Quarterly report pursuant to Section 13 or 15(d)

Industry Segments

v3.22.1
Industry Segments
 3 Months Ended
Mar. 31, 2022
Segment Reporting [Abstract]  
Industry Segments Industry Segments
The Company's business is divided into two reportable operating segments, the Metals Segment and the Specialty Chemicals Segment. The Metals Segment operates as three reporting units that include Bristol Metals, LLC ("BRISMET") and American Stainless Tubing, LLC ("ASTI") (collectively "Welded Pipe & Tube"), Palmer of Texas Tanks, Inc. ("Palmer"), and Specialty Pipe & Tube, Inc. ("Specialty"). As discussed in Note 4, the Company permanently ceased operations at Palmer as of December 31, 2021 and have classified the remaining assets as held for sale. The results of operations for this business are included within the Metals Segment for all periods presented in this quarterly report. The Metals Segment serves markets through pipe and tube and customers in the appliance, architectural, automotive and commercial transportation, brewery, chemical, petrochemical, pulp and paper, mining, power generation (including nuclear), water and waste-water treatment, liquid natural gas ("LNG"), food processing, pharmaceutical, oil and gas and other industries.
The Specialty Chemicals Segment operates as one reporting unit which includes Manufacturers Chemicals, LLC ("MC"), a wholly-owned subsidiary of Manufacturers Soap and Chemical Company ("MS&C"), CRI Tolling, LLC ("CRI") and DanChem Technologies, Inc ("DanChem"). The Specialty Chemicals Segment produces specialty products for the pulp and paper, coatings, adhesives, sealants and elastomers (CASE), textile, automotive, household, industrial and institutional ("HII"), agricultural, water and waste-water treatment, construction, oil and gas and other industries.
The following table summarizes certain information regarding segments of the Company's operations:
Three Months Ended March 31,
(in thousands) 2022 2021
Net sales
Metals Segment $ 88,497  $ 55,213 
Specialty Chemicals Segment 27,721  14,565 
$ 116,218  $ 69,778 
Operating income
Metals Segment $ 14,492  $ 2,577 
Specialty Chemicals Segment 2,387  1,056 
Unallocated corporate expenses 3,029  1,767 
Acquisition costs and other 531  — 
Proxy contest costs and recoveries —  (464)
Earn-out adjustments
 102  225 
Operating income 13,217  2,105 
Interest expense 403  387 
Loss on extinguishment of debt —  223 
Change in fair value of interest rate swap —  (2)
Other, net (35) 162 
Income before income taxes $ 12,849  $ 1,335 
As of
(in thousands) March 31, 2022 December 31, 2021
Identifiable assets
Metals Segment $ 177,039  $ 160,625 
Specialty Chemicals Segment 80,342  72,908 
Corporate 32,252  32,469 
$ 289,633  $ 266,002