NORTHBROOK, Ill., July 26,
2023 /PRNewswire/ -- Stepan Company (NYSE: SCL) today
reported:
Second Quarter Highlights
- Reported net income was $12.7
million, or $0.55 per diluted
share, versus a record $52.1 million,
or $2.26 per diluted share, in the
prior year. Adjusted net income* was $12.1
million, or $0.53 per diluted
share, versus $53.0 million, or
$2.30 per diluted share, in the prior
year. The decline in both reported and adjusted net income was
predominately due to a 19% reduction in sales volume versus the
prior year.
- Surfactant operating income was $15.1
million versus $48.2 million
in the prior year. This decrease was primarily due to a 15% decline
in global sales volume. The decline in sales volume was primarily
due to overall lower demand, customer and channel inventory
destocking, and the previously disclosed backward integration by
one customer, associated with the low 1,4 dioxane transition, in
the third quarter of 2022. In addition, unit margins were slightly
lower due to less favorable product mix, high-cost inventory
carryover and increased competitive pricing pressures in
Latin America.
- Polymer operating income was $16.3
million versus $33.9 million
in the prior year. This decrease was primarily due to a 29% decline
in global sales volume, including a 28% decline in Rigid Polyols.
The lower demand reflects continued customer and channel inventory
destocking and reduced construction-related activities. Global
Rigid Polyols volume improved sequentially each month during the
second quarter of 2023 and was up 9% versus the first quarter of
2023.
- Specialty Product operating income was $3.8 million versus $9.9
million in the prior year. This decrease was primarily
attributable to lower unit margins and sales volume within the
medium chain triglycerides (MCT) product line. The lower unit
margins were primarily due to high-cost inventory carryover.
- The effect of foreign currency translation had a negligible
impact on net income and earnings per diluted share, versus the
prior year.
- EBITDA** was $46.7 million during
the second quarter of 2023 versus $95.5
million in the prior year and $48.3
million in the first quarter of 2023. Adjusted EBITDA** was
$45.8 million versus $96.7 million in the prior year and $48.7 million in the first quarter of 2023. The
decline in both reported and adjusted EBITDA** was primarily due to
a 19% reduction in sales volume versus the prior year.
*
|
Adjusted net income
and adjusted earnings per share are non-GAAP measures which exclude
deferred compensation income/expense, cash-settled stock
appreciation rights (SARs) income/expense, certain environmental
remediation-related costs as well as other significant and
infrequent/non-recurring items. See Table II for reconciliations of
non-GAAP adjusted net income and adjusted earnings per diluted
share.
|
**
|
EBITDA and adjusted
EBITDA are non-GAAP measures. See Table VI for calculations
and GAAP reconciliations of EBITDA and adjusted
EBITDA.
|
First Half Highlights
- Reported net income was $28.8
million, or $1.25 per diluted
share, versus $96.9 million, or
$4.19 per diluted share, in the prior
year. Adjusted net income* was $28.5
million, or $1.24 per diluted
share, versus $93.7 million, or
$4.05 per diluted share, in the prior
year. Total Company sales volume was down 17% compared to the first
six months of 2022.
"The Company's second quarter and first half of the year
financial results were significantly lower than the record
quarterly results in both the first and second quarters of
2022. Lower sales volume due to demand softness across most
of our markets, continued inventory destocking and the backward
integration of one customer associated with the low 1,4 dioxane
transition drove the 17% sales volume reduction in the first half
of the year," said Scott Behrens,
President and Chief Executive Officer. "Specific to the
second quarter, Surfactant and Polymer unit margins were only
slightly lower versus the prior year due to less favorable product
mix. Specialty Product unit margins were significantly lower
due to high-cost inventory and pricing pressure related to
increased imports of MCTs into certain market
segments. Rigid Polyol volumes gradually improved
throughout the quarter. Surfactant volumes were
negatively impacted by unexpected destocking activity within our
Agricultural business. Cash expenses were slightly lower
versus prior year due to proactive headcount and discretionary
expense controls implemented earlier in the year and lower accruals
for incentive-based compensation."
Financial Summary
|
Three Months Ended
June 30
|
|
|
Six Months Ended
June 30
|
|
($ in thousands,
except per share data)
|
2023
|
|
|
2022
|
|
|
%
Change
|
|
|
2023
|
|
|
2022
|
|
|
%
Change
|
|
Net Sales
|
$
|
579,975
|
|
|
$
|
751,633
|
|
|
|
(23)
|
%
|
|
$
|
1,231,411
|
|
|
$
|
1,426,909
|
|
|
|
(14)
|
%
|
Operating
Income
|
$
|
17,809
|
|
|
$
|
77,640
|
|
|
|
(77)
|
%
|
|
$
|
38,866
|
|
|
$
|
140,986
|
|
|
|
(72)
|
%
|
Net Income
|
$
|
12,684
|
|
|
$
|
52,126
|
|
|
|
(76)
|
%
|
|
$
|
28,826
|
|
|
$
|
96,935
|
|
|
|
(70)
|
%
|
Earnings per Diluted
Share
|
$
|
0.55
|
|
|
$
|
2.26
|
|
|
|
(76)
|
%
|
|
$
|
1.25
|
|
|
$
|
4.19
|
|
|
|
(70)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net Income
*
|
$
|
12,057
|
|
|
$
|
53,009
|
|
|
|
(77)
|
%
|
|
$
|
28,476
|
|
|
$
|
93,736
|
|
|
|
(70)
|
%
|
Adjusted Earnings per
Diluted Share *
|
$
|
0.53
|
|
|
$
|
2.30
|
|
|
|
(77)
|
%
|
|
$
|
1.24
|
|
|
$
|
4.05
|
|
|
|
(69)
|
%
|
|
|
* See Table II for
reconciliations of non-GAAP adjusted net income and earnings per
diluted share.
|
|
Summary of Second Quarter Adjusted Net Income Items
Adjusted net income excludes non-operational deferred
compensation income/expense, cash-settled SARs income/expense,
certain environmental remediation costs and other significant and
infrequent or non-recurring items.
