HEXCEL CORP /DE/, 10-Q filed on 4/22/2026
Quarterly Report
v3.26.1
Document and Entity Information - shares
 3 Months Ended
Mar. 31, 2026
Apr. 20, 2026
Cover [Abstract]    
Entity Registrant Name Hexcel Corporation  
Entity Central Index Key 0000717605  
Document Type 10-Q  
Document Period End Date Mar. 31, 2026  
Amendment Flag false  
Current Fiscal Year End Date --12-31  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Common Stock, Shares Outstanding   75,427,184
Document Fiscal Year Focus 2026  
Document Fiscal Period Focus Q1  
Entity Shell Company false  
Entity Current Reporting Status Yes  
Entity File Number 1-8472  
Entity Tax Identification Number 94-1109521  
Entity Address, Address Line One Two Stamford Plaza  
Entity Address, Address Line Two 281 Tresser Boulevard  
Entity Address, City or Town Stamford  
Entity Address, State or Province CT  
Entity Address, Postal Zip Code 06901-3238  
City Area Code 203  
Local Phone Number 969-0666  
Entity Interactive Data Current Yes  
Entity Incorporation, State or Country Code DE  
Document Quarterly Report true  
Document Transition Report false  
Title of 12(b) Security Common Stock, par value $0.01  
Trading Symbol HXL  
Security Exchange Name NYSE  
v3.26.1
Condensed Consolidated Balance Sheets - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Current assets:    
Cash and cash equivalents $ 54.1 $ 71.0
Accounts receivable, net 291.0 249.3
Inventories, net 339.8 328.8
Contract assets 40.4 35.9
Prepaid expenses and other current assets 44.4 45.7
Total current assets 769.7 730.7
Property, plant and equipment 3,311.7 3,322.4
Less accumulated depreciation (1,718.9) (1,710.9)
Net property, plant and equipment 1,592.8 1,611.5
Goodwill and other intangible assets, net 237.4 239.8
Investments in affiliated companies 5.0 5.0
Other assets 119.0 117.0
Total assets 2,723.9 2,704.0
Current liabilities:    
Accounts payable 140.7 146.6
Accrued compensation and benefits 67.2 79.0
Financial instruments 1.7 3.8
Accrued liabilities 104.1 93.3
Total current liabilities 313.7 322.7
Long-term debt 998.1 993.0
Retirement obligations 27.8 28.4
Deferred income taxes 87.9 86.7
Other non-current liabilities 30.2 22.5
Total liabilities 1,457.7 1,453.3
Stockholders' equity:    
Common stock, $0.01 par value, 200.0 shares authorized, 112.5 shares and 112.1 shares issued at March 31, 2026 and December 31, 2025, respectively 1.1 1.1
Additional paid-in capital 992.5 994.9
Retained earnings 2,330.5 2,307.0
Accumulated other comprehensive loss (30.5) (12.9)
Total stockholders' equity including treasury stock value 3,293.6 3,290.1
Less -Treasury stock, at cost, 37.1 shares at March 31, 2026 and 36.4 shares at December 31, 2025 (2,027.4) (2,039.4)
Total stockholders' equity 1,266.2 1,250.7
Total liabilities and stockholders' equity $ 2,723.9 $ 2,704.0
v3.26.1
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares
shares in Millions
Mar. 31, 2026
Dec. 31, 2025
Statement of Financial Position [Abstract]    
Common stock, par value $ 0.01 $ 0.01
Common stock, shares authorized 200.0 200.0
Common stock, shares issued 112.5 112.1
Treasury stock, shares 37.1 36.4
v3.26.1
Condensed Consolidated Statements of Operations (Unaudited) - USD ($)
shares in Millions, $ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Income Statement [Abstract]    
Net sales $ 501.5 $ 456.5
Cost of sales 366.8 354.1
Gross margin 134.7 102.4
Selling, general and administrative expenses 49.4 43.3
Research and technology expenses 17.8 13.8
Other operating expense 9.9 1.1
Operating income 57.6 44.2
Interest expense, net 11.8 7.8
Other expense 0.3 0.4
Income before income taxes 45.5 36.0
Income tax expense 8.3 7.1
Net income $ 37.2 $ 28.9
Basic net income per common share $ 0.49 $ 0.36
Diluted net income per common share $ 0.49 $ 0.35
Weighted-average common shares:    
Basic 75.9 81.1
Diluted 76.7 81.7
v3.26.1
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Statement of Comprehensive Income [Abstract]    
Net income $ 37.2 $ 28.9
Currency translation adjustments (13.6) 24.3
Net unrealized pension and other benefit actuarial losses and prior service credits (net of tax) (0.2) 0.0
Net unrealized (loss) gain on financial instruments (net of tax) (3.8) 9.4
Total other comprehensive (loss) income (17.6) 33.7
Comprehensive income $ 19.6 $ 62.6
v3.26.1
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Cash flows from operating activities    
Net income $ 37.2 $ 28.9
Reconciliation to net cash used for operating activities:    
Depreciation and amortization 30.4 29.8
Amortization related to financing 0.4 0.0
Deferred income taxes 3.5 2.7
Stock-based compensation 9.3 9.7
Restructuring expenses, net of payments 3.6 (0.3)
Debt Extinguishment costs 0.0 0.4
Loss on divestiture of assets 0.0 1.1
Changes in assets and liabilities:    
Increase in accounts receivable (43.0) (42.5)
Increase in inventories (14.3) (16.8)
Increase in prepaid expenses and other current assets (6.6) (5.7)
Decrease (increase) in accounts payable/accrued liabilities 0.8 (32.7)
Other – net (2.3) (3.1)
Net cash provided by (used for) operating activities 19.0 (28.5)
Cash flows from investing activities    
Capital expenditures (25.2) (26.1)
Payments on divestiture of assets 0.0 (1.1)
Net cash used for investing activities (25.2) (27.2)
Cash flows from financing activities    
Redemption of 4.7% senior notes due 2025 0.0 (300.0)
Proceeds from issuance of 5.875% senior notes due 2035 0.0 300.0
Issuance costs related to senior unsecured credit facilities (1.9) 0.0
Repurchases of common stock 0.0 (50.4)
Repayment of finance lease obligation and other debt, net 0.0 (4.2)
Dividends paid (13.7) (13.8)
Activity under stock plans 0.3 (3.4)
Net cash (used for) provided by financing activities (10.3) 18.2
Effect of exchange rate changes on cash and cash equivalents (0.4) 1.3
Net decrease in cash and cash equivalents (16.9) (36.2)
Cash and cash equivalents at beginning of period 71.0 125.4
Cash and cash equivalents at end of period 54.1 89.2
Supplemental data:    
Accrual basis additions to plant, property and equipment 17.7 17.1
Senior Unsecured Credit Facility 2028 [Member]    
Cash flows from financing activities    
Borrowing from senior unsecured credit facility 15.0 90.0
Repayment of senior unsecured credit facility (310.0) 0.0
Senior Unsecured Credit Facility 2031 [Member]    
Cash flows from financing activities    
Borrowing from senior unsecured credit facility $ 300.0 $ 0.0
v3.26.1
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($)
$ in Millions
Total
Par
Additional Paid-In Capital
Retained Earnings
Accumulated Other Comprehensive Loss
Treasury Stock
Beginning Balance at Dec. 31, 2024 $ 1,527.9 $ 1.1 $ 970.0 $ 2,251.5 $ (115.0) $ (1,579.7)
Increase (Decrease) in Stockholders' Equity            
Net Income (Loss) 28.9     28.9    
Dividends on common stock (13.8)     (13.8)    
Repurchases of common stock (50.4)         (50.4)
Change in other comprehensive income (loss)– net of tax 33.7       33.7  
Stock-based activity 6.3   11.0     (4.7)
Ending Balance at Mar. 31, 2025 1,532.6 1.1 981.0 2,266.6 (81.3) (2,039.3)
Beginning Balance at Dec. 31, 2025 1,250.7 1.1 994.9 2,307.0 (12.9) (2,039.4)
Increase (Decrease) in Stockholders' Equity            
Net Income (Loss) 37.2     37.2    
Dividends on common stock (13.7)     (13.7)    
Repurchases of common stock     (16.4)     16.4
Change in other comprehensive income (loss)– net of tax (17.6)       (17.6)  
Stock-based activity 9.6   14.0     (4.4)
Ending Balance at Mar. 31, 2026 $ 1,266.2 $ 1.1 $ 992.5 $ 2,330.5 $ (30.5) $ (2,027.4)
v3.26.1
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Statement of Stockholders' Equity [Abstract]    
Dividends paid on common stock price per share $ 0.18 $ 0.17
v3.26.1
Pay vs Performance Disclosure - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Pay vs Performance Disclosure    
Net Income (Loss) $ 37.2 $ 28.9
v3.26.1
Insider Trading Arrangements
 3 Months Ended
Mar. 31, 2026
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.26.1
Significant Accounting Policies
 3 Months Ended
Mar. 31, 2026
Accounting Policies [Abstract]  
Significant Accounting Policies

Note 1 — Significant Accounting Policies

In these notes, the terms “Hexcel,” “the Company,” “we,” “us,” or “our” mean Hexcel Corporation and subsidiary companies. The accompanying condensed consolidated financial statements are those of Hexcel Corporation. Refer to Note 1 to the consolidated financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2025 for a discussion of our significant accounting policies.

Basis of Presentation

The accompanying condensed consolidated financial statements have been prepared from the unaudited accounting records of Hexcel pursuant to rules and regulations of the Securities and Exchange Commission (“SEC”) and in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information. Certain information and footnote disclosures normally included in financial statements have been omitted pursuant to rules and regulations of the SEC. In the opinion of management, the condensed consolidated financial statements include all normal recurring adjustments as well as any non-recurring adjustments necessary to present fairly the statement of financial position, results of operations, cash flows and statement of stockholders’ equity for the interim periods presented. The Condensed Consolidated Balance Sheet as of December 31, 2025 was derived from the audited 2025 consolidated balance sheet. Interim results are not necessarily indicative of results expected for any other interim period or for the full year. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2025 Annual Report on Form 10-K.

