96 added · 113 removed between the two most recent 10-Ks. The risks a company starts — or stops — disclosing are often the story.
Newly disclosed
Consolidated Statements of Income (Loss) For the years ended December 31, 2025 and 2024 (in thousands, except per share data) 2025 2024 Net sales $ 74,942 $ 80,763 Cost of sales 57,730 70,071 Gross profit 17,212 10,692 Selling, general and administrative expense 24,093 20,899 Research and development 71 — Acquisition costs and other 731 662 Asset impairments 1,622 — Gain on lease modification ( 2,278 ) ( 67 ) Operating loss from continuing operations ( 7,027 ) ( 10,802 ) Other (income) and expense Interest (income) expense, net ( 712 ) 417 Other, net ( 753 ) ( 448 ) Loss from continuing operations before income taxes ( 5,562 ) ( 10,771 ) Income tax provision 22 1,806 Loss from continuing operations $ ( 5,584 ) $ ( 12,577 ) Income (loss) from discontinued operations, net of tax 6,451 ( 1,021 ) Net income (loss) $ 867 $ ( 13,598 ) Net loss per common share from continuing operations Basic $ ( 0.58 ) $ ( 1.24 ) Diluted $ ( 0.58 ) $ ( 1.24 ) Net income (loss) per common share from discontinued operations Basic $ 0.67 $ ( 0.11 ) Diluted $ 0.67 $ ( 0.11 ) Net income (loss) per common share Basic $ 0.09 $ ( 1.35 ) Diluted $ 0.09 $ ( 1.35 ) Weighted average number of common shares outstanding: Basic 9,643 10,106 Diluted 9,643 10,106 See accompanying notes to consolidated financial statements . 29 Ascent Industries Co.
The following table summarizes the results of the Company's discontinued operations: (Unaudited) Three months ended December 31, Year Ended December 31, (in thousands) 2025 2024 2025 2024 Net sales $ — $ 22,549 $ 34,460 $ 97,398 Cost of sales — 19,227 29,770 88,210 Gross profit — 3,322 4,690 9,188 Selling, general and administrative expense — 1,543 1,887 5,658 Acquisition costs and other — 242 3,421 395 Loss (gain) on sale of assets — 228 ( 7,094 ) ( 1,313 ) Asset impairments — — — 1,115 Income from discontinued operations before income taxes — 1,309 6,476 3,333 Income tax provision 32 2,491 25 4,354 Net income (loss) from discontinued operations $ ( 32 ) $ ( 1,182 ) $ 6,451 $ ( 1,021 ) 37 Ascent Industries Co.
Right-of-use assets During the second quarter of 2025, the Company incurred impairment charges of $ 1.6 million related to the write down of the right-of-use asset for the Company's Master lease associated with the former Munhall facility.
In addition, the Credit Facility Amendment provided a limited waiver of an event of default that occurred under the credit facility due to Ascent’s repurchase of shares in an aggregate amount that exceeded the threshold set forth in Section 8.06(c) of the credit facility.
Cash Flows Cash flows from continuing operations were as follows: Year ended December 31, (in thousands) 2025 2024 Net cash (used in) provided by: Operating activities (7,269) 977 Investing activities (1,544) (1,120) Financing activities (8,945) (1,318) Net decrease in cash and cash equivalents $ (17,758) $ (1,461) Operating Activities The increase in cash used in operating activities for the year ended December 31, 2025 compared to cash provided by operating activities in the year ended December 31, 2024 was primarily driven by changes in working capital.
Shares repurchased for the year ended December 31, 2025 and 2024 were as follows: Year ended December 31, 2025 2024 Share repurchase program 1 740,683 101,263 Shares withheld from employees 4,841 — Total shares repurchased 745,524 101,263 Average price per share $ 12.26 $ 10.21 Total cost of shares repurchased 2 $ 9,159,661 $ 1,037,346 1 Includes 745 shares repurchased under previous share repurchase program which expired on February 17, 2025 and 743,283 shares repurchased under the repurchase program authorized on February 17, 2025 2 Includes broker fees incurred as part of repurchase transactions At the end of each fiscal year, the Board reviews the financial performance and capital needed to support future growth to determine the amount of cash dividend, if any, which is appropriate.
