Financial Analysis

Note 4. Acquisitions Concept Pet Heimtierprodukte GmbH On April 29, 2022, the Company completed the acquisition of Concept Pet Heimtierprodukte GmbH (Concept Pet), a European supplier of pet litter products. The purchase of Concept Pet supports the expansion of our European pet care business, as well as providing additional mineral reserves. The purchase price was $28.0 million and the acquisition was financed through cash on hand. The fair value of the total consideration transferred, net of cash acquired, was $22.4 million. In the second quarter of 2023, an additional $1.8 million of hold back consideration was paid. In the second quarter of 2024, an additional $4.0 million was paid representing the final holdback consideration. The results of Concept Pet are included within our Household & Personal Care product line in our Consumer & Specialties segment. The acquisition has been accounted for using the acquisition method of accounting, which requires, among other things, that we recognize the assets acquired and liabilities assumed at their respective fair values as of the acquisition date. The Company recorded goodwill of $9.3 million and intangible assets of $4.3 million relating to this acquisition. The Company incurred no acquisition-related transaction and integration costs during 2025 and 2024 and recorded $0.3 million of acquisition-related costs during 2023, which are reflected within the acquisition-related expenses line of the Consolidated Statements of I …

BusinessCombinationDisclosureTextBlock · excerpt; the full note is in the filing

"Note 17. Contingencies The Company is party to a number of lawsuits arising in the normal course of our business. The Company and certain of the Companys subsidiaries are among numerous defendants in a number of cases seeking damages for alleged exposure to asbestos-contaminated talc products sold by the Companys subsidiary BMI Oldco Inc. On October 2, 2023 (the Petition Date), notwithstanding the Companys confidence in the safety of Oldcos talc products, the Companys subsidiaries, Oldco and Barretts Ventures Texas LLC (""BVT"" and, together with Oldco, the Chapter 11 Debtors), filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Southern District of Texas (the Chapter 11 Cases) to address and comprehensively resolve Oldcos liabilities associated with talc. Minerals Technologies Inc. and the Companys other subsidiaries were not included in the Chapter 11 filing. The Chapter 11 Debtors ultimate goal in the Chapter 11 Cases is to confirm a plan of reorganization under Section 524(g) of the U.S. Bankruptcy Code and utilize this provision of the Bankruptcy Code to establish a trust that will address all current and future talc-related claims. Discussions regarding the terms of a potential consensual plan of reorganization and the ultimate amount to be contributed to any trust are ongoing. As of December 31, 2025, we had 914 open cases related to certain talc products previously sold by Oldco, which is an …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

"Note 15. Long-Term Debt and Commitments The following is a summary of long-term debt: December 31, (in millions of dollars) 2025 2024 Secured Credit Agreement: Term Loan due 2031 , net of unamortized discount and deferred financing costs of $6.5 million and $7.3 million $ 562.7 $ 567.7 Senior Notes: 5.00% due 2028 , net of unamortized deferred financing costs of $2.3 million and $3.2 million 397.7 396.8 Other debt 0.9 1.6 Total $ 961.3 $ 966.1 Less: Current maturities 6.3 6.5 Long-term debt $ 955.0 $ 959.6 On November 26, 2024, the Company, entered into a Refinancing Facility Agreement and Incremental Facility Amendment (the Amendment) to amend the Company's previous credit agreement (the ""Previous Credit Agreement;"" the previous credit agreement, as amended by the Amendment, being the ""Amended Credit Agreement""). The Amendment provides for, among other things, a new senior secured revolving credit facility with aggregate commitments of $400 million (the Revolving Facility), a portion of which may be used for the issuance of letters of credit and swingline loans, and a new senior secured term loan facility with aggregate commitments of $575 million (the Term Loan Facility and, together with the Revolving Facility, the ""Senior Secured Credit Facilities""). The Revolving Facility and the Term Loan Facility replace the facilities under the Previous Credit Agreement, which provided for, among other things, a $550 million senior secured term loan facility and a $300 million …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

The following table disaggregates our revenue by major source (product line) for the years ended December 31, 2025, 2024, and 2023: Year Ended December 31, (in millions of dollars) 2025 2024 2023 Net Sales Household & Personal Care $ 512.8 $ 530.0 $ 517.6 Specialty Additives 584.9 610.2 642.6 Consumer & Specialties Segment 1,097.7 1,140.2 1,160.2 High-Temperature Technologies 704.7 713.2 720.9 Environmental & Infrastructure 270.2 265.1 288.8 Engineered Solutions Segment 974.9 978.3 1,009.7 Total net sales $ 2,072.6 $ 2,118.5 $ 2,169.9

DisaggregationOfRevenueTableTextBlock

Note 6. Stock-Based Compensation The Companys 2015 Stock Award and Incentive Plan provides for grants of incentive and non-qualified stock options, restricted stock, restricted stock units, stock appreciation rights, stock awards, and performance unit awards (the 2015 Stock Award and Incentive Plan, as amended, referred to herein as the Plan and together with its predecessor for awards granted prior to May 2015, the 2001 Stock Award and Incentive Plan, as amended and restated, the Plans). At the Company's 2024 Annual Meeting of Stockholders, the Company's stockholders ratified the adoption of an amendment and restatement of the Plan, which increased the number of shares available for issuance pursuant to the Plan by 889,000 shares and removed certain individual award limits in light of recent tax law changes. The Plans are administered by the Compensation Committee of the Board of Directors. Stock options granted under the Plans generally have a ten year term. The exercise price for stock options are at prices at or above the fair market value of the common stock on the date of the grant, and each award of stock options will vest ratably over a specified period, generally three years. Stock-based compensation expense is recognized in the consolidated financial statements for stock options based on the grant date fair value. Net income for the years ended 2025, 2024, and 2023 include $5.2 million, $5.4 million, and $5.2 million pre-tax compensation costs, respectively, related …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

Note 13. Fair Value of Financial Instruments Fair value is an exchange price that would be received for an asset or paid to transfer a liability (exit price) in an orderly transaction between market participants at the measurement date. The Company utilizes market data or assumptions that market participants would use in pricing the asset or liability. The Company follows a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs about which little or no market data exists, therefore requiring an entity to develop its own assumptions. Assets and liabilities measured at fair value are based on one or more of three valuation techniques. The three valuation techniques are as follows: Market approach prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. Cost approach amount that would be required to replace the service capacity of an asset or replacement cost. Income approach techniques to convert future amounts to a single present amount based on market expectations, including present value techniques, option-pricing, and other models. The Company primarily applies the income approach for foreign exchange deriva …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

Note 11. Goodwill and Other Intangible Assets Goodwill and other intangible assets with indefinite lives are not amortized, but instead are assessed for impairment, at least annually. The carrying amount of goodwill was $915.9 million and $913.8 million as of December 31, 2025 and December 31, 2024, respectively. The net change in goodwill since December 31, 2025 was attributable to the effects of foreign exchange. The balance of goodwill by reporting unit and the activity occurring in the past two fiscal years is as follows: Consumer & Engineered (in millions of dollars) Specialties Solutions Consolidated Balance at December 31, 2023 $ 345.2 $ 568.4 $ 913.6 Change in goodwill relating to: Foreign exchange translation 0.5 (0.3 ) 0.2 Total Changes $ 0.5 $ (0.3 ) $ 0.2 Balance at December 31, 2024 $ 345.7 $ 568.1 $ 913.8 Change in goodwill relating to: Foreign exchange translation 1.5 0.6 2.1 Total Changes $ 1.5 $ 0.6 $ 2.1 Balance at December 31, 2025 $ 347.2 $ 568.7 $ 915.9 Acquired intangible assets subject to amortization as of December 31, 2025 and December 31, 2024 were as follows: December 31, 2025 December 31, 2024 (in millions of dollars) (in millions of dollars) Weighted Average Gross Gross Useful Life Carrying Accumulated Carrying Accumulated (Years) Amount Amortization Amount Amortization Tradenames 34 $ 221.4 $ 67.6 $ 221.5 $ 63.0 Technology 20 18.8 15.5 18.8 15.1 Patents and trademarks 19 6.4 6.4 6.4 6.4 Customer relationships 21 80.4 28.8 77.5 21.6 29 $ 327.0 …

GoodwillAndIntangibleAssetsDisclosureTextBlock · excerpt; the full note is in the filing

