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Derivative Instruments
 6 Months Ended
Jun. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments Derivative Instruments
The Company enters into derivative instrument agreements, including forward foreign currency exchange contracts, interest rate swaps, and cross currency swaps to manage risk in connection with changes in foreign currency and interest rates. The Company hedges committed exposures and does not engage in speculative transactions. The Company only enters into derivative instrument agreements with counterparties who have highly rated credit.

As of June 30, 2025, the aggregate notional amounts of the Company's outstanding interest rate contracts, cross currency swap contracts, EUR forward contract, and net investment hedge were $376.9 million, $395.1 million, $321.7 million, and $557.2 million, respectively.

In May 2025, the Company entered into a cross-currency swap expiring in May 2032 to hedge its exposure to adverse foreign currency exchange rate movements for its operations in Europe, which qualifies as net investment hedge. For the derivative instrument, the gain or loss on the derivative instrument attributable to changes in the spot rate is reported in the CTA section of OCI and will remain in OCI until the hedged net investment is sold or liquidated. The Company has elected to assess hedge effectiveness based on changes in spot exchange rates. Under this method, the Company recognizes in earnings the initial value of the component excluded from the assessment of effectiveness over the life of the hedging instrument. The interest accruals are also recognized in earnings (interest expense). Any difference between the change in fair value of the excluded component and amounts recognized in earnings will be recognized in the CTA section of OCI.

The effects of cash flow hedge accounting on the Condensed Consolidated Statement of Earnings and Comprehensive Income for the six months ended June 30, were as follows:
20252024
(in thousands)Cost of sales
Interest income, net and other finance costs
Other & foreign exchange loss, netCost of sales
Interest income, net and other finance costs
Other & foreign exchange loss, net
Total amounts of income and expense line items presented in the Condensed Consolidated Statement of Earnings in which the effects of fair value or cash flow hedges are recorded$623,460 $1,998 $(626)$604,456 $2,443 $381 
The effects of cash flow hedging
Gain or (loss) on cash flow hedging relationships
Interest contracts:
Amount of gain or (loss) reclassified from OCI to earnings— 3,917 — — 6,236 — 
Cross currency swap contract
Amount of gain or (loss) reclassified from OCI to earnings— 1,539 (49,880)— 2,535 14,484 
Forward contract
Amount of gain reclassified from OCI to earnings— — — (188)— — 

The effects of derivative instruments on the Condensed Consolidated Statement of Earnings and Comprehensive Income for the three months ended June 30, 2025 and 2024 were as follows:

Cash Flow Hedging RelationshipsGain (Loss) Recognized in OCILocation of Gain (Loss) Reclassified from OCI into EarningsGain (Loss) Reclassified from OCI into Earnings
(in thousands)2025202420252024
Interest rate contracts$(337)$2,367 Interest expense$1,952 $3,089 
Cross currency contracts(35,427)5,358 Interest expense411 1,295 
Forward contracts— — FX gain (loss)(33,982)4,344 
Cost of goods sold— — 
Total$(35,764)$7,725 $(31,619)$8,728 
The effects of derivative instruments on the Condensed Consolidated Statement of Earnings and Comprehensive Income for the six months ended June 30, 2025 and 2024 were as follows:

Cash Flow Hedging RelationshipsGain (Loss) Recognized in OCILocation of Gain (Loss) Reclassified from OCI into EarningsGain (Loss) Reclassified from OCI into Earnings
(in thousands)2025202420252024
Interest rate contracts$(2,124)$9,173 Interest expense$3,917 $6,235 
Cross currency contracts(49,217)16,333 Interest expense1,539 2,535 
Forward contracts— — FX gain (loss)(49,880)14,484 
Cost of goods sold— (188)
Total $(51,341)$25,506 $(44,424)$23,066 


For the three months ending June 30, 2025 and June 30, 2024, loss on the net investment hedge of $45.4 million and gain on the net investment hedge of $5.2 million were included in OCI, respectively. For the three months ending June 30, 2025 and June 30, 2024, excluded loss of $1.3 million and gain of $1.3 million were reclassified from OCI to interest expense, respectively.

For the six months ending June 30, 2025 and June 30, 2024, loss on the net investment hedge of $49.5 million and gain on the net investment hedge of $9.9 million were included in OCI, respectively. For the six months ending June 30, 2025 and June 30, 2024, excluded loss of $2.5 million and gain of $2.5 million were reclassified from OCI to interest expense, respectively.

As of June 30, 2025, the aggregate fair values of the Company’s derivative instruments on the Condensed Consolidated Balance Sheet were comprised of an asset of $16.6 million, of which $14.6 million is included in other current assets, and the balance of $2.0 million as other non-current assets, and of a non-current liability of $98.5 million included in the “Other long-term liabilities” of the condensed consolidated balance sheets.