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Discontinued Operations | 6 Months Ended
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Jun. 30, 2025
Discontinued Operations and Disposal Groups [Abstract] |
Discontinued Operations | Discontinued Operations Divestiture of Bristol Metals On March 12, 2025, the Company and its wholly-owned subsidiaries Synalloy Metals, Inc. ("Synalloy Metals") and Bristol Metals, LLC. ("BRISMET"), entered into an Asset Purchase Agreement (the “Purchase Agreement”) pursuant to which they sold substantially all of the assets related to BRISMET to Bristol Pipe and Tube, Inc., a Delaware corporation and wholly-owned subsidiary of Ta Chen International, Inc. (the “Purchaser”). Ascent and Purchaser also entered into a Transition Services Agreement (the “TSA”) dated March 12, 2025, pursuant to which Ascent has agreed to provide certain transition services to Purchaser immediately after the closing for certain agreed upon transition periods. On April 4, 2025, the Company and Purchaser completed the transaction contemplated by the Purchase Agreement. The consideration for the transaction was approximately $45 million of cash proceeds, of which $4.5 million was placed in an escrow account to be received in 18 months from the closing date. The escrow amount is presented within "Advances and other receivables" on the condensed consolidated balance sheets. The sale resulted in a preliminary, pretax gain on sale of $4.4 million, subject to certain measurement period closing adjustments. As result of the sale, BRISMET results of operations are classified under discontinued operations for all periods presented. Prior to the divestiture, BRISMET was reported under the Company's former Tubular Products segment. Divestiture of American Stainless Tubing On June 23, 2025, the Company and its wholly-owned subsidiary American Stainless Tubing, Inc. ("ASTI"), entered into an Asset Purchase Agreement (the “Purchase Agreement”) pursuant to which they sold substantially all of the assets related to ASTI to First Tube, LLC., a Texas limited liability company and wholly-owned subsidiary of Triple-S Steel Holdings, Inc (the “Purchaser”). On June 30, 2025, the Company and Purchaser completed the transaction contemplated by the Purchase Agreement. The consideration for the transaction was approximately $16 million of cash proceeds, of which $0.8 million was placed in an escrow account to be received in 12 months from the closing date. The escrow amount is presented within "Advances and other receivables" on the condensed consolidated balance sheets. The sale resulted in a preliminary, pretax gain on sale of $4.6 million, subject to certain measurement period closing adjustments. ASTI's results of operations are classified under discontinued operations for all periods presented. Prior to the divestiture, ASTI was reported under the Company's former Tubular Products segment. The following table presents the aggregate carrying amounts of the classes of assets and liabilities of the Company's discontinued operations:
(in thousands) | June 30, 2025 |  | December 31, 2024
Carrying amounts of assets included as part of discontinued operations: |  |  |
Cash and cash equivalents | $ | — |  |  | $ | 10 |
Accounts receivable, net | — |  |  | 11,597 |
Inventories | — |  |  | 35,236 |
Prepaid expenses and other current assets | — |  |  | 998 |
Current assets classified as discontinued operations | — |  |  | 47,841 |
Property, plant and equipment, net | — |  |  | 7,873 |
Right-of-use assets, operating leases, net | — |  |  | 85 |
Intangible assets, net | — |  |  | 3,564 |
Other non-current assets, net | — |  |  | 2,661 |
Long-term assets classified as discontinued operations | — |  |  | 14,183 |
Total assets classified as discontinued operations | $ | — |  |  | $ | 62,024 |
Carrying amounts of current liabilities included as part of discontinued operations: |  |  |
Accounts payable | — |  |  | 6,252 |
Deferred revenue | — |  |  | 1,360 |
Accrued expenses and other current liabilities | — |  |  | 2,019 |
Current portion of operating lease liabilities | — |  |  | 84 |
Current portion of finance lease liabilities |  |  | 41 |
Current liabilities classified as discontinued operations | — |  |  | 9,756 |
Total liabilities classified as discontinued operations | $ | — |  |  | $ | 9,756 |
The financial results are presented as income (loss) from discontinued operations, net of tax on the unaudited condensed consolidated statements of income (loss). The following table summarizes the results of the Company's discontinued operations:
| Three Months Ended June 30, |  | Six Months Ended June 30,
(in thousands) | 2025 |  | 2024 |  | 2025 |  | 2024
Net sales | $ | 8,188 |  |  | $ | 28,741 |  |  | $ | 34,460 |  |  | $ | 52,797 |
Cost of sales | 6,714 |  |  | 26,626 |  |  | 29,770 |  |  | 49,945 |
Gross profit | 1,474 |  |  | 2,115 |  |  | 4,690 |  |  | 2,852 |
Selling, general and administrative expense | 498 |  |  | 1,412 |  |  | 1,888 |  |  | 3,482 |
Gain on sale of assets | (8,994) |  |  | — |  |  | (8,994) |  |  | — |
Acquisition costs and other | 1,323 |  |  | 44 |  |  | 3,421 |  |  | 145 |
Asset impairments | — |  |  | — |  |  | — |  |  | 1,115 |
Income (loss) on discontinued operations before income taxes | 8,647 |  |  | 659 |  |  | 8,375 |  |  | (1,890) |
Income tax expense (benefit) | (86) |  |  | 135 |  |  | (71) |  |  | (402) |
Net income (loss) from discontinued operations | $ | 8,733 |  |  | $ | 524 |  |  | $ | 8,446 |  |  | $ | (1,488) |

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- Definition The entire disclosure related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/205-20/tableOfContent Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 360 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/360/tableOfContent + Details
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