Segment and Related Information

3 Months Ended

Apr. 05, 2026

Segment and Related Information [Abstract]

Segment and Related Information

Note 13.  Segment and Related Information

The Company determines its operating segments based on the discrete financial information that is regularly evaluated by its chief operating decision maker, our Chief Executive Officer, in deciding how to allocate resources and in assessing performance. The Company’s operating segments are strategic business units that offer different products and serve different markets. They are managed separately and require different technology and marketing strategies.  

The Company has two reportable segments: Consumer & Specialties and Engineered Solutions. See Note 1 to the Condensed Consolidated Financial Statements.

The Company evaluates performance based on the operating income of the respective business units. The costs deducted to arrive at operating profit do not include several items, such as net interest or income tax expense. Depreciation expense related to corporate assets is allocated to the business segments and is included in their income from operations. However, such corporate depreciable assets are not included in the segment assets. Intersegment sales and transfers are not significant.

Segment revenues, expenses, operating income, and a reconciliation of the operating segment totals to the applicable line items on the Condensed Consolidated Financial Statements is as follows for the three-month periods ended April 5, 2026 and March 30, 2025 is as follows:

	Three Months Ended
	Apr. 5, 2026						Mar. 30, 2025
		Consumer &		Engineered				Consumer &		Engineered
(in millions of dollars)		Specialties		Solutions		Total		Specialties		Solutions		Total
Net sales	$	296.6	$	250.3	$	546.9	$	268.3	$	223.5	$	491.8
Cost of goods sold		240.8		175.0		415.8		215.8		156.4		372.2
Segment production margin		55.8		75.3		131.1		52.5		67.1		119.6
Marketing and administrative expenses		19.9		33.3		53.2		19.1		30.3		49.4
Research and development expenses		3.4		2.7		6.1		3.4		2.4		5.8
Restructuring and other items		-		-		-		2.5		0.8		3.3
Segment income from operations	$	32.5	$	39.3	$	71.8	$	27.5	$	33.6	$	61.1

	Three Months Ended
		Apr. 5,			Mar. 30,
(in millions of dollars)		2026			2025
Segment income from operations	$	71.8		$	61.1
Interest expense, net		(13.3	)		(14.2	)
Other non-operating income (deductions), net		0.5			(2.0	)
Unallocated expenses:
Provision for litigation accrual and credit losses		-			215.0
Restructuring and other items		-			2.2
Litigation expenses		8.8			2.8
Unallocated corporate expenses		4.3			1.2
Income (loss) before tax and equity in earnings	$	45.9		$	(176.3	)

Segment information is as follows for the three-month periods ended April 5, 2026 and March 30, 2025:

	Three Months Ended
		Apr. 5,		Mar. 30,
(in millions of dollars)		2026		2025
Depreciation, Depletion, and Amortization
Consumer & Specialties	$	11.7	$	10.8
Engineered Solutions		13.2		12.7
Total	$	24.9	$	23.5
Capital Expenditures
Consumer & Specialties	$	13.7	$	11.5
Engineered Solutions		8.9		5.8
Corporate		0.5		1.0
Total	$	23.1	$	18.3

The Company’s segment assets as of April 5, 2026 and December 31, 2025 are as follows:

		Apr. 5,		Dec. 31,
(in millions of dollars)		2026		2025
Segment Assets
Consumer & Specialties	$	1,330.9	$	1,333.4
Engineered Solutions		2,058.5		2,043.9
Corporate		75.9		91.7
Total	$	3,465.3	$	3,469.0

The Company’s sales by product category are as follows:

	Three Months Ended
		Apr. 5,		Mar. 30,
(in millions of dollars)		2026		2025
Household & Personal Care	$	142.4	$	123.1
Specialty Additives		154.2		145.2
High-Temperature Technologies		183.3		169.4
Environmental & Infrastructure		67.0		54.1
Total	$	546.9	$	491.8