(State or other jurisdiction of incorporation or organization) |
(I.R.S. Employer Identification No.) |
Title of each class |
Trading Symbol |
Name of exchange on which registered |
No ☐ |
No ☐ |
Accelerated Filer ☐ |
|
Non-accelerated Filer ☐ |
Smaller Reporting Company |
Emerging Growth Company |
Yes |
No ☒ |
Page No. |
||
PART I. FINANCIAL INFORMATION |
||
Item 1. |
Financial Statements: |
|
Condensed Consolidated Statements of Income (Loss) for the three-month and nine-month periods ended October 1, 2023 and October 2, 2022 (Unaudited) |
3 |
|
Condensed Consolidated Statements of Comprehensive Income (Loss) for the three-month and nine-month periods ended October 1, 2023 and October 2, 2022 (Unaudited) |
4 |
|
Condensed Consolidated Balance Sheets as of October 1, 2023 (Unaudited) and December 31, 2022 |
5 |
|
Condensed Consolidated Statements of Cash Flows for the nine-month periods ended October 1, 2023 and October 2, 2022 (Unaudited) |
6 |
|
Condensed Consolidated Statements of Changes in Shareholders’ Equity for the three-month periods ended October 1, 2023, July 2, 2023 and April 2, 2023 and October 2, 2022, July 3, 2022 and April 3, 2022 (Unaudited) |
7 |
|
9 |
||
20 |
||
Item 2. |
21 |
|
Item 3. |
30 |
|
Item 4. |
31 |
|
PART II. OTHER INFORMATION |
||
Item 1. |
31 |
|
Item 1A. |
31 |
|
Item 2. |
32 |
|
Item 3. |
32 |
|
Item 4. |
32 |
|
Item 5. |
32 |
|
Item 6. |
33 |
|
34 |
Three Months Ended |
Nine Months Ended |
|||||||||||||||
(in millions of dollars, except per share data) |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Net sales |
$ |
$ |
$ |
$ |
||||||||||||
Cost of goods sold |
||||||||||||||||
Production margin |
||||||||||||||||
Marketing and administrative expenses |
||||||||||||||||
Research and development expenses |
||||||||||||||||
Restructuring and other items, net |
||||||||||||||||
Impairment of assets |
||||||||||||||||
Acquisition-related expenses |
||||||||||||||||
Litigation expenses |
||||||||||||||||
Income (loss) from operations |
( |
) |
||||||||||||||
Interest expense, net |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Debt extinguishment expenses |
( |
) |
( |
) |
||||||||||||
Non-cash pension settlement charge |
( |
) |
( |
) |
||||||||||||
Other non-operating income (deductions), net |
( |
) |
( |
) |
( |
) |
||||||||||
Total non-operating deductions, net |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Income (loss) before tax and equity in earnings |
( |
) |
||||||||||||||
Provision (benefit) for taxes on income |
( |
) |
||||||||||||||
Equity in earnings of affiliates, net of tax |
||||||||||||||||
Net income (loss) |
( |
) |
||||||||||||||
Less: |
||||||||||||||||
Net income attributable to non-controlling interests |
||||||||||||||||
Net income (loss) attributable to Minerals Technologies Inc. |
$ |
( |
) |
$ |
$ |
$ |
||||||||||
Earnings (loss) per share: |
||||||||||||||||
Basic: |
||||||||||||||||
Net income (loss) attributable to Minerals Technologies Inc. |
$ |
( |
) |
$ |
$ |
$ |
||||||||||
Diluted: |
||||||||||||||||
Net income (loss) attributable to Minerals Technologies Inc. |
$ |
( |
) |
$ |
$ |
$ |
||||||||||
Cash dividends declared per common share |
$ |
$ |
$ |
$ |
||||||||||||
Shares used in computation of earnings per share: |
||||||||||||||||
Basic |
||||||||||||||||
Diluted |
Three Months Ended |
Nine Months Ended |
|||||||||||||||
(in millions of dollars) |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Net income (loss) |
$ |
( |
) |
$ |
$ |
$ |
||||||||||
Other comprehensive loss, net of tax: |
||||||||||||||||
Foreign currency translation adjustments |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Pension and postretirement plan adjustments |
||||||||||||||||
Unrealized gains (losses) on derivative instruments |
( |
) |
||||||||||||||
Total other comprehensive loss, net of tax |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Total comprehensive income (loss) including non-controlling interests |
( |
) |
( |
) |
||||||||||||
Comprehensive income (loss) attributable to non-controlling interests |
( |
) |
( |
) |
||||||||||||
Comprehensive income (loss) attributable to Minerals Technologies Inc. |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
(in millions of dollars) |
Oct. 1, 2023* |
Dec. 31, 2022 ** |
||||||
ASSETS |
||||||||
Current assets: |
||||||||
Cash and cash equivalents |
$ |
$ |
||||||
Short-term investments |
||||||||
Accounts receivable, net |
||||||||
Inventories |
||||||||
Prepaid expenses and other current assets |
||||||||
Total current assets |
||||||||
Property, plant and equipment |
||||||||
Less accumulated depreciation and depletion |
( |
) |
( |
) |
||||
Property, plant and equipment, net |
||||||||
Goodwill |
||||||||
Intangible assets |
||||||||
Deferred income taxes |
||||||||
Other assets and deferred charges |
||||||||
Total assets |
$ |
$ |
||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY |
||||||||
Current liabilities: |
||||||||
Short-term debt |
$ |
$ |
||||||
Current maturities of long-term debt |
||||||||
Accounts payable |
||||||||
Other current liabilities |
||||||||
Total current liabilities |
||||||||
Long-term debt, net of unamortized discount and deferred financing costs |
||||||||
Deferred income taxes |
||||||||
Accrued pension and post-retirement benefits |
||||||||
Other non-current liabilities |
||||||||
Total liabilities |
||||||||
Commitments and contingencies |
||||||||
Shareholders’ equity: |
||||||||
Common stock |
||||||||
Additional paid-in capital |
||||||||
Retained earnings |
||||||||
Accumulated other comprehensive loss |
( |
) |
( |
) |
||||
Less common stock held in treasury |
( |
) |
( |
) |
||||
Total Minerals Technologies Inc. shareholders’ equity |
||||||||
Non-controlling interests |
||||||||
Total shareholders’ equity |
||||||||
Total liabilities and shareholders’ equity |
$ |
$ |
* |
** |
Nine Months Ended |
||||||||
(in millions of dollars) |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||
Operating Activities: |
||||||||
Net income |
$ |
$ |
||||||
Adjustments to reconcile net income to net cash provided by operating activities: |
||||||||
Depreciation, depletion and amortization |
||||||||
Impairment of assets |
||||||||
Non-cash pension settlement charge |
||||||||
Reduction of right of use asset |
||||||||
Non-cash debt extinguishment expenses |
||||||||
Pension plan funding |
( |
) |
( |
) |
||||
Other non-cash items, net |
( |
) |
||||||
Net changes in operating assets and liabilities |
( |
) |
( |
) |
||||
Net cash provided by operating activities |
||||||||
Investing Activities: |
||||||||
Purchases of property, plant and equipment, net |
( |
) |
( |
) |
||||
Payments related to acquisition of business, net of cash acquired |
( |
) |
( |
) |
||||
Proceeds from sale of assets |
||||||||
Proceeds from sale of short-term investments |
||||||||
Purchases of short-term investments |
( |
) |
( |
) |
||||
Other investing activities |
||||||||
Net cash used in investing activities |
( |
) |
( |
) |
||||
Financing Activities: |
||||||||
Long-term debt issuance |
||||||||
Deferred financing costs |
( |
) |
||||||
Repayment of long-term debt |
( |
) |
( |
) |
||||
Proceeds from issuance of short-term debt |
||||||||
Repayment of short-term debt |
( |
) |
||||||
Purchase of common stock for treasury |
( |
) |
||||||
Proceeds from issuance of stock under option plan |
||||||||
Excess tax benefits related to stock incentive programs |
( |
) |
( |
) |
||||
Dividends paid to non-controlling interests |
( |
) |
( |
) |
||||
Cash dividends paid |
( |
) |
( |
) |
||||
Net cash used in financing activities |
( |
) |
( |
) |
||||
Effect of exchange rate changes on cash and cash equivalents |
( |
) |
( |
) |
||||
Net increase (decrease) in cash and cash equivalents |
( |
) |
||||||
Cash and cash equivalents at beginning of period |
||||||||
Cash and cash equivalents at end of period |
$ |
$ |
||||||
Supplemental disclosure of cash flow information: |
||||||||
Interest paid |
$ |
$ |
||||||
Income taxes paid |
$ |
$ |
Equity Attributable to Minerals Technologies Inc. |
||||||||||||||||||||||||||||
(millions of dollars) |
Common Stock |
Additional Paid-in Capital |
Retained Earnings |
Accumulated Other Comprehensive Loss |
Treasury Stock |
Non-controlling Interests |
Total |
|||||||||||||||||||||
Balance as of December 31, 2022 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
Net income |
||||||||||||||||||||||||||||
Other comprehensive income, net |
||||||||||||||||||||||||||||
Dividends declared |
( |
) |
( |
) |
||||||||||||||||||||||||
Issuance of shares pursuant to employee stock compensation plans |
||||||||||||||||||||||||||||
Stock-based compensation |
||||||||||||||||||||||||||||
Conversion of RSU's for tax withholding |
( |
) |
( |
) |
||||||||||||||||||||||||
Balance as of April 2, 2023 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
Net income |
||||||||||||||||||||||||||||
Other comprehensive loss, net |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||
Dividends declared |
( |
) |
( |
) |
||||||||||||||||||||||||
Stock-based compensation |
||||||||||||||||||||||||||||
Balance as of July 2, 2023 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
Net income (loss) |
( |
) |
( |
) |
||||||||||||||||||||||||
Other comprehensive loss, net |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||
Dividends declared |
( |
) |
( |
) |
||||||||||||||||||||||||
Dividends paid to non-controlling interests |
( |
) |
( |
) |
||||||||||||||||||||||||
Stock-based compensation |
||||||||||||||||||||||||||||
Balance as of October 1, 2023 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
Equity Attributable to Minerals Technologies Inc. |
||||||||||||||||||||||||||||
(millions of dollars) |
Common Stock |
Additional Paid-in Capital |
Retained Earnings |
Accumulated Other Comprehensive Loss |
Treasury Stock |
Non-controlling Interests |
Total |
|||||||||||||||||||||
Balance as of December 31, 2021 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
Net income |
||||||||||||||||||||||||||||
Other comprehensive income (loss), net |
( |
) |
( |
) |
||||||||||||||||||||||||
Dividends declared |
( |
) |
( |
) |
||||||||||||||||||||||||
Dividends paid to non-controlling interests |
( |
) |
( |
) |
||||||||||||||||||||||||
Issuance of shares pursuant to employee stock compensation plans |
||||||||||||||||||||||||||||
Purchase of common stock for treasury |
( |
) |
( |
) |
||||||||||||||||||||||||
Stock-based compensation |
||||||||||||||||||||||||||||
Conversion of RSU's for tax withholding |
( |
) |
( |
) |
||||||||||||||||||||||||
Balance as of April 3, 2022 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
Net income |
||||||||||||||||||||||||||||
Other comprehensive loss, net |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||
Dividends declared |
( |
) |
( |
) |
||||||||||||||||||||||||
Dividends paid to non-controlling interests |
( |
) |
( |
) |
||||||||||||||||||||||||
Issuance of shares pursuant to employee stock compensation plans |
||||||||||||||||||||||||||||
Purchase of common stock for treasury |
( |
) |
( |
) |
||||||||||||||||||||||||
Stock-based compensation |
||||||||||||||||||||||||||||
Balance as of July 3, 2022 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
Net income |
||||||||||||||||||||||||||||
Other comprehensive loss, net |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||
Dividends declared |
( |
) |
( |
) |
||||||||||||||||||||||||
Issuance of shares pursuant to employee stock compensation plans |
||||||||||||||||||||||||||||
Purchase of common stock for treasury |
( |
) |
( |
) |
||||||||||||||||||||||||
Stock-based compensation |
||||||||||||||||||||||||||||
Balance as of October 2, 2022 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
– |
The Consumer & Specialties segment serves consumer end markets directly and provides mineral-based solutions and technologies that are essential to our customers’ products. The |
– |
The Engineered Solutions segment combines all engineered systems, mineral blends, and technologies that are designed to aid in customer processes and projects. The |
(in millions of dollars) |
Three Months Ended |
Nine Months Ended |
||||||||||||||
Net Sales |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Household & Personal Care |
$ |
$ |
$ |
$ |
||||||||||||
Specialty Additives |
||||||||||||||||