- Deferred Compensation: The 2023 second quarter reported
net income includes $0.7 million of
after-tax income versus $0.5 million
of after-tax expense in the prior year.
- Cash-Settled SARs: These management incentive
instruments provide cash to participants equal to the appreciation
on the price of specified shares of Company stock over a specified
period of time. Because income or expense is recognized merely on
the movement in the price of Company stock it has been excluded,
similar to deferred compensation, to arrive at adjusted net income.
The current year second quarter includes less than $0.1 million of after-tax income versus
$0.1 million of after-tax expense in
the prior year.
- Business Restructuring: The 2023 second quarter reported
net income includes less than $0.1
million of after-tax decommissioning expense related to the
Company's Canadian plant closure versus $0.1
million of after-tax expense in the prior year.
- Environmental Remediation – The second quarter of 2023
reported net income includes less than $0.1
million of after-tax expense versus $0.2 million of after-tax expense in the prior
year.
Percentage Change in Net Sales
Net sales in the second quarter of 2023 decreased 23%
year-over-year primarily due to a 19% decrease in global sales
volume. Lower selling prices negatively impacted net sales by
4% and largely reflect less favorable product mix and competitive
pressures.
|
|
Three Months Ended
June 30, 2023
|
|
|
Six Months Ended
June 30, 2023
|
|
Volume
|
|
|
(19)
|
%
|
|
|
(17)
|
%
|
Selling Price &
Mix
|
|
|
(4)
|
%
|
|
|
4
|
%
|
Foreign
Translation
|
|
|
0
|
%
|
|
|
(1)
|
%
|
Total
|
|
|
(23)
|
%
|
|
|
(14)
|
%
|
Segment Results
|
|
Three Months Ended
June 30
|
|
|
Six Months Ended
June 30
|
|
($ in
thousands)
|
|
2023
|
|
|
2022
|
|
|
%
Change
|
|
|
2023
|
|
|
2022
|
|
|
%
Change
|
|
Net
Sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Surfactants
|
|
$
|
391,686
|
|
|
$
|
485,084
|
|
|
|
(19)
|
%
|
|
$
|
859,514
|
|
|
$
|
953,350
|
|
|
|
(10)
|
%
|
Polymers
|
|
$
|
164,515
|
|
|
$
|
238,885
|
|
|
|
(31)
|
%
|
|
$
|
325,642
|
|
|
$
|
425,964
|
|
|
|
(24)
|
%
|
Specialty
Products
|
|
$
|
23,774
|
|
|
$
|
27,664
|
|
|
|
(14)
|
%
|
|
$
|
46,255
|
|
|
$
|
47,595
|
|
|
|
(3)
|
%
|
Total Net
Sales
|
|
$
|
579,975
|
|
|
$
|
751,633
|
|
|
|
(23)
|
%
|
|
$
|
1,231,411
|
|
|
$
|
1,426,909
|
|
|
|
(14)
|
%
|
|
|
|
Three Months Ended
June 30
|
|
|
Six Months Ended
June 30
|
|
($ in
thousands)
|
|
2023
|
|
|
2022
|
|
|
%
Change
|
|
|
2023
|
|
|
2022
|
|
|
%
Change
|
|
Operating
Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Surfactants
|
|
$
|
15,140
|
|
|
$
|
48,249
|
|
|
|
(69)
|
%
|
|
$
|
42,196
|
|
|
$
|
102,018
|
|
|
|
(59)
|
%
|
Polymers
|
|
$
|
16,321
|
|
|
$
|
33,912
|
|
|
|
(52)
|
%
|
|
$
|
26,325
|
|
|
$
|
48,041
|
|
|
|
(45)
|
%
|
Specialty
Products
|
|
$
|
3,773
|
|
|
$
|
9,866
|
|
|
|
(62)
|
%
|
|
$
|
6,302
|
|
|
$
|
13,561
|
|
|
|
(54)
|
%
|
Total Segment Operating
Income
|
|
$
|
35,234
|
|
|
$
|
92,027
|
|
|
|
(62)
|
%
|
|
$
|
74,823
|
|
|
$
|
163,620
|
|
|
|
(54)
|
%
|
Corporate
Expenses
|
|
$
|
(17,425)
|
|
|
$
|
(14,387)
|
|
|
|
21
|
%
|
|
$
|
(35,957)
|
|
|
$
|
(22,634)
|
|
|
|
59
|
%
|
Consolidated Operating
Income
|
|
$
|
17,809
|
|
|
$
|
77,640
|
|
|
|
(77)
|
%
|
|
$
|
38,866
|
|
|
$
|
140,986
|
|
|
|
(72)
|
%
|
Total segment operating income for the second quarter of 2023
decreased $56.8 million, or 62%,
versus the prior year quarter. Total segment operating income
in the first half of 2023 was down $88.8
million, or 54%, versus the prior year.
- Surfactant net sales were $391.7
million for the quarter, a 19% decrease versus the prior
year. Sales volume decreased 15% year-over-year primarily due to
overall lower demand, customer and channel inventory destocking,
and the previously disclosed backward integration by one customer,
associated with the low 1,4 dioxane transition, in the third
quarter of 2022. Selling prices were down 5% and foreign currency
translation positively impacted net sales by 1%. Surfactant
operating income for the quarter decreased $33.1 million, or 69%, versus the prior year.
This decrease is predominately due to the 15% decline in sales
volume. Additionally, unit margins were slightly lower due to less
favorable product mix, high-cost inventory carryover and increased
competitive pricing pressures in Latin
America. Higher expenses associated with the Company's
transition to low 1,4 dioxane capabilities and pre-operating
expenses associated with the Company's new alkoxylation production
facility that is being built in Pasadena,
Texas were also headwinds during the quarter.
