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Reportable Segments
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Reportable Segments Reportable Segments
The Company is organized based on the nature of its products and is composed of two reportable segments, Machine Clothing ("MC") and Albany Engineered Composites ("AEC"), each overseen by a segment president. These segments are reflective of how the Company's Chief Executive Officer, who is its Chief Operating Decision Maker ("CODM"), reviews operating results for the purpose of allocating resources and assessing performance. Our CODM evaluates each segment's performance based on metrics such as net revenues, gross profit, and other key financial data, to assess performance and allocate resources that align with company-wide goals. Annual incentive targets are established for the segment presidents based on these metrics, in addition to cash flows, which are reviewed in summary each month, and in more depth each quarter. The Company has not aggregated operating segments for purposes of identifying reportable segments. Effective December 31, 2024, the Company adopted provisions of ASU 2023-07, which expanded the content and frequency of segment disclosures required under ASC 280.

Machine Clothing:
The Machine Clothing segment supplies permeable and impermeable belts used in the manufacture of paper, paperboard, tissue and towel products, nonwovens, fiber cement and for several other industrial applications. We sell our MC products directly to customer end-users in countries across the globe. Our products, manufacturing processes, and distribution channels are substantially the same in each region of the world in which we operate.
We design, manufacture, and market paper machine clothing (used in the manufacture of paper, paperboard, tissue and towel) for each section of the paper machine and for every grade of paper. Paper machine clothing products are customized, consumable products of technologically sophisticated design that utilize polymeric materials in a complex structure.
Albany Engineered Composites:
The Albany Engineered Composites segment provides highly engineered, advanced composite structures to customers in the commercial and defense aerospace industries. The segment includes Albany Safran Composites, LLC (“ASC”), in which our customer, the SAFRAN Group (“SAFRAN”) owns a 10 percent noncontrolling interest. AEC, through ASC, is the exclusive supplier to the LEAP program of advanced composite fan blades and fan cases under a long-term supply contract, where revenue is determined by a cost-plus-fee agreement.
The LEAP engine is used on the Airbus A320neo, A321neo, Boeing 737 MAX, and COMAC 919 aircraft. AEC's largest aerospace customer is the SAFRAN Group and sales to SAFRAN (consisting primarily of fan blades and cases for CFM International's LEAP engine). AEC net sales to SAFRAN were $44.4 million and $51.2 million for the three months ended June 30, 2025 and 2024, respectively and $83.8 million and $101.3 million in the first six months of 2025 and 2024, respectively. The total of Accounts receivable, Contract assets and Noncurrent receivables due from SAFRAN amounted to $67.5 million and $85.8 million as of June 30, 2025 and December 31, 2024, respectively.
Other significant programs for AEC include the Sikorsky CH-53K, F-35, JASSM, and Boeing 787 programs. AEC also supplies vacuum waste tanks for the Boeing commercial programs, and specialty components for the Rolls Royce lift fan on the F-35, as well as the fan case for the GE9X engine. For the year ended December 31, 2024, approximately 36 percent of AEC's revenues were related to U.S. government contracts or programs.
The following tables show data by reportable segment that is regularly provided to the CODM, reconciled to consolidated totals included in the financial statements along with other segment data:
Reconciliation of Net Revenues to Operating Income(loss):
Three Months Ended June 30, 2025
(in thousands)MCAECCorporateTotal
Net revenues$180,926 $130,473 $— $311,399 
Cost of goods sold$97,167 $116,725 $— $213,892 
Gross profit$83,759 $13,748 $— $97,507 
Selling, general and administrative expenses$35,669 $11,777 $11,056 $58,502 
Technical and research expenses$7,373 $4,125 $1,054 $12,552 
Restructuring expenses, net$3,015 $520 $648 $4,183 
Operating income/(loss)$37,702 $(2,674)$(12,758)$22,270 

Three Months Ended June 30, 2024
(in thousands)MCAECCorporateTotal
Net revenues$193,578 $138,416 $— $331,994 
Cost of goods sold$104,705 $114,906 $— $219,611 
Gross profit$88,873 $23,510 $— $112,383 
Selling, general and administrative expenses$30,569 $12,786 $12,160 $55,515 
Technical and research expenses$7,504 $4,356 $— $11,860 
Restructuring expenses, net$1,066 $922 $115 $2,103 
Operating income/(loss)$49,734 $5,446 $(12,275)$42,905 