Consumer & Specialties Segment |
||||||||||||||||
High-Temperature Technologies |
||||||||||||||||
Environmental & Infrastructure |
||||||||||||||||
Engineered Solutions Segment |
||||||||||||||||
Total |
$ |
$ |
$ |
$ |
Three Months Ended |
Nine Months Ended |
|||||||||||||||
(in millions of dollars, except per share data) |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Net income (loss) attributable to Minerals Technologies Inc. |
$ |
( |
) |
$ |
$ |
$ |
||||||||||
Weighted average shares outstanding |
||||||||||||||||
Dilutive effect of stock options and deferred restricted stock units |
||||||||||||||||
Weighted average shares outstanding, adjusted |
||||||||||||||||
Basic earnings (loss) per share attributable to Minerals Technologies Inc. |
$ |
( |
) |
$ |
$ |
$ |
||||||||||
Diluted earnings (loss) per share attributable to Minerals Technologies Inc. |
$ |
( |
) |
$ |
$ |
$ |
Three Months Ended |
Nine Months Ended |
|||||||||||||||
(in millions of dollars) |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Asset Write-Downs |
||||||||||||||||
Consumer & Specialties |
$ |
$ |
$ |
$ |
||||||||||||
Total asset write-down charges |
$ |
$ |
$ |
$ |
||||||||||||
Severance and other costs |
||||||||||||||||
Consumer & Specialties |
$ |
$ |
$ |
$ |
||||||||||||
Engineered Solutions |
||||||||||||||||
Corporate |
||||||||||||||||
Total severance and other employee costs |
$ |
$ |
$ |
$ |
||||||||||||
Total restructuring and other items, net |
$ |
$ |
$ |
$ |
(in millions of dollars) |
||||
Restructuring liability, December 31, 2022 |
$ |
|||
Additional provision |
||||
Cash payments |
( |
) |
||
Restructuring liability, October 1, 2023 |
$ |
(in millions of dollars) |
Oct. 1, 2023 |
Dec. 31, 2022 |
||||||
Raw materials |
$ |
$ |
||||||
Work-in-process |
||||||||
Finished goods |
||||||||
Packaging and supplies |
||||||||
Total inventories |
$ |
$ |
Oct. 1, 2023 |
Dec. 31, 2022 |
|||||||||||||||||||
(in millions of dollars) |
Weighted Average Useful Life (Years) |
Gross Carrying Amount |
Accumulated Amortization |
Gross Carrying Amount |
Accumulated Amortization |
|||||||||||||||
Tradenames |
$ |
$ |
$ |
$ |
||||||||||||||||
Technology |
||||||||||||||||||||
Patents and trademarks |
||||||||||||||||||||
Customer relationships |
||||||||||||||||||||
$ |
$ |
$ |
$ |
● |
Market approach - prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. |
● |
Cost approach - amount that would be required to replace the service capacity of an asset or replacement cost. |
● |
Income approach - techniques to convert future amounts to a single present amount based on market expectations, including present value techniques, option-pricing and other models. |
(in millions of dollars) |
Oct. 1, 2023 |
Dec. 31, 2022 |
||||||
Secured Credit Agreement: |
||||||||
Term Loan due , net of unamortized deferred financing costs of $ |
$ |
$ |
||||||
Senior Notes: |
||||||||
Other debt |
||||||||
Total |
||||||||
Less: Current maturities |
||||||||
Total long-term debt |
$ |
$ |
Pension Benefits |
||||||||||||||||
Three Months Ended |
Nine Months Ended |
|||||||||||||||
(in millions of dollars) |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Service cost |
$ |
$ |
$ |
$ |
||||||||||||
Interest cost |
||||||||||||||||
Expected return on plan assets |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Amortization: |
||||||||||||||||
Prior service cost |
||||||||||||||||
Recognized net actuarial loss |
||||||||||||||||
Settlement loss |
||||||||||||||||
Net periodic benefit cost |
$ |
$ |
$ |
$ |
Post-Retirement Benefits |
||||||||||||||||
Three Months Ended |
Nine Months Ended |
|||||||||||||||
(in millions of dollars) |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Service cost |
$ |
$ |
$ |
$ |
||||||||||||
Interest cost |
||||||||||||||||
Amortization: |
||||||||||||||||
Recognized net actuarial (gain) loss |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Net periodic benefit cost |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
( |
) |
Three Months Ended |
Nine Months Ended |
|||||||||||||||
(in millions of dollars) |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Amortization of pension items: |
||||||||||||||||
Pre-tax amount |
$ |
$ |
$ |
$ |
||||||||||||
Tax |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Net of tax |
$ |
$ |
$ |
$ |
(in millions of dollars) |
Foreign Currency Translation Adjustment |
Unrecognized Pension Costs |
Net Gain (Loss) on Derivative Instruments |
Total |
||||||||||||
Balance as of December 31, 2022 |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
( |
) |
||||||
Other comprehensive loss before reclassifications |
( |
) |
( |
) |
( |
) |
||||||||||
Amounts reclassified from AOCI |
||||||||||||||||
Net current period other comprehensive income (loss) |
( |
) |
( |
) |
( |
) |
||||||||||
Balance as of October 1, 2023 |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
( |
) |
Three Months Ended |
Nine Months Ended |
|||||||||||||||
(number of claims) |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Claims pending, beginning of period |
||||||||||||||||
Claims filed |
||||||||||||||||
Claims dismissed, settled or otherwise resolved |
||||||||||||||||
Claims pending, end of period |
Three Months Ended |
Nine Months Ended |
|||||||||||||||
(in millions of dollars) |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Net Sales |
||||||||||||||||
Consumer & Specialties |
$ |
$ |
$ |
$ |
||||||||||||
Engineered Solutions |
||||||||||||||||
Total |
$ |
$ |
$ |
$ |
||||||||||||
Income (loss) from Operations |
||||||||||||||||
Consumer & Specialties |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
||||||||
Engineered Solutions |
||||||||||||||||
Total |
$ |
( |
) |
$ |
$ |
$ |
Three Months Ended |
Nine Months Ended |
|||||||||||||||
(in millions of dollars) |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Income (loss) from operations for reportable segments |
$ |
( |
) |
$ |
$ |
$ |
||||||||||
Restructuring and other items, net |
( |
) |
||||||||||||||
Acquisition-related expenses |
( |
) |
( |
) |
( |
) |
||||||||||
Litigation expenses |
( |
) |
||||||||||||||
Unallocated and other corporate expenses |
( |
) |
( |
) |
( |
) |
||||||||||
Consolidated income (loss) from operations |
( |
) |
||||||||||||||
Non-operating deductions, net |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Income (loss) before tax and equity in earnings |
$ |
( |
) |
$ |
$ |
$ |
Three Months Ended |
Nine Months Ended |
|||||||||||||||
(in millions of dollars) |
Oct. 1, 2023 |
Oct. 2, 2022 |
Oct. 1, 2023 |
Oct. 2, 2022 |
||||||||||||
Household & Personal Care |
$ |
$ |
$ |
$ |
||||||||||||
Specialty Additives |
||||||||||||||||
High-Temperature Technologies |
||||||||||||||||
Environmental & Infrastructure |
||||||||||||||||
Total |
$ |
$ |
$ |
$ |
● | Increase our presence and market share in global pet litter products, particularly in emerging markets. |
● | Deploy new products in pet care such as lightweight litter. |
● | Increase our sales of calcium carbonate products by further penetration into filling and coating applications in the paper and packaging markets. |
● | Promote the Company's expertise in crystal engineering by developing crystal morphologies that help our customers achieve functional benefits. |
● | Deploy new calcium carbonate products in paint, coating and packaging applications. |
● | Continue developing products and processes for waste management and recycling opportunities to reduce the environmental impact for our customers by reducing energy consumption and improve the sustainability of their products. |
● | Continue to develop innovative applications for our bleaching earth products for edible oil and biofuel industries. |
● | Develop new mineral-based solutions for personal care applications. |
● | Increase our presence and market share in globally for retinol delivery technology for personal care applications. |
● | Expand our bentonite product solutions for animal health applications. |
● | Increase our presence and market share in fabric care, particularly in emerging markets. |
● | Increase our presence and gain penetration of our bentonite-based foundry customers for the metalcasting industry in emerging markets, such as China and India. |
● | Deploy value-added formulations of refractory materials that not only reduce costs but improve performance. |
● | Deploy our laser measurement technologies into new applications. |
● | Expand our refractory maintenance model to other steel makers globally. |
● | Continue the development of our FLUORO-SORB® products which remediate contamination of Per-and polyflouroalkyl substances (PFAS) and Perflourooctane sulfanate (PFOS). |
● | Pursue opportunities for our products in environmental and building and construction markets in the Middle East, Asia Pacific and South America regions. |
● | Increase our presence and market share for geosynthetic clay liners globally. |
● | Continue expansion of our drilling product solutions, including geothermal alternative energy project applications. |
● | Further operational excellence principles into all aspects of the organization, including system infrastructure and lean principles. |
● | Continue to explore selective acquisitions to fit our competencies in minerals and our core technologies. |
Three Months Ended |
||||||||||||
(in millions of dollars) |
Oct. 1, 2023 |
Oct. 2, 2022 |
% Change |
|||||||||
Net sales |
$ |
547.8 |
$ |
541.9 |
1 |
% |
||||||
Cost of sales |
414.7 |
423.6 |
(2 |
)% |
||||||||
Production margin |
133.1 |
118.3 |
13 |
% |
||||||||
Production margin % |
24.3 |
% |
21.8 |
% |
||||||||
Marketing and administrative expenses |
50.9 |
46.0 |
11 |
% |
||||||||
Research and development expenses |
5.2 |
5.1 |
2 |
% |
||||||||
Restructuring and other items, net |
0.3 |
— |
* |
|||||||||
Impairment of assets |
71.7 |
— |
* |
|||||||||
Acquisition-related expenses |
— |
0.5 |
* |
|||||||||
Litigation expenses |
12.9 |
31.1 |
* |
|||||||||
Income (loss) from operations |
(7.9 |
) |
35.6 |
(122 |
)% |
|||||||
Operating margin % |
(1.4 |
)% |
6.6 |
% |
||||||||
Interest expense, net |
(15.3 |
) |
(11.0 |
) |
39 |
% |
||||||
Debt extinguishment expenses |
— |
(6.9 |
) |
* |
||||||||
Non-cash pension settlement charge |
— |
(0.2 |
) |
* |
||||||||
Other non-operating income (deductions), net |
0.6 |
(0.4 |
) |
(250 |
)% |
|||||||
Total non-operating deductions, net |
(14.7 |
) |
(18.5 |
) |
(21 |
)% |
||||||
Income (loss) before tax and equity in earnings |
(22.6 |
) |
17.1 |
(232 |
)% |
|||||||
Provision (benefit) for taxes on income |
(3.5 |
) |
3.2 |
(209 |
)% |
|||||||
Effective tax rate |
15.5 |
% |
18.7 |
% |
||||||||
Equity in earnings of affiliates, net of tax |
1.0 |
0.7 |
43 |
% |
||||||||
Net income (loss) |
(18.1 |
) |
14.6 |
(224 |
)% |
|||||||
Net income attributable to non-controlling interests |
1.1 |
1.2 |
(8 |
)% |
||||||||
Net income (loss) attributable to Minerals Technologies Inc. |
$ |
(19.2 |
) |
$ |
13.4 |
(243 |
)% |
Three Months Ended Oct. 1, 2023 |
Three Months Ended Oct. 2, 2022 |
|||||||||||||||||||
(in millions of dollars) |
Net Sales |
% of Total Sales |
% Change |
Net Sales |
% of Total Sales |
|||||||||||||||
U.S. |
$ |
291.6 |
53.2 |
% |
4 |
% |
$ |
279.9 |
51.7 |
% |
||||||||||
International |
256.2 |
46.8 |
% |
(2 |
)% |
262.0 |
48.3 |
% |
||||||||||||
Total sales |
$ |
547.8 |
100.0 |
% |
1 |
% |
$ |
541.9 |
100.0 |
% |
||||||||||
Consumer & Specialties Segment |
$ |
291.2 |
53.2 |
% |
2 |
% |
$ |
284.7 |
52.5 |
% |
||||||||||
Engineered Solutions Segment |
256.6 |
46.8 |
% |
0 |
% |
257.2 |
47.5 |
% |
||||||||||||
Total sales |
$ |
547.8 |
100.0 |
% |
1 |
% |
$ |
541.9 |
100.0 |
% |
Three Months Ended |
||||||||||||
Consumer & Specialties Segment |
Oct. 1, 2023 |
Oct. 2, 2022 |
% Change |
|||||||||
(in millions of dollars) |
||||||||||||
Net Sales |
||||||||||||
Household & Personal Care |
$ |
128.9 |
$ |
118.7 |
9 |
% |
||||||
Special Additives |
162.3 |
166.0 |
(2 |
)% |
||||||||
Total net sales |
$ |
291.2 |
$ |
284.7 |
2 |
% |
||||||
Loss from operations |
$ |
(46.5 |
) |
$ |
(0.3 |
) |
* |
|||||
% of net sales |
* |
* |
Three Months Ended |
||||||||||||
Engineered Solutions Segment |
Oct. 1, 2023 |
Oct. 2, 2022 |
% Change |
|||||||||
(in millions of dollars) |
||||||||||||
Net Sales |
||||||||||||
High-Temperature Technologies |
$ |
177.4 |
$ |
176.1 |
1 |
