ACCOUNTS RECEIVABLE, NET |
12 Months Ended |
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Dec. 31, 2025 | |
| Receivables [Abstract] | |
| ACCOUNTS RECEIVABLE, NET | , NET: Allowance for