Commencing with the first quarter of 2026, we have renamed our Research and Technology ("R&T") function to Research and Development ("R&D").
v3.26.1
Net Income Per Common Share
 3 Months Ended
Mar. 31, 2026
Earnings Per Share [Abstract]  
Net Income Per Common Share

Note 2 — Net Income Per Common Share

 

 

 

Quarters Ended March 31,

 

(In millions, except per share data)

 

2026

 

 

2025

 

Basic net income per common share:

 

 

 

 

 

 

Net income

 

$

37.2

 

 

$

28.9

 

Weighted average common shares outstanding

 

 

75.9

 

 

 

81.1

 

 

 

 

 

 

 

 

Basic net income per common share

 

$

0.49

 

 

$

0.36

 

 

 

 

 

 

 

 

Diluted net income per common share:

 

 

 

 

 

 

Net income

 

$

37.2

 

 

$

28.9

 

 

 

 

 

 

 

 

Weighted average common shares outstanding — Basic

 

 

75.9

 

 

 

81.1

 

Plus incremental shares from assumed conversions:

 

 

 

 

 

 

Restricted stock units

 

 

0.5

 

 

 

0.4

 

Stock options

 

 

0.4

 

 

 

0.2

 

Weighted average common shares outstanding — Dilutive

 

 

76.7

 

 

 

81.7

 

 

 

 

 

 

 

 

Diluted net income per common share

 

$

0.49

 

 

$

0.35

 

 

Total common stock equivalents of 0.2 million and 1.1 million were excluded from the computation of diluted net income per share for the three months ended March 31, 2026 and 2025, respectively, because to include would have been anti-dilutive.

v3.26.1
Inventories
 3 Months Ended
Mar. 31, 2026
Inventory Disclosure [Abstract]  
Inventories

Note 3 — Inventories

 

 

 

 

 

 

 

(In millions)

 

March 31, 2026

 

 

December 31, 2025

 

Raw materials

 

$

172.3

 

 

$

150.7

 

Work in progress

 

 

40.0

 

 

 

42.3

 

Finished goods

 

 

127.5

 

 

 

135.8

 

Total Inventory

 

$

339.8

 

 

$

328.8

 
v3.26.1
Retirement and Other Postretirement Benefit Plans
 3 Months Ended
Mar. 31, 2026
Retirement Benefits [Abstract]  
Retirement and Other Postretirement Benefit Plans

Note 4 — Retirement and Other Postretirement Benefit Plans

We maintain qualified defined benefit retirement plans covering certain current and former European employees, as well as nonqualified defined benefit retirement plans, and retirement savings plans covering certain eligible U.S. and European employees and participate in a union sponsored multi-employer pension plan covering certain U.S. employees with union affiliations. In addition, we provide certain postretirement health care and life insurance benefits to eligible U.S. retirees.

Defined Benefit Retirement Plans

We have nonqualified defined benefit retirement plans covering certain current and former employees that are funded as benefits are incurred. Expense related to the defined benefit retirement plans for the three months ended March 31, 2026 and 2025 was $0.4 million and $0.5 million, respectively.

Postretirement Health Care and Life Insurance Benefit Plans

We provide certain postretirement health care and life insurance benefits to eligible retirees. Depending upon the plan, benefits are available to eligible employees who retire after meeting certain age and service requirements and were employed by Hexcel as of February 1996. Our funding policy for the postretirement health care and life insurance benefit plans is generally to pay covered expenses as they are incurred. Net periodic benefit costs of our postretirement health care and life insurance benefit plans for the three months ended March 31, 2026 and 2025 were immaterial.

v3.26.1
Debt
 3 Months Ended
Mar. 31, 2026
Debt Disclosure [Abstract]  
Debt

Note 5 –– Debt

 

(In millions)

 

March 31, 2026

 

 

December 31, 2025

 

Senior Unsecured credit facility

 

$

300.0

 

 

$

295.0

 

3.95% senior notes --- due 2027

 

 

400.0

 

 

 

400.0

 

5.875% senior notes --- due 2035

 

 

300.0

 

 

 

300.0

 

Senior notes --- original issue discount

 

 

(0.2

)

 

 

(0.2

)

Senior notes --- deferred financing costs

 

 

(3.7

)

 

 

(3.9

)

Non-current portion of finance lease and other debt

 

 

2.0

 

 

 

2.1

 

Long-term debt

 

 

998.1

 

 

 

993.0

 

Total debt

 

$

998.1

 

 

$

993.0

 

 

On March 31, 2026, the Company entered into a new credit agreement (the “Credit Agreement”) to refinance its senior unsecured credit facility (the “Facility”). Under the terms of the Credit Agreement the borrowing capacity will remain at $750 million. The Facility matures on March 31, 2031. In connection with the refinancing, the Company incurred approximately $1.9 million in financing costs which were deferred and will be amortized over the term of the Facility. In addition, the Company recorded a charge of approximately $0.3 million in Other expense on the Condensed Consolidated Statements of Operations for closing costs related to the refinancing.

 

Borrowings under the Facility will bear interest, at Hexcel’s option, for SOFR rate borrowings at (i) an Adjusted Term SOFR rate (subject to a 0.00% floor), where such “Adjusted Term SOFR” rate is equal to the Term SOFR rate for the applicable interest period, plus the Applicable Margin or (ii) for base rate borrowings, the greatest of (a) the prime rate, (b) the federal funds rate plus 0.50% and (c) the Adjusted Term SOFR rate (subject to a 0.00% floor) for a one-month interest period plus 1.00%, in each case plus the Applicable Margin. The “Applicable Margin” initially was 1.125% for SOFR rate borrowings and 0.125% for base rate borrowings, and after the date on which the Agent receives a compliance certificate for the fiscal quarter ending March 31, 2026, can fluctuate, determined by reference to the more favorable to Hexcel of its (x) public debt rating and (y) consolidated leverage ratio, as specified

in the Credit Agreement. Up to $50 million of the Facility may be used for letters of credit. The Credit Agreement enables Hexcel, from time to time, to add term loans or to increase the revolving credit commitment in an aggregate amount not to exceed $500 million.

As of March 31, 2026, total borrowings under the Facility were $300.0 million, which approximates fair value. The proceeds from these borrowings were used to repay all amounts and terminate all commitments outstanding under the previous credit agreement which was scheduled to expire on April 25, 2028. As of March 31, 2026, there were no issued letters of credit under the Facility, resulting in undrawn availability under the Facility of $450.0 million. The weighted average interest rate for the Facility was 5.0% for the three months ended March 31, 2026. The Company was in compliance with all debt covenants as of March 31, 2026.

During the first quarter of 2025, the Company issued $300 million in aggregate principal amount of 5.875% Senior Unsecured Notes due in 2035. The interest rate on these senior notes may be increased by 0.25% each time a credit rating applicable to the notes is downgraded. The maximum rate is 7.875%. Interest on the notes will be payable semiannually in arrears on February 26th and August 26th of each year, beginning on August 26, 2025. The effective interest rate for the three months ended March 31, 2026 was 6.0% inclusive of an approximately 0.10% benefit of treasury locks. Based on quoted prices, the fair value of the 5.875% Senior Unsecured Notes was $308.3 million at March 31, 2026.

In 2017, the Company issued $400 million in aggregate principal amount of 3.95% Senior Unsecured Notes due in 2027. The interest rate on these senior notes may be increased by 0.25% each time a credit rating applicable to the notes is downgraded. The maximum rate is 5.95%. The effective interest rate for the three months ended March 31, 2026 was 4.0% inclusive of an approximately 0.25% benefit of treasury locks. Based on quoted prices, the fair value of the 3.95% Senior Unsecured Notes was $398.7 million at March 31, 2026.

v3.26.1
Derivative Financial Instruments
 3 Months Ended
Mar. 31, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments

Note 6 — Derivative Financial Instruments

The Company entered into treasury lock agreements to protect against unfavorable movements in the benchmark treasury rate related to the issuance of our 5.875% Senior Unsecured Notes. These hedges were designated as cash flow hedges, thus any change in fair value was recorded as a component of other comprehensive income (loss). As part of the issuance of our 5.875% Senior Unsecured Notes, we net settled these derivatives for $3.6 million in cash and the deferred gains recorded in other comprehensive income (loss) will be released to interest expense over the life of the senior notes. The remaining balance of deferred gains as of March 31, 2026 was approximately $3.2 million. The effect of the settled treasury locks reduces the effective interest rate of the senior notes by approximately 0.10%.

 

Foreign Currency Forward Exchange Contracts

 

A number of our European subsidiaries are exposed to the impact of exchange rate volatility between the U.S. dollar and the subsidiaries’ functional currencies, being either the Euro or the British pound sterling. We have entered into contracts to exchange U.S. dollars for Euros and British pound sterling through September 2028. The aggregate notional amount of these contracts was $380.7 million and $403.4 million at March 31, 2026 and December 31, 2025, respectively. The purpose of these contracts is to hedge a portion of the forecasted transactions of our European subsidiaries under long-term sales contracts with certain customers. These contracts are expected to provide us with a more balanced matching of future cash receipts and expenditures by currency, thereby reducing our exposure to fluctuations in currency exchange rates. The effective portion of the hedges, losses of $7.7 million were recorded in other comprehensive (loss) income for the three months ended March 31, 2026, and gains of $11.9 million were recorded for the three months ended March 31, 2025. We recognized gains of $3.9 million and losses of $1.6 million in gross margin during the three months ended March 31, 2026 and 2025, respectively.

In addition, we enter into foreign exchange forward contracts which are not designated as hedges. These are used to provide an offset to transactional gains or losses arising from the remeasurement of non-functional monetary assets and liabilities such as accounts receivable. The change in the fair value of the derivatives is recorded in the Statement of Operations. There are no credit contingency features in these derivatives. During the quarters ended March 31, 2026 and 2025, we recognized net foreign exchange gains of $0.3 million and losses of $0.1 million, respectively, in the Condensed Consolidated Statements of Operations. The net foreign exchange impact recognized from these hedges offset the translation exposure of these transactions.

The change in fair value of our foreign currency forward exchange contracts under hedge designations recorded net of tax within accumulated other comprehensive loss for the quarters ended March 31, 2026 and March 31, 2025 was as follows:

 

 

 

Quarters Ended March 31,

 

 

(In millions)

 

2026

 

 

2025

 

 

Unrealized gains (losses) at beginning of period, net of tax

 

$

10.5

 

 

$

(7.9

)

 

Losses reclassified to net sales

 

 

(3.0

)

 

 

1.1

 

 

(Decrease) increase in fair value

 

 

(5.6

)

 

 

8.9

 

 

Unrealized gains at end of period, net of tax

 

$

1.9

 

 

$

2.1

 

 

 

Unrealized gains of $3.9 million recorded in accumulated other comprehensive loss, less taxes of $1.0 million, as of March 31, 2026, are expected to be reclassified into earnings over the next twelve months as the hedged sales are recorded.

 

Commodity Swap Agreements

We use commodity swap agreements to hedge against price fluctuations of raw materials, including propylene (the principal component of acrylonitrile). As of March 31, 2026, we had commodity swap agreements with a notional value of $14.8 million. The swaps mature monthly through December 2027. The swaps are accounted for as a cash flow hedge of our forward raw material purchases. To ensure the swaps are highly effective, all of the critical terms of the swap matched the terms of the hedged items.

The fair value of outstanding derivative financial instruments as of March 31, 2026 and December 31, 2025 were as follows:

 

 

Prepaid and Other Current Assets

 

Other Assets

 

Current Liabilities

 

Non-Current Liabilities

(In millions)

 

March 31, 2026

 

December 31, 2025

 

March 31, 2026

 

December 31, 2025

 

March 31, 2026

 

December 31, 2025

 

March 31, 2026

 

December 31, 2025

Derivative Products

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency forward exchange contracts

 

$5.3

 

$10.7

 

$1.2

 

$4.0

 

$1.7

 

$0.2

 

$2.3

 

$0.3

  Commodity swaps

 

2.5

 

—

 

0.4

 

—

 

—

 

3.6

 

0.1

 

0.5

Total Derivative Products

 

$7.8

 

$10.7

 

$1.6

 

$4.0

 

$1.7

 

$3.8

 

$2.4

 

$0.8
v3.26.1
Fair Value Measurements
 3 Months Ended
Mar. 31, 2026
Fair Value Disclosures [Abstract]  
Fair Value Measurements

Note 7 — Fair Value Measurements

The authoritative guidance for fair value measurements establishes a hierarchy for observable and unobservable inputs used to measure fair value, into three broad levels, which are described below:

•
Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs.
•
Level 2: Observable prices that are based on inputs not quoted on active markets but corroborated by market data.
•
Level 3: Unobservable inputs are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs.

In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as consider our own and counterparty credit risk in our assessment of fair value.

We have no assets or liabilities that utilize Level 3 inputs.

For derivative assets and liabilities that utilize Level 2 inputs, we prepare estimates of future cash flows of our derivatives, which are discounted to a net present value. The estimated cash flows and the discount factors used in the valuation model are based on observable inputs and incorporate non-performance risk (the credit standing of the counterparty when the derivative is in a net asset position, and the credit standing of Hexcel when the derivative is in a net liability position). For further information on the fair value of our derivative financial instruments see Note 6, Derivative Financial Instruments. In addition, the fair value of these derivative contracts, which are subject to a master netting arrangement under certain circumstances, is presented on a gross basis in the Condensed Consolidated Balance Sheets.

Below is a summary of valuation techniques for all Level 2 financial assets and liabilities:

•
Foreign exchange derivative assets and liabilities — valued using quoted forward foreign exchange prices at the reporting date.
•
Commodity swap agreements — valued using quoted forward commodity prices at the reporting date.

Counterparties to the above contracts are highly rated financial institutions, none of which experienced any significant downgrades in the three months ended March 31, 2026 that would reduce the receivable amount owed, if any, to the Company.
v3.26.1
Revenue
 3 Months Ended
Mar. 31, 2026
Revenue from Contract with Customer [Abstract]  
Revenue

Note 8 — Revenue

 

Our revenue is primarily derived from the sale of inventory under long-term contracts with our customers. We have determined that individual purchase orders (“PO”), the terms and conditions of which are taken with a master agreement, create the ASC 606 contracts, which are generally short-term in nature. For those sales that are not tied to a long-term agreement, we generate a PO that is subject to our standard terms and conditions. In instances where our customers acquire our goods related to government contracts, the contracts are typically subject to terms similar, or equal to, the Federal Acquisition Regulation Part 52.249-2. This regulation contains a termination for convenience clause (“T for C”), which requires that the customer pay for the cost of both the finished and unfinished goods at the time of cancellation plus a reasonable profit.

 

We recognize revenue over time for those agreements that have T for C, and where the products being produced have no alternative use. As our production cycle is typically nine months or less, it is expected that goods related to the revenue recognized over time will be shipped and billed within the next twelve months. Less than half of our agreements contain provisions which would require revenue to be recognized over time. All other revenue is recognized at a point in time.

 

We disaggregate our revenue based on market for analytical purposes. The following table details our revenue by market for the three months ended March 31, 2026 and 2025:

 

 

 

Quarters Ended March 31,

 

(In millions)

2026

 

 

2025

 

Consolidated Net Sales

$

501.5

 

$

456.5

 

Commercial Aerospace

 

332.7

 

 

 

280.1

 

Defense, Space & Other

 

168.8

 

 

 

176.4

 

Revenue recognized over time gives rise to contract assets, which represent revenue recognized but unbilled. Contract assets are included in our Condensed Consolidated Balance Sheets as a component of current assets. The activity related to contract assets for the three months ended March 31, 2026 was as follows:

 

(In millions)

Composite Material

 

Engineered Products

 

Total

 

Balance at December 31, 2025

$

11.4

 

 

$

24.5

 

 

$

35.9

 

Net revenue billed

 

1.2

 

 

 

3.3

 

 

 

4.5

 

Balance at March 31, 2026

$

12.6

 

$

27.8

 

$

40.4

 

 

Accounts receivable, net, includes amounts billed to customers where the right to payment is unconditional.
v3.26.1
Segment Information
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Segment Information

Note 9 — Segment Information

The financial results for our operating segments are prepared using a management approach, which is consistent with the basis and manner in which we internally segregate financial information for the purpose of assisting in making internal operating decisions. We evaluate the performance of our operating segments based on operating income, and generally account for intersegment sales based on arm’s length prices. Corporate and certain other expenses are not allocated to the operating segments, except to the extent that the expense can be directly attributable to the business segment.

We have two reportable segments: Composite Materials and Engineered Products. The Composite Materials segment is comprised of our carbon fiber, specialty reinforcements, resin systems, prepregs and other fiber-reinforced matrix materials, and honeycomb core product lines and pultruded profiles. The Engineered Products segment is comprised of lightweight high strength composite structures, radio frequency/electromagnetic interference (“RF/EMI”) and microwave absorbing materials, engineered core and specialty machined honeycomb products with added functionality.

Financial information for our operating segments for the three months ended March 31, 2026 and 2025 was as follows:

 

 

 

 

 

 

Composite

 

 

Engineered

 

 

Corporate &

 

 

 

 

(In millions)

 

Materials

 

 

Products

 

 

Other (a)

 

 

Total

 

Quarter Ended March 31, 2026

 

 

 

 

 

 

 

 

 

 

 

 

Net sales to external customers

 

$

398.8

 

 

$

102.7

 

 

$

-

 

 

$

501.5

 

Intersegment sales

 

 

28.4

 

 

 

1.6

 

 

 

(30.0

)

 

 

-

 

Total sales

 

 

427.2

 

 

 

104.3

 

 

 

(30.0

)

 

 

501.5

 

Cost of sales

 

 

313.3

 

 

 

83.5

 

 

 

(30.0

)

 

 

366.8

 

Gross margin

 

 

113.9

 

 

 

20.8

 

 

 

-

 

 

 

134.7

 

Selling, general and administrative expenses

 

 

22.3

 

 

 

4.1

 

 

 

23.0

 

 

 

49.4

 

Research and development expenses

 

 

16.2

 

 

 

1.5

 

 

 

0.1

 

 

 

17.8

 

Other operating expense

 

 

5.7

 

 

 

-

 

 

 

4.2

 

 

 

9.9

 

Operating income (loss)

 

$

69.7

 

 

$

15.2

 

 

$

(27.3

)

 

$

57.6

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

$

27.2

 

 

$

3.2

 

 

$

-

 

 

$

30.4

 

Stock-based compensation

 

 

3.4

 

 

 

0.8

 

 

 

5.1

 

 

 

9.3

 

Accrual basis additions to capital expenditures

 

 

16.0

 

 

 

1.7

 

 

 

-

 

 

 

17.7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Quarter Ended March 31, 2025

 

 

 

 

 

 

 

 

 

 

 

 

Net sales to external customers

 

$

365.3

 

 

$

91.2

 

 

$

-

 

 

$

456.5

 

Intersegment sales

 

 

20.1

 

 

 

0.3

 

 

 

(20.4

)

 

 

-

 

Total sales

 

$

385.4

 

 

$

91.5

 

 

$

(20.4

)

 

$

456.5

 

Cost of sales

 

 

293.5

 

 

 

79.9

 

 

 

(19.3

)

 

 

354.1

 

Gross margin

 

 

91.9

 

 

 

11.6

 

 

 

(1.1

)

 

 

102.4

 

Selling, general and administrative expenses

 

 

25.5

 

 

 

4.3

 

 

 

13.5

 

 

 

43.3

 

Research and development expenses

 

 

11.8

 

 

 

1.1

 

 

 

0.9

 

 

 

13.8

 

Other operating expense

 

 

-

 

 

 

1.1

 

 

 

-

 

 

 

1.1

 

Operating income (loss)

 

 

54.6

 

 

 

5.1

 

 

 

(15.5

)

 

 

44.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

$

26.6

 

 

$

3.2

 

 

$

-

 

 

$

29.8

 

Stock-based compensation

 

 

3.0

 

 

 

0.8

 

 

 

5.9

 

 

 

9.7

 

Accrual basis additions to capital expenditures

 

 

15.5

 

 

 

1.6

 

 

 

-

 

 

 

17.1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(a)
We do not allocate corporate expenses to the operating segments.

 

Goodwill and Intangible Assets

 

Composite

 

 

Engineered

 

 

 

 

(In millions)

 

Materials

 

 

Products

 

 

Total

 

Balance at December 31, 2025

 

$

89.9

 

 

$

149.9

 

 

$

239.8

 

Amortization expense

 

 

(0.4

)

 

 

(1.0

)

 

 

(1.4

)

Currency translation adjustments

 

 

(1.0

)

 

 

-

 

 

 

(1.0

)

Balance at March 31, 2026

 

$

88.5

 

 

$

148.9

 

 

$

237.4

 

 

At March 31, 2026, the balance of goodwill and intangible assets was $190.7 million and $46.7 million, respectively.