"Note 8. Income Taxes Income (loss) from operations before provision for taxes by domestic and foreign source is as follows: Year Ended December 31, (in millions of dollars) 2025 2024 2023 Income (loss) from operations before income taxes and income from affiliates and joint ventures: Domestic $ (172.4 ) $ 40.7 $ (38.9 ) Foreign 158.4 182.9 146.6 $ (14.0 ) $ 223.6 $ 107.7 Upon adoption of ASU 2023-09, ""Improvements to Income Tax Disclosures"" (see Note 1), the provision (benefit) for taxes on income consists of the following: Year Ended December 31, (in millions of dollars) 2025 Current Tax Expense (Benefit) U.S. Federal $ 5.8 U.S. State and local 3.6 Foreign 41.3 Total current tax expense (benefit) 50.7 Deferred Tax Expense (Benefit) U.S. Federal (32.9 ) U.S. State and local (8.7 ) Foreign (4.2 ) Total deferred tax expense (benefit) (45.8 ) Total Income Tax Expense (Benefit) U.S. Federal (27.1 ) U.S. State and local (5.1 ) Foreign 37.1 Total income tax expense (benefit) $ 4.9 The provision (benefit) for taxes on income prior to adoption of ASU 2023-09 consists of the following: (in millions of dollars) Year Ended December 31, Domestic 2024 2023 Taxes currently payable Federal $ 20.0 $ 9.5 State and local 2.8 6.7 Deferred income taxes (12.3 ) (31.5 ) Domestic tax provision (benefit) 10.5 (15.3 ) Foreign Taxes currently payable 44.2 42.2 Deferred income taxes 4.7 (3.2 ) Foreign tax provision 48.9 39.0 Total tax provision $ 59.4 $ 23.7 The provision (benefit) for taxes on inco …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Note 2. Leases The Company determines if an arrangement is a lease at inception. The Company has operating leases for premises, equipment, railcars and automobiles. Our leases have remaining lease terms of 1 year to 45 years, some of which may include options to extend the leases further. The Company considers these options in determining the lease term used to establish the right-of-use assets and lease liabilities. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based upon the information available at commencement date, in determining the present value of lease payments. Leases with an initial term of 12 months or less are not recorded on the balance sheet. We recognize lease expense for these leases on a straight-line basis over the lease term. Certain lease agreements contain both lease and non-lease components. We account for lease components together with non-lease components. Operating lease cost was $18.8 million, $17.3 million, and $16.8 million for the years ended December 31, 2025, 2024, and 2023, respectively. The components of lease costs are as follows: December 31, (in millions of dollars) 2025 2024 2023 Operating lease cost $ 18.8 $ 17.3 $ 16.7 Short-term lease cost - - 0.1 Total lease cost $ 18.8 $ 17.3 $ 16.8 Supplemental cash flow information and non-cash activity related to our leases are as follows: (in millions of dollars) December 31, Operating cash flows information: 2025 Cash paid for amounts included in th …

LesseeOperatingLeasesTextBlock · excerpt; the full note is in the filing

Recently Issued Accounting Standards Changes to accounting principles generally accepted in the United States of America (U.S. GAAP) are established by the Financial Accounting Standards Board (FASB) in the form of accounting standards updates (ASUs) to the FASBs Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position and results of operations. Adoption of Income Taxes (Topic 740): Improvements to Income Tax Disclosures In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, that requires entities to disclose additional information about federal, state, and foreign income taxes primarily related to the income tax rate reconciliation and income taxes paid. The new standard also eliminates certain existing disclosure requirements related to uncertain tax positions and unrecognized deferred tax liabilities. The new standard is effective for interim and annual periods beginning on or after December 15, 2024. The Company adopted this guidance on January 1, 2025, on a prospective basis and updated the disclosures contained in Note 8. This guidance did not impact the Companys Consolidated Financial Statements but resulted in the disaggregation of the Company's tax footnote disclosures. Income Statement-Reporting Comprehensive Inco …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

Note 16. Benefit Plans Pension Plans and Other Postretirement Benefit Plans The Company and its subsidiaries have pension plans covering the majority of eligible employees on a contributory or non-contributory basis. Benefits under defined benefit plans are generally based on years of service and an employees career earnings. Employees generally become fully vested after five years. The Company also provides postretirement health care and life insurance benefits for the majority of its U.S. retired employees. Employees are generally eligible for benefits upon retirement and completion of a specified number of years of creditable service. The Company does not pre-fund these benefits and has the right to modify or terminate the plan in the future. The Companys disclosures for the U.S. plans have been combined with those outside of the U.S. as the international plans do not have significantly different assumptions and together represent approximately 20% of our total benefit obligation. The following table sets forth the Companys pension obligation and funded status at December 31: Pension Benefits Postretirement Benefits (in millions of dollars) 2025 2024 2025 2024 Change in benefit obligations: Beginning projected benefit obligation $ 342.3 $ 368.9 $ 1.8 $ 2.0 Service cost 3.8 4.2 - - Interest cost 16.5 16.0 0.1 0.1 Actuarial (gain)/loss 4.5 (25.4 ) (0.1 ) (0.1 ) Benefits paid (23.0 ) (18.7 ) (0.1 ) (0.1 ) Foreign exchange impact 5.3 (3.1 ) 0.1 (0.1 ) Other (0.1 ) 0.4 - - Endi …

