v3.25.4
Segment and Geographic Information
 12 Months Ended
Dec. 31, 2025
Segment and Geographic Information [Abstract]  
Segment and Geographic Information
12. Segment and Geographic Information

The accounting policies of the segments are the same as those described in the summary of significant accounting policies. The Company evaluates performance based on operating income before share-based compensation (except for share-based compensation expense associated with stock grants to certain business unit leaders), restructuring and other charges, including the Portfolio Optimization Plan costs, interest expense, and income taxes (segment operating income). Total revenue and segment operating income by business segment and geographic region include both sales to customers, as reported in the Company’s Consolidated Statements of Earnings, and intersegment sales, which are accounted for at prices that approximate market prices and are eliminated in consolidation.

Assets by business segment and geographic region are those assets used in the Company’s operations in each segment and geographic region. Segment assets reflect the allocation of goodwill to each segment. Corporate & Other assets consist primarily of accounts receivables from the securitization program, investments, deferred tax assets, and fixed assets.

During 2025, the Company changed the name of its Natural Ingredients product line to Agricultural Ingredients within the Flavors & Extracts segment to clearly distinguish it from the natural color activities within the Food & Pharmaceutical Colors product line within the Color segment.

Segment Information
The Company determines its operating segments based on information utilized by its chief operating decision maker (CODM) to allocate resources and assess performance. The Company’s CODM is the Chairman, President, and Chief Executive Officer. The CODM uses segment operating income or loss to allocate resources, which includes employees, financial, or capital resources, predominantly in the annual budget and forecasting process. The CODM considers budget-to-actual and year-over-year variances on a monthly basis for segment operating income or loss when allocating capital and personnel resources to the segments. Segment performance is evaluated on operating income before share-based compensation (except for share-based compensation expense associated with stock grants to certain business unit leaders), restructuring and other costs, including the Portfolio Optimization Plan costs, and other costs (which are reported in Corporate & Other), interest expense, and income taxes.

The Company’s three reportable segments are Flavors & Extracts and Color segments, which are both managed on a product line basis, and the Asia Pacific segment, which is managed on a geographic basis. The Company’s Flavors & Extracts segment produces flavor, extracts, and essential oils products that impart a desired taste, texture, aroma, or other characteristic to a broad range of consumer and other products. The Color segment produces natural and synthetic color systems for foods, beverages, pharmaceuticals, and nutraceuticals; colors, ingredients, and systems for personal care; and technical colors for industrial applications. The Asia Pacific segment is managed on a geographic basis and produces and distributes color, flavor, and essential oils products for the Asia Pacific countries. The Company’s corporate expenses, share-based compensation (except for share-based compensation expense associated with stock grants to certain business unit leaders), restructuring and other charges, including the Portfolio Optimization Plan costs as further described in Note 14, Portfolio Optimization Plan, and certain other costs are included in the “Corporate & Other” category.

(In thousands)
  
Flavors &
Extracts
    
Color
    
Asia Pacific
    
Corporate
& Other
    
Total
  
2025:
                              
Total segment revenue  
$
786,943
    
$
700,595
    
$
168,156
    
$
—
    
$
1,655,694
  
Intersegment revenue
    
(23,059
)
    
(20,226
)
    
(298
)
    
—
      
(43,583
)
Consolidated revenue from external customers
    
763,884
      
680,369
      
167,858
      
—
      
1,612,111
  
Cost of products sold
    560,639       406,632       98,009       7,531       1,072,811  
Selling and administrative expenses
     102,504       132,458       33,227       63,983       332,172  
Segment operating income (loss)
    
100,741
      
141,279
      
36,622
      
(71,514
)
    
207,128
  
Interest expense
                                    
29,581
  
Earnings before income taxes
                                  
$
177,547
  
 
                                        
Assets
    
907,127
      
894,806
      
128,102
      
314,102
      
2,244,137
  
Capital expenditures
    
48,057
      
32,552
      
2,674
      
6,126
      
89,409
  
Depreciation and amortization
    
30,347
      
24,598
      
2,302
      
3,851
      
61,098
  
 
                                        
2024:
                                        
Total segment revenue
  
$
793,698
    
$
647,939
    
$
162,525
    
$
—
    
$
1,604,162
  
Intersegment revenue
    
(28,175
)
    
(18,648
)
    
(111
)
    
—
      
(46,934
)
Consolidated revenue from external customers
    
765,523
      
629,291
      
162,414
      
—
      
1,557,228
  
Cost of products sold
    565,486       387,364       95,923       1,362       1,050,135  
Selling and administrative expenses
     102,943       122,398       32,033       58,140       315,514  
Segment operating income (loss)
    
97,094
      
119,529
      
34,458
      
(59,502
)
    
191,579
  
Interest expense
                                    
28,781
  
Earnings before income taxes
                                  
$
162,798
  
 
                                        
Assets
    
802,177
      
819,380
      
116,817
      
285,420
      
2,023,794
  
Capital expenditures
    
29,237
      
21,722
      
2,375
      
5,878
      
59,212
  
Depreciation and amortization
    
30,437
      
23,417
      
2,472
      
4,003
      
60,329
  
 
                                        
2023:
                                        
Total segment revenue
  
$
741,072
    
$
607,959
    
$
146,090
    
$
—
    
$
1,495,121
  
Intersegment revenue
    
(25,023
)
    
(13,643
)
    
(5
)
    
—
      
(38,671
)
Consolidated revenue from external customers
    
716,049
      
594,316
      
146,085
      
—
      
1,456,450
  
Cost of products sold
    530,769       376,512       85,737       3,135       996,153  
Selling and administrative expenses
     97,507       112,434       29,548       65,785       305,274  
Segment operating income (loss)
    
87,773
      
105,370
      
30,800
      
(68,920
)
    
155,023
  
Interest expense
                                    
25,172
  
Earnings before income taxes
                                  
$
129,851
  

                                       
Assets
    
792,674
      
846,559
      
112,335
      
262,939
      
2,014,507
  
Capital expenditures
    
40,489
      
37,720
      
2,923
      
6,736
      
87,868
  
Depreciation and amortization
    
29,400
      
22,294
      
2,548
      
3,578
      
57,820
  

Geographic Information
The Company has manufacturing facilities or sales offices in North America, Europe, Asia, Australia, South America, and Africa.

The Company’s annual revenue summarized by geographic location is as follows:

 
(In thousands)
  
Flavors &
Extracts
    
Color
    
Asia Pacific
    
Corporate
& Other
    
Consolidated
  
2025:
                              
Revenue from external customers:
                              
North America
  
$
602,252
    
$
332,975
    
$
56
    
$
—
    
$
935,283
  
Europe
    
118,566
      
196,189
      
53
      
—
      
314,808
  
Asia Pacific
    
17,806
      
66,343
      
163,386
      
—
      
247,535
  
Other
    
25,260
      
84,862
      
4,363
      
—
      
114,485
  
Total revenue from external customers
  
$
763,884
    
$
680,369
    
$
167,858
    
$
—
    
$
1,612,111
  
Long-lived assets:
                                        
North America
  
$
323,284
    
$
286,871
    
$
—
    
$
145,996
    
$
756,151
  
Europe
    
80,200
      
262,984
      
—
      
26
      
343,210
  
Asia Pacific
    
—
      
3,924
      
31,056
      
—
      
34,980
  
Other
    
584
      
27,764
      
—
      
—
      
28,348
  
Total long-lived assets
  
$
404,068
    
$
581,543
    
$
31,056
    
$
146,022
    
$
1,162,689
  
 
                                        
2024:
                                        
Revenue from external customers:
                                        
North America
  
$
597,046
    
$
313,180
    
$
100
    
$
—
    
$
910,326
  
Europe
    
124,257
      
169,185
      
149
      
—
      
293,591
  
Asia Pacific
    
17,878
      
64,600
      
156,243
      
—
      
238,721
  
Other
    
26,342
      
82,326
      
5,922
      
—
      
114,590
  
Total revenue from external customers
  
$
765,523
    
$
629,291
    
$
162,414
    
$
—
    
$
1,557,228
  
Long-lived assets:
                                        