Consolidated Balance Sheets As of December 31, 2025 and 2024 (in thousands, except par value and share data) 2025 2024 Assets Current assets: Cash and cash equivalents $ 57,606 $ 16,098 Accounts receivable, net 10,040 12,232 Advances and other receivables 5,389 52 Inventories Raw materials 5,589 4,654 Finished goods 3,153 1,073 Total inventories 8,742 5,727 Prepaid expenses and other current assets 1,243 1,122 Current assets of discontinued operations — 47,841 Total current assets 83,020 83,072 Property, plant and equipment, net 15,762 17,589 Right-of-use assets, operating leases, net 9,368 28,140 Intangible assets, net 2,833 3,445 Deferred charges, net 401 309 Other non-current assets 553 512 Long-term assets of discontinued operations — 14,183 Total assets $ 111,937 $ 147,250 Liabilities and Shareholders' equity Current liabilities: Accounts payable $ 5,490 $ 6,836 Accrued expenses and other current liabilities 5,389 3,598 Current portion of note payable 433 369 Current portion of operating lease liabilities 712 1,495 Current portion of finance lease liabilities 331 293 Current liabilities of discontinued operations — 9,756 Total current liabilities 12,355 22,347 Long-term portion of operating lease liabilities 11,496 29,972 Long-term portion of finance lease liabilities 808 1,015 Deferred income taxes 241 320 Other long-term liabilities 45 51 Total liabilities $ 24,945 $ 53,705 Commitments and contingencies – see Note 15 Shareholders' equity: Common stock - $ 1 par value: 24,000,000 shares authorized; 9,400,898 and 10,072,590 shares outstanding as of December 31, 2025 and 2024, respectively $ 11,085 $ 11,085 Capital in excess of par value 48,276 47,339 Retained earnings 45,786 44,919 105,147 103,343 Less cost of common stock in treasury - 1,684,205 and 1,012,513 shares, respectively ( 18,155 ) ( 9,798 ) Total shareholders' equity 86,992 93,545 Total liabilities and shareholders' equity $ 111,937 $ 147,250 See accompanying notes to consolidated financial statements . 28 Ascent Industries Co.
Consolidated Statements of Cash Flows For the years ended December 31, 2025 and 2024 (in thousands) 2025 2024 Cash flows from operating activities: Net income (loss) $ 867 $ ( 13,598 ) Income (loss) from discontinued operations, net of tax 6,451 ( 1,021 ) Net loss from continuing operations ( 5,584 ) ( 12,577 ) Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities: Depreciation expense 3,574 3,884 Amortization expense 612 695 Amortization of debt issuance costs 258 105 Asset impairments 1,622 — Deferred income taxes 22 1,806 (Reduction of) provision for losses on accounts receivable ( 569 ) 51 Loss on disposal of property, plant and equipment 1 289 Non-cash lease expense 128 111 Gain on lease modification ( 2,278 ) ( 67 ) Share-based compensation expense 1,302 760 Changes in operating assets and liabilities: Accounts receivable and advances ( 2,576 ) 2,762 Inventories ( 3,015 ) 5,039 Other assets and liabilities ( 521 ) ( 160 ) Accounts payable ( 1,565 ) ( 3,246 ) Accrued expenses 1,469 40 Accrued income taxes ( 149 ) 1,485 Net cash (used in) provided by operating activities - continuing operations ( 7,269 ) 977 Net cash provided by operating activities - discontinued operations 6,750 13,704 Net cash (used in) provided by operating activities ( 519 ) 14,681 Cash flows from investing activities: Purchases of property, plant and equipment ( 1,544 ) ( 1,120 ) Net cash used in investing activities - continuing operations ( 1,544 ) ( 1,120 ) Net cash provided by investing activities - discontinued operations 52,525 2,025 Net cash provided by investing activities 50,981 905 Cash flows from financing activities: Borrowings from credit facilities 137,075 197,898 Proceeds from note payable 1,085 914 Proceeds from exercise of stock options 415 — Payments on credit facilities ( 137,075 ) ( 197,898 ) Payments on note payable ( 1,021 ) ( 906 ) Principal payments on finance lease obligations ( 287 ) ( 289 ) Repurchase of common stock ( 9,137 ) ( 1,037 ) Net cash used in financing activities - continuing operations ( 8,945 ) ( 1,318 ) Net cash used in financing activities - discontinued operations ( 19 ) ( 11 ) Net cash used in financing activities ( 8,964 ) ( 1,329 ) Increase in cash and cash equivalents 41,498 14,257 Cash and cash equivalents of discontinued operations — 10 Cash and cash equivalents, beginning of period 16,108 1,841 Cash and cash equivalents, end of period $ 57,606 $ 16,108 Supplemental Disclosure of Cash Flow Information Cash paid for: Interest $ 174 $ 277 Noncash Investing Activities: Capital expenditures, not yet paid $ 204 $ 267 See accompanying notes to consolidated financial statements. 30 Ascent Industries Co.
Notes to Consolidated Financial Statements Activity in the allowance for credit losses from continuing operations were as follows: (in thousands) 2025 2024 Balance at beginning of period $ 202 $ 151 Current period provision for expected credit losses 52 378 Deductions from allowance ( 621 ) ( 327 ) Other 1 1,371 — Balance at end of period $ 1,004 $ 202 1 Remaining allowance for credit losses associated with the former Munhall facility.
Notes to Consolidated Financial Statements The gross carrying amount and accumulated amortization of intangible assets from continuing operations consist of the following: 2025 2024 (in thousands) Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Definite-lived intangible assets: Customer related $ 5,100 $ ( 2,779 ) $ 5,100 $ ( 2,167 ) Trademarks and trade names 150 ( 32 ) 150 ( 32 ) Other 500 ( 106 ) 500 ( 106 ) Total definite-lived intangible assets $ 5,750 $ ( 2,917 ) $ 5,750 $ ( 2,305 ) The Company recorded amortization expense related to intangible assets from continuing operations of $ 0.6 million and $ 0.7 million for 2025 and 2024, respectively.
Notes to Consolidated Financial Statements The following table presents the aggregate carrying amounts of the classes of assets and liabilities of the Company's discontinued operations: (in thousands) December 31, 2025 December 31, 2024 Carrying amounts of assets included as part of discontinued operations: Cash and cash equivalents $ — $ 10 Accounts receivable, net — 11,597 Inventories — 35,236 Prepaid expenses and other current assets — 998 Current assets classified as discontinued operations — 47,841 Property, plant and equipment, net — 7,873 Right-of-use assets, operating leases, net — 85 Intangible assets, net — 3,564 Other non-current assets, net — 2,661 Long-term assets classified as discontinued operations — 14,183 Total assets classified as discontinued operations $ — $ 62,024 Carrying amounts of liabilities included as part of discontinued operations: Accounts payable — 6,252 Deferred revenue — 1,360 Accrued expenses and other current liabilities — 2,019 Current portion of operating lease liabilities — 84 Current portion of finance lease liabilities 41 Current liabilities classified as discontinued operations — 9,756 Total liabilities classified as discontinued operations $ — $ 9,756 Note 3: Revenue Recognition Revenue is generated primarily from contracts to produce, ship and deliver specialty chemical products.