- Polymer net sales were $164.5
million for the quarter, a 31% decrease versus the prior
year. Sales volume decreased 29% in the quarter primarily due to a
28% decline in Rigid Polyols and lower demand in the Specialty
Polyols and Phthalic Anhydride businesses. This was partially
offset by volume growth in China.
The lower demand reflects customer and channel inventory destocking
and lower construction-related activities. Selling prices decreased
3% and foreign currency translation positively impacted net sales
by 1%. Polymer operating income decreased $17.6 million, or 52%, primarily due to the 29%
decrease in global sales volume.
- Specialty Product net sales were $23.8
million for the quarter, a 14% decrease versus the prior
year. Sales volume was down 16% versus prior year while operating
income decreased $6.1 million, or
62%. The decline in operating income was primarily attributable to
lower unit margins and sales volume within the MCT product line.
The lower unit margins were primarily due to high-cost inventory
carryover.
|
|
Three Months Ended
June 30
|
|
|
%
Change
|
|
|
Six Months Ended
June 30
|
|
|
%
Change
|
|
($ in
millions)
|
|
2023
|
|
|
2022
|
|
|
|
|
|
2023
|
|
|
2022
|
|
|
|
|
EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Surfactants
|
|
$
|
31.1
|
|
|
$
|
61.6
|
|
|
|
(50)
|
%
|
|
$
|
73.5
|
|
|
$
|
128.6
|
|
|
|
(43)
|
%
|
Polymers
|
|
$
|
24.6
|
|
|
$
|
41.8
|
|
|
|
(41)
|
%
|
|
$
|
42.9
|
|
|
$
|
63.6
|
|
|
|
(33)
|
%
|
Specialty
Products
|
|
$
|
5.2
|
|
|
$
|
11.4
|
|
|
|
(54)
|
%
|
|
$
|
9.1
|
|
|
$
|
16.5
|
|
|
|
(45)
|
%
|
Unallocated Corporate
|
|
$
|
(14.2)
|
|
|
$
|
(19.3)
|
|
|
|
(26)
|
%
|
|
$
|
(30.6)
|
|
|
$
|
(28.5)
|
|
|
|
7
|
%
|
Consolidated
EBITDA
|
|
$
|
46.7
|
|
|
$
|
95.5
|
|
|
|
(51)
|
%
|
|
$
|
94.9
|
|
|
$
|
180.2
|
|
|
|
(47)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Surfactants
|
|
$
|
31.0
|
|
|
$
|
61.7
|
|
|
|
(50)
|
%
|
|
$
|
73.4
|
|
|
$
|
128.4
|
|
|
|
(43)
|
%
|
Polymers
|
|
$
|
24.6
|
|
|
$
|
41.8
|
|
|
|
(41)
|
%
|
|
$
|
42.9
|
|
|
$
|
63.5
|
|
|
|
(32)
|
%
|
Specialty
Products
|
|
$
|
5.2
|
|
|
$
|
11.4
|
|
|
|
(54)
|
%
|
|
$
|
9.1
|
|
|
$
|
16.5
|
|
|
|
(45)
|
%
|
Unallocated Corporate
|
|
$
|
(15.0)
|
|
|
$
|
(18.2)
|
|
|
|
(18)
|
%
|
|
$
|
(30.9)
|
|
|
$
|
(32.4)
|
|
|
|
(5)
|
%
|
Consolidated
Adjusted EBITDA
|
|
$
|
45.8
|
|
|
$
|
96.7
|
|
|
|
(53)
|
%
|
|
$
|
94.5
|
|
|
$
|
176.0
|
|
|
|
(46)
|
%
|
- Consolidated EBITDA was $46.7
million for the quarter, a 51% decrease versus the prior
year. Adjusted EBITDA was $45.8
million, a 53% decrease versus the prior year. The
year-over-year decrease in both EBITDA and Adjusted EBITDA was
primarily due to the decline in sales volume in the three business
segments. The second quarter of 2023 Adjusted EBITDA of
$45.8 million was slightly lower than
the $48.7 million of Adjusted EBITDA
reported in the first quarter of 2023.
Corporate Expenses
|
|
Three Months Ended
June 30
|
|
|
Six
Months Ended
June 30
|
|
($ in
thousands)
|
|
2023
|
|
|
2022
|
|
|
%
Change
|
|
|
2023
|
|
|
2022
|
|
|
%
Change
|
|
Total Corporate
Expenses
|
|
$
|
17,424
|
|
|
$
|
14,387
|
|
|
|
21
|
%
|
|
$
|
35,957
|
|
|
$
|
22,634
|
|
|
|
59
|
%
|
Excluded
Items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred
Compensation
|
|
$
|
(743)
|
|
|
$
|
3,406
|
|
|
NM
|
|
|
$
|
(2,245)
|
|
|
$
|
10,907
|
|
|
NM
|
|
Business Restructuring
Expense
|
|
$
|
(42)
|
|
|
$
|
(81)
|
|
|
|
(48)
|
%
|
|
$
|
(199)
|
|
|
$
|
(133)
|
|
|
|
50
|
%
|
Environmental Remediation
Expense
|
|
$
|
(52)
|
|
|
$
|
(327)
|
|
|
|
(84)
|
%
|
|
$
|
(461)
|
|
|
$
|
(630)
|
|
|
|
(27)
|
%
|
Adjusted Corporate
Expenses
|
|
$
|
16,587
|
|
|
$
|
17,385
|
|
|
|
(5)
|
%
|
|
$
|
33,052
|
|
|
$
|
32,778
|
|
|
|
1
|
%
|
|
* See Table III for
a discussion of deferred compensation plan
accounting.
|
- Corporate expenses, excluding deferred compensation, business
restructuring and certain environmental remediation costs,
decreased $0.8 million, or 5%, versus
the prior year quarter. This decrease was primarily due to lower
incentive-based compensation expenses that were partially offset by
higher salaries, mostly due to the reallocation of some employee
costs from the business units to corporate during the first quarter
of 2023, insurance and inflation.
