XML 37 R20.htm IDEA: XBRL DOCUMENT
v3.26.1

DERIVATIVES | 3 Months Ended
--- | ---
Mar. 31, 2026
DERIVATIVES |
DERIVATIVES | NOTE 12 — DERIVATIVES The Company uses derivative instruments to manage exposures to currency exchange rates, interest rates and commodity prices arising in the normal course of business. Both at inception and on an ongoing basis, the derivative instruments that qualify for hedge accounting are assessed as to their effectiveness, when applicable. Hedge ineffectiveness was immaterial in the three months ended March 31, 2026 and 2025. The Company is subject to the credit risk of the counterparties to derivative instruments. Counterparties include a number of major banks and financial institutions. None of the concentrations of risk with any individual counterparty was considered significant at March 31, 2026. The Company does not expect any counterparties to fail to meet their obligations. Cash Flow Hedges Certain foreign currency forward contracts are qualified and designated as cash flow hedges. The dollar equivalent gross notional amount of these short-term contracts was $76,794 and $88,555 at March 31, 2026 and December 31, 2025, respectively. Net Investment Hedges The Company has foreign currency forward contracts and zero-cost collar contracts that qualify and are designated as net investment hedges. The dollar equivalent gross notional amount of the foreign currency forward contracts and zero-cost collar contracts were $269,566 and $337,659 at March 31, 2026 and December 31, 2025, respectively. Derivatives Not Designated as Hedging Instruments The Company has certain foreign exchange forward contracts that are not designated as hedges. These derivatives are held as economic hedges of certain balance sheet exposures. The dollar equivalent gross notional amount of these contracts was $409,689 and $370,668 at March 31, 2026 and December 31, 2025, respectively. Fair values of derivative instruments in the Company’s Condensed Consolidated Balance Sheets consisted of the following: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | March 31, 2026 | ​ | December 31, 2025
​ | Other | ​ | Other | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Other | ​ | Other | ​ | ​ | ​ | ​ | ​ | ​
​ | Current | ​ | Current | ​ | Other | ​ | Other | ​ | Current | ​ | Current | ​ | Other | ​ | Other
Derivatives by hedge designation | Assets | ​ ​ ​ | Liabilities | ​ ​ ​ | Assets | ​ ​ ​ | Liabilities | ​ ​ ​ | Assets | ​ ​ ​ | Liabilities | ​ ​ ​ | Assets | ​ ​ ​ | Liabilities
Designated as hedging instruments: | ​ | ​ |  | ​ | ​ |  | ​ | ​ |  | ​ | ​ |  | ​ | ​ |  | ​ | ​ |  | ​ | ​ |  | ​ | ​
Foreign exchange contracts | $ | 1,507 | ​ | $ | 482 | ​ | $ | — | ​ | $ | — | ​ | $ | 2,149 | ​ | $ | 289 | ​ | $ | — | ​ | $ | —
Net investment contracts | ​ | 3,784 | ​ | ​ | 1,255 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 102 | ​ | ​ | 12,529 | ​ | ​ | — | ​ | ​ | —
Not designated as hedging instruments: |  | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Foreign exchange contracts |  | 1,419 | ​ | ​ | 1,587 | ​ | ​ | — | ​ | ​ | — | ​ |  | 582 | ​ |  | 470 | ​ |  | — | ​ |  | —
Total derivatives | $ | 6,710 | ​ | $ | 3,324 | ​ | $ | — | ​ | $ | — | ​ | $ | 2,833 | ​ | $ | 13,288 | ​ | $ | — | ​ | $ | —
​ The effects of undesignated derivative instruments on the Company’s Consolidated Statements of Income consisted of the following: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | Three Months Ended March 31,
Derivatives by hedge designation | ​ ​ ​ | Classification of (loss) gain | ​ ​ ​ | 2026 | ​ ​ ​ | 2025
Not designated as hedges: | ​ | ​ | ​ | ​ | ​ |  | ​ | ​
Foreign exchange contracts | ​ | Selling, general & administrative expenses | ​ | $ | (3,353) | ​ | $ | 8,333
​ The effects of designated hedges on AOCI consisted of the following: ​
​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ ​ ​ | ​ | ​ | ​ | ​ | ​
Total gain (loss) recognized in AOCI, net of tax | ​ ​ ​ | March 31, 2026 | ​ ​ ​ | December 31, 2025
Foreign exchange contracts | ​ | $ | 642 | ​ | $ | 1,396
Forward starting swap agreements | ​ | ​ | 15,722 | ​ | ​ | 16,291
Net investment contracts | ​ | ​ | (4,179) | ​ |  | (5,721)
​ The Company expects a gain of $642 related to existing contracts to be reclassified from AOCI, net of tax, to earnings over the next 12 months as the hedged transactions are realized. ​ The effects of designated hedges on the Company’s Consolidated Statements of Income consisted of the following: ​ ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Gain (loss) recognized in the | ​ | Three Months Ended March 31,
Derivative type | ​ ​ ​ | Consolidated Statements of Income: | ​ ​ ​ | 2026 | ​ ​ ​ | 2025
Foreign exchange contracts |  | Sales | ​ | $ | 1,472 | ​ | $ | (713)
​ |  | Cost of goods sold | ​ |  | 1,560 | ​ |  | 361
Forward starting swap agreements | ​ | Interest expense, net | ​ | ​ | 689 | ​ | ​ | 689
​

X
- References No definition available. + Details
Name: | us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 40 -Name Accounting Standards Codification -Section 50 -Paragraph 5 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480237/815-40-50-5 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 5C -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-5C Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 815 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/815/tableOfContent + Details
Name: | us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration