Share-Based Compensation |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2025 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Share-Based Payment Arrangement [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Share-Based Compensation |
7. Share-Based Compensation The Company has share-based compensation plans, which are more fully described in Note 9, Share-Based Compensation, to the Consolidated Financial Statements included in the 2024 10-K. During the six months ended June 30, 2025, the Company granted its executives stock appreciation rights, or SARs, subject to service conditions and restricted stock units subject to service and performance conditions, or performance stock units. Share-based compensation expense amounted to $10.4 million and $11.8 million for the three months ended June 30, 2025 and 2024, respectively, and $22.0 million and $23.7 million for the six months ended June 30, 2025 and 2024, respectively. As of June 30, 2025, the total unrecognized compensation cost related to all non-vested stock awards was $56.2 million and the related weighted-average period over which it is expected to be recognized is approximately 1.6 years. During the six months ended June 30, 2025, the Company granted SARs with service conditions to its executives which generally vest over a to three-year period. During the six months ended June 30, 2025, the Company granted SARs with service conditions to consultants which generally vest over a three-year period. The fair value of all these SARs was determined on the date of grant using the Black-Scholes-Merton option pricing model. These grants are included in the table below. The following table summarizes the activity for all SARs under the Company’s share-based compensation plans for the six months ended June 30, 2025:
(1)
The intrinsic value is the amount by which the current market value of the underlying stock exceeds the exercise price of the stock awards.
(2)
Includes 3.9 million and 4.0 million performance condition SARs as of June 30, 2025 and December 31, 2024, respectively.
(3)
Includes 0.1 million performance condition SARs.
(4)
Includes 0.1 million performance condition SARs.
(5)
Includes 0.4 million performance condition SARs.
(6)
Includes 0.5 million performance condition SARs.
The weighted-average grant date fair value of SARs granted during the three months ended June 30, 2025 and 2024 was $3.88 and $4.94, respectively. The weighted-average grant date fair value of SARs granted during the six months ended June 30, 2025 and 2024 was $4.14 and $4.51, respectively. There were no SARs exercised during the three and six months ended June 30, 2025 and 2024. During the six months ended June 30, 2025, the Company granted performance stock units to its executives which generally vest over a to three-year period. The performance conditions include targets for local currency net sales, and adjusted earnings before interest, taxes, and depreciation and amortization. The following table summarizes the activities for all restricted stock units under the Company’s share-based compensation plans for the six months ended June 30, 2025:
(1)
Includes 1.6 million performance-based restricted stock units as of June 30, 2025, which represents the maximum amount that can vest. There were no performance-based restricted stock units outstanding as of December 31, 2024.
(2)
Includes 1.6 million performance-based restricted stock units.
(3)
Includes 1.2 million performance-based restricted stock units.
The total vesting date fair value of restricted stock units which vested during the three months ended June 30, 2025 and 2024 was $5.4 million and $10.6 million, respectively. The total vesting date fair value of restricted stock units which vested during the six months ended June 30, 2025 and 2024 was $19.8 million and $17.1 million, respectively. |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||