PensionAndOtherPostretirementBenefitsDisclosureTextBlock · excerpt; the full note is in the filing

"Note 5. Restructuring and Other Items In 2025, the Company initiated a cost savings program, primarily through workforce reductions and recorded a charge of $5.5 million for severance and other related costs associated with this program. Additionally, the Company recorded $9.5 million of restructuring and other items for the write-down of assets and other charges relating to the consolidation and shutdown of facilities. In the third quarter of 2023, the Company recorded a $71.7 million non-cash impairment of long-lived assets charge related to its subsidiaries BMI Oldco Inc. (f/k/a Barretts Minerals Inc.) (""Oldco"") and Barretts Ventures Texas LLC (""BVT"") within the Consumer & Specialties segment. This impairment was triggered by increased claims and continued increases in legal costs, which led to the voluntary filing for relief under Chapter 11 of the U.S. Bankruptcy Code to address and comprehensively resolve Oldcos liabilities associated with the talc claims. See Note 17 for further information. In the second quarter of 2023, the Company initiated a restructuring and cost savings program to further streamline our cost structure as a result of organizational efficiencies gained through our 2023 resegmentation. As a result, the Company recorded a charge of $6.6 million for restructuring and other charges related to severance and other costs. In the third quarter of 2023, an incremental charge of $0.3 million was recorded relating to this program. The following table …

RestructuringAndRelatedActivitiesDisclosureTextBlock · excerpt; the full note is in the filing

Note 3. Revenue from Contracts with Customers The Company's revenues are primarily derived from the sale of products in product lines within our Consumer & Specialties and Engineered Solutions businesses. Our primary performance obligation (the sale of products) is satisfied upon shipment or delivery to our customers based on written sales terms, which is also when control is transferred. In most of our contracts in our Specialty Additives product line, which is in our Consumer & Specialties segment, the price per ton is based upon the total number of tons sold to the customer during the year. Under these contracts, the price billed to the customer for shipments during the year is based on periodic estimates of the total annual volume that will be sold to such customer. Revenues are adjusted at the end of each year to reflect the actual volume sold. Revenue from sales of equipment, primarily in our High-Temperature Technologies product line within our Engineered Solutions segment, is recorded upon completion of installation and control is transferred to the customer. Revenue from services is recorded when the services have been performed. Included within our High-Temperature Technologies product line are certain consignment arrangements with certain customers in our Engineered Solutions segment. Revenues for these transactions are recorded when the consigned products are consumed by the customer and control is transferred. Revenue where our performance obligations are …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

Note 21. Segment and Related Information The Company determines its operating segments based on the discrete financial information that is regularly evaluated by its chief operating decision maker, our Chief Executive Officer, in deciding how to allocate resources and in assessing performance. The Companys operating segments are strategic business units that offer different products and serve different markets. They are managed separately and require different technology and marketing strategies. The Company has two reportable segments: the Consumer & Specialties segment and the Engineered Solutions segment. The Consumer & Specialties segment provides technologically enhanced products to consumer-driven end markets, including mineral-to-market household products, as well as specialty additives that become functional components in a variety of consumer and industrial goods. The two product lines in this segment are Household & Personal Care, which delivers minerals-to-market products to a variety of consumer-oriented markets, including pet care, personal care, fabric care, edible oil and renewable fuel purification, animal health, and agricultural, and Specialty Additives, which delivers mineral additives to a variety of consumer and industrial end markets including paper and packaging, food and pharmaceutical, sealants and adhesives, paints and coatings, and plastics . The Engineered Solutions segment provides advanced process technologies and solutions that are d …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

Note 18. Stockholders Equity Capital Stock The Companys authorized capital stock consists of 100 million shares of common stock, par value $0.10 per share, of which 31,034,106 shares and 31,895,655 shares were outstanding at December 31, 2025 and 2024, respectively, and 1,000,000 shares of preferred stock, none of which were issued and outstanding. Cash Dividends Cash dividends of $14.2 million or $0.45 per common share were paid during 2025. In January 2026, a cash dividend of approximately $3.7 million or $0.12 per share, was declared, payable in the first quarter of 2026. Stock Award and Incentive Plan The Companys 2015 Stock Award and Incentive Plan provides for grants of incentive and non-qualified stock options, restricted stock, restricted stock units, stock appreciation rights, stock awards, and performance unit awards (the 2015 Stock Award and Incentive Plan, as amended, referred to herein as the Plan and together with its predecessor for awards granted prior to May 2015, the 2001 Stock Award and Incentive Plan, as amended and restated, the Plans). At the Company's 2024 Annual Meeting of Stockholders, the Company's stockholders ratified the adoption of an amendment and restatement of the Plan, which increased the number of shares available for issuance pursuant to the Plan by 889,000 shares and removed certain individual award limits in light of recent tax law changes. The Plans are administered by the Compensation Committee of the Board of Directors. Stock options g …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing

"Note 12. Contingencies The Company is party to a number of lawsuits arising in the normal course of our business. The Company and certain of the Companys subsidiaries are among numerous defendants in a number of cases seeking damages for alleged exposure to asbestos-contaminated talc products sold by the Companys subsidiary BMI Oldco Inc (f/k/a Barretts Minerals Inc.) (""Oldco""). On October 2, 2023 (the Petition Date), notwithstanding the Companys confidence in the safety of Oldcos talc products, the Companys subsidiaries, Oldco and Barretts Ventures Texas LLC (""BVT"" and, together with Oldco, the Chapter 11 Debtors), filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Southern District of Texas (the Chapter 11 Cases) to address and comprehensively resolve Oldcos liabilities associated with talc. Minerals Technologies Inc. and the Companys other subsidiaries were not included in the Chapter 11 filing. The Chapter 11 Debtors ultimate goal in the Chapter 11 Cases is to confirm a plan of reorganization under Section 524(g) of the U.S. Bankruptcy Code and utilize this provision of the Bankruptcy Code to establish a trust that will address all current and future talc-related claims. Discussions regarding the terms of a potential consensual plan of reorganization and the ultimate amount to be contributed to any trust are ongoing. As of July 5, 2026, we had 986 open cases related to certain talc products …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

"Note 9. Long-Term Debt and Commitments The following is a summary of long-term debt: Jul. 5, Dec. 31, (in millions of dollars) 2026 2025 Secured Credit Agreement: Term Loan due 2031 , net of unamortized deferred financing cost and original issue discount of $6.1 million and $6.5 million $ 560.3 $ 562.7 Senior Notes: 5.00% due 2028 , net of unamortized deferred financing costs of $1.9 million and $2.3 million 398.1 397.7 Other debt 0.5 0.9 Total $ 958.9 $ 961.3 Less: Current maturities of long-term debt 6.0 6.3 Total long-term debt $ 952.9 $ 955.0 On November 26, 2024, the Company entered into a Refinancing Facility Agreement and Incremental Facility Amendment (the Amendment) to amend the Companys previous credit agreement (the Previous Credit Agreement; the previous credit agreement, as amended by the Amendment, being the Amended Credit Agreement). The Amendment provides for, among other things, a new senior secured revolving credit facility with aggregate commitments of $400 million (the Revolving Facility), a portion of which may be used for the issuance of letters of credit and swingline loans, and a new senior secured term loan facility with aggregate commitments of $575 million (the Term Loan Facility and, together with the Revolving Facility, the Senior Secured Credit Facilities). The Revolving Facility and the Term Loan Facility replace the facilities under the Previous Credit Agreement, which provided for, among other things, a $550 million senior secured term loan f …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

The following table disaggregates our revenue by major source (product line) for the three and six-month periods ended July 5, 2026 and June 29, 2025: (in millions of dollars) Three Months Ended Six Months Ended Jul. 5, Jun. 29, Jul. 5, Jun. 29, Net Sales 2026 2025 2026 2025 Household & Personal Care $ 123.4 $ 127.4 $ 265.8 $ 250.5 Specialty Additives 151.1 150.3 305.3 295.5 Consumer & Specialties Segment 274.5 277.7 571.1 546.0 High-Temperature Technologies 190.3 178.4 373.6 347.8 Environmental & Infrastructure 83.6 72.8 150.6 126.9 Engineered Solutions Segment 273.9 251.2 524.2 474.7 Total net sales $ 548.4 $ 528.9 $ 1,095.3 $ 1,020.7