 

 

 

Composite

 

Engineered

 

Corporate &

 

 

(In millions)

 

Materials

 

Products

 

Other (a)

 

Total

Segment assets

 

 

 

 

 

 

 

 

March 31, 2026

 

$2,062.4

 

$615.0

 

$46.5

 

$2,723.9

December 31, 2025

 

2,066.7

 

596.2

 

41.1

 

2,704.0
v3.26.1
Accumulated Other Comprehensive Loss
 3 Months Ended
Mar. 31, 2026
Equity [Abstract]  
Accumulated Other Comprehensive Loss

Note 10 — Accumulated Other Comprehensive Loss

 

Comprehensive loss represents net loss and other gains and losses affecting stockholders’ equity that are not reflected in the Condensed Consolidated Statements of Operations. The components of accumulated other comprehensive loss as of March 31, 2026 and December 31, 2025 were as follows:

 

(In millions)

 

Unrecognized
Net Defined
Benefit and
Postretirement
Plan Costs

 

 

Change in Fair
Value of
Derivatives
Products (1)

 

 

Foreign
Currency
Translation

 

 

Total

 

Balance at December 31, 2025

 

$

(1.1

)

 

$

11.1

 

 

$

(22.9

)

 

$

(12.9

)

Other comprehensive loss before reclassifications

 

 

(0.2

)

 

 

(1.3

)

 

 

(13.6

)

 

 

(15.1

)

Amounts reclassified from accumulated other comprehensive
loss

 

 

-

 

 

 

(2.5

)

 

 

-

 

 

 

(2.5

)

Other comprehensive loss

 

 

(0.2

)

 

 

(3.8

)

 

 

(13.6

)

 

 

(17.6

)

Balance at March 31, 2026

 

$

(1.3

)

 

$

7.3

 

 

$

(36.5

)

 

$

(30.5

)

 

 
(1)
Includes forward foreign exchange contracts, interest rate derivatives and commodity swaps.

 

The amounts of net (gains) losses reclassified to earnings from the unrecognized net defined benefit and postretirement plan costs and derivative products components of accumulated other comprehensive loss for the three months ended March 31, 2026 and 2025 were as follows:

 

 

 

Quarter Ended March 31, 2026

 

 

Quarter Ended March 31, 2025

 

(In millions)

 

Pre-tax (gain) loss

 

 

Net of tax (gain) loss

 

 

Pre-tax (gain) loss

 

 

Net of tax (gain) loss

 

Derivative Products

 

 

 

 

 

 

 

 

 

 

 

 

  Foreign currency forward exchange contracts

 

 

(3.9

)

 

 

(3.0

)

 

 

1.6

 

 

 

1.1

 

  Commodity swaps

 

 

0.6

 

 

 

0.5

 

 

 

(0.2

)

 

 

(0.1

)

  Interest rate swaps

 

 

—

 

 

 

—

 

 

 

2.7

 

 

 

2.1

 

Total Derivative Products

 

$

(3.3

)

 

$

(2.5

)

 

$

4.1

 

 

$

3.1

 
v3.26.1
Commitments and Contingencies
 3 Months Ended
Mar. 31, 2026
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

Note 11 — Commitments and Contingencies

We are involved in litigation, investigations and claims arising out of the normal conduct of our business, including those relating to commercial transactions, environmental, employment and health and safety matters. While it is impossible to predict the ultimate resolution of litigation, investigations and claims asserted against us, we believe, based upon our examination of currently available information, our experience to date, and advice from legal counsel, that, after taking into account our existing insurance coverage and amounts already provided for, the currently pending legal proceedings against us will not have a material adverse impact on our consolidated results of operations, financial position or cash flows.

Environmental Matters

We have been named as a potentially responsible party (“PRP”) with respect to the below and other hazardous waste disposal sites that we do not own or possess, which are included on, or proposed to be included on, the Superfund National Priority List of the U.S. Environmental Protection Agency (“EPA”) or on equivalent lists of various state governments. Because the Federal Comprehensive Environmental Response, Compensation and Liability Act (“CERCLA” or “Superfund”) allows for joint and several liability in certain circumstances, we could be responsible for all remediation costs at such sites, even if we are one of many PRPs. We believe, based on the amount and nature of the hazardous waste at issue, and the number of other financially viable PRPs at each site, that our liability in connection with such environmental matters will not be material.

Lower Passaic River Study Area

Hexcel, together with approximately 48 other PRPs that comprise the Lower Passaic Cooperating Parties Group (the “CPG”), are subject to a May 2007 Administrative Order on Consent (“AOC”) with the EPA requiring the CPG to perform a Remedial Investigation/Feasibility Study of environmental conditions of a 17-mile stretch of the Passaic River in New Jersey (the “Lower Passaic River”). We were included in the CPG based on our operations at our former manufacturing site in Lodi, New Jersey.

In March 2016, the EPA issued a Record of Decision (“ROD”) setting forth the EPA’s selected remedy for the lower eight miles of the Lower Passaic River at an expected cost ranging from $0.97 billion to $2.07 billion. In August 2017, the EPA appointed an independent third-party allocation expert to make recommendations on the relative liability of approximately 120 identified non-government PRPs for the lower eight miles of the Lower Passaic River. In December 2020, the allocator issued its non-binding report on PRP liability (including Hexcel’s) to the EPA. In October 2021, the EPA released a ROD selecting an interim remedy for the upper nine miles of the Lower Passaic River at an expected additional cost ranging from $308.7 million to $661.5 million.

In October 2016, pursuant to a settlement agreement with the EPA, Occidental Chemical Corporation (“OCC”), one of the PRPs, commenced performance of the remedial design required by the ROD for the lower eight miles of the Lower Passaic River, reserving its right of cost contribution from all other PRPs. In June 2018, OCC filed suit against approximately 120 parties, including Hexcel, in the U.S. District Court of the District of New Jersey seeking cost recovery and contribution under CERCLA related to the Lower Passaic River. In July 2019, the court granted in part and denied in part the defendants’ motion to dismiss. In August 2020, the court granted defendants’ motion for summary judgment for certain claims. Discovery for the remaining claims has been stayed indefinitely based on agreement of the parties. On February 24, 2021, Hexcel and certain other defendants filed a third-party complaint against the Passaic Valley Sewerage Commission and certain New Jersey municipalities seeking recovery of Passaic-related cleanup costs incurred by defendants, as well as contribution for any cleanup costs incurred by OCC for which the court deems the defendants liable. In March 2023, the EPA issued a Unilateral Administrative Order (“UAO”) to OCC ordering OCC to commence remedial design work for the interim remedy for the cleanup of the upper nine miles of the Lower Passaic River. On March 24, 2023, OCC filed suit against Hexcel and approximately 38 other parties claiming cost recovery under CERCLA for future costs related to its compliance with the UAO. On January 5, 2024, the U.S. District Court stayed the foregoing claim initiated by OCC until the completion of the Passaic-related Consent Decree process.

On December 16, 2022, the EPA lodged a Consent Decree with the U.S. District Court for the District of New Jersey requesting court approval of a $150 million settlement of the EPA’s CERCLA claims against Hexcel and 83 other PRPs for costs related to alleged contamination of the upper and lower portions of the Lower Passaic River. The 84 PRPs have collectively placed $150 million in escrow, pending District Court approval of the Consent Decree. In December 2024, the District Court granted the issuance of the Consent Decree, however, this decision has been appealed. Briefing on the appeal was completed in January 2026.

Summary of Environmental Reserves

Our estimate of liability as a PRP and our remaining costs associated with our responsibility to remediate the Lower Passaic River and other sites are accrued in the Consolidated Balance Sheets. As of both March 31, 2026 and December 31, 2025, our aggregate environmental related accruals were $0.1 million. These amounts were included in non-current liabilities.

These accruals can change significantly from period to period due to such factors as additional information on the nature or extent of contamination, the methods of remediation required, changes in the apportionment of costs among responsible parties and other actions by governmental agencies or private parties, or the impact, if any, of being named in a new matter.

Product Warranty

We provide standard assurance-type warranties for our products, which cannot be purchased separately and do not meet the criteria to be considered a performance obligation. Warranty expense for the three months ended March 31, 2026, and accrued warranty cost, included in “accrued liabilities” in the Condensed Consolidated Balance Sheets at March 31, 2026 and December 31, 2025, were as follows:

 

 

 

Product

 

(In millions)

 

Warranties

 

Balance as of December 31, 2025

 

$

3.0

 

Warranty expense

 

 

1.1

 

Deductions and other

 

 

(1.1

)

Balance as of March 31, 2026

 

$

3.0

 
v3.26.1
Restructuring
 3 Months Ended
Mar. 31, 2026
Restructuring and Related Activities [Abstract]  
Restructuring

Note 12 — Restructuring

 

During the first quarter of 2026, we incurred restructuring expenses of $5.5 million related to the Leicester, UK facility. Anticipated future cash payments as of March 31, 2026 were $6.9 million.

 

 

 

 

 

 

Activity for the Quarter Ended March 31, 2026

 

 

 

 

 

December 31,

 

 

Restructuring

 

 

 

 

 

Cash

 

 

 

 

 

March 31,

 

(In Millions)

2025

 

 

Charge

 

 

FX Impact

 

 

Paid

 

 

Non-Cash

 

 

2026

 

Employee termination

$

2.5

 

 

$

2.2

 

 

$

(0.1

)

 

$

(1.8

)

 

$

—

 

 

$

2.8

 

Impairment and other

 

3.0

 

 

 

3.3

 

 

 

(0.1

)

 

 

—

 

 

 

(2.1

)

 

 

4.1

 

Total

$

5.5

 

 

$

5.5

 

 

$

(0.2

)

 

$

(1.8

)

 

$

(2.1

)

 

 

6.9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 
v3.26.1
Capital Stock
 3 Months Ended
Mar. 31, 2026
Stockholders' Equity Note [Abstract]  
Capital Stock

Note 13 — Capital Stock

 

On February 19, 2024, the Board approved a $300 million share repurchase plan (the “2024 Share Repurchase Plan”). As of December 31, 2025, the 2024 Share Repurchase Plan was fully utilized. The repurchases of the Company’s common stock under the 2024 Share Repurchase Plan were made in open market transactions, block transactions, privately negotiated purchase transactions or other purchase techniques at the discretion of management based upon consideration of market, business, legal, accounting, and other factors.

 

On October 22, 2025, the Board approved an additional $600 million share repurchase plan (the "2025 Share Repurchase Plan"), and, as part of the 2025 Share Repurchase Plan, the Company entered into accelerated share repurchase agreements (the "ASR") to purchase an aggregate of $350 million of the Company's common stock. On October 24, 2025, the Company paid Bank of America, N.A. (“Bank of America”) and Goldman Sachs & Co. LLC (together with Bank of America, the “Counterparties”) an aggregate amount of $350 million and received an initial delivery of approximately 3.95 million shares of the Company's common stock, representing 80% of the shares expected to be repurchased under the ASR agreement, at a price of $70.95 per share, which was the closing price of our common stock on October 24, 2025.