% |
||||||
Environmental & Infrastructure |
79.2 |
81.1 |
(2 |
)% |
||||||||
Total net sales |
$ |
256.6 |
$ |
257.2 |
— |
|||||||
Income from operations |
$ |
40.6 |
$ |
36.4 |
12 |
% |
||||||
% of net sales |
15.8 |
% |
14.2 |
% |
Nine Months Ended |
||||||||||||
(in millions of dollars) |
Oct. 1, 2023 |
Oct. 2, 2022 |
% Change |
|||||||||
Net sales |
$ |
1,645.4 |
$ |
1,617.9 |
2 |
% |
||||||
Cost of sales |
1,263.6 |
1,250.6 |
1 |
% |
||||||||
Production margin |
381.8 |
367.3 |
4 |
% |
||||||||
Production margin % |
23.2 |
% |
22.7 |
% |
||||||||
Marketing and administrative expenses |
155.0 |
143.6 |
8 |
% |
||||||||
Research and development expenses |
16.1 |
15.2 |
6 |
% |
||||||||
Restructuring and other items, net |
6.9 |
— |
* |
|||||||||
Impairment of assets |
71.7 |
— |
* |
|||||||||
Acquisition-related expenses |
0.3 |
4.7 |
* |
|||||||||
Litigation expenses |
26.8 |
32.6 |
* |
|||||||||
Income from operations |
105.0 |
171.2 |
(39 |
)% |
||||||||
Operating margin % |
6.4 |
% |
10.6 |
% |
||||||||
Interest expense, net |
(44.0 |
) |
(31.2 |
) |
41 |
% |
||||||
Debt extinguishment expenses |
— |
(6.9 |
) |
* |
||||||||
Non-cash pension settlement charge |
— |
(1.7 |
) |
* |
||||||||
Other non-operating deductions, net |
(1.9 |
) |
(2.0 |
) |
(5 |
)% |
||||||
Total non-operating deductions, net |
(45.9 |
) |
(41.8 |
) |
10 |
% |
||||||
Income before tax and equity in earnings |
59.1 |
129.4 |
(54 |
)% |
||||||||
Provision for taxes on income |
14.5 |
25.8 |
(44 |
)% |
||||||||
Effective tax rate |
24.5 |
% |
19.9 |
% |
||||||||
Equity in earnings of affiliates, net of tax |
3.0 |
1.4 |
114 |
% |
||||||||
Consolidated net income |
47.6 |
105.0 |
(55 |
)% |
||||||||
Net income attributable to non-controlling interests |
3.2 |
2.6 |
23 |
% |
||||||||
Net income attributable to Minerals Technologies Inc. |
$ |
44.4 |
$ |
102.4 |
(57 |
)% |
Nine Months Ended Oct. 1, 2023 |
Nine Months Ended Oct. 2, 2022 |
|||||||||||||||||||
(in millions of dollars) |
Net Sales |
% of Total Sales |
% Growth |
Net Sales |
% of Total Sales |
|||||||||||||||
U.S. |
$ |
874.3 |
53.1 |
% |
3 |
% |
$ |
852.6 |
52.7 |
% |
||||||||||
International |
771.1 |
46.9 |
% |
1 |
% |
765.3 |
47.3 |
% |
||||||||||||
Total sales |
$ |
1,645.4 |
100.0 |
% |
2 |
% |
$ |
1,617.9 |
100.0 |
% |
||||||||||
Consumer & Specialties Segment |
$ |
878.8 |
53.4 |
% |
3 |
% |
$ |
851.4 |
52.6 |
% |
||||||||||
Engineered Solutions Segment |
766.6 |
46.6 |
% |
— |
766.5 |
47.4 |
% |
|||||||||||||
Total sales |
$ |
1,645.4 |
100.0 |
% |
2 |
% |
$ |
1,617.9 |
100.0 |
% |
Nine Months Ended |
||||||||||||
Consumer & Specialties Segment |
Oct. 1, 2023 |
Oct. 2, 2022 |
% Change |
|||||||||
(in millions of dollars) |
||||||||||||
Net Sales |
||||||||||||
Household & Personal Care |
$ |
383.6 |
$ |
358.0 |
7 |
% |
||||||
Specialty Additives |
495.2 |
493.4 |
— |
|||||||||
Total net sales |
$ |
878.8 |
$ |
851.4 |
3 |
% |
||||||
Income from operations |
$ |
5.1 |
$ |
62.6 |
(92 |
)% |
||||||
% of net sales |
0.6 |
% |
7.4 |
% |
Nine Months Ended |
||||||||||||
Engineered Solutions Segment |
Oct. 1, 2023 |
Oct. 2, 2022 |
% Change |
|||||||||
(in millions of dollars) |
||||||||||||
Net Sales |
||||||||||||
High-Temperature Technologies |
$ |
538.6 |
$ |
532.7 |
1 |
% |
||||||
Environmental & Infrastructure |
228.0 |
233.8 |
(2 |
)% |
||||||||
Total net sales |
$ |
766.6 |
$ |
766.5 |
0 |
% |
||||||
Income from operations |
$ |
111.1 |
$ |
115.4 |
(4 |
)% |
||||||
% of net sales |
14.5 |
% |
15.1 |
% |
Exhibit No. |
Exhibit Title |
|
Letter Regarding Unaudited Interim Financial Information. |
||
Rule 13a-14(a)/15d-14(a) Certification executed by the Company’s principal executive officer. |
||
Rule 13a-14(a)/15d-14(a) Certification executed by the Company’s principal financial officer. |
||
Section 1350 Certifications. |
||
Information concerning Mine Safety Violations |
||
Risk Factors |
||
101.INS |
XBRL Instance Document (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 |
|
101.CAL |
Inline XBRL Taxonomy Extension Calculation Linkbase |
|
101.DEF |
Inline XBRL Taxonomy Extension Definition Linkbase |
|
101.LAB |
Inline XBRL Taxonomy Extension Label Linkbase |
|
101.PRE |
Inline XBRL Taxonomy Extension Presentation Linkbase |
|
104 |
Cover Page Interactive Data File (formatted as inline XBRL and contain in Exhibit 101). |
Minerals Technologies Inc. |
||
By: |
/s/ Erik C. Aldag |
|
Erik C. Aldag |
||
Senior Vice President, Finance and Treasury, |
||
Chief Financial Officer |
||
October 27, 2023 |
1. | I have reviewed this Quarterly Report on Form 10-Q of Minerals Technologies Inc.; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) | Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and |
5. | The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors: |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. |
Date: October 27, 2023 | ||
By: | /s/ Douglas T. Dietrich | |
Douglas T. Dietrich | ||
Chairman of the Board and Chief Executive Officer |
1. | I have reviewed this Quarterly Report on Form 10-Q of Minerals Technologies Inc.; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) | Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and |
5. | The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors: |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. |
Date: October 27, 2023 | ||
By: | /s/ Erik C. Aldag | |
Erik C. Aldag | ||
Senior Vice President, Finance and Treasury, | ||
Chief Financial Officer |
Date: October 27, 2023 | ||
By: | /s/ Douglas T. Dietrich | |
Douglas T. Dietrich | ||
Chairman of the Board and Chief Executive Officer |
Date: October 27, 2023 | ||
By: | /s/ Erik C. Aldag | |
Erik C. Aldag | ||
Senior Vice President, Finance and Treasury, | ||
Chief Financial Officer |
Mine | Section 104(a) S&S | Section 104(b) | Section 104(d) | Section 110(b)(2) | Section 107(a) | Proposed Assessments | Fatalities | ||||||||
(A) | (B) | (C) | (D) | (E) | (F) | (G) | |||||||||
Lucerne Valley, CA 04-00219 | 0 | 0 | 0 | 0 | 0 | $ | 2,455 | 0 | |||||||
Canaan, CT 06-00019 | 0 | 0 | 0 | 0 | 0 | $ | 7,816 | 0 | |||||||
Adams, MA 19-00035 | 0 | 0 | 0 | 0 | 1 | $ | 380 | 0 | |||||||
Barretts Mill, Dillon, MT 24-00157 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | |||||||
Regal Mine, Dillon, MT 24-01994 | 0 | 0 | 0 | 0 | 0 | $ | 143 | 0 | |||||||
Treasure Mine, Dillon, MT 24-00160 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | |||||||
Belle/Colony Mine, WY 48-00888 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | |||||||
Belle Fourche Mill, SD 39-00049 | 0 | 0 | 0 | 0 | 0 | $ | 429 | 0 | |||||||
Colony East, WY 48-00594 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | |||||||
Colony West, WY 48-00245 | 3 | 0 | 0 | 0 | 0 | $ | 0 | 0 | |||||||
Gascoyne, ND 32-00459 | 0 | 0 | 0 | 0 | 0 | $ | 286 | 0 | |||||||
Lovell, WY 48-00057 | 0 | 0 | 0 | 0 | 0 | $ | 1,180 | 0 | |||||||
Sandy Ridge, AL 01-00093 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | |||||||
Yellowtail, WY 48-00607 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | |||||||
Ste. Genevieve, MO 23-02564 | 2 | 0 | 0 | 0 | 0 | $ | 627 | 0 |
(A) | The total number of violations of mandatory health or safety standards that could significantly and substantially contribute to the cause and effect of a mine safety or health hazard under section 104 of the Mine Act for which we received a citation from MSHA. |
(B) | The total number of orders issued under section 104(b) of the Mine Act. |
(C) | The total number of citations and orders for unwarrantable failure of the Company to comply with mandatory health or safety standards under section 104(d) of the Mine Act. |
(D) | The total number of flagrant violations under section 110(b)(2) of the Mine Act. |
(E) | The total number of imminent danger orders issued under section 107(a) of the Mine Act. |
(F) | The total dollar value of proposed assessments from MSHA under the Mine Act. |
(G) | The total number of mining-related fatalities, other than fatalities determined by MSHA to be unrelated to mining activity. |
Mine | Legal Actions Pending as of Last Day of Period | Legal Actions Initiated During Period | Legal Actions Resolved During Period | |||
Lucerne Valley, CA | 0 | 0 | 0 | |||
Canaan, CT | 0 | 0 | 0 | |||
Adams, MA | 4 | 1 | 0 | |||
Barretts Mill, Dillon, MT | 0 | 0 | 0 | |||
Regal Mine, Dillon, MT | 0 | 0 | 0 | |||
Treasure Mine, Dillon, MT | 0 | 0 | 0 | |||
Belle/Colony Mine, WY | 0 | 0 | 0 | |||
Belle Fourche Mill, SD | 0 | 0 | 0 | |||
Colony East, WY | 0 | 0 | 0 | |||
Colony West, WY | 0 | 0 | 0 | |||
Gascoyne, ND | 0 | 0 | 0 | |||
Lovell, WY | 1 | 0 | 0 | |||
Sandy Ridge, AL | 0 | 0 | 0 | |||
Yellowtail, WY | 0 | 0 | 0 | |||
Ste. Genevieve, MO | 0 | 0 | 0 |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Millions |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Oct. 01, 2023 |
Oct. 02, 2022 |
Oct. 01, 2023 |
Oct. 02, 2022 |
|
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) [Abstract] | ||||
Net income (loss) | $ (18.1) | $ 14.6 | $ 47.6 | $ 105.0 |
Other comprehensive loss, net of tax: | ||||
Foreign currency translation adjustments | (22.1) | (52.0) | (38.2) | (111.5) |
Pension and postretirement plan adjustments | 0.4 | 0.9 | 1.3 | 4.3 |
Unrealized gains (losses) on derivative instruments | 0.7 | 7.1 | (1.2) | 16.4 |
Total other comprehensive income (loss), net of tax | (21.0) | (44.0) | (38.1) | (90.8) |
Total comprehensive income (loss) including non-controlling interests | (39.1) | (29.4) | 9.5 | 14.2 |
Comprehensive income (loss) attributable to non-controlling interests | 0.5 | (0.1) | (0.8) | 0.3 |
Comprehensive income (loss) attributable to Minerals Technologies Inc. | $ (38.6) | $ (29.5) | $ 8.7 | $ 14.5 |
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions |
9 Months Ended | ||||
---|---|---|---|---|---|
Oct. 01, 2023 |
Oct. 02, 2022 |
||||
Operating Activities: | |||||
Net income | $ 47.6 | $ 105.0 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||
Depreciation, depletion and amortization | 71.5 | 71.2 | |||
Impairment of assets | 71.7 | 0.0 | |||
Non-cash pension settlement charge | 0.0 | 1.7 | |||
Reduction of right of use asset | 10.6 | 9.5 | |||
Non-cash debt extinguishment expenses | 0.0 | 6.9 | |||
Pension plan funding | (6.3) | (5.3) | |||
Other non-cash items, net | (1.1) | 15.1 | |||
Net changes in operating assets and liabilities | (55.7) | (140.5) | |||
Net cash provided by operating activities | 138.3 | 63.6 | |||
Investing Activities: | |||||
Purchases of property, plant and equipment, net | (71.0) | (59.4) | |||
Payments related to acquisition of business, net of cash acquired | (1.8) | (22.4) | |||
Proceeds from sale of assets | 0.2 | 1.0 | |||
Proceeds from sale of short-term investments | 8.5 | 6.1 | |||
Purchases of short-term investments | (12.0) | (2.8) | |||
Other investing activities | 0.3 | 1.6 | |||
Net cash used in investing activities | (75.8) | (75.9) | |||
Financing Activities: | |||||
Long-term debt issuance | 0.0 | 550.0 | |||
Deferred financing costs | 0.0 | (3.2) | |||
Repayment of long-term debt | (11.0) | (548.7) | |||
Proceeds from issuance of short-term debt | 0.0 | 38.5 | |||
Repayment of short-term debt | (10.6) | 0.0 | |||
Purchase of common stock for treasury | 0.0 | (56.0) | |||
Proceeds from issuance of stock under option plan | 0.2 | 3.5 | |||
Excess tax benefits related to stock incentive programs | (2.8) | (3.3) | |||
Dividends paid to non-controlling interests | (1.0) | (6.3) | |||
Cash dividends paid | (4.9) | (4.9) | |||
Net cash used in financing activities | (30.1) | (30.4) | |||
Effect of exchange rate changes on cash and cash equivalents | (11.2) | (32.7) | |||
Net increase (decrease) in cash and cash equivalents | 21.2 | (75.4) | |||
Cash and cash equivalents at beginning of period | 247.2 | [1] | 299.5 | ||
Cash and cash equivalents at end of period | 268.4 | 224.1 | |||
Supplemental disclosure of cash flow information: | |||||
Interest paid | 50.3 | 35.1 | |||
Income taxes paid | $ 38.1 | $ 28.9 | |||
|
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Millions |
Common Stock [Member] |
Additional Paid-in Capital [Member] |
Retained Earnings [Member] |
Accumulated Other Comprehensive Loss [Member] |
Treasury Stock [Member] |
Non-controlling Interests [Member] |
Total |
|||||
---|---|---|---|---|---|---|---|---|---|---|---|---|
