UNITED STATES | ||
SECURITIES AND EXCHANGE COMMISSION | ||
Washington, D.C. 20549 |
FORM |
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 |
(Exact name of registrant as specified in its charter) |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification Number) | ||||
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading Symbol | Name of each exchange on which registered | ||||||
☑ | Accelerated filer | ☐ | ||||||||||||
Non-accelerated filer | ☐ | Smaller reporting company | ||||||||||||
Emerging growth company |
Document | Parts Into Which Incorporated | ||||
Proxy Statement for the 2025 Annual Meeting of Shareholders to be filed not later than 120 days after the end of the fiscal year covered by this Form 10-K. | Part III |
Page | ||||||||
ITEM 1C. | ||||||||
ITEM 9C. | ||||||||
North America | 44% | ||||
Europe | 41% | ||||
Asia Pacific | 12% | ||||
South America | 3% | ||||
Total | 100% |
Global Operations | 84% | ||||
Corporate | 6% | ||||
Sales and Marketing | 4% | ||||
Digital & Technology (D&T) | 4% | ||||
Research & Development | 2% | ||||
Total | 100% |
Men | Women | |||||||
West Global Employees | 63% | 37% |
Type of Facility/ Country | Location | Segment | ||||||||||||
Manufacturing: | ||||||||||||||
North America | ||||||||||||||
United States of America | Scottsdale, AZ (1) (2) | Proprietary Products | ||||||||||||
Tempe, AZ (2) | Contract Manufactured Products and Proprietary Products | |||||||||||||
St. Petersburg, FL (1) | Proprietary Products | |||||||||||||
Grand Rapids, MI | Contract Manufactured Products | |||||||||||||
Kinston, NC | Proprietary Products | |||||||||||||
Kearney, NE | Proprietary Products | |||||||||||||
Jersey Shore, PA | Proprietary Products | |||||||||||||
Williamsport, PA | Contract Manufactured Products | |||||||||||||
Cayey, Puerto Rico | Proprietary Products and Contract Manufactured Products | |||||||||||||
South America | ||||||||||||||
Brazil | Sao Paulo | Proprietary Products | ||||||||||||
Europe | ||||||||||||||
Denmark | Horsens | Proprietary Products | ||||||||||||
England | St. Austell | Proprietary Products | ||||||||||||
France | Le Nouvion | Proprietary Products | ||||||||||||
Germany | Eschweiler (1) (2) | Proprietary Products | ||||||||||||
Stolberg | Proprietary Products | |||||||||||||
Ireland | Waterford | Proprietary Products | ||||||||||||
Dublin (2) | Contract Manufactured Products | |||||||||||||
Serbia | Kovin | Proprietary Products | ||||||||||||
Asia Pacific | ||||||||||||||
China | Qingpu | Proprietary Products | ||||||||||||
India | Sri City | Proprietary Products | ||||||||||||
Singapore | Jurong (2) | Proprietary Products | ||||||||||||
Mold-and-Die Tool Shop: | ||||||||||||||
North America | ||||||||||||||
United States of America | Upper Darby, PA | Proprietary Products | ||||||||||||
Type of Facility/ Country | Location | Segment | ||||||||||||
Europe | ||||||||||||||
England | Bodmin | Proprietary Products | ||||||||||||
Germany | Stolberg | Proprietary Products | ||||||||||||
Contract Analytical Laboratory: | ||||||||||||||
North America | ||||||||||||||
United States of America | Exton, PA | Proprietary Products | ||||||||||||
Technology Center: | ||||||||||||||
Asia Pacific | ||||||||||||||
India | Bangalore (2) | Proprietary Products, Contract Manufactured Products |
Name | Age | Position | ||||||
Bernard J. Birkett | 56 | Senior Vice President and Chief Financial Officer since April 2024. Senior Vice President and Chief Financial and Operations Officer from July 2022 to April 2024. Senior Vice President and Chief Financial Officer from June 2018 to July 2022. In addition, Treasurer from June 2018 to December 2019 and Principal Accounting Officer from October 2019 to April 2020. Prior to joining West, he spent more than 20 years at Merit Medical Systems, Inc., a leading manufacturer of disposable medical devices, where he served in a number of senior global leadership roles, including Chief Financial Officer and Treasurer, Controller for Europe, Middle East and Africa (EMEA) and Vice President of International Finance. | ||||||
Annette F. Favorite | 60 | Senior Vice President and Chief Human Resources Officer since October 2015. Prior to joining West, she spent more than 25 years at IBM Corporation, an information technology services company, in a number of strategic and global human resources roles, including Vice President, Global Talent Management, Vice President of Human Resources for Worldwide Software Sales, and Human Resources Leader for the company’s Southwest European Region, based out of Spain. |
Eric M. Green | 55 | Chair of the Board since May 2022. Chief Executive Officer since April 2015 and President since December 2015. Prior to joining West, he was Executive Vice President and President of the Research Markets business unit at Sigma-Aldrich Corporation from 2013 to 2015. From 2009 to 2013, he served as Vice President and Managing Director, International, where he was responsible for Asia Pacific and Latin America, and prior thereto, held various commercial and operational roles. | ||||||
Kimberly Banks MacKay | 59 | Senior Vice President, General Counsel and Corporate Secretary since December 2020. Prior to joining West, from April 2019 to November 2020, she served as Senior Vice President, General Counsel and Corporate Secretary at the Segal Group in New York, a privately held firm specializing in employee benefits and investment consulting. Prior to Segal, she served for over 15 years in a variety of Legal leadership roles for Novartis, a global healthcare company, including Head of U.S. Legal for Novartis Business Service. | ||||||
Cindy Reiss-Clark | 51 | Chief Commercial Officer since May 2022. Senior Vice President, Global Markets and Commercial Solutions since November 2019. Vice President and General Manger Biologics Market Unit from September 2018 to November 2019. Prior to joining West, she served as Senior Vice President of Global Marketing at Lonza Pharma and Biotech, a leading Contract Development and Manufacturing Business from October 2017 to July 2018. From January 2016 to September 2017, served as Lonza Pharma and Biotech, Senior Vice President of Global Sales. Prior to Lonza, she served for over 15 years in a variety of Commercial leadership roles at SAFC, a division of Sigma-Aldrich Company. | ||||||
Chad R. Winters | 46 | Vice President, Finance & Chief Accounting Officer since February 2024. Vice President, Chief Accounting Officer and Corporate Controller from May 2020 to February 2024. Vice President and Corporate Controller from October 2019 to May 2020. Prior to joining West, he served as Senior Vice President of Finance & Accounting and Controller of Amneal Pharmaceuticals, Inc., a specialty pharmaceutical company. Prior to Amneal, he held roles of increasing responsibility at the Chemours Company, UGI Corporation, and PricewaterhouseCoopers LLP. | ||||||
Period | Total number of shares purchased (1) | Average price paid per share (1) | Total number of shares purchased as part of publicly announced plans or programs (1) | Approximate dollar value of shares that may yet be purchased under the plans or programs (1) | ||||||||||||||||||||||
October 1 - 31, 2024 | 65,531 | $ | 297.81 | 65,531 | $ | 35,700,000 | ||||||||||||||||||||
November 1 - 30, 2024 | 52,917 | 321.15 | 52,917 | 18,700,000 | ||||||||||||||||||||||
December 1 - 31, 2024 | 54,798 | 326.64 | 54,798 | 800,000 | ||||||||||||||||||||||
Total | 173,246 | $ | 314.06 | 173,246 | $ | 800,000 |
($ in millions) | Operating profit | Income tax expense | Net income | Diluted EPS | |||||||||||||||||||
Year ended December 31, 2024 GAAP | $ | 569.9 | $ | 107.5 | $ | 492.7 | $ | 6.69 | |||||||||||||||
Unallocated items: | |||||||||||||||||||||||
Restructuring and other charges (1) | 2.1 | 0.4 | 1.7 | 0.02 | |||||||||||||||||||
Amortization of acquisition-related intangible assets (2) | 0.8 | 0.1 | 2.8 | 0.04 | |||||||||||||||||||
Year ended December 31, 2024 adjusted amounts (non-U.S. GAAP) | $ | 572.8 | $ | 108.0 | $ | 497.2 | $ | 6.75 | |||||||||||||||
($ in millions) | Operating profit | Income tax expense | Net income | Diluted EPS | |||||||||||||||||||
Year ended December 31, 2023 GAAP | $ | 676.0 | $ | 122.3 | $ | 593.4 | $ | 7.88 | |||||||||||||||
Unallocated items: | |||||||||||||||||||||||
Restructuring and other charges (1) | (2.0) | (0.9) | (1.1) | (0.02) | |||||||||||||||||||
Amortization of acquisition-related intangible assets (2) | 0.7 | 0.1 | 2.8 | 0.04 | |||||||||||||||||||
Loss on disposal of plant (3) | 11.6 | (0.7) | 12.3 | 0.16 | |||||||||||||||||||
Cost investment activity (4) | 4.3 | — | 4.3 | 0.06 | |||||||||||||||||||
Legal settlement (5) | — | (0.9) | (2.9) | (0.04) | |||||||||||||||||||
Year ended December 31, 2023 adjusted amounts (non-U.S. GAAP) | $ | 690.6 | $ | 119.9 | $ | 608.8 | $ | 8.08 |
($ in millions) | Operating profit | Income tax expense | Net income | Diluted EPS | |||||||||||||||||||
Year ended December 31, 2022 GAAP | $ | 734.0 | $ | 114.7 | $ | 585.9 | $ | 7.73 | |||||||||||||||
Unallocated items: | |||||||||||||||||||||||
Restructuring and other charges (1) | 23.8 | 2.0 | 21.8 | 0.29 | |||||||||||||||||||
Amortization of acquisition-related intangible assets (2) | 0.7 | 0.1 | 2.8 | 0.04 | |||||||||||||||||||
Cost investment activity (4) | 3.5 | — | 3.5 | 0.05 | |||||||||||||||||||
Pension settlement (6) | — | 20.6 | 31.6 | 0.42 | |||||||||||||||||||
Royalty acceleration (7) | — | 1.3 | (1.3) | (0.02) | |||||||||||||||||||
Tax law changes (8) | — | (5.7) | 5.7 | 0.07 | |||||||||||||||||||
Year ended December 31, 2022 adjusted amounts (non-U.S. GAAP) | $ | 762.0 | $ | 133.0 | $ | 650.0 | $ | 8.58 |
Year Ended December 31, | % Change | ||||||||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | 2024/2023 | 2023/2022 | ||||||||||||||||||||||||
Proprietary Products | $ | 2,334.5 | $ | 2,397.3 | $ | 2,406.8 | (2.6 | %) | (0.4 | %) | |||||||||||||||||||
Contract-Manufactured Products | 558.7 | 552.5 | 480.4 | 1.1 | % | 15.0 | % | ||||||||||||||||||||||
Intersegment sales elimination | — | — | (0.3) | — | % | (100.0 | %) | ||||||||||||||||||||||
Consolidated net sales | $ | 2,893.2 | $ | 2,949.8 | $ | 2,886.9 | (1.9 | %) | 2.2 | % |
Year Ended December 31, | % Change | ||||||||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | 2024/2023 | 2023/2022 | ||||||||||||||||||||||||
Proprietary Products: | |||||||||||||||||||||||||||||
Gross profit | $ | 900.5 | $ | 1,034.0 | $ | 1,053.3 | (12.9 | %) | (1.8 | %) | |||||||||||||||||||
Gross profit margin | 38.6 | % | 43.1 | % | 43.8 | % | |||||||||||||||||||||||
Contract-Manufactured Products: | |||||||||||||||||||||||||||||
Gross profit | $ | 98.0 | $ | 96.0 | $ | 82.9 | 2.1 | % | 15.8 | % | |||||||||||||||||||
Gross profit margin | 17.5 | % | 17.4 | % | 17.3 | % | |||||||||||||||||||||||
Unallocated items | $ | — | $ | (0.8) | $ | — | |||||||||||||||||||||||
Consolidated gross profit | $ | 998.5 | $ | 1,129.2 | $ | 1,136.2 | (11.6 | %) | (0.6 | %) | |||||||||||||||||||
Consolidated gross profit margin | 34.5 | % | 38.3 | % | 39.4 | % |
Year Ended December 31, | % Change | ||||||||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | 2024/2023 | 2023/2022 | ||||||||||||||||||||||||
Consolidated R&D costs | $ | 69.1 | $ | 68.4 | $ | 58.5 | 1.0 | % | 16.9 | % |
Year Ended December 31, | % Change | ||||||||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | 2024/2023 | 2023/2022 | ||||||||||||||||||||||||
Proprietary Products | $ | 231.5 | $ | 240.6 | $ | 212.6 | (3.8 | %) | 13.2 | % | |||||||||||||||||||
Contract-Manufactured Products | 26.2 | 24.4 | 20.9 | 7.4 | % | 16.7 | % | ||||||||||||||||||||||
Corporate and unallocated items | 80.8 | 88.4 | 83.4 | (8.6 | %) | 6.0 | % | ||||||||||||||||||||||
Consolidated SG&A costs | $ | 338.5 | $ | 353.4 | $ | 316.9 | (4.2 | %) | 11.5 | % | |||||||||||||||||||
SG&A as a % of net sales | 11.7 | % | 12.0 | % | 11.0 | % |
Year Ended December 31, | |||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Proprietary Products | $ | 22.1 | $ | 14.9 | $ | (2.2) | |||||||||||
Contract-Manufactured Products | (0.5) | (0.5) | 1.6 | ||||||||||||||
Corporate and unallocated items | (0.6) | 17.0 | 27.4 | ||||||||||||||
Consolidated other expense (income) | $ | 21.0 | $ | 31.4 | $ | 26.8 |
Year Ended December 31, | % Change | ||||||||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | 2024/2023 | 2023/2022 | ||||||||||||||||||||||||
Proprietary Products | $ | 577.8 | $ | 710.1 | $ | 784.4 | (18.6 | %) | (9.5 | %) | |||||||||||||||||||
Contract-Manufactured Products | 72.3 | 72.1 | 60.4 | 0.3 | % | 19.4 | % | ||||||||||||||||||||||
Corporate and unallocated | (80.2) | (106.2) | (110.8) | (24.5 | %) | (4.2 | %) | ||||||||||||||||||||||
Consolidated operating profit | $ | 569.9 | $ | 676.0 | $ | 734.0 | (15.7 | %) | (7.9 | %) | |||||||||||||||||||
Consolidated operating profit margin | 19.7 | % | 22.9 | % | 25.4 | % | |||||||||||||||||||||||
Unallocated items | 2.9 | 14.6 | 28.0 | ||||||||||||||||||||||||||
Adjusted consolidated operating profit | $ | 572.8 | $ | 690.6 | $ | 762.0 | (17.1 | %) | (9.4 | %) | |||||||||||||||||||
Adjusted consolidated operating profit margin | 19.8 | % | 23.4 | % | 26.4 | % |
Year Ended December 31, | % Change | ||||||||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | 2024/2023 | 2023/2022 | ||||||||||||||||||||||||
Interest expense | $ | 16.2 | $ | 14.8 | $ | 11.6 | 9.5 | % | 27.6 | % | |||||||||||||||||||
Capitalized interest | (13.2) | (5.8) | (3.7) | 127.6 | % | 56.8 | % | ||||||||||||||||||||||
Interest expense, net | $ | 3.0 | $ | 9.0 | $ | 7.9 | (66.7) | % | 13.9 | % | |||||||||||||||||||
Interest income | $ | (19.6) | $ | (28.0) | $ | (5.1) | (30.0) | % | 449.0 | % |
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Net cash provided by operating activities | $ | 653.4 | $ | 776.5 | $ | 724.0 | |||||||||||
Net cash used in investing activities | $ | (378.7) | $ | (368.7) | $ | (288.2) | |||||||||||
Net cash used in financing activities | $ | (622.6) | $ | (459.6) | $ | (293.6) |
($ in millions) | December 31, 2024 | December 31, 2023 | |||||||||
Cash and cash equivalents | $ | 484.6 | $ | 853.9 | |||||||
Accounts receivable, net | $ | 552.5 | $ | 512.0 | |||||||
Inventories | $ | 377.0 | $ | 434.7 | |||||||
Accounts payable | $ | 239.3 | $ | 242.4 | |||||||
Debt | $ | 202.6 | $ | 206.8 | |||||||
Equity | $ | 2,682.3 | $ | 2,881.0 | |||||||
Working capital | $ | 987.7 | $ | 1,264.6 |
(in millions) | Sell | ||||||||||||||||
Currency | Purchase | USD | EUR | SGD | |||||||||||||
EUR | 20.8 | 22.9 | — | — | |||||||||||||
JPY | 6,683.7 | 28.4 | 14.8 | 1.8 | |||||||||||||
SGD | 39.8 | 16.9 | 12.2 | — |
($ in millions) | 2025 | 2026 | 2027 | 2028 | 2029 | Thereafter | Carrying Value | Fair Value | ||||||||||||||||||
Long-Term Debt: | ||||||||||||||||||||||||||
U.S. dollar denominated | $130.0 | $130.0 | $130.0 | |||||||||||||||||||||||
Average interest rate - variable | 5.68% | |||||||||||||||||||||||||
U.S. dollar denominated | $73.0 | $73.0 | $70.9 | |||||||||||||||||||||||
Average interest rate - fixed | 4.02% | |||||||||||||||||||||||||
2024 | 2023 | 2022 | ||||||||||||||||||
Net sales | $ | $ | $ | |||||||||||||||||
Cost of goods and services sold | ||||||||||||||||||||
Gross profit | ||||||||||||||||||||
Research and development | ||||||||||||||||||||
Selling, general and administrative expenses | ||||||||||||||||||||
Other expense (income) (Note 16) | ||||||||||||||||||||
Operating profit | ||||||||||||||||||||
Interest expense | ||||||||||||||||||||
Interest income | ( | ( | ( | |||||||||||||||||
Other nonoperating expense (income) | ( | |||||||||||||||||||
Income before income taxes and equity in net income of affiliated companies | ||||||||||||||||||||
Income tax expense | ||||||||||||||||||||
Equity in net income of affiliated companies | ( | ( | ( | |||||||||||||||||
Net income | $ | $ | $ | |||||||||||||||||
Net income per share: | ||||||||||||||||||||
Basic | $ | $ | $ | |||||||||||||||||
Diluted | $ | $ | $ | |||||||||||||||||
Weighted average shares outstanding: | ||||||||||||||||||||
Basic | ||||||||||||||||||||
Diluted | ||||||||||||||||||||
2024 | 2023 | 2022 | |||||||||||||||
Net income | $ | $ | $ | ||||||||||||||
Other comprehensive (loss) income, net of tax: | |||||||||||||||||
Foreign currency translation adjustments, net of tax of $ | ( | ( | |||||||||||||||
Defined benefit pension and other postretirement plans: | |||||||||||||||||
Net actuarial gain (loss) arising during period, net of tax of $ | ( | ||||||||||||||||
Settlement effects arising during period, net of tax of $ | |||||||||||||||||
Less: amortization of actuarial (gain) loss, net of tax of $( | ( | ( | ( | ||||||||||||||
Less: amortization of other, net of tax of $ | ( | ||||||||||||||||
Net gain (loss) on equity affiliate accumulated other comprehensive income, net of tax of $ | |||||||||||||||||
Net (loss) gain on derivatives, net of tax of $( | ( | ( | |||||||||||||||
Other comprehensive (loss) income, net of tax | ( | ( | |||||||||||||||
Comprehensive income | $ | $ | $ |
(in millions, except per share data) | 2024 | 2023 | |||||||||
ASSETS | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | $ | |||||||||
Accounts receivable, net | |||||||||||
Inventories | |||||||||||
Other current assets | |||||||||||
Total current assets | |||||||||||
Property, plant and equipment | |||||||||||
Less: accumulated depreciation and amortization | |||||||||||
Property, plant and equipment, net | |||||||||||
Operating lease right-of-use assets | |||||||||||
Investments in affiliated companies | |||||||||||
Goodwill | |||||||||||
Intangible assets, net | |||||||||||
Deferred income taxes | |||||||||||
Other noncurrent assets | |||||||||||
Total Assets | $ | $ | |||||||||
LIABILITIES AND EQUITY | |||||||||||
Current liabilities: | |||||||||||
Notes payable and other current debt | $ | $ | |||||||||
Accounts payable | |||||||||||
Accrued salaries, wages and benefits | |||||||||||
Income taxes payable | |||||||||||
Operating lease liabilities | |||||||||||
Other current liabilities | |||||||||||
Total current liabilities | |||||||||||
Long-term debt | |||||||||||
Deferred income taxes | |||||||||||
Pension and other postretirement benefits | |||||||||||
Operating lease liabilities | |||||||||||
Deferred compensation benefits | |||||||||||
Other long-term liabilities | |||||||||||
Total Liabilities | |||||||||||
Commitments and contingencies (Note 18) | |||||||||||
Equity: | |||||||||||
Preferred stock, | |||||||||||
Common stock, par value $ | |||||||||||
Capital in excess of par value | |||||||||||
Retained earnings | |||||||||||
Accumulated other comprehensive loss | ( | ( | |||||||||
Treasury stock, at cost ( | ( | ( | |||||||||
Total Equity | |||||||||||
Total Liabilities and Equity | $ | $ |
Common shares issued | Common stock | Capital in excess of par value | Number of treasury shares | Treasury stock | Retained earnings | Accumulated other comprehensive loss | Total | ||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2021 | $ | $ | $ | ( | $ | $ | ( | $ | |||||||||||||||||||||||||||||||||||||||
Net Income | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||
Activity related to stock-based compensation | — | — | ( | ( | — | — | |||||||||||||||||||||||||||||||||||||||||
Shares purchased under share repurchase program | — | — | — | ( | — | — | ( | ||||||||||||||||||||||||||||||||||||||||
Dividends declared ($ | — | — | — | — | — | ( | — | ( | |||||||||||||||||||||||||||||||||||||||
Other comprehensive loss, net of tax | — | — | — | — | — | — | ( | ( | |||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2022 | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||
Activity related to stock-based compensation | — | — | ( | ( | — | — | |||||||||||||||||||||||||||||||||||||||||
Shares purchased under share repurchase program | — | — | — | ( | — | — | ( | ||||||||||||||||||||||||||||||||||||||||
Dividends declared ($ | — | — | — | — | — | ( | — | ( | |||||||||||||||||||||||||||||||||||||||
Other comprehensive income, net of tax | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2023 | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||
Activity related to stock-based compensation | — | — | ( | ( | — | — | |||||||||||||||||||||||||||||||||||||||||
Shares purchased under share repurchase program | — | — | — | ( | — | — | ( | ||||||||||||||||||||||||||||||||||||||||
Dividends declared ($ | — | — | — | — | — | ( | — | ( | |||||||||||||||||||||||||||||||||||||||
Other comprehensive loss, net of tax | — | — | — | — | — | — | ( | ( | |||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2024 | $ | $ | $ | ( | $ | $ | ( | $ |
2024 | 2023 | 2022 | |||||||||||||||
Cash flows from operating activities: | |||||||||||||||||
Net income | $ | $ | $ | ||||||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||
Depreciation | |||||||||||||||||
Amortization | |||||||||||||||||
Stock-based compensation | |||||||||||||||||
Non-cash restructuring charges | |||||||||||||||||
Pension settlement charges | |||||||||||||||||
Loss on disposal of plant | |||||||||||||||||
Asset impairments | |||||||||||||||||
Deferred income taxes | ( | ( | |||||||||||||||
Pension and other retirement plans, net | ( | ( | ( | ||||||||||||||
Equity in undistributed earnings of affiliates, net of dividends | ( | ( | ( | ||||||||||||||
Other, net | ( | ( | |||||||||||||||
Changes in assets and liabilities: | |||||||||||||||||
(Increase) decrease in accounts receivable | ( | ( | |||||||||||||||
Decrease (increase) in inventories | ( | ( | |||||||||||||||
(Increase) decrease in other current assets | ( | ( | |||||||||||||||
Increase (decrease) in accounts payable | ( | ||||||||||||||||
Changes in other assets and liabilities | |||||||||||||||||
Net cash provided by operating activities | |||||||||||||||||
Cash flows from investing activities: | |||||||||||||||||
Capital expenditures | ( | ( | ( | ||||||||||||||
Other, net | ( | ( | ( | ||||||||||||||
Net cash used in investing activities | ( | ( | ( | ||||||||||||||
Cash flows from financing activities: | |||||||||||||||||
Borrowings of long-term debt | |||||||||||||||||
Repayments of long-term debt | ( | ( | ( | ||||||||||||||
Debt issuance cost | ( | ||||||||||||||||
Principal repayments on finance leases | ( | ( | |||||||||||||||
Dividend payments | ( | ( | ( | ||||||||||||||
Excise tax payments | ( | ||||||||||||||||
Proceeds from stock-based compensation awards | |||||||||||||||||
Employee stock purchase plan contributions | |||||||||||||||||
Shares purchased under share repurchase programs | ( | ( | ( | ||||||||||||||
Shares repurchased for employee tax withholdings | ( | ( | ( | ||||||||||||||
Net cash used in financing activities | ( | ( | ( | ||||||||||||||
Effect of exchange rates on cash | ( | ( | |||||||||||||||
Net (decrease) increase in cash and cash equivalents | ( | ( | |||||||||||||||
Cash, including cash equivalents at beginning of period | |||||||||||||||||
Cash, including cash equivalents at end of period | $ | $ | $ | ||||||||||||||
Supplemental cash flow information: | |||||||||||||||||
Interest paid, net of amounts capitalized | $ | $ | $ | ||||||||||||||
Income taxes paid, net | $ | $ | $ | ||||||||||||||
Accrued capital expenditures | $ | $ | $ | ||||||||||||||
Dividends declared, not paid | $ | $ | $ | ||||||||||||||
($ in millions) | 2024 | 2023 | |||||||||
Raw materials | $ | $ | |||||||||
Work in process | |||||||||||
Finished goods | |||||||||||
$ | $ |
2024 | 2023 | 2022 | |||||||||||||||
Biologics | % | % | % | ||||||||||||||
Generics | % | % | % | ||||||||||||||
Pharma | % | % | % | ||||||||||||||
Contract-Manufactured Products | % | % | % | ||||||||||||||
% | % | % |
2024 | 2023 | 2022 | |||||||||||||||
High-Value Product Components | % | % | % | ||||||||||||||
High-Value Product Delivery Devices | % | % | % | ||||||||||||||
Standard Packaging | % | % | % | ||||||||||||||
Contract-Manufactured Products | % | % | % | ||||||||||||||
% | % | % |
2024 | 2023 | 2022 | |||||||||||||||
Americas | % | % | % | ||||||||||||||
Europe, Middle East, Africa | % | % | % | ||||||||||||||
Asia Pacific | % | % | % | ||||||||||||||
% | % | % |
($ in millions) | |||||
Contract assets, December 31, 2023 | $ | ||||
Contract assets, December 31, 2024 | |||||
Change in contract assets - increase (decrease) | $ | ||||
Deferred income, December 31, 2023 | $ | ( | |||
Deferred income, December 31, 2024 | ( | ||||
Change in deferred income - decrease (increase) | $ |
(in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Net income | $ | $ | $ | ||||||||||||||
Weighted average common shares outstanding | |||||||||||||||||
Dilutive effect of equity awards, based on the treasury stock method | |||||||||||||||||
Weighted average shares assuming dilution |
2024 | 2023 | ||||||||||
Shares repurchased | |||||||||||
Total cost of repurchases ($ in millions) | $ | $ | |||||||||
Average price per repurchased share | $ | $ |
($ in millions) | Expected useful lives (years) | 2024 | 2023 | ||||||||||||||
Land | $ | $ | |||||||||||||||
Buildings and improvements | |||||||||||||||||
Machinery and equipment | |||||||||||||||||
Molds and dies | |||||||||||||||||
Computer hardware and software | |||||||||||||||||
Construction in progress | |||||||||||||||||
$ | $ |
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Operating lease cost | $ | $ | $ | ||||||||||||||
Finance lease - amortization of right-of-use (ROU) assets | |||||||||||||||||
Finance lease - interest on lease liabilities | |||||||||||||||||
Short-term lease cost | |||||||||||||||||
Variable lease cost | |||||||||||||||||
Total lease cost | $ | $ | $ |
December 31, | |||||||||||
($ in millions) | Balance Sheet Classification | 2024 | |||||||||
ROU assets, net | $ | ||||||||||
Lease liabilities (current) | $ | ||||||||||
Lease liabilities (noncurrent) | $ |
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Cash paid for amounts included in the measurement of lease liabilities: | |||||||||||||||||
Operating cash flows from operating leases | $ | $ | $ | ||||||||||||||
Operating cash flows from finance leases | $ | $ | $ | ||||||||||||||
Financing cash flows from finance leases | $ | $ | $ | ||||||||||||||
Right-of-use assets obtained in exchange for new lease liabilities: | |||||||||||||||||
Operating leases | $ | $ | $ | ||||||||||||||
Finance leases | $ | $ | $ |
($ in millions) | Operating | Finance | |||||||||
Year | Leases | Leases | |||||||||
2025 | $ | $ | |||||||||
2026 | |||||||||||
2027 | |||||||||||
2028 | |||||||||||
2029 | |||||||||||
Thereafter | |||||||||||
Less: imputed lease interest | ( | ( | |||||||||
Total lease liabilities | $ | $ |
Location | Ownership interest | ||||||||||
The West Company Mexico, S.A. de C.V. | Mexico | ||||||||||
Aluplast S.A. de C.V. | Mexico | ||||||||||
Pharma Tap S.A. de C.V. | Mexico | ||||||||||
Pharma Rubber S.A. de C.V. | Mexico | ||||||||||
Daikyo Seiko, Ltd. ("Daikyo") | Japan |
December 31, | December 31 | ||||||||||
($ in millions) | 2024 | 2023 | |||||||||
Aggregate carrying value of investments in affiliated companies: | |||||||||||
Equity method affiliates | $ | $ | |||||||||
Non-equity method affiliates | |||||||||||
Total investments in affiliated companies | $ | $ |
December 31, | December 31 | |||||||||||||
($ in millions) | 2024 | 2023 | ||||||||||||
Payables due to affiliates | $ | $ | ||||||||||||
Receivables due from affiliates | $ | $ |
(in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Purchases from (and payments to) affiliates | $ | $ | $ | ||||||||||||||
Sales to affiliates | $ | $ | $ | ||||||||||||||
Unremitted income of affiliates | $ | $ | $ | ||||||||||||||
Dividends received from affiliates | $ | $ | $ | ||||||||||||||
Equity in unrealized (gains) losses of Daikyo's investments & derivatives | $ | $ | $ | ||||||||||||||
($ in millions) | Proprietary Products | Contract-Manufactured Products | Total | ||||||||||||||
Balance, December 31, 2022 | $ | $ | $ | ||||||||||||||
Foreign currency translation | |||||||||||||||||
Balance, December 31, 2023 | |||||||||||||||||
Foreign currency translation | ( | ( | ( | ||||||||||||||
Balance, December 31, 2024 | $ | $ | $ |
2024 | 2023 | ||||||||||||||||||||||||||||||||||
($ in millions) | Cost | Accumulated amortization | Net | Cost | Accumulated amortization | Net | |||||||||||||||||||||||||||||
Patents and licensing | $ | $ | ( | $ | $ | $ | ( | $ | |||||||||||||||||||||||||||
Technology | ( | ( | |||||||||||||||||||||||||||||||||
Trademarks | ( | ( | |||||||||||||||||||||||||||||||||
Customer relationships | ( | ( | |||||||||||||||||||||||||||||||||
Customer contracts | ( | ( | |||||||||||||||||||||||||||||||||
$ | $ | ( | $ | $ | $ | ( | $ |
($ in millions) | 2024 | 2023 | |||||||||
Deferred income | $ | $ | |||||||||
Accrued commissions, rebates & royalties | |||||||||||
Short term derivative instruments | |||||||||||
Dividends payable | |||||||||||
Accrued taxes other than income | |||||||||||
Accrued retirement plans (excl. pension) | |||||||||||
Accrued professional services | |||||||||||
International value added tax payable | |||||||||||
Restructuring and severance related charges | |||||||||||
Accrued interest | |||||||||||
Other | |||||||||||
Total other current liabilities | $ | $ |
($ in millions) | 2024 | 2023 | |||||||||
Term Loan, due July 2, 2027 ( | $ | $ | |||||||||
Term Loan, due December 31, 2024 ( | |||||||||||
Series B notes, due July 5, 2024 ( | |||||||||||
Series C notes, due July 5, 2027 ( | |||||||||||
Less: unamortized debt issuance costs for Term Loan and Series notes | |||||||||||
Total debt | |||||||||||
Less: current portion of long-term debt | |||||||||||
Long-term debt, net | $ | $ |
(in millions) | Sell | ||||||||||||||||
Currency | Purchase | USD | EUR | SGD | |||||||||||||
EUR | |||||||||||||||||
JPY | |||||||||||||||||
SGD |
Amount of Gain (Loss) Recognized in Income | Location on Statement of Income | ||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||||||||
Fair Value Hedges: | |||||||||||||||||||||||
Hedged item (intercompany loan) | $ | $ | ( | $ | ( | Other expense (income) | |||||||||||||||||
Derivative designated as hedging instrument | ( | Other expense (income) | |||||||||||||||||||||
Amount excluded from effectiveness testing | ( | ( | Other expense (income) | ||||||||||||||||||||
Total | $ | ( | $ | ( | $ |
Amount of Gain (Loss) Recognized in OCI | |||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Fair Value Hedges: | |||||||||||||||||
Foreign currency hedge contracts | $ | $ | ( | $ | |||||||||||||
Total | $ | $ | ( | $ | |||||||||||||
Cash Flow Hedges: | |||||||||||||||||
Foreign currency hedge contracts (hedges of net sales) | $ | $ | ( | $ | |||||||||||||
Foreign currency hedge contracts (hedges of cost of goods and services sold) | ( | ( | ( | ||||||||||||||
Forward treasury locks | |||||||||||||||||
Total | $ | ( | $ | ( | $ | ( | |||||||||||
Net Investment Hedges: | |||||||||||||||||
Cross-currency swap | $ | $ | $ | ||||||||||||||
Total | $ | $ | $ |
Amount of (Gain) Loss Reclassified from Accumulated OCI into Income | Location of (Gain) Loss Reclassified from Accumulated OCI into Income | ||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||||||||
Fair Value Hedges: | |||||||||||||||||||||||
Foreign currency hedge contracts | $ | ( | $ | $ | ( | Other expense (income) | |||||||||||||||||
Total | $ | ( | $ | $ | ( | ||||||||||||||||||
Cash Flow Hedges: | |||||||||||||||||||||||
Foreign currency hedge contracts | $ | ( | $ | $ | ( | Net sales | |||||||||||||||||
Foreign currency hedge contracts | Cost of goods and services sold | ||||||||||||||||||||||
Forward treasury locks | Interest expense | ||||||||||||||||||||||
Total | $ | $ | $ | ||||||||||||||||||||
Net Investment Hedges: | |||||||||||||||||||||||
Cross-currency swap | Other expense (income) | ||||||||||||||||||||||
Total | $ | $ | $ |
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Net sales | $ | ( | $ | $ | ( | ||||||||||||
Cost of goods and services sold | $ | $ | $ | ||||||||||||||
Interest expense | $ | $ | $ |
Amount of Gain (Loss) Recognized in Income | Location on Statement of Income | ||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||||||||
Commodity call options | $ | ( | $ | ( | $ | Other expense (income) | |||||||||||||||||
Currency forwards | ( | Other expense (income) | |||||||||||||||||||||
Total | $ | ( | $ | ( | $ |
Balance at | Basis of Fair Value Measurements | ||||||||||||||||||||||
($ in millions) | December 31, 2024 | Level 1 | Level 2 | Level 3 | |||||||||||||||||||
Assets: | |||||||||||||||||||||||
Deferred compensation assets | $ | $ | $ | $ | |||||||||||||||||||
Money market funds | |||||||||||||||||||||||
Time deposits | |||||||||||||||||||||||
Foreign currency contracts | |||||||||||||||||||||||
Cross-currency swap | |||||||||||||||||||||||
Commodity call options | |||||||||||||||||||||||
$ | $ | $ | $ | ||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||
Contingent consideration | $ | $ | $ | $ | |||||||||||||||||||
Deferred compensation liabilities | |||||||||||||||||||||||
Foreign currency contracts | |||||||||||||||||||||||
$ | $ | $ | $ |
Balance at | Basis of Fair Value Measurements | ||||||||||||||||||||||
($ in millions) | December 31, 2023 | Level 1 | Level 2 | Level 3 | |||||||||||||||||||
Assets: | |||||||||||||||||||||||
Deferred compensation assets | $ | $ | $ | $ | |||||||||||||||||||
Money market funds | |||||||||||||||||||||||
Time deposits | |||||||||||||||||||||||
Foreign currency contracts | |||||||||||||||||||||||
Cross-currency swap | |||||||||||||||||||||||
Commodity call options | |||||||||||||||||||||||
$ | $ | $ | $ | ||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||
Contingent consideration | $ | $ | $ | $ | |||||||||||||||||||
Deferred compensation liabilities | |||||||||||||||||||||||
Foreign currency contracts | |||||||||||||||||||||||
$ | $ | $ | $ |
($ in millions) | Derivatives | Equity affiliate investment AOCI | Defined benefit pension and other postretirement plans | Foreign currency translation | Total | ||||||||||||||||||||||||
Balance, December 31, 2021 | $ | ( | $ | $ | ( | $ | ( | $ | ( | ||||||||||||||||||||
Other comprehensive (loss) income before reclassifications | ( | ( | ( | ||||||||||||||||||||||||||
Amounts reclassified out | |||||||||||||||||||||||||||||
Other comprehensive (loss) income, net of tax | ( | ( | |||||||||||||||||||||||||||
Balance, December 31, 2022 | ( | ( | ( | ||||||||||||||||||||||||||
Other comprehensive income (loss) before reclassifications | ( | ||||||||||||||||||||||||||||
Amounts reclassified out | ( | ||||||||||||||||||||||||||||
Other comprehensive income (loss), net of tax | ( | ( | |||||||||||||||||||||||||||
Balance, December 31, 2023 | ( | ( | ( | ||||||||||||||||||||||||||
Other comprehensive (loss) income before reclassifications | ( | ( | ( | ||||||||||||||||||||||||||
Amounts reclassified out | ( | ||||||||||||||||||||||||||||
Other comprehensive (loss) income, net of tax | ( | ( | ( | ||||||||||||||||||||||||||
Balance, December 31, 2024 | $ | ( | $ | $ | ( | $ | ( | $ | ( |
Detail of components | 2024 | 2023 | 2022 | Location on Statement of Income | ||||||||||||||||||||||
Gains (losses) on derivatives: | ||||||||||||||||||||||||||
Foreign currency contracts | $ | $ | ( | $ | Net sales | |||||||||||||||||||||
Foreign currency contracts | ( | ( | ( | Cost of goods and services sold | ||||||||||||||||||||||
Foreign currency contracts | ( | Other expense (income) | ||||||||||||||||||||||||
Forward treasury locks | ( | ( | ( | Interest expense | ||||||||||||||||||||||
Total before tax | ( | ( | ( | |||||||||||||||||||||||
Tax benefit (expense) | ( | |||||||||||||||||||||||||
Net of tax | $ | ( | $ | ( | $ | ( | ||||||||||||||||||||
Amortization of defined benefit pension and other postretirement plans: | ||||||||||||||||||||||||||
Actuarial gains | $ | $ | $ | (a) | ||||||||||||||||||||||
Settlements | ( | ( | (a) | |||||||||||||||||||||||
Other | ( | (a) | ||||||||||||||||||||||||
Total before tax | ( | |||||||||||||||||||||||||
Tax (expense) benefit | ( | ( | ||||||||||||||||||||||||
Net of tax | $ | $ | $ | ( | ||||||||||||||||||||||
Total reclassifications for the period, net of tax | $ | ( | $ | ( | $ | ( |
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Stock option and appreciation rights | $ | $ | $ | ||||||||||||||
Performance share units | |||||||||||||||||
Employee stock purchase plan | |||||||||||||||||
Deferred compensation plans and restricted share awards | |||||||||||||||||
Total stock-based compensation expense | $ | $ | $ |
(in millions, except per share data) | Stock Options | Weighted Average Exercise Price | |||||||||
Options outstanding, January 1, 2024 | $ | ||||||||||
Granted | |||||||||||
Exercised | ( | ||||||||||
Forfeited | |||||||||||
Options outstanding, December 31, 2024 | $ | ||||||||||
Options vested and expected to vest, December 31, 2024 | $ | ||||||||||
Options vested and exercisable, December 31, 2024 | $ |
Units | Weighted Average Fair Value | ||||||||||
Non-vested stock-settled PSU awards, January 1, 2024 | $ | ||||||||||
Granted at target level | |||||||||||
Adjustments above/(below) target | |||||||||||
Vested and converted | ( | ||||||||||
Forfeited | ( | ||||||||||
Non-vested stock-settled PSU awards, December 31, 2024 | $ |
Pension benefits | Other retirement benefits | ||||||||||||||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | 2024 | 2023 | 2022 | |||||||||||||||||||||||||||||
Net periodic benefit cost: | |||||||||||||||||||||||||||||||||||
Service cost | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||
Interest cost | |||||||||||||||||||||||||||||||||||
Expected return on plan assets | ( | ( | ( | ||||||||||||||||||||||||||||||||
Amortization of actuarial loss (gain) | ( | ( | ( | ||||||||||||||||||||||||||||||||
Settlement loss | |||||||||||||||||||||||||||||||||||
Other | |||||||||||||||||||||||||||||||||||
Net periodic benefit cost | $ | $ | $ | $ | ( | $ | ( | $ | ( | ||||||||||||||||||||||||||
Other changes in plan assets and benefit obligations recognized in OCI, pre-tax: | |||||||||||||||||||||||||||||||||||
Net (gain) loss arising during period | $ | ( | $ | ( | $ | $ | ( | $ | ( | $ | ( | ||||||||||||||||||||||||
Amortization of actuarial (loss) gain | ( | ( | ( | ||||||||||||||||||||||||||||||||
Settlement loss | ( | ( | |||||||||||||||||||||||||||||||||
Foreign currency translation | ( | ( | |||||||||||||||||||||||||||||||||
Other | ( | ||||||||||||||||||||||||||||||||||
Total recognized in OCI | $ | ( | $ | ( | $ | ( | $ | $ | $ | ( | |||||||||||||||||||||||||
Total recognized in net periodic benefit cost and OCI | $ | $ | $ | $ | ( | $ | $ | ( |
Pension benefits | Other retirement benefits | ||||||||||||||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | 2024 | 2023 | 2022 | |||||||||||||||||||||||||||||
U.S. plans | $ | $ | $ | $ | ( | $ | ( | $ | ( | ||||||||||||||||||||||||||
International plans | |||||||||||||||||||||||||||||||||||
Net periodic benefit cost | $ | $ | $ | $ | ( | $ | ( | $ | ( |
Pension benefits | Other retirement benefits | ||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2024 | 2023 | |||||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||
Benefit obligation, January 1 | $ | ( | $ | ( | $ | ( | $ | ( | |||||||||||||||
Service cost | ( | ( | |||||||||||||||||||||
Interest cost | ( | ( | ( | ( | |||||||||||||||||||
Participants’ contributions | ( | ( | ( | ( | |||||||||||||||||||
Actuarial gain | |||||||||||||||||||||||
Benefits paid | |||||||||||||||||||||||
Settlement loss | |||||||||||||||||||||||
Foreign currency translation | ( | ||||||||||||||||||||||
Benefit obligation, December 31 | $ | ( | $ | ( | $ | ( | $ | ( | |||||||||||||||
Change in plan assets: | |||||||||||||||||||||||
Fair value of assets, January 1 | $ | $ | $ | $ | |||||||||||||||||||
Actual return on plan assets | ( | ||||||||||||||||||||||
Employer contribution | ( | ||||||||||||||||||||||
Participants’ contributions | |||||||||||||||||||||||
Benefits paid | ( | ( | ( | ( | |||||||||||||||||||
Settlement loss | ( | ||||||||||||||||||||||
Foreign currency translation | ( | ||||||||||||||||||||||
Fair value of assets, December 31 | $ | $ | $ | $ | |||||||||||||||||||
Funded status at end of year | $ | ( | $ | ( | $ | ( | $ | ( |
Pension benefits | Other retirement benefits | ||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2024 | 2023 | |||||||||||||||||||
Noncurrent assets | $ | $ | $ | $ | |||||||||||||||||||
Current liabilities | ( | ( | ( | ( | |||||||||||||||||||
Noncurrent liabilities | ( | ( | ( | ( | |||||||||||||||||||
$ | ( | $ | ( | $ | ( | $ | ( |
Pension benefits | Other retirement benefits | ||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2024 | 2023 | |||||||||||||||||||
Net actuarial loss (gain) | $ | $ | $ | ( | $ | ( | |||||||||||||||||
Prior service credit | ( | ( | |||||||||||||||||||||
Total | $ | $ | $ | ( | $ | ( |
($ in millions) | Domestic | International | Total | ||||||||||||||
2025 | $ | $ | $ | ||||||||||||||
2026 | |||||||||||||||||
2027 | |||||||||||||||||
2028 | |||||||||||||||||
2029 | |||||||||||||||||
2030 to 2034 | |||||||||||||||||
$ | $ | $ |
Pension benefits | Other retirement benefits | ||||||||||||||||||||||||||||||||||
2024 | 2023 | 2022 | 2024 | 2023 | 2022 | ||||||||||||||||||||||||||||||
Discount rate | % | % | % | % | % | % | |||||||||||||||||||||||||||||
Rate of compensation increase | % | % | % | ||||||||||||||||||||||||||||||||
Expected long-term rate of return on assets | % | % | % |
Pension benefits | Other retirement benefits | ||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||||||||||||||
Discount rate | % | % | % | % | |||||||||||||||||||
Rate of compensation increase | % | % |
2024 | 2023 | 2022 | |||||||||||||||
U.S. plans | % | % | % | ||||||||||||||
International plans | % | % | % |
2024 | 2023 | ||||||||||
Equity securities | % | % | |||||||||
Debt securities | % | % | |||||||||
Other | % | % | |||||||||
% | % |
Target allocation | Allocation range | ||||||||||
Equity securities | |||||||||||
Debt securities | |||||||||||
Other |
Balance at | |||||||||||||||||||||||
December 31, | Basis of Fair Value Measurements | ||||||||||||||||||||||
($ in millions) | 2024 | Level 1 | Level 2 | Level 3 | |||||||||||||||||||
Cash | $ | $ | $ | $ | |||||||||||||||||||
Equity securities: | |||||||||||||||||||||||
International mutual funds | |||||||||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||
International mutual funds | |||||||||||||||||||||||
Other mutual funds | |||||||||||||||||||||||
Pension plan assets in the fair value hierarchy | $ | $ | $ | $ | |||||||||||||||||||
Pension plan assets measured at NAV | |||||||||||||||||||||||
Pension plan assets at fair value | $ |
Balance at | |||||||||||||||||||||||
December 31, | Basis of Fair Value Measurements | ||||||||||||||||||||||
($ in millions) | 2023 | Level 1 | Level 2 | Level 3 | |||||||||||||||||||
Cash | $ | $ | $ | $ | |||||||||||||||||||
Equity securities: | |||||||||||||||||||||||
International mutual funds | |||||||||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||
International mutual funds | |||||||||||||||||||||||
Other mutual funds | |||||||||||||||||||||||
Pension plan assets in the fair value hierarchy | $ | $ | $ | $ | |||||||||||||||||||
Pension plan assets measured at NAV | |||||||||||||||||||||||
Pension plan assets at fair value | $ |
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Restructuring and related charges: | |||||||||||||||||
Severance and benefits | $ | ( | $ | ( | $ | ||||||||||||
Asset-related charges | |||||||||||||||||
Other charges | ( | ||||||||||||||||
Total restructuring and related charges | $ | ( | $ | ( | $ | ||||||||||||
Asset impairments | |||||||||||||||||
Foreign exchange transaction losses (gains) | ( | ||||||||||||||||
Contingent consideration | |||||||||||||||||
Loss on disposal of plant | |||||||||||||||||
Other items | ( | ||||||||||||||||
Total other expense (income) | $ | $ | $ |
($ in millions) | Severance and benefits | Other charges | Total | ||||||||||||||
Balance, December 31, 2023 | $ | $ | $ | ||||||||||||||
(Credits) charges | ( | ( | |||||||||||||||
Cash payments | ( | ( | |||||||||||||||
Balance, December 31, 2024 | $ | $ | $ |
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Cost method investment impairment charges | $ | $ | $ | ||||||||||||||
Fixed asset impairment expense | |||||||||||||||||
Total asset impairments | $ | $ | $ |
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Balance at January 1 | $ | $ | $ | ||||||||||||||
Increase due to current year position | |||||||||||||||||
Increase (decrease) due to prior year position | ( | ||||||||||||||||
Reduction for expiration of statute of limitations/audits | ( | ( | ( | ||||||||||||||
Balance at December 31 | $ | $ | $ |
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
U.S. operations | $ | $ | $ | ||||||||||||||
International operations | |||||||||||||||||
Total income before income taxes and equity in net income of affiliated companies | $ | $ | $ |
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Current: | |||||||||||||||||
Federal | $ | $ | $ | ||||||||||||||
State | ( | ||||||||||||||||
International | |||||||||||||||||
Current income tax provision | |||||||||||||||||
Deferred: | |||||||||||||||||
Federal and state | ( | ( | ( | ||||||||||||||
International | ( | ||||||||||||||||
Deferred income tax provision | ( | ( | |||||||||||||||
Income tax expense | $ | $ | $ |
($ in millions) | 2024 | 2023 | |||||||||
Deferred tax assets: | |||||||||||
Net operating loss carryforwards | $ | $ | |||||||||
Tax credit carryforwards | |||||||||||
Pension and deferred compensation | |||||||||||
Royalty acceleration | |||||||||||
Other | |||||||||||
Capitalized R&D expenses | |||||||||||
Leases | |||||||||||
Valuation allowance | ( | ( | |||||||||
Total deferred tax assets | |||||||||||
Deferred tax liabilities: | |||||||||||
Property, plant, and equipment | |||||||||||
Tax on undistributed earnings of subsidiaries | |||||||||||
Leases | |||||||||||
Other | |||||||||||
Total deferred tax liabilities | |||||||||||
Net deferred tax asset | $ | $ |
2024 | 2023 | 2022 | |||||||||||||||
U.S. federal corporate tax rate | % | % | % | ||||||||||||||
Tax on international operations other than U.S. tax rate | ( | ||||||||||||||||
Adjustments to reserves for unrecognized tax benefits | |||||||||||||||||
U.S. tax on international earnings, net of foreign tax credits | ( | ||||||||||||||||
Foreign-Derived Intangible Income Deductions (FDII) | ( | ( | ( | ||||||||||||||
State income taxes, net of federal tax effect | |||||||||||||||||
U.S. research and development credits | ( | ( | ( | ||||||||||||||
Excess tax benefits on share-based payments | ( | ( | ( | ||||||||||||||
Royalty acceleration | |||||||||||||||||
Pension settlement | ( | ||||||||||||||||
Tax on undistributed earnings of subsidiaries | ( | ||||||||||||||||
Other | |||||||||||||||||
Effective tax rate | % | % | % |
($ in millions) | 2024 | 2023 | 2022 | ||||||||||||||
Net sales: | |||||||||||||||||
Proprietary Products | $ | $ | $ | ||||||||||||||
Contract-Manufactured Products | |||||||||||||||||
Intersegment sales elimination | ( | ||||||||||||||||
Consolidated net sales | $ | $ | $ |
Net Sales | Long-Lived Assets | ||||||||||||||||||||||||||||
($ in millions) | 2024 | 2023 | 2022 | 2024 | 2023 | ||||||||||||||||||||||||
United States | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Germany | |||||||||||||||||||||||||||||
Ireland | |||||||||||||||||||||||||||||
France | |||||||||||||||||||||||||||||
Other European countries | |||||||||||||||||||||||||||||
Other | |||||||||||||||||||||||||||||
$ | $ | $ | $ | $ |
2024 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||
($ in millions) | Proprietary Products | Contract Manufacturing | Total | Proprietary Products | Contract Manufacturing | Total | Proprietary Products | Contract Manufacturing | Total | ||||||||||||||||||||||||||||||||||||||||||||
Net sales | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||||
Cost of goods and services sold | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Research and development | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Selling, general and administrative expenses | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Other segment expense (income)(6) | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||
Segment operating profit | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of profit or loss: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock Based Compensation | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate general costs(1) | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||
Unallocated items: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring and related charges(2) | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization of acquisition-related intangible assets(3) | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||
Cost investment activity(4) | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||
Loss on disposal of plant(5) | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total consolidated operating profit | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest (income) expense and other nonoperating expense (income), net | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||
Income before income taxes and equity in net income of affiliated companies | $ | $ | $ |
($ in millions) | |||||||||||
Assets | 2024 | 2023 | |||||||||
Proprietary Products | $ | $ | |||||||||
Contract-Manufactured Products | |||||||||||
Corporate and Unallocated(1) | |||||||||||
Total consolidated | $ | $ |
($ in millions) | |||||||||||||||||
Depreciation and Amortization | 2024 | 2023 | 2022 | ||||||||||||||
Proprietary Products | $ | $ | $ | ||||||||||||||
Contract-Manufactured Products | |||||||||||||||||
Corporate and Unallocated | |||||||||||||||||
Total consolidated | $ | $ | $ |
($ in millions) | |||||||||||||||||
Capital Expenditures | 2024 | 2023 | 2022 | ||||||||||||||
Proprietary Products | $ | $ | $ | ||||||||||||||
Contract-Manufactured Products | |||||||||||||||||
Corporate and Unallocated | |||||||||||||||||
Total consolidated | $ | $ | $ |
Plan Category | Number of Securities to be Issued Upon Exercise of Outstanding Options, Warrants and Rights (a) | Weighted-Average Exercise Price of Outstanding Options, Warrants and Rights (b) | Number of Securities Remaining Available for Future Issuance Under Equity Compensation Plans (Excluding Securities Reflected in Columns (a)) (c) | |||||||||||||||||
Equity compensation plans approved by security holders | 1,493,423 | (1) | $ | 176.37 | (2) | 5,023,907 | (3) | |||||||||||||
Equity compensation plans not approved by security holders | — | — | — | |||||||||||||||||
Total | 1,493,423 | $ | 176.37 | 5,023,907 |
($ in millions) | Balance at beginning of period | Charged to costs and expenses | Deductions (1) | Balance at end of period | ||||||||||
For the year ended December 31, 2024 | ||||||||||||||
Allowances deducted from assets: | ||||||||||||||
Deferred tax asset valuation allowance | $ | $ | $ | ( | $ | |||||||||
Allowance for credit losses | ( | |||||||||||||
Total allowances deducted from assets | $ | $ | $ | ( | $ | |||||||||
For the year ended December 31, 2023 | ||||||||||||||
Allowances deducted from assets: | ||||||||||||||
Deferred tax asset valuation allowance | $ | $ | $ | $ | ||||||||||
Allowance for credit losses | ( | |||||||||||||
Total allowances deducted from assets | $ | $ | $ | ( | $ | |||||||||
For the year ended December 31, 2022 | ||||||||||||||
Allowances deducted from assets: | ||||||||||||||
Deferred tax asset valuation allowance | $ | $ | $ | $ | ||||||||||
Allowance for credit losses | ( | |||||||||||||
Total allowances deducted from assets | $ | $ | $ | ( | $ | |||||||||
Exhibit Number | Description | ||||
3.1 | |||||
3.2 | |||||
4.1 | |||||
4.2 | |||||
4.3 | |||||
4.4 | |||||
4.5 (1) | Instruments defining the rights of holders of long-term debt securities of West and its subsidiaries constituting less than 10% of West's total assets have been omitted. | ||||
10.1 | |||||
10.2 | |||||
10.3 | |||||
10.4 | |||||
10.5 | |||||
10.6 (2) | |||||
10.7 (2) | |||||
10.8 (2) | |||||
10.9 (2) |
10.10(2) | |||||
10.11 (2) | |||||
10.12 (2) | |||||
10.13 (2) | |||||
10.14 (2) | |||||
10.15 (2) | |||||
10.16 (2) | |||||
10.17 (2) | |||||
10.18 (2) | |||||
10.19 (2) | |||||
10.20 (2) | |||||
10.21 (2) | |||||
10.22 (2) | |||||
10.23 (2) | |||||
10.24 (2) | |||||
10.25 (2) | |||||
10.26 (2) | |||||
10.27 (2) | |||||
10.28 | |||||
10.29 (2) |
10.30 (3) | |||||
10.31 (3) | |||||
10.32 (3) | |||||
10.33 (3) | |||||
10.34 (3) | |||||
10.35 (3) | |||||
10.36 (4) | |||||
10.37 (4) | |||||
10.38 (4) | |||||
10.39 | |||||
19 | |||||
21 | |||||
23 | |||||
31.1 | |||||
31.2 | |||||
32.1* | |||||
32.2* | |||||
97 | |||||
101.INS | The instance document does not appear in the interactive data file because its XBRL tags are embedded within the inline XBRL document. | ||||
101.SCH | Inline XBRL Taxonomy Extension Schema Document | ||||
101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document | ||||
101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document | ||||
101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document |
101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document | ||||
104* | Inline XBRL for the cover page of this Annual Report on Form 10-K, included in the Exhibit 101 Inline XBRL Document Set. |
Signature | Title | Date | ||||||
/s/ Eric M. Green | President, Chief Executive Officer and Chair of the Board | February 18, 2025 | ||||||
Eric M. Green | (Principal Executive Officer) | |||||||
/s/ Bernard J. Birkett | Senior Vice President, Chief Financial Officer | February 18, 2025 | ||||||
Bernard J. Birkett | (Principal Financial Officer) | |||||||
/s/ Chad R. Winters | Vice President, Finance & Chief Accounting Officer | February 18, 2025 | ||||||
Chad R. Winters | (Principal Accounting Officer) | |||||||
/s/ Mark A. Buthman | Director | February 18, 2025 | ||||||
Mark A. Buthman | ||||||||
/s/ William F. Feehery, Ph.D. | Director | February 18, 2025 | ||||||
William F. Feehery, Ph.D. | ||||||||
/s/ Robert F. Friel | Director | February 18, 2025 | ||||||
Robert F. Friel | ||||||||
/s/ Janet Haugen | Director | February 18, 2025 | ||||||
Janet Haugen | ||||||||
/s/ Thomas W. Hofmann | Director | February 18, 2025 | ||||||
Thomas W. Hofmann | ||||||||
/s/ Molly E. Joseph | Director | February 18, 2025 | ||||||
Molly E. Joseph | ||||||||
/s/ Deborah L.V. Keller | Director | February 18, 2025 | ||||||
Deborah L.V. Keller | ||||||||
/s/ Myla P. Lai-Goldman, M.D. | Director | February 18, 2025 | ||||||
Myla P. Lai-Goldman, M.D. | ||||||||
/s/ Stephen Lockhart, Ph.D. | Director | February 18, 2025 | ||||||
Stephen Lockhart, Ph.D. | ||||||||
/s/ Douglas A. Michels | Director | February 18, 2025 | ||||||
Douglas A. Michels | ||||||||
/s/ Paolo Pucci | Director | February 18, 2025 | ||||||
Paolo Pucci |
APPENDIX A |
APPENDIX A |
APPENDIX A |
APPENDIX A |
APPENDIX A |
APPENDIX A |
State/ Country of Incorporation | Stock Ownership | ||||||||||
West Pharmaceutical Services, Inc. | Pennsylvania | Parent Co. | |||||||||
Tech Group Europe Limited | Ireland | 100.0 | |||||||||
Tech Group Grand Rapids, Inc. | Delaware | 100.0 | |||||||||
TGPR Holdings Limited | Ireland | 100.0 | |||||||||
West Services and Solutions, LLC | Delaware | 100.0 | |||||||||
West Contract Manufacturing, LLC | Delaware | 100.0 | |||||||||
West Pharma. Services IL, Ltd. | Israel | 100.0 | |||||||||
West Pharmaceutical Packaging (China) Company Ltd. | China | 100.0 | |||||||||
West Pharmaceutical Packaging India Private Limited | India | 100.0 | |||||||||
West Pharmaceutical Products Ireland, Ltd. | Ireland | 100.0 | |||||||||
West Pharmaceutical Services Argentina S.A. | Argentina | 100.0 | |||||||||
West Pharmaceutical Services Asia, Ltd. | Taiwan | 100.0 | |||||||||
West Pharmaceutical Services Australia Pty. Ltd. | Australia | 100.0 | |||||||||
West Pharmaceutical Services AZ, Inc. | Arizona | 100.0 | |||||||||
West Pharmaceutical Services Beograd d.o.o. | Serbia | 100.0 | |||||||||
West Pharmaceutical Services Brasil Ltda. | Brazil | 100.0 | |||||||||
West Pharmaceutical Services Colombia S.A.S. | Colombia | 100.0 | |||||||||
West Pharmaceutical Services Cornwall Limited | England | 100.0 | |||||||||
West Pharmaceutical Services Danmark ApS | Denmark | 100.0 | |||||||||
West Pharmaceutical Services Delaware Acquisition, Inc. | Delaware | 100.0 | |||||||||
West Pharmaceutical Services Deutschland GmbH & Co. KG | Germany | 100.0 | |||||||||
West Pharmaceutical Services European Holdings ApS | Denmark | 100.0 | |||||||||
West Pharmaceutical Services France S.A. | France | 100.0 | |||||||||
West Pharmaceutical Services Group Limited | England | 100.0 | |||||||||
West Pharmaceutical Services Hispania S.A. | Spain | 100.0 | |||||||||
West Pharmaceutical Services Holding II GmbH | Germany | 100.0 | |||||||||
West Pharmaceutical Services Holding Danmark ApS | Denmark | 100.0 | |||||||||
West Pharmaceutical Services Holding France SAS | France | 100.0 | |||||||||
West Pharmaceutical Services Holding GmbH | Germany | 100.0 | |||||||||
West Pharmaceutical Services Holding Ireland North, Ltd. | Ireland | 100.0 | |||||||||
West Pharmaceutical Services Holding Ireland South, Ltd. | Ireland | 100.0 | |||||||||
West Pharmaceutical Services Holding Japan, GK | Japan | 100.0 | |||||||||
West Pharmaceutical Services Holdings Ltd. | Israel | 100.0 | |||||||||
West Pharmaceutical Services Italia S.r.L. | Italy | 100.0 | |||||||||
West Pharmaceutical Services Korea, Ltd. | South Korea | 100.0 | |||||||||
West Pharmaceutical Services Lakewood, Inc. | Delaware | 100.0 | |||||||||
West Pharmaceutical Services of Delaware, Inc. | Delaware | 100.0 | |||||||||
West Pharmaceutical Services of Florida, Inc. | Florida | 100.0 | |||||||||
West Pharmaceutical Services Shanghai Medical Rubber Products Co., Ltd. | China | 100.0 | |||||||||
West Pharmaceutical Services Singapore Pte. Ltd. | Singapore | 100.0 | |||||||||
West Pharmaceutical Services Switzerland GmbH In Liquidation | Switzerland | 100.0 | |||||||||
West Pharmaceutical Services Venezuela C.A. | Venezuela | 100.0 | |||||||||
West Pharmaceutical Services Verwaltungs GmbH | Germany | 100.0 |
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end
Audit Information |