Six Months Ended June 30, 2025
(in thousands)MCAECCorporateTotal
Net revenues$355,623 $244,550 $— $600,173 
Cost of goods sold$191,962 $214,218 $— $406,180 
Gross profit$163,661 $30,332 $— $193,993 
Selling, general and administrative expenses$68,550 $21,903 $21,861 $112,314 
Technical and research expenses$14,616 $7,799 $2,033 $24,448 
Restructuring expenses, net$4,362 $1,688 $648 $6,698 
Operating income/(loss)$76,133 $(1,058)$(24,542)$50,533 

Six Months Ended June 30, 2024
(in thousands)MCAECCorporateTotal
Net revenues$378,795 $266,529 $— $645,324 
Cost of goods sold$205,267 $218,988 $— $424,255 
Gross profit$173,528 $47,541 $— $221,069 
Selling, general and administrative expenses$63,336 $24,326 $22,688 $110,350 
Technical and research expenses$15,024 $9,501 $— $24,525 
Restructuring expenses, net$1,087 $3,110 $115 $4,312 
Operating income/(loss)$94,081 $10,604 $(22,803)$81,882 
Schedule of Depreciation and Amortization Expenses:
Three months ended June 30,Six months ended June 30,
(in thousands)
2025202420252024
Depreciation and amortization
Machine Clothing$7,973 $8,498 $15,679 $17,009 
Albany Engineered Composites13,455 13,601 26,750 27,104 
Corporate323 290 613 580 
Consolidated depreciation and amortization$21,751 $22,389 $43,042 $44,693 

Reconciliation of Operating Income to Income before income taxes:
Three months ended June 30,Six months ended June 30,
(in thousands)
2025202420252024
Operating income
Machine Clothing$37,702 $49,734 $76,133 $94,081 
Albany Engineered Composites(2,674)5,446 (1,058)10,604 
Corporate(12,758)(12,275)(24,542)(22,803)
Consolidated Operating income$22,270 $42,905 $50,533 $81,882 
Reconciling items:
Interest income(1,405)(959)(3,043)(2,082)
Interest expense
6,555 3,909 11,848 8,351 
Other (income)/expense, net3,534 5,657 4,517 2,675 
Income before income taxes$13,586 $34,298 $37,211 $72,938 

Certain prior year amounts have been reclassified in order to conform to current year presentation. Global information system costs previously included in Corporate expenses are allocated to the segments. Management believes this presentation better reflects the performance of the segments and is how management will review segment performance on a going forward basis. For the three months ended June 30, 2025, Selling, general and administrative expenses include global information system costs of $3.9 million, $3.8 million, and $0.9 million for MC, AEC and Corporate, respectively. For the three months ended June 30, 2024, Selling, general and administrative expenses include global information system costs of $3.9 million, $4.0 million, and $0.2 million for MC, AEC and Corporate, respectively. For the six months ended June 30, 2025, Selling, general and administrative expenses include global information system costs of $7.9 million, $7.7 million, and $1.3 million for MC, AEC and Corporate, respectively. For the six months ended June 30, 2024, Selling, general and administrative expenses include global information system costs of $7.7 million, $8.0 million, and $0.6 million for MC, AEC and Corporate, respectively.

The following table presents assets by reportable segment:
(in thousands)
June 30, 2025December 31, 2024
Segment assets
Machine Clothing$641,199 $600,603 
Albany Engineered Composites$769,069 $736,306 
Reconciling items:
Cash$106,689 $115,283 
Income taxes prepaid and receivable, and Deferred income taxes53,981 47,944 
Prepaid expenses and other current assets, and Other assets152,515 148,560 
Consolidated total assets$1,723,453 $1,648,696 
The following table presents capital expenditures by reportable segment:
Six months ended June 30,
(in thousands)
20252024
Capital expenditures and purchased software
Machine Clothing$13,010 $12,092 
Albany Engineered Composites17,521 34,564 
Total capital expenditures and purchased software$30,531 $46,656