Investments in Unconsolidated Affiliates

12 Months Ended

Dec. 31, 2025

Equity Method Investments and Joint Ventures [Abstract]

Investments In Unconsolidated Affiliates

NOTE 10. INVESTMENTS IN UNCONSOLIDATED AFFILIATES

The following table presents equity (earnings) losses from our unconsolidated affiliates for the years ended December 31, 2025, 2024 and 2023:


	2025			2024			2023
WAVE	$	(113.2	)	$	(104.3	)	$	(89.3	)
Overcast		0.9			0.9			-
Equity (earnings) from unconsolidated affiliates, net	$	(112.3	)	$	(103.4	)	$	(89.3	)

As of December 31, 2025 and 2024, our investment in our WAVE joint venture was $22.9 million and $22.6 million, respectively. As of December 31, 2025 and 2024 our investment in Overcast was $3.7 million and $4.6 million, respectively.

The following table presents combined condensed financial data for our unconsolidated affiliates:


	December 31, 2025		December 31, 2024
Current assets	$	110.6	$	111.5
Non-current assets		88.9		98.9
Current liabilities		33.8		33.6
Non-current liabilities		360.3		376.6

The following table presents combined financial statement data for our unconsolidated affiliates for the years ended December 31, 2025, 2024 and 2023:


	2025		2024		2023 (1)
Net sales	$	513.5	$	492.7	$	449.0
Gross profit		312.9		296.9		263.2
Net earnings		230.0		211.1		187.2

(1)

Excludes financial information for Overcast.

Distributions from WAVE in 2025, 2024 and 2023, were $113.0 million, $97.8 million, and $96.9 million, respectively. We did not receive any distributions from Overcast in 2025 or 2024.

In certain markets, we sell WAVE products directly to customers pursuant to specific terms of sale. In those circumstances, we record the sales and associated costs within our Consolidated Financial Statements. The total sales associated with these transactions were $48.8 million, $49.1 million and $47.2 million for the years ended 2025, 2024 and 2023, respectively.

Our recorded investment in WAVE was higher than our 50% share of the carrying values reported in WAVE’s consolidated financial statements by $119.3 million as of December 31, 2025 and $123.6 million as of December 31, 2024. These differences arose from our adoption of fresh-start reporting upon our emergence from Chapter 11 of the U.S. Bankruptcy Code in October 2006, while WAVE’s consolidated financial statements do not reflect fresh-start reporting. The differences are composed of the following fair value adjustments to assets:


	December 31, 2025		December 31, 2024
Property, plant and equipment	$	0.4	$	0.4
Other intangibles		88.5		92.8
Goodwill		30.4		30.4
Total	$	119.3	$	123.6

Other intangibles include customer relationships and trademarks. Customer relationships are amortized over 20 years and trademarks have an indefinite life.

See Note 25 to the Consolidated Financial Statements for additional information.