Balance at Dec. 31, 2021 | $ 4.9 | $ 474.2 | $ 2,168.9 | $ (333.6) | $ (775.1) | $ 40.2 | $ 1,579.5 | |||||
Net income (loss) | 0.0 | 0.0 | 44.1 | 0.0 | 0.0 | 0.8 | 44.9 | |||||
Other comprehensive income (loss), net | 0.0 | 0.0 | 0.0 | (4.0) | 0.0 | 0.1 | (3.9) | |||||
Dividends declared | 0.0 | 0.0 | (1.6) | 0.0 | 0.0 | 0.0 | (1.6) | |||||
Dividends paid to non-controlling interests | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | (0.1) | (0.1) | |||||
Issuance of shares pursuant to employee stock compensation plans | 0.0 | 0.9 | 0.0 | 0.0 | 0.0 | 0.0 | 0.9 | |||||
Purchase of common stock for treasury | 0.0 | 0.0 | 0.0 | 0.0 | (16.7) | 0.0 | (16.7) | |||||
Stock-based compensation | 0.0 | 2.8 | 0.0 | 0.0 | 0.0 | 0.0 | 2.8 | |||||
Conversion of RSU's for tax withholding | 0.0 | (2.8) | 0.0 | 0.0 | 0.0 | 0.0 | (2.8) | |||||
Balance at Apr. 03, 2022 | 4.9 | 475.1 | 2,211.4 | (337.6) | (791.8) | 41.0 | 1,603.0 | |||||
Balance at Dec. 31, 2021 | 4.9 | 474.2 | 2,168.9 | (333.6) | (775.1) | 40.2 | 1,579.5 | |||||
Net income (loss) | 105.0 | |||||||||||
Other comprehensive income (loss), net | (90.8) | |||||||||||
Balance at Oct. 02, 2022 | 4.9 | 483.3 | 2,266.3 | (421.4) | (831.1) | 33.6 | 1,535.6 | |||||
Balance at Apr. 03, 2022 | 4.9 | 475.1 | 2,211.4 | (337.6) | (791.8) | 41.0 | 1,603.0 | |||||
Net income (loss) | 0.0 | 0.0 | 44.9 | 0.0 | 0.0 | 0.6 | 45.5 | |||||
Other comprehensive income (loss), net | 0.0 | 0.0 | 0.0 | (40.9) | 0.0 | (1.9) | (42.8) | |||||
Dividends declared | 0.0 | 0.0 | (1.6) | 0.0 | 0.0 | 0.0 | (1.6) | |||||
Dividends paid to non-controlling interests | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | (6.2) | (6.2) | |||||
Issuance of shares pursuant to employee stock compensation plans | 0.0 | 0.2 | 0.0 | 0.0 | 0.0 | 0.0 | 0.2 | |||||
Purchase of common stock for treasury | 0.0 | 0.0 | 0.0 | 0.0 | (24.0) | 0.0 | (24.0) | |||||
Stock-based compensation | 0.0 | 2.8 | 0.0 | 0.0 | 0.0 | 0.0 | 2.8 | |||||
Balance at Jul. 03, 2022 | 4.9 | 478.1 | 2,254.7 | (378.5) | (815.8) | 33.5 | 1,576.9 | |||||
Net income (loss) | 0.0 | 0.0 | 13.4 | 0.0 | 0.0 | 1.2 | 14.6 | |||||
Other comprehensive income (loss), net | 0.0 | 0.0 | 0.0 | (42.9) | 0.0 | (1.1) | (44.0) | |||||
Dividends declared | 0.0 | 0.0 | (1.8) | 0.0 | 0.0 | 0.0 | (1.8) | |||||
Issuance of shares pursuant to employee stock compensation plans | 0.0 | 2.4 | 0.0 | 0.0 | 0.0 | 0.0 | 2.4 | |||||
Purchase of common stock for treasury | 0.0 | 0.0 | 0.0 | 0.0 | (15.3) | 0.0 | (15.3) | |||||
Stock-based compensation | 0.0 | 2.8 | 0.0 | 0.0 | 0.0 | 0.0 | 2.8 | |||||
Balance at Oct. 02, 2022 | 4.9 | 483.3 | 2,266.3 | (421.4) | (831.1) | 33.6 | 1,535.6 | |||||
Balance at Dec. 31, 2022 | 4.9 | 487.6 | 2,284.6 | (366.5) | (831.1) | 33.7 | 1,613.2 | [1] | ||||
Net income (loss) | 0.0 | 0.0 | 37.0 | 0.0 | 0.0 | 1.1 | 38.1 | |||||
Other comprehensive income (loss), net | 0.0 | 0.0 | 0.0 | 7.7 | 0.0 | 0.4 | 8.1 | |||||
Dividends declared | 0.0 | 0.0 | (1.6) | 0.0 | 0.0 | 0.0 | (1.6) | |||||
Issuance of shares pursuant to employee stock compensation plans | 0.0 | 0.2 | 0.0 | 0.0 | 0.0 | 0.0 | 0.2 | |||||
Stock-based compensation | 0.0 | 2.7 | 0.0 | 0.0 | 0.0 | 0.0 | 2.7 | |||||
Conversion of RSU's for tax withholding | 0.0 | (2.7) | 0.0 | 0.0 | 0.0 | 0.0 | (2.7) | |||||
Balance at Apr. 02, 2023 | 4.9 | 487.8 | 2,320.0 | (358.8) | (831.1) | 35.2 | 1,658.0 | |||||
Balance at Dec. 31, 2022 | 4.9 | 487.6 | 2,284.6 | (366.5) | (831.1) | 33.7 | 1,613.2 | [1] | ||||
Net income (loss) | 47.6 | |||||||||||
Other comprehensive income (loss), net | (35.7) | (38.1) | ||||||||||
Balance at Oct. 01, 2023 | 4.9 | 493.4 | 2,324.1 | (402.2) | (831.1) | 33.5 | 1,622.6 | [2] | ||||
Balance at Apr. 02, 2023 | 4.9 | 487.8 | 2,320.0 | (358.8) | (831.1) | 35.2 | 1,658.0 | |||||
Net income (loss) | 0.0 | 0.0 | 26.6 | 0.0 | 0.0 | 1.0 | 27.6 | |||||
Other comprehensive income (loss), net | 0.0 | 0.0 | 0.0 | (24.0) | 0.0 | (1.2) | (25.2) | |||||
Dividends declared | 0.0 | 0.0 | (1.7) | 0.0 | 0.0 | 0.0 | (1.7) | |||||
Stock-based compensation | 0.0 | 2.8 | 0.0 | 0.0 | 0.0 | 0.0 | 2.8 | |||||
Balance at Jul. 02, 2023 | 4.9 | 490.6 | 2,344.9 | (382.8) | (831.1) | 35.0 | 1,661.5 | |||||
Net income (loss) | 0.0 | 0.0 | (19.2) | 0.0 | 0.0 | 1.1 | (18.1) | |||||
Other comprehensive income (loss), net | 0.0 | 0.0 | 0.0 | (19.4) | 0.0 | (1.6) | (21.0) | |||||
Dividends declared | 0.0 | 0.0 | (1.6) | 0.0 | 0.0 | 0.0 | (1.6) | |||||
Dividends paid to non-controlling interests | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | (1.0) | (1.0) | |||||
Stock-based compensation | 0.0 | 2.8 | 0.0 | 0.0 | 0.0 | 0.0 | 2.8 | |||||
Balance at Oct. 01, 2023 | $ 4.9 | $ 493.4 | $ 2,324.1 | $ (402.2) | $ (831.1) | $ 33.5 | $ 1,622.6 | [2] | ||||
|
Basis of Presentation and Summary of Significant Accounting Policies |
9 Months Ended | ||||
---|---|---|---|---|---|
Oct. 01, 2023 | |||||
Basis of Presentation and Summary of Significant Accounting Policies [Abstract] | |||||
Basis of Presentation and Summary of Significant Accounting Policies |
Note 1. Basis of Presentation and Summary of Significant Accounting Policies
The accompanying unaudited condensed consolidated financial statements have been prepared by management of Minerals Technologies Inc. (the “Company”, “MTI”, “we”, or “us”) in accordance with the rules and regulations of the United States Securities and Exchange Commission. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles have been condensed or omitted. Therefore, these financial statements should be read in conjunction with the consolidated financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. In the opinion of management, all adjustments, consisting solely of normal recurring adjustments necessary for a fair presentation of the financial information for the periods indicated, have been included. The results for the three-month and nine-month periods ended October 1, 2023 are not necessarily indicative of the results that may be expected for the year ending December 31, 2023.
Company Operations
The Company is a leading, technology-driven specialty minerals company that develops, produces, and markets a broad range of mineral and mineral-based products, related systems and services. The Company serves globally a wide range of consumer and industrial markets, including household, food and pharmaceutical, paper, packaging, automotive, construction, and environmental.
In the first quarter of 2023, the Company realigned its business reporting structure into two segments to better align our business and technologies with our customers and end markets and create a more efficient and effective management structure which reflects the way performance is evaluated and resources are allocated.
The Company now has two reportable segments: Consumer & Specialties and Engineered Solutions.
Use of Estimates
The Company employs accounting policies that are in accordance with U.S. generally accepted accounting principles and require management to make estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reported period. Significant estimates include those related to revenue recognition, valuation of long-lived assets, goodwill and other intangible assets, income taxes, including valuation allowances, contingent liabilities, and pension plan assumptions. Actual results could differ from those estimates.
Recently Issued Accounting Standards
Changes to accounting principles generally accepted in the United States of America (U.S. GAAP) are established by the Financial Accounting Standards Board (FASB) in the form of accounting standards updates (ASUs) to the FASB’s Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. All recently issued ASUs were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position and results of operations.
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Revenue from Contracts with Customers |
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Revenue from Contracts with Customers [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contracts with Customers |
Note 2. Revenue from Contracts with Customers
On a regular basis the Company reviews its segments and the approach used by the chief decision maker to assess performance and allocate resources. Effective January 1, 2023, the Company realigned its business reporting structure and reorganized into two reportable segments, Consumer & Specialties and Engineered Solutions.
The following table disaggregates our revenue by major source (product line) for the three and nine-month periods ended October 1, 2023 and October 2, 2022:
|
Acquisitions |
9 Months Ended |
---|---|
Oct. 01, 2023 | |
Acquisitions [Abstract] | |
Acquisitions |
Note 3. Acquisitions
Concept Pet Heimtierprodukte GmbH
On April 29, 2022, the Company completed the acquisition of Concept Pet Heimtierprodukte GmbH (“Concept Pet”), a European supplier of pet litter products. The purchase of Concept Pet supports the expansion of our European pet care business, as well as providing additional mineral reserves. The purchase price was $28.0 million and acquisition was financed through cash on hand. The fair value of the total consideration transferred, net of cash acquired, was $22.4 million. In the second quarter of 2023, an additional $1.8 million of hold back consideration was paid. The results of Concept Pet are included within our Household & Personal Care product line in our Consumer & Specialties segment. The acquisition has been accounted for using the acquisition method of accounting, which requires, among other things, that we recognize the assets acquired and liabilities assumed at their respective fair values as of the acquisition date. The Company has recorded goodwill of $9.3 million and intangible assets of $4.3 million relating to this acquisition.
The Company incurred $— million and $0.3 million of acquisition related transaction and integration costs during the three and nine-month periods ended October 1, 2023 and $0.5 million and $4.7 million in the three and nine-month periods ended October 2, 2022, which are reflected within the acquisition-related expenses line of the Condensed Consolidated Statements of Income (Loss).
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Earnings (Loss) per Share |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 01, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings (Loss) per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings (Loss) per Share |
Note 4. Earnings (Loss) per Share (EPS)
Basic earnings (loss) per share are based upon the weighted average number of common shares outstanding during the period. Diluted earnings (loss) per share are based upon the weighted average number of common shares outstanding during the period assuming the issuance of common shares for all potentially dilutive common shares outstanding.
The following table sets forth the computation of basic and diluted earnings (loss) per share:
Of the options outstanding of 1,604,217 and 1,460,734 for the three-month and nine-month periods ended October 1, 2023 and October 2, 2022, respectively, options to purchase 1,285,619 shares and 1,106,596 shares of common stock for the three-month and nine-month periods ending October 1, 2023 and October 2, 2022, respectively, were not included in the computation of diluted earnings per share because they were anti-dilutive, as the exercise prices of the options were greater than the average market price of the common shares.
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Restructuring and Other Items, net |
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Restructuring and Other Items, net [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring and Other Items, net |
Note 5. Restructuring and Other Items, net
In the third quarter of 2023, the Company recorded a $71.7 million non-cash impairment of long-lived assets charge related to its subsidiaries Barretts Minerals Inc. and Barretts Ventures Texas LLC within the Consumer & Specialties segment. This impairment was triggered by increased claims and continued increases in legal costs, which led to the voluntary filing for relief under Chapter 11 of the U.S. Bankruptcy Code to address and comprehensively resolve Barretts Minerals Inc.'s liabilities associated with the talc claims. See Notes 13 and 15 to the Condensed Consolidated Financial Statements for further information.