12 Months Ended |
---|---|
Dec. 31, 2024 | |
Audit Information [Abstract] | |
Auditor Name | PricewaterhouseCoopers LLP |
Auditor Location | Philadelphia, Pennsylvania |
Auditor Firm ID | 238 |
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Millions, $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Income Statement [Abstract] | |||
Net sales | $ 2,893.2 | $ 2,949.8 | $ 2,886.9 |
Cost of goods and services sold | 1,894.7 | 1,820.6 | 1,750.7 |
Gross profit | 998.5 | 1,129.2 | 1,136.2 |
Research and development | 69.1 | 68.4 | 58.5 |
Selling, general and administrative expenses | 338.5 | 353.4 | 316.9 |
Other expense (income) (Note 16) | 21.0 | 31.4 | 26.8 |
Operating profit | 569.9 | 676.0 | 734.0 |
Interest expense | 3.0 | 9.0 | 7.9 |
Interest income | (19.6) | (28.0) | (5.1) |
Other nonoperating expense (income) | 1.0 | (3.0) | 51.3 |
Income before income taxes and equity in net income of affiliated companies | 585.5 | 698.0 | 679.9 |
Income tax expense | 107.5 | 122.3 | 114.7 |
Equity in net income of affiliated companies | (14.7) | (17.7) | (20.7) |
Net income | $ 492.7 | $ 593.4 | $ 585.9 |
Net income per share: | |||
Basic (in dollars per share) | $ 6.75 | $ 7.98 | $ 7.87 |
Diluted (in dollars per share) | $ 6.69 | $ 7.88 | $ 7.73 |
Weighted average shares outstanding: | |||
Basic (in shares) | 73.0 | 74.3 | 74.4 |
Diluted (in shares) | 73.7 | 75.3 | 75.8 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 492.7 | $ 593.4 | $ 585.9 |
Other comprehensive (loss) income, net of tax: | |||
Foreign currency translation adjustments, net of tax of $3.6, $1.0, and $2.2 | (112.3) | 39.4 | (47.3) |
Net actuarial gain (loss) arising during period, net of tax of $0.3, $0.4, and $(2.4) | 1.1 | 0.8 | (9.3) |
Settlement effects arising during period, net of tax of $0.0, $0.0, and $20.3 | 0.0 | 0.1 | 31.9 |
Less: amortization of actuarial (gain) loss, net of tax of $(0.2), $(0.4), and $(0.1) | (0.8) | (1.3) | (0.5) |
Less: amortization of other, net of tax of $0.0, $(0.1), and $0.1 | 0.0 | (0.3) | 0.3 |
Net gain (loss) on equity affiliate accumulated other comprehensive income, net of tax of $0.0, $0.0, and $0.0 | 0.2 | 0.7 | 0.1 |
Net (loss) gain on derivatives, net of tax of $(0.9), $0.0, and $0.2 | (2.5) | (0.2) | 1.4 |
Other comprehensive (loss) income, net of tax | (114.3) | 39.2 | (23.4) |
Comprehensive income | $ 378.4 | $ 632.6 | $ 562.5 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Statement of Comprehensive Income [Abstract] | |||
Foreign currency translation adjustments, tax | $ 3.6 | $ 1.0 | $ 2.2 |
Net actuarial gain (loss) arising during period, tax | 0.3 | 0.4 | (2.4) |
Settlement effects arising during period, tax | 0.0 | 0.0 | 20.3 |
Amortization of actuarial (gain) loss, tax | (0.2) | (0.4) | (0.1) |
Amortization of other, tax | 0.0 | (0.1) | 0.1 |
Net gain (loss) on equity affiliate accumulated other comprehensive income, tax | 0.0 | 0.0 | 0.0 |
Net (loss) gain on derivatives, tax | $ (0.9) | $ 0.0 | $ 0.2 |
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Current assets: | ||
Cash and cash equivalents | $ 484.6 | $ 853.9 |
Accounts receivable, net | 552.5 | 512.0 |
Inventories | 377.0 | 434.7 |
Other current assets | 124.0 | 135.8 |
Total current assets | 1,538.1 | 1,936.4 |
Property, plant and equipment | 2,985.8 | 2,738.0 |
Less: accumulated depreciation and amortization | 1,404.2 | 1,324.7 |
Property, plant and equipment, net | 1,581.6 | 1,413.3 |
Operating lease right-of-use assets | 104.5 | 99.2 |
Investments in affiliated companies | 202.1 | 210.0 |
Goodwill | 106.0 | 108.5 |
Intangible assets, net | 10.8 | 15.1 |
Deferred income taxes | 26.0 | 25.7 |
Other noncurrent assets | 74.3 | 21.3 |
Total Assets | 3,643.4 | 3,829.5 |
Current liabilities: | ||
Notes payable and other current debt | 0.0 | 134.0 |
Accounts payable | 239.3 | 242.4 |
Accrued salaries, wages and benefits | 73.5 | 105.9 |
Income taxes payable | 31.5 | 16.6 |
Operating lease liabilities | 17.9 | 17.7 |
Other current liabilities | 188.2 | 155.2 |
Total current liabilities | 550.4 | 671.8 |
Long-term debt | 202.6 | 72.8 |
Deferred income taxes | 20.5 | 12.7 |
Pension and other postretirement benefits | 28.2 | 29.6 |
Operating lease liabilities | 81.8 | 84.5 |
Deferred compensation benefits | 15.4 | 18.6 |
Other long-term liabilities | 62.2 | 58.5 |
Total Liabilities | 961.1 | 948.5 |
Commitments and contingencies (Note 18) | ||
Equity: | ||
Preferred stock, 3.0 million shares authorized; 0.0 shares issued and outstanding in 2024 and 2023 | 0.0 | 0.0 |
Common stock, par value $0.25 per share; 200 million shares authorized; shares issued: 75.3 million in 2024 and 2023; shares outstanding: 72.3 million and 73.5 million in 2024 and 2023 | 18.8 | 18.8 |
Capital in excess of par value | 22.1 | 120.2 |
Retained earnings | 3,956.6 | 3,523.4 |
Accumulated other comprehensive loss | (258.1) | (143.8) |
Treasury stock, at cost (3.0 million and 1.8 million shares in 2024 and 2023) | (1,057.1) | (637.6) |
Total Equity | 2,682.3 | 2,881.0 |
Total Liabilities and Equity | $ 3,643.4 | $ 3,829.5 |
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares shares in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Statement of Financial Position [Abstract] | ||
Preferred stock, shares authorized (in shares) | 3.0 | 3.0 |
Preferred stock, shares issued (in shares) | 0.0 | 0.0 |
Preferred stock, shares outstanding (in shares) | 0.0 | 0.0 |
Common stock, par value (in dollars per share) | $ 0.25 | $ 0.25 |
Common stock, shares authorized (in shares) | 200.0 | 200.0 |
Common stock, shares issued (in shares) | 75.3 | 75.3 |
Common stock, shares outstanding (in shares) | 72.3 | 73.5 |
Treasury stock, at cost (in shares) | 3.0 | 1.8 |
CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Millions |
Total |
Common stock |
Capital in excess of par value |
Treasury stock |
Retained earnings |
Accumulated other comprehensive loss |
---|---|---|---|---|---|---|
Beginning balance (in shares) at Dec. 31, 2021 | 75,300,000 | |||||
Beginning balance at Dec. 31, 2021 | $ 2,335.4 | $ 18.8 | $ 249.0 | $ (229.5) | $ 2,456.7 | $ (159.6) |
Beginning balance (in shares) at Dec. 31, 2021 | 1,100,000 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 585.9 | 585.9 | ||||
Activity related to stock-based compensation | 44.6 | (16.8) | $ 61.4 | |||
Activity related to stock-based compensation (in shares) | (500,000) | |||||
Shares purchased under share repurchase program (in shares) | 600,000 | |||||
Shares purchased under share repurchase program | (202.8) | $ (202.8) | ||||
Dividends declared | (54.8) | (54.8) | ||||
Other comprehensive income (loss), net of tax | (23.4) | (23.4) | ||||
Ending balance (in shares) at Dec. 31, 2022 | 75,300,000 | |||||
Ending balance at Dec. 31, 2022 | 2,684.9 | $ 18.8 | 232.2 | $ (370.9) | 2,987.8 | (183.0) |
Ending balance (in shares) at Dec. 31, 2022 | 1,200,000 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 593.4 | 593.4 | ||||
Activity related to stock-based compensation | $ 59.6 | (112.0) | $ 171.6 | |||
Activity related to stock-based compensation (in shares) | (700,000) | |||||
Shares purchased under share repurchase program (in shares) | 1,265,661 | 1,300,000 | ||||
Shares purchased under share repurchase program | $ (438.3) | $ (438.3) | ||||
Dividends declared | (57.8) | (57.8) | ||||
Other comprehensive income (loss), net of tax | $ 39.2 | 39.2 | ||||
Ending balance (in shares) at Dec. 31, 2023 | 75,300,000 | 75,300,000 | ||||
Ending balance at Dec. 31, 2023 | $ 2,881.0 | $ 18.8 | 120.2 | $ (637.6) | 3,523.4 | (143.8) |
Ending balance (in shares) at Dec. 31, 2023 | 1,800,000 | 1,800,000 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | $ 492.7 | 492.7 | ||||
Activity related to stock-based compensation | $ 43.3 | (98.1) | $ 141.4 | |||
Activity related to stock-based compensation (in shares) | (400,000) | |||||
Shares purchased under share repurchase program (in shares) | 1,583,032 | 1,600,000 | ||||
Shares purchased under share repurchase program | $ (560.9) | $ (560.9) | ||||
Dividends declared | (59.5) | (59.5) | ||||
Other comprehensive income (loss), net of tax | $ (114.3) | (114.3) | ||||
Ending balance (in shares) at Dec. 31, 2024 | 75,300,000 | 75,300,000 | ||||
Ending balance at Dec. 31, 2024 | $ 2,682.3 | $ 18.8 | $ 22.1 | $ (1,057.1) | $ 3,956.6 | $ (258.1) |
Ending balance (in shares) at Dec. 31, 2024 | 3,000,000.0 | 3,000,000.0 |
CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) - $ / shares |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Statement of Stockholders' Equity [Abstract] | |||
Dividends declared per share (in dollars per share) | $ 0.82 | $ 0.78 | $ 0.74 |
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Cash flows from operating activities: | |||
Net income | $ 492.7 | $ 593.4 | $ 585.9 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation | 151.8 | 133.7 | 116.9 |
Amortization | 3.6 | 3.6 | 3.7 |
Stock-based compensation | 18.7 | 23.3 | 23.7 |
Non-cash restructuring charges | 0.0 | 0.0 | 15.3 |
Pension settlement charges | 0.0 | 0.1 | 52.2 |
Loss on disposal of plant | 0.0 | 11.6 | 0.0 |
Asset impairments | 7.3 | 9.6 | 6.2 |
Deferred income taxes | (3.5) | 37.5 | (30.8) |
Pension and other retirement plans, net | (2.0) | (2.6) | (14.0) |
Equity in undistributed earnings of affiliates, net of dividends | (13.4) | (14.3) | (18.1) |
Other, net | (4.7) | 1.0 | (2.0) |
Changes in assets and liabilities: | |||
(Increase) decrease in accounts receivable | (58.8) | 4.0 | (35.6) |
Decrease (increase) in inventories | 42.0 | (13.5) | (49.8) |
(Increase) decrease in other current assets | (5.8) | (21.3) | 18.5 |
Increase (decrease) in accounts payable | 2.9 | 4.4 | (2.8) |
Changes in other assets and liabilities | 22.6 | 6.0 | 54.7 |
Net cash provided by operating activities | 653.4 | 776.5 | 724.0 |
Cash flows from investing activities: | |||
Capital expenditures | (377.0) | (362.0) | (284.6) |
Other, net | (1.7) | (6.7) | (3.6) |
Net cash used in investing activities | (378.7) | (368.7) | (288.2) |
Cash flows from financing activities: | |||
Borrowings of long-term debt | 164.7 | 0.0 | 0.0 |
Repayments of long-term debt | (169.0) | (2.3) | (44.3) |
Debt issuance cost | 0.0 | 0.0 | (1.2) |
Principal repayments on finance leases | (23.3) | (0.1) | 0.0 |
Dividend payments | (59.1) | (57.0) | (54.1) |
Excise tax payments | (2.0) | 0.0 | 0.0 |
Proceeds from stock-based compensation awards | 25.5 | 43.9 | 20.9 |
Employee stock purchase plan contributions | 7.2 | 7.1 | 7.3 |
Shares purchased under share repurchase programs | (560.9) | (438.3) | (202.8) |
Shares repurchased for employee tax withholdings | (5.7) | (12.9) | (19.4) |
Net cash used in financing activities | (622.6) | (459.6) | (293.6) |
Effect of exchange rates on cash | (21.4) | 11.4 | (10.5) |
Net (decrease) increase in cash and cash equivalents | (369.3) | (40.4) | 131.7 |
Cash, including cash equivalents at beginning of period | 853.9 | 894.3 | 762.6 |
Cash, including cash equivalents at end of period | 484.6 | 853.9 | 894.3 |
Supplemental cash flow information: | |||
Interest paid, net of amounts capitalized | 0.5 | 6.0 | 6.6 |
Income taxes paid, net | 71.4 | 90.8 | 109.7 |
Accrued capital expenditures | 53.0 | 53.3 | 33.2 |
Dividends declared, not paid | $ 15.2 | $ 14.8 | $ 14.1 |
Basis of Presentation and Summary of Significant Accounting Policies |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Basis of Presentation and Summary of Significant Accounting Policies | Basis of Presentation and Summary of Significant Accounting Policies Principles of Consolidation: The consolidated financial statements include the accounts of West Pharmaceutical Services, Inc. ("West") after the elimination of intercompany transactions. We have no participation or other rights in variable interest entities. Use of Estimates: The financial statements are prepared in conformity with U.S. GAAP. These principles require management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and the disclosure of contingencies in the financial statements. Actual amounts realized may differ from these estimates. Cash and Cash Equivalents: Cash equivalents include money market funds, time deposits and all highly liquid short-term instruments with maturities of three months or less at the time of purchase. Accounts Receivable: Our accounts receivable balance was net of an allowance for credit losses of $0.8 million at both December 31, 2024 and 2023. Under the current expected credit loss model, we utilize a provision matrix approach, utilizing historical loss rates based on the number of days past due, adjusted to reflect current economic conditions and forecasts of future economic conditions. Inventories: Inventories are valued at the lower of cost (on a first-in, first-out basis) or net realizable value. The Company provides for cost adjustments for excess, obsolete or slow-moving inventory based on changes in customer demand, technology developments or other economic factors. The following is a summary of inventories at December 31:
Property, Plant and Equipment: Property, plant and equipment assets are carried at cost. Maintenance and minor repairs and renewals are charged to expense as incurred. Costs incurred for computer software developed or obtained for internal use are capitalized for application development activities and immediately expensed for preliminary project activities or post-implementation activities. Upon sale or retirement of depreciable assets, costs and related accumulated depreciation are eliminated, and gains or losses are recognized in other expense (income). Depreciation and amortization are computed principally using the straight-line method over the estimated useful lives of the assets, or the remaining term of the lease, if shorter. Leases: Lease right-of-use assets are initially measured at cost, which comprises the initial amount of the lease liability adjusted for lease payments made at or before the lease commencement date, plus any initial direct costs incurred less any lease incentives received. Lease right-of-use assets are subsequently measured throughout the lease term at the carrying amount of the lease liability, plus initial direct costs, plus (minus) any prepaid (accrued) lease payments, less the unamortized balance of lease incentives received. Lease expense for operating leases is recognized on a straight-line basis over the lease term. Conversely, lease expense for finance leases is a front loaded expense recognition pattern over the lease term. Lease liabilities are initially measured at the present value of the unpaid lease payments at the lease commencement date. Please refer to Note 6, Leases, for additional information. Impairment of Long-Lived Assets: Long-lived assets, including property, plant and equipment, operating lease right-of-use assets and finance lease right-of-use assets, are tested for impairment whenever circumstances indicate that the carrying value of these assets may not be recoverable. An asset is considered impaired if the carrying value of the asset exceeds the sum of the future expected undiscounted cash flows to be derived from the asset. Once an asset is considered impaired, an impairment loss is recorded within other expense (income) for the difference between the asset’s carrying value and its fair value. For assets held and used in the business, management determines fair value using estimated future cash flows to be derived from the asset, discounted to a net present value using an appropriate discount rate. For assets held for sale or for investment purposes, management determines fair value by estimating the proceeds to be received upon sale of the asset, less disposition costs. Impairment of Goodwill and Other Intangible Assets: Goodwill is tested for impairment at least annually, following the completion of our annual budget and long-range planning process, or whenever circumstances indicate that the carrying value of these assets may not be recoverable. Goodwill is tested for impairment at the reporting unit level, which is the same as, or one level below, our operating segments. A goodwill impairment charge represents the amount by which a reporting unit’s carrying amount exceeds its fair value, not to exceed the total amount of goodwill allocated to that reporting unit. Accounting guidance also allows entities to first assess qualitative factors, including macroeconomic conditions, industry and market considerations, cost factors, and overall financial performance, to determine whether it is necessary to perform the quantitative goodwill impairment test. If, based upon our assessment, we determined that it was not more likely than not that the fair value of each of our reporting units was less than its carrying amount, then it would not be necessary to perform the quantitative goodwill impairment test. We elected to follow this guidance for our annual impairment test. Based upon our assessment, we determined that it was not more likely than not that the fair value of each of our reporting units was less than its carrying amount and determined that it was not necessary to perform the quantitative goodwill impairment test in the current year. Valuing identifiable intangible assets requires judgment. For example, for recent identifiable customer relationship intangible asset acquisitions, we applied an excess earnings model, which is a form of the income approach. This approach includes projecting revenues and expenses attributable to the existing customers over the remaining economic life of the customer relationships and then subtracting the required return on net tangible assets and any intangible assets used in the business to estimate any residual excess earnings attributable to the customer relationships. The after-tax excess earnings are then discounted to present value using the respective discount rates. Intangible assets with finite lives are amortized using the straight-line method over their estimated useful lives of 3 to 25 years and reviewed for impairment whenever circumstances indicate that the carrying value of these assets may not be recoverable. Factors that could trigger an impairment review include the following: 1) significant under-performance relative to historical or projected future operating results; 2) significant changes in the manner or use of the acquired assets or the strategy of the overall business; 3) significant negative industry or economic trends; and 4) recognition of goodwill impairment charges. If we determine that the carrying value of identifiable intangibles assets may not be recoverable based on the existence of one or more of the above indicators of impairment, we measure recoverability of assets by comparing the respective carrying value of the assets to the current and expected future cash flows, on an undiscounted basis, to be generated from such assets. If such analysis indicates that the carrying value of these assets is not recoverable, we measure an impairment based on the amount in which the net carrying amount of the assets exceeds the fair values of the assets. Employee Benefits: The measurement of the obligations under our defined benefit pension and postretirement medical plans are subject to a number of assumptions. These include the rate of return on plan assets (for funded plans) and the rate at which the future obligations are discounted to present value. For our funded plans, we consider the current and expected asset allocations of our plan assets, as well as historical and expected rates of return, in estimating the long-term rate of return on plan assets. U.S. GAAP requires the recognition of an asset or liability for the funded status of a defined benefit postretirement plan, as measured by the difference between the fair value of plan assets, if any, and the benefit obligation. For a pension plan, the benefit obligation is the projected benefit obligation; for any other postretirement plan, such as a retiree health plan, the benefit obligation is the accumulated postretirement benefit obligation. Please refer to Note 15, Benefit Plans, for a more detailed discussion of our pension and other retirement plans. Financial Instruments: All derivatives are recognized as either assets or liabilities in the balance sheet and recorded at their fair value. For a derivative designated as a hedge of the exposure to variable cash flows of a forecasted transaction (referred to as a cash flow hedge), the effective portion of the derivative’s gain or loss is initially reported as a component of other comprehensive income (“OCI”), net of tax, and subsequently reclassified into earnings when the forecasted transaction affects earnings. For a derivative designated as a hedge of the exposure to changes in the fair value of a recognized asset or liability or a firm commitment (referred to as a fair value hedge), the derivative’s gain or loss is recognized in earnings in the period of change together with the offsetting loss or gain on the hedged item. For a derivative designated as a hedge of the foreign currency exposure of a net investment in a foreign operation, the gain or loss is reported in OCI, net of tax, as part of the cumulative translation adjustment. The ineffective portion of any derivative used in a hedging transaction is recognized immediately into earnings. Derivative financial instruments that are not designated as hedges are also recorded at fair value, with the change in fair value recognized immediately into earnings. We do not purchase or hold any derivative financial instrument for investment or trading purposes. Foreign Currency Translation: Foreign currency transaction gains and losses are recognized in the determination of net income. Foreign currency translation adjustments of subsidiaries and affiliates operating outside of the U.S. are accumulated in other comprehensive loss, a separate component of equity. Revenue Recognition: Our revenue results from the sale of goods or services and reflects the consideration to which we expect to be entitled in exchange for those goods or services. We record revenue based on a five-step model, in accordance with Accounting Standards Codification (“ASC”) 606. Following the identification of a contract with a customer, we identify the performance obligations (goods or services) in the contract, determine the transaction price, allocate the transaction price to the performance obligations in the contract, and recognize the revenue when (or as) we satisfy the performance obligations by transferring the promised goods or services to our customers. A good or service is transferred when (or as) the customer obtains control of that good or service. We have elected to disregard the effects of a significant financing component, as we expect, at the inception of our contracts, that the period between when we transfer a promised good or service to the customer and when the customer pays for that good or service will be one year or less. In addition, we have elected to omit the disclosure of the majority of our remaining performance obligations, which are satisfied within one year or less. Please refer to Note 3, Revenue, for additional information. Shipping and Handling Costs: Shipping and handling costs are included in cost of goods and services sold. Shipping and handling costs billed to customers in connection with the sale are included in net sales. Research and Development: Research and development expenditures are for the creation, engineering and application of new or improved products and processes. Expenditures include salaries and outside services for those directly involved in research and development activities and are primarily expensed as incurred. Litigation: From time to time, we are involved in legal proceedings, investigations and claims generally incidental to our normal business activities. In accordance with U.S. GAAP, we accrue for loss contingencies when it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. These estimates are based on an analysis made by internal and external legal counsel considering information known at the time. Legal costs in connection with loss contingencies are expensed as incurred. Income Taxes: Deferred income taxes are recognized by applying enacted statutory tax rates to tax loss carryforwards and temporary differences between the tax basis and financial statement carrying values of our assets and liabilities. The enacted statutory tax rate applied is based on the rate expected to be applicable at the time of the forecasted utilization of the loss carryforward or reversal of the temporary difference. Valuation allowances on deferred tax assets are established when it is more likely than not that all or a portion of a deferred tax asset will not be realized. The realizability of deferred tax assets is subject to our estimates of future taxable income, generally at the respective subsidiary company and the country level. Please refer to Note 17, Income Taxes, for additional information. We recognize interest costs related to income taxes in interest expense and penalties within other expense (income). The tax law ordering approach is used for purposes of determining whether an excess tax benefit has been realized during the year. Stock-Based Compensation: Under the fair value provisions of U.S. GAAP, stock-based compensation cost is measured at the grant date based on the value of the award and is recognized as expense over the vesting period. In order to determine the fair value of stock options on the grant date, we use the Black-Scholes valuation model. Please refer to Note 14, Stock-Based Compensation, for a more detailed discussion of our stock-based compensation plans. Net Income Per Share: Basic net income per share is computed by dividing net income attributable to common shareholders by the weighted average number of shares of common stock outstanding during each period. Net income per share assuming dilution considers the dilutive effect of outstanding stock options and other stock awards based on the treasury stock method. The treasury stock method assumes the use of exercise proceeds to repurchase common stock at the average fair market value in the period.
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New Accounting Standards |
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Dec. 31, 2024 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
New Accounting Standards | New Accounting Standards Recently Adopted Standards In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update (“ASU") No. 2023-07, Segment Reporting, which expands annual and interim disclosure requirements for reportable segments, primarily through enhanced disclosures about significant segment expenses and enhancement of interim disclosure requirements. This guidance is effective for fiscal years beginning after December 15, 2023 and interim periods beginning after December 15, 2024. The Company has adopted and implemented the applicable disclosure requirements within this annual report. Standards Issued Not Yet Adopted In December 2023, the FASB issued guidance that seeks to enhance income tax disclosures to provide information to better assess how an entity's operations and related tax risks affect its tax rate and prospects for future cash flows. Within the income tax rate reconciliation, the amendment requires disclosure of additional categories and greater detail about individual reconciling items over a specified threshold. It also requires information pertaining to taxes paid to be disaggregated for federal, state, and foreign taxes and further disaggregated for specific jurisdictions over a specified threshold. This guidance is effective for fiscal years beginning after December 15, 2024. We are currently evaluating the impact of this guidance on our financial statements and disclosures, but we do not expect the adoption to have a material impact on the consolidated financial statements other than the expanded footnote disclosure. In November 2024, the FASB issued guidance that seeks to improve the disclosures about a public business entity’s expenses and address requests from investors for more detailed information about the types of expenses (including purchases of inventory, employee compensation, depreciation, amortization, and depletion) in commonly presented expense captions. The amendments require that at each interim and annual reporting period an entity: (1) disclose the amounts of purchases of inventory, employee compensation, depreciation, and intangible asset amortization included in each of the Company's relevant expense captions; (2) include certain amounts that are already required to be disclosed under current GAAP in the same disclosure as the other disaggregation requirements; (3) disclose a qualitative description of the amounts remaining in relevant expense captions that are not separately disaggregated quantitatively; and (4) disclose the total amount of selling expenses and, in annual reporting periods, an entity’s definition of selling expenses. This guidance is effective for fiscal years beginning after December 15, 2026. The Company is currently evaluating the impact of this guidance on our financial statements and disclosures.
