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Business Segments | 12 Months Ended
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Dec. 31, 2022
Segment Reporting [Abstract] |
Business Segments | 13. BUSINESS SEGMENTS The Company's business segments are Aluminum Extrusions, PE Films and Flexible Packaging Films. Aluminum Extrusions, also referred to as Bonnell Aluminum, produces high-quality, soft and medium strength alloyed aluminum extrusions, custom fabricated and finished, for the building and construction, automotive and transportation, consumer durables goods, machinery and equipment, electrical and renewable energy, and distribution markets. PE Films produces surface protection films, polyethylene overwrap films and films for other markets. Flexible Packaging Films produces polyester based films for use in packaging applications that have specialized properties, such as heat resistance, strength, barrier protection and the ability to accept high-quality print graphics. The Company’s reportable segments are based on its method of internal reporting, which is generally segregated by differences in products. Accounting standards for presentation of segments require an approach based on the way the Company organizes the segments for making operating decisions and how the chief operating decision maker (“CODM”) assesses performance. EBITDA from ongoing operations is the key profitability measure used by the CODM (Tredegar’s President and Chief Executive Officer) for purposes of assessing financial performance. The Company uses sales less freight (“net sales”) from continuing operations as its measure of revenues from external customers at the segment level. This measure is separately included in the financial information regularly provided to the CODM. Earnings before interest and taxes ("EBIT") from ongoing operations is a non-GAAP financial measure included in the reconciliation of segment financial information to consolidated results for the Company below. Information by business segment and geographic area for the last three years is provided in the segment tables below. There were no accounting transactions between segments and no allocations to segments.
Net Sales
(In thousands) | 2022 |  | 2021 |  | 2020
Aluminum Extrusions | $ | 637,872 |  |  | $ | 539,325 |  |  | $ | 455,711 |
PE Films | 97,571 |  |  | 118,920 |  |  | 139,288 |
Flexible Packaging Films | 168,139 |  |  | 139,978 |  |  | 134,605 |
Total net sales | 903,582 |  |  | 798,223 |  |  | 729,604 |
Add back freight | 34,982 |  |  | 28,232 |  |  | 25,686 |
Sales as shown in consolidated statements of income | $ | 938,564 |  |  | $ | 826,455 |  |  | $ | 755,290 |
Refer to Notes to Financial Tables that follow these tables.
EBITDA from Ongoing Operations
(In thousands) | 2022 |  | 2021 |  | 2020
Aluminum Extrusions: |  |  |  |  |
Ongoing operations: |  |  |  |  |
EBITDA | $ | 66,800 |  |  | $ | 55,948 |  |  | $ | 55,137 |
Depreciation & amortization | (17,414) |  |  | (16,272) |  |  | (17,403) |
EBIT | 49,386 |  |  | 39,676 |  |  | 37,734 |
Plant shutdowns, asset impairments, restructurings and other (a) | (310) |  |  | 3,237 |  |  | (3,506) |
Goodwill impairment charge | — |  |  | — |  |  | (13,696) |
PE Films: |  |  |  |  |
Ongoing operations: |  |  |  |  |
EBITDA | 11,949 |  |  | 27,694 |  |  | 45,107 |
Depreciation & amortization | (6,280) |  |  | (6,263) |  |  | (6,762) |
EBIT | 5,669 |  |  | 21,431 |  |  | 38,345 |
Plant shutdowns, asset impairments, restructurings and other (a) | (646) |  |  | (371) |  |  | (1,974) |
Flexible Packaging Films: |  |  |  |  |
Ongoing operations: |  |  |  |  |
EBITDA | 27,452 |  |  | 31,684 |  |  | 30,645 |
Depreciation & amortization | (2,444) |  |  | (1,988) |  |  | (1,761) |
EBIT | 25,008 |  |  | 29,696 |  |  | 28,884 |
Plant shutdowns, asset impairments, restructurings and other (a) | (91) |  |  | 8,439 |  |  | (18) |
Total | 79,016 |  |  | 102,108 |  |  | 85,769 |
Interest income | 57 |  |  | 73 |  |  | 44 |
Interest expense | 4,990 |  |  | 3,386 |  |  | 2,587 |
Gain (loss) on investment in kaléo (a) | 1,406 |  |  | 12,780 |  |  | (60,900) |
Loss on sale of Bright View (a) | — |  |  | — |  |  | (2,299) |
Stock option-based compensation expense | 1,424 |  |  | 2,495 |  |  | 2,161 |
Corporate expenses, net (a) | 41,295 |  |  | 41,859 |  |  | 42,912 |
Income (loss) from continuing operations before income taxes | 32,770 |  |  | 67,221 |  |  | (25,046) |
Income tax expense (benefit) (a) | 4,389 |  |  | 9,284 |  |  | (8,213) |
Income (loss) from continuing operations | 28,381 |  |  | 57,937 |  |  | (16,833) |
Income (loss) from discontinued operations, net of tax (a) | 74 |  |  | (111) |  |  | (58,611) |
Net income (loss) | $ | 28,455 |  |  | $ | 57,826 |  |  | $ | (75,444) |
Refer to Notes to Financial Tables that follow these tables.