In the second quarter of 2023, the Company initiated a restructuring and cost savings program to further streamline our cost structure as a result of organizational efficiencies gained through our recent resegmentation. As a result, the Company recorded a charge of $6.6 million for restructuring and other charges related to severance and other costs. In the third quarter of 2023, an incremental charge of $0.3 million was recorded relating to this program.
The following table outlines the amount of restructuring charges recorded within the Consolidated Statements of Income and the segment they relate to:
At October 1, 2023, the Company had $5.6 million included within other current liabilities in the Condensed Consolidated Balance Sheet for cash expenditures needed to satisfy remaining obligations under workforce reduction initiatives. The Company expects to pay these amounts by end of the second quarter of 2024.
The following table is a reconciliation of our restructuring liability balance as of October 1, 2023:
|
Income Taxes |
9 Months Ended |
---|---|
Oct. 01, 2023 | |
Income Taxes [Abstract] | |
Income Taxes |
Note 6. Income Taxes
Provision (benefit) for taxes was $(3.5) million and $14.5 million during the three-month and nine-month periods ended October 1, 2023. Provision for taxes was $3.2 million and $25.8 million during the three-month and nine-month periods ended October 2, 2022. The effective tax rate was a benefit of 15.5% for the three months ended October 1, 2023, as compared with 18.7% for the three months ended October 2, 2022. The lower tax rate was primarily due to the benefit recorded on the non-cash impairment of assets in the current year. The effective tax rate was 24.5% for the nine months ended October 1, 2023, as compared with 19.9% for the nine months ended October 2, 2022. The higher tax rate was primarily due to the mix of earnings.
As of October 1, 2023, the Company had approximately $3.0 million of total unrecognized income tax benefits. Included in this amount were a total of $2.2 million of unrecognized income tax benefits that, if recognized, would affect the Company’s effective tax rate. While it is expected that the amount of unrecognized tax benefits will change in the next 12 months, the Company does not expect the change to have a significant impact on the results of operations or the financial position of the Company.
The Company’s accounting policy is to recognize interest and penalties accrued relating to unrecognized income tax benefits as part of its provision for income taxes. The Company had a net addition of approximately $0.1 million during the three-month period ended October 1, 2023 and had an accrued balance of $0.5 million of interest and penalties as of October 1, 2023.
The Company operates in multiple taxing jurisdictions, both within and outside the U.S. In certain situations, a taxing authority may challenge positions that the Company has adopted in its income tax filings. The Company, with a few exceptions (none of which are material), is no longer subject to income tax examinations by tax authorities for years prior to 2015.
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Inventories |
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Oct. 01, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventories [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventories |
Note 7. Inventories
The following is a summary of inventories by major category:
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Goodwill and Other Intangible Assets |
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Goodwill and Other Intangible Assets [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets |
Note 8. Goodwill and Other Intangible Assets
Goodwill and other intangible assets with indefinite lives are not amortized, but instead are assessed for impairment, at least annually. The carrying amount of goodwill was $913.6 million and $914.8 million as of October 1, 2023 and December 31, 2022, respectively. The net change in goodwill from December 31, 2022 to October 1, 2023 is primarily attributable to the effects of foreign exchange.
As a result of the reorganization of the Company's segments in the first quarter of 2023, we were required to reallocate our goodwill amongst the new operating segments. The allocation of goodwill was based on the fair value of each reporting unit under both our old and new management structures and the portions being transferred. This was completed in the third quarter of 2023.
Intangible assets subject to amortization as of October 1, 2023 and December 31, 2022 were as follows:
The weighted average amortization period for acquired intangible assets subject to amortization is approximately 29 years. Estimated amortization expense is $3.3 million for the remainder of 2023, $47.8 million for 2024–2027 and $181.1 million thereafter.
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Derivative Financial Instruments |
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Derivative Financial Instruments [Abstract] | |||||||
Derivative Financial Instruments |
Note 9. Derivative Financial Instruments
As a multinational corporation with operations throughout the world, the Company is exposed to certain market risks. The Company uses a variety of practices to manage these market risks, including, when considered appropriate, derivative financial instruments. The Company’s objective is to offset gains and losses resulting from interest rates and foreign currency exposures with gains and losses on the derivative contracts used to hedge them. The Company uses derivative financial instruments only for risk management and not for trading or speculative purposes.
By using derivative financial instruments to hedge exposures to changes in interest rates and foreign currencies, the Company exposes itself to credit risk and market risk. Credit risk is the risk that the counterparty will fail to perform under the terms of the derivative contract. When the fair value of a derivative contract is positive, the counterparty owes the Company, which creates credit risk for the Company. When the fair value of a derivative contract is negative, the Company owes the counterparty, and therefore, it does not face any credit risk. The Company minimizes the credit risk in derivative instruments by entering into transactions with major financial institutions.
Market risk is the adverse effect on the value of a financial instrument that results from a change in interest rates, currency exchange rates, or commodity prices. The market risk associated with interest rate and forward exchange contracts is managed by establishing and monitoring parameters that limit the types and degree of market risk that may be undertaken.
Cash Flow Hedges
For derivative instruments that are designated and qualify as cash flow hedges, the Company records the effective portion of the gain or loss in accumulated other comprehensive income (loss) as a separate component of shareholders’ equity. The Company subsequently reclassifies the effective portion of gain or loss into earnings in the period during which the hedged transaction is recognized in earnings.
The Company utilizes interest rate swaps to limit exposure to market fluctuations on floating-rate debt. In the second quarter of 2018, the Company entered into a floating to fixed interest rate swap for a notional amount of $150 million. This interest rate swap matured in May 2023. In the second quarter of 2023, the Company entered into a new floating to fixed interest rate swap for a notional amount of $150 million. The fair value of this swap is an asset of $2.8 million at October 1, 2023 and is recorded in other assets and deferred charges on the Condensed Consolidated Balance Sheet. This interest rate swap is designated as a cash flow hedge. As a result, the gains and losses associated with this interest rate swap are recorded in accumulated other comprehensive income (loss).
Net Investment Hedges
For derivative instruments that are designated and qualify as net investment hedges, the Company records the effective portion of the gain or loss in accumulated other comprehensive income (loss) as a separate component of shareholders’ equity.
To protect the value of our investments in our foreign operations against adverse changes in foreign currency exchange rates, the Company from time to time hedges a portion of our net investment in one or more of our foreign subsidiaries. During the second quarter of 2018, the Company entered into a cross currency rate swap with a total notional value of $150 million to exchange monthly fixed-rate interest payments in U.S. dollars for monthly fixed-rate interest rate payments in Euros. This contract matured in May 2023 and required the exchange of Euros and U.S. dollar principal payments upon maturity. Changes in the fair value of this financial instrument were recognized in accumulated other comprehensive income (loss) to offset the change in the carrying amount of the net investment being hedged. At maturity, the Company realized, in comprehensive income, from inception, an after-tax gain of $7.6 million. Amounts are reclassified out of accumulated other comprehensive income (loss) into earnings when the hedged net investment is either sold or substantially liquidated.
Assets and liabilities measured at fair value are based on one or more of three valuation techniques. The three valuation techniques are as follows:
The Company primarily applies the income approach for interest rate derivatives for recurring fair value measurements and attempts to utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs.
The fair value of our interest rate and cross currency rate swap contracts are determined based on inputs that are readily available in public markets or can be derived from information available in publicly quoted markets and are categorized as Level 2.
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Long-Term Debt and Commitments |
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Long-Term Debt and Commitments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Long-Term Debt and Commitments |
Note 10. Long-Term Debt and Commitments
The following is a summary of long-term debt:
On August 11, 2022, the Company entered into a Refinancing Facility Agreement (the “Amendment”) to amend the Company’s previous credit agreement (the “Previous Credit Agreement”; the previous credit agreement, as amended by the Amendment, being the “Amended Credit Agreement”). The Amendment provides for, among other things, a new senior secured revolving credit facility with aggregate commitments of $300 million (the “Revolving Facility”), a portion of which may be used for the issuance of letters of credit and swingline loans, and a new senior secured term loan facility with aggregate commitments of $550 million (the “Term Loan Facility” and, together with the Revolving Facility, the “Senior Secured Credit Facilities”). The Revolving Facility and the Term Loan Facility replaced the facilities under the Previous Credit Agreement, which provided for, among other things, a $788 million senior secured floating rate term loan facility and a $300 million senior secured revolving credit facility. The maturity date for loans under the Senior Secured Credit Facilities is August 11, 2027.
Loans under the Senior Secured Credit Facilities will bear interest at a rate equal to, at the election of the Company, Term SOFR plus a credit spread adjustment equal to 0.100% plus an applicable margin equal to 1.500% per annum or a base rate plus an applicable margin equal to 0.500% per annum, subject in each case to (a) an increase of 25 basis points in the event that, and for so long as, the net leverage ratio (as defined in the Amended Credit Agreement) is greater than or equal to 3.00 to 1.00 as of the last day of the preceding fiscal quarter, (b) a decrease of 12.5 basis points in the event that, and for so long as, the net leverage ratio is less than 2.00 to 1.00 and greater than or equal to 1.00 to 1.00 as of the last day of the preceding fiscal quarter and (c) an decrease of 25 basis points in the event that, and for so long as, the net leverage ratio is less than 1.00 to 1.00 as of the last day of the preceding fiscal quarter. The Company will pay certain fees under the Amended Credit Agreement, including (a) a commitment fee of 0.250% per annum on the undrawn portion of the Revolving Facility (subject to a step-up to 0.300% and step-downs to 0.175% and 0.150% at the same levels described above), (b) a fronting fee of 0.125% per annum on the average daily undrawn amount of, plus unreimbursed amounts in respect of disbursements under, letters of credit issued under the Revolving Facility and (c) customary annual administration fees. The obligations of the Company under the Senior Secured Credit Facilities are unconditionally guaranteed jointly and severally by, subject to certain exceptions, all material domestic subsidiaries of the Company (the “Guarantors”) and secured, subject to certain exceptions, by a security interest in substantially all of the tangible and intangible assets of the Company and the Guarantors. In the third quarter of 2023, the Company's subsidiaries Barretts Minerals Inc. and Barretts Ventures Texas LLC were removed as borrowers under, and Guarantors of, the Senior Secured Credit Facilities.
As of October 1, 2023, there were $108.0 million in loans and $10.6 million in letters of credit outstanding under the Revolving Facility.
On June 30, 2020, the Company issued $400 million aggregate principal amount of 5.0% Senior Notes due 2028 (the “Notes”). The Notes were issued pursuant to an indenture, dated as of June 30, 2020, between the Company and The Bank of New York Mellon Trust Company, N.A., as trustee (the “Indenture”). The Notes bear an interest rate of 5.0% per annum payable semi-annually on January 1 and July 1 of each year, beginning on January 1, 2021. The Notes are unconditionally guaranteed on a senior unsecured basis by each of the Company’s existing and future wholly owned domestic restricted subsidiaries that is a borrower under or that guarantees the Company’s obligations under its Senior Secured Credit Facilities or that guarantees the Company’s or any of the Company’s wholly owned domestic subsidiaries’ long-term indebtedness in an aggregate amount in excess of $50 million. In the third quarter of 2023, the Company’s subsidiaries Barretts Minerals Inc. and Barretts Ventures Texas LLC were removed as guarantors of the Notes.
The Company may redeem some or all of the Notes at any time and from time to time at the applicable redemption prices listed in the Indenture, plus accrued and unpaid interest, if any, to, but excluding, the applicable redemption date.
If the Company experiences a change of control (as defined in the indenture), the Company is required to offer to repurchase the Notes at 101% of the principal amount of such Notes, plus accrued and unpaid interest, if any, to, but excluding, the date of repurchase.
The Amended Credit Agreement and the Indenture both contain certain customary affirmative and negative covenants that limit or restrict the ability of the Company and its restricted subsidiaries to enter into certain transactions or take certain actions, as well as customary events of default. In addition, the Amended Credit Agreement contains financial covenants that require the Company to maintain, as of the last day of any fiscal quarter, (x) a maximum net leverage ratio (as defined in the Amended Credit Agreement) of 4.00 to 1.00 for the four fiscal quarter period preceding such day (subject to an increase to 5.00 to 1.00 for four quarters in connection with certain significant acquisitions) and (y) a minimum interest coverage ratio (as defined in the Amended Credit Agreement) of 3.00 to 1.00. The Company is in compliance with all the covenants contained in the Amended Credit Agreement throughout the period covered by this report.
The Company has a committed loan facility in Japan. As of October 1, 2023, $1.5 million was outstanding under this loan facility. Principal will be repaid in accordance with the payment schedule ending in 2026. The Company repaid $0.4 million on this facility during 2023.
As part of the Concept Pet acquisition, the Company assumed $1.9 million in long-term debt, recorded at fair value, consisting of two terms loans, one that matures in 2025 and one that matures in 2027. Both loans have annual payments and carry a variable interest rate. The Company repaid $0.4 million on these loans during 2023.
As of October 1, 2023, the Company had $25.1 million in uncommitted short-term bank credit lines, of which $1.2 million were in use.
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Benefit Plans |
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Benefit Plans |
Note 11. Benefit Plans
The Company and its subsidiaries have pension plans covering eligible employees on a contributory or non-contributory basis. The Company also provides postretirement health care and life insurance benefits for eligible U.S. retired employees. Disclosures for the U.S. plans have been combined with those outside of the U.S. as the international plans do not have significantly different assumptions, and together represent less than 20% of our total benefit obligation.