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Note 7. Goodwill and Other Intangible Assets Goodwill and other intangible assets with indefinite lives are not amortized, but instead are assessed for impairment, at least annually. The carrying amount of goodwill was $915.9 million for both periods as of July 5, 2026 and December 31, 2025. Acquired intangible assets subject to amortization as of July 5, 2026 and December 31, 2025 were as follows: Jul. 5, 2026 Dec. 31, 2025 Weighted Average Gross Gross Useful Life Carrying Accumulated Carrying Accumulated (in millions of dollars) (Years) Amount Amortization Amount Amortization Tradenames 34 $ 221.4 $ 69.8 $ 221.4 $ 67.6 Technology 20 18.8 15.7 18.8 15.5 Patents and trademarks 19 6.4 6.4 6.4 6.4 Customer relationships 21 79.6 31.9 80.4 28.8 29 $ 326.2 $ 123.8 $ 327.0 $ 118.3 The weighted average amortization period for acquired intangible assets subject to amortization is approximately 29 years. Estimated amortization expense is $5.7 million for the remainder of 2026, $46.0 million for 20272030 and $150.7 million thereafter. …

GoodwillAndIntangibleAssetsDisclosureTextBlock · excerpt; the full note is in the filing

Note 5. Income Taxes Provision (benefit) for taxes was $(46.2) million and $(36.3) million during the three and six-month periods ended July 5, 2026. Provision (benefit) for taxes was $13.9 million and $(18.2) million during the three and six-month periods ended June 29, 2025. The benefit from taxes for the six-month period ended June 29, 2025 relates to pre-tax losses, primarily as a result of the provision for litigation accrual and credit losses recorded in the first quarter of 2025. The effective tax rate was 20.0% for the three-month period ended July 5, 2026, as compared with 23.5% for the three-month period ended June 29, 2025. The effective tax rate was 19.6% for the six-month period ended July 5, 2026, as compared with 15.5% for the six-month period ended June 29, 2025. The lower rate in the current year was primarily due to the provision for the litigation accrual and credit losses. As of July 5, 2026, the Company had approximately $6.0 million of total unrecognized income tax benefits. Included in this amount were a total of $4.5 million of unrecognized income tax benefits that, if recognized, would affect the Companys effective tax rate. While it is expected that the amount of unrecognized tax benefits will change in the next 12 months, the Company does not expect the change to have a significant impact on the results of operations or the financial position of the Company. The Companys accounting policy is to recognize interest and penalties accrued, relating to u …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Recently Issued Accounting Standards Changes to accounting principles generally accepted in the United States of America (U.S. GAAP) are established by the Financial Accounting Standards Board (FASB) in the form of accounting standards updates (ASUs) to the FASBs Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position and results of operations. Income Statement-Reporting Comprehensive Income-Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses that requires entities to disclose additional information in the notes to the financial statements about prescribed categories underlying any relevant income statement expense caption. The new standard is effective for annual reporting periods beginning after December 15, 2026, and interim periods within annual reporting periods beginning after December 15, 2027. The adoption of this standard is not expected to have a material impact on the Companys Consolidated Financial Statements but will result in disaggregation of the Companys income statement expenses. …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

Note 10. Benefit Plans The Company and its subsidiaries have pension plans covering the majority of its eligible employees on a contributory or non-contributory basis. The Company also provides postretirement health care and life insurance benefits for the majority of its U.S. retired employees. Disclosures for the U.S. plans have been combined with those outside of the U.S., as the international plans do not have significantly different assumptions, and together represent less than 20% of our total benefit obligation. Components of Net Periodic Benefit Cost Pension Benefits Three Months Ended Six Months Ended Jul. 5, Jun. 29, Jul. 5, Jun. 29, (in millions of dollars) 2026 2025 2026 2025 Service cost $ 1.0 $ 1.0 $ 1.9 $ 2.0 Interest cost 4.0 4.2 8.0 8.4 Expected return on plan assets (5.9 ) (5.5 ) (11.8 ) (11.0 ) Amortization: Recognized net actuarial loss - 0.2 0.1 0.4 Net periodic benefit cost $ (0.9 ) $ (0.1 ) $ (1.8 ) $ (0.2 ) Postretirement Benefits Three Months Ended Six Months Ended Jul. 5, Jun. 29, Jul. 5, Jun. 29, (in millions of dollars) 2026 2025 2026 2025 Service cost $ - $ - $ - $ - Interest cost 0.1 - 0.1 - Amortization: Recognized net actuarial gain (0.1 ) (0.1 ) (0.2 ) (0.2 ) Net periodic benefit cost $ - $ (0.1 ) $ (0.1 ) $ (0.2 ) Amortization amounts of prior service costs and recognized net actuarial losses are recorded, net of tax, as increases to accumulated other comprehensive income. The Company expects to contribute approximately $10.8 million to its p …