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Revenue |
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Revenue | Revenue Revenue Recognition We recognize the majority of our revenue, primarily relating to Proprietary Products product sales, at a point in time, following the transfer of control of our products to our customers, which typically occurs upon shipment or delivery, depending on the terms of the related agreements. We recognize revenue relating to our Contract-Manufactured Products product sales and certain Proprietary Products product sales over time, as our performance does not create an asset with an alternative use to us and we have an enforceable right to payment for performance completed to date. We recognize revenue relating to our development and tooling agreements over time, as our performance creates or enhances an asset that the customer controls as the asset is created or enhanced. For revenue recognized over time, revenue is recognized by applying a method of measuring progress toward complete satisfaction of the related performance obligation. When selecting the method for measuring progress, we select the method that best depicts the transfer of control of goods or services promised to our customers. Revenue for our Contract-Manufactured Products product sales, certain Proprietary Products product sales, and our development and tooling agreements is recorded under an input method, which recognizes revenue on the basis of our efforts or inputs to the satisfaction of a performance obligation (for example, resources consumed, labor hours expended, costs incurred, time elapsed, or machine hours used) relative to the total expected inputs to the satisfaction of that performance obligation. The input method that we use is based on costs incurred. The majority of the performance obligations within our contracts are satisfied within one year or less. Performance obligations satisfied beyond one year are not material as of December 31, 2024. Our revenue can be generated from contracts with multiple performance obligations. When a sales agreement involves multiple performance obligations, each obligation is separately identified and the transaction price is allocated based on the amount of consideration we expect to be entitled in exchange for transferring the promised good or service to the customer. Some customers receive pricing rebates upon attaining established sales volumes. We record rebate costs when sales occur based on our assessment of the likelihood that the required volumes will be attained. We also maintain an allowance for product returns, as we believe that we are able to reasonably estimate the amount of returns based on our substantial historical experience and specific identification of customer claims. The following table presents the approximate percentage of our net sales by market group:
The following table presents the approximate percentage of our net sales by product category:
Due to the Company's reassessment of product categories, beginning in the second quarter of 2023, certain product types have been moved from High-Value Product Components to High-Value Product Delivery Devices. No adjustments were made to the product categorization prior to the second quarter of 2023. The following table presents the approximate percentage of our net sales by geographic location:
Contract Assets and Liabilities Contract assets and liabilities result from transactions with revenue primarily recorded over time. If the measure of remaining rights exceeds the measure of the remaining performance obligations, we record a contract asset. Contract assets are recorded on the consolidated balance sheet in accounts receivable, net, and other assets (current and noncurrent portions, respectively). Contract assets included in accounts receivable, net, relate to the unbilled amounts of our product sales for which we have recognized revenue over time. Contract assets included in other assets represent the remaining performance obligations of our development and tooling agreements. Conversely, if the measure of the remaining performance obligations exceeds the measure of the remaining rights, we record a contract liability. Contract liabilities are recorded on the consolidated balance sheet within other liabilities (current and noncurrent portions, respectively) and represent cash payments received in advance of our performance. The following table summarizes our contract assets and liabilities, excluding amounts included in accounts receivable, net:
Contract assets are included within other current assets and deferred income is included within other current liabilities and other long-term liabilities. The decrease in deferred income during 2024 was primarily due to the recognition of current year revenue of $94.8 million and the recognition of $37.7 million of revenue that was included in deferred income at the beginning of the year, offset by additional cash payments of $132.8 million received in advance of satisfying future performance obligations.
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Net Income Per Share |
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Net Income Per Share | Net Income Per Share The following table reconciles the shares used in the calculation of basic net income per share to those used for diluted net income per share:
During 2024, 2023 and 2022, there were 0.3 million, 0.2 million and 0.2 million shares, respectively, from stock-based compensation plans not included in the computation of diluted net income per share because their impact was antidilutive. In February 2023, the Board of Directors approved a share repurchase program under which we may repurchase up to $1.0 billion in shares of common stock. The share repurchase program did not have an expiration date under which we may repurchase common stock on the open market or in privately-negotiated transactions. The number of shares to be repurchased and the timing of such transactions depended on a variety of factors, including market conditions. The below table summarizes share repurchases under this program during the years ended December 31:
In December 2024, the Board of Directors approved a share repurchase program authorizing the repurchase of up to 550,000 shares of our common stock on the open market or in privately-negotiated transactions. The number of shares to be repurchased and the timing of such transactions will depend on a variety of factors, including market conditions. This share repurchase program is expected to be completed by December 31, 2025.
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Property, Plant and Equipment |
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Property, Plant and Equipment | Property, Plant and Equipment A summary of gross property, plant and equipment at December 31 is presented in the following table:
Depreciation expense for the years ended December 31, 2024, 2023 and 2022 was $151.8 million, $133.7 million and $116.9 million, respectively. We capitalize interest on borrowings during the active construction period of major capital projects. Capitalized interest is added to the cost of the underlying assets and is amortized over the useful lives of the assets. Capitalized interest for the years ended December 31, 2024, 2023 and 2022 was $13.2 million, $5.8 million and $3.7 million, respectively.
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Leases |
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Leases | Leases As of December 31, 2024, we had leases primarily related to land, buildings, and machinery and equipment, with lease terms through 2269. Certain of our leases provide us with an option, exercisable at our sole discretion, to terminate the lease or extend the lease term for one year or more. At this time, the Company is not able to assert whether any of these options will be exercised. Judgments used in applying ASC 842 include determining: i) whether a contract is, or contains, a lease; ii) the discount rate to be used to discount the unpaid lease payments to present value; iii) the lease term; and iv) the lease payments. We determine if a contract is, or contains, a lease at contract inception. A lease exists when a contract conveys to the customer the right to control the use of identified property, plant, or equipment for a period of time in exchange for consideration. The definition of a lease embodies two conditions: 1) there is an identified asset in the contract that is land or a depreciable asset (i.e., property, plant, and equipment); and 2) the customer has the right to control the use of the identified asset. ASC 842 requires a lessee to discount its unpaid lease payments using the interest rate implicit in the lease or, if that rate cannot be readily determined, its incremental borrowing rate. As all of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Our incremental borrowing rate for a lease is the rate of interest we would have to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms. The lease term for all of our leases includes the noncancellable period of the lease plus any additional periods covered by either a lessee option to extend (or not to terminate) the lease that the lessee is reasonably certain to exercise, or an option to extend (or not to terminate) the lease controlled by the lessor. Lease payments included in the measurement of the lease right-of-use assets and lease liabilities are comprised of fixed payments (including in-substance fixed payments), variable payments that depend on an index or rate, and the exercise price of a lessee option to purchase the underlying asset if the lessee is reasonably certain to exercise. The components of lease expense were as follows:
As of December 31, 2023, finance leases were not material. The following table summarizes the finance lease amounts in the consolidated balance sheets as of December 31, 2024:
Supplemental information related to leases was as follows:
As of December 31, 2024 and December 31, 2023, the weighted average remaining lease term for operating leases was 8.3 years and 9.8 years. As of December 31, 2024, the weighted average remaining lease term for finance leases was 6.3 years. As of December 31, 2023, finance leases were not material. As of December 31, 2024 and December 31, 2023, the weighted average discount rate for operating leases was 3.99% and 3.55%, respectively. As of December 31, 2024, the weighted average discount rate for finance leases was 4.80%. As of December 31, 2023, finance leases were not material. Maturities of lease liabilities as of December 31, 2024 were as follows:
Practical Expedients and Exemptions We have elected to adopt practical expedients around the combination of lease and non-lease components and the portfolio approach relating to discount rates. These practical expedients were applied consistently to all leases. We have elected not to recognize lease right-of-use assets and lease liabilities for all short-term leases (leases with an initial lease term of 12 months or less). We recognize the lease payments associated with our short-term leases as an expense over the lease term.
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Leases | Leases As of December 31, 2024, we had leases primarily related to land, buildings, and machinery and equipment, with lease terms through 2269. Certain of our leases provide us with an option, exercisable at our sole discretion, to terminate the lease or extend the lease term for one year or more. At this time, the Company is not able to assert whether any of these options will be exercised. Judgments used in applying ASC 842 include determining: i) whether a contract is, or contains, a lease; ii) the discount rate to be used to discount the unpaid lease payments to present value; iii) the lease term; and iv) the lease payments. We determine if a contract is, or contains, a lease at contract inception. A lease exists when a contract conveys to the customer the right to control the use of identified property, plant, or equipment for a period of time in exchange for consideration. The definition of a lease embodies two conditions: 1) there is an identified asset in the contract that is land or a depreciable asset (i.e., property, plant, and equipment); and 2) the customer has the right to control the use of the identified asset. ASC 842 requires a lessee to discount its unpaid lease payments using the interest rate implicit in the lease or, if that rate cannot be readily determined, its incremental borrowing rate. As all of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Our incremental borrowing rate for a lease is the rate of interest we would have to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms. The lease term for all of our leases includes the noncancellable period of the lease plus any additional periods covered by either a lessee option to extend (or not to terminate) the lease that the lessee is reasonably certain to exercise, or an option to extend (or not to terminate) the lease controlled by the lessor. Lease payments included in the measurement of the lease right-of-use assets and lease liabilities are comprised of fixed payments (including in-substance fixed payments), variable payments that depend on an index or rate, and the exercise price of a lessee option to purchase the underlying asset if the lessee is reasonably certain to exercise. The components of lease expense were as follows:
As of December 31, 2023, finance leases were not material. The following table summarizes the finance lease amounts in the consolidated balance sheets as of December 31, 2024:
Supplemental information related to leases was as follows:
As of December 31, 2024 and December 31, 2023, the weighted average remaining lease term for operating leases was 8.3 years and 9.8 years. As of December 31, 2024, the weighted average remaining lease term for finance leases was 6.3 years. As of December 31, 2023, finance leases were not material. As of December 31, 2024 and December 31, 2023, the weighted average discount rate for operating leases was 3.99% and 3.55%, respectively. As of December 31, 2024, the weighted average discount rate for finance leases was 4.80%. As of December 31, 2023, finance leases were not material. Maturities of lease liabilities as of December 31, 2024 were as follows:
Practical Expedients and Exemptions We have elected to adopt practical expedients around the combination of lease and non-lease components and the portfolio approach relating to discount rates. These practical expedients were applied consistently to all leases. We have elected not to recognize lease right-of-use assets and lease liabilities for all short-term leases (leases with an initial lease term of 12 months or less). We recognize the lease payments associated with our short-term leases as an expense over the lease term.
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Affiliated Companies |
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Equity Method Investments and Joint Ventures [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Affiliated Companies | Affiliated Companies At December 31, 2024, the following affiliated companies were accounted for under the equity method:
The following table summarizes the aggregate carrying amounts of our investments in affiliated companies that are accounted for under the equity method and our investments in affiliated companies that are not accounted for under the equity method:
We have elected to record non-equity method investments, for which fair value was not readily determinable, at cost, less impairment, adjusted for subsequent observable price changes. We test these investments for impairment whenever circumstances indicate that the carrying value of the investments may not be recoverable. The following table summarizes the amounts due to and from affiliates in the condensed consolidated balance sheets:
The following table summarizes the Company's affiliate transactions:
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Goodwill and Intangible Assets |
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Goodwill and Intangible Assets | Goodwill and Intangible Assets The changes in the carrying amount of goodwill by reportable segment were as follows:
As of December 31, 2024, we had $0.1 million of accumulated goodwill impairment losses. Intangible assets and accumulated amortization as of December 31 were as follows:
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Other Current Liabilities |
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Other Current Liabilities | Other Current Liabilities Other current liabilities as of December 31 included the following:
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Debt |
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Debt | Debt The following table summarizes our long-term debt obligations, net of unamortized debt issuance costs and current maturities, at December 31. The interest rates shown in parentheses are as of the corresponding balance sheet date reflected in the table below.
Multi-Currency Revolving Credit Facility In March 2022, we amended and extended the existing multi-currency revolving credit facility (entered into in March 2019), which was scheduled to expire in March 2024, from $300.0 million to a $500.0 million senior unsecured revolving credit facility by entering into a Second Amendment and Joinder and Assumption Agreement (the "Amended Credit Agreement"). The Amended Credit Agreement, which expires March 2027, contains a senior unsecured, multi-currency revolving credit facility of $500.0 million, with sublimits of up to $50.0 million for swing line loans for Domestic Borrowers in U.S. dollars and a $40.0 million swing line loan for West Pharmaceuticals Services Holding GmbH and up to $50.0 million for the issuance of standby letters of credit. The multi-currency revolving credit facility may be increased from time-to-time by the greater of (a) $929.0 million or (b) EBITDA for the preceding twelve-month period in the aggregate through an increase in the multi-currency revolving credit facility, subject to the satisfaction of certain conditions. Borrowings under the credit facility bear interest, at the Company’s option, at either: (a) the Term Secured Overnight Financing Rate (“SOFR”) plus 0.10% plus an applicable margin; or (b) a base rate defined as the highest of: (i) the Bank of America “prime rate”; (ii) the Federal Funds effective rate plus 0.50%; and (iii) Term SOFR plus 1.00%. The applicable margin is based on the ratio of the Company’s Net Consolidated Debt to its modified EBITDA, ranging from 0 to 37.5 basis points for base rate loans and 87.5 to 137.5 basis points for Term SOFR loans. The Amended Credit Agreement contains financial covenants providing that the Company shall not permit the ratio of the Company’s Net Consolidated Debt to its Modified EBITDA to be greater than 3.5 to 1; provided that, no more than three times during the term of the Amended Credit Agreement, upon the occurrence of a Qualified Acquisition for each of the four fiscal quarters of the Company immediately following such Qualified Acquisition, the ratio set forth above shall be increased to 4.0 to 1. The Amended Credit Agreement also contains customary limitations on liens securing indebtedness of the Company and its subsidiaries, fundamental changes (mergers, consolidations, liquidations and dissolutions), asset sales, distributions and acquisitions. As of December 31, 2024 and 2023, total unamortized debt issuance costs of $1.0 million and $1.0 million, respectively, were recorded in other current assets and other noncurrent assets and are being amortized as additional interest expense over the term of the multi-currency revolving credit facility. At December 31, 2024, we had no outstanding borrowings under the multi-currency revolving credit facility. At December 31, 2024, the borrowing capacity available under the multi-currency revolving credit facility, including outstanding letters of credit of $2.4 million, was $497.6 million. Term Loan On July 2, 2024, the Company entered into the Third Amendment to the Credit Facility Agreement, which amended the Existing Credit Facility Agreement (entered into in December 2019). Among other changes to the existing credit agreement, the Third Amendment established an incremental term loan in the stated principal amount of $130.0 million (the “New Term Loan”), which was fully drawn at closing and matures on July 2, 2027. The entire stated principal amount of the New Term Loan is due at maturity and there is no scheduled amortization prior to such date. Together with cash on hand, proceeds from the New Term Loan were used to repay an outstanding term loan under the Existing Credit Facility Agreement in the principal amount of $79.9 million prior to its December 31, 2024 maturity date and to repay an aggregate principal amount of $53.0 million of the Company’s 3.82% Series B Senior Notes due July 5, 2024 issued under that certain Note Purchase Agreement dated as of July 5, 2012. Interest accrues on the New Term Loan based on a term secured overnight financing rate (“SOFR”) or a base rate, at the Company’s option, plus a margin ranging from 1.250% to 1.625% for SOFR interest rates and 0.250% to 0.625% for base rates according to the Company’s net leverage ratio as defined in the Amended Credit Agreement. Interest rates based on a term SOFR rate is also subject to a credit spread adjustment of 10 basis points. At closing, the Company elected for the New Term Loan to accrue interest at a 3-month term SOFR rate plus a margin of 1.250%. As of December 31, 2024, there were unamortized debt issuance costs remaining of $0.3 million which are being amortized as additional interest expense over the term of the New Term Loan. As of December 31, 2023, there were unamortized debt issuance costs remaining of $0.1 million, which were amortized as additional interest expense over the term of the Term Loan (entered into in December 2019). At December 31, 2024, we had $130.0 million in borrowings under the New Term Loan which were classified as long-term. Please refer to Note 11, Derivative Financial Instruments, for a discussion of the foreign currency hedge associated with the Term Loan. Private Placement In 2012, we concluded a private placement issuance of $168.0 million in senior unsecured notes. The total amount of the private placement issuance was divided into three tranches - $42.0 million 3.67% Series A Notes due July 5, 2022, $53.0 million 3.82% Series B Notes due July 5, 2024, and $73.0 million 4.02% Series C Notes due July 5, 2027 (the “Notes”). The Notes rank pari passu with our other senior unsecured debt. The weighted average of the coupon interest rates on the Notes outstanding as of December 31, 2024 is 3.94%. As of December 31, 2024 and 2023, there were unamortized debt issuance costs remaining of $0.1 million and $0.1 million, respectively, which are being amortized as additional interest expense over the term of the Notes. Covenants Pursuant to the financial covenants in our debt agreements, we are required to maintain established interest coverage ratios and to not exceed established leverage ratios. In addition, the agreements contain other customary covenants, none of which we consider restrictive to our operations. At December 31, 2024, we were in compliance with all of our debt covenants. Interest costs incurred during 2024, 2023 and 2022 were $16.2 million, $14.8 million and $11.6 million, respectively. The aggregate annual maturities of long-term debt, excluding unamortized debt issuance costs, are as follows: $0.0 million in 2025 and 2026, $203.0 million in 2027 and $0.0 million in 2028 and thereafter.
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Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Financial Instruments | Derivative Financial Instruments Our ongoing business operations expose us to various risks, such as fluctuating interest rates, foreign currency exchange rates and increasing commodity prices. To manage these market risks, we periodically enter into derivative financial instruments, such as interest rate swaps, options and foreign exchange contracts for periods consistent with, and for notional amounts equal to or less than, the related underlying exposures. We do not purchase or hold any derivative financial instruments for investment or trading purposes. All derivatives are recorded in our consolidated balance sheet at fair value. Foreign Currency Exchange Rate Risk We have entered into forward exchange contracts, designated as fair value hedges, to manage our exposure to fluctuating foreign exchange rates on cross-currency intercompany loans. As of December 31, 2024 the total amount of these forward exchange contracts was Singapore Dollar ("SGD") 421.9 million and $13.4 million. As of December 31, 2023 the total amount of these forward exchange contracts was SGD 601.5 million and $13.4 million. We have also entered into forward exchange contracts, designated as fair value hedges, to manage our exposure to fluctuating foreign exchange rates on cross-currency intercompany demand notes which were executed at various times throughout 2023 and 2024. As of December 31, 2024, the total amount of these forward exchange contracts was Euro ("EUR") 145.3 million and $47.1 million. As of December 31, 2023, the total amount of these forward exchange contracts was EUR 278.6 million and SGD 94.0 million. In addition, we have entered into several foreign currency contracts, designated as cash flow hedges, for periods of up to eighteen months, intended to hedge the currency risk associated with a portion of our forecasted transactions denominated in foreign currencies. As of December 31, 2024, we had outstanding foreign currency contracts to purchase and sell certain pairs of currencies, as follows:
In December 2019, we entered into a five-year floating-to-floating forward-starting cross-currency swap for $90 million, which we designated as a hedge of our net investment in Daikyo. This cross-currency swap had an original maturity date of December 31, 2024, but was extinguished in July 2024. In July 2024, we entered into a new cross-currency swap for $130 million, which we designated as a hedge of our net investment in Daikyo. As of December 31, 2024, the notional amount of the cross-currency swap is Japanese Yen ("JPY") 17.0 billion ($130.0 million) and the swap termination date is July 2, 2027. Under the current cross-currency swap, we receive fixed USD interest rate payments in return for paying fixed JPY interest rate payments. Additionally, we will periodically enter into forward exchange contracts to mitigate our exposure to fluctuating foreign exchange rates on assets and liabilities, other than the intercompany loans and demand notes referenced above, which are denominated in foreign currencies. The Company has elected not to designate these forward contracts in hedging relationships, and any change in the value of the contracts is recognized in income. Commodity Price Risk Many of our proprietary products are made from synthetic elastomers, which are derived from the petroleum refining process. We purchase the majority of our elastomers via long-term supply contracts, some of which contain clauses that provide for surcharges related to fluctuations in crude oil prices. The following economic hedges did not qualify for hedge accounting treatment since they did not meet the highly effective requirement at inception. We regularly purchase call options on crude oil to mitigate our exposure to such oil-based surcharges and protect operating cash flows with regard to a portion of our forecasted elastomer purchases. As of December 31, 2024, we had outstanding contracts to purchase 190,773 barrels of crude oil from December 2024 to June 2026, at a weighted-average strike price of $84.70 per barrel. Effects of Derivative Instruments on Financial Position and Results of Operations Please refer to Note 12, Fair Value Measurements, for the balance sheet location and fair values of our derivative instruments as of December 31, 2024 and 2023. The following table summarizes the effects of derivative instruments designated as fair value hedges in our consolidated statements of income for the years ended December 31:
We recognize in earnings the initial value of forward point components on a straight-line basis over the life of the fair value hedge. The expense recognized in earnings, pre-tax, for forward point components for the years ended December 31, 2024 and 2023 was $5.9 million and $0.2 million, respectively. The income recognized in earnings, pre-tax, for forward point components for the year ended December 31, 2022 was $4.0 million. We expect to recognize an expense of $0.3 million in earnings, pre-tax, for forward point components in 2025. The following tables summarize the effects of derivative instruments designated as fair value, cash flow, and net investment hedges on OCI and earnings, net of tax, for the years ended December 31:
Refer to the above table which summarizes the effects of derivative instruments designated as fair value hedges within the other expense (income) line in our consolidated statements of income for the years ended December 31. The following table summarizes the effects of derivative instruments designated as cash flow and net investment hedges by line item in our consolidated statements of income for the years ended December 31:
The following table summarizes the effects of derivative instruments not designated as hedges in our consolidated statements of income for the years ended December 31:
During 2024, 2023 and 2022 there was no material ineffectiveness related to our hedges.
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Fair Value Measurements |
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Fair Value Measurements | Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The following fair value hierarchy classifies the inputs to valuation techniques used to measure fair value into one of three levels: •Level 1: Unadjusted quoted prices in active markets for identical assets or liabilities. •Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. •Level 3: Unobservable inputs that reflect the reporting entity’s own assumptions. The following tables present the assets and liabilities recorded at fair value on a recurring basis:
Deferred compensation assets are included within other noncurrent assets and are valued using a market approach based on quoted market prices in an active market. Money market funds are included within cash and cash equivalents and are valued based on quoted market prices in active markets, with no valuation adjustment. Time deposits are included within cash and cash equivalents and are valued using relevant observable market inputs including quoted prices for similar assets and interest rate curves. The fair value of our foreign currency contracts, included within other current and other noncurrent assets, as well as other current and other long-term liabilities, is valued using an income approach based on quoted forward foreign exchange rates and spot rates at the reporting date. The fair value of our commodity call options, included within other current and other noncurrent assets, is valued using a market approach. The fair value of the contingent consideration liability, within current and long-term liabilities, related to the SmartDose® technology platform (the “SmartDose® contingent consideration”) was initially determined using a probability-weighted income approach, and is revalued at each reporting date or more frequently if circumstances dictate. The fair value of deferred compensation liabilities is based on quoted prices of the underlying employees’ investment selections and is included within other long-term liabilities. The fair value of the cross-currency swap, included within other non-current assets as of December 31, 2024 and other current assets as of December 31, 2023, is valued using a market approach. Please refer to Note 11, Derivative Financial Instruments, for further discussion of our derivatives. Other Financial Instruments We believe that the carrying amounts of our cash and accounts receivable approximate their fair values due to their near-term maturities. The estimated fair value of long-term debt is based on quoted market prices for debt issuances with similar terms and maturities and is classified as Level 2 within the fair value hierarchy. At December 31, 2024, the estimated fair value of long-term debt was $200.5 million compared to a carrying amount of $202.6 million. At December 31, 2023, the estimated fair value of short-term and long-term debt was $204.4 million and the carrying amount was $206.8 million. As of December 31, 2024, all debt is long-term.
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Equity [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The following table presents the changes in the components of accumulated other comprehensive loss, net of tax:
A summary of the reclassifications out of accumulated other comprehensive loss is presented in the following table ($ in millions):
(a) These components are included in the computation of net periodic benefit cost. Please refer to Note 15, Benefit Plans, for additional details.
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Stock-Based Compensation |
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Share-Based Payment Arrangement [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-Based Compensation | Stock-Based Compensation The West Pharmaceutical Services, Inc. 2016 Omnibus Incentive Compensation Plan (the “2016 Plan”) provides for the granting of stock options, stock appreciation rights, restricted stock awards and performance awards to employees and non-employee directors. A committee of the Board of Directors determines the terms and conditions of awards to be granted. Vesting requirements vary by award. At December 31, 2024, there were 1.3 million shares remaining in the 2016 Plan for future grants. Stock options and stock appreciation rights reduce the number of shares available by one share for each award granted. All other awards under the 2016 Plan will reduce the total number of shares available for grant by an amount equal to 2.5 times the number of shares awarded. If awards made under previous plans would entitle a plan participant to an amount of West stock in excess of the target amount, the additional shares (up to a maximum threshold amount) will be distributed under the 2016 Plan. The following table summarizes our stock-based compensation expense recorded within selling, general and administrative expenses for the years ended December 31:
Stock Options Stock options granted to employees vest in equal increments. All awards expire 10 years from the date of grant. Upon the exercise of stock options, shares are issued in exchange for the exercise price of the options. The following table summarizes changes in outstanding options:
As of December 31, 2024, the weighted average remaining contractual life of options outstanding and of options exercisable was 4.6 years and 3.7 years, respectively. As of December 31, 2024, the aggregate intrinsic value of total options outstanding was $182.0 million, of which $178.7 million represented vested options. The fair value of the options was estimated on the date of grant using a Black-Scholes option valuation model that used the following weighted average assumptions in 2024, 2023 and 2022: a risk-free interest rate of 4.3%, 4.1%, and 1.8%, respectively; stock volatility of 32.0%, 29.8%, and 25.1%, respectively; and dividend yields of 0.3%, 0.3%, and 0.2%, respectively. Stock volatility is estimated based on historical data and the impact from expected future trends. Expected lives, which are based on prior experience, averaged 6.0 years for 2024, 5.7 years for 2023 and 5.6 years for 2022. The weighted average grant date fair value of options granted in 2024, 2023 and 2022 was $134.25, $108.95 and $96.43, respectively. Stock option expense is recognized over the vesting period, net of forfeitures. For the years ended December 31, 2024, 2023 and 2022, the intrinsic value of options exercised was $90.5 million, $151.0 million and $60.1 million, respectively. The grant date fair value of options vested during those same periods was $10.8 million, $8.6 million and $8.8 million, respectively. Performance Awards In addition to stock options, we grant performance share unit (“PSU”) awards to eligible employees. These awards are earned based on the Company’s performance against pre-established targets, including annual growth rate of revenue and return on invested capital, over a specified performance period. Depending on the achievement of the targets, recipients of stock-settled PSU awards are entitled to receive a certain number of shares of common stock, whereas recipients of cash-settled PSU awards are entitled to receive a payment in cash per unit based on the fair market value of a share of our common stock at the end of the performance period. The following table summarizes changes in our outstanding stock-settled PSU awards:
Shares earned under PSU awards may vary from 0% to 200% of an employee’s targeted award. The fair value of stock-settled PSU awards is based on the market price of our stock at the grant date and is recognized as expense over the performance period, adjusted for estimated target outcomes and net of forfeitures. The weighted average grant date fair value of stock-settled PSU awards granted during the years 2024, 2023 and 2022 was $348.20, $306.97 and $362.40, respectively. Including forfeiture and target achievement expectations, we expect that the stock-settled PSU awards, for which the performance period has completed, will convert to 7,946 shares to be issued during 2025. As described above, certain eligible employees are entitled to cash-settled PSU awards. The fair value of these cash-settled PSU awards is also based on the market price of our stock at the grant date. These awards are revalued at the end of each quarter based on changes in our stock price. As a result of the cash settlement feature, cash-settled PSU awards are recorded within other long-term liabilities. The amount of cash-settled PSU awards granted during the years 2024, 2023 and 2022 were immaterial. Employee Stock Purchase Plan We also offer an Employee Stock Purchase Plan (“ESPP”), which provides for the sale of our common stock to eligible employees at 85% of the current market price on the last trading day of each quarterly offering period. Payroll deductions are limited to 25% of the employee’s base salary, not to exceed $25,000 in any one calendar year. In addition, employees may not buy more than 2,000 shares during any offering period (8,000 shares per year). Purchases under the ESPP were 25,237 shares, 23,955 shares and 27,894 shares for the years 2024, 2023 and 2022, respectively. At December 31, 2024, there were 3.7 million shares available for issuance under the ESPP. Deferred Compensation Plans and Restricted Share Awards Our deferred compensation plans include a Non-Qualified Deferred Compensation Plan for Non-Employee Directors, under which non-employee directors may defer all or part of their annual cash or stock retainers. The deferred fees may be credited to a stock-equivalent account. Amounts credited to this account are converted into deferred stock units based on the fair market value of one share of our common stock on the last day of the quarter. For deferred stock units ultimately paid in cash, a liability is calculated at an amount determined by multiplying the number of units by the fair market value of our common stock at the end of each reporting period. In addition, annual stock awards are granted on the date of our annual meeting and are distributed in shares of common stock at the next annual meeting, unless deferred. In 2024, 2023 and 2022, we granted 6,064, 6,160 and 4,827 deferred stock awards with weighted average grant-date fair values of $386.03, $357.00 and $300.78, respectively. As of December 31, 2024, the two deferred compensation plans held a total of 332,897 deferred stock units, including 8,851 units to be paid in cash. As of December 31, 2023, the two deferred compensation plans held a total of 352,541 deferred stock units, including 8,931 units to be paid in cash. During 2024, 2023 and 2022, we granted 9,660, 8,343 and 9,648 stock-settled restricted share unit (“RSU”) awards, respectively, at weighted grant-date fair values of $339.32, $314.06 and $310.52 per share, respectively, to employees under the 2016 Plan. These awards are earned over a specified performance period. The fair value of stock-settled RSU awards is based on the market price of our stock at the grant date and is recognized as expense over the vesting period, net of forfeitures.
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Benefit Plans |
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Retirement Benefits [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Benefit Plans | Benefit Plans Certain of our U.S. and international subsidiaries sponsor defined benefit pension plans. In addition, we pay a portion of healthcare costs for retired U.S. salaried employees and their dependents. We also sponsor a defined contribution plan for certain salaried and hourly U.S. employees. Our 401(k) plan contributions were $23.2 million for 2024, $22.7 million for 2023 and $22.8 million for 2022. Pension and Other Retirement Benefits The components of net periodic benefit cost and other amounts recognized in OCI were as follows:
Net periodic benefit cost by geographic location is as follows:
The service cost component included within net periodic benefit cost is considered employee compensation and is therefore presented within the selling, general, and administrative and costs of goods and services sold financial statement line items of our consolidated statements of income. The remaining components of net periodic benefit cost are reported separately and are therefore presented within the other nonoperating expense (income) financial statement line item of our consolidated statements of income. During 2021, the Company approved the termination of our U.S. qualified defined benefit pension plan (the "U.S. pension plan"). During 2021, a Notice of Intent to Terminate was sent to all interested parties and in 2022 a favorable determination letter was received from the Internal Revenue Service. During 2022, lump sum payments were offered to all current employees and former employees with vested benefits under the U.S. pension plan. A cash contribution of $7.1 million was made by the Company to ensure the U.S. pension plan was fully funded in preparation for the group annuity contract purchase which was executed in August of 2022 to settle the outstanding benefit obligations, as well as to cover any ancillary benefits and expenses remaining. During 2022, we recorded a $52.2 million pension settlement charge within , which primarily related to the full settlement and relief of the historical balance sheet position, inclusive of accumulated other comprehensive income, of the U.S. pension plan. During 2024 and 2023, we did not contribute to our U.S. pension plan due to the termination of the plan in 2022. During 2022, we contributed $7.1 million to our U.S. pension plan. The following table presents the changes in the benefit obligation and the fair value of plan assets, as well as the funded status of the plans:
International pension plan assets, at fair value, included in the preceding table were $29.2 million and $32.3 million at December 31, 2024 and 2023, respectively. Amounts recognized in the balance sheet were as follows:
The amounts in accumulated other comprehensive loss, pre-tax, consisted of:
The accumulated benefit obligation for all defined benefit pension plans was $49.5 million and $53.7 million at December 31, 2024 and 2023, respectively, including $44.0 million and $47.7 million, respectively, for international pension plans. As of December 31, 2024 and December 31, 2023, our United Kingdom qualified defined benefit pension plan had plan assets in excess of its obligations. As of December 31, 2024 and December 31, 2023, our other defined benefit pension plans had projected benefit obligations and accumulated benefit obligations in excess of plan assets. Benefit payments expected to be paid under our defined benefit pension and other retirement benefit plans in the next ten years are as follows. The expected benefit payments listed correspond to regular ongoing benefit payments expected to be made by the plans during future years.