Components of Net Periodic Benefit Cost
Amortization amounts of prior service costs and recognized net actuarial losses are recorded, net of tax, as increases to accumulated other comprehensive income.
The Company expects to contribute approximately $10.0 million to its pension plans and $0.5 million to its other postretirement benefit plans in 2023. As of October 1, 2023, $6.3 million has been contributed to the pension plans and no contributions have been made to the other postretirement benefit plans.
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Comprehensive Income |
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Comprehensive Income |
Note 12. Comprehensive Income
The following table summarizes the amounts reclassified out of accumulated other comprehensive loss attributable to the Company:
The pre-tax amounts in the table above are included within the components of net periodic pension benefit cost (see Note 11 to the Condensed Consolidated Financial Statements) and the tax amounts are included within the provision for taxes on income line within the Condensed Consolidated Statements of Income.
The major components of accumulated other comprehensive loss, net of related tax, attributable to MTI are as follows:
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Contingencies |
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Contingencies |
Note 13. Contingencies
The Company is party to a number of lawsuits arising in the normal course of our business. The Company and certain of the Company’s subsidiaries are among numerous defendants in a number of cases seeking damages for alleged exposure to asbestos-contaminated talc products sold by the Company’s subsidiary Barretts Minerals Inc. (“BMI”). As of October 1, 2023, we had 562 open cases related to certain talc products previously sold by BMI, which is an increase in volume from previous years. The following table details case activity related to talc products previously sold by BMI:
These claims typically allege various theories of liability, including negligence, gross negligence and strict liability and seek compensatory and, in some cases, punitive damages, but most of these claims do not provide adequate information to assess their merits, the likelihood that the Company will be found liable, or the magnitude of such liability, if any. We are unable to state an amount or range of amounts claimed in any of these lawsuits because state court pleading practices do not require the plaintiff to identify the amount of the claimed damage. The Company’s position, as stated publicly, is that the talc products sold by BMI are safe and do not cause cancer.
The Company records accruals for loss contingencies associated with legal matters, including talc-related litigation, when it is probable that a liability will be incurred and the amount of the loss can be reasonably estimated. Amounts accrued for legal contingencies often result from a complex series of judgments about future events and uncertainties that rely heavily on estimates and assumptions including timing of related payments. The ability to make such estimates and judgments can be affected by various factors, including whether damages sought in the proceedings are unsubstantiated or indeterminate, the stage of the litigation, the factual and legal matters in dispute, the ability to achieve comprehensive settlements, the availability of co-defendants with substantial resources and assets participating in the litigation, and our evaluation of the unique attributes of each claim.
While costs relating to the talc-related cases have increased concurrently with the volume, the majority of these costs have historically been borne by Pfizer Inc. in connection with certain agreements entered into in connection with the Company’s initial public offering in 1992, and as long as the litigation is subject to the stay under the Chapter 11 Cases (discussed below), the Company will not be required to make any payments in respect thereof. The Company is entitled to indemnification, pursuant to agreement, for liabilities arising from sales prior to the initial public offering. The Company continues to receive information with respect to potential costs associated with the defense and/or settlement of talc-related cases not subject to indemnification from Pfizer Inc. Although the Company believes that the talc products are safe and that claims to the contrary are without merit, BMI opportunistically settled certain talc-related cases in 2022 and 2023. None of such settlements have been material to the Company. In the third quarter of 2023, the Company reviewed its estimates of the probability and amount of losses in connection with its current talc-related cases and recorded a charge of $12.9 million of litigation expenses incurred in connection with BMI's bankruptcy and by BMI to defend against and restore its reserve for claims associated with certain talc products.
On October 2, 2023 (the “Petition Date”), notwithstanding the Company’s confidence in the safety of BMI’s talc products, the Company’s subsidiaries, BMI and Barretts Ventures Texas LLC (together with BMI, “Barretts”), filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Southern District of Texas (the “Chapter 11 Cases”) to address and comprehensively resolve BMI’s liabilities associated with talc. See Note 15. During the pendency of the Chapter 11 Cases, the Company anticipates that BMI will benefit from the operation of the automatic stay, which stays ongoing litigation in connection with talc-related claims against BMI. By agreement, the filing or continued prosecution of all talc-related claims against BMI’s non-debtor affiliates is temporarily stayed through November 14, 2023, the date on which a hearing is scheduled on whether to permanently enjoin the filing or further prosecution of any talc-related claims against BMI’s non-debtor affiliates during the pendency of the Chapter 11 Cases. Barretts has been deconsolidated from the Company’s financial statements since the Petition Date.
The broader litigation and regulatory environments for talc-related claims continue to evolve. Moreover, although the Chapter 11 Cases are progressing, it is not possible at this time to predict the form of any ultimate resolution or when an ultimate resolution might occur. Given the foregoing factors, it is reasonably possible that the Company will incur a loss for liabilities associated with future talc claims in excess of the amount currently recognized. This risk is based on the potential for new talc-related claims that could eventually be asserted together with their associated disposition cost and related legal costs, despite the automatic stay with respect to claims against BMI, taking into account the portion of such hypothetical claims that may be subject to indemnification by Pfizer Inc., as well as the inability to estimate the amount that may be necessary to fully and finally resolve all of BMI’s future talc-related claims in connection with a confirmed Chapter 11 plan of reorganization. Accordingly, the Company is currently unable to provide an estimate or range of the magnitude of any potential loss related to future talc claims.
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Segment and Related Information |
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Segment and Related Information [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment and Related Information |
Note 14. Segment and Related Information
On a regular basis the Company reviews its segments and the approach used by the chief decision maker, the Company's Chief Executive Officer, to assess performance and allocate resources. Effective January 1, 2023, the Company realigned its business reporting structure and reorganized into two segments, Consumer & Specialties and Engineered Solutions. Following the realignment, the two new segments consist of the following businesses:
The Consumer & Specialties segment serves consumer end markets directly and provides mineral-based solutions and technologies that are essential to our customers’ products. The two product lines in this segment are Household & Personal Care - our mineral-to-shelf product line that serves pet care, personal and household care, fluid purification and other consumer oriented markets, and Specialty Additives, delivering specialty mineral additives to a variety of consumer and industrial end markets including paper, packaging, construction, automotive, and food and pharmaceuticals.
The Engineered Solutions segment combines all engineered systems, mineral blends, and technologies that are designed to aid in customer processes and projects. The two product lines in this segment are High-Temperature Technologies – combining all of our mineral-based blends, technologies, and systems serving the foundry, steel, glass, aluminum and other high-temperature processing industries, and Environmental & Infrastructure, which includes environmental and remediation solutions such as geosynthetic clay lining systems, water remediation technologies as well as drilling, commercial building and infrastructure-related products.
We believe the new structure better aligns our businesses and technologies with our customers and end markets and creates a more efficient and effective management structure that reflects the way performance is evaluated and resources are allocated.
The Company has two reportable segments: Consumer & Specialties and Engineered Solutions. See Note 1 to the Condensed Consolidated Financial Statements. Segment information for the three and nine-month periods ended October 1, 2023 and October 2, 2022 is as follows:
A reconciliation of the totals reported for the operating segments to the applicable line items in the condensed consolidated financial statements is as follows:
The Company’s sales by product category are as follows:
|
Subsequent Event |
9 Months Ended |
---|---|
Oct. 01, 2023 | |
Subsequent Event [Abstract] | |
Subsequent Event |
Note 15. Subsequent Event
On October 2, 2023 (the “Petition Date”), notwithstanding the Company’s confidence in the safety of the talc products of the Company’s subsidiary, Barretts Minerals Inc. (“BMI”), the Company’s subsidiaries, BMI and Barretts Ventures Texas LLC (together with BMI, “Barretts”), filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Southern District of Texas (the “Chapter 11 Cases”) to address and comprehensively resolve BMI’s liabilities associated with talc. Minerals Technologies Inc. and the Company’s other subsidiaries were not included in the Chapter 11 filing. BMI intends to pursue a sale of its talc assets under section 363 of the Bankruptcy Code. Proceeds of the sale will be used to fund the Chapter 11 case. BMI’s ultimate goal in the Chapter 11 Cases is to confirm a plan of reorganization under Section 524(g) of the U.S. Bankruptcy Code and utilize this provision to establish a trust that will address all current and future talc-related claims. Following the Chapter 11 filing, the activities of Barretts are now subject to review and oversight by the bankruptcy court. As a result, Barretts was deconsolidated as of the Petition Date, and its assets and liabilities were derecognized from the Company’s consolidated financial statements on a prospective basis.
|
Insider Trading Arrangements |
3 Months Ended |
---|---|
Oct. 01, 2023 | |
Insider Trading Arrangements [Line Items] | |
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 |
Basis of Presentation and Summary of Significant Accounting Policies (Policies) |
9 Months Ended |
---|---|
Oct. 01, 2023 | |
Basis of Presentation and Summary of Significant Accounting Policies [Abstract] | |
Use of Estimates |
Use of Estimates
The Company employs accounting policies that are in accordance with U.S. generally accepted accounting principles and require management to make estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reported period. Significant estimates include those related to revenue recognition, valuation of long-lived assets, goodwill and other intangible assets, income taxes, including valuation allowances, contingent liabilities, and pension plan assumptions. Actual results could differ from those estimates.
|
Recently Issued Accounting Standards |
Recently Issued Accounting Standards
Changes to accounting principles generally accepted in the United States of America (U.S. GAAP) are established by the Financial Accounting Standards Board (FASB) in the form of accounting standards updates (ASUs) to the FASB’s Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. All recently issued ASUs were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position and results of operations.
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Revenue from Contracts with Customers (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 01, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contracts with Customers [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disaggregation of Revenue by Major Source |
The following table disaggregates our revenue by major source (product line) for the three and nine-month periods ended October 1, 2023 and October 2, 2022:
|
Earnings (Loss) per Share (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 01, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings (Loss) per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Computation of Basic and Diluted Earnings (Loss) per Share |
The following table sets forth the computation of basic and diluted earnings (loss) per share:
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Restructuring and Other Items, net (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 01, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring and Other Items, net [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring Charges |
The following table outlines the amount of restructuring charges recorded within the Consolidated Statements of Income and the segment they relate to:
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Reconciliation of Restructuring Liability |
The following table is a reconciliation of our restructuring liability balance as of October 1, 2023:
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Inventories (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 01, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventories [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventories by Major Category |
The following is a summary of inventories by major category:
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Goodwill and Other Intangible Assets (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 01, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Intangible Assets Subject to Amortization |
Intangible assets subject to amortization as of October 1, 2023 and December 31, 2022 were as follows:
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Long-Term Debt and Commitments (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 01, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Long-Term Debt and Commitments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Long Term Debt |
The following is a summary of long-term debt:
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Benefit Plans (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 01, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Benefit Plans [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net Periodic Benefit Cost |
Components of Net Periodic Benefit Cost
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Comprehensive Income (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 01, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive Income [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reclassifications Out of Accumulated Other Comprehensive Loss |
The following table summarizes the amounts reclassified out of accumulated other comprehensive loss attributable to the Company:
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Accumulated Other Comprehensive Loss |
The major components of accumulated other comprehensive loss, net of related tax, attributable to MTI are as follows:
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Contingencies (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 01, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contingencies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Case Activity Related to Talc Products Previously Sold by BMI | The following table details case activity related to talc products previously sold by BMI:
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Segment and Related Information (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Oct. 01, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment and Related Information [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Information |
The Company has two reportable segments: Consumer & Specialties and Engineered Solutions. See Note 1 to the Condensed Consolidated Financial Statements. Segment information for the three and nine-month periods ended October 1, 2023 and October 2, 2022 is as follows:
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Reconciliation of Income (Loss) from Operations |
A reconciliation of the totals reported for the operating segments to the applicable line items in the condensed consolidated financial statements is as follows:
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Sales by Product Category |
The Company’s sales by product category are as follows:
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Basis of Presentation and Summary of Significant Accounting Policies (Details) |
9 Months Ended |
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Oct. 01, 2023
Segment
ProductLine
| |
Company Operations [Abstract] | |
Number of reportable segments | Segment | 2 |
Consumer & Specialties [Member] | |
Company Operations [Abstract] | |
Number of product lines in segment | 2 |
Engineered Solutions [Member] | |
Company Operations [Abstract] | |
Number of product lines in segment | 2 |
Revenue from Contracts with Customers (Details) $ in Millions |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Oct. 01, 2023
USD ($)
|
Oct. 02, 2022
USD ($)
|
Oct. 01, 2023
USD ($)
Segment
|
Oct. 02, 2022
USD ($)
|
|
Revenue from Contracts with Customers [Abstract] | ||||
Number of reportable segments | Segment | 2 | |||
Revenue from Contracts with Customers [Abstract] | ||||
Net sales | $ 547.8 | $ 541.9 | $ 1,645.4 | $ 1,617.9 |
Household & Personal Care [Member] | ||||
Revenue from Contracts with Customers [Abstract] | ||||
Net sales | 128.9 | 118.7 | 383.6 | 358.0 |
Specialty Additives [Member] | ||||
Revenue from Contracts with Customers [Abstract] | ||||
Net sales | 162.3 | 166.0 | 495.2 | 493.4 |
High-Temperature Technologies [Member] | ||||
Revenue from Contracts with Customers [Abstract] | ||||
Net sales | 177.4 | 176.1 | 538.6 | 532.7 |
Environmental & Infrastructure [Member] | ||||
Revenue from Contracts with Customers [Abstract] | ||||
Net sales | 79.2 | 81.1 | 228.0 | 233.8 |
Consumer & Specialties [Member] | ||||
Revenue from Contracts with Customers [Abstract] | ||||
Net sales | 291.2 | 284.7 | 878.8 | 851.4 |
Consumer & Specialties [Member] | Household & Personal Care [Member] | ||||
Revenue from Contracts with Customers [Abstract] | ||||
Net sales | 128.9 | 118.7 | 383.6 | 358.0 |
Consumer & Specialties [Member] | Specialty Additives [Member] | ||||
Revenue from Contracts with Customers [Abstract] | ||||
Net sales | 162.3 | 166.0 | 495.2 | 493.4 |
Engineered Solutions [Member] | ||||
Revenue from Contracts with Customers [Abstract] | ||||
Net sales | 256.6 | 257.2 | 766.6 | 766.5 |
Engineered Solutions [Member] | High-Temperature Technologies [Member] | ||||
Revenue from Contracts with Customers [Abstract] | ||||
Net sales | 177.4 | 176.1 | 538.6 | 532.7 |
Engineered Solutions [Member] | Environmental & Infrastructure [Member] | ||||
Revenue from Contracts with Customers [Abstract] | ||||
Net sales | $ 79.2 | $ 81.1 | $ 228.0 | $ 233.8 |
Acquisitions (Details) - USD ($) $ in Millions |
3 Months Ended | 9 Months Ended | ||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Apr. 29, 2022 |
Oct. 01, 2023 |
Jul. 02, 2023 |
Oct. 02, 2022 |
Oct. 01, 2023 |
Oct. 02, 2022 |
Dec. 31, 2022 |
[2] | |||||||
Acquisitions [Abstract] | ||||||||||||||
Payments related to acquisition of business, net of cash acquired | $ 1.8 | $ 22.4 | ||||||||||||
Goodwill | $ 913.6 | [1] | 913.6 | [1] | $ 914.8 | |||||||||
Acquisition-related expenses | 0.0 | $ 0.5 | 0.3 | 4.7 | ||||||||||
Concept Pet [Member] | ||||||||||||||
Acquisitions [Abstract] | ||||||||||||||
Purchase price | $ 28.0 | |||||||||||||
Payments related to acquisition of business, net of cash acquired | 22.4 | $ 1.8 | ||||||||||||
Goodwill | 9.3 | |||||||||||||
Intangible assets | $ 4.3 | |||||||||||||
Acquisition-related expenses | $ 0.0 | $ 0.5 | $ 0.3 | $ 4.7 | ||||||||||
|
Earnings (Loss) per Share (Details) - USD ($) $ / shares in Units, $ in Millions |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Oct. 01, 2023 |
Oct. 02, 2022 |
Oct. 01, 2023 |
Oct. 02, 2022 |
|
Earnings (Loss) per Share [Abstract] | ||||
Net income (loss) attributable to Minerals Technologies Inc. | $ (19.2) | $ 13.4 | $ 44.4 | $ 102.4 |
Weighted average shares outstanding (in shares) | 32,500,000 | 32,500,000 | 32,500,000 | 32,800,000 |
Dilutive effect of stock options and deferred restricted stock units (in shares) | 0 | 100,000 | 100,000 | 100,000 |
Weighted average shares outstanding, adjusted (in shares) | 32,500,000 | 32,600,000 | 32,600,000 | 32,900,000 |
Basic earnings (loss) per share attributable to Minerals Technologies Inc. (in dollars per share) | $ (0.59) | $ 0.41 | $ 1.37 | $ 3.12 |
Diluted earnings (loss) per share attributable to Minerals Technologies Inc. (in dollars per share) | $ (0.59) | $ 0.41 | $ 1.36 | $ 3.11 |
Stock Options [Member] | ||||
Earnings (Loss) per Share [Abstract] | ||||
Options outstanding (in shares) | 1,604,217 | 1,460,734 | 1,604,217 | 1,460,734 |
Anti-dilutive securities not included in computation of diluted earnings per share (in shares) | 1,285,619 | 1,106,596 | 1,285,619 | 1,106,596 |
Restructuring and Other Items, net (Details) - USD ($) $ in Millions |
3 Months Ended | 9 Months Ended | |||
---|---|---|---|---|---|
Oct. 01, 2023 |
Jul. 02, 2023 |
Oct. 02, 2022 |
Oct. 01, 2023 |
Oct. 02, 2022 |
|
Restructuring and Other Items, net [Abstract] | |||||
Asset write-down charges | $ 71.7 | $ 0.0 | $ 71.7 | $ 0.0 | |
Severance and other costs | 0.3 | $ 6.6 | 0.0 | 6.9 | 0.0 |
Restructuring and other items, net | 72.0 | 0.0 | 78.6 | 0.0 | |
Restructuring Liability [Roll Forward] | |||||
Restructuring liability, beginning of period | 0.0 | ||||
Additional provision | 0.3 | $ 6.6 | 0.0 | 6.9 | 0.0 |
Cash payments | (1.3) | ||||
Restructuring liability, end of period | 5.6 | 5.6 | |||
Other Current Liabilities [Member] | |||||
Restructuring and Other Items, net [Abstract] | |||||
Restructuring liability | 5.6 | 5.6 | |||
Corporate [Member] | |||||
Restructuring and Other Items, net [Abstract] | |||||
Severance and other costs | 0.0 | 0.0 | 2.8 | 0.0 | |
Restructuring Liability [Roll Forward] | |||||
Additional provision | 0.0 | 0.0 | 2.8 | 0.0 | |
Consumer & Specialties [Member] | |||||
Restructuring and Other Items, net [Abstract] | |||||
Asset write-down charges | 71.7 | 0.0 | 71.7 | 0.0 | |
Severance and other costs | 0.3 | 0.0 | 0.9 | 0.0 | |
Restructuring Liability [Roll Forward] | |||||
Additional provision | 0.3 | 0.0 | 0.9 | 0.0 | |
Engineered Solutions [Member] | |||||
Restructuring and Other Items, net [Abstract] | |||||
Severance and other costs | 0.0 | 0.0 | 3.2 | 0.0 | |
Restructuring Liability [Roll Forward] | |||||
Additional provision | $ 0.0 | $ 0.0 | $ 3.2 | $ 0.0 |
Income Taxes (Details) - USD ($) $ in Millions |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Oct. 01, 2023 |
Oct. 02, 2022 |
Oct. 01, 2023 |
Oct. 02, 2022 |
|
Income Taxes [Abstract] | ||||
Provision (benefit) for taxes on income | $ (3.5) | $ 3.2 | $ 14.5 | $ 25.8 |
Effective income tax rate | 15.50% | 18.70% | 24.50% | 19.90% |
Amount of unrecognized tax benefits | $ 3.0 | $ 3.0 | ||
Unrecognized tax benefits that would impact effective tax rate | 2.2 | 2.2 | ||
Unrecognized tax benefits, net increase in interest and penalties | 0.1 | |||
Unrecognized tax benefits, accrued interest and penalties | $ 0.5 | $ 0.5 |
Inventories (Details) - USD ($) $ in Millions |
Oct. 01, 2023 |
Dec. 31, 2022 |
||||||
---|---|---|---|---|---|---|---|---|
Inventories [Abstract] | ||||||||
Raw materials | $ 141.9 | $ 163.4 | ||||||
Work-in-process | 21.3 | 15.6 | ||||||
Finished goods | 117.0 | 114.0 | ||||||
Packaging and supplies | 57.3 | 55.8 | ||||||
Total inventories | $ 337.5 | [1] | $ 348.8 | [2] | ||||
|
Goodwill and Other Intangible Assets (Details) - USD ($) $ in Millions |
9 Months Ended | |||||||
---|---|---|---|---|---|---|---|---|
Oct. 01, 2023 |
Dec. 31, 2022 |
|||||||
Goodwill and Other Intangible Assets [Abstract] | ||||||||
Goodwill | $ 913.6 | [1] | $ 914.8 | [2] | ||||
Intangible Assets Subject to Amortization [Abstract] | ||||||||
Weighted average useful life | 29 years | |||||||
Gross carrying amount | $ 324.3 | 324.8 | ||||||
Accumulated amortization | $ 92.1 | 82.9 | ||||||
Future Amortization Expense [Abstract] | ||||||||
Weighted average amortization period | 29 years | |||||||
Estimated amortization expense, remainder of 2023 | $ 3.3 | |||||||
Estimated amortization expense, 2024-2027 | 47.8 | |||||||
Estimated amortization expense, thereafter | $ 181.1 | |||||||
Tradenames [Member] | ||||||||
Intangible Assets Subject to Amortization [Abstract] | ||||||||
Weighted average useful life | 34 years | |||||||
Gross carrying amount | $ 220.7 | 221.2 | ||||||
Accumulated amortization | $ 56.5 | 52.2 | ||||||
Technology [Member] | ||||||||
Intangible Assets Subject to Amortization [Abstract] | ||||||||
Weighted average useful life | 13 years | |||||||
Gross carrying amount | $ 18.8 | 18.8 | ||||||
Accumulated amortization | $ 13.8 | 12.6 | ||||||
Patents and Trademarks [Member] | ||||||||
Intangible Assets Subject to Amortization [Abstract] | ||||||||
Weighted average useful life | 19 years | |||||||
Gross carrying amount | $ 6.4 | 6.4 | ||||||
Accumulated amortization | $ 6.4 | 6.4 | ||||||
Customer Relationships [Member] | ||||||||
Intangible Assets Subject to Amortization [Abstract] | ||||||||
Weighted average useful life | 21 years | |||||||
Gross carrying amount | $ 78.4 | 78.4 | ||||||
Accumulated amortization | $ 15.4 | $ 11.7 | ||||||
|
Derivative Financial Instruments (Details) $ in Millions |
Oct. 01, 2023
USD ($)
Subsidiary
|
Jul. 02, 2023
USD ($)
|
May 31, 2023
USD ($)
|
Jul. 01, 2018
USD ($)
|
---|---|---|---|---|
Minimum [Member] | ||||
Derivative Financial Instruments [Abstract] | ||||
Number of foreign subsidiaries in which portion of net investment is hedged | Subsidiary | 1 | |||
Cash Flow Hedge [Member] | Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | ||||
Derivative Financial Instruments [Abstract] | ||||
Notional amount | $ 150.0 | $ 150.0 | ||
Cash Flow Hedge [Member] | Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | Other Assets and Deferred Charges [Member] | ||||
Derivative Financial Instruments [Abstract] | ||||
Fair value of derivative asset | $ 2.8 | |||
Net Investment Hedge [Member] | Cross Currency Rate Swap [Member] | Designated as Hedging Instrument [Member] | ||||
Derivative Financial Instruments [Abstract] | ||||
Notional amount | $ 150.0 | |||
After-tax accumulated gain on net investment hedge | $ 7.6 |
Long-Term Debt and Commitments, Summary of Long-Term Debt (Details) - USD ($) $ in Millions |
9 Months Ended | |||||||
---|---|---|---|---|---|---|---|---|
Oct. 01, 2023 |
Dec. 31, 2022 |
|||||||
Long-Term Debt and Commitments [Abstract] | ||||||||
Long-term debt | $ 932.4 | $ 942.6 | ||||||
Less: Current maturities | 14.4 | [1] | 14.5 | [2] | ||||