Notes to Consolidated Financial Statements The following table presents the Company's revenues, disaggregated by product group from continuing operations: (in thousands) 2025 2024 Custom Manufacturing 1 $ 52,643 $ 58,920 Core Technology 2 22,299 21,843 Net sales $ 74,942 $ 80,763 1 Custom Manufacturing includes tolling, dedicated manufacturing and other manufacturing in which the customer formulation or intellectual property is owned by the customer 2 Core technology includes product groups in which Ascent owns the right to the formulation or the intellectual property used in the manufacturing process The Company's revenues are derived from contracts with customers where performance obligations are satisfied at a point-in-time or over-time.
No longer disclosed
Consolidated Statements of Income (Loss) For the years ended December 31, 2024 and 2023 (in thousands, except per share data) 2024 2023 Net sales $ 177,872 $ 193,179 Cost of sales 155,758 191,653 Gross profit 22,114 1,526 Selling, general and administrative expense 26,586 26,712 Acquisition costs and other 691 855 Goodwill impairment — 11,389 Gain on lease modification ( 67 ) — Operating loss from continuing operations ( 5,096 ) ( 37,430 ) Other (income) and expense Interest expense 418 4,238 Other, net ( 448 ) ( 593 ) Loss from continuing operations before income taxes ( 5,066 ) ( 41,075 ) Income tax provision (benefit) 6,159 ( 6,924 ) Loss from continuing operations $ ( 11,225 ) $ ( 34,151 ) (Loss) income from discontinued operations, net of tax ( 2,373 ) 7,522 Net loss $ ( 13,598 ) $ ( 26,629 ) Net loss per common share from continuing operations Basic $ ( 1.11 ) $ ( 3.37 ) Diluted $ ( 1.11 ) $ ( 3.37 ) Net (loss) income per common share from discontinued operations Basic $ ( 0.23 ) $ 0.74 Diluted $ ( 0.23 ) $ 0.74 Net loss per common share Basic $ ( 1.34 ) $ ( 2.63 ) Diluted $ ( 1.34 ) $ ( 2.63 ) Weighted average number of common shares outstanding: Basic 10,106 10,140 Diluted 10,106 10,140 See accompanying notes to consolidated financial statements . 28 Ascent Industries Co.
Consolidated Statements of Cash Flows For the years ended December 31, 2024 and 2023 (in thousands) 2024 2023 Cash flows from operating activities: Net loss $ ( 13,598 ) $ ( 26,629 ) (Loss) income from discontinued operations, net of tax ( 2,373 ) 7,522 Net loss from continuing operations ( 11,225 ) ( 34,151 ) Adjustments to reconcile net loss to net cash provided by operating activities: Depreciation expense 5,936 6,161 Amortization expense 1,488 1,505 Amortization of debt issuance costs 105 99 Goodwill impairment — 11,389 Deferred income taxes 6,159 ( 6,924 ) Reduction of losses on accounts receivable ( 118 ) ( 180 ) Loss on disposal of property, plant and equipment 517 246 Non-cash lease expense 198 242 Share-based compensation expense 767 1,023 Changes in operating assets and liabilities: Accounts receivable 2,842 6,778 Inventories 11,344 15,563 Other assets and liabilities 1,187 515 Accounts payable ( 3,612 ) 1,650 Accrued expenses ( 66 ) ( 401 ) Accrued income taxes 1,485 3,129 Net cash provided by operating activities - continuing operations 17,007 6,644 Net cash (used in) provided by operating activities - discontinued operations ( 2,326 ) 16,434 Net cash provided by operating activities 14,681 23,078 Cash flows from investing activities: Purchases of property, plant and equipment ( 1,892 ) ( 2,885 ) Net cash used in investing activities - continuing operations ( 1,892 ) ( 2,885 ) Net cash provided by investing activities - discontinued operations 2,797 53,386 Net cash provided by investing activities 905 50,501 Cash flows from financing activities: Borrowings from credit facilities 197,898 256,606 Proceeds from note payable 914 900 Payments on credit facilities ( 197,898 ) ( 328,155 ) Payments on note payable ( 906 ) ( 928 ) Principal payments on finance lease obligations ( 300 ) ( 305 ) Repurchase of common stock ( 1,037 ) ( 1,287 ) Net cash used in financing activities ( 1,329 ) ( 73,169 ) Increase (decrease) in cash and cash equivalents 14,257 410 Cash and cash equivalents, beginning of period 1,851 1,441 Cash and cash equivalents, end of period $ 16,108 $ 1,851 Supplemental Disclosure of Cash Flow Information Cash paid for: Interest $ 277 $ 4,175 Income taxes — 864 Noncash Investing Activities: Capital expenditures, not yet paid $ 267 $ 653 See accompanying notes to consolidated financial statements. 29 Ascent Industries Co.
The changes in the carrying amount of goodwill for the years ended December 31, 2023 were as follows: (in thousands) Specialty Chemicals Balance December 31, 2022 $ 11,389 Goodwill Impairment ( 11,389 ) Balance December 31, 2023 — During the third quarter of 2023, the Company determined potential indicators of impairment within the Specialty Chemicals reporting unit, with an associated goodwill balance of $ 11.4 million existed.
As a result of the goodwill impairment evaluation, it was concluded that the estimated fair value of the Specialty Chemicals reporting unit was below its carrying value by 27.6 % resulting in a goodwill impairment charge of $ 11.4 million for the year ended December 31, 2023.
As a result of this decision, during the second quarter of 2023, the Company incurred asset impairment charges of $ 6.4 million related to the write down of inventory and long-lived assets as well as $ 1.4 million in increased reserves on accounts receivable at the facility.
In August of 2023, the Company was named as a defendant in a lawsuit filed with the Court of Common Pleas for Delaware County, Ohio, asserting various claims for breach of contracts resulting in losses to the plaintiff and seeking damages in the amount of $ 0.7 million plus prejudgment interest and attorney's fees.
The following table summarizes the results of the Company's discontinued operations: (Unaudited) Three months ended December 31, Year Ended December 31, (in thousands) 2024 2023 2024 2023 Net sales $ — $ 7,214 $ 290 $ 64,760 Cost of sales 459 8,115 2,524 64,507 Gross profit ( 459 ) ( 901 ) ( 2,234 ) 253 Selling, general and administrative expense 415 1,261 198 7,587 Acquisition costs and other 242 355 366 568 Gain on sale of assets — ( 26,348 ) ( 1,541 ) ( 26,348 ) Asset impairments — — 1,115 8,720 Operating (loss) income of discontinued operations ( 1,116 ) 23,831 ( 2,372 ) 9,726 Loss on classification as held for sale — — — 83 (Loss) income from discontinued operations before income taxes ( 1,116 ) 23,831 ( 2,372 ) 9,643 Income tax (benefit) provision ( 5 ) 5,157 1 2,121 Net (loss) income from discontinued operations $ ( 1,111 ) $ 18,674 $ ( 2,373 ) $ 7,522 38 Ascent Industries Co.
Based on this evaluation, inventory at Munhall was written down to its net realizable value of $ 16.0 million and certain long-lived assets, including intangible assets, were written down to their estimated fair value of $ 2.6 million, resulting in asset impairment charges of $ 6.4 million in the second quarter of 2023.
During the third quarter of 2023, the remaining inventory at Munhall was written down to its net realizable value of $ 4.0 million resulting in asset impairment charges of $ 2.4 million in the third quarter of 2023.
District Court for the Western District of Pennsylvania, asserting various claims for breach of contracts resulting in losses to the plaintiff and seeking damages in the amount of $ 0.8 million plus prejudgment interest and attorney's fees.
The ASU is effective for the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, and subsequent interim periods, with early adoption permitted.
During the third quarter of 2023, the Company incurred additional asset impairment charges of $ 2.4 million related to the write down of inventory to net realizable value.