In 2025, we expect to contribute $0.6 million to pension plans, all of which is in the U.S. In addition, we expect to contribute $0.5 million for other retirement benefits in 2025. We periodically consider additional, voluntary contributions depending on the investment returns generated by pension plan assets, changes in benefit obligation projections and other factors. Weighted average assumptions used to determine net periodic benefit cost were as follows:
Weighted average assumptions used to determine the benefit obligations were as follows:
The discount rate used to determine the benefit obligations for U.S. pension plans was 5.60% and 5.20% as of December 31, 2024 and 2023, respectively. The weighted average discount rate used to determine the benefit obligations for all international plans was 4.24% and 3.80% as of December 31, 2024 and 2023, respectively. The weighted average rate of compensation increase for all international plans was 3.07% for 2024 and 3.08% for 2023, while there was no rate increase for the U.S. plans since they are frozen. Other retirement benefits were only available to U.S. employees. The expected long-term rate of return for U.S. plans was not applicable for 2024 and 2023, and 3.70% for 2022. The assumed healthcare cost trend rate used to determine benefit obligations was 6.50% for all participants in 2024, decreasing to 5.00% by 2031. The assumed healthcare cost trend rate used to determine net periodic benefit cost was 6.75% for all participants in 2024, decreasing to 5.00% by 2031. The defined benefit pension plan benefit obligation decreased for the year ended December 31, 2024, due to actuarial gains and benefit payments during the period, as well as an increase in the discount rate used to calculate the obligation. The net actuarial losses will be impacted in future periods by actual asset returns, discount rate changes, currency exchange rate fluctuations, actual demographic experience, and certain other factors. The other retirement plan benefit obligation decreased due to actuarial gains and benefit payments during the period, as well as an increase in the discount rate used to calculate the obligation. The Company has cash balance plans and other plans with promised interest crediting rates. For these plans, the interest crediting rates are set in line with plan rules or country legislation and do not change with market conditions. The weighted average interest crediting rating used to determine net periodic benefit cost by geographic location for our pension plans, at December 31, were as follows:
The weighted average asset allocations by asset category for our pension plans, at December 31, were as follows:
Diversification across and within asset classes is the primary means by which we mitigate risk. We maintain guidelines for all asset and sub-asset categories in order to avoid excessive investment concentrations. Fund assets are monitored on a regular basis. If at any time the fund asset allocation is not within the acceptable allocation range, funds will be reallocated. We also review the fund on a regular basis to ensure that the investment returns received are consistent with the short-term and long-term goals of the fund and with comparable market returns. We are prohibited from pledging fund securities and from investing pension fund assets in our own stock, securities on margin or derivative securities. The following are the target asset allocations and acceptable allocation ranges across:
The following tables present the fair value of our pension plan assets, utilizing the fair value hierarchy discussed in Note 12, Fair Value Measurements. In accordance with U.S. GAAP, certain pension plan assets measured at net asset value (“NAV”) have not been classified in the fair value hierarchy.
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Other Income and Expenses [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Expense (Income) | Other Expense (Income) Other expense (income) consisted of:
Restructuring and Related Charges In December 2022, the Company approved a restructuring plan to adjust our operating cost base to better respond to the macroeconomic factors influencing our business. These changes were implemented over a period of approximately twenty-four months from the date of the approval. The plan provided annualized savings of approximately $17 million. As of December 31, 2024, the Company does not expect additional expenses or payments associated with our 2022 restructuring plan. The following table presents activity related to our restructuring obligations related to our 2022 restructuring plan:
Asset Impairments The Company's asset impairment expense includes impairment charges to its cost method investments and expense related to fixed assets impaired or taken out of service. During the periods ended December 31, asset impairments consisted of:
Foreign Exchange Transaction Losses (Gains) During 2024 and 2023, the Company recorded a loss on foreign exchange transactions of $10.2 million and $9.4 million, respectively. During 2024, the increase in losses on foreign exchange transactions was the result of increased expense related to exchange rate activity in Europe, partially offset by a decrease in losses related to Argentina's high inflationary environment year over year. During 2023, the loss on foreign exchange transactions was primarily driven by a highly inflationary environment in Argentina. During 2022, the Company recorded a gain on foreign exchange transactions of $4.1 million. Contingent Consideration Contingent consideration represents changes in the fair value of the SmartDose® contingent consideration. Please refer to Note 12, Fair Value Measurements, for additional details. Loss on Disposal of Plant During 2023, the Company recorded expense of $11.6 million, within other expense (income), as a result of the sale of one of the Company’s manufacturing facilities within the Proprietary Products segment during the second quarter of 2023.
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Income Taxes |
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Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Taxes | Income Taxes As a global organization, we and our subsidiaries file income tax returns in the U.S. federal jurisdiction and various state and foreign jurisdictions. As of December 31, 2024, the statute of limitations for the U.S. federal tax years 2018 through 2024 remain open to examination. For U.S. state and local jurisdictions, tax years 2020 through 2024 are open to examination. We are also subject to examination in various foreign jurisdictions for tax years 2017 through 2024. A reconciliation of the beginning and ending amount of the liability for unrecognized tax benefits is as follows:
In addition, we had balances in accrued liabilities for interest and penalties of $6.6 million and $3.8 million at December 31, 2024 and 2023, respectively. As of December 31, 2024, we had $43.6 million of total gross unrecognized tax benefits, which, if recognized, $43.6 million would favorably impact the effective income tax rate. It is reasonably possible that, due to the expiration of statutes and the closing of tax audits, the amount of gross unrecognized tax benefits may be reduced by approximately $3.3 million during the next twelve months, which would favorably impact our effective tax rate. The components of income before income taxes and equity in net income of affiliated companies are:
The related provision for income taxes consists of:
Deferred income taxes result from temporary differences between the amount of assets and liabilities recognized for financial reporting and tax purposes. The significant components of our deferred tax assets and liabilities at December 31 are:
A reconciliation of the U.S. federal corporate tax rate to our effective consolidated tax rate on income before income taxes and equity in net income of affiliated companies is as follows:
During 2024, we recorded a tax benefit of $19.5 million associated with stock-based compensation. The Company recognized a $2.3 million tax benefit related to a reduction in the tax liability on the unremitted earnings of its Germany subsidiaries due to a law change in 2024. During 2023, we recorded a tax benefit of $32.0 million associated with stock-based compensation. The Company recognized a $3.0 million state tax benefit based on the outcome of a recent court case. In addition, the Company recorded $2.8 million of tax expense due to a change in the permanent reinvestment assertion of its German subsidiaries. During 2022, we recorded tax expense of $5.7 million due to the impact of tax law changes enacted during the year, $19.8 million of tax expense due to the Company's recognition of reserves for unrecognized tax benefits, and a tax benefit of $16.5 million associated with stock-based compensation. A tax benefit of $20.6 million was recognized for the 2022 termination of our U.S. pension plan. The Company did not elect to reclassify to retained earnings the stranded tax effects on items within AOCI related to the Tax Cuts and Jobs Act of 2017, and therefore included within the $20.6 million pension termination benefit is a deferred tax benefit of $8.0 million. State operating loss carryforwards of $98.8 million created a deferred tax asset of $5.4 million, while foreign operating loss carryforwards of $2.3 million created a deferred tax asset of $0.7 million. Management estimates that certain state and foreign operating loss carryforwards are unlikely to be utilized and the associated deferred tax assets have been appropriately reserved. State loss carryforwards expire as follows: $35.7 million in 2025 and $63.1 million thereafter. Foreign loss carryforwards will begin to expire in 2028, while $0.2 million of the total $2.3 million will not expire. During 2019, we utilized all of our remaining U.S. federal research and development credit carryforwards. State research and development credit carryforwards of $2.7 million created a deferred tax asset of $2.1 million. As of December 31, 2024, $0.4 million of state research and development credits expire in 2025. Since 2018, West has reasserted indefinite reinvestment related to all post-2017 unremitted earnings in all of our foreign subsidiaries. Beginning in 2023 and consistent with the approved plan mentioned in Note 4, Net Income Per Share, the Company began repurchasing common stock on the open market. To support the funding for this program, West may continue to repatriate earnings from its German affiliates in the future and has recorded a tax liability of $0.3 million. Accordingly, West will continue to not assert permanent reinvestment related to all of the earnings of its wholly owned German affiliates through 2024. West will continue to assert permanent reinvestment of earnings for all other foreign jurisdictions and intends to only repatriate earnings when the tax impact is de minimis. Accordingly, no deferred taxes have been provided for withholding taxes or other taxes that would result upon repatriation of approximately $651 million of undistributed earnings from foreign subsidiaries (except our German affiliates) to the U.S., as those earnings continue to be permanently reinvested. Further, it is impracticable for us to estimate any future tax costs for any unrecognized deferred tax liabilities associated with our indefinite reinvestment assertion, because the actual tax liability, if any, would be dependent on complex analysis and calculations considering various tax laws, exchange rates, circumstances existing when there is a repatriation, sale or liquidation, or other factors.
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Commitments and Contingencies |
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Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies At December 31, 2024, we were obligated under various operating lease agreements. Please refer to Note 6, Leases, for additional details. At December 31, 2024, we were obligated under debt agreements, net of unamortized debt issuance costs including fixed and variable-rate debt. Please refer to Note 10, Debt, for additional details. At December 31, 2024, we were obligated under various tax-qualified and non-qualified defined benefit pension plans in the U.S. and other countries that cover employees and former employees who meet eligibility requirements. Please refer to Note 15, Benefit Plans, for additional details. At December 31, 2024, our outstanding unconditional contractual commitments, including for the purchase of raw materials and finished goods, amounted to $200.7 million, the majority of which is to be paid over the next four years, with $46.7 million due to be paid in 2025. We have letters of credit totaling $2.4 million supporting the reimbursement of workers’ compensation and other claims paid on our behalf by insurance carriers. Our accrual for insurance obligations was $1.6 million at December 31, 2024, of which $0.4 million is in excess of our deductible and, therefore, is reimbursable by the insurance company.
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Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Information | Segment Information Our business operations are organized into two reportable segments, Proprietary Products and Contract-Manufactured Products. Our Proprietary Products reportable segment offers proprietary packaging, containment solutions and drug delivery products, along with analytical lab services and other integrated services and solutions, primarily to biologic, generic and pharmaceutical drug customers. Our Contract-Manufactured Products reportable segment serves as a fully integrated business, focused on the design, manufacture, and automated assembly of complex devices, primarily for pharmaceutical, diagnostic, and medical device customer. The Chief Operating Decision Maker ("CODM") is the Chief Executive Officer. The CODM evaluates the performance of our segments based upon, among other things, segment net sales and segment operating profit. Segment operating profit excludes general corporate costs, which include executive and director compensation, stock-based compensation, certain pension and other retirement benefit costs, and other corporate facilities and administrative expenses not allocated to the segments. Also excluded are items that the CODM considers not representative of ongoing operations. Such items are referred to as other unallocated items and generally include restructuring and related charges, certain asset impairments and other specifically-identified income or expense items. The segment operating profit metric is what the CODM uses in evaluating our results of operations and the financial measure that provides a valuable insight into our overall performance and financial position. The CODM considers budget-to-actual variances and variances against prior years within segment operating profit when making decisions about allocating resources to the segments. The following table presents net sales information about our reportable segments, reconciled to consolidated totals:
The intersegment sales elimination, which is required for the presentation of consolidated net sales, represents the elimination of components sold between our segments. In 2024, one of our customers individually accounted for more than 10% of consolidated net sales, at 12.3% or $356.4 million, contributing to net sales in both the Proprietary and Contract Manufacturing reportable segments. In 2023, one of our customers individually accounted for more than 10% of consolidated net sales, at 10.9% or $322.1 million, contributing to net sales in both the Proprietary and Contract Manufacturing reportable segments. We did not have any customers accounting for greater than 10% of consolidated net sales in 2022. The following table presents net sales and long-lived assets, by the country in which the legal subsidiary is domiciled and assets are located:
(1) Corporate general costs includes executive and director compensation, certain pension and other retirement benefit costs, and other corporate facilities and administrative expenses not allocated to the segments. (2) During 2024, the Company recorded expense to restructuring and other charges of $2.1 million. The net expense represents the impact of two items, the first of which is $4.6 million of expense recorded within in connection with a plan to optimize the legal structure of the Company and its subsidiaries. The expense consists primarily of consulting fees, legal expenses, and other one-time costs directly attributable to this plan. This expense was partially offset by a $2.5 million benefit recorded within related to revised severance estimates in connection with the Company's 2022 restructuring plan. During 2023, the Company recorded a benefit to restructuring and other charges of $2.0 million, which represents the net impact of a $2.8 million benefit within for revised severance estimates in connection with its 2022 restructuring plan and an inventory write down of $0.8 million within . During 2022, the Company recorded expense to restructuring and other charges of $23.8 million, which primarily included a charge of $8.7 million in net severance and post-employment benefits primarily in connection with our plan to adjust our operating cost base and $15.3 million in asset-related charges associated with this plan. (3) During 2024, 2023 and 2022, the company recorded $0.8 million, $0.7 million and $0.7 million, respectively, of amortization expense within operating profit associated with an acquisition of an intangible asset during the second quarter of 2020. (4) During 2023, the Company recorded a cost investment impairment charge of $4.3 million. During 2022, the net cost investment activity was equal to $3.5 million. (5) During 2023, the Company recorded expense of $11.6 million, as a result of the sale of one of the Company’s manufacturing facilities within the Proprietary Products segment. The transaction closed during the second quarter of 2023. (6) Other segment expense (income) primarily includes foreign exchange transaction gains and losses, adjustments to contingent consideration and asset impairments attributable to the segments during the periods ended December 31, 2024, 2023 and 2022. The following tables provide summarized financial information for our two reportable segments and corporate and unallocated:
(1) Corporate and unallocated assets primarily include investments in affiliated companies, cash and cash equivalents, property, plant and equipment used in our corporate operations and deferred income taxes.
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Schedule II - Valuation and Qualifying Accounts |
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SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule II - Valuation and Qualifying Accounts | Schedule II - Valuation and Qualifying Accounts
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Pay vs Performance Disclosure - USD ($) $ in Millions |
12 Months Ended | ||
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Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
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Pay vs Performance Disclosure | |||
Net income | $ 492.7 | $ 593.4 | $ 585.9 |
Insider Trading Arrangements |
3 Months Ended |
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Dec. 31, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Insider Trading Policies and Procedures |
12 Months Ended |
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Dec. 31, 2024 | |
Insider Trading Policies and Procedures [Line Items] | |
Insider Trading Policies and Procedures Adopted | true |
Cybersecurity Risk Management and Strategy Disclosure |
12 Months Ended |
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Dec. 31, 2024 | |
Cybersecurity Risk Management, Strategy, and Governance [Line Items] | |
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block] | The Company has implemented the Committee of Sponsoring Organizations (“COSO”) Enterprise Risk Management (“ERM”) Framework, which outlines the process by which an organization can view any risk by way of governance and culture, integration into strategy, risk assessments, reviewing capabilities and practices, and monitoring and reporting. This process would apply to the cybersecurity risk as it would any of the other enterprise risks. We follow the National Institute of Standards and Technology (“NIST”) Cybersecurity Framework (“CSF”) with layered security controls to help identify, protect against, detect, respond to, and recover from cyber-attacks. To safeguard our information assets, we have put various procedures and technologies in place. For example, our Cybersecurity Incident Response Plan clearly defines roles and responsibilities for the investigation of and response to information security incidents to minimize disruption of critical computing services and operations and prevent the loss or theft of sensitive or mission-critical information. Our plan covers various cyber incidents like ransomware attacks, cyber-intrusions, data loss, denial of service, insider threats, malware attacks, and others. In a material cybersecurity incident, our D&T team, inclusive of our Chief Information Officer and our VP of Cybersecurity and Infrastructure Support, address the threat via established escalation procedures, roles, responsibilities, and communication. Any cybersecurity incident that is declared as a crisis would follow our global Incident and Crisis Response and Management Procedure, which includes escalation to the West Leadership Team and Board of Directors, as deemed necessary pending the materiality of the incident. We have not encountered cybersecurity challenges that have materially impacted our operations or financial condition. In addition, we retain an external cybersecurity consultancy company to assist when a cybersecurity event arises, as needed and, in addition we maintain appropriate cybersecurity liability insurance. The Company also educates and shares best practices globally with its employees to raise awareness of cybersecurity threats. As part of our onboarding process, we train all new employees on cybersecurity and conduct an annual retraining of all employees on cybersecurity standards. Training also includes how to recognize, report and properly respond to phishing and social engineering schemes. Multiple phishing simulation exercises are conducted throughout the year to increase cybersecurity awareness. Our cybersecurity defenses also utilize technologies such as next generation firewalls, Zero Trust architecture, intrusion detection and prevention measures, anti-malware software, advance threat protection, multifactor authentication, network segmentation and encryption to ensure the security of West intellectual properties, customer and vendor data. In addition, we have a dedicated 24-by-7 Security Operations Center to facilitate the monitoring of the Company's cybersecurity landscape and associated applications.
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Cybersecurity Risk Management Processes Integrated [Flag] | true |
Cybersecurity Risk Management Processes Integrated [Text Block] | The Company has implemented the Committee of Sponsoring Organizations (“COSO”) Enterprise Risk Management (“ERM”) Framework, which outlines the process by which an organization can view any risk by way of governance and culture, integration into strategy, risk assessments, reviewing capabilities and practices, and monitoring and reporting. This process would apply to the cybersecurity risk as it would any of the other enterprise risks. We follow the National Institute of Standards and Technology (“NIST”) Cybersecurity Framework (“CSF”) with layered security controls to help identify, protect against, detect, respond to, and recover from cyber-attacks. |
Cybersecurity Risk Management Third Party Engaged [Flag] | true |
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] | true |
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] | false |
Cybersecurity Risk Board of Directors Oversight [Text Block] | Our approach to cybersecurity begins with our responsibility for strong governance and controls. Security begins at the top of our organization, where Company leadership consistently communicates the requirements for vigilance and compliance throughout the organization, and then leads by example. Our diligence and assessment extend beyond West, as the Company performs a cybersecurity assessment when third-party vendors and service providers are onboarded. Throughout the year, we monitor the effectiveness of our third-party vendors' and service providers' control environment, assessing any impact to our Company. The cybersecurity program is led by our Chief Information Officer and our VP of Cybersecurity and Infrastructure Support, who provide periodic updates to the Audit Committee of our Board of Directors, annual updates to the Board of Directors, and regular reports to the West Leadership Team about the program, including information about cyber risk management governance and the status of ongoing efforts to strengthen cybersecurity effectiveness. Additionally, our ERM program enables a portfolio view of the risks inherent in our business, including cybersecurity. The ERM function monitors and reports on these top risks with periodic updates to the Audit Committee and our Board of Directors, annual updates to the Board of Directors, and regular reporting to the West Leadership Team on risk mitigation and response efforts. Security controls and processes are developed and maintained to protect sensitive and confidential information while ensuring availability and integrity. |
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] | Audit Committee |
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] | provide periodic updates to the Audit Committee of our Board of Directors, annual updates to the Board of Directors, and regular reports to the West Leadership Team about the program, including information about cyber risk management governance and the status of ongoing efforts to strengthen cybersecurity effectiveness. |
Cybersecurity Risk Role of Management [Text Block] | Security begins at the top of our organization, where Company leadership consistently communicates the requirements for vigilance and compliance throughout the organization, and then leads by example. Our diligence and assessment extend beyond West, as the Company performs a cybersecurity assessment when third-party vendors and service providers are onboarded. Throughout the year, we monitor the effectiveness of our third-party vendors' and service providers' control environment, assessing any impact to our Company. The cybersecurity program is led by our Chief Information Officer and our VP of Cybersecurity and Infrastructure Support, who provide periodic updates to the Audit Committee of our Board of Directors, annual updates to the Board of Directors, and regular reports to the West Leadership Team about the program, including information about cyber risk management governance and the status of ongoing efforts to strengthen cybersecurity effectiveness. Additionally, our ERM program enables a portfolio view of the risks inherent in our business, including cybersecurity. The ERM function monitors and reports on these top risks with periodic updates to the Audit Committee and our Board of Directors, annual updates to the Board of Directors, and regular reporting to the West Leadership Team on risk mitigation and response efforts. Security controls and processes are developed and maintained to protect sensitive and confidential information while ensuring availability and integrity. |
Cybersecurity Risk Management Positions or Committees Responsible [Flag] | true |
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] | The cybersecurity program is led by our Chief Information Officer and our VP of Cybersecurity and Infrastructure Support, who provide periodic updates to the Audit Committee of our Board of Directors, annual updates to the Board of Directors, and regular reports to the West Leadership Team about the program, including information about cyber risk management governance and the status of ongoing efforts to strengthen cybersecurity effectiveness. Additionally, our ERM program enables a portfolio view of the risks inherent in our business, including cybersecurity. The ERM function monitors and reports on these top risks with periodic updates to the Audit Committee and our Board of Directors, annual updates to the Board of Directors, and regular reporting to the West Leadership Team on risk mitigation and response efforts. |
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] | The cybersecurity program is led by our Chief Information Officer and our VP of Cybersecurity and Infrastructure Support, |
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block] | provide periodic updates to the Audit Committee of our Board of Directors, annual updates to the Board of Directors, and regular reports to the West Leadership Team about the program, including information about cyber risk management governance and the status of ongoing efforts to strengthen cybersecurity effectiveness. |
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] | true |
Basis of Presentation and Summary of Significant Accounting Policies (Policies) |
12 Months Ended |
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Dec. 31, 2024 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation: The consolidated financial statements include the accounts of West Pharmaceutical Services, Inc. ("West") after the elimination of intercompany transactions. We have no participation or other rights in variable interest entities.
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Use of Estimates | Use of Estimates: The financial statements are prepared in conformity with U.S. GAAP. These principles require management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and the disclosure of contingencies in the financial statements. Actual amounts realized may differ from these estimates.
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Cash and Cash Equivalents | Cash and Cash Equivalents: Cash equivalents include money market funds, time deposits and all highly liquid short-term instruments with maturities of three months or less at the time of purchase.
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Accounts Receivable | Accounts Receivable: Our accounts receivable balance was net of an allowance for credit losses of $0.8 million at both December 31, 2024 and 2023. Under the current expected credit loss model, we utilize a provision matrix approach, utilizing historical loss rates based on the number of days past due, adjusted to reflect current economic conditions and forecasts of future economic conditions. |
Inventories | Inventories: Inventories are valued at the lower of cost (on a first-in, first-out basis) or net realizable value. |
Property, Plant and Equipment | Property, Plant and Equipment: Property, plant and equipment assets are carried at cost. Maintenance and minor repairs and renewals are charged to expense as incurred. Costs incurred for computer software developed or obtained for internal use are capitalized for application development activities and immediately expensed for preliminary project activities or post-implementation activities. Upon sale or retirement of depreciable assets, costs and related accumulated depreciation are eliminated, and gains or losses are recognized in other expense (income). Depreciation and amortization are computed principally using the straight-line method over the estimated useful lives of the assets, or the remaining term of the lease, if shorter.
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Leases | Leases: Lease right-of-use assets are initially measured at cost, which comprises the initial amount of the lease liability adjusted for lease payments made at or before the lease commencement date, plus any initial direct costs incurred less any lease incentives received. Lease right-of-use assets are subsequently measured throughout the lease term at the carrying amount of the lease liability, plus initial direct costs, plus (minus) any prepaid (accrued) lease payments, less the unamortized balance of lease incentives received. Lease expense for operating leases is recognized on a straight-line basis over the lease term. Conversely, lease expense for finance leases is a front loaded expense recognition pattern over the lease term. Lease liabilities are initially measured at the present value of the unpaid lease payments at the lease commencement date. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets: Long-lived assets, including property, plant and equipment, operating lease right-of-use assets and finance lease right-of-use assets, are tested for impairment whenever circumstances indicate that the carrying value of these assets may not be recoverable. An asset is considered impaired if the carrying value of the asset exceeds the sum of the future expected undiscounted cash flows to be derived from the asset. Once an asset is considered impaired, an impairment loss is recorded within other expense (income) for the difference between the asset’s carrying value and its fair value. For assets held and used in the business, management determines fair value using estimated future cash flows to be derived from the asset, discounted to a net present value using an appropriate discount rate. For assets held for sale or for investment purposes, management determines fair value by estimating the proceeds to be received upon sale of the asset, less disposition costs.
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Impairment of Goodwill and Other Intangible Assets | Impairment of Goodwill and Other Intangible Assets: Goodwill is tested for impairment at least annually, following the completion of our annual budget and long-range planning process, or whenever circumstances indicate that the carrying value of these assets may not be recoverable. Goodwill is tested for impairment at the reporting unit level, which is the same as, or one level below, our operating segments. A goodwill impairment charge represents the amount by which a reporting unit’s carrying amount exceeds its fair value, not to exceed the total amount of goodwill allocated to that reporting unit. Accounting guidance also allows entities to first assess qualitative factors, including macroeconomic conditions, industry and market considerations, cost factors, and overall financial performance, to determine whether it is necessary to perform the quantitative goodwill impairment test. If, based upon our assessment, we determined that it was not more likely than not that the fair value of each of our reporting units was less than its carrying amount, then it would not be necessary to perform the quantitative goodwill impairment test. We elected to follow this guidance for our annual impairment test. Based upon our assessment, we determined that it was not more likely than not that the fair value of each of our reporting units was less than its carrying amount and determined that it was not necessary to perform the quantitative goodwill impairment test in the current year. Valuing identifiable intangible assets requires judgment. For example, for recent identifiable customer relationship intangible asset acquisitions, we applied an excess earnings model, which is a form of the income approach. This approach includes projecting revenues and expenses attributable to the existing customers over the remaining economic life of the customer relationships and then subtracting the required return on net tangible assets and any intangible assets used in the business to estimate any residual excess earnings attributable to the customer relationships. The after-tax excess earnings are then discounted to present value using the respective discount rates. Intangible assets with finite lives are amortized using the straight-line method over their estimated useful lives of 3 to 25 years and reviewed for impairment whenever circumstances indicate that the carrying value of these assets may not be recoverable. Factors that could trigger an impairment review include the following: 1) significant under-performance relative to historical or projected future operating results; 2) significant changes in the manner or use of the acquired assets or the strategy of the overall business; 3) significant negative industry or economic trends; and 4) recognition of goodwill impairment charges. If we determine that the carrying value of identifiable intangibles assets may not be recoverable based on the existence of one or more of the above indicators of impairment, we measure recoverability of assets by comparing the respective carrying value of the assets to the current and expected future cash flows, on an undiscounted basis, to be generated from such assets. If such analysis indicates that the carrying value of these assets is not recoverable, we measure an impairment based on the amount in which the net carrying amount of the assets exceeds the fair values of the assets.
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Employee Benefits | Employee Benefits: The measurement of the obligations under our defined benefit pension and postretirement medical plans are subject to a number of assumptions. These include the rate of return on plan assets (for funded plans) and the rate at which the future obligations are discounted to present value. For our funded plans, we consider the current and expected asset allocations of our plan assets, as well as historical and expected rates of return, in estimating the long-term rate of return on plan assets. U.S. GAAP requires the recognition of an asset or liability for the funded status of a defined benefit postretirement plan, as measured by the difference between the fair value of plan assets, if any, and the benefit obligation. For a pension plan, the benefit obligation is the projected benefit obligation; for any other postretirement plan, such as a retiree health plan, the benefit obligation is the accumulated postretirement benefit obligation. Please refer to Note 15, Benefit Plans, for a more detailed discussion of our pension and other retirement plans. |
Financial Instruments | Financial Instruments: All derivatives are recognized as either assets or liabilities in the balance sheet and recorded at their fair value. For a derivative designated as a hedge of the exposure to variable cash flows of a forecasted transaction (referred to as a cash flow hedge), the effective portion of the derivative’s gain or loss is initially reported as a component of other comprehensive income (“OCI”), net of tax, and subsequently reclassified into earnings when the forecasted transaction affects earnings. For a derivative designated as a hedge of the exposure to changes in the fair value of a recognized asset or liability or a firm commitment (referred to as a fair value hedge), the derivative’s gain or loss is recognized in earnings in the period of change together with the offsetting loss or gain on the hedged item. For a derivative designated as a hedge of the foreign currency exposure of a net investment in a foreign operation, the gain or loss is reported in OCI, net of tax, as part of the cumulative translation adjustment. The ineffective portion of any derivative used in a hedging transaction is recognized immediately into earnings. Derivative financial instruments that are not designated as hedges are also recorded at fair value, with the change in fair value recognized immediately into earnings. We do not purchase or hold any derivative financial instrument for investment or trading purposes.
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Foreign Currency Translation | Foreign Currency Translation: Foreign currency transaction gains and losses are recognized in the determination of net income. Foreign currency translation adjustments of subsidiaries and affiliates operating outside of the U.S. are accumulated in other comprehensive loss, a separate component of equity.