Total long-term debt | 918.0 | [1] | 928.1 | [2] | ||||
Term Loan due 2027 [Member] | ||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||
Long-term debt | $ 533.6 | 543.5 | ||||||
Maturity date | Feb. 11, 2027 | |||||||
Unamortized deferred financing costs | $ 2.6 | 3.1 | ||||||
Senior Notes due 2028 [Member] | ||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||
Total long-term debt | $ 395.9 | $ 395.3 | ||||||
Interest rate | 5.00% | 5.00% | ||||||
Maturity date | Jun. 30, 2028 | |||||||
Unamortized deferred financing costs | $ 4.1 | $ 4.7 | ||||||
Other Debt [Member] | ||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||
Long-term debt | $ 2.9 | $ 3.8 | ||||||
|
Long-Term Debt and Commitments, Long-Term Debt (Details) $ in Millions |
9 Months Ended | 12 Months Ended | ||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Apr. 29, 2022
USD ($)
Loan
|
Oct. 01, 2023
USD ($)
qtr
|
Oct. 02, 2022
USD ($)
|
Dec. 31, 2027
Loan
|
Dec. 31, 2025
Loan
|
Dec. 31, 2022
USD ($)
|
Aug. 11, 2022
USD ($)
|
Jun. 30, 2020
USD ($)
|
Apr. 18, 2018
USD ($)
|
Feb. 14, 2017
USD ($)
|
|||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Long-term debt | $ 932.4 | $ 942.6 | ||||||||||||||
Repayment of long-term debt | 11.0 | $ 548.7 | ||||||||||||||
Short-term debt | $ 109.2 | [1] | 119.7 | [2] | ||||||||||||
Senior Secured Credit Facilities [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Number of quarters to maintain net leverage ratio under financial covenant | qtr | 4 | |||||||||||||||
Senior Secured Credit Facilities [Member] | Minimum [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Interest coverage ratio | 3 | |||||||||||||||
Senior Secured Credit Facilities [Member] | Maximum [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Net leverage ratio under financial covenant | 4 | |||||||||||||||
Net leverage ratio under financial covenant in connection with certain significant acquisitions | 5 | |||||||||||||||
Term Loan due 2027 [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Face amount | $ 550.0 | |||||||||||||||
Adjustment to applicable margin, Category a | 0.25% | |||||||||||||||
Adjustment to applicable margin, Category b | (0.125%) | |||||||||||||||
Adjustment to applicable margin, Category c | (0.25%) | |||||||||||||||
Long-term debt | $ 533.6 | $ 543.5 | ||||||||||||||
Term Loan due 2027 [Member] | Minimum [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Net leverage ratio, Category a | 3 | |||||||||||||||
Net leverage ratio, Category b | 1 | |||||||||||||||
Term Loan due 2027 [Member] | Maximum [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Net leverage ratio, Category b | 2 | |||||||||||||||
Net leverage ratio, Category c | 1 | |||||||||||||||
Term Loan due 2027 [Member] | SOFR [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Credit spread adjustment | 0.10% | |||||||||||||||
Applicable margin | 1.50% | |||||||||||||||
Term Loan due 2027 [Member] | Base Rate [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Applicable margin | 0.50% | |||||||||||||||
Revolving Facility [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Maximum borrowing capacity | $ 300.0 | |||||||||||||||
Commitment fee | 0.25% | |||||||||||||||
Commitment fee, Category a | 0.30% | |||||||||||||||
Commitment fee, Category b | 0.175% | |||||||||||||||
Commitment fee, Category c | 0.15% | |||||||||||||||
Fronting fee | 0.125% | |||||||||||||||
Long-term debt | $ 108.0 | |||||||||||||||
Letters of credit outstanding | $ 10.6 | |||||||||||||||
Term Loan due 2024 [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Face amount | $ 788.0 | |||||||||||||||
Revolving Facility [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Maximum borrowing capacity | $ 300.0 | |||||||||||||||
Senior Notes due 2028 [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Face amount | $ 400.0 | |||||||||||||||
Interest rate | 5.00% | 5.00% | ||||||||||||||
Guarantee amount | $ 50.0 | |||||||||||||||
Senior Notes due 2028 [Member] | Redemption of Notes if Company Experiences Change of Control [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Redemption price percentage | 101.00% | |||||||||||||||
Japan Loan Facility [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Long-term debt | $ 1.5 | |||||||||||||||
Repayment of long-term debt | 0.4 | |||||||||||||||
Austria and Slovakia Term Loans [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Number of term loans assumed | Loan | 2 | |||||||||||||||
Austria and Slovakia Term Loans [Member] | Plan [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Number of term loans that mature | Loan | 1 | 1 | ||||||||||||||
Austria and Slovakia Term Loans [Member] | Concept Pet [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Long-term debt assumed as part of acquisition | $ 1.9 | |||||||||||||||
Repayment of long-term debt | 0.4 | |||||||||||||||
Uncommitted Short-Term Bank Credit Lines [Member] | ||||||||||||||||
Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
Maximum borrowing capacity | 25.1 | |||||||||||||||
Short-term debt | $ 1.2 | |||||||||||||||
|
Benefit Plans (Details) - USD ($) $ in Millions |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Oct. 01, 2023 |
Oct. 02, 2022 |
Oct. 01, 2023 |
Oct. 02, 2022 |
|
Benefit Plans [Abstract] | ||||
Maximum percentage of total benefit obligation represented by international pension plans | 20.00% | 20.00% | ||
Pension Benefits [Member] | ||||
Components of Net Periodic Benefit Cost [Abstract] | ||||
Service cost | $ 1.2 | $ 1.6 | $ 3.5 | $ 5.2 |
Interest cost | 4.0 | 3.1 | 11.9 | 7.8 |
Expected return on plan assets | (4.7) | (5.1) | (13.8) | (16.5) |
Amortization of prior service cost | 0.0 | 0.0 | 0.1 | 0.1 |
Amortization of recognized net actuarial (gain) loss | 0.7 | 1.0 | 1.9 | 4.1 |
Settlement loss | 0.0 | 0.2 | 0.0 | 1.7 |
Net periodic benefit cost | 1.2 | 0.8 | 3.6 | 2.4 |
Employer Contributions [Abstract] | ||||
Expected company contribution in 2023 | 10.0 | 10.0 | ||
Employer contributions to benefit plans | 6.3 | |||
Post-Retirement Benefits [Member] | ||||
Components of Net Periodic Benefit Cost [Abstract] | ||||
Service cost | 0.0 | 0.0 | 0.0 | 0.0 |
Interest cost | 0.1 | 0.0 | 0.1 | 0.0 |
Amortization of recognized net actuarial (gain) loss | (0.1) | (0.1) | (0.3) | (0.3) |
Net periodic benefit cost | 0.0 | $ (0.1) | (0.2) | $ (0.3) |
Employer Contributions [Abstract] | ||||
Expected company contribution in 2023 | $ 0.5 | 0.5 | ||
Employer contributions to benefit plans | $ 0.0 |
Comprehensive Income, Reclassification Out of Accumulated Other Comprehensive Loss (Details) - Pension Costs [Member] - Reclassification out of Accumulated Other Comprehensive Loss [Member] - USD ($) $ in Millions |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Oct. 01, 2023 |
Oct. 02, 2022 |
Oct. 01, 2023 |
Oct. 02, 2022 |
|
Amortization of pension items [Abstract] | ||||
Pre-tax amount | $ 0.6 | $ 1.1 | $ 1.7 | $ 5.6 |
Tax | (0.2) | (0.2) | (0.4) | (1.3) |
Net of tax | $ 0.4 | $ 0.9 | $ 1.3 | $ 4.3 |
Comprehensive Income, Accumulated Other Comprehensive Loss, Net of Related Tax (Details) - USD ($) $ in Millions |
3 Months Ended | 9 Months Ended | ||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|
Oct. 01, 2023 |
Jul. 02, 2023 |
Apr. 02, 2023 |
Oct. 02, 2022 |
Jul. 03, 2022 |
Apr. 03, 2022 |
Oct. 01, 2023 |
Oct. 02, 2022 |
|||||
Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | ||||||||||||
Balance at beginning of period | [1] | $ 1,579.5 | $ 1,579.5 | |||||||||
Total other comprehensive income (loss), net of tax | $ (21.0) | $ (25.2) | 8.1 | $ (44.0) | $ (42.8) | $ (3.9) | (38.1) | $ (90.8) | ||||
Balance at end of period | [2] | 1,589.1 | 1,589.1 | |||||||||
Accumulated Other Comprehensive Loss [Member] | ||||||||||||
Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | ||||||||||||
Balance at beginning of period | (366.5) | (366.5) | ||||||||||
Other comprehensive loss before reclassifications | (37.0) | |||||||||||
Amounts reclassified from AOCI | 1.3 | |||||||||||
Total other comprehensive income (loss), net of tax | (19.4) | $ (24.0) | 7.7 | $ (42.9) | $ (40.9) | $ (4.0) | (35.7) | |||||
Balance at end of period | (402.2) | (402.2) | ||||||||||
Foreign Currency Translation Adjustment [Member] | ||||||||||||
Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | ||||||||||||
Balance at beginning of period | (345.7) | (345.7) | ||||||||||
Other comprehensive loss before reclassifications | (35.8) | |||||||||||
Amounts reclassified from AOCI | 0.0 | |||||||||||
Total other comprehensive income (loss), net of tax | (35.8) | |||||||||||
Balance at end of period | (381.5) | (381.5) | ||||||||||
Unrecognized Pension Costs [Member] | ||||||||||||
Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | ||||||||||||
Balance at beginning of period | (34.4) | (34.4) | ||||||||||
Other comprehensive loss before reclassifications | 0.0 | |||||||||||
Amounts reclassified from AOCI | 1.3 | |||||||||||
Total other comprehensive income (loss), net of tax | 1.3 | |||||||||||
Balance at end of period | (33.1) | (33.1) | ||||||||||
Net Gain (Loss) on Derivative Instruments [Member] | ||||||||||||
Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | ||||||||||||
Balance at beginning of period | $ 13.6 | 13.6 | ||||||||||
Other comprehensive loss before reclassifications | (1.2) | |||||||||||
Amounts reclassified from AOCI | 0.0 | |||||||||||
Total other comprehensive income (loss), net of tax | (1.2) | |||||||||||
Balance at end of period | $ 12.4 | $ 12.4 | ||||||||||
|
Contingencies (Details) $ in Millions |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Oct. 01, 2023
USD ($)
Claim
|
Oct. 02, 2022
USD ($)
Claim
|
Oct. 01, 2023
USD ($)
Claim
|
Oct. 02, 2022
USD ($)
Claim
|
|
Contingencies [Abstract] | ||||
Litigation expenses | $ | $ 12.9 | $ 31.1 | $ 26.8 | $ 32.6 |
Talc-Related Cases [Member] | ||||
Contingencies [Abstract] | ||||
Claims pending, beginning of period | 507 | 430 | 439 | 345 |
Claims filed | 60 | 59 | 181 | 184 |
Claims dismissed, settled or otherwise resolved | 5 | 21 | 58 | 61 |
Claims pending, end of period | 562 | 468 | 562 | 468 |
Litigation expenses | $ | $ 12.9 |
Segment and Related Information, Segment Information (Details) $ in Millions |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Oct. 01, 2023
USD ($)
|
Oct. 02, 2022
USD ($)
|
Oct. 01, 2023
USD ($)
Segment
ProductLine
|
Oct. 02, 2022
USD ($)
|
|
Segment and Related Information [Abstract] | ||||
Number of reportable segments | Segment | 2 | |||
Net sales | $ 547.8 | $ 541.9 | $ 1,645.4 | $ 1,617.9 |
Income (loss) from operations | (7.9) | 35.6 | $ 105.0 | 171.2 |
Consumer & Specialties [Member] | ||||
Segment and Related Information [Abstract] | ||||
Number of product lines in segment | ProductLine | 2 | |||
Net sales | 291.2 | 284.7 | $ 878.8 | 851.4 |
Engineered Solutions [Member] | ||||
Segment and Related Information [Abstract] | ||||
Number of product lines in segment | ProductLine | 2 | |||
Net sales | 256.6 | 257.2 | $ 766.6 | 766.5 |
Reportable Segments [Member] | ||||
Segment and Related Information [Abstract] | ||||
Net sales | 547.8 | 541.9 | 1,645.4 | 1,617.9 |
Income (loss) from operations | (6.0) | 36.1 | 116.1 | 178.0 |
Reportable Segments [Member] | Consumer & Specialties [Member] | ||||
Segment and Related Information [Abstract] | ||||
Net sales | 291.2 | 284.7 | 878.8 | 851.4 |
Income (loss) from operations | (46.6) | (0.3) | 5.0 | 62.6 |
Reportable Segments [Member] | Engineered Solutions [Member] | ||||
Segment and Related Information [Abstract] | ||||
Net sales | 256.6 | 257.2 | 766.6 | 766.5 |
Income (loss) from operations | $ 40.6 | $ 36.4 | $ 111.1 | $ 115.4 |
Segment and Related Information, Reconciliation of Income (Loss) from Operations (Details) - USD ($) $ in Millions |
3 Months Ended | 9 Months Ended | |||
---|---|---|---|---|---|
Oct. 01, 2023 |
Jul. 02, 2023 |
Oct. 02, 2022 |
Oct. 01, 2023 |
Oct. 02, 2022 |
|
Segment and Related Information [Abstract] | |||||
Income (loss) from operations | $ (7.9) | $ 35.6 | $ 105.0 | $ 171.2 | |
Restructuring and other items, net | (0.3) | $ (6.6) | 0.0 | (6.9) | 0.0 |
Acquisition-related expenses | 0.0 | (0.5) | (0.3) | (4.7) | |
Litigation expenses | (12.9) | (31.1) | (26.8) | (32.6) | |
Non-operating deductions, net | (14.7) | (18.5) | (45.9) | (41.8) | |
Income (loss) before tax and equity in earnings | (22.6) | 17.1 | 59.1 | 129.4 | |
Reportable Segments [Member] | |||||
Segment and Related Information [Abstract] | |||||
Income (loss) from operations | (6.0) | 36.1 | 116.1 | 178.0 | |
Reconciling Item [Member] | |||||
Segment and Related Information [Abstract] | |||||
Restructuring and other items, net | 0.0 | 0.0 | (2.8) | 0.0 | |
Acquisition-related expenses | 0.0 | (0.5) | (0.3) | (4.7) | |
Litigation expenses | 0.0 | 0.0 | 0.0 | (1.5) | |
Non-operating deductions, net | (14.7) | (18.5) | (45.9) | (41.8) | |
Unallocated and Corporate [Member] | |||||
Segment and Related Information [Abstract] | |||||
Income (loss) from operations | (1.9) | 0.0 | (8.0) | (0.6) | |
Restructuring and other items, net | $ 0.0 | $ 0.0 | $ (2.8) | $ 0.0 |
Segment and Related Information, Sales By Product Category (Details) - USD ($) $ in Millions |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Oct. 01, 2023 |
Oct. 02, 2022 |
Oct. 01, 2023 |
Oct. 02, 2022 |
|
Segment and Related Information [Abstract] | ||||
Net sales | $ 547.8 | $ 541.9 | $ 1,645.4 | $ 1,617.9 |
Household & Personal Care [Member] | ||||
Segment and Related Information [Abstract] | ||||
Net sales | 128.9 | 118.7 | 383.6 | 358.0 |
Specialty Additives [Member] | ||||
Segment and Related Information [Abstract] | ||||
Net sales | 162.3 | 166.0 | 495.2 | 493.4 |
High-Temperature Technologies [Member] | ||||
Segment and Related Information [Abstract] | ||||
Net sales | 177.4 | 176.1 | 538.6 | 532.7 |
Environmental & Infrastructure [Member] | ||||
Segment and Related Information [Abstract] | ||||
Net sales | $ 79.2 | $ 81.1 | $ 228.0 | $ 233.8 |
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