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Debt | 12 Months Ended
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Dec. 31, 2025
Debt Disclosure [Abstract] |
Debt | Debt Certain debt instruments of the Company contain restrictive and financial covenants and cross-default provisions. In order to borrow under the debt instruments, the Company must be in compliance with the applicable covenants and certain other conditions, all of which the Company was in compliance with as of December 31, 2025. Non-compliance with applicable covenants or conditions may constitute an event of default under the Credit Agreement. Subject to any applicable cure periods, failure to remedy such a default may require the Company to pursue alternative sources of funding. Long-Term Debt Long-term debt outstanding was as follows:
| Weighted Average Interest Rate as of December 31, 2025 |  | December 31, 2025 |  | December 31, 2024
| (In percentage) |  | (In thousands)
Term loan due on October 31, 2029 | 5.67 | % |  | $ | 285,000 |  |  | $ | 300,000 |
Revolving credit facility |  |  | — |  |  | — |
Less: unamortized debt issuance costs |  |  | (3,451) |  |  | (4,352) |
Total debt |  |  | 281,549 |  |  | 295,648 |
Less: current maturities |  |  | (15,000) |  |  | (15,000) |
Total long-term debt |  |  | $ | 266,549 |  |  | $ | 280,648 |
Term Loan and Revolving Credit Facility On October 31, 2024, the Company entered into a five-year senior secured credit agreement (“Credit Agreement”), which provides for a $300.0 million term loan (“Term Loan”) and a $225.0 million revolving credit facility (“Revolving Credit Facility”). The Revolving Credit Facility includes letters of credit available under the Credit Agreement in an aggregate amount of up to $50.0 million. The Company incurred $4.4 million and $3.5 million of debt issuance costs for the Term Loan and Revolving Credit Facility, respectively. The costs associated with the Term Loan were capitalized and classified as a reduction to Long-term debt and the costs associated with the Revolving Credit Facility were capitalized and recorded as Other noncurrent assets. Each will be amortized to interest expense over the term of the Credit Agreement. The Company drew $40.0 million under the Revolving Credit Facility on the Separation date for projected working capital needs. On November 29, 2024, the Company repaid the $40.0 million outstanding balance, plus accrued interest, under the Revolving Credit Facility. As of December 31, 2025 and 2024, there was no outstanding balance under the Revolving Credit Facility, but there were $2.2 million and $15.6 million of outstanding standby letters of credit, respectively. As a result, the Company had a borrowing capacity of $222.8 million and $209.4 million under the Revolving Credit Facility, respectively. The Company incurred $21.4 million and $4.1 million of interest expense related to the Credit Agreement for the years ended December 31, 2025 and 2024, consisting of $18.9 million and $3.7 million of interest on outstanding borrowings, $1.6 million and $0.3 million of debt issuance costs amortization and $0.9 million and $0.1 million of unused commitment fees, respectively. The Company did not incur any interest expense related to the Credit Agreement for the year ended December 31, 2023, as the agreement had not yet commenced during this period. Refer to Note 15 – Related-Party Transactions for additional information on related-party interest expense pertaining to periods prior to the Separation. The Term Loan requires quarterly amortization payments of 5.00% per annum of the original principal amount thereof. The Credit Agreement also requires mandatory prepayments in connection with certain asset sales, subject to certain exceptions. During the year ended December 31, 2025, the Company paid its required quarterly amortization payments of the Term Loan totaling $15.0 million, along with $18.9 million of associated interest. No such payments were made during the years ended December 31, 2024 and 2023. Borrowings under the Credit Agreement bear interest, at the Company’s option, at an annual rate equal to (a) adjusted term Secured Overnight Financing Rate, defined in a customary manner (“Term SOFR”) plus an applicable rate of 2.00% to 2.75%, based on the Company’s total net leverage ratio (as defined below), or (b) the base rate (determined by reference to the highest of (x) the prime rate, (y) the greater of (i) the federal funds effective rate and (ii) the overnight bank funding rate, in each case, plus 0.50% and (z) the one-month adjusted Term SOFR rate plus 1.00% per annum, subject to customary floors (clauses (x) through (z), the “Base Rate”)) plus an applicable rate of 1.00% to 1.75%, based on the Company’s total net leverage ratio. Undrawn commitment fees under the Revolving Credit Facility range from 0.30% to 0.45% based on the Company’s consolidated total net leverage ratio. The Credit Agreement provides for incremental revolving and term facilities at the Company’s request and at the discretion of the lenders or other persons providing such incremental facilities, and also permits the Company to incur other secured or unsecured debt, in all cases subject to conditions and limitations on the amount of such incremental facility or other debt as specified in the Credit Agreement. The Credit Agreement contains certain limitations with respect to indebtedness, liens, acquisitions and other investments, fundamental changes, restrictive agreements, dividends and redemptions or repurchases of stock, prepayments of certain subordinated indebtedness, dispositions of assets and transactions with affiliates, in each case subject to certain exceptions. The Credit Agreement contains financial covenants requiring the Company to maintain a maximum consolidated total net leverage ratio of 3.00 to 1.00 and a minimum interest coverage ratio of 3.00 to 1.00, each determined as of the end of each fiscal quarter. Per the Credit Agreement, consolidated total net leverage ratio is defined as the ratio of (a) consolidated funded indebtedness of the Company to (b) last twelve months (“LTM”) earnings before interest, taxes, depreciation and amortization (“EBITDA”). Interest coverage ratio is defined as the ratio of (a) LTM EBITDA to (b) consolidated cash interest expense of the Company. The consolidated total net leverage ratio may be increased at the Company’s option to 3.50 to 1.00 in connection with certain qualifying material acquisitions. The covenants also include restrictions on the sale of certain assets, loans and investments. Schedule of Debt Maturities The amounts of scheduled long-term debt maturities, excluding unamortized debt issuance costs, for the five years following December 31, 2025, aggregate as follows:
| 2026 |  | 2027 |  | 2028 |  | 2029 |  |  |  | Total |  |
| (In thousands) |  |
Long-term debt maturities, including current portion | $ | 15,000 |  |  | $ | 15,000 |  |  | $ | 15,000 |  |  | $ | 240,000 |  |  |  |  | $ | 285,000 |  |  |

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- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 8A -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-8A Reference 2: http://www.xbrl.org/2003/role/disclosureRef 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