 

The final settlement under the ASR program with Bank of America occurred on February 27, 2026 and with Goldman Sachs & Co. LLC on March 3, 2026, at which time we received additional shares of approximately 0.57 million. In total, we received 4.52 million shares under the ASR agreement. The total shares received were calculated based on a price per share of $77.38 per share which was based on the average of the daily volume-weighted average prices of the Company’s common stock during the term of the ASR Agreements, less a discount and subject to adjustments pursuant to the terms and conditions of the ASR Agreements.

 

As of March 31, 2026, the Company had approximately $380.6 million available for additional repurchases under the 2025 Share Repurchase Plan.
v3.26.1
Significant Accounting Policies (Policies)
 3 Months Ended
Mar. 31, 2026
Accounting Policies [Abstract]  
Basis of Presentation

Basis of Presentation

The accompanying condensed consolidated financial statements have been prepared from the unaudited accounting records of Hexcel pursuant to rules and regulations of the Securities and Exchange Commission (“SEC”) and in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information. Certain information and footnote disclosures normally included in financial statements have been omitted pursuant to rules and regulations of the SEC. In the opinion of management, the condensed consolidated financial statements include all normal recurring adjustments as well as any non-recurring adjustments necessary to present fairly the statement of financial position, results of operations, cash flows and statement of stockholders’ equity for the interim periods presented. The Condensed Consolidated Balance Sheet as of December 31, 2025 was derived from the audited 2025 consolidated balance sheet. Interim results are not necessarily indicative of results expected for any other interim period or for the full year. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2025 Annual Report on Form 10-K.

Commencing with the first quarter of 2026, we have renamed our Research and Technology ("R&T") function to Research and Development ("R&D").
v3.26.1
Net Income Per Common Share (Tables)
 3 Months Ended
Mar. 31, 2026
Earnings Per Share [Abstract]  
Summary of Earnings Per Share Basic and Diluted

 

 

Quarters Ended March 31,

 

(In millions, except per share data)

 

2026

 

 

2025

 

Basic net income per common share:

 

 

 

 

 

 

Net income

 

$

37.2

 

 

$

28.9

 

Weighted average common shares outstanding

 

 

75.9

 

 

 

81.1

 

 

 

 

 

 

 

 

Basic net income per common share

 

$

0.49

 

 

$

0.36

 

 

 

 

 

 

 

 

Diluted net income per common share:

 

 

 

 

 

 

Net income

 

$

37.2

 

 

$

28.9

 

 

 

 

 

 

 

 

Weighted average common shares outstanding — Basic

 

 

75.9

 

 

 

81.1

 

Plus incremental shares from assumed conversions:

 

 

 

 

 

 

Restricted stock units

 

 

0.5

 

 

 

0.4

 

Stock options

 

 

0.4

 

 

 

0.2

 

Weighted average common shares outstanding — Dilutive

 

 

76.7

 

 

 

81.7

 

 

 

 

 

 

 

 

Diluted net income per common share

 

$

0.49

 

 

$

0.35

 
v3.26.1
Inventories (Tables)
 3 Months Ended
Mar. 31, 2026
Inventory Disclosure [Abstract]  
Schedule of Inventories

 

 

 

 

 

 

 

(In millions)

 

March 31, 2026

 

 

December 31, 2025

 

Raw materials

 

$

172.3

 

 

$

150.7

 

Work in progress

 

 

40.0

 

 

 

42.3

 

Finished goods

 

 

127.5

 

 

 

135.8

 

Total Inventory

 

$

339.8

 

 

$

328.8

 
v3.26.1
Debt (Tables)
 3 Months Ended
Mar. 31, 2026
Debt Disclosure [Abstract]  
Schedule of Debt and Capital Lease Obligations

(In millions)

 

March 31, 2026

 

 

December 31, 2025

 

Senior Unsecured credit facility

 

$

300.0

 

 

$

295.0

 

3.95% senior notes --- due 2027

 

 

400.0

 

 

 

400.0

 

5.875% senior notes --- due 2035

 

 

300.0

 

 

 

300.0

 

Senior notes --- original issue discount

 

 

(0.2

)

 

 

(0.2

)

Senior notes --- deferred financing costs

 

 

(3.7

)

 

 

(3.9

)

Non-current portion of finance lease and other debt

 

 

2.0

 

 

 

2.1

 

Long-term debt

 

 

998.1

 

 

 

993.0

 

Total debt

 

$

998.1

 

 

$

993.0

 
v3.26.1
Derivative Financial Instruments (Tables)
 3 Months Ended
Mar. 31, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Change in Fair Value of Foreign Currency Forward Exchange Contracts Under Hedge Designations

The change in fair value of our foreign currency forward exchange contracts under hedge designations recorded net of tax within accumulated other comprehensive loss for the quarters ended March 31, 2026 and March 31, 2025 was as follows:

 

 

 

Quarters Ended March 31,

 

 

(In millions)

 

2026

 

 

2025

 

 

Unrealized gains (losses) at beginning of period, net of tax

 

$

10.5

 

 

$

(7.9

)

 

Losses reclassified to net sales

 

 

(3.0

)

 

 

1.1

 

 

(Decrease) increase in fair value

 

 

(5.6

)

 

 

8.9

 

 

Unrealized gains at end of period, net of tax

 

$

1.9

 

 

$

2.1

 

 

 
Schedule of fair value of outstanding derivative financial instruments

The fair value of outstanding derivative financial instruments as of March 31, 2026 and December 31, 2025 were as follows:

 

 

Prepaid and Other Current Assets

 

Other Assets

 

Current Liabilities

 

Non-Current Liabilities

(In millions)

 

March 31, 2026

 

December 31, 2025

 

March 31, 2026

 

December 31, 2025

 

March 31, 2026

 

December 31, 2025

 

March 31, 2026

 

December 31, 2025

Derivative Products

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency forward exchange contracts

 

$5.3

 

$10.7

 

$1.2

 

$4.0

 

$1.7

 

$0.2

 

$2.3

 

$0.3

  Commodity swaps

 

2.5

 

—

 

0.4

 

—

 

—

 

3.6

 

0.1

 

0.5

Total Derivative Products

 

$7.8

 

$10.7

 

$1.6

 

$4.0

 

$1.7

 

$3.8

 

$2.4

 

$0.8
v3.26.1
Revenue (Tables)
 3 Months Ended
Mar. 31, 2026
Revenue from Contract with Customer [Abstract]  
Schedule of Revenue by Market The following table details our revenue by market for the three months ended March 31, 2026 and 2025:

 

 

 

Quarters Ended March 31,

 

(In millions)

2026

 

 

2025

 

Consolidated Net Sales

$

501.5

 

$

456.5

 

Commercial Aerospace

 

332.7

 

 

 

280.1

 

Defense, Space & Other

 

168.8

 

 

 

176.4

 
Schedule of Activity Related to Contract Assets The activity related to contract assets for the three months ended March 31, 2026 was as follows:

 

(In millions)

Composite Material

 

Engineered Products

 

Total

 

Balance at December 31, 2025

$

11.4

 

 

$

24.5

 

 

$

35.9

 

Net revenue billed

 

1.2

 

 

 

3.3

 

 

 

4.5

 

Balance at March 31, 2026

$

12.6

 

$

27.8

 

$

40.4

 
v3.26.1
Segment Information (Tables)
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Schedule of Operating Segment Reporting Information

Financial information for our operating segments for the three months ended March 31, 2026 and 2025 was as follows:

 

 

 

 

 

 

Composite

 

 

Engineered

 

 

Corporate &

 

 

 

 

(In millions)

 

Materials

 

 

Products

 

 

Other (a)

 

 

Total

 

Quarter Ended March 31, 2026

 

 

 

 

 

 

 

 

 

 

 

 

Net sales to external customers

 

$

398.8

 

 

$

102.7

 

 

$

-

 

 

$

501.5

 

Intersegment sales

 

 

28.4

 

 

 

1.6

 

 

 

(30.0

)

 

 

-

 

Total sales

 

 

427.2

 

 

 

104.3

 

 

 

(30.0

)

 

 

501.5

 

Cost of sales

 

 

313.3

 

 

 

83.5

 

 

 

(30.0

)

 

 

366.8

 

Gross margin

 

 

113.9

 

 

 

20.8

 

 

 

-

 

 

 

134.7

 

Selling, general and administrative expenses

 

 

22.3

 

 

 

4.1

 

 

 

23.0

 

 

 

49.4

 

Research and development expenses

 

 

16.2

 

 

 

1.5

 

 

 

0.1

 

 

 

17.8

 

Other operating expense

 

 

5.7

 

 

 

-

 

 

 

4.2

 

 

 

9.9

 

Operating income (loss)

 

$

69.7

 

 

$

15.2

 

 

$

(27.3

)

 

$

57.6

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

$

27.2

 

 

$

3.2

 

 

$

-

 

 

$

30.4

 

Stock-based compensation

 

 

3.4

 

 

 

0.8

 

 

 

5.1

 

 

 

9.3

 

Accrual basis additions to capital expenditures

 

 

16.0

 

 

 

1.7

 

 

 

-

 

 

 

17.7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Quarter Ended March 31, 2025

 

 

 

 

 

 

 

 

 

 

 

 

Net sales to external customers

 

$

365.3

 

 

$

91.2

 

 

$

-

 

 

$

456.5

 

Intersegment sales

 

 

20.1

 

 

 

0.3

 

 

 

(20.4

)

 

 

-

 

Total sales

 

$

385.4

 

 

$

91.5

 

 

$

(20.4

)

 

$

456.5

 

Cost of sales

 

 

293.5

 

 

 

79.9

 

 

 

(19.3

)

 

 

354.1

 

Gross margin

 

 

91.9

 

 

 

11.6

 

 

 

(1.1

)

 

 

102.4

 

Selling, general and administrative expenses

 

 

25.5

 

 

 

4.3

 

 

 

13.5

 

 

 

43.3

 

Research and development expenses

 

 

11.8

 

 

 

1.1

 

 

 

0.9

 

 

 

13.8

 

Other operating expense

 

 

-

 

 

 

1.1

 

 

 

-

 

 

 

1.1

 

Operating income (loss)

 

 

54.6

 

 

 

5.1

 

 

 

(15.5

)

 

 

44.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

$

26.6

 

 

$

3.2

 

 

$

-

 

 

$

29.8

 

Stock-based compensation

 

 

3.0

 

