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v3.25.4

Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2025 | Dec. 31, 2024
Income Tax Disclosure [Abstract] |  |
Sources of Income before Income Taxes | The sources of income before income taxes were as follows:
(in millions) |  | 2025 |  |  | 2024 |  |  | 2023 |
Domestic |  | $ | 25.9 |  |  | $ | 90.2 |  |  | $ | 95.2 |
Foreign |  |  | 112.2 |  |  |  | (49.0 | ) |  |  | 79.2 |
|  | $ | 138.1 |  |  | $ | 41.2 |  |  | $ | 174.4 |
Components of Income Tax Expense |  | The components of income tax expense are summarized as follows:
(in millions) |  | 2025 |  |  | 2024 |  |  | 2023 |
Current: |  |  |  |  |  |  |  |  |
Federal |  | $ | 4.5 |  |  | $ | 16.9 |  |  | $ | 12.4 |
State and local |  |  | 1.7 |  |  |  | 2.9 |  |  |  | 0.2 |
Foreign |  |  | 24.3 |  |  |  | 26.2 |  |  |  | 18.6 |
|  |  | 30.5 |  |  |  | 46.0 |  |  |  | 31.2 |
Deferred: |  |  |  |  |  |  |  |  |
Federal |  |  | (7.7 | ) |  |  | (4.1 | ) |  |  | 5.2 |
State and local |  |  | (0.3 | ) |  |  | (0.5 | ) |  |  | 0.3 |
Foreign |  |  | (1.0 | ) |  |  | (35.8 | ) |  |  | (1.4 | )
|  |  | (9.0 | ) |  |  | (40.4 | ) |  |  | 4.1 |
Total: |  |  |  |  |  |  |  |  |
Federal |  |  | (3.2 | ) |  |  | 12.8 |  |  |  | 17.6 |
State and local |  |  | 1.4 |  |  |  | 2.4 |  |  |  | 0.5 |
Foreign |  |  | 23.3 |  |  |  | (9.6 | ) |  |  | 17.2 |
|  | $ | 21.5 |  |  | $ | 5.6 |  |  | $ | 35.3 |
Factors Effecting Effective Tax Rate from U.S. Federal Statutory Rate |
(in millions) |  | 2025 |  |  |  |  | 2024 |  |  |  |  | 2023 |  |  |
|  | in Dollars |  | in Percent |  |  | in Dollars |  | in Percent |  |  | in Dollars |  | in Percent |
U.S. federal statutory tax rate |  | $ | 29.0 |  |  | 21.0 | % |  | $ | 8.7 |  |  | 21.0 | % |  | $ | 36.6 |  |  | 21.0 | %
State and local income taxes, net of federal income tax effect* |  |  | 1.7 |  |  | 1.2 | % |  |  | 2.7 |  |  | 6.6 | % |  |  | 1.0 |  |  | 0.6 | %
Foreign tax effects: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Brazil: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Changes in valuation allowance |  | ** |  | ** |  |  |  | 2.7 |  |  | 6.6 | % |  | ** |  | ** |
Adjustment to contingent consideration |  |  | (3.2 | ) |  | -2.3 | % |  |  | 0.7 |  |  | 1.7 | % |  | ** |  | ** |
Foreign tax rate differential |  | ** |  | ** |  |  | ** |  | ** |  |  |  | (1.8 | ) |  | -1.0 | %
Other |  |  | (1.2 | ) |  | -0.8 | % |  |  | 0.8 |  |  | 1.9 | % |  |  | 0.3 |  |  | 0.2 | %
Germany: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Foreign tax rate differential |  | ** |  | ** |  |  |  | 0.7 |  |  | 1.7 | % |  | ** |  | ** |
Other |  | ** |  | ** |  |  |  | (0.1 | ) |  | -0.2 | % |  | ** |  | ** |
Italy |  | ** |  | ** |  |  |  | 0.6 |  |  | 1.5 | % |  | ** |  | ** |
U.K.: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Foreign tax rate differential |  |  | 2.1 |  |  | 1.5 | % |  |  | (3.4 | ) |  | -8.3 | % |  |  | 1.3 |  |  | 0.7 | %
Foreign currency transactions |  | ** |  | ** |  |  | ** |  | ** |  |  |  | (2.6 | ) |  | -1.5 | %
Innovation incentives |  |  | (3.2 | ) |  | -2.3 | % |  |  | (3.2 | ) |  | -7.8 | % |  |  | (1.5 | ) |  | -0.9 | %