PensionAndOtherPostretirementBenefitsDisclosureTextBlock · excerpt; the full note is in the filing

Note 4. Restructuring and Other Items In the second quarter of 2025, the Company recorded a $ 5.8 million charge in restructuring and other items for the write-down of assets and other charges relating to the consolidation of two facilities. In the first quarter of 2025, the Company initiated a cost savings program, primarily through workforce reductions, and recorded a charge of $5.5 million for severance and other related costs associated with this program. The following table outlines the amount of restructuring charges recorded within the Condensed Consolidated Statements of Income (Loss) and the segment they relate to: Three Months Ended Six Months Ended Jul. 5, Jun. 29, Jul. 5, Jun. 29, (in millions of dollars) 2026 2025 2026 2025 Write-down of assets Consumer & Specialties $ - $ 1.7 $ - $ 1.7 Engineered Solutions - 1.7 - 1.7 Total charge for asset write-downs $ - $ 3.4 $ - $ 3.4 Severance and other related costs Consumer & Specialties $ - $ 1.6 $ - $ 4.1 Engineered Solutions - 0.8 - 1.6 Corporate - - - 2.2 Total severance and other related costs $ - $ 2.4 $ - $ 7.9 Total restructuring and other items $ - $ 5.8 $ - $ 11.3 At July 5, 2026, the Company had $3.8 million included within other current liabilities in the Condensed Consolidated Balance Sheet for cash expenditures needed to satisfy remaining obligations under workforce reduction initiatives. The Company expects to pay these amounts within the next twelve months. The following table is a reconciliation o …

RestructuringAndRelatedActivitiesDisclosureTextBlock · excerpt; the full note is in the filing

Note 2. Revenue from Contracts with Customers The following table disaggregates our revenue by major source (product line) for the three and six-month periods ended July 5, 2026 and June 29, 2025: (in millions of dollars) Three Months Ended Six Months Ended Jul. 5, Jun. 29, Jul. 5, Jun. 29, Net Sales 2026 2025 2026 2025 Household & Personal Care $ 123.4 $ 127.4 $ 265.8 $ 250.5 Specialty Additives 151.1 150.3 305.3 295.5 Consumer & Specialties Segment 274.5 277.7 571.1 546.0 High-Temperature Technologies 190.3 178.4 373.6 347.8 Environmental & Infrastructure 83.6 72.8 150.6 126.9 Engineered Solutions Segment 273.9 251.2 524.2 474.7 Total net sales $ 548.4 $ 528.9 $ 1,095.3 $ 1,020.7

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Note 13. Segment and Related Information The Company determines its operating segments based on the discrete financial information that is regularly evaluated by its chief operating decision maker, our Chief Executive Officer, in deciding how to allocate resources and in assessing performance. The Companys operating segments are strategic business units that offer different products and serve different markets. They are managed separately and require different technology and marketing strategies. The Company has two reportable segments: Consumer & Specialties and Engineered Solutions. See Note 1 to the Condensed Consolidated Financial Statements. The Company evaluates performance based on the operating income of the respective business units. The costs deducted to arrive at operating profit do not include several items, such as net interest or income tax expense. Depreciation expense related to corporate assets is allocated to the business segments and is included in their income from operations. However, such corporate depreciable assets are not included in the segment assets. Intersegment sales and transfers are not significant. Segment revenues, expenses, operating income, and a reconciliation of the operating segment totals to the applicable line items on the Condensed Consolidated Financial Statements are as follows for the three and six-month periods ended July 5, 2026 and June 29, 2025: Three Months Ended Jul. 5, 2026 Jun. 29, 2025 Consumer & Engineered Consume …

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