Koppers Holdings Inc. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Koppers Holdings Inc. filed its Q1 2024 10-Q, detailing segment performance, derivative use, and a recent acquisition.</b>

AI Summary

Koppers Holdings Inc. (KOP) filed a Quarterly Report (10-Q) with the SEC on May 3, 2024. Koppers Holdings Inc. filed a 10-Q report for the period ending March 31, 2024. The filing includes data related to various segments such as Performance Chemicals, Railroad Infrastructure Products and Services, and Carbon Materials and Chemicals. The company utilizes derivative contracts, including swap and forward contracts, for hedging purposes. Subsequent events noted include the acquisition of Brown Wood Preserving Company Inc. on April 1, 2024. Financial data points such as Accumulated Other Comprehensive Income and Retained Earnings are reported as of December 31, 2022.

Why It Matters

For investors and stakeholders tracking Koppers Holdings Inc., this filing contains several important signals. The 10-Q filing provides a quarterly update on Koppers' financial health and operational performance across its key business segments. Disclosure of derivative contracts and subsequent events like acquisitions offers insights into risk management strategies and future growth initiatives.

Risk Assessment

Risk Level: medium — Koppers Holdings Inc. shows moderate risk based on this filing. The company's reliance on commodity contracts and derivative instruments introduces market volatility and financial risk, as indicated by their inclusion in the filing.

Analyst Insight

Monitor Koppers' upcoming earnings reports for performance updates following the acquisition of Brown Wood Preserving Company Inc. and assess the impact of their hedging strategies.

Key Numbers

• 2024-03-31 — Report Period End Date (Conformed period of report.)
• 2024-05-03 — Filing Date (Filed as of date.)
• 2024-04-01 — Acquisition Date (Brown Wood Preserving Company Inc. acquisition.)
• 2023-12-31 — Prior Year End Date (Used for comparative financial data.)
• 2022-12-31 — Prior Year End Date (Used for comparative financial data.)

Key Players & Entities

• Koppers Holdings Inc. (company) — Filer of the 10-Q report.
• Brown Wood Preserving Company Inc. (company) — Acquired by Koppers Holdings Inc. on April 1, 2024.
• Pennsylvania (location) — State of incorporation and business address.
• stpr:PA (location) — Context for CoalTarPitchCasesMember.
• stpr:OR (location) — Context for a date.

FAQ

Risk Factors

• Derivative Contracts [medium — financial]: The company utilizes various derivative contracts, including swaps and forward contracts, for hedging purposes, which can introduce financial risks.
• Acquisition Integration [medium — operational]: The recent acquisition of Brown Wood Preserving Company Inc. on April 1, 2024, may present integration challenges and operational risks.

Key Dates

• 2024-03-31: Quarter End Date — End of the reporting period for the 10-Q.
• 2024-05-03: Filing Date — Date the 10-Q was officially filed with the SEC.
• 2024-04-01: Acquisition Date — Date Koppers acquired Brown Wood Preserving Company Inc.

Glossary

10-Q

A quarterly report required by the U.S. Securities and Exchange Commission (SEC). (Provides an update on the company's financial performance and operations during the quarter.)

Derivative Contracts

Financial instruments whose value is derived from an underlying asset, group of assets, or benchmark. (Used by Koppers for hedging, indicating strategies to manage financial risks.)

Key Financial Figures

• $0.01 — Act). Yes No Common Stock, par value $0.01 per share, outstanding at April 30, 202

Filing Documents

• kop-20240331.htm (10-Q) — 1467KB
• kop-ex3_1.htm (EX-3.1) — 228KB
• kop-ex31_1.htm (EX-31.1) — 13KB
• kop-ex31_2.htm (EX-31.2) — 13KB
• kop-ex32_1.htm (EX-32.1) — 9KB
• img66989506_0.jpg (GRAPHIC) — 5KB
• 0000950170-24-052678.txt (&nbsp;) — 9108KB
• kop-20240331.xsd (EX-101.SCH) — 1528KB
• kop-20240331_htm.xml (XML) — 1604KB

—FINANCIAL INFORMATION

PART I—FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS KOPPERS HOLDINGS INC. CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS Three Months Ended March 31, 2024 2023 (Dollars in millions, except share and per share amounts) (Unaudited) (Unaudited) Net sales $ 497.6 $ 513.4 Cost of sales 401.4 409.3 Depreciation and amortization 16.1 14.0 Selling, general and administrative expenses 45.5 41.6 (Gain) on sale of assets 0.0 ( 1.8 ) Operating profit 34.6 50.3 Other loss, net ( 0.1 ) ( 0.2 ) Interest expense 17.1 14.0 Income before income taxes 17.4 36.1 Income tax provision 4.4 9.9 Net income 13.0 26.2 Net income attributable to noncontrolling interests 0.0 0.7 Net income attributable to Koppers $ 13.0 $ 25.5 Earnings per common share attributable to Koppers common shareholders: Basic $ 0.61 $ 1.22 Diluted $ 0.59 $ 1.19 Weighted average shares outstanding (in thousands): Basic 21,066 20,842 Diluted 21,909 21,385 KOPPERS HOLDINGS INC. CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME Three Months Ended March 31, 2024 2023 (Dollars in millions) (Unaudited) (Unaudited) Net income $ 13.0 $ 26.2 Changes in other comprehensive income (loss): Currency translation adjustment ( 13.9 ) 2.7 Cash flow hedges, net of tax expense of $ 2.8 and $ 1.9 7.0 4.7 Pension adjustments, net of tax expense of $ 0.1 and $ 0.1 0.4 0.3 Comprehensive income 6.5 33.9 Comprehensive income attributable to noncontrolling interests 0.0 0.7 Comprehensive income attributable to Koppers $ 6.5 $ 33.2 The accompanying notes are an integral part of these condensed consolidated financial statements. 2 KOPPERS HOLDINGS INC. CONDENSED CONSOLIDATED BALANCE SHEET March 31, 2024 December 31, 2023 (Dollars in millions, except share and per share amounts) (Unaudited) Assets Cash and cash equivalents $ 49.0

View Full Filing

View this 10-Q filing on SEC EDGAR