Other |  |  | 0.4 |  |  | 0.3 | % |  |  | 0.4 |  |  | 1.0 | % |  |  | 0.5 |  |  | 0.3 | %
Other foreign jurisdictions |  |  | 2.7 |  |  | 2.0 | % |  |  | 0.2 |  |  | 0.5 | % |  |  | 1.7 |  |  | 1.0 | %
Effect of cross-border tax laws: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Global intangible low-taxed income, net of foreign tax credit |  |  | 0.8 |  |  | 0.6 | % |  |  | 4.3 |  |  | 10.4 | % |  |  | (0.2 | ) |  | -0.1 | %
Subpart F income, net of foreign tax credit |  |  | — |  |  | 0.0 | % |  |  | 1.2 |  |  | 2.9 | % |  |  | 0.2 |  |  | 0.1 | %
Incentive for foreign derived intangible income |  |  | (0.5 | ) |  | -0.4 | % |  |  | (1.9 | ) |  | -4.6 | % |  |  | (4.5 | ) |  | -2.6 | %
Tax on unremitted foreign earnings |  |  | 2.1 |  |  | 1.5 | % |  |  | 0.8 |  |  | 1.9 | % |  |  | 2.4 |  |  | 1.4 | %
Other |  |  | 0.1 |  |  | 0.1 | % |  |  | 0.3 |  |  | 0.7 | % |  |  | — |  |  | 0.0 | %
Tax credits |  |  | (0.5 | ) |  | -0.4 | % |  |  | (0.9 | ) |  | -2.2 | % |  |  | (1.0 | ) |  | -0.6 | %
Nontaxable or nondeductible items: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Nondeductible officer compensation |  | ** |  | ** |  |  |  | 2.0 |  |  | 4.9 | % |  |  | 1.8 |  |  | 1.0 | %
Other |  |  | 0.7 |  |  | 0.5 | % |  |  | (0.9 | ) |  | -2.1 | % |  |  | (0.2 | ) |  | -0.1 | %
Changes in unrecognized tax benefits |  |  | — |  |  | 0.0 | % |  |  | (10.1 | ) |  | -24.5 | % |  |  | 1.3 |  |  | 0.7 | %
Tax impact of internal reorganizations |  |  | (9.5 | ) |  | -6.9 | % |  |  | — |  |  | 0.0 | % |  |  | — |  |  | 0.0 | %
|  | $ | 21.5 |  |  | 15.6 | % |  | $ | 5.6 |  |  | 13.6 | % |  | $ | 35.3 |  |  | 20.2 | %
* State taxes in Texas, Louisiana and Oklahoma made up the majority (greater than 50%) of the tax effect in this category in 2025 (2024 and 2023: Texas, California and Oklahoma). ** The amount of income tax during the year does not meet the required threshold and is included in relevant 'Other' category. |
Schedule of Cash Paid for Income Taxes (Net of Refunds) | Cash paid for income taxes (net of refunds) consisted of the following:
(in millions) |  | 2025 |  |  | 2024 |  |  | 2023 |
Federal |  | $ | 26.1 |  |  | $ | 27.5 |  |  | $ | 27.5 |
State and local |  |  | 3.1 |  |  |  | 1.4 |  |  |  | 4.7 |
Foreign: |  |  |  |  |  |  |  |  |
Brazil |  |  | 2.9 |  |  |  | 2.9 |  |  | * |
Canada |  | * |  |  |  | 3.7 |  |  | * |
Germany |  |  | 3.3 |  |  |  | 4.2 |  |  |  | 7.4 |
Italy |  |  | 3.9 |  |  |  | 3.9 |  |  | * |
U.K. |  |  | 6.8 |  |  |  | 6.7 |  |  |  | 8.6 |
Other Foreign |  |  | 4.9 |  |  |  | 1.4 |  |  |  | 6.1 |
|  |  | 21.8 |  |  |  | 22.8 |  |  |  | 22.1 |
|  | $ | 51.0 |  |  | $ | 51.7 |  |  | $ | 54.3 |
*The amount of income taxes paid during the year does not meet the required threshold and is included in 'Other Foreign'. |
Details of Deferred Tax Assets and Liabilities | Details of deferred tax assets and liabilities are analyzed as follows:
(in millions) |  | 2025 |  |  | 2024 |
Deferred tax assets: |  |  |  |  |  |
Stock compensation |  | $ | 3.3 |  |  | $ | 3.7 |
Net operating loss carry forwards |  |  | 8.2 |  |  |  | 8.8 |