Income Taxes
The Company's effective tax rate was 20.4% in the first half of
2023 versus 24.8% in the first half of 2022. This decrease
was primarily attributable to more favorable tax benefits derived
from stock-based compensation awards exercised or distributed in
the first half of 2023 versus the first half of 2022.
Shareholder Return
The Company paid $8.2 million of
dividends to shareholders in the second quarter of 2023 and
$16.3 million of dividends to
shareholders during the first six months of 2023. The Company
has not repurchased any Company stock during the first half of 2023
and has $125.1 million remaining
under the share repurchase program authorized by its Board of
Directors. The Company has increased its dividend on the Company's
common stock for 55 consecutive years.
Selected Balance Sheet Information
The Company's total debt decreased by $28.4 million and cash increased by $6.9 million versus March
31, 2023. The decrease in debt primarily reflects
scheduled debt repayments in June
2023 and lower borrowings against the Company's revolving
credit facility. The Company's net debt level decreased
$35.3 million versus March 31, 2023 and the net debt ratio decreased
from 33% to 31% in the quarter (Net Debt and Net Debt
Ratio are non-GAAP measures).
($ in
millions)
|
6/30/23
|
|
|
3/31/2023
|
|
|
12/31/2022
|
|
Net Debt
|
|
|
|
|
|
|
|
|
Total Debt
|
$
|
682.6
|
|
|
$
|
711.0
|
|
|
$
|
587.1
|
|
Cash
|
|
133.9
|
|
|
|
127.0
|
|
|
|
173.8
|
|
Net Debt
|
$
|
548.7
|
|
|
$
|
584.0
|
|
|
$
|
413.3
|
|
Equity
|
|
1,215.1
|
|
|
|
1,189.9
|
|
|
|
1,166.1
|
|
Net Debt +
Equity
|
$
|
1,763.8
|
|
|
$
|
1,773.9
|
|
|
$
|
1,579.4
|
|
Net Debt / (Net Debt +
Equity)
|
|
31
|
%
|
|
|
33
|
%
|
|
|
26
|
%
|
The major working capital components were:
($ in
millions)
|
6/30/23
|
|
|
3/31/23
|
|
|
12/31/22
|
|
Net
Receivables
|
$
|
423.4
|
|
|
$
|
470.3
|
|
|
$
|
436.9
|
|
Inventories
|
|
340.0
|
|
|
|
368.4
|
|
|
|
402.5
|
|
Accounts
Payable
|
|
(287.6)
|
|
|
|
(289.1)
|
|
|
|
(375.7)
|
|
Total
|
$
|
475.8
|
|
|
$
|
549.6
|
|
|
$
|
463.7
|
|
Capital spending was $67.7 million
during the quarter and $159.9 million
during the first half of 2023. This compares to $69.2 million and $129.5
million, respectively, in the prior year. The first half
year-over-year increase is primarily due to increased expenditures
in the U.S. for the advancement of the Company's new alkoxylation
facility in Pasadena, Texas and
new capability and capacity to produce ether sulfates that meet new
regulatory limits on 1,4 dioxane. Capital spending in the
second half of 2023 is expected to be in the range of $80 million to $90
million, down substantially versus the first six months of
2023, as spending on low 1,4 dioxane investments nears completion
and lower capital outlays are anticipated for the new alkoxylation
facility versus those incurred during the first half of the
year. For the full year, capital expenditures are expected to
be in the range of $240 million to
$250 million.
Outlook
"Looking forward, we continue to believe second half of the
year volume and margins will incrementally improve versus the first
half of 2023, driven by the continued gradual recovery in Rigid
Polyol demand, growth in Surfactant volumes associated with new
contracted business and sequentially lower raw material costs,"
said Scott Behrens, President and
Chief Executive Officer. "Further cost control and cash
management initiatives are underway given the current business
performance and include a voluntary early retirement program for
eligible employees at our corporate headquarters and a plan to
reduce inventory levels by an additional $40
million during the remainder of the year.
Additionally, capital spending in the second half of the year is
projected to be in the range of $80
to $90 million, down from the record
$160 million spent in the first half
of the year, due to the expected completion of our low 1,4 dioxane
investments in the coming weeks and lower second half capital
spending required to complete our Pasadena alkoxylation investment which is
expected to be operational mid-year 2024. While we
acknowledge the current environment has been challenging, we remain
confident in our long-term strategic growth and innovation
initiatives."
Conference Call
Stepan Company will host a conference call to discuss its second
quarter results at 9:00 a.m. ET
(8:00 a.m. CT) on July 26, 2023. The call can be accessed by phone
and webcast. To access the call by phone, please click on this
Registration Link, complete the form and you will be provided with
dial in details and a PIN. To avoid delays, we encourage
participants to dial into the conference call ten minutes ahead of
the scheduled start time. The webcast can be accessed through
the Investors/Conference Calls page at www.stepan.com. A
webcast replay of the conference call will be available at the same
location shortly after the call.
Supporting Slides
Slides supporting this press release will be made available at
www.stepan.com through the Investors/Presentations page
at approximately the same time as this press release is issued.
Corporate Profile
Stepan Company is a major manufacturer of specialty and
intermediate chemicals used in a broad range of industries. Stepan
is a leading merchant producer of surfactants, which are the key
ingredients in consumer and industrial cleaning and disinfection
compounds and in agricultural and oilfield solutions. The Company
is also a leading supplier of polyurethane polyols used in the
expanding thermal insulation market, and CASE (Coatings, Adhesives,
Sealants, and Elastomers) industries.