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Revenue Recognition | Revenue Recognition: Our revenue results from the sale of goods or services and reflects the consideration to which we expect to be entitled in exchange for those goods or services. We record revenue based on a five-step model, in accordance with Accounting Standards Codification (“ASC”) 606. Following the identification of a contract with a customer, we identify the performance obligations (goods or services) in the contract, determine the transaction price, allocate the transaction price to the performance obligations in the contract, and recognize the revenue when (or as) we satisfy the performance obligations by transferring the promised goods or services to our customers. A good or service is transferred when (or as) the customer obtains control of that good or service. We have elected to disregard the effects of a significant financing component, as we expect, at the inception of our contracts, that the period between when we transfer a promised good or service to the customer and when the customer pays for that good or service will be one year or less. In addition, we have elected to omit the disclosure of the majority of our remaining performance obligations, which are satisfied within one year or less. We recognize the majority of our revenue, primarily relating to Proprietary Products product sales, at a point in time, following the transfer of control of our products to our customers, which typically occurs upon shipment or delivery, depending on the terms of the related agreements. We recognize revenue relating to our Contract-Manufactured Products product sales and certain Proprietary Products product sales over time, as our performance does not create an asset with an alternative use to us and we have an enforceable right to payment for performance completed to date. We recognize revenue relating to our development and tooling agreements over time, as our performance creates or enhances an asset that the customer controls as the asset is created or enhanced. For revenue recognized over time, revenue is recognized by applying a method of measuring progress toward complete satisfaction of the related performance obligation. When selecting the method for measuring progress, we select the method that best depicts the transfer of control of goods or services promised to our customers. Revenue for our Contract-Manufactured Products product sales, certain Proprietary Products product sales, and our development and tooling agreements is recorded under an input method, which recognizes revenue on the basis of our efforts or inputs to the satisfaction of a performance obligation (for example, resources consumed, labor hours expended, costs incurred, time elapsed, or machine hours used) relative to the total expected inputs to the satisfaction of that performance obligation. The input method that we use is based on costs incurred.
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Shipping and Handling Costs | Shipping and Handling Costs: Shipping and handling costs are included in cost of goods and services sold. Shipping and handling costs billed to customers in connection with the sale are included in net sales.
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Research and Development | Research and Development: Research and development expenditures are for the creation, engineering and application of new or improved products and processes. Expenditures include salaries and outside services for those directly involved in research and development activities and are primarily expensed as incurred. |
Litigation | Litigation: From time to time, we are involved in legal proceedings, investigations and claims generally incidental to our normal business activities. In accordance with U.S. GAAP, we accrue for loss contingencies when it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. These estimates are based on an analysis made by internal and external legal counsel considering information known at the time. Legal costs in connection with loss contingencies are expensed as incurred.
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Income Taxes | Income Taxes: Deferred income taxes are recognized by applying enacted statutory tax rates to tax loss carryforwards and temporary differences between the tax basis and financial statement carrying values of our assets and liabilities. The enacted statutory tax rate applied is based on the rate expected to be applicable at the time of the forecasted utilization of the loss carryforward or reversal of the temporary difference. Valuation allowances on deferred tax assets are established when it is more likely than not that all or a portion of a deferred tax asset will not be realized. The realizability of deferred tax assets is subject to our estimates of future taxable income, generally at the respective subsidiary company and the country level. Please refer to Note 17, Income Taxes, for additional information. We recognize interest costs related to income taxes in interest expense and penalties within other expense (income). The tax law ordering approach is used for purposes of determining whether an excess tax benefit has been realized during the year.
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Stock-Based Compensation | Stock-Based Compensation: Under the fair value provisions of U.S. GAAP, stock-based compensation cost is measured at the grant date based on the value of the award and is recognized as expense over the vesting period. In order to determine the fair value of stock options on the grant date, we use the Black-Scholes valuation model. |
Net Income Per Share | Net Income Per Share: Basic net income per share is computed by dividing net income attributable to common shareholders by the weighted average number of shares of common stock outstanding during each period. Net income per share assuming dilution considers the dilutive effect of outstanding stock options and other stock awards based on the treasury stock method. The treasury stock method assumes the use of exercise proceeds to repurchase common stock at the average fair market value in the period.
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Recently Adopted Standards and Standards Issued Not Yet Adopted | Recently Adopted Standards In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update (“ASU") No. 2023-07, Segment Reporting, which expands annual and interim disclosure requirements for reportable segments, primarily through enhanced disclosures about significant segment expenses and enhancement of interim disclosure requirements. This guidance is effective for fiscal years beginning after December 15, 2023 and interim periods beginning after December 15, 2024. The Company has adopted and implemented the applicable disclosure requirements within this annual report. Standards Issued Not Yet Adopted In December 2023, the FASB issued guidance that seeks to enhance income tax disclosures to provide information to better assess how an entity's operations and related tax risks affect its tax rate and prospects for future cash flows. Within the income tax rate reconciliation, the amendment requires disclosure of additional categories and greater detail about individual reconciling items over a specified threshold. It also requires information pertaining to taxes paid to be disaggregated for federal, state, and foreign taxes and further disaggregated for specific jurisdictions over a specified threshold. This guidance is effective for fiscal years beginning after December 15, 2024. We are currently evaluating the impact of this guidance on our financial statements and disclosures, but we do not expect the adoption to have a material impact on the consolidated financial statements other than the expanded footnote disclosure. In November 2024, the FASB issued guidance that seeks to improve the disclosures about a public business entity’s expenses and address requests from investors for more detailed information about the types of expenses (including purchases of inventory, employee compensation, depreciation, amortization, and depletion) in commonly presented expense captions. The amendments require that at each interim and annual reporting period an entity: (1) disclose the amounts of purchases of inventory, employee compensation, depreciation, and intangible asset amortization included in each of the Company's relevant expense captions; (2) include certain amounts that are already required to be disclosed under current GAAP in the same disclosure as the other disaggregation requirements; (3) disclose a qualitative description of the amounts remaining in relevant expense captions that are not separately disaggregated quantitatively; and (4) disclose the total amount of selling expenses and, in annual reporting periods, an entity’s definition of selling expenses. This guidance is effective for fiscal years beginning after December 15, 2026. The Company is currently evaluating the impact of this guidance on our financial statements and disclosures.
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Fair Value Measurement | Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The following fair value hierarchy classifies the inputs to valuation techniques used to measure fair value into one of three levels: •Level 1: Unadjusted quoted prices in active markets for identical assets or liabilities. •Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. •Level 3: Unobservable inputs that reflect the reporting entity’s own assumptions.
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Basis of Presentation and Summary of Significant Accounting Policies (Tables) |
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Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Inventories | The following is a summary of inventories at December 31:
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Revenue (Tables) |
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Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Disaggregation of Revenue | The following table presents the approximate percentage of our net sales by market group:
The following table presents the approximate percentage of our net sales by product category:
Due to the Company's reassessment of product categories, beginning in the second quarter of 2023, certain product types have been moved from High-Value Product Components to High-Value Product Delivery Devices. No adjustments were made to the product categorization prior to the second quarter of 2023. The following table presents the approximate percentage of our net sales by geographic location:
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Schedule of Change in Contract with Customer, Asset and Liability | The following table summarizes our contract assets and liabilities, excluding amounts included in accounts receivable, net:
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Net Income Per Share (Tables) |
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Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Reconciliation of Basic to Diluted Net Income Per Share | The following table reconciles the shares used in the calculation of basic net income per share to those used for diluted net income per share:
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Schedule of Repurchase of Common Stock | The below table summarizes share repurchases under this program during the years ended December 31:
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Property, Plant and Equipment (Tables) |
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Schedule of Property, Plant and Equipment | A summary of gross property, plant and equipment at December 31 is presented in the following table:
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Leases (Tables) |
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Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Lease, Cost | The components of lease expense were as follows:
Supplemental information related to leases was as follows:
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Schedule of Assets And Liabilities, Lessee | The following table summarizes the finance lease amounts in the consolidated balance sheets as of December 31, 2024:
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Schedule of Lessee, Operating Lease, Liability, Maturity | Maturities of lease liabilities as of December 31, 2024 were as follows:
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Finance Lease, Liability, to be Paid, Maturity | Maturities of lease liabilities as of December 31, 2024 were as follows:
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Affiliated Companies (Tables) |
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Schedule of Equity Method Investments | At December 31, 2024, the following affiliated companies were accounted for under the equity method:
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Schedule of Investments in and Advances to Affiliates | The following table summarizes the aggregate carrying amounts of our investments in affiliated companies that are accounted for under the equity method and our investments in affiliated companies that are not accounted for under the equity method:
The following table summarizes the amounts due to and from affiliates in the condensed consolidated balance sheets:
The following table summarizes the Company's affiliate transactions:
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Goodwill and Intangible Assets (Tables) |
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Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Goodwill | The changes in the carrying amount of goodwill by reportable segment were as follows:
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Schedule of Finite-Lived Intangible Assets | Intangible assets and accumulated amortization as of December 31 were as follows:
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Other Current Liabilities (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Current Liabilities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Other Current Liabilities | Other current liabilities as of December 31 included the following:
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Debt (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Long-term Debt Obligations, Net of Current Maturities | The following table summarizes our long-term debt obligations, net of unamortized debt issuance costs and current maturities, at December 31. The interest rates shown in parentheses are as of the corresponding balance sheet date reflected in the table below.
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Derivative Financial Instruments (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Foreign Currency Contracts | As of December 31, 2024, we had outstanding foreign currency contracts to purchase and sell certain pairs of currencies, as follows:
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Schedule of Effects of Derivative Instruments on Other Comprehensive Income ('OCI') and Earnings | The following table summarizes the effects of derivative instruments designated as fair value hedges in our consolidated statements of income for the years ended December 31:
The following tables summarize the effects of derivative instruments designated as fair value, cash flow, and net investment hedges on OCI and earnings, net of tax, for the years ended December 31:
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Schedule of Derivatives Not Designated as Hedging Instruments | The following table summarizes the effects of derivative instruments not designated as hedges in our consolidated statements of income for the years ended December 31:
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Fair Value Measurements (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Assets and Liabilities Measured at Fair Value | The following tables present the assets and liabilities recorded at fair value on a recurring basis:
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Accumulated Other Comprehensive Loss (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Components of Accumulated Other Comprehensive Loss | The following table presents the changes in the components of accumulated other comprehensive loss, net of tax:
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Schedule of Reclassification out of Accumulated Other Comprehensive Loss | A summary of the reclassifications out of accumulated other comprehensive loss is presented in the following table ($ in millions):
(a) These components are included in the computation of net periodic benefit cost. Please refer to Note 15, Benefit Plans, for additional details.
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Stock-Based Compensation (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-Based Payment Arrangement [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Allocation of Share-based Compensation Costs by Plan | The following table summarizes our stock-based compensation expense recorded within selling, general and administrative expenses for the years ended December 31:
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Schedule of Stock Options Activity | The following table summarizes changes in outstanding options:
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Schedule of Nonvested Performance-based Share Activity | The following table summarizes changes in our outstanding stock-settled PSU awards:
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Benefit Plans (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Retirement Benefits [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Components of Net Periodic Benefit Cost | The components of net periodic benefit cost and other amounts recognized in OCI were as follows:
Net periodic benefit cost by geographic location is as follows:
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Schedule of Changes in Projected Benefit Obligation, Fair Value of Plan Assets and Funded Status | The following table presents the changes in the benefit obligation and the fair value of plan assets, as well as the funded status of the plans:
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Schedule of Amounts Recognized in Balance Sheet | Amounts recognized in the balance sheet were as follows:
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Schedule of Amounts Recognized in Other Comprehensive Loss | The amounts in accumulated other comprehensive loss, pre-tax, consisted of:
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Schedule of Expected Benefit Payments | Benefit payments expected to be paid under our defined benefit pension and other retirement benefit plans in the next ten years are as follows. The expected benefit payments listed correspond to regular ongoing benefit payments expected to be made by the plans during future years.
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Schedule of Assumptions Used | Weighted average assumptions used to determine net periodic benefit cost were as follows:
Weighted average assumptions used to determine the benefit obligations were as follows:
The weighted average interest crediting rating used to determine net periodic benefit cost by geographic location for our pension plans, at December 31, were as follows:
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Schedule of Allocation of Plan Assets | The weighted average asset allocations by asset category for our pension plans, at December 31, were as follows:
The following are the target asset allocations and acceptable allocation ranges across:
The following tables present the fair value of our pension plan assets, utilizing the fair value hierarchy discussed in Note 12, Fair Value Measurements. In accordance with U.S. GAAP, certain pension plan assets measured at net asset value (“NAV”) have not been classified in the fair value hierarchy.
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Other Expense (Income) (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Income and Expenses [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Other Expense (Income) | Other expense (income) consisted of:
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Schedule of Restructuring Obligations | The following table presents activity related to our restructuring obligations related to our 2022 restructuring plan:
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Details of Impairment of Long-Lived Assets Held and Used by Asset | During the periods ended December 31, asset impairments consisted of:
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Income Taxes (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Reconciliation of Beginning and Ending Liability for Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of the liability for unrecognized tax benefits is as follows:
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Schedule of Components of Income Before Income Taxes | The components of income before income taxes and equity in net income of affiliated companies are:
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Schedule of Components of Income Tax Expense | The related provision for income taxes consists of:
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Schedule of Deferred Tax Assets and Liabilities | The significant components of our deferred tax assets and liabilities at December 31 are:
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Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the U.S. federal corporate tax rate to our effective consolidated tax rate on income before income taxes and equity in net income of affiliated companies is as follows:
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Segment Information (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Sales by Significant Product Group | The following table presents net sales information about our reportable segments, reconciled to consolidated totals:
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Schedule of Sales and Long-Lived Assets, by Geographical Areas | The following table presents net sales and long-lived assets, by the country in which the legal subsidiary is domiciled and assets are located:
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Schedule of Segment Reporting Information, by Segment |
(1) Corporate general costs includes executive and director compensation, certain pension and other retirement benefit costs, and other corporate facilities and administrative expenses not allocated to the segments. (2) During 2024, the Company recorded expense to restructuring and other charges of $2.1 million. The net expense represents the impact of two items, the first of which is $4.6 million of expense recorded within in connection with a plan to optimize the legal structure of the Company and its subsidiaries. The expense consists primarily of consulting fees, legal expenses, and other one-time costs directly attributable to this plan. This expense was partially offset by a $2.5 million benefit recorded within related to revised severance estimates in connection with the Company's 2022 restructuring plan. During 2023, the Company recorded a benefit to restructuring and other charges of $2.0 million, which represents the net impact of a $2.8 million benefit within for revised severance estimates in connection with its 2022 restructuring plan and an inventory write down of $0.8 million within . During 2022, the Company recorded expense to restructuring and other charges of $23.8 million, which primarily included a charge of $8.7 million in net severance and post-employment benefits primarily in connection with our plan to adjust our operating cost base and $15.3 million in asset-related charges associated with this plan. (3) During 2024, 2023 and 2022, the company recorded $0.8 million, $0.7 million and $0.7 million, respectively, of amortization expense within operating profit associated with an acquisition of an intangible asset during the second quarter of 2020. (4) During 2023, the Company recorded a cost investment impairment charge of $4.3 million. During 2022, the net cost investment activity was equal to $3.5 million. (5) During 2023, the Company recorded expense of $11.6 million, as a result of the sale of one of the Company’s manufacturing facilities within the Proprietary Products segment. The transaction closed during the second quarter of 2023. (6) Other segment expense (income) primarily includes foreign exchange transaction gains and losses, adjustments to contingent consideration and asset impairments attributable to the segments during the periods ended December 31, 2024, 2023 and 2022. The following tables provide summarized financial information for our two reportable segments and corporate and unallocated:
(1) Corporate and unallocated assets primarily include investments in affiliated companies, cash and cash equivalents, property, plant and equipment used in our corporate operations and deferred income taxes.
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Basis of Presentation and Summary of Significant Accounting Policies - Narrative (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Finite-Lived Intangible Assets [Line Items] | ||
Allowance for doubtful accounts | $ 0.8 | $ 0.8 |
Minimum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated useful life of finite-lived intangible assets (in years) | 3 years | |
Maximum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated useful life of finite-lived intangible assets (in years) | 25 years |
Basis of Presentation and Summary of Significant Accounting Policies - Schedule of Inventories (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Accounting Policies [Abstract] | ||
Raw materials | $ 166.9 | $ 172.3 |
Work in process | 65.2 | 87.3 |
Finished goods | 144.9 | 175.1 |
Total inventories | $ 377.0 | $ 434.7 |
Revenue - Revenue Recognition (Details) |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Revenue from Contract with Customer Benchmark | Customer Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 100.00% | 100.00% | 100.00% |
Revenue from Contract with Customer Benchmark | Customer Concentration Risk | Biologics | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 39.00% | 37.00% | 41.00% |
Revenue from Contract with Customer Benchmark | Customer Concentration Risk | Generics | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 17.00% | 20.00% | 18.00% |
Revenue from Contract with Customer Benchmark | Customer Concentration Risk | Pharma | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 25.00% | 24.00% | 24.00% |
Revenue from Contract with Customer Benchmark | Customer Concentration Risk | Contract-Manufactured Products | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 19.00% | 19.00% | 17.00% |
Revenue from Contract with Customer Benchmark | Geographic Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 100.00% | 100.00% | 100.00% |
Revenue from Contract with Customer Benchmark | Geographic Concentration Risk | Americas | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 45.00% | 45.00% | 48.00% |
Revenue from Contract with Customer Benchmark | Geographic Concentration Risk | Europe, Middle East, Africa | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 46.00% | 46.00% | 43.00% |
Revenue from Contract with Customer Benchmark | Geographic Concentration Risk | Asia Pacific | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 9.00% | 9.00% | 9.00% |
Revenue from Contract with Customer, Product and Service Benchmark | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 100.00% | 100.00% | 100.00% |
Revenue from Contract with Customer, Product and Service Benchmark | Product Concentration Risk | High-Value Product Components | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 45.00% | 50.00% | 55.00% |
Revenue from Contract with Customer, Product and Service Benchmark | Product Concentration Risk | High-Value Product Delivery Devices | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 14.00% | 10.00% | 5.00% |
Revenue from Contract with Customer, Product and Service Benchmark | Product Concentration Risk | Standard Packaging | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 22.00% | 21.00% | 23.00% |
Revenue from Contract with Customer, Product and Service Benchmark | Product Concentration Risk | Contract-Manufactured Products | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of net sales | 19.00% | 19.00% | 17.00% |
Revenue - Contracts Assets and Liabilities (Details) $ in Millions |
12 Months Ended |
---|---|
Dec. 31, 2024
USD ($)
| |
Contract With Customer, Asset [Roll Forward] | |
Contract assets, December 31, 2023 | $ 21.5 |
Contract assets, December 31, 2024 | 23.3 |
Change in contract assets - increase (decrease) | 1.8 |
Contract With Customer, Liability [Roll Forward] | |
Deferred income, December 31, 2023 | (53.9) |
Deferred income, December 31, 2024 | (53.2) |
Change in deferred income - decrease (increase) | $ 0.7 |
Revenue - Narrative (Details) $ in Millions |
12 Months Ended |
---|---|
Dec. 31, 2024
USD ($)
| |
Revenue from Contract with Customer [Abstract] | |
Revenue recognized during the period | $ 94.8 |
Revenue recognized that was included in the deferred income balance | 37.7 |
Cash payments received in advance | $ 132.8 |
Net Income Per Share - Schedule of Reconciliation of Shares (Details) - USD ($) shares in Millions, $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Earnings Per Share [Abstract] | |||
Net income | $ 492.7 | $ 593.4 | $ 585.9 |
Weighted average common shares outstanding (in shares) | 73.0 | 74.3 | 74.4 |
Dilutive effect of equity awards, based on the treasury stock method (in shares) | 0.7 | 1.0 | 1.4 |
Weighted average shares assuming dilution (in shares) | 73.7 | 75.3 | 75.8 |
Net Income Per Share - Narratives (Details) - shares |
12 Months Ended | |||
---|---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
Feb. 28, 2023 |
|
Earnings Per Share [Abstract] | ||||
Antidilutive options excluded from computation of diluted net income per share (in shares) | 300,000 | 200,000 | 200,000 | |
Stock repurchase program, shares authorized (in shares) | 550,000 | 1,000,000,000 |
Net Income Per Share - Schedule of Repurchase of Common Stock (Details) - USD ($) $ / shares in Units, $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Earnings Per Share [Abstract] | |||
Shares repurchased (in shares) | 1,583,032 | 1,265,661 | |
Total cost of repurchases ($ in millions) | $ 560.9 | $ 438.3 | $ 202.8 |
Average price per repurchased share (in dollars per share) | $ 354.30 | $ 346.34 |
Property, Plant and Equipment - Property, Plant and Equipment, Gross (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 2,985.8 | $ 2,738.0 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | 27.9 | 33.7 |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 916.1 | 771.5 |
Buildings and improvements | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Expected useful lives (years) | 15 years | |
Buildings and improvements | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Expected useful lives (years) | 35 years | |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 1,229.0 | 1,136.5 |
Machinery and equipment | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Expected useful lives (years) | 5 years | |
Machinery and equipment | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Expected useful lives (years) | 12 years | |
Molds and dies | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 169.5 | 164.5 |
Molds and dies | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Expected useful lives (years) | 4 years | |
Molds and dies | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Expected useful lives (years) | 7 years | |
Computer hardware and software | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 232.5 | 216.6 |
Computer hardware and software | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Expected useful lives (years) | 3 years | |
Computer hardware and software | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Expected useful lives (years) | 10 years | |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 410.8 | $ 415.2 |
Property, Plant and Equipment - Narrative (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Property, Plant and Equipment [Abstract] | |||
Depreciation | $ 151.8 | $ 133.7 | $ 116.9 |
Capitalized interest | $ 13.2 | $ 5.8 | $ 3.7 |
Leases - Narrative (Details) |
12 Months Ended | |
---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
|
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Lease, operating lease, terminate term (in years) | 1 year | |
