Accumulated Other Comprehensive (Loss) Income

12 Months Ended

Jun. 30, 2024

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

ACCUMULATED OTHER COMPREHENSIVE LOSS

The components of and changes in accumulated other comprehensive loss (AOCL) were as follows, net of tax, for the year ended June 30, 2024 (in thousands):


Attributable to Kennametal:	Pension and other postretirement benefits		Currency translation adjustment		Derivatives		Total
Balance, June 30, 2023	$	(215,435)	$	(202,641)	$	3,733	$	(414,343)
Other comprehensive loss before reclassifications	(10,100)		(13,623)		(26)		(23,749)
Amounts reclassified from AOCL	4,227		—		(725)		3,502
Net other comprehensive loss	(5,873)		(13,623)		(750)		(20,247)
AOCL, June 30, 2024	$	(221,308)	$	(216,264)	$	2,983	$	(434,589)

Attributable to noncontrolling interests:
Balance, June 30, 2023	$	—	$	(8,139)	$	—	$	(8,139)
Other comprehensive loss before reclassifications	—		(541)		—		(541)
Net other comprehensive loss	—		(541)		—		(541)
AOCL, June 30, 2024	$	—	$	(8,680)	$	—	$	(8,680)

The components of and changes in AOCL were as follows, net of tax, for the year ended June 30, 2023 (in thousands):


Attributable to Kennametal:	Pension and other postretirement benefits		Currency translation adjustment		Derivatives		Total
Balance, June 30, 2022	$	(208,406)	$	(210,048)	$	4,503	$	(413,951)
Other comprehensive (loss) income before reclassifications	(10,402)		7,407		—		(2,995)
Amounts reclassified from AOCL	3,373		—		(770)		2,603
Net other comprehensive (loss) income	(7,029)		7,407		(770)		(392)
AOCL, June 30, 2023	$	(215,435)	$	(202,641)	$	3,733	$	(414,343)

Attributable to noncontrolling interests:
Balance, June 30, 2022	$	—	$	(7,547)	$	—	$	(7,547)
Other comprehensive loss before reclassifications	—		(592)		—		(592)
Net other comprehensive loss	—		(592)		—		(592)
AOCL, June 30, 2023	$	—	$	(8,139)	$	—	$	(8,139)

The components of and changes in AOCL were as follows, net of tax, for the year ended June 30, 2022 (in thousands):


Attributable to Kennametal:	Pension and other postretirement benefits		Currency translation adjustment		Derivatives		Total
Balance, June 30, 2021	$	(213,172)	$	(122,428)	$	5,273	$	(330,327)
Other comprehensive loss before reclassifications	(4,163)		(87,620)		—		(91,783)
Amounts reclassified from AOCL	8,929		—		(770)		8,159
Net other comprehensive income (loss)	4,766		(87,620)		(770)		(83,624)

AOCL, June 30, 2022	$	(208,406)	$	(210,048)	$	4,503	$	(413,951)

Attributable to noncontrolling interests:
Balance, June 30, 2021	$	—	$	(3,982)	$	—	$	(3,982)
Other comprehensive loss before reclassifications	—		(3,565)		—		(3,565)
Net other comprehensive loss	—		(3,565)		—		(3,565)
AOCL, June 30, 2022	$	—	$	(7,547)	$	—	$	(7,547)

Reclassifications out of AOCL for the years ended June 30, 2024, 2023 and 2022 consisted of the following:


	Year Ended June 30,
Details about AOCL components (in thousands)	2024		2023		2022		Affected line item in the Income Statement
(Gains) and losses on cash flow hedges:
Forward starting interest rate swaps	$	(1,020)	$	(1,020)	$	(1,020)	Interest expense
Currency exchange contracts	60		—		—		Cost of goods sold
Total before tax	(960)		(1,020)		(1,020)
Tax impact	235		250		250		Provision for income taxes
Net of tax	$	(725)	$	(770)	$	(770)

Pension and other postretirement benefits:
Amortization of transition obligations	$	76	$	84	$	94	Other expense (income), net
Amortization of prior service credit	(258)		(266)		(263)		Other expense (income), net
Recognition of actuarial losses	5,895		4,632		11,999		Other expense (income), net
Total before tax	5,713		4,450		11,830
Tax impact	(1,486)		(1,077)		(2,901)		Provision for income taxes
Net of tax	$	4,227	$	3,373	$	8,929

The amount of income tax allocated to each component of other comprehensive loss for the year ended June 30, 2024:


(in thousands)	Pre-tax		Tax impact		Net of tax
Unrealized loss on derivatives designated and qualified as cash flow hedges	$	(34)	$	8	$	(26)
Reclassification of unrealized gain on expired derivatives designated and qualified as cash flow hedges	(960)		235		(725)
Unrecognized net pension and other postretirement benefit plans loss	(13,328)		3,228		(10,100)
Reclassification of net pension and other postretirement benefit plans loss	5,713		(1,486)		4,227
Foreign currency translation adjustments	(14,215)		51		(14,164)
Other comprehensive loss	$	(22,824)	$	2,036	$	(20,788)

The amount of income tax allocated to each component of other comprehensive loss for the year ended June 30, 2023:


(in thousands)	Pre-tax		Tax impact		Net of tax

Reclassification of unrealized gain on expired derivatives designated and qualified as cash flow hedges	$	(1,020)	$	250	$	(770)
Unrecognized net pension and other postretirement benefit plans loss	(13,972)		3,570		(10,402)
Reclassification of net pension and other postretirement benefit plans loss	4,450		(1,077)		3,373
Foreign currency translation adjustments	6,959		(144)		6,815
Other comprehensive loss	$	(3,583)	$	2,599	$	(984)

The amount of income tax allocated to each component of other comprehensive income for the year ended June 30, 2022:


(in thousands)	Pre-tax		Tax impact		Net of tax

Reclassification of unrealized gain on expired derivatives designated and qualified as cash flow hedges	$	(1,020)	$	250	$	(770)
Unrecognized net pension and other postretirement benefit plans loss	(3,894)		(269)		(4,163)
Reclassification of net pension and other postretirement benefit plans loss	11,830		(2,901)		8,929
Foreign currency translation adjustments	(91,012)		(173)		(91,185)

Other comprehensive loss	$	(84,096)	$	(3,093)	$	(87,189)