 

 

0.8

 

 

 

5.9

 

 

 

9.7

 

Accrual basis additions to capital expenditures

 

 

15.5

 

 

 

1.6

 

 

 

-

 

 

 

17.1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(a)
We do not allocate corporate expenses to the operating segments.
Schedule of Goodwill and Intangible Assets by Segment

Goodwill and Intangible Assets

 

Composite

 

 

Engineered

 

 

 

 

(In millions)

 

Materials

 

 

Products

 

 

Total

 

Balance at December 31, 2025

 

$

89.9

 

 

$

149.9

 

 

$

239.8

 

Amortization expense

 

 

(0.4

)

 

 

(1.0

)

 

 

(1.4

)

Currency translation adjustments

 

 

(1.0

)

 

 

-

 

 

 

(1.0

)

Balance at March 31, 2026

 

$

88.5

 

 

$

148.9

 

 

$

237.4

 
Schedule of Segment Assets

 

 

Composite

 

Engineered

 

Corporate &

 

 

(In millions)

 

Materials

 

Products

 

Other (a)

 

Total

Segment assets

 

 

 

 

 

 

 

 

March 31, 2026

 

$2,062.4

 

$615.0

 

$46.5

 

$2,723.9

December 31, 2025

 

2,066.7

 

596.2

 

41.1

 

2,704.0
v3.26.1
Accumulated Other Comprehensive Loss (Tables)
 3 Months Ended
Mar. 31, 2026
Equity [Abstract]  
Schedule of Components of Accumulated Other Comprehensive Loss The components of accumulated other comprehensive loss as of March 31, 2026 and December 31, 2025 were as follows:

 

(In millions)

 

Unrecognized
Net Defined
Benefit and
Postretirement
Plan Costs

 

 

Change in Fair
Value of
Derivatives
Products (1)

 

 

Foreign
Currency
Translation

 

 

Total

 

Balance at December 31, 2025

 

$

(1.1

)

 

$

11.1

 

 

$

(22.9

)

 

$

(12.9

)

Other comprehensive loss before reclassifications

 

 

(0.2

)

 

 

(1.3

)

 

 

(13.6

)

 

 

(15.1

)

Amounts reclassified from accumulated other comprehensive
loss

 

 

-

 

 

 

(2.5

)

 

 

-

 

 

 

(2.5

)

Other comprehensive loss

 

 

(0.2

)

 

 

(3.8

)

 

 

(13.6

)

 

 

(17.6

)

Balance at March 31, 2026

 

$

(1.3

)

 

$

7.3

 

 

$

(36.5

)

 

$

(30.5

)

 

 
(1)
Includes forward foreign exchange contracts, interest rate derivatives and commodity swaps.
Schedule of Unrecognized Net Defined Benefit and Postretirement Plan Costs

The amounts of net (gains) losses reclassified to earnings from the unrecognized net defined benefit and postretirement plan costs and derivative products components of accumulated other comprehensive loss for the three months ended March 31, 2026 and 2025 were as follows:

 

 

 

Quarter Ended March 31, 2026

 

 

Quarter Ended March 31, 2025

 

(In millions)

 

Pre-tax (gain) loss

 

 

Net of tax (gain) loss

 

 

Pre-tax (gain) loss

 

 

Net of tax (gain) loss

 

Derivative Products

 

 

 

 

 

 

 

 

 

 

 

 

  Foreign currency forward exchange contracts

 

 

(3.9

)

 

 

(3.0

)

 

 

1.6

 

 

 

1.1

 

  Commodity swaps

 

 

0.6

 

 

 

0.5

 

 

 

(0.2

)

 

 

(0.1

)

  Interest rate swaps

 

 

—

 

 

 

—

 

 

 

2.7

 

 

 

2.1

 

Total Derivative Products

 

$

(3.3

)

 

$

(2.5

)

 

$

4.1

 

 

$

3.1

 
v3.26.1
Commitments and Contingencies (Tables)
 3 Months Ended
Mar. 31, 2026
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Product Warranty

We provide standard assurance-type warranties for our products, which cannot be purchased separately and do not meet the criteria to be considered a performance obligation. Warranty expense for the three months ended March 31, 2026, and accrued warranty cost, included in “accrued liabilities” in the Condensed Consolidated Balance Sheets at March 31, 2026 and December 31, 2025, were as follows:

 

 

 

Product

 

(In millions)

 

Warranties

 

Balance as of December 31, 2025

 

$

3.0

 

Warranty expense

 

 

1.1

 

Deductions and other

 

 

(1.1

)

Balance as of March 31, 2026

 

$

3.0

 
v3.26.1
Restructuring (Tables)
 3 Months Ended
Mar. 31, 2026
Restructuring and Related Activities [Abstract]  
Schedule of Restructuring

 

 

 

 

Activity for the Quarter Ended March 31, 2026

 

 

 

 

 

December 31,

 

 

Restructuring

 

 

 

 

 

Cash

 

 

 

 

 

March 31,

 

(In Millions)

2025

 

 

Charge

 

 

FX Impact

 

 

Paid

 

 

Non-Cash

 

 

2026

 

Employee termination

$

2.5

 

 

$

2.2

 

 

$

(0.1

)

 

$

(1.8

)

 

$

—

 

 

$

2.8

 

Impairment and other

 

3.0

 

 

 

3.3

 

 

 

(0.1

)

 

 

—

 

 

 

(2.1

)

 

 

4.1

 

Total

$

5.5

 

 

$

5.5

 

 

$

(0.2

)

 

$

(1.8

)

 

$

(2.1

)

 

 

