President and Chief Financial Officer, pursuant to Rule 13a-14(a) of the Exchange Act | X |
Certifications of Sensient’s President and Chief Executive Officer and Senior Vice President and Chief Financial Officer, pursuant to 18 United States Code § 1350 | X | |||||
X | ||||||
101.INS* | Inline Instance Document | X |
101.SCH* | Inline XBRL Taxonomy Extension Schema Document | X | ||||
101.CAL* | Inline XBRL Taxonomy Extension Calculation Linkbase Document | X | ||||
101.DEF* | Inline XBRL Taxonomy Extension Definition Linkbase Document | X | ||||
101.LAB* | Inline XBRL Taxonomy Extension Label Linkbase Document | X | ||||
101.PRE* | Inline XBRL Taxonomy Extension Presentation Linkbase Document | X | ||||
104 | Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) |
Valuation Accounts Deducted in the Balance Sheet From the Assets to Which They Apply | Balance at Beginning of Period | Additions Charged to Costs and Expenses | Additions Recorded During Acquisitions | Deductions (A) | Balance at End of Period | |||||||||||||||
2021 Allowance for losses: Trade accounts receivable | $ | 3,435 | $ | 1,631 | $ | 0 | $ | 189 | $ | 4,877 | ||||||||||
2022 Allowance for losses: Trade accounts receivable | $ | 4,877 | $ | 944 | $ | 0 | $ | 1,385 | $ | 4,436 | ||||||||||
2023 Allowance for losses: Trade accounts receivable | $ | 4,436 | $ | 1,020 | $ | 0 | $ | 1,083 | $ | 4,373 | ||||||||||
(A) Accounts written off, net of recoveries. In 2021, $456 thousand was moved from Assets Held for Sale to Trade Accounts Receivable on the Consolidated Balance Sheet related to the fragrances divestiture. |
SENSIENT TECHNOLOGIES CORPORATION | |
/s/ John J. Manning | |
John J. Manning | |
Senior Vice President, General Counsel and Secretary | |
Dated: February 22, |
/s/ Paul Manning | /s/ | Sharad P. Jain | |
Paul Manning | Sharad P. Jain | ||
Chairman of the Board, President and | Director | ||
Chief Executive Officer | |||
/s/ Stephen J. Rolfs | /s/ Donald W. Landry | ||
Stephen J. Rolfs | Donald W. Landry | ||
Senior Vice President and | Director | ||
Chief Financial Officer | |||
/s/ Tobin Tornehl | /s/ | Deborah McKeithan-Gebhardt | |
Tobin Tornehl | Deborah McKeithan-Gebhardt | ||
Vice President, Controller and | Director | ||
Chief Accounting Officer | |||
/s/ Joseph Carleone | /s/ | Scott Morrison | |
Joseph Carleone | Scott Morrison | ||
Director | Director | ||
/s/ Mario Ferruzzi | /s/ Essie Whitelaw | ||
Mario Ferruzzi | Essie Whitelaw | ||
Director | Director | ||
/s/ Carol R. Jackson | |||
Carol R. Jackson | |||
Director |