Headquartered in Northbrook,
Illinois, Stepan utilizes a network of modern production
facilities located in North and South
America, Europe and
Asia.
The Company's common stock is traded on the New York Stock
Exchange (NYSE) under the symbol SCL. For more information about
Stepan Company please visit the Company online at
www.stepan.com
More information about Stepan's sustainability program can be
found on the Sustainability page at www.stepan.com
Contact: Luis E. Rojo
847-446-7500
Certain information in this news release consists of
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995, Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. These statements
include statements about Stepan Company's plans, objectives,
strategies, financial performance and outlook, trends, the amount
and timing of future cash distributions, prospects or future events
and involve known and unknown risks that are difficult to predict.
As a result, Stepan Company's actual financial results,
performance, achievements or prospects may differ materially from
those expressed or implied by these forward-looking statements. In
some cases, you can identify forward-looking statements by the use
of words such as "may," "could," "expect," "intend," "plan,"
"seek," "anticipate," "believe," "estimate," "guidance," "predict,"
"potential," "continue," "likely," "will," "would," "should,"
"illustrative" and variations of these terms and similar
expressions, or the negative of these terms or similar expressions.
Such forward-looking statements are necessarily based upon
estimates and assumptions that, while considered reasonable by
Stepan Company and its management based on their knowledge and
understanding of the business and industry, are inherently
uncertain. These statements are not guarantees of future
performance, and stockholders should not place undue reliance on
forward-looking statements.
There are a number of risks, uncertainties and other
important factors, many of which are beyond Stepan Company's
control, that could cause actual results to differ materially from
the forward-looking statements contained in this news release. Such
risks, uncertainties and other important factors include, among
other factors, the risks, uncertainties and factors described in
Stepan Company's Form 10-K, Form 10-Q and Form 8-K reports and
exhibits to those reports, and include (but are not limited to)
risks and uncertainties related to accidents, unplanned
production shutdowns or disruptions in manufacturing facilities;
reduced demand due to customer product reformulations or new
technologies; our inability to successfully develop or introduce
new products; compliance with laws; our ability to identify
suitable acquisition candidates and successfully complete and
integrate acquisitions; global competition; volatility of raw
material and energy costs and supply; disruptions in transportation
or significant changes in transportation costs; downturns in
certain industries and general economic downturns; international
business risks, including currency exchange rate fluctuations,
legal restrictions and taxes; unfavorable resolution of litigation
against us; maintaining and protecting intellectual property
rights; our ability to access capital markets; global political,
military, security or other instability; costs related to expansion
or other capital projects; interruption or breaches of information
technology systems; our ability to retain executive management and
key personnel; and our debt covenants.
These forward-looking statements are made only as of the date
hereof, and Stepan Company undertakes no obligation to update or
revise these forward-looking statements, whether as a result of new
information, future events or otherwise.
Tables follow
Table
I
|
STEPAN COMPANY For the Three and
Six Months Ended June 30, 2023 and 2022 (Unaudited – in
000's, except per share data)
|
|
|
|
Three Months Ended
June 30
|
|
|
Six Months Ended
June 30
|
|
|
|
2023
|
|
|
2022
|
|
|
2023
|
|
|
2022
|
|
Net
Sales
|
|
$
|
579,975
|
|
|
$
|
751,633
|
|
|
$
|
1,231,411
|
|
|
$
|
1,426,909
|
|
Cost of
Sales
|
|
|
513,578
|
|
|
|
620,019
|
|
|
|
1,091,454
|
|
|
|
1,186,076
|
|
Gross
Profit
|
|
|
66,397
|
|
|
|
131,614
|
|
|
|
139,957
|
|
|
|
240,833
|
|
Operating
Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling
|
|
|
11,109
|
|
|
|
15,552
|
|
|
|
24,176
|
|
|
|
30,829
|
|
Administrative
|
|
|
22,589
|
|
|
|
24,079
|
|
|
|
45,228
|
|
|
|
45,651
|
|
Research, Development
and Technical Services
|
|
|
14,105
|
|
|
|
16,690
|
|
|
|
29,243
|
|
|
|
33,163
|
|
Deferred Compensation
(Income) Expense
|
|
|
743
|
|
|
|
(3,406)
|
|
|
|
2,245
|
|
|
|
(10,907)
|
|
|
|
|
48,546
|
|
|
|
52,915
|
|
|
|
100,892
|
|
|
|
98,736
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Goodwill Impairment
|
|
|
-
|