Weighted average remaining lease term (in years) | 8 years 3 months 18 days | 9 years 9 months 18 days |
Weighted average remaining lease term (years) | 6 years 3 months 18 days | |
Weighted average discount rate (as a percent) | 3.99% | 3.55% |
Weighted average discount rate | 4.80% | |
Maximum | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease, term of contract (in months) | 12 months |
Leases - Lease Cost (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Leases [Abstract] | |||
Operating lease cost | $ 24.2 | $ 20.3 | $ 15.5 |
Finance lease - amortization of right-of-use (ROU) assets | 0.9 | 0.0 | 0.0 |
Finance lease - interest on lease liabilities | 0.1 | 0.0 | 0.0 |
Short-term lease cost | 2.5 | 6.1 | 1.3 |
Variable lease cost | 9.0 | 5.5 | 6.8 |
Total lease cost | $ 36.7 | $ 31.9 | $ 23.6 |
Leases - Assets And Liabilities, Lessee (Details) $ in Millions |
Dec. 31, 2024
USD ($)
|
---|---|
Leases [Abstract] | |
ROU assets, net | $ 29.7 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Other noncurrent assets |
Lease liabilities (current) | $ 0.9 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Other current liabilities |
Lease liabilities (noncurrent) | $ 2.1 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other long-term liabilities |
Leases - Lease Cash Flow and Supplemental Information (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Cash paid for amounts included in the measurement of lease liabilities: | |||
Operating cash flows from operating leases | $ 32.5 | $ 19.1 | $ 13.3 |
Operating cash flows from finance leases | 0.1 | 0.0 | 0.0 |
Financing cash flows from finance leases | 23.3 | 0.1 | 0.0 |
Right-of-use assets obtained in exchange for new lease liabilities: | |||
Operating leases | 41.2 | 10.7 | 47.6 |
Finance leases | $ 24.6 | $ 0.0 | $ 0.0 |
Leases - Maturities of Operating Lease Liabilities (Details) $ in Millions |
Dec. 31, 2024
USD ($)
|
---|---|
Operating Leases | |
2025 | $ 23.4 |
2026 | 20.7 |
2027 | 16.3 |
2028 | 14.9 |
2029 | 11.5 |
Thereafter | 26.3 |
Operating lease liability payments due | 113.1 |
Less: imputed lease interest | (13.4) |
Total lease liabilities | 99.7 |
Finance Leases | |
2025 | 0.9 |
2026 | 0.9 |
2027 | 0.9 |
2028 | 0.5 |
2029 | 0.1 |
Thereafter | 0.0 |
Finance lease, liability payment due | 3.3 |
Less: imputed lease interest | (0.3) |
Total lease liabilities | $ 3.0 |
Affiliated Companies - Schedule of Investments (Details) |
Dec. 31, 2024 |
---|---|
The West Company Mexico, S.A. de C.V. | |
Schedule of Equity Method Investments [Line Items] | |
Ownership interest | 49.00% |
Aluplast S.A. de C.V. | |
Schedule of Equity Method Investments [Line Items] | |
Ownership interest | 49.00% |
Pharma Tap S.A. de C.V. | |
Schedule of Equity Method Investments [Line Items] | |
Ownership interest | 49.00% |
Pharma Rubber S.A. de C.V. | |
Schedule of Equity Method Investments [Line Items] | |
Ownership interest | 49.00% |
Daikyo Seiko, Ltd. ("Daikyo") | |
Schedule of Equity Method Investments [Line Items] | |
Ownership interest | 49.00% |
Affiliated Companies-Schedule of Aggregate Carrying Amount (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Equity Method Investments and Joint Ventures [Abstract] | ||
Equity method affiliates | $ 194.9 | $ 203.2 |
Non-equity method affiliates | 7.2 | 6.8 |
Total investments in affiliated companies | $ 202.1 | $ 210.0 |
Affiliated Companies- Schedule of Amounts Due to Affiliates in the Condensed Consolidated Balance Sheets (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Schedule of Equity Method Investments [Line Items] | ||
Payables due to affiliates | $ 188.2 | $ 155.2 |
Receivables due from affiliates | 124.0 | 135.8 |
Affiliated Entity | ||
Schedule of Equity Method Investments [Line Items] | ||
Payables due to affiliates | 18.7 | 25.9 |
Receivables due from affiliates | $ 2.5 | $ 1.6 |
Affiliated Companies - Schedule of Company's Affiliate Transactions (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Schedule of Equity Method Investments [Line Items] | |||
Net sales | $ 2,893.2 | $ 2,949.8 | $ 2,886.9 |
Unremitted income of affiliates | 161.4 | 148.0 | 133.6 |
Dividends received from affiliates | 1.3 | 3.4 | 2.6 |
Distributorship Agreement | |||
Schedule of Equity Method Investments [Line Items] | |||
Purchases from (and payments to) affiliates | 110.0 | 142.5 | 167.6 |
Daikyo Seiko, Ltd. ("Daikyo") | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in unrealized (gains) losses of Daikyo's investments & derivatives | 2.4 | 2.2 | 1.6 |
Affiliated Entity | |||
Schedule of Equity Method Investments [Line Items] | |||
Net sales | $ 15.3 | $ 11.2 | $ 14.2 |
Goodwill and Intangible Assets - Goodwill (Details) - USD ($) $ in Millions |
12 Months Ended | |
---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
|
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | $ 108.5 | $ 107.3 |
Foreign currency translation | (2.5) | 1.2 |
Goodwill, ending balance | 106.0 | 108.5 |
Proprietary Products | ||
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | 78.9 | 77.9 |
Foreign currency translation | (2.1) | 1.0 |
Goodwill, ending balance | 76.8 | 78.9 |
Contract-Manufactured Products | ||
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | 29.6 | 29.4 |
Foreign currency translation | (0.4) | 0.2 |
Goodwill, ending balance | $ 29.2 | $ 29.6 |
Goodwill and Intangible Assets - Narrative (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Accumulated goodwill impairment losses | $ 0.1 | ||
Foreign currency translation losses | (0.7) | $ (0.1) | |
Amortization of intangible assets | 3.6 | $ 3.6 | $ 3.7 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |||
Estimated annual amortization expense, 2025 | 2.8 | ||
Estimated annual amortization expense, 2026 | 2.5 | ||
Estimated annual amortization expense, 2027 | 2.3 | ||
Estimated annual amortization expense, 2028 | 1.7 | ||
Estimated annual amortization expense, 2029 | $ 0.9 |
Goodwill and Intangible Assets - Intangible Assets by Major Class (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Schedule of Intangible Assets by Major Class [Line Items] | ||
Cost | $ 76.1 | $ 76.8 |
Accumulated amortization | (65.3) | (61.7) |
Net | 10.8 | 15.1 |
Patents and licensing | ||
Schedule of Intangible Assets by Major Class [Line Items] | ||
Cost | 24.7 | 24.8 |
Accumulated amortization | (23.0) | (21.8) |
Net | 1.7 | 3.0 |
Technology | ||
Schedule of Intangible Assets by Major Class [Line Items] | ||
Cost | 3.3 | 3.3 |
Accumulated amortization | (2.7) | (2.5) |
Net | 0.6 | 0.8 |
Trademarks | ||
Schedule of Intangible Assets by Major Class [Line Items] | ||
Cost | 1.2 | 1.2 |
Accumulated amortization | (1.2) | (1.2) |
Net | 0.0 | 0.0 |
Customer relationships | ||
Schedule of Intangible Assets by Major Class [Line Items] | ||
Cost | 38.9 | 39.5 |
Accumulated amortization | (30.8) | (29.0) |
Net | 8.1 | 10.5 |
Customer contracts | ||
Schedule of Intangible Assets by Major Class [Line Items] | ||
Cost | 8.0 | 8.0 |
Accumulated amortization | (7.6) | (7.2) |
Net | $ 0.4 | $ 0.8 |
Other Current Liabilities (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
---|---|---|---|
Other Current Liabilities [Abstract] | |||
Deferred income | $ 49.6 | $ 41.7 | |
Accrued commissions, rebates & royalties | 24.6 | 22.4 | |
Short term derivative instruments | 17.4 | 2.1 | |
Dividends payable | 15.2 | 14.8 | $ 14.1 |
Accrued taxes other than income | 12.9 | 9.2 | |
Accrued retirement plans (excl. pension) | 12.6 | 10.9 | |
Accrued professional services | 6.8 | 5.1 | |
International value added tax payable | 6.0 | 5.2 | |
Restructuring and severance related charges | 1.6 | 3.8 | |
Accrued interest | 1.6 | 2.6 | |
Other | 39.9 | 37.4 | |
Total other current liabilities | $ 188.2 | $ 155.2 |
Debt - Schedule of Debt (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
Jul. 05, 2012 |
---|---|---|---|
Debt Instrument [Line Items] | |||
Long-term debt, gross | $ 203.0 | $ 207.0 | |
Less: unamortized debt issuance costs for Term Loan and Series notes | 0.4 | 0.2 | |
Total debt | 202.6 | 206.8 | |
Less: current portion of long-term debt | 0.0 | 134.0 | |
Long-term debt, net | $ 202.6 | 72.8 | |
Term Loan, due July 2, 2027 (5.68%) | |||
Debt Instrument [Line Items] | |||
Debt instrument, stated interest rate (as a percent) | 5.68% | ||
Long-term debt, gross | $ 130.0 | 0.0 | |
Term Loan, due December 31, 2024 (6.32%) | |||
Debt Instrument [Line Items] | |||
Debt instrument, stated interest rate (as a percent) | 6.32% | ||
Long-term debt, gross | $ 0.0 | 81.0 | |
Series B notes, due July 5, 2024 (3.82%) | |||
Debt Instrument [Line Items] | |||
Debt instrument, stated interest rate (as a percent) | 3.82% | 3.82% | |
Long-term debt, gross | $ 0.0 | 53.0 | |
Series C notes, due July 5, 2027 (4.02%) | |||
Debt Instrument [Line Items] | |||
Debt instrument, stated interest rate (as a percent) | 4.02% | ||
Long-term debt, gross | $ 73.0 | $ 73.0 |
Debt - Narrative (Details) |
1 Months Ended | 12 Months Ended | ||||||
---|---|---|---|---|---|---|---|---|
Jul. 02, 2024
USD ($)
|
Mar. 31, 2022
USD ($)
fiscal_quarter
instance
|
Dec. 31, 2024
USD ($)
|
Dec. 31, 2023
USD ($)
|
Dec. 31, 2022
USD ($)
|
Feb. 28, 2022
USD ($)
|
Dec. 31, 2012
USD ($)
tranche
|
Jul. 05, 2012 |
|
Line of Credit Facility [Line Items] | ||||||||
Long-term debt, gross | $ 203,000,000.0 | $ 207,000,000.0 | ||||||
Number of tranches | tranche | 3 | |||||||
Unamortized debt issuance costs remaining | 400,000 | 200,000 | ||||||
Interest expense | 16,200,000 | 14,800,000 | $ 11,600,000 | |||||
Aggregate annual maturities of long-term debt [Abstract] | ||||||||
2025 | 0.0 | |||||||
2026 | 0.0 | |||||||
2027 | 203,000,000.0 | |||||||
2028 and thereafter | 0.0 | |||||||
Secured Overnight Financing Rate (SOFR) | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis spread on variable interest rate (as a percent) | 1.25% | |||||||
Secured Overnight Financing Rate (SOFR) | Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis spread on variable interest rate (as a percent) | 1.25% | |||||||
Secured Overnight Financing Rate (SOFR) | Maximum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis spread on variable interest rate (as a percent) | 1.625% | |||||||
Base Rate | Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis spread on variable interest rate (as a percent) | 0.25% | |||||||
Base Rate | Maximum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis spread on variable interest rate (as a percent) | 0.625% | |||||||
Revolving Credit Facility, Due 2024 | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Line of credit facility, current borrowing capacity | $ 500,000,000 | $ 300,000,000 | ||||||
Amount available for issuance of letters of credit | 50,000,000 | |||||||
Line of credit facility, additional borrowing capacity | $ 929,000,000 | |||||||
Preceding period (in months) | 12 months | |||||||
Ratio of debt to EBITDA | 3.5 | |||||||
Number of instances ratio of debt to EBITDA not to exceed threshold | instance | 3 | |||||||
Number of quarters following acquisition | fiscal_quarter | 4 | |||||||
Ratio of debt to EBITDA after acquisition | 4.0 | |||||||
Debt issuance costs | 1,000,000 | 1,000,000 | ||||||
Line of credit, noncurrent | 0 | |||||||
Line of credit facility, unused commitment level | 497,600,000 | |||||||
Revolving Credit Facility, Due 2024 | Applicable Margin | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis spread on variable interest rate (as a percent) | 0.10% | |||||||
Revolving Credit Facility, Due 2024 | Fed Funds Effective Rate Overnight Index Swap Rate | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis spread on variable interest rate (as a percent) | 0.50% | |||||||
Revolving Credit Facility, Due 2024 | Secured Overnight Financing Rate (SOFR) | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis spread on variable interest rate (as a percent) | 1.00% | |||||||
Revolving Credit Facility, Due 2024 | Secured Overnight Financing Rate (SOFR) | Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Applicable margin ratio | 0.00875 | |||||||
Revolving Credit Facility, Due 2024 | Secured Overnight Financing Rate (SOFR) | Maximum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Applicable margin ratio | 0.01375 | |||||||
Revolving Credit Facility, Due 2024 | Base Rate | Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Applicable margin ratio | 0 | |||||||
Revolving Credit Facility, Due 2024 | Base Rate | Maximum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Applicable margin ratio | 0.00375 | |||||||
Revolving Credit Facility, Due 2024 | Domestic Line of Credit | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Credit facility is available for swing-line loans | $ 50,000,000 | |||||||
Revolving Credit Facility, Due 2024 | Foreign Line of Credit | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Credit facility is available for swing-line loans | $ 40,000,000 | |||||||
Revolving Credit Facility, Due 2024 | Letter of Credit | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Letters of credit supporting the reimbursement of workers' compensation and other claims | $ 2,400,000 | |||||||
Term Loan, due July 2, 2027 (5.68%) | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument, face amount | $ 130,000,000.0 | |||||||
Debt instrument, stated interest rate (as a percent) | 5.68% | |||||||
Long-term debt, gross | $ 130,000,000.0 | 0 | ||||||
Term Loan, due December 31, 2024 (6.32%) | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt issuance costs | $ 300,000 | 100,000 | ||||||
Repayments of other long-term debt | 79,900,000 | |||||||
Debt instrument, stated interest rate (as a percent) | 6.32% | |||||||
Long-term debt, gross | $ 0 | 81,000,000.0 | ||||||
Series B notes, due July 5, 2024 (3.82%) | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Repayments of other long-term debt | $ 53,000,000.0 | |||||||
Debt instrument, stated interest rate (as a percent) | 3.82% | 3.82% | ||||||
Long-term debt, gross | $ 0 | 53,000,000.0 | ||||||
Senior Notes | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument, face amount | $ 168,000,000.0 | |||||||
Weighted average of the coupon interest rate (as a percent) | 3.94% | |||||||
Unamortized debt issuance costs remaining | $ 100,000 | $ 100,000 | ||||||
Senior Notes | Series A notes, due July 5, 2022 (3.67%) | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument, face amount | $ 42,000,000.0 | |||||||
Debt instrument, stated interest rate (as a percent) | 3.67% | |||||||
Senior Notes | Series B notes, due July 5, 2024 (3.82%) | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument, face amount | $ 53,000,000.0 | |||||||
Debt instrument, stated interest rate (as a percent) | 3.82% | |||||||
Senior Notes | Series C notes, due July 5, 2027 (4.02%) | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument, face amount | $ 73,000,000.0 | |||||||
Debt instrument, stated interest rate (as a percent) | 4.02% |
Derivative Financial Instruments - Narrative (Details) € in Millions, $ in Millions, $ in Millions, ¥ in Billions |
1 Months Ended | 12 Months Ended | |||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2019
USD ($)
|
Dec. 31, 2025
USD ($)
|
Dec. 31, 2024
USD ($)
|
Dec. 31, 2023
USD ($)
|
Dec. 31, 2022
USD ($)
|
Dec. 31, 2024
SGD ($)
bbl
$ / bbl
|
Dec. 31, 2024
USD ($)
bbl
$ / bbl
|
Dec. 31, 2024
EUR (€)
bbl
$ / bbl
|
Dec. 31, 2024
JPY (¥)
bbl
$ / bbl
|
Jul. 31, 2024
USD ($)
|
Dec. 31, 2023
SGD ($)
|
Dec. 31, 2023
USD ($)
|
Dec. 31, 2023
EUR (€)
|
|
Fair Value Hedges: | |||||||||||||
Derivative [Line Items] | |||||||||||||
(Loss) gain recognized in earnings | $ (5.9) | $ (0.2) | $ 4.0 | ||||||||||
Fair Value Hedges: | Forecast | |||||||||||||
Derivative [Line Items] | |||||||||||||
(Loss) gain recognized in earnings | $ (0.3) | ||||||||||||
Currency forwards | SGD | Intercompany Loans | |||||||||||||
Derivative [Line Items] | |||||||||||||
Derivative, notional amount | $ 421.9 | $ 601.5 | |||||||||||
Currency forwards | SGD | Intercompany Demand Notes | |||||||||||||
Derivative [Line Items] | |||||||||||||
Derivative, notional amount | $ 94.0 | ||||||||||||
Currency forwards | United States of America, Dollars | Intercompany Loans | |||||||||||||
Derivative [Line Items] | |||||||||||||
Derivative, notional amount | $ 13.4 | $ 13.4 | |||||||||||
Currency forwards | United States of America, Dollars | Intercompany Demand Notes | |||||||||||||
Derivative [Line Items] | |||||||||||||
Derivative, notional amount | 47.1 | ||||||||||||
Currency forwards | EUR | Intercompany Demand Notes | |||||||||||||
Derivative [Line Items] | |||||||||||||
Derivative, notional amount | € | € 145.3 | € 278.6 | |||||||||||
Foreign Exchange Forward | |||||||||||||
Derivative [Line Items] | |||||||||||||
Derivative contract term | 18 months | ||||||||||||
Cross Currency Interest Rate Contract | United States of America, Dollars | Net Investment Hedges: | |||||||||||||
Derivative [Line Items] | |||||||||||||
Derivative, notional amount | $ 90.0 | $ 130.0 | ¥ 17.0 | $ 130.0 | |||||||||
Derivative contract term | 5 years | ||||||||||||
Commodity Call Options | |||||||||||||
Derivative [Line Items] | |||||||||||||
Derivative, nonmonetary notional amount outstanding | bbl | 190,773 | 190,773 | 190,773 | 190,773 | |||||||||
Derivative, average price risk option strike price | $ / bbl | 84.70 | 84.70 | 84.70 | 84.70 |
Derivative Financial Instruments - Foreign Exchange Rate Risk (Details) - Dec. 31, 2024 - Foreign Exchange Forward - Designated as Hedging Instrument € in Millions, ¥ in Millions, $ in Millions, $ in Millions |
SGD ($) |
USD ($) |
EUR (€) |
JPY (¥) |
---|---|---|---|---|
EUR | Purchase | ||||
Derivative [Line Items] | ||||
Derivative, notional amount | € | € 20.8 | |||
EUR | Sell | ||||
Derivative [Line Items] | ||||
Derivative, notional amount | $ 0.0 | $ 22.9 | 0.0 | |
JPY | Purchase | ||||
Derivative [Line Items] | ||||
Derivative, notional amount | ¥ | ¥ 6,683.7 | |||
JPY | Sell | ||||
Derivative [Line Items] | ||||
Derivative, notional amount | 1.8 | 28.4 | 14.8 | |
SGD | Purchase | ||||
Derivative [Line Items] | ||||
Derivative, notional amount | $ | 39.8 | |||
SGD | Sell | ||||
Derivative [Line Items] | ||||
Derivative, notional amount | $ 0.0 | $ 16.9 | € 12.2 |
Derivative Financial Instruments - Effects of Derivative Instruments (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Derivative Instruments, Gain (Loss) [Line Items] | |||
Total | $ (5.9) | $ (1.4) | $ 5.2 |
Other expense (income) | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Hedged item (intercompany loan) | 1.6 | (0.3) | (28.3) |
Derivative designated as hedging instrument | (1.6) | 0.3 | 28.3 |
Amount excluded from effectiveness testing | $ (5.9) | $ (1.4) | $ 5.2 |
Derivative Financial Instruments - Effects of Derivative Instruments on Other Comprehensive Income ('OCI') and Earnings (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Derivative Instruments, Gain (Loss) [Line Items] | |||
Cash flow hedges, amount of gain (loss) recognized in OCI | $ (5.8) | $ (4.8) | $ (0.8) |
Fair value and net investment hedges, amount of gain (loss) recognized in OCI | 6.8 | 8.6 | 9.1 |
Other comprehensive income (loss), cash flow hedge, gain (loss), reclassification, before tax | 3.8 | 3.7 | 2.5 |
Fair value and net investment hedges, amount of (gain) loss reclassified from accumulated OCI into income | 0.0 | 0.0 | 0.0 |
Net sales | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments, net, pretax | (0.5) | 1.3 | (1.2) |
Cost of goods and services sold | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments, net, pretax | 4.2 | 2.2 | 3.5 |
Interest expense | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments, net, pretax | 0.1 | 0.2 | 0.2 |
Fair Value Hedges: | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Other comprehensive income (loss), derivative, excluded component, increase (decrease), before adjustments and tax | 0.2 | (2.0) | 1.3 |
Other comprehensive income (loss), derivative, excluded component, increase (decrease), adjustments, before tax | (0.7) | 2.9 | (1.6) |
Foreign currency hedge contracts | Net sales | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Cash flow hedges, amount of gain (loss) recognized in OCI | 1.1 | (0.8) | 0.3 |
Other comprehensive income (loss), cash flow hedge, reclassification for discontinuance, before tax | (0.5) | 1.3 | (1.2) |
Foreign currency hedge contracts | Cost of goods and services sold | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Cash flow hedges, amount of gain (loss) recognized in OCI | (6.9) | (4.0) | (1.1) |
Other comprehensive income (loss), cash flow hedge, reclassification for discontinuance, before tax | 4.2 | 2.2 | 3.5 |
Foreign currency hedge contracts | Fair Value Hedges: | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Other comprehensive income (loss), derivative, excluded component, increase (decrease), before adjustments and tax | 0.2 | (2.0) | 1.3 |
Other comprehensive income (loss), derivative, excluded component, increase (decrease), adjustments, before tax | (0.7) | 2.9 | (1.6) |
Forward treasury locks | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Cash flow hedges, amount of gain (loss) recognized in OCI | 0.0 | 0.0 | 0.0 |
Other comprehensive income (loss), cash flow hedge, reclassification for discontinuance, before tax | 0.1 | 0.2 | 0.2 |
Cross-currency swap | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Fair value and net investment hedges, amount of gain (loss) recognized in OCI | 6.8 | 8.6 | 9.1 |
Fair value and net investment hedges, amount of (gain) loss reclassified from accumulated OCI into income | $ 0.0 | $ 0.0 | $ 0.0 |
Derivative Financial Instruments - Derivative Instruments Not Designated as Hedges (Details) - Not Designated as Hedging Instrument - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative instruments not designated as hedging instruments, gain (loss), net | $ (3.2) | $ (1.2) | $ 1.5 |
Commodity call options | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative instruments not designated as hedging instruments, gain (loss), net | (0.7) | (1.3) | 1.5 |
Currency forwards | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative instruments not designated as hedging instruments, gain (loss), net | $ (2.5) | $ 0.1 | $ 0.0 |
Fair Value Measurements - Fair Value of Assets and Liabilities (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Assets: | ||
Deferred compensation assets | $ 11.1 | $ 10.2 |
Foreign currency contracts | 17.3 | 5.0 |
Total assets at fair value | 241.2 | 496.7 |
Liabilities: | ||
Contingent consideration | 3.0 | 3.6 |
Deferred compensation liabilities | 11.2 | 10.4 |
Total liabilities at fair value | 32.5 | 16.2 |
Cross-currency swap | ||
Assets: | ||
Commodity call options | 23.6 | 18.4 |
Commodity call options | ||
Assets: | ||
Commodity call options | 0.3 | 0.6 |
Foreign currency hedge contracts | ||
Liabilities: | ||
Foreign currency contracts | 18.3 | 2.2 |
Money market funds | ||
Assets: | ||
Money market funds | 117.6 | 404.4 |
Time deposits | ||
Assets: | ||
Money market funds | 71.3 | 47.9 |
Level 1 | ||
Assets: | ||
Deferred compensation assets | 11.1 | 10.2 |
Foreign currency contracts | 0.0 | 0.0 |
Total assets at fair value | 128.7 | 424.8 |
Liabilities: | ||
Contingent consideration | 0.0 | 0.0 |
Deferred compensation liabilities | 11.2 | 10.4 |
Total liabilities at fair value | 11.2 | 10.4 |
Level 1 | Cross-currency swap | ||
Assets: | ||
Commodity call options | 0.0 | 0.0 |
Level 1 | Commodity call options | ||
Assets: | ||
Commodity call options | 0.0 | 0.0 |
Level 1 | Foreign currency hedge contracts | ||
Liabilities: | ||
Foreign currency contracts | 0.0 | 0.0 |
Level 1 | Money market funds | ||
Assets: | ||
Money market funds | 117.6 | 404.4 |
Level 1 | Time deposits | ||
Assets: | ||
Money market funds | 0.0 | 0.0 |
Level 2 | ||
Assets: | ||
Deferred compensation assets | 0.0 | 0.0 |
Foreign currency contracts | 17.3 | 5.0 |
Total assets at fair value | 112.5 | 71.9 |
Liabilities: | ||
Contingent consideration | 0.0 | 0.0 |
Deferred compensation liabilities | 0.0 | 0.0 |
Total liabilities at fair value | 18.3 | 2.2 |
Level 2 | Cross-currency swap | ||
Assets: | ||
Commodity call options | 23.6 | 18.4 |
Level 2 | Commodity call options | ||
Assets: | ||
Commodity call options | 0.3 | 0.6 |
Level 2 | Foreign currency hedge contracts | ||
Liabilities: | ||
Foreign currency contracts | 18.3 | 2.2 |
Level 2 | Money market funds | ||
Assets: | ||
Money market funds | 0.0 | 0.0 |
Level 2 | Time deposits | ||
Assets: | ||
Money market funds | 71.3 | 47.9 |
Level 3 | ||
Assets: | ||
Deferred compensation assets | 0.0 | 0.0 |
Foreign currency contracts | 0.0 | 0.0 |
Total assets at fair value | 0.0 | 0.0 |
Liabilities: | ||
Contingent consideration | 3.0 | 3.6 |
Deferred compensation liabilities | 0.0 | 0.0 |
Total liabilities at fair value | 3.0 | 3.6 |
Level 3 | Cross-currency swap | ||
Assets: | ||
Commodity call options | 0.0 | 0.0 |
Level 3 | Commodity call options | ||
Assets: | ||
Commodity call options | 0.0 | 0.0 |
Level 3 | Foreign currency hedge contracts | ||
Liabilities: | ||
Foreign currency contracts | 0.0 | 0.0 |
Level 3 | Money market funds | ||
Assets: | ||
Money market funds | 0.0 | 0.0 |
Level 3 | Time deposits | ||
Assets: | ||
Money market funds | $ 0.0 | $ 0.0 |
Fair Value Measurements - Other Financial Instruments (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Fair Value Disclosures [Abstract] | ||
Long-term debt, fair value | $ 200.5 | |
Long-term debt | 202.6 | $ 72.8 |
Debt, fair value | 204.4 | |
Long-term debt | $ 202.6 | $ 206.8 |
Accumulated Other Comprehensive Loss - Components of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Changes in the Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | |||
Beginning balance | $ 2,881.0 | $ 2,684.9 | $ 2,335.4 |
Other comprehensive (loss) income before reclassifications | (116.6) | 34.1 | (56.0) |
Amounts reclassified out | 2.3 | 5.1 | 32.6 |
Other comprehensive (loss) income, net of tax | (114.3) | 39.2 | (23.4) |
Ending balance | 2,682.3 | 2,881.0 | 2,684.9 |
Derivatives | |||
Changes in the Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | |||
Beginning balance | 0.0 | 0.2 | (1.2) |
Other comprehensive (loss) income before reclassifications | (5.6) | (6.8) | 0.5 |
Amounts reclassified out | 3.1 | 6.6 | 0.9 |
Other comprehensive (loss) income, net of tax | (2.5) | (0.2) | 1.4 |
Ending balance | (2.5) | 0.0 | 0.2 |
Equity affiliate investment AOCI | |||
Changes in the Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | |||
Beginning balance | 2.3 | 1.6 | 1.5 |
Other comprehensive (loss) income before reclassifications | 0.2 | 0.7 | 0.1 |
Amounts reclassified out | 0.0 | 0.0 | 0.0 |
Other comprehensive (loss) income, net of tax | 0.2 | 0.7 | 0.1 |
Ending balance | 2.5 | 2.3 | 1.6 |
Defined benefit pension and other postretirement plans | |||
Changes in the Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | |||
Beginning balance | (10.1) | (9.4) | (31.8) |
Other comprehensive (loss) income before reclassifications | 1.1 | 0.8 | (9.3) |
Amounts reclassified out | (0.8) | (1.5) | 31.7 |
Other comprehensive (loss) income, net of tax | 0.3 | (0.7) | 22.4 |
Ending balance | (9.8) | (10.1) | (9.4) |
Foreign currency translation | |||
Changes in the Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | |||
Beginning balance | (136.0) | (175.4) | (128.1) |
Other comprehensive (loss) income before reclassifications | (112.3) | 39.4 | (47.3) |
Amounts reclassified out | 0.0 | 0.0 | 0.0 |
Other comprehensive (loss) income, net of tax | (112.3) | 39.4 | (47.3) |
Ending balance | (248.3) | (136.0) | (175.4) |
Total | |||
Changes in the Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | |||
Beginning balance | (143.8) | (183.0) | (159.6) |
Other comprehensive (loss) income, net of tax | (114.3) | 39.2 | (23.4) |
Ending balance | $ (258.1) | $ (143.8) | $ (183.0) |
Accumulated Other Comprehensive Loss - Other Comprehensive Loss Reclassifications (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Reclassification out of Accumulated Other Comprehensive Loss [Line Items] | |||
Net sales | $ 2,893.2 | $ 2,949.8 | $ 2,886.9 |
Cost of goods and services sold | (1,894.7) | (1,820.6) | (1,750.7) |
Other expense (income) | (21.0) | (31.4) | (26.8) |
Interest expense | (3.0) | (9.0) | (7.9) |
Total before tax | 585.5 | 698.0 | 679.9 |
Tax (expense) benefit | (107.5) | (122.3) | (114.7) |
Total reclassifications for the period, net of tax | 492.7 | 593.4 | 585.9 |
Reclassification out of Accumulated Other Comprehensive Loss | |||
Reclassification out of Accumulated Other Comprehensive Loss [Line Items] | |||
Total reclassifications for the period, net of tax | (2.3) | (5.1) | (32.6) |
Reclassification out of Accumulated Other Comprehensive Loss | Gains (losses) on derivatives: | |||
Reclassification out of Accumulated Other Comprehensive Loss [Line Items] | |||
Total before tax | (4.1) | (9.1) | (0.6) |
Tax (expense) benefit | 1.0 | 2.5 | (0.3) |
Total reclassifications for the period, net of tax | (3.1) | (6.6) | (0.9) |
Reclassification out of Accumulated Other Comprehensive Loss | Gains (losses) on derivatives: | Foreign currency contracts | |||
Reclassification out of Accumulated Other Comprehensive Loss [Line Items] | |||
Net sales | 0.5 | (1.5) | 1.4 |
Cost of goods and services sold | (5.5) | (3.1) | (4.1) |
Other expense (income) | 1.0 | (4.2) | 2.4 |
Reclassification out of Accumulated Other Comprehensive Loss | Gains (losses) on derivatives: | Forward treasury locks | |||
Reclassification out of Accumulated Other Comprehensive Loss [Line Items] | |||
Interest expense | (0.1) | (0.3) | (0.3) |
Reclassification out of Accumulated Other Comprehensive Loss | Amortization of defined benefit pension and other postretirement plans: | |||
Reclassification out of Accumulated Other Comprehensive Loss [Line Items] | |||
Actuarial gains | 1.0 | 1.7 | 0.6 |
Settlements | 0.0 | (0.1) | (52.2) |
Other | 0.0 | 0.4 | (0.4) |
Total before tax | 1.0 | 2.0 | (52.0) |
Tax (expense) benefit | (0.2) | (0.5) | 20.3 |
Total reclassifications for the period, net of tax | $ 0.8 | $ 1.5 | $ (31.7) |
Stock-Based Compensation - Narrative (Details) $ / shares in Units, $ in Thousands |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024
USD ($)
plan
$ / shares
shares
|
Dec. 31, 2023
USD ($)
plan
$ / shares
shares
|
Dec. 31, 2022
USD ($)
$ / shares
shares
|
|
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Shares available for issuance under the 2016 Plan (in shares) | 1,300,000 | ||
Unrecognized compensation expense for all nonvested awards | $ | $ 25,800 | ||
Weighted average period for recognition (in years) | 1 year 7 months 6 days | ||
Weighted average remaining contractual life of options outstanding (in years) | 4 years 7 months 6 days | ||
Weighted average remaining contractual life of options exercisable (in years) | 3 years 8 months 12 days | ||
Aggregate intrinsic value of total options outstanding | $ | $ 182,000 | ||
Aggregate intrinsic value of total options vested | $ | $ 178,700 | ||
Weighted average grant date fair value of options granted (in dollars per share) | $ / shares | $ 134.25 | $ 108.95 | $ 96.43 |
Intrinsic value of options exercised | $ | $ 90,500 | $ 151,000 | $ 60,100 |
Grant date fair value of options vested | $ | $ 10,800 | $ 8,600 | $ 8,800 |
Deferred compensation plans and restricted share awards | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Deferred compensation conversion unit (in shares) | 1 | ||
Number of deferred compensation plans | plan | 2 | 2 | |
Number of deferred stock units (in shares) | 332,897 | 352,541 | |
Number of deferred stock units payable in cash (in shares) | 8,851 | 8,931 | |
Deferred compensation plans and restricted share awards | Non-Employee Directors | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Granted at target level (in dollars per share) | $ / shares | $ 386.03 | $ 357.00 | $ 300.78 |
Granted at target level (in shares) | 6,064 | 6,160 | 4,827 |
Stock Option | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Rate shares are reduced for each award granted | 1 | ||
Awards, expiration period (in years) | 10 years | ||
Risk-free interest rate (as a percent) | 4.30% | 4.10% | 1.80% |
Stock volatility (as a percent) | 32.00% | 29.80% | 25.10% |
Dividend yield (as a percent) | 0.30% | 0.30% | 0.20% |
Expected life (in years) | 6 years | 5 years 8 months 12 days | 5 years 7 months 6 days |
Award Types Other than Stock Options and Stock Appreciation Rights | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Rate shares are reduced for each award granted | 2.5 | ||
