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Income Taxes
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The provision for income taxes consists of amounts for taxes currently payable, amounts for tax items deferred to future periods; as well as adjustments relating to the Company’s determination of uncertain tax positions, including interest and penalties. The Company recognizes deferred tax assets and liabilities based on the future tax consequences attributable to tax net operating loss (“NOL”) carryforwards, capital loss carryforwards, tax credit carryforwards and differences between the financial statement carrying amounts and the tax bases of applicable assets and liabilities. Deferred tax assets are regularly reviewed for recoverability and valuation allowances are established based on historical losses, projected future taxable income and the expected timing of the reversals of existing temporary differences. As a result of this review, the Company established a full valuation allowance against U.S. federal and state capital loss carryforwards, as well as certain foreign NOL carryforwards and related deferred tax assets, and continues to maintain a partial valuation allowance against certain U.S. state NOL and tax credit carryforwards.
In October 2021, the Organization for Economic Co-operation and Development (“OECD”) issued rules for a new global minimum tax ("Pillar 2") which included the introduction of a 15% global minimum tax ("Top-Up Tax") that applies to tax years beginning in 2024. Based upon the current OECD rules and administrative guidance, as well as the related legislation of those countries in which we do business, the Company does not anticipate being subject to material Top-Up Taxes. The Company is continuing to monitor the potential impact of the Pillar 2 proposals and development on our consolidated financial statements and related disclosures, including eligibility for any transitional safe harbor rules.
On July 4, 2025, the U.S. enacted the One Big Beautiful Bill Act (“OBBBA”). OBBBA incorporates changes that extend several provisions of the Tax Cuts and Jobs Act ("TCJA") of 2017 that were set to expire on December 31, 2025, including immediate expensing of domestic research and development expenses, 100% bonus depreciation, 100% depreciation of qualified production property, and reinstatement of utilizing EBITDA for the interest deduction limitation. These changes are effective for the Company’s fiscal year ending December 31, 2025. However, OBBBA incorporates additional changes to the
U.S tax code that will be effective after January 1, 2026, including charitable contribution limitations, deductible meal limitations, and changes to the U.S. system for taxing international corporate income. The Company is continuing to monitor these business tax provision for further guidance from the U.S. Treasury and the Internal Revenue Service.
Income Tax Provision
The components of the provision for income taxes are as follows (in millions):
 Year Ended
 December 31, 2025December 31, 2024December 31, 2023
Current:
United States$53.2 $48.4 $36.4 
Non-United States4.2 5.3 4.6 
State and local11.4 7.7 7.6 
Total current68.8 61.4 48.6 
Deferred:
United States(3.8)(12.9)(7.5)
Non-United States(0.4)0.2 1.3 
State and local(0.7)(0.6)0.2 
Total deferred(4.9)(13.3)(6.0)
Provision for income taxes$63.9 $48.1 $42.6 
The following illustrates the specific categories and the reconciling items disclosed by a public business entity in its tabular rate reconciliation in accordance with paragraphs ASC 740-10-50-12A through 50-12B (in millions). The entity is domiciled in the United States and presents comparative financial statements. For the disclosure of foreign tax effects in accordance with paragraph ASC 740-10-50-12A(b)(2), it is assumed that the 5 percent threshold, computed by multiplying the income (or loss) from continuing operations before income taxes by applicable statutory federal (national) income tax rate of the United States, is met for Canada, at the jurisdictional level, but not for any individual reconciling items of the same nature within Canada.
 Year Ended
 December 31, 2025
AmountPercent
U.S. federal statutory tax rate$53.8 21.0 %
State and local income taxes, net of federal income tax effect (1)8.6 3.4 %
Changes in valuation allowances(1.3)(0.5)%
Foreign tax effects
Canada
Statutory tax rate difference between Canada and United States0.7 0.2 %
Effect of changes in tax laws or rates enacted in the current period— — %
Effect on cross-border tax laws(0.3)(0.2)%
Tax credits(0.5)(0.2)%
Nontaxable or nondeductible items
Share-based compensation(2.1)(0.8)%
§162(m) limitation5.8 2.3 %
Other0.5 0.2 %
Changes in unrecognized tax benefits(1.0)(0.4)%
Other adjustments(0.3)(0.1)%
Effective tax rate$63.9 24.9 %
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(1)During the year ended December 31, 2025, state taxes in California, Illinois, New York, and Texas made up the majority of the tax effect in this category.
The following illustrates how the provision for income taxes differs from the United States statutory income tax rate related to the retrospective years ending December 31, 2024 and December 31, 2023 (in millions):
 Year Ended
 December 31, 2024December 31, 2023
Provision for income taxes at U.S. federal statutory income tax rate$43.5 $30.8 
State and local income taxes, net of federal benefit6.4 5.2 
Net effects of foreign rate differential0.9 0.9 
Net effects of foreign operations— 0.1 
Nondeductible acquisition costs— (1.3)
Unrecognized tax benefits, net of federal benefit(2.9)0.5 
Excess tax benefits related to equity compensation(4.6)(1.7)
§162(m) compensation limitation5.4 6.2 
Nondeductible loss on divestiture of asbestos liabilities and certain assets— 2.0 
Net changes in valuation allowance(0.2)0.5 
Other(0.4)(0.6)
Provision for income taxes $48.1 $42.6 
The provision for income taxes was calculated based upon the following components of income from continuing operations before income taxes (in millions):
 Year Ended
 December 31, 2025December 31, 2024December 31, 2023
United States$241.1 $185.0 $127.6 
Non-United States15.2 22.0 19.2 
Income before income taxes$256.3 $207.0 $146.8 
The components of income taxes paid are as follows (in millions):
 Year Ended
JurisdictionDecember 31, 2025
U.S. federal$49.3 
State:
California2.5 
Other7.3 
State subtotal9.8 
Foreign
Canada3.0 
Other0.9 
Foreign subtotal3.9 
Total cash paid for income taxes (net of refunds)63.0 
The total cash paid for income taxes prior to ASU 2023-09 for the tax years ending December 31, 2024 and December 31, 2023 were $68.1 million and $45.7 million, respectively.