|
|
|
978
|
|
|
|
-
|
|
|
|
978
|
|
Business
Restructuring
|
|
|
42
|
|
|
|
81
|
|
|
|
199
|
|
|
|
133
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Income
|
|
|
17,809
|
|
|
|
77,640
|
|
|
|
38,866
|
|
|
|
140,986
|
|
Other Income
(Expense):
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest,
Net
|
|
|
(3,865)
|
|
|
|
(2,727)
|
|
|
|
(6,687)
|
|
|
|
(5,033)
|
|
Other, Net
|
|
|
2,370
|
|
|
|
(5,369)
|
|
|
|
4,038
|
|
|
|
(7,019)
|
|
|
|
|
(1,495)
|
|
|
|
(8,096)
|
|
|
|
(2,649)
|
|
|
|
(12,052)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income Before Income
Taxes
|
|
|
16,314
|
|
|
|
69,544
|
|
|
|
36,217
|
|
|
|
128,934
|
|
Provision for Income
Taxes
|
|
|
3,630
|
|
|
|
17,418
|
|
|
|
7,391
|
|
|
|
31,999
|
|
Net
Income
|
|
|
12,684
|
|
|
|
52,126
|
|
|
|
28,826
|
|
|
|
96,935
|
|
Net Income Per
Common Share
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.56
|
|
|
$
|
2.29
|
|
|
$
|
1.27
|
|
|
$
|
4.24
|
|
Diluted
|
|
$
|
0.55
|
|
|
$
|
2.26
|
|
|
$
|
1.25
|
|
|
$
|
4.19
|
|
Shares Used to
Compute Net Income Per Common
Share
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
22,768
|
|
|
|
22,792
|
|
|
|
22,763
|
|
|
|
22,842
|
|
Diluted
|
|
|
22,945
|
|
|
|
23,055
|
|
|
|
22,970
|
|
|
|
23,115
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table
II
|
Reconciliation of
Non-GAAP Net Income and Earnings per Diluted Share*
|
|
|
|
Three Months Ended
June 30
|
|
|
Six Months Ended
June 30
|
|
($ in thousands,
except per share amounts)
|
|
2023
|
|
|
EPS
|
|
|
2022
|
|
|
EPS
|
|
|
2023
|
|
|
EPS
|
|
|
2022
|
|
|
EPS
|
|
Net Income
Reported
|
|
$
|
12,684
|
|
|
$
|
0.55
|
|
|
$
|
52,126
|
|
|
$
|
2.26
|
|
|
$
|
28,826
|
|
|
$
|
1.25
|
|
|
$
|
96,935
|
|
|
$
|
4.19
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred Compensation
(Income) Expense
|
|
$
|
(653)
|
|
|
$
|
(0.02)
|
|
|
$
|
518
|
|
|
$
|
0.02
|
|
|
$
|
(757)
|
|
|
$
|
(0.03)
|
|
|
$
|
(3,431)
|
|
|
$
|
(0.15)
|
|
Business Restructuring
Expense
|
|
$
|
31
|
|
|
$
|
-
|
|
|
$
|
61
|
|
|
$
|
0.01
|
|
|
$
|
146
|
|
|
$
|
0.01
|
|
|
$
|
100
|
|
|
$
|
0.01
|
|
Cash-Settled SARs
(Income) Expense
|
|
$
|
(44)
|
|
|
$
|
-
|
|
|
$
|
55
|
|
|
$
|
-
|
|
|
$
|
(84)
|
|
|
$
|
-
|
|
|
$
|
(347)
|
|
|
$
|
(0.02)
|
|
Environmental
Remediation Expense
|
|
$
|
39
|
|
|
$
|
-
|
|
|
$
|
249
|
|
|
$
|
0.01
|
|
|
$
|
345
|
|
|
$
|
0.01
|
|
|
$
|
479
|
|
|
$
|
0.02
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net
Income
|
|
$
|
12,057
|
|
|
$
|
0.53
|
|
|
$
|
53,009
|
|
|
$
|
2.30
|
|
|
$
|
28,476
|
|
|
$
|
1.24
|
|
|
$
|
93,736
|
|
|
$
|
4.05
|
|
|
|
*
|
All amounts in this
table are presented after-tax
|
The Company believes that certain measures that are not in
accordance with generally accepted accounting principles (GAAP),
when presented in conjunction with comparable GAAP measures, are
useful for evaluating the Company's operating performance and
provide better clarity on the impact of non-operational
items. Internally, the Company uses this non-GAAP information
as an indicator of business performance and evaluates management's
effectiveness with specific reference to these indicators.
These measures should be considered in addition to, and are neither
a substitute for, nor superior to, measures of financial
performance prepared in accordance with GAAP.
Reconciliation of
Pre-Tax to After-Tax Adjustments
|
|
|
|
Three Months Ended
June 30
|
|
|
Six Months Ended
June 30
|
|
($ in thousands,
except per share amounts)
|
|
2023
|
|
|
EPS
|
|
|
2022
|
|
|
EPS
|
|
|
2023
|
|
|
EPS
|
|
|
2022
|
|
|
EPS
|
|
Pre-Tax
Adjustments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred Compensation
(Income) Expense
|
|
$
|
(871)
|
|
|
|
|
|
$
|
681
|
|
|
|
|
|
$
|
(1,009)
|
|
|
|
|
|
$
|
(4,514)
|
|
|
|
|
Business Restructuring
Expense
|
|
$
|
42
|
|
|
|
|
|
$
|
81
|
|
|
|
|
|
$
|
199
|
|
|
|
|
|
$
|
133
|
|
|
|
|
Cash-Settled SARs
(Income) Expense
|
|
$
|
(58)
|
|
|
|
|
|
$
|
73
|
|
|
|
|
|
$
|
(111)
|
|
|
|
|
|
$
|
(455)
|
|
|
|
|
Environmental
Remediation Expense
|
|
$
|
52
|
|
|
|
|
|
$
|
327
|
|
|
|
|
|
$
|
461
|
|
|
|
|
|
$
|
630
|
|
|
|
|
Total
Pre-Tax Adjustments
|
|
$
|
(835)
|
|
|
|
|
|
$
|
1,162
|
|
|
|
|
|
$
|
(460)
|
|
|
|
|
|
$
|
(4,206)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cumulative Tax Effect
on Adjustments
|
|
$
|
208
|
|
|
|
|
|
$
|
(279)
|
|
|
|
|
|
$
|
110
|
|
|
|
|
|
$
|
1,007
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
After-Tax
Adjustments
|
|
$
|
(627)
|
|
|
$
|
(0.02)
|
|
|
$
|
883
|
|
|
$
|
0.04
|
|
|
$
|
(350)
|
|
|
$
|
(0.01)
|
|
|
$
|
(3,199)
|
|
|
$
|
(0.14)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table
III
|
Deferred
Compensation Plans
|
|
The full effect of the
deferred compensation plans on quarterly pre-tax income was $0.9
million of income versus $0.7 million of expense in the prior year.