Stock-settled PSU awards | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Granted at target level (in dollars per share) | $ / shares | $ 348.20 | $ 306.97 | $ 362.40 |
Number of shares to be issued upon conversion (in shares) | 7,946 | ||
Granted at target level (in shares) | 34,484 | ||
Stock-settled PSU awards | Minimum | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Actual payout range | 0.00% | ||
Stock-settled PSU awards | Maximum | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Actual payout range | 200.00% | ||
Employee stock purchase plan | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Shares available for issuance under the 2016 Plan (in shares) | 3,700,000 | ||
Percentage of current market price for sales to eligible employees (as a percent) | 85.00% | ||
Limitation on payroll deductions of employee's base salary (as a percent) | 25.00% | ||
Limitation on payroll deductions of employee's base salary, amount | $ | $ 25 | ||
Maximum number of shares per employee (in shares) | 2,000 | ||
Maximum number of shares per employee, per year (in shares) | 8,000 | ||
Purchases of shares (in shares) | 25,237 | 23,955 | 27,894 |
Restricted Stock | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Granted at target level (in dollars per share) | $ / shares | $ 339.32 | $ 314.06 | $ 310.52 |
Granted at target level (in shares) | 9,660 | 8,343 | 9,648 |
Stock-Based Compensation - Allocation of Share-based Compensation Costs (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Stock compensation expense | $ 18.7 | $ 23.3 | $ 23.7 |
Stock option and appreciation rights | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Stock compensation expense | 11.0 | 11.3 | 5.6 |
Performance share units | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Stock compensation expense | 2.2 | 5.9 | 15.6 |
Employee stock purchase plan | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Stock compensation expense | 1.3 | 1.3 | 1.3 |
Deferred compensation plans and restricted share awards | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Stock compensation expense | $ 4.2 | $ 4.8 | $ 1.2 |
Stock-Based Compensation - Stock Options Activity (Details) shares in Millions |
12 Months Ended |
---|---|
Dec. 31, 2024
$ / shares
shares
| |
Stock Options | |
Options outstanding, beginning (in shares) | shares | 1.4 |
Granted (in shares) | shares | 0.1 |
Exercised (in shares) | shares | (0.3) |
Forfeited (in shares) | shares | (0.0) |
Options outstanding, ending (in shares) | shares | 1.2 |
Options vested and expected to vest (in shares) | shares | 1.1 |
Options vested and exercisable (in shares) | shares | 0.9 |
Weighted Average Exercise Price | |
Options outstanding, beginning (in dollars per share) | $ / shares | $ 145.40 |
Granted (in dollars per share) | $ / shares | 348.25 |
Exercised (in dollars per share) | $ / shares | 77.88 |
Forfeited (in dollars per share) | $ / shares | 331.97 |
Options outstanding, ending (in dollars per share) | $ / shares | 176.37 |
Options vested and expected to vest (in dollars per share) | $ / shares | 172.07 |
Options vested and exercisable (in dollars per share) | $ / shares | $ 137.48 |
Stock-Based Compensation - Nonvested Performance-based Award Activity (Details) - Stock-settled PSU awards - $ / shares |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Units | |||
Outstanding, beginning (in shares) | 98,441 | ||
Granted at target level (in shares) | 34,484 | ||
Adjustments above/(below) target (in shares) | 2,523 | ||
Vested and converted (in shares) | (35,388) | ||
Forfeited (in shares) | (6,686) | ||
Outstanding, ending (in shares) | 93,374 | 98,441 | |
Weighted Average Fair Value | |||
Outstanding, beginning (in dollars per share) | $ 334.03 | ||
Granted at target level (in dollars per share) | 348.20 | $ 306.97 | $ 362.40 |
Adjustments above/(below) target (in dollars per share) | 339.07 | ||
Vested and converted (in dollars per share) | 350.18 | ||
Forfeited (in dollars per share) | 331.62 | ||
Outstanding, ending (in dollars per share) | $ 326.56 | $ 334.03 |
Benefit Plans - Narrative (Details) - USD ($) |
12 Months Ended | |||
---|---|---|---|---|
Dec. 31, 2031 |
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Defined Benefit Plan Disclosure [Line Items] | ||||
401 (k) plan contributions | $ 23,200,000 | $ 22,700,000 | $ 22,800,000 | |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) Excluding Service Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] | Other Nonoperating Income (Expense) | |||
Fair value of plan assets | 29,200,000 | 32,300,000 | ||
Accumulated benefit obligation | $ 49,500,000 | 53,700,000 | ||
Assumed healthcare cost trend rate used to determine benefit obligations | 6.50% | |||
Assumed healthcare cost trend rate used to determine net periodic benefit cost | 6.75% | |||
Forecast | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Assumed healthcare cost trend rate used to determine benefit obligations | 5.00% | |||
Assumed healthcare cost trend rate used to determine net periodic benefit cost | 5.00% | |||
Other retirement benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Settlements | $ 0 | 0 | $ 0 | |
Fair value of plan assets | 0 | $ 0 | $ 0 | |
Expected contribution to the plan | $ 500,000 | |||
Discount rate (as a percent) | 5.60% | 5.20% | ||
Rate of compensation increase | 0.00% | 0.00% | ||
Expected long-term rate of return on assets (as a percent) | 0.00% | 0.00% | 0.00% | |
Pension benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Settlements | $ 0 | $ (100,000) | $ (52,200,000) | |
Fair value of plan assets | 29,200,000 | $ 32,300,000 | $ 29,400,000 | |
Expected contribution to the plan | $ 600,000 | |||
Discount rate (as a percent) | 4.38% | 3.95% | ||
Rate of compensation increase | 3.07% | 3.08% | ||
Expected long-term rate of return on assets (as a percent) | 4.01% | 4.22% | 4.14% | |
United States | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Employer contribution | $ 0 | $ 0 | $ 7,100,000 | |
Discount rate (as a percent) | 5.60% | 5.20% | ||
Rate of compensation increase | 0.00% | 0.00% | ||
Expected long-term rate of return on assets (as a percent) | 3.70% | |||
International plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 29,200,000 | $ 32,300,000 | ||
Accumulated benefit obligation | $ 44,000,000.0 | $ 47,700,000 | ||
Discount rate (as a percent) | 4.24% | 3.80% | ||
Rate of compensation increase | 3.07% | 3.08% |
Benefit Plans - Components of Net Periodic Benefit Cost (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Pension benefits | |||
Net periodic benefit cost: | |||
Service cost | $ 1.2 | $ 1.1 | $ 1.5 |
Interest cost | 2.1 | 2.4 | 4.2 |
Expected return on plan assets | (1.3) | (1.2) | (6.1) |
Amortization of actuarial loss (gain) | 0.6 | 0.6 | 1.3 |
Settlement loss | 0.0 | 0.1 | 52.2 |
Other | 1.0 | 0.3 | 1.0 |
Net periodic benefit cost | 3.6 | 3.3 | 54.1 |
Other changes in plan assets and benefit obligations recognized in OCI, pre-tax: | |||
Net (gain) loss arising during period | (0.7) | (1.4) | 16.0 |
Amortization of actuarial (loss) gain | (0.6) | (0.3) | (1.3) |
Settlement loss | 0.0 | (0.1) | (52.2) |
Foreign currency translation | (0.2) | 0.7 | (2.3) |
Other | 0.0 | 0.4 | 0.0 |
Total recognized in OCI | (1.5) | (0.7) | (39.8) |
Total recognized in net periodic benefit cost and OCI | 2.1 | 2.6 | 14.3 |
Pension benefits | United States | |||
Net periodic benefit cost: | |||
Net periodic benefit cost | 1.1 | 0.8 | 51.7 |
Pension benefits | International plans | |||
Net periodic benefit cost: | |||
Net periodic benefit cost | 2.5 | 2.5 | 2.4 |
Other retirement benefits | |||
Net periodic benefit cost: | |||
Service cost | 0.0 | 0.0 | 0.0 |
Interest cost | 0.2 | 0.2 | 0.2 |
Expected return on plan assets | 0.0 | 0.0 | 0.0 |
Amortization of actuarial loss (gain) | (1.6) | (2.0) | (1.9) |
Settlement loss | 0.0 | 0.0 | 0.0 |
Other | 0.0 | 0.4 | 0.4 |
Net periodic benefit cost | (1.4) | (1.4) | (1.3) |
Other changes in plan assets and benefit obligations recognized in OCI, pre-tax: | |||
Net (gain) loss arising during period | (0.5) | (0.5) | (2.0) |
Amortization of actuarial (loss) gain | 1.6 | 2.0 | 1.9 |
Settlement loss | 0.0 | 0.0 | 0.0 |
Foreign currency translation | 0.0 | 0.0 | 0.0 |
Other | 0.0 | 0.0 | (0.4) |
Total recognized in OCI | 1.1 | 1.5 | (0.5) |
Total recognized in net periodic benefit cost and OCI | (0.3) | 0.1 | (1.8) |
Other retirement benefits | United States | |||
Net periodic benefit cost: | |||
Net periodic benefit cost | (1.4) | (1.4) | (1.3) |
Other retirement benefits | International plans | |||
Net periodic benefit cost: | |||
Net periodic benefit cost | $ 0.0 | $ 0.0 | $ 0.0 |
Benefit Plans - Changes in Projected Benefit Obligation, Fair Value of Plan Assets and Funded Status (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Change in plan assets: | |||
Balance | $ 32.3 | ||
Balance | 29.2 | $ 32.3 | |
Pension benefits | |||
Change in benefit obligation: | |||
Balance | (57.5) | (55.5) | |
Service cost | (1.2) | (1.1) | $ (1.5) |
Interest cost | (2.1) | (2.4) | (4.2) |
Participants’ contributions | (0.1) | (0.2) | |
Actuarial gain | 2.2 | 0.7 | |
Benefits paid | 3.4 | 2.5 | |
Settlement loss | 0.0 | 0.5 | |
Foreign currency translation | 2.1 | (2.0) | |
Balance | (53.2) | (57.5) | (55.5) |
Change in plan assets: | |||
Balance | 32.3 | 29.4 | |
Actual return on plan assets | (0.6) | 2.4 | |
Employer contribution | 0.7 | 1.1 | |
Participants’ contributions | 0.1 | 0.2 | |
Benefits paid | (2.5) | (1.8) | |
Settlement loss | 0.0 | (0.5) | |
Foreign currency translation | (0.8) | 1.5 | |
Balance | 29.2 | 32.3 | 29.4 |
Funded status at end of year | (24.0) | (25.2) | |
Other retirement benefits | |||
Change in benefit obligation: | |||
Balance | (3.7) | (3.9) | |
Service cost | 0.0 | 0.0 | 0.0 |
Interest cost | (0.2) | (0.2) | (0.2) |
Participants’ contributions | (0.2) | (0.4) | |
Actuarial gain | 0.6 | 0.5 | |
Benefits paid | 0.3 | 0.3 | |
Settlement loss | 0.0 | 0.0 | |
Foreign currency translation | 0.0 | 0.0 | |
Balance | (3.2) | (3.7) | (3.9) |
Change in plan assets: | |||
Balance | 0.0 | 0.0 | |
Actual return on plan assets | 0.0 | 0.0 | |
Employer contribution | 0.1 | (0.1) | |
Participants’ contributions | 0.2 | 0.4 | |
Benefits paid | (0.3) | (0.3) | |
Settlement loss | 0.0 | 0.0 | |
Foreign currency translation | 0.0 | 0.0 | |
Balance | 0.0 | 0.0 | $ 0.0 |
Funded status at end of year | $ (3.2) | $ (3.7) |
Benefit Plans - Amounts Recognized in Balance Sheet (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items] | ||
Noncurrent liabilities | $ (28.2) | $ (29.6) |
Pension benefits | ||
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items] | ||
Noncurrent assets | 2.9 | 2.7 |
Current liabilities | (1.4) | (1.4) |
Noncurrent liabilities | (25.5) | (26.5) |
Total liabilities | (24.0) | (25.2) |
Other retirement benefits | ||
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items] | ||
Noncurrent assets | 0.0 | 0.0 |
Current liabilities | (0.5) | (0.6) |
Noncurrent liabilities | (2.7) | (3.1) |
Total liabilities | $ (3.2) | $ (3.7) |
Benefit Plans - Amounts Recognized in Other Comprehensive In Loss (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Pension benefits | ||
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items] | ||
Net actuarial loss (gain) | $ 14.4 | $ 15.8 |
Prior service credit | (1.2) | (1.1) |
Total | 13.2 | 14.7 |
Other retirement benefits | ||
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items] | ||
Net actuarial loss (gain) | (2.6) | (3.6) |
Prior service credit | 0.0 | 0.0 |
Total | $ (2.6) | $ (3.6) |
Benefit Plans - Expected Benefit Payments (Details) $ in Millions |
Dec. 31, 2024
USD ($)
|
---|---|
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items] | |
2025 | $ 3.8 |
2026 | 4.2 |
2027 | 4.6 |
2028 | 4.2 |
2029 | 4.9 |
2030 to 2034 | 20.8 |
Total benefit payments expected | 42.5 |
United States | |
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items] | |
2025 | 1.3 |
2026 | 1.1 |
2027 | 1.0 |
2028 | 1.0 |
2029 | 0.9 |
2030 to 2034 | 3.6 |
Total benefit payments expected | 8.9 |
International plans | |
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items] | |
2025 | 2.5 |
2026 | 3.1 |
2027 | 3.6 |
2028 | 3.2 |
2029 | 4.0 |
2030 to 2034 | 17.2 |
Total benefit payments expected | $ 33.6 |
Benefit Plans - Assumptions Used (Details) |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Pension benefits | |||
Weighted average assumptions used in net periodic benefit cost: | |||
Discount rate | 3.95% | 4.35% | 2.48% |
Rate of compensation increase | 3.08% | 3.09% | 2.79% |
Expected long-term rate of return on assets | 4.01% | 4.22% | 4.14% |
Weighted average assumptions used in benefit obligations: | |||
Discount rate | 4.38% | 3.95% | |
Rate of compensation increase | 3.07% | 3.08% | |
Other retirement benefits | |||
Weighted average assumptions used in net periodic benefit cost: | |||
Discount rate | 5.20% | 5.55% | 2.75% |
Rate of compensation increase | 0.00% | 0.00% | 0.00% |
Expected long-term rate of return on assets | 0.00% | 0.00% | 0.00% |
Weighted average assumptions used in benefit obligations: | |||
Discount rate | 5.60% | 5.20% | |
Rate of compensation increase | 0.00% | 0.00% |
Benefit Plans - Weighted Average Interest Crediting Rating by Geographic Location (Details) |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
United States | |||
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items] | |||
Weighted-average interest crediting rating used to determine net periodic benefit cost | 4.00% | 4.00% | 3.31% |
International plans | |||
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items] | |||
Weighted-average interest crediting rating used to determine net periodic benefit cost | 1.13% | 1.13% | 1.75% |
Benefit Plans - Allocation of Plan Assets (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Defined Benefit Plan Disclosure [Line Items] | ||
Allocation range | 100.00% | 100.00% |
Fair value of plan assets | $ 29.2 | $ 32.3 |
Pension plan assets in the fair value hierarchy | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 29.2 | 32.3 |
Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0.6 | 0.6 |
Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 28.6 | 31.7 |
Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0.0 | 0.0 |
Pension plan assets measured at NAV | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | $ 0.0 | 0.0 |
Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target allocation | 19.00% | |
Equity securities | Pension plan assets in the fair value hierarchy | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | $ 6.2 | 5.3 |
Equity securities | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0.0 | 0.0 |
Equity securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 6.2 | 5.3 |
Equity securities | Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | $ 0.0 | $ 0.0 |
Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target allocation | 79.00% | |
Allocation range | 75.00% | 80.00% |
Other | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target allocation | 2.00% | |
Allocation range | 4.00% | 4.00% |
Cash | Pension plan assets in the fair value hierarchy | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | $ 0.6 | $ 0.6 |
Cash | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0.6 | 0.6 |
Cash | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0.0 | 0.0 |
Cash | Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0.0 | 0.0 |
International mutual funds | Pension plan assets in the fair value hierarchy | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 21.8 | 25.9 |
International mutual funds | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0.0 | 0.0 |
International mutual funds | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 21.8 | 25.9 |
International mutual funds | Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0.0 | 0.0 |
Other mutual funds | Pension plan assets in the fair value hierarchy | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0.6 | 0.5 |
Other mutual funds | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0.0 | 0.0 |
Other mutual funds | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0.6 | 0.5 |
Other mutual funds | Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | $ 0.0 | $ 0.0 |
Minimum | Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Allocation range | 15.00% | |
Minimum | Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Allocation range | 75.00% | |
Minimum | Other | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Allocation range | 2.00% | |
Maximum | Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Allocation range | 20.00% | |
Maximum | Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Allocation range | 85.00% | |
Maximum | Other | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Allocation range | 5.00% | |
Weighted Average | Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Allocation range | 21.00% | 16.00% |
Other Expense (Income) - Schedule of Other (Income) Expense (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Other Income and Expenses [Abstract] | |||
Severance and benefits | $ (2.5) | $ (2.8) | $ 8.7 |
Asset-related charges | 0.0 | 0.0 | 15.3 |
Other charges | 0.0 | 0.0 | (0.2) |
Total restructuring and related charges | (2.5) | (2.8) | 23.8 |
Asset impairments | 7.3 | 9.6 | 6.2 |
Foreign exchange transaction losses (gains) | 10.2 | 9.4 | (4.1) |
Contingent consideration | 5.1 | 2.3 | 3.0 |
Loss on disposal of plant | 0.0 | 11.6 | 0.0 |
Other items | 0.9 | 1.3 | (2.1) |
Total other expense (income) | $ 21.0 | $ 31.4 | $ 26.8 |
Other Expense (Income) - Narrative (Details) |
1 Months Ended | 3 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|
Dec. 31, 2022
USD ($)
|
Jun. 30, 2023
facility
|
Dec. 31, 2024
USD ($)
|
Dec. 31, 2023
USD ($)
|
Dec. 31, 2022
USD ($)
|
|
Other Income and Expenses [Abstract] | |||||
Restructuring and related activities, period of implementation (up to) | 24 months | ||||
Effect on future earnings, amount | $ 17,000,000 | ||||
Restructuring and related cost | $ 0 | ||||
Foreign exchange transaction (losses) gains | (10,200,000) | $ (9,400,000) | $ 4,100,000 | ||
Loss on disposal of plant | $ 0 | $ (11,600,000) | $ 0 | ||
Number of loss on disposal manufacturing facility | facility | 1 |
Other Expense (Income) - Schedule of Restructuring and Related Charges (Details) $ in Millions |
12 Months Ended |
---|---|
Dec. 31, 2024
USD ($)
| |
Restructuring Reserve [Roll Forward] | |
Balance, December 31, 2023 | $ 3.8 |
Balance, December 31, 2024 | 1.6 |
2022 Restructuring Plan | |
Restructuring Reserve [Roll Forward] | |
Balance, December 31, 2023 | 3.0 |
(Credits) charges | (2.5) |
Cash payments | (0.5) |
Balance, December 31, 2024 | 0.0 |
2022 Restructuring Plan | Severance and benefits | |
Restructuring Reserve [Roll Forward] | |
Balance, December 31, 2023 | 3.0 |
(Credits) charges | (2.5) |
Cash payments | (0.5) |
Balance, December 31, 2024 | 0.0 |
2022 Restructuring Plan | Other charges | |
Restructuring Reserve [Roll Forward] | |
Balance, December 31, 2023 | 0.0 |
(Credits) charges | 0.0 |
Cash payments | 0.0 |
Balance, December 31, 2024 | $ 0.0 |
Other Expense (Income) - Schedule of Impairment Expenses related to Fixed Assets Impaired (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Restructuring and Related Activities [Abstract] | |||
Cost method investment impairment charges | $ 0.3 | $ 4.3 | $ 3.5 |
Fixed asset impairment expense | 7.0 | 5.3 | 2.7 |
Asset impairments | $ 7.3 | $ 9.6 | $ 6.2 |
Income Taxes - Unrecognized Tax Benefits (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Reconciliation of Unrecognized Tax Benefits [Roll Forward] | |||
Balance at January 1 | $ 38.8 | $ 36.5 | $ 24.9 |
Increase due to current year position | 5.3 | 6.4 | 11.4 |
Decrease due to prior year position | (1.0) | ||
Increase due to prior year position | 0.7 | 0.6 | |
Reduction for expiration of statute of limitations/audits | (1.2) | (3.1) | (0.4) |
Balance at December 31 | $ 43.6 | $ 38.8 | $ 36.5 |
Income Taxes - Narrative (Details) - USD ($) $ in Millions |
12 Months Ended | ||||
---|---|---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2019 |
|
Income Tax Contingency [Line Items] | |||||
Accrued liabilities for interest and penalties | $ 6.6 | $ 3.8 | |||
Total gross unrecognized tax benefits | 43.6 | 38.8 | $ 36.5 | $ 24.9 | |
Estimated increase (decrease) in the liability for unrecognized tax benefits | 3.3 | ||||
Tax benefit from stock-based compensation | 19.5 | 32.0 | 16.5 | ||
Tax benefit related to a reduction in the liability on the unremitted earnings | 2.3 | 2.8 | |||
Tax benefit from recent court case | 3.0 | ||||
Tax expense (benefit) from impact of tax law changes enacted | 5.7 | ||||
Tax expense from recognition of reserves for unrecognized tax benefits | 19.8 | ||||
Tax benefit from termination of pension plans | 20.6 | ||||
Deferred tax benefit | $ 8.0 | ||||
Operating loss carryforwards, state and local | 5.4 | ||||
Operating loss carryforwards, foreign | 0.7 | $ 2.1 | |||
Tax on undistributed earnings of subsidiaries | 0.4 | $ 3.8 | |||
Undistributed earnings of foreign subsidiaries | 651.0 | ||||
Germany | |||||
Income Tax Contingency [Line Items] | |||||
Tax on undistributed earnings of subsidiaries | 0.3 | ||||
State and Local Jurisdiction | |||||
Income Tax Contingency [Line Items] | |||||
Operating loss carryforwards | 98.8 | ||||
State and Local Jurisdiction | Research Tax Credit Carryforward | |||||
Income Tax Contingency [Line Items] | |||||
Tax credit carryforward | 0.4 | $ 2.7 | |||
State and Local Jurisdiction | Year 2025 | |||||
Income Tax Contingency [Line Items] | |||||
Operating loss carryforwards, subject to expiration | 35.7 | ||||
State and Local Jurisdiction | Thereafter | |||||
Income Tax Contingency [Line Items] | |||||
Operating loss carryforwards, subject to expiration | 63.1 | ||||
Foreign Tax Jurisdiction | |||||
Income Tax Contingency [Line Items] | |||||
Operating loss carryforwards | 2.3 | ||||
Operating loss carryforwards, not subject to expiration | $ 0.2 |
Income Taxes - Income Before Income Taxes (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Income Tax Disclosure [Abstract] | |||
U.S. operations | $ 243.4 | $ 369.4 | $ 394.4 |
International operations | 342.1 | 328.6 | 285.5 |
Income before income taxes and equity in net income of affiliated companies | $ 585.5 | $ 698.0 | $ 679.9 |
Income Taxes - Components of Income Tax Expense (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Current: | |||
Federal | $ 29.8 | $ 30.2 | $ 75.7 |
State | 2.1 | (4.2) | 8.4 |
International | 79.1 | 58.8 | 61.4 |
Current income tax provision | 111.0 | 84.8 | 145.5 |
Deferred: | |||
Federal and state | (18.3) | (11.6) | (20.3) |
International | 14.8 | 49.1 | (10.5) |
Deferred income tax provision | (3.5) | 37.5 | (30.8) |
Income tax expense | $ 107.5 | $ 122.3 | $ 114.7 |
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Millions |
Dec. 31, 2024 |
Dec. 31, 2023 |
---|---|---|
Deferred tax assets: | ||
Net operating loss carryforwards | $ 6.1 | $ 10.0 |
Tax credit carryforwards | 2.1 | 1.1 |
Pension and deferred compensation | 28.9 | 22.7 |
Royalty acceleration | 0.0 | 15.0 |
Other | 17.9 | 22.4 |
Capitalized R&D expenses | 30.1 | 23.9 |
Leases | 21.5 | 18.6 |
Valuation allowance | (12.8) | (15.5) |
Total deferred tax assets | 93.8 | 98.2 |
Deferred tax liabilities: | ||
Property, plant, and equipment | 60.9 | 61.7 |
Tax on undistributed earnings of subsidiaries | 0.4 | 3.8 |
Leases | 22.0 | 18.1 |
Other | 5.0 | 1.6 |
Total deferred tax liabilities | 88.3 | 85.2 |
Net deferred tax asset | $ 5.5 | $ 13.0 |
Income Taxes - Effective Income Tax Reconciliation (Details) |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Income Tax Disclosure [Abstract] | |||
U.S. federal corporate tax rate | 21.00% | 21.00% | 21.00% |
Tax on international operations other than U.S. tax rate | 1.50% | 1.20% | (1.50%) |
Adjustments to reserves for unrecognized tax benefits | 0.80% | 0.30% | 2.90% |
U.S. tax on international earnings, net of foreign tax credits | 0.10% | 0.50% | (0.30%) |
Foreign-Derived Intangible Income Deductions (FDII) | (1.20%) | (1.60%) | (2.10%) |
State income taxes, net of federal tax effect | 0.30% | 0.10% | 1.00% |
U.S. research and development credits | (0.60%) | (0.70%) | (0.60%) |
Excess tax benefits on share-based payments | (3.30%) | (4.60%) | (2.40%) |
Royalty acceleration | 0.00% | 0.50% | 0.00% |
Pension settlement | 0.00% | 0.00% | (1.20%) |
Tax on undistributed earnings of subsidiaries | (0.50%) | 0.30% | 0.00% |
Other | 0.30% | 0.50% | 0.10% |
Effective tax rate | 18.40% | 17.50% | 16.90% |
Commitments and Contingencies (Details) $ in Millions |
12 Months Ended |
---|---|
Dec. 31, 2024
USD ($)
| |
Loss Contingencies [Line Items] | |
Outstanding unconditional contractual commitments for the purchase of raw materials, utilities and equipment | $ 200.7 |
Unrecorded Unconditional Purchase Obligation, Term | 4 years |
Outstanding unconditional contractual commitments due to be paid in 2024 | $ 46.7 |
Insurance Claims | |
Loss Contingencies [Line Items] | |
Accrual for insurance obligations | 1.6 |
Amount reimbursable by the insurance company | 0.4 |
Letter of Credit | Revolving Credit Facility, Due 2024 | |
Loss Contingencies [Line Items] | |
Letters of credit supporting the reimbursement of workers' compensation and other claims | $ 2.4 |
Segment Information - Narrative (Details) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024
USD ($)
segment
|
Dec. 31, 2023
USD ($)
|
Dec. 31, 2022
USD ($)
|
|
Segment Reporting, Revenue Reconciling Items [Line Items] | |||
Number of reportable segments | segment | 2 | ||
Net sales | $ 2,893.2 | $ 2,949.8 | $ 2,886.9 |
Revenue from Contract with Customer Benchmark | Customer Concentration Risk | |||
Segment Reporting, Revenue Reconciling Items [Line Items] | |||
Percentage of net sales | 100.00% | 100.00% | 100.00% |
Revenue from Contract with Customer Benchmark | Customer Concentration Risk | One Customer | |||
Segment Reporting, Revenue Reconciling Items [Line Items] | |||
Percentage of net sales | 12.30% | 10.90% | |
Net sales | $ 356.4 | $ 322.1 |
Segment Information - Sales by Product Group (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Segment Reporting, Revenue Reconciling Items [Line Items] | |||
Net sales | $ 2,893.2 | $ 2,949.8 | $ 2,886.9 |
Operating Segments | |||
Segment Reporting, Revenue Reconciling Items [Line Items] | |||
Net sales | 2,893.2 | 2,949.8 | 2,887.2 |
Operating Segments | Proprietary Products | |||
Segment Reporting, Revenue Reconciling Items [Line Items] | |||
Net sales | 2,334.5 | 2,397.3 | 2,406.8 |
Operating Segments | Contract-Manufactured Products | |||
Segment Reporting, Revenue Reconciling Items [Line Items] | |||
Net sales | 558.7 | 552.5 | 480.4 |
Intersegment sales elimination | |||
Segment Reporting, Revenue Reconciling Items [Line Items] | |||
Net sales | $ 0.0 | $ 0.0 | $ (0.3) |
Segment Information - Sales and Long-lived Assets by Geographic Location (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | $ 2,893.2 | $ 2,949.8 | $ 2,886.9 |
Long-Lived Assets | 1,715.8 | 1,512.5 | |
United States | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | 1,230.8 | 1,238.5 | 1,286.5 |
Long-Lived Assets | 832.0 | 757.1 | |
Germany | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | 372.5 | 406.1 | 398.7 |
Long-Lived Assets | 191.1 | 176.0 | |
Ireland | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | 323.2 | 285.7 | 240.3 |
Long-Lived Assets | 299.6 | 207.0 | |
France | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | 242.2 | 282.9 | 237.9 |
Long-Lived Assets | 84.7 | 78.5 | |
Other European countries | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | 385.5 | 388.1 | 359.2 |
Long-Lived Assets | 98.1 | 99.2 | |
Other | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | 339.0 | 348.5 | $ 364.3 |
Long-Lived Assets | $ 210.3 | $ 194.7 |
Segment Information - Segment Financial Information (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
Segment Reporting Information [Line Items] | |||
Net sales | $ 2,893.2 | $ 2,949.8 | $ 2,886.9 |
Cost of goods and services sold | 1,894.7 | 1,820.6 | 1,750.7 |
Research and development | 69.1 | 68.4 | 58.5 |
Selling, general and administrative expenses | 338.5 | 353.4 | 316.9 |
Operating profit | 569.9 | 676.0 | 734.0 |
Stock-based compensation expense | (18.7) | (23.3) | (23.7) |
Amortization of intangible assets | 3.6 | 3.6 | 3.7 |
Loss on disposal of plant | 0.0 | (11.6) | 0.0 |
Interest (income) expense and other nonoperating expense (income), net | (15.6) | (22.0) | 54.1 |
Income before income taxes and equity in net income of affiliated companies | 585.5 | 698.0 | 679.9 |
Asset-related charges | 0.0 | 0.0 | 15.3 |
Assets | 3,643.4 | 3,829.5 | |
Depreciation and Amortization | 155.4 | 137.3 | 120.6 |
Capital Expenditures | 377.0 | 362.0 | 284.6 |
Severance related costs | (2.5) | (2.8) | 8.7 |
Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Net sales | 2,893.2 | 2,949.8 | 2,887.2 |
Cost of goods and services sold | |||
Research and development | |||
Selling, general and administrative expenses | |||
Other expense (income) | |||
Operating profit | 650.1 | 782.2 | 844.8 |
Corporate and Unallocated | |||
Segment Reporting Information [Line Items] | |||
Stock-based compensation expense | (18.7) | (23.3) | (23.7) |
Corporate general costs | (58.6) | (68.3) | (59.1) |
Restructuring and related charges, net | 2.1 | (2.0) | 23.8 |
Amortization of intangible assets | 0.8 | 0.7 | 0.7 |
Cost investment activity | 0.0 | (4.3) | (3.5) |
Loss on disposal of plant | 0.0 | (11.6) | 0.0 |
Asset-related charges | 15.3 | ||
Assets | 410.1 | 672.9 | |
Depreciation and Amortization | 3.8 | 4.0 | 4.7 |
Capital Expenditures | 9.5 | 12.7 | 13.3 |
Severance related costs | 8.7 | ||
Corporate and Unallocated | Selling, General and Administrative Expenses | |||
Segment Reporting Information [Line Items] | |||
Restructuring and related charges, net | $ 4.6 | ||
Restructuring Charges, Statement of Income or Comprehensive Income [Extensible Enumeration] | Selling, general and administrative expenses | ||
Corporate and Unallocated | Other expense (income) | |||
Segment Reporting Information [Line Items] | |||
Restructuring and related charges, net | $ (2.5) | $ (2.8) | |
Restructuring Charges, Statement of Income or Comprehensive Income [Extensible Enumeration] | Other expense (income) | Other expense (income) | |
Corporate and Unallocated | Cost of goods and services sold | |||
Segment Reporting Information [Line Items] | |||
Restructuring and related charges, net | $ 0.8 | ||
Restructuring Charges, Statement of Income or Comprehensive Income [Extensible Enumeration] | Cost of goods and services sold | ||
Proprietary Products | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Net sales | $ 2,334.5 | $ 2,397.3 | 2,406.8 |
Cost of goods and services sold | 1,434.0 | 1,363.3 | 1,353.5 |
Research and development | 69.1 | 68.4 | 58.5 |
Selling, general and administrative expenses | 231.5 | 240.6 | 212.6 |
Other expense (income) | 22.1 | 14.9 | (2.2) |
Operating profit | 577.8 | 710.1 | 784.4 |
Assets | 2,621.1 | 2,629.1 | |
Depreciation and Amortization | 130.3 | 112.9 | 96.9 |
Capital Expenditures | 246.5 | 259.1 | 237.3 |
Contract-Manufactured Products | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Net sales | 558.7 | 552.5 | 480.4 |
Cost of goods and services sold | 460.7 | 456.5 | 397.5 |
Research and development | 0.0 | 0.0 | 0.0 |
Selling, general and administrative expenses | 26.2 | 24.4 | 20.9 |
Other expense (income) | (0.5) | (0.5) | 1.6 |
Operating profit | 72.3 | 72.1 | 60.4 |
Assets | 612.2 | 527.5 | |
Depreciation and Amortization | 21.3 | 20.4 | 19.0 |
Capital Expenditures | $ 121.0 | $ 90.2 | $ 34.0 |
Schedule II - Valuation and Qualifying Accounts (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
|
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | $ 16.3 | $ 13.5 | $ 12.6 |
Charged to costs and expenses | 0.1 | 4.5 | 1.4 |
Deductions | (2.8) | (1.7) | (0.5) |
Balance at end of period | 13.6 | 16.3 | 13.5 |
Deferred tax asset valuation allowance | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | 15.5 | 13.3 | 12.2 |
Charged to costs and expenses | 0.0 | 2.2 | 1.1 |
Deductions | (2.7) | 0.0 | 0.0 |
Balance at end of period | 12.8 | 15.5 | 13.3 |
Allowance for credit losses | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | 0.8 | 0.2 | 0.4 |
Charged to costs and expenses | 0.1 | 2.3 | 0.3 |
Deductions | (0.1) | (1.7) | (0.5) |
Balance at end of period | $ 0.8 | $ 0.8 | $ 0.2 |
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