Deferred Income Tax Assets and Liabilities
Deferred income taxes consist of the tax effects of the following temporary differences (in millions):
December 31, 2025December 31, 2024
Deferred tax assets:
Compensation and retirement benefits$22.0 $19.4 
General accruals and reserves4.1 12.7 
Lease liabilities18.8 19.3 
State tax net operating loss and credit carryforwards6.6 10.3 
Federal and state capital loss carryforwards0.4 0.4 
Foreign net operating loss carryforwards1.0 0.9 
Other2.2 2.4 
Total deferred tax assets before valuation allowance55.1 65.4 
Valuation allowance(4.8)(9.0)
Total deferred tax assets50.3 56.4 
Deferred tax liabilities:
Property, plant and equipment17.9 19.8 
Lease ROU assets17.2 17.7 
Inventories14.3 15.3 
Intangible assets and goodwill187.8 197.2 
Total deferred tax liabilities237.2 250.0 
Net deferred tax assets (liabilities)$(186.9)$(193.6)
Net amount on consolidated balance sheets consists of:
Other assets$2.8 $2.9 
Deferred income taxes(189.7)(196.5)
Net long-term deferred tax assets (liabilities)$(186.9)$(193.6)
Management has reviewed the deferred tax assets and has analyzed the uncertainty with respect to ultimately realizing the related tax benefits associated with such assets. Based upon this analysis, management has determined that a valuation allowance should be established for the federal and state capital loss carryforwards, certain foreign NOL carryforwards and related deferred tax assets, as well as certain state NOL and tax credit carryforwards as of December 31, 2025. Significant factors considered by management in this determination included the historical operating results of the Company, as well as anticipated reversals of future taxable temporary differences. Capital losses may generally only be used to offset available capital gains. Federal capital losses are allowed to be carried back three years and carried forward for five. The Company does not have any capital gains in the carryback period with which to offset any portion of the capital loss. States generally follow federal law with respect to capital losses; however, for those that do have a modification, such modification (in most cases) is to deny any carryback period. The carryforward periods for the state NOLs range from five to twenty years. The state credit carryforwards expire over a period of 15 years. The foreign NOL carryforwards are subject to a twenty-year expiration period.
At December 31, 2025, the Company had approximately $112.8 million of state NOL carryforwards, expiring over various years ending through December 31, 2033. The Company has a tax effected valuation allowance of $2.7 million recorded against the related deferred tax asset. In addition, at December 31, 2025, the Company had approximately $3.6 million of foreign NOL carryforwards, of which there is a recorded tax effected valuation allowance of $1.0 million. The majority of the decrease in the deferred tax asset relating to state net operating loss and credit carryforwards is the result of certain state net operating losses expiring unutilized. These expiring state net operating losses were effectively written off against the full valuation allowance previously recorded by the Company. As such, the majority of the decrease in the valuation allowance was the result of this write-off.
No provision has been made for U.S. federal income taxes related to approximately $52.5 million of undistributed earnings of foreign subsidiaries considered to be permanently reinvested. No additional income tax liability would be expected to result if such earnings were repatriated to the U.S., other than potential out-of-pocket withholding taxes of approximately $2.8 million.
The Company’s total receivable for net accrued income taxes as of December 31, 2025 and 2024 was $10.2 million and $17.3 million, respectively. This net amount is presented in the consolidated balance sheets as income taxes payable (separately disclosed in other current liabilities) of $3.1 million and $2.3 million as of December 31, 2025 and 2024, respectively; and as income taxes receivable in the consolidated balance sheets of $13.3 million and $19.6 million as of December 31, 2025 and 2024, respectively.
Liability for Unrecognized Tax Benefits
The Company's total liability for net unrecognized tax benefits as of December 31, 2025 and 2024 was $0.6 million and $1.8 million, respectively.
The following table represents a reconciliation of the beginning and ending amount of the gross unrecognized tax benefits, excluding interest and penalties, for the years ended December 31, 2025 and 2024 (in millions):
Year Ended
December 31, 2025December 31, 2024
Balance at beginning of period$1.7 $5.1 
Additions based on tax positions related to the current year0.1 0.1 
Additions for tax positions of prior years0.1 — 
Reductions for tax positions of prior years— (0.1)
Reductions due to lapse of applicable statute of limitations(1.4)(3.4)
Balance at end of period$0.5 $1.7 
The Company recognizes accrued interest and penalties related to unrecognized tax benefits in income tax expense. As of December 31, 2025 and 2024, the total amount of unrecognized tax benefits includes $0.6 million and $0.5 million of gross accrued interest and penalties, respectively. The amount of net interest and penalties recorded as income tax (benefit) expense during the years ended December 31, 2025, 2024, and 2023 was $(0.5) million, $(0.4) million, and $0.4 million, respectively.
The Company conducts business in multiple locations within and outside the U.S. Consequently, the Company is subject to periodic income tax examinations by domestic and foreign income tax authorities. With certain exceptions, the Company is no longer subject to U.S. federal income tax examinations for tax years ending prior to December 31, 2021, state and local income tax examinations for years ending prior to December 31, 2020 or significant foreign income tax examinations for years ending prior to March 31, 2020.