The year-to-date impact was $1.0 million of income versus $4.5
million of income in the prior year. The accounting for the
deferred compensation plans results in operating income when the
price of Stepan Company
common stock or mutual funds held in the plans fall and expense
when they rise. The Company also recognizes the change in
value of mutual funds as investment income or loss. The
quarter end market prices of Company common stock were as
follows:
|
|
|
|
2023
|
|
|
2022
|
|
|
|
12/31
|
|
9/30
|
|
6/30
|
|
|
3/31
|
|
|
12/31
|
|
|
9/30
|
|
|
6/30
|
|
|
3/31
|
|
Stepan
Company
|
|
N/A
|
|
N/A
|
|
$
|
95.56
|
|
|
$
|
103.03
|
|
|
$
|
106.46
|
|
|
$
|
93.67
|
|
|
$
|
101.35
|
|
|
$
|
98.81
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The deferred compensation income statement impact is summarized
below:
|
|
Three Months Ended
June 30
|
|
|
Six Months Ended
June 30
|
|
($ in
thousands)
|
|
2023
|
|
|
2022
|
|
|
2023
|
|
|
2022
|
|
Deferred
Compensation
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Income
(Expense)
|
|
$
|
(743)
|
|
|
$
|
3,406
|
|
|
$
|
(2,245)
|
|
|
$
|
10,907
|
|
Other, net – Mutual
Fund Gain (Loss)
|
|
|
1,614
|
|
|
|
(4,087)
|
|
|
|
3,254
|
|
|
|
(6,393)
|
|
Total
Pretax
|
|
$
|
871
|
|
|
$
|
(681)
|
|
|
$
|
1,009
|
|
|
$
|
4,514
|
|
Total After
Tax
|
|
$
|
653
|
|
|
$
|
(518)
|
|
|
$
|
757
|
|
|
$
|
3,431
|
|
Table
IV
|
Effects of Foreign
Currency Translation
|
|
The Company's foreign
subsidiaries transact business and report financial results in
their respective local currencies. As a result, foreign subsidiary
income statements are translated into U.S. dollars at average
foreign exchange rates appropriate for the reporting period.
Because foreign currency exchange rates fluctuate against the U.S.
dollar over time, foreign currency translation affects
period-to-period comparisons of financial statement items (i.e.,
because foreign exchange rates fluctuate, similar period-to-period
local currency results for a foreign subsidiary may translate into
different U.S. dollar results). Below is a table that
presents the impact that foreign currency translation had on the
changes in consolidated net sales and various income statement line
items for the three and six month periods ending June 30, 2023 as
compared to 2022:
|
|
($ in
millions)
|
|
Three Months Ended
June 30
|
|
|
Decrease
|
|
|
Change
Due to
Foreign
Currency
Translation
|
|
|
Six Months Ended
June 30
|
|
|
Decrease
|
|
|
Change
Due to
Foreign
Currency
Translation
|
|
|
|
2023
|
|
|
2022
|
|
|
|
|
|
|
|
|
2023
|
|
|
2022
|
|
|
|
|
|
|
|
Net Sales
|
|
$
|
579.98
|
|
|
$
|
751.63
|
|
|
$
|
(171.60)
|
|
|
$
|
4.40
|
|
|
$
|
1,231.41
|
|
|
$
|
1,426.91
|
|
|
$
|
(195.50)
|
|
|
$
|
(8.05)
|
|
Gross Profit
|
|
|
66.4
|
|
|
|
131.6
|
|
|
|
(65.2)
|
|
|
|
0.5
|
|
|
|
140.0
|
|
|
|
240.8
|
|
|
|
(100.8)
|
|
|
|
(1.1)
|
|
Operating
Income
|
|
|
17.8
|
|
|
|
77.6
|
|
|
|
(59.8)
|
|
|
|
0.3
|
|
|
|
38.9
|
|
|
|
141.0
|
|
|
|
(102.1)
|
|
|
|
(0.8)
|
|
Pretax
Income
|
|
|
16.3
|
|
|
|
69.5
|
|
|
|
(53.2)
|
|
|
|
0.2
|
|
|
|
36.2
|
|
|
|
128.9
|
|
|
|
(92.7)
|
|
|
|
(0.9)
|
|
Table V
|
Stepan Company Consolidated Balance
Sheets June 30, 2023 and December 31, 2022
|
|
|
|
June 30,
2023
|
|
|
December 31,
2022
|
|
ASSETS
|
|
|
|
|
|
|
Current
Assets
|
|
$
|
938,722
|
|
|
$
|
1,044,802
|
|
Property, Plant &
Equipment, Net
|
|
|
1,165,784
|
|
|
|
1,073,297
|
|
Other Assets
|
|
|
326,312
|
|
|
|
315,073
|
|
Total Assets
|
|
$
|
2,430,818
|
|
|
$
|
2,433,172
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
|
|
|
Current
Liabilities
|
|
$
|
642,037
|
|
|
$
|
670,649
|
|
Deferred Income
Taxes
|
|
|
9,071
|
|
|
|
10,179
|
|
Long-term
Debt
|
|
|
438,269
|
|
|
|
455,029
|
|
Other Non-current
Liabilities
|
|
|
126,344
|
|
|
|
131,250
|
|
Total Stepan Company
Stockholders' Equity
|
|
|
1,215,097
|
|
|
|
1,166,065
|
|
Total Liabilities and
Stockholders' Equity
|
|
$
|
2,430,818
|
|
|
$
|
2,433,172
|
|
Table
VI
|
Reconciliations of Non-GAAP EBITDA and
Adjusted EBITDA to Operating Income
|
|
|
|
Three Months Ended
June 30, 2023
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
($ in
millions)
|
|
Surfactants
|
|
|
Polymers
|
|
|
Specialty
Products
|
|
|
Unallocated
Corporate
|
|
|
Consolidated
|
|
