Annual report pursuant to Section 13 and 15(d)

Reportable Segments (Tables)

v3.24.0.1
Reportable Segments (Tables)
 12 Months Ended
Dec. 31, 2023
Segment Reporting [Abstract]  
Reconciliation of Revenue from Reportable Segments to Consolidated
Summarized financial information for the Company’s reportable segments is shown in the following table:
Years ended
December 31,
2023 2022 2021
Sales:
Ecoservices $ 584,845  $ 702,472  $ 500,513 
Advanced Materials & Catalysts(1)
106,273  117,687  110,688 
Total $ 691,118  $ 820,159  $ 611,201 
Adjusted EBITDA:(2)
Ecoservices $ 199,966  $ 227,760  $ 177,672 
Advanced Materials & Catalysts(3)
81,892  77,978  88,028 
Adjusted EBITDA from reportable segments $ 281,858  $ 305,738  $ 265,700 
(1)Excludes the Company’s proportionate share of sales from the Zeolyst Joint Venture accounted for using the equity method. The proportionate share of sales excluded is $156,481, $132,588 and $131,332 for the years ended December 31, 2023, 2022 and 2021, respectively.
(2)The Company defines Adjusted EBITDA as EBITDA adjusted for certain items as noted in the reconciliation below. Management evaluates the performance of its segments and allocates resources based on several factors, of which the primary measure is Adjusted EBITDA. Adjusted EBITDA should not be considered as an alternative to net income as an indicator of the Company’s operating performance. Adjusted EBITDA as defined by the Company may not be comparable with EBITDA or Adjusted EBITDA as defined by other companies.
(3)     The Adjusted EBITDA from the Zeolyst Joint Venture included in the Advanced Materials & Catalysts segment is $50,490 for the year ended December 31, 2023, which includes $30,695 of equity in net income plus $6,403 of amortization of investment in affiliate step-up plus $13,392 of joint venture depreciation, amortization and interest.
The Adjusted EBITDA from the Zeolyst Joint Venture included in the Advanced Materials & Catalysts segment is $50,331 for the year ended December 31, 2022, which includes $27,931 of equity in net income plus $6,403 of amortization of investment in affiliate step-up plus $15,997 of joint venture depreciation, amortization and interest.
The Adjusted EBITDA from the Zeolyst Joint Venture included in the Advanced Materials & Catalysts segment is $49,872 for the year ended December 31, 2021, which includes $27,827 of equity in net income plus $6,480 of amortization of investment in affiliate step-up plus $15,565 of joint venture depreciation, amortization and interest.
Reconciliation of Net Income to Segment Adjusted EBITDA
A reconciliation of income from continuing operations before income taxes to Adjusted EBITDA from reportable segments is as follows:
Years ended
December 31,
2023 2022 2021
Reconciliation of income from continuing operations before income taxes to Adjusted EBITDA from reportable segments
Income from continuing operations before income taxes $ 81,939  $ 94,735  $ 13,941 
Interest expense, net 44,730  37,217  36,990 
Depreciation and amortization 84,598  79,163  79,741 
Unallocated corporate expenses 21,990  29,042  38,089 
Joint venture depreciation, amortization and interest 13,392  15,997  15,565 
Amortization of investment in affiliate step-up 6,403  6,402  6,480 
Debt extinguishment costs —  —  26,902 
Net loss on asset disposals 4,137  3,594  5,666 
Foreign currency exchange loss (gain) (1,340) 1,388  4,716 
LIFO benefit 3,473  (165) (1,931)
Transaction and other related costs 2,954  6,988  2,009 
Equity-based compensation 16,031  20,632  31,838 
Restructuring, integration and business optimization expenses 2,655  11,566  3,866 
Other 896  (821) 1,828 
Adjusted EBITDA from reportable segments $ 281,858  $ 305,738  $ 265,700 
Capital Expenditures from Segment to Consolidated
Capital expenditures for the Company’s reportable segments are shown in the following table:
  Years ended
December 31,
  2023 2022 2021
Capital expenditures:    
Ecoservices $ 53,705  $ 47,770  $ 43,561 
Advanced Materials & Catalysts(1)
8,441  8,194  15,997 
Corporate(2)
3,189  2,906  487 
Capital expenditures per the consolidated statements of cash flows $ 65,335  $ 58,870  $ 60,045 
(1)    Excludes the Company’s proportionate share of capital expenditures from the Zeolyst Joint Venture.
(2)    Includes corporate capital expenditures, the cash impact from changes in capital expenditures in accounts payable and capitalized interest.
Revenue from External Customers by Geographic Areas
Sales by geographic area are presented in the following table. Sales are attributed to countries based upon location of products shipped.
Years ended
December 31,
2023 2022 2021
Sales(1):
   
United States $ 649,652  $ 774,119  $ 571,587 
Foreign countries 41,466  46,040  39,614 
Total $ 691,118  $ 820,159  $ 611,201 
(1)    Except for the United States, no sales in an individual country exceeded 10% of the Company’s total sales.
The Company sold products through its Ecoservices and Advanced Materials & Catalysts segments to single customer, which accounted for 13.2%, 12.3% and 12.6% of the Company’s total sales as of December 31, 2023, 2022, and 2021 respectively.
Long-lived Assets by Geographic Areas
Long-lived assets by geographic area is presented in the following table. Long-lived assets includes property, plant and equipment, net and right-of-use lease assets.

December 31,
2023 2022
Long-lived assets:    
United States $ 575,536  $ 587,726 
Foreign countries 25,649  25,428 
Total $ 601,185  $ 613,154