6.9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 
v3.26.1
Net Income Per Common Share - Summary of Earnings Per Share Basic and Diluted (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Basic net income per common share:    
Net income $ 37.2 $ 28.9
Weighted average common shares outstanding - Basic (in shares) 75.9 81.1
Basic net income per common share $ 0.49 $ 0.36
Diluted net income per common share:    
Net income $ 37.2 $ 28.9
Weighted average common shares outstanding - Basic (in shares) 75.9 81.1
Plus incremental shares from assumed conversions:    
Weighted average common shares outstanding - Dilutive (in shares) 76.7 81.7
Diluted net income per common share $ 0.49 $ 0.35
Restricted Stock Units    
Plus incremental shares from assumed conversions:    
Incremental shares from assumed conversions 0.5 0.4
Employee Stock Option    
Plus incremental shares from assumed conversions:    
Incremental shares from assumed conversions 0.4 0.2
v3.26.1
Net Income Per Common Share - Additional Information (Details) - shares
shares in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Earnings Per Share [Abstract]    
Anti-dilutive securities excluded from computation of earnings per share amount (in shares) 0.2 1.1
v3.26.1
Inventories - Schedule of Inventories (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Inventory Disclosure [Abstract]    
Raw materials $ 172.3 $ 150.7
Work in progress 40.0 42.3
Finished goods 127.5 135.8
Total Inventory $ 339.8 $ 328.8
v3.26.1
Retirement and Other Postretirement Benefit Plans - Schedule of Amounts Recognized on Balance Sheet (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Amounts recognized on the balance sheet:    
Other non-current liabilities $ 27.8 $ 28.4
v3.26.1
Retirement and Other Postretirement Benefit Plans - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Defined Benefit Retirement Plans    
Amounts recognized on the balance sheet:    
Expense related to the defined benefit retirement plans $ 0.4 $ 0.5
v3.26.1
Debt - Schedule of Debt and Capital Lease Obligations (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Debt Instrument [Line Items]    
Senior notes --- original issue discount $ (0.2) $ (0.2)
Senior notes --- deferred financing costs (3.7) (3.9)
Non-current portion of finance lease and other debt 2.0 2.1
Long-term debt 998.1 993.0
Total debt 998.1 993.0
Senior unsecured credit facility [Member]    
Debt Instrument [Line Items]    
Long-term debt 300.0 295.0
3.95% senior notes due 2027 [Member]    
Debt Instrument [Line Items]    
Senior notes 400.0 400.0
5.875% senior notes due 2035 [Member]    
Debt Instrument [Line Items]    
Senior notes $ 300.0 $ 300.0
v3.26.1
Debt - Schedule of Debt and Capital Lease Obligations (Parenthetical) (Details)
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
3.95% senior notes due 2027 [Member]    
Debt Instrument [Line Items]    
Debt instrument, interest rate 3.95%  
Debt instrument, maturity year 2027  
5.875% senior notes due 2035 [Member]    
Debt Instrument [Line Items]    
Debt instrument, interest rate 5.875% 5.875%
Debt instrument, maturity year 2035 2035
v3.26.1
Debt - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended 12 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Dec. 31, 2017
Dec. 31, 2025
Debt Instrument [Line Items]        
SOFR rate borrowings 1.125%      
Base Rate Borrowings 0.125%      
Federal funds rate plus 0.50%      
Borrowings $ 998.1     $ 993.0
Debt Extinguishment costs 0.0 $ 0.4    
Other expenses $ 0.3      
Credit Agreement        
Debt Instrument [Line Items]        
Debt Instrument, Unused Borrowing Capacity, Description Borrowings under the Facility will bear interest, at Hexcel’s option, for SOFR rate borrowings at (i) an Adjusted Term SOFR rate (subject to a 0.00% floor), where such “Adjusted Term SOFR” rate is equal to the Term SOFR rate for the applicable interest period, plus the Applicable Margin or (ii) for base rate borrowings, the greatest of (a) the prime rate, (b) the federal funds rate plus 0.50% and (c) the Adjusted Term SOFR rate (subject to a 0.00% floor) for a one-month interest period plus 1.00%, in each case plus the Applicable Margin. The “Applicable Margin” initially was 1.125% for SOFR rate borrowings and 0.125% for base rate borrowings, and after the date on which the Agent receives a compliance certificate for the fiscal quarter ending March 31, 2026, can fluctuate, determined by reference to the more favorable to Hexcel of its (x) public debt rating and (y) consolidated leverage ratio, as specified in the Credit Agreement. Up to $50 million of the Facility may be used for letters of credit. The Credit Agreement enables Hexcel, from time to time, to add term loans or to increase the revolving credit commitment in an aggregate amount not to exceed $500 million.      
Secured Overnight Financing Rate [Member]        
Debt Instrument [Line Items]        
One-month interest period 1.00%      
Maximum        
Debt Instrument [Line Items]        
Maximum borrowing capacity $ 1.9      
Maximum | Credit Agreement        
Debt Instrument [Line Items]        
Maximum borrowing capacity $ 500.0      
3.95% Senior unsecured notes due 2027 [Member]        
Debt Instrument [Line Items]        
Face value     $ 400.0  
Debt instrument, interest rate 3.95%   3.95%  
Debt instrument, maturity year     2027  
Increase in senior notes interest rate     0.25%  
Effective interest rate 4.00%      
Debt Instrument, Interest Rate, Stated Percentage 3.95%   3.95%  
Fair value of senior unsecured notes $ 398.7      
3.95% Senior unsecured notes due 2027 [Member] | Treasury Lock [Member] | Interest Lock Agreement [Member]        
Debt Instrument [Line Items]        
Percentage of effective interest rate benefit 0.25%      
3.95% Senior unsecured notes due 2027 [Member] | Maximum        
Debt Instrument [Line Items]        
Debt instrument, interest rate     5.95%  
Debt Instrument, Interest Rate, Stated Percentage     5.95%  
Senior Unsecured Revolving Credit Facility Matures In April Two Thousand Twenty Eight [Member]        
Debt Instrument [Line Items]        
Borrowings $ 300.0      
Letters of credit issued under credit facility 0.0      
Undrawn availability under credit facility $ 450.0      
Weighted average interest rate 5.00%      
Debt maturity date Apr. 25, 2028      
Senior Unsecured Revolving Credit Facility Matures In March Two Thousand Thirty One [Member]        
Debt Instrument [Line Items]        
Maximum borrowing capacity $ 750.0      
Debt instrument expiration period Mar. 31, 2031      
Senior Unsecured Revolving Credit Facility Matures In March Two Thousand Thirty One [Member] | Credit Agreement        
Debt Instrument [Line Items]        
Maximum borrowing capacity $ 50.0      
5.875% senior notes due 2035 [Member]        
Debt Instrument [Line Items]        
Face value   $ 300.0    
Debt instrument, interest rate 5.875% 5.875%    
Debt instrument, maturity year 2035 2035    
Increase in senior notes interest rate   0.25%    
Effective interest rate 6.00%      
Debt Instrument, Interest Rate, Stated Percentage 5.875% 5.875%    
Fair value of senior unsecured notes $ 308.3      
5.875% senior notes due 2035 [Member] | Treasury Lock [Member] | Interest Lock Agreement [Member]        
Debt Instrument [Line Items]        
Percentage of effective interest rate benefit 0.10%      
5.875% senior notes due 2035 [Member] | Maximum        
Debt Instrument [Line Items]        
Debt instrument, interest rate   7.875%    
Debt Instrument, Interest Rate, Stated Percentage   7.875%    
v3.26.1
Derivative Financial Instruments - Additional Information (Details)
$ in Millions
 3 Months Ended
Mar. 31, 2026
USD ($)
Item
Mar. 31, 2025
USD ($)
Dec. 31, 2025
USD ($)
Dec. 31, 2017
Derivative [Line Items]        
Foreign currency unrealized gains expected to be reclassified into earnings over next twelve months $ 3.9      
Foreign currency unrealized gains expected to be reclassified into earnings over next twelve months, taxes $ 1.0      
3.95% Senior unsecured notes due 2027 [Member]        
Derivative [Line Items]        
Debt instrument, interest rate 3.95%     3.95%
3.95% Senior unsecured notes due 2027 [Member] | Maximum        
Derivative [Line Items]        
Debt instrument, interest rate       5.95%
5.875% Senior unsecured notes [Member]        
Derivative [Line Items]        
Percentage of reduction in effective interest rate on senior notes 0.10%      
Percentage of Changes in Issuance of Senior Unsecured Notes 5.875%      
Proceeds from issue of senior notes in settlement of derivatives $ 3.6      
Treasury Lock [Member] | 5.875% Senior unsecured notes [Member]        
Derivative [Line Items]        
Proceeds from issue of senior notes in settlement of derivatives $ 3.2      
Treasury Lock [Member] | Interest Lock Agreement [Member] | 3.95% Senior unsecured notes due 2027 [Member]        
Derivative [Line Items]        
Percentage of reduction in effective interest rate on senior notes 0.25%      
Foreign Currency Forward Exchange Contracts        
Derivative [Line Items]        
Notional amount $ 380.7   $ 403.4  
Number of credit contingency features | Item 0      
Foreign Currency Forward Exchange Contracts | Cash Flow Hedging        
Derivative [Line Items]        
Gains (losses) in other comprehensive income, effective portion $ 7.7 $ 11.9    
Net gain (loss) recognized in gross margin 3.9 1.6    
Foreign Currency Forward Exchange Contracts | Not Designated as Hedging Instrument        
Derivative [Line Items]        
Foreign exchange net gains (losses) on derivative contracts not designated as hedges 0.3 $ 0.1    
Commodity Swap Agreements        
Derivative [Line Items]        
Notional amount $ 14.8      
v3.26.1
Derivative Financial Instruments - Schedule of Change in Fair Value of Foreign Currency Forward Exchange Contracts Under Hedge Designations (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Derivative [Line Items]    
Beginning Balance $ 1,250.7 $ 1,527.9
Ending Balance 1,266.2 1,532.6
Designated as Hedging Instrument    
Derivative [Line Items]    
Beginning Balance [1] 11.1  
Ending Balance [1] 7.3  
Designated as Hedging Instrument | Foreign Currency Forward Exchange Contracts    
Derivative [Line Items]    
Beginning Balance 10.5 (7.9)
Losses reclassified to net sales (3.0) 1.1
(Decrease) increase in fair value (5.6) 8.9
Ending Balance $ 1.9 $ 2.1
[1] Includes forward foreign exchange contracts, interest rate derivatives and commodity swaps.
v3.26.1
Derivative Financial Instruments - Fair Value of Outstanding Derivative Financial Instruments (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Derivative [Line Items]    
Prepaid expenses and other current assets $ 44.4 $ 45.7
Current Liabilities 313.7 322.7
Derivative [Member]    
Derivative [Line Items]    
Prepaid expenses and other current assets 7.8 10.7
Other Assets 1.6 4.0
Current Liabilities 1.7 3.8
Non-Current Liabilities 2.4 0.8
Foreign Currency Forward Exchange Contracts | Derivative [Member]    
Derivative [Line Items]    
Prepaid expenses and other current assets 5.3 10.7
Other Assets 1.2 4.0
Current Liabilities 1.7 0.2
Non-Current Liabilities 2.3 0.3
Commodity Swaps | Derivative [Member]    
Derivative [Line Items]    
Prepaid expenses and other current assets 2.5 0.0
Other Assets 0.4 0.0
Current Liabilities 0.0 3.6
Non-Current Liabilities $ 0.1 $ 0.5
v3.26.1
Income Taxes - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Income Tax Disclosure [Abstract]    
Income tax expense (benefit) $ (8.3) $ (7.1)
v3.26.1
Fair Value Measurements - Additional Information (Details)
 3 Months Ended
Mar. 31, 2026
Item
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]  
Number of counterparties, which experienced significant downgrades 0
v3.26.1
Revenue - Additional Information (Details)
 3 Months Ended
Mar. 31, 2026
Revenue from Contract with Customer [Abstract]  
Revenue recognition, description of timing As our production cycle is typically nine months or less, it is expected that goods related to the revenue recognized over time will be shipped and billed within the next twelve months.
v3.26.1
Revenue - Schedule of Revenue by Market (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Disaggregation Of Revenue [Line Items]    
Revenue from Contract with Customer, Excluding Assessed Tax $ 501.5 $ 456.5
Commercial Aerospace [Member]    
Disaggregation Of Revenue [Line Items]    
Revenue from Contract with Customer, Excluding Assessed Tax 332.7 280.1
Defense, Space & Other    
Disaggregation Of Revenue [Line Items]    
Revenue from Contract with Customer, Excluding Assessed Tax $ 168.8 $ 176.4