Identifiable Assets
(In thousands) | 2022 |  | 2021
Aluminum Extrusions | $ | 293,308 |  |  | $ | 280,521 |
PE Films | 102,431 |  |  | 113,613 |
Flexible Packaging Films | 103,448 |  |  | 75,269 |
Subtotal | 499,187 |  |  | 469,403 |
General corporate | 23,674 |  |  | 23,482 |
Cash and cash equivalents (b) | 19,232 |  |  | 30,521 |
Discontinued operations | — |  |  | 178 |
Total | $ | 542,093 |  |  | $ | 523,584 |
| Depreciation and Amortization |  | Capital Expenditures
(In thousands) | 2022 |  | 2021 |  | 2020 |  | 2022 |  | 2021 |  | 2020
Aluminum Extrusions | $ | 17,414 |  |  | $ | 15,326 |  |  | $ | 17,403 |  |  | $ | 23,664 |  |  | $ | 18,914 |  |  | $ | 10,260 |
PE Films | 6,280 |  |  | 6,263 |  |  | 6,762 |  |  | 3,289 |  |  | 2,997 |  |  | 6,024 |
Flexible Packaging Films | 2,444 |  |  | 1,988 |  |  | 1,761 |  |  | 8,151 |  |  | 5,603 |  |  | 4,959 |
Subtotal | 26,138 |  |  | 23,577 |  |  | 25,926 |  |  | 35,104 |  |  | 27,514 |  |  | 21,243 |
General corporate (d) | 264 |  |  | 207 |  |  | 520 |  |  | 1,771 |  |  | (153) |  |  | 200 |
Discontinued operations | — |  |  | — |  |  | 5,511 |  |  | — |  |  | — |  |  | 1,912 |
Total | $ | 26,402 |  |  | $ | 23,784 |  |  | $ | 31,957 |  |  | $ | 36,875 |  |  | $ | 27,361 |  |  | $ | 23,355 |
Net Sales by Geographic Area (c)
(In thousands) | 2022 |  | 2021 |  | 2020
United States | $ | 717,049 |  |  | $ | 614,987 |  |  | $ | 530,243 |
Exports from the United States to: |  |  |  |  |
Asia | 41,995 |  |  | 59,242 |  |  | 80,217 |
Canada | 15,264 |  |  | 17,776 |  |  | 18,024 |
Europe | 3,885 |  |  | 4,489 |  |  | 5,440 |
Latin America | 6,867 |  |  | 4,937 |  |  | 2,169 |
Operations outside the United States: |  |  |  |  |
Brazil | 117,896 |  |  | 96,792 |  |  | 93,511 |
Asia | 626 |  |  | — |  |  | — |
Total | $ | 903,582 |  |  | $ | 798,223 |  |  | $ | 729,604 |
| Identifiable Assets by Geographic Area (c) |  | Property, Plant & Equipment, Net by Geographic Area (c)
(In thousands) | 2022 |  | 2021 |  | 2022 |  | 2021
United States | $ | 413,512 |  |  | $ | 398,749 |  |  | $ | 146,437 |  |  | $ | 135,310 |
Operations outside the United States: |  |  |  |  |  |  |
Brazil | 72,725 |  |  | 54,299 |  |  | 25,385 |  |  | 18,615 |
China | 12,950 |  |  | 16,355 |  |  | 11,903 |  |  | 14,889 |
General corporate | 23,674 |  |  | 23,482 |  |  | 2,686 |  |  | 1,567 |
Cash and cash equivalents (b) | 19,232 |  |  | 30,521 |  |  | n/a |  | n/a
Discontinued operations | — |  |  | 178 |  |  | — |  |  | — |
Total | $ | 542,093 |  |  | $ | 523,584 |  |  | $ | 186,411 |  |  | $ | 170,381 |
Refer to Notes to Financial Tables that follow these tables. The Company’s facilities in Pottsville, PA (“PV”) and Guangzhou, China (“GZ”) have a tolling arrangement whereby certain surface protection films are manufactured in GZ for a fee with raw materials supplied from PV that are then shipped by GZ directly to customers principally in the Asian market but paid by customers directly to PV. Amounts associated with this intercompany tolling arrangement are reported in the table above as export sales from the U.S. to Asia, and include net sales of $20.1 million in 2022, $32.7 million in 2021 and $35.1 million in 2020.
Net Sales by Product Group
(In thousands) | 2022 |  | 2021 |  | 2020
Aluminum Extrusions: |  |  |  |  |
Nonresidential building & construction | $ | 338,981 |  |  | $ | 269,252 |  |  | $ | 253,126 |
Consumer durables | 62,541 |  |  | 53,578 |  |  | 44,167 |
Automotive | 51,286 |  |  | 43,256 |  |  | 35,895 |
Machinery & equipment | 63,326 |  |  | 42,721 |  |  | 30,649 |
Distribution | 29,732 |  |  | 45,639 |  |  | 28,339 |
Residential building & construction | 64,268 |  |  | 52,236 |  |  | 40,049 |
Electrical | 27,738 |  |  | 32,643 |  |  | 23,486 |
Subtotal | 637,872 |  |  | 539,325 |  |  | 455,711 |
PE Films: |  |  |  |  |
Surface protection films | 68,140 |  |  | 88,436 |  |  | 109,097 |
Packaging | 29,431 |  |  | 30,484 |  |  | 22,700 |
LED-based products | — |  |  | — |  |  | 7,491 |
Subtotal | 97,571 |  |  | 118,920 |  |  | 139,288 |
Flexible Packaging Films | 168,139 |  |  | 139,978 |  |  | 134,605 |
Total | $ | 903,582 |  |  | $ | 798,223 |  |  | $ | 729,604 |
(a)See Notes 5, 9, 12 and 15 for more information on losses associated with plant shutdowns, asset impairments and restructurings, unusual items, gains or losses from sale of assets, gains or losses on an investment accounted for under the fair value method and other items. (b)Cash and cash equivalents includes funds held in locations outside the U.S. of $10.3 million and $16.4 million at December 31, 2022 and 2021, respectively. (c)Export sales relate mostly to PE Films. Operations in Brazil relate to Flexible Packaging Films. (d)Corporate depreciation and amortization are included in Corporate expenses, net, on the EBITDA from ongoing operations table above.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI https://asc.fasb.org/topic&trid=2134510 + Details
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