Other intangible assets |  |  | 15.6 |  |  |  | 4.8 |
Accretion expense |  |  | 3.2 |  |  |  | 3.2 |
Restructuring provision |  |  | 1.4 |  |  |  | 1.5 |
Employee related liabilities |  |  | 4.6 |  |  |  | 9.2 |
Foreign tax credits |  |  | 3.0 |  |  |  | 2.1 |
Operating lease liabilities |  |  | 12.9 |  |  |  | 11.1 |
Inventory provisions |  |  | 9.4 |  |  |  | 9.0 |
Pensions |  |  | 1.2 |  |  |  | 0.5 |
Carried forward interest deductions |  |  | 2.7 |  |  |  | 1.4 |
Bad debt reserves |  |  | 1.1 |  |  |  | 1.4 |
Research and experimental expenditure |  |  | 6.1 |  |  |  | 8.3 |
Other |  |  | 5.7 |  |  |  | 3.4 |
Subtotal |  |  | 78.4 |  |  |  | 68.4 |
Less valuation allowance |  |  | (2.8 | ) |  |  | (2.4 | )
Total net deferred tax assets |  | $ | 75.6 |  |  | $ | 66.0 |
Deferred tax liabilities: |  |  |  |  |  |
Property, plant and equipment |  | $ | (27.0 | ) |  | $ | (29.5 | )
Intangible assets including goodwill |  |  | (31.2 | ) |  |  | (31.6 | )
Customer relationships |  |  | (1.0 | ) |  |  | (1.7 | )
Unremitted overseas earnings |  |  | (7.2 | ) |  |  | (5.1 | )
Right-of-use assets |  |  | (12.9 | ) |  |  | (10.7 | )
Other |  |  | (1.8 | ) |  |  | (1.5 | )
Total deferred tax liabilities |  | $ | (81.1 | ) |  | $ | (80.1 | )
Net deferred tax liability |  | $ | (5.5 | ) |  | $ | (14.1 | )
Deferred tax assets |  | $ | 13.6 |  |  | $ | 9.4 |
Deferred tax liabilities |  |  | (19.1 | ) |  |  | (23.5 | )
|  | $ | (5.5 | ) |  | $ | (14.1 | )
Roll-forward of Unrecognized Tax Benefits and Associated Accrued Interest and Penalties | A roll-forward of unrecognized tax benefits and associated accrued interest and penalties is as follows:
(in millions) |  | Unrecognized Tax Benefits |  |  | Interest and Penalties |  |  | Total |
Opening balance at January 1, 2023 |  | $ | 10.2 |  |  | $ | 3.2 |  |  | $ | 13.4 |
Reductions for tax positions of prior periods |  |  | — |  |  |  | — |  |  |  | — |
Additions for tax positions of prior periods |  |  | 0.3 |  |  |  | 1.1 |  |  |  | 1.4 |
Closing balance at December 31, 2023 |  |  | 10.5 |  |  |  | 4.3 |  |  |  | 14.8 |
Current |  |  | (1.0 | ) |  |  | (0.2 | ) |  |  | (1.2 | )
Non-current |  | $ | 9.5 |  |  | $ | 4.1 |  |  | $ | 13.6 |
Opening balance at January 1, 2024 |  | $ | 10.5 |  |  | $ | 4.3 |  |  | $ | 14.8 |
Reductions for tax positions of prior periods |  |  | (10.5 | ) |  |  | (5.1 | ) |  |  | (15.6 | )
Additions for tax positions of prior periods |  |  | — |  |  |  | 0.8 |  |  |  | 0.8 |
Closing balance at December 31, 2024 |  |  | — |  |  |  | — |  |  |  | — |
Current |  |  | — |  |  |  | — |  |  |  | — |
Non-current |  | $ | — |  |  | $ | — |  |  | $ | — |
Opening balance at January 1, 2025 |  | $ | — |  |  | $ | — |  |  | $ | — |
Reductions for tax positions of prior periods |  |  | — |  |  |  |  |  |  | — |
Additions for tax positions of prior periods |  |  | — |  |  |  |  |  |  | — |
Closing balance at December 31, 2025 |  |  | — |  |  |  | — |  |  |  | — |
Current |  |  | — |  |  |  | — |  |  |  | — |
Non-current |  | $ | — |  |  | $ | — |  |  | $ | — |

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