Operating
Income
|
|
$
|
15.1
|
|
|
$
|
16.3
|
|
|
$
|
3.8
|
|
|
$
|
(17.4)
|
|
|
$
|
17.8
|
|
Depreciation and Amortization
|
|
$
|
16.0
|
|
|
$
|
8.3
|
|
|
$
|
1.4
|
|
|
$
|
0.8
|
|
|
$
|
26.5
|
|
Other, Net
Income (Expense)
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
2.4
|
|
|
$
|
2.4
|
|
EBITDA
|
|
$
|
31.1
|
|
|
$
|
24.6
|
|
|
$
|
5.2
|
|
|
$
|
(14.2)
|
|
|
$
|
46.7
|
|
Deferred
Compensation
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
(0.9)
|
|
|
$
|
(0.9)
|
|
Cash
Settled SARs
|
|
$
|
(0.1)
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
(0.1)
|
|
Business
Restructuring
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
Environmental Remediation
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
0.1
|
|
|
$
|
0.1
|
|
Adjusted
EBITDA
|
|
$
|
31.0
|
|
|
$
|
24.6
|
|
|
$
|
5.2
|
|
|
$
|
(15.0)
|
|
|
$
|
45.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30, 2022
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
($ in
millions)
|
|
Surfactants
|
|
|
Polymers
|
|
|
Specialty
Products
|
|
|
Unallocated
Corporate
|
|
|
Consolidated
|
|
Operating
Income
|
|
$
|
48.2
|
|
|
$
|
33.9
|
|
|
$
|
9.9
|
|
|
$
|
(14.4)
|
|
|
$
|
77.6
|
|
Depreciation and Amortization
|
|
$
|
13.4
|
|
|
$
|
7.9
|
|
|
$
|
1.5
|
|
|
$
|
0.5
|
|
|
$
|
23.3
|
|
Other, Net
Income (Expense)
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
(5.4)
|
|
|
$
|
(5.4)
|
|
EBITDA
|
|
$
|
61.6
|
|
|
$
|
41.8
|
|
|
$
|
11.4
|
|
|
$
|
(19.3)
|
|
|
$
|
95.5
|
|
Deferred
Compensation
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
0.7
|
|
|
$
|
0.7
|
|
Cash
Settled SARs
|
|
$
|
0.1
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
0.1
|
|
Business
Restructuring
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
0.1
|
|
|
$
|
0.1
|
|
Environmental Remediation
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
0.3
|
|
|
$
|
0.3
|
|
Adjusted
EBITDA
|
|
$
|
61.7
|
|
|
$
|
41.8
|
|
|
$
|
11.4
|
|
|
$
|
(18.2)
|
|
|
$
|
96.7
|
|
|
|
|
|
Six Months Ended
June 30, 2023
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
($ in
millions)
|
|
Surfactants
|
|
|
Polymers
|
|
|
Specialty
Products
|
|
|
Unallocated
Corporate
|
|
|
Consolidated
|
|
Operating
Income
|
|
$
|
42.2
|
|
|
$
|
26.3
|
|
|
$
|
6.3
|
|
|
$
|
(35.9)
|
|
|
$
|
38.9
|
|
Depreciation and Amortization
|
|
$
|
31.3
|
|
|
$
|
16.6
|
|
|
$
|
2.8
|
|
|
$
|
1.3
|
|
|
$
|
52.0
|
|
Other, Net
Income (Expense)
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
4.0
|
|
|
$
|
4.0
|
|
EBITDA
|
|
$
|
73.5
|
|
|
$
|
42.9
|
|
|
$
|
9.1
|
|
|
$
|
(30.6)
|
|
|
$
|
94.9
|
|
Deferred
Compensation
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
(1.0)
|
|
|
$
|
(1.0)
|
|
Cash
Settled SARs
|
|
$
|
(0.1)
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
(0.1)
|
|
Business
Restructuring
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
0.2
|
|
|
$
|
0.2
|
|
Environmental Remediation
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
0.5
|
|
|
$
|
0.5
|
|
Adjusted
EBITDA
|
|
$
|
73.4
|
|
|
$
|
42.9
|
|
|
$
|
9.1
|
|
|
$
|
(30.9)
|
|
|
$
|
94.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30, 2022
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
($ in
millions)
|
|
Surfactants
|
|
|
Polymers
|
|
|
Specialty
Products
|
|
|
Unallocated
Corporate
|
|
|
Consolidated
|
|
Operating
Income
|
|
$
|
102.0
|
|
|
$
|
48.0
|
|
|
$
|
13.6
|
|
|
$
|
(22.6)
|
|
|
$
|
141.0
|
|
Depreciation and Amortization
|
|
$
|
26.6
|
|
|
$
|
15.6
|
|
|
$
|
2.9
|
|
|
$
|
1.1
|
|
|
$
|
46.2
|
|
Other, Net
Income (Expense)
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
(7.0)
|
|
|
$
|
(7.0)
|
|
EBITDA
|
|
$
|
128.6
|
|
|
$
|
63.6
|
|
|
$
|
16.5
|
|
|
$
|
(28.5)
|
|
|
$
|
180.2
|
|
Deferred
Compensation
|
|
|
|
|
|
|
|
|
|
|
$
|
(4.5)
|
|
|
$
|
(4.5)
|
|
Cash
Settled SARs
|
|
$
|
(0.2)
|
|
|
$
|
(0.1)
|
|
|
$
|
-
|
|
|
$
|
(0.1)
|
|
|
$
|
(0.4)
|
|
Business
Restructuring
|
|
|
|
|
|
|
|
|
|
|
$
|
0.1
|
|
|
$
|
0.1
|
|
Environmental Remediation
|
|
|
|
|
|
|
|
|
|
|
$
|
0.6
|
|
|
$
|
0.6
|
|
Adjusted
EBITDA
|
|
$
|
128.4
|
|
|
$
|
63.5
|
|
|
$
|
16.5
|
|
|
$
|
(32.4)
|
|
|
$
|
176.0
|
|
View original
content:https://www.prnewswire.com/news-releases/stepan-reports-second-quarter-results-301885950.html
SOURCE Stepan Company