v3.26.1
Revenue - Schedule of Activity Related to Contract Assets (Details)
$ in Millions
 3 Months Ended
Mar. 31, 2026
USD ($)
Change in Contract with Customer Asset [Line Items]  
Beginning Balance $ 35.9
Net revenue billed 4.5
Ending Balance 40.4
Composite Materials  
Change in Contract with Customer Asset [Line Items]  
Beginning Balance 11.4
Net revenue billed 1.2
Ending Balance 12.6
Engineered Products  
Change in Contract with Customer Asset [Line Items]  
Beginning Balance 24.5
Net revenue billed 3.3
Ending Balance $ 27.8
v3.26.1
Segment Information - Schedule of Operating Segment Reporting Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Segment Reporting Information [Line Items]    
Total sales $ 501.5 $ 456.5
Cost of sales 366.8 354.1
Gross margin 134.7 102.4
Selling, general and administrative expenses 49.4 43.3
Research and technology expenses 17.8 13.8
Other operating expense 9.9 1.1
Operating income (loss) 57.6 44.2
Depreciation and amortization 30.4 29.8
Stock-based compensation 9.3 9.7
Accrual basis additions to capital expenditures 17.7 17.1
Intersegment Elimination    
Segment Reporting Information [Line Items]    
Total sales [1] (30.0) (20.4)
Composite Materials    
Segment Reporting Information [Line Items]    
Total sales 398.8 365.3
Composite Materials | Intersegment Elimination    
Segment Reporting Information [Line Items]    
Total sales 28.4 20.1
Composite Materials | Operating Segments    
Segment Reporting Information [Line Items]    
Total sales 427.2 385.4
Cost of sales 313.3 293.5
Gross margin 113.9 91.9
Selling, general and administrative expenses 22.3 25.5
Research and technology expenses 16.2 11.8
Other operating expense 5.7 0.0
Operating income (loss) 69.7 54.6
Depreciation and amortization 27.2 26.6
Stock-based compensation 3.4 3.0
Accrual basis additions to capital expenditures 16.0 15.5
Engineered Products    
Segment Reporting Information [Line Items]    
Total sales 102.7 91.2
Engineered Products | Intersegment Elimination    
Segment Reporting Information [Line Items]    
Total sales 1.6 0.3
Engineered Products | Operating Segments    
Segment Reporting Information [Line Items]    
Total sales 104.3 91.5
Cost of sales 83.5 79.9
Gross margin 20.8 11.6
Selling, general and administrative expenses 4.1 4.3
Research and technology expenses 1.5 1.1
Other operating expense 0.0 1.1
Operating income (loss) 15.2 5.1
Depreciation and amortization 3.2 3.2
Stock-based compensation 0.8 0.8
Accrual basis additions to capital expenditures 1.7 1.6
Corporate & Other    
Segment Reporting Information [Line Items]    
Total sales [1] (30.0) (20.4)
Corporate & Other | Operating Segments    
Segment Reporting Information [Line Items]    
Cost of sales [1] (30.0) (19.3)
Gross margin [1] 0.0 (1.1)
Selling, general and administrative expenses [1] 23.0 13.5
Research and technology expenses [1] 0.1 0.9
Other operating expense [1] 4.2 0.0
Operating income (loss) [1] (27.3) (15.5)
Depreciation and amortization [1] 0.0 0.0
Stock-based compensation [1] 5.1 5.9
Accrual basis additions to capital expenditures [1] $ 0.0 $ 0.0
[1] We do not allocate corporate expenses to the operating segments.
v3.26.1
Segment Information - Schedule of Goodwill and Intangible Assets by Segment (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Dec. 31, 2025
Changes in the carrying amount of gross goodwill and other purchased intangibles    
Goodwill and other intangible assets, net $ 237.4 $ 239.8
Balance at Period Beginning 239.8  
Amortization expense (1.4)  
Currency translation adjustments (1.0)  
Intangible Assets, Net (Including Goodwill), Total 237.4 $ 239.8
Balance at Period Ending 237.4  
Composite Materials    
Changes in the carrying amount of gross goodwill and other purchased intangibles    
Balance at Period Beginning 89.9  
Amortization expense (0.4)  
Currency translation adjustments (1.0)  
Balance at Period Ending 88.5  
Engineered Products    
Changes in the carrying amount of gross goodwill and other purchased intangibles    
Balance at Period Beginning 149.9  
Amortization expense (1.0)  
Currency translation adjustments 0.0  
Balance at Period Ending $ 148.9  
v3.26.1
Segment Information - Additional Information (Details)
$ in Millions
 3 Months Ended
Mar. 31, 2026
USD ($)
Segment
Segment Reporting [Abstract]  
Goodwill $ 190.7
Intangible assets $ 46.7
Number of reportable segments | Segment 2
v3.26.1
Segment Information - Schedule of Segment Assets (Details) - USD ($)
$ in Millions
 3 Months Ended 12 Months Ended
Mar. 31, 2026
Dec. 31, 2025
Segment Reporting Information [Line Items]    
Segment assets $ 2,723.9 $ 2,704.0
Composite Materials    
Segment Reporting Information [Line Items]    
Segment assets 2,062.4 2,066.7
Engineered Products    
Segment Reporting Information [Line Items]    
Segment assets 615.0 596.2
Corporate & Other    
Segment Reporting Information [Line Items]    
Segment assets $ 46.5 $ 41.1
v3.26.1
Accumulated Other Comprehensive Loss - Schedule of Components of Accumulated Other Comprehensive Loss (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Accumulated Other Comprehensive Income Loss [Line Items]    
Beginning Balance $ 1,250.7 $ 1,527.9
Other comprehensive loss (17.6) 33.7
Ending Balance 1,266.2 1,532.6
Unrecognized Net Defined Benefit and Postretirement Plan Costs    
Accumulated Other Comprehensive Income Loss [Line Items]    
Beginning Balance (1.1)  
Other comprehensive loss before reclassifications (0.2)  
Amounts reclassified from accumulated other comprehensive loss 0.0  
Other comprehensive loss (0.2)  
Ending Balance (1.3)  
Change in Fair Value of Derivatives Products    
Accumulated Other Comprehensive Income Loss [Line Items]    
Beginning Balance [1] 11.1  
Other comprehensive loss before reclassifications [1] (1.3)  
Amounts reclassified from accumulated other comprehensive loss [1] (2.5)  
Other comprehensive loss [1] (3.8)  
Ending Balance [1] 7.3  
Foreign Currency Translation    
Accumulated Other Comprehensive Income Loss [Line Items]    
Beginning Balance (22.9)  
Other comprehensive loss before reclassifications (13.6)  
Amounts reclassified from accumulated other comprehensive loss 0.0  
Other comprehensive loss (13.6)  
Ending Balance (36.5)  
Accumulated Other Comprehensive Loss    
Accumulated Other Comprehensive Income Loss [Line Items]    
Beginning Balance (12.9) (115.0)
Other comprehensive loss before reclassifications (15.1)  
Amounts reclassified from accumulated other comprehensive loss (2.5)  
Other comprehensive loss (17.6) 33.7
Ending Balance $ (30.5) $ (81.3)
[1] Includes forward foreign exchange contracts, interest rate derivatives and commodity swaps.
v3.26.1
Accumulated Other Comprehensive Loss - Schedule of Unrecognized Net Defined Benefit and Postretirement Plan Costs (Details) - Change in Fair Value of Derivatives Products - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Accumulated Other Comprehensive Income Loss [Line Items]    
Reclassification adjustment from AOCI on unrecognized net defined benefit and postretirement plan costs, tax $ (3.3) $ 4.1
Reclassification adjustment from AOCI on derivatives, tax expense (benefit) (2.5) 3.1
Foreign Currency Forward Exchange Contracts    
Accumulated Other Comprehensive Income Loss [Line Items]    
Reclassification adjustment from AOCI on unrecognized net defined benefit and postretirement plan costs, tax (3.9) 1.6
Reclassification adjustment from AOCI on derivatives, tax expense (benefit) (3.0) 1.1
Commodity Swaps    
Accumulated Other Comprehensive Income Loss [Line Items]    
Reclassification adjustment from AOCI on unrecognized net defined benefit and postretirement plan costs, tax 0.6 (0.2)
Reclassification adjustment from AOCI on derivatives, tax expense (benefit) 0.5 (0.1)
Interest rate swaps    
Accumulated Other Comprehensive Income Loss [Line Items]    
Reclassification adjustment from AOCI on unrecognized net defined benefit and postretirement plan costs, tax (0.0) 2.7
Reclassification adjustment from AOCI on derivatives, tax expense (benefit) $ 0.0 $ 2.1
v3.26.1
Commitments and Contingencies - Additional Information (Details)
$ in Millions
 1 Months Ended 3 Months Ended
Mar. 24, 2023
Entity
Dec. 16, 2022
USD ($)
Prp
Oct. 18, 2021
USD ($)
mi
Aug. 31, 2017
Entity
Mar. 31, 2016
USD ($)
mi
Mar. 31, 2026
USD ($)
Entity
mi
Mar. 31, 2025
USD ($)
Loss Contingencies [Line Items]              
Number of identified non governmental potentially responsible parties | Entity       120      
Environmental Loss Contingency, Statement of Financial Position [Extensible Enumeration]           Employee-related Liabilities, Current Employee-related Liabilities, Current
Accrual for environmental loss contingencies           $ 0.1 $ 0.1
District Court Approval of Consent Decree [Member]              
Loss Contingencies [Line Items]              
Number of entities, in addition to Hexcel, who received a directive from the New Jersey Department of Environmental Protection   84       48  
New Jersey Requesting Court Approval for Settlement   $ 150.0          
Escrow Deposit   $ 150.0          
Lower Passaic River [Member]              
Loss Contingencies [Line Items]              
Number of entities, in addition to Hexcel, who received a directive from the New Jersey Department of Environmental Protection | Prp   83          
'Length of river to perform a Remedial Investigation/Feasibility Study (“RI/FS”) of environmental conditions | mi           17  
Lower Passaic River [Member] | Minimum              
Loss Contingencies [Line Items]              
Portion of the river for which Record of Decision setting forth the EPA's selected remedy (in miles) | mi         8    
Expected cost of capping and dredging of the lower eight miles of the river by EPA     $ 308.7   $ 970.0    
Lower Passaic River [Member] | Maximum              
Loss Contingencies [Line Items]              
Portion of the river for which Record of Decision setting forth the EPA's selected remedy (in miles) | mi     9        
Expected cost of capping and dredging of the lower eight miles of the river by EPA     $ 661.5   $ 2,070.0    
UAO [Member]              
Loss Contingencies [Line Items]              
Number of entities, in addition to Hexcel, who received a directive from the New Jersey Department of Environmental Protection | Entity 38            
v3.26.1
Commitments and Contingencies - Schedule of Product Warranty (Details)
$ in Millions
 3 Months Ended
Mar. 31, 2026
USD ($)
Changes in accrued product warranty cost  
Balance at the beginning of the period $ 3.0
Warranty expense 1.1
Deductions and other (1.1)
Balance at the end of the period $ 3.0
v3.26.1
Restructuring - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2026
Dec. 31, 2025
Restructuring Cost and Reserve [Line Items]    
Restructuring charge $ 5.5  
Anticipated future cash payments $ 6.9 $ 5.5
v3.26.1
Restructuring - Schedule of Restructuring (Details)
$ in Millions
 3 Months Ended
Mar. 31, 2026
USD ($)
Restructuring Cost and Reserve [Line Items]  
Beginning Balance $ 5.5
Restructuring Charge 5.5
FX Impact (0.2)
Cash Paid (1.8)
Non-Cash 2.1
Ending Balance 6.9
Employee termination Member]  
Restructuring Cost and Reserve [Line Items]  
Beginning Balance 2.5
Restructuring Charge 2.2
FX Impact (0.1)
Cash Paid (1.8)
Non-Cash 0.0
Ending Balance 2.8
Impairment and other [Member]  
Restructuring Cost and Reserve [Line Items]  
Beginning Balance 3.0
Restructuring Charge 3.3
FX Impact (0.1)
Cash Paid 0.0
Non-Cash (2.1)
Ending Balance $ 4.1
v3.26.1
Capital Stock (Additional Information) (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended
Feb. 27, 2026
Oct. 24, 2025
Feb. 19, 2024
Mar. 31, 2026
Mar. 31, 2025
Oct. 22, 2025
Equity, Class of Treasury Stock [Line Items]            
Repurchase Of Common Stock       $ 0 $ 50,400  
Number of shares repurchased   3,950        
Maximum Percentage of Common Stock Shares Repurchased   80.00%        
Dividends per share of common stock       $ 70.95    
Cost Of Repurchase Of Common Stock   $ 350,000        
Number of shares received 570          
Share price $ 77.38          
Accelerated Share Repurchase Program            
Equity, Class of Treasury Stock [Line Items]            
Repurchase Of Common Stock $ 4,520          
Authorized amount to repurchase outstanding common stock           $ 350,000
2024 Repurchase Plan            
Equity, Class of Treasury Stock [Line Items]            
Additional repurchase shares of common stock value     $ 300,000      
2025 Share Repurchase Plan            
Equity, Class of Treasury Stock [Line Items]            
Authorized amount to repurchase outstanding common stock       $ 380,600   $ 600,000