North America
  
$
296,479
    
$
272,418
    
$
—
    
$
124,917
    
$
693,814
  
Europe
    
78,041
      
231,961
      
—
      
23
      
310,025
  
Asia Pacific
    
—
      
3,655
      
29,317
      
—
      
32,972
  
Other
    
764
      
24,333
      
—
      
—
      
25,097
  
Total long-lived assets
  
$
375,284
    
$
532,367
    
$
29,317
    
$
124,940
    
$
1,061,908
  
 
                                        
2023:
                                        
Revenue from external customers:
                                        
North America
  
$
553,790
    
$
304,995
    
$
125
    
$
—
    
$
858,910
  
Europe
    
113,757
      
162,644
      
236
      
—
      
276,637
  
Asia Pacific
    
21,382
      
58,003
      
142,281
      
—
      
221,666
  
Other
    
27,120
      
68,674
      
3,443
      
—
      
99,237
  
Total revenue from external customers
  
$
716,049
    
$
594,316
    
$
146,085
    
$
—
    
$
1,456,450
  
Long-lived assets:
                                        
North America
  
$
297,615
    
$
277,730
    
$
—
    
$
114,995
    
$
690,340
  
Europe
    
82,938
      
244,587
      
—
      
24
      
327,549
  
Asia Pacific
    
8
      
4,199
      
30,473
      
—
      
34,680
  
Other
    
241
      
25,081
      
—
      
—
      
25,322
  
Total long-lived assets
  
$
380,802
    
$
551,597
    
$
30,473
    
$
115,019
    
$
1,077,891
  

Sales in the United States, based on the final country of destination of the Company’s products, were $781.9 million, $761.2 million, and $707.1 million, in 2025, 2024, and 2023, respectively. No other country of destination exceeded 10% of consolidated sales. Total long-lived assets in the United States amounted to $660.7 million, $612.7 million, and $603.2 million, at December 31, 2025, 2024, and 2023, respectively.

Product Information
The Company’s revenue summarized by product portfolio is as follows:

 
(In thousands)
  
Flavors &
Extracts
    
Color
    
Asia Pacific
    
Consolidated
  
2025:
                        
Flavors, Extracts & Flavor Ingredients
  
$
528,770
    
$
—
    
$
—
    
$
528,770
  
Agricultural Ingredients
    
258,173
      
—
      
—
      
258,173
  
Food & Pharmaceutical Colors
    
—
      
529,471
      
—
      
529,471
  
Personal Care
    
—
      
171,124
      
—
      
171,124
  
Asia Pacific
    
—
      
—
      
168,156
      
168,156
  
Intersegment Revenue
    
(23,059
)
    
(20,226
)
    
(298
)
    
(43,583
)
Total revenue from external customers
  
$
763,884
    
$
680,369
    
$
167,858
    
$
1,612,111
  
                                 
2024:
                                
Flavors, Extracts & Flavor Ingredients
  
$
508,052
    
$
—
    
$
—
    
$
508,052
  
Agricultural Ingredients
    
285,646
      
—
      
—
      
285,646
  
Food & Pharmaceutical Colors
    
—
      
481,141
      
—
      
481,141
  
Personal Care
    
—
      
166,798
      
—
      
166,798
  
Asia Pacific
    
—
      
—
      
162,525
      
162,525
  
Intersegment Revenue
    
(28,175
)
    
(18,648
)
    
(111
)
    
(46,934
)
Total revenue from external customers
  
$
765,523
    
$
629,291
    
$
162,414
    
$
1,557,228
  
                                 
2023:
                                
Flavors, Extracts & Flavor Ingredients
  
$
496,036
    
$
—
    
$
—
    
$
496,036
  
Agricultural Ingredients
    
245,036
      
—
      
—
      
245,036
  
Food & Pharmaceutical Colors
    
—
      
452,204
      
—
      
452,204
  
Personal Care
    
—
      
155,755
      
—
      
155,755
  
Asia Pacific
    
—
      
—
      
146,090
      
146,090
  
Intersegment Revenue
    
(25,023
)
    
(13,643
)
    
(5
)
    
(38,671
)
Total revenue from external customers
  
$
716,049
    
$
594,316
    
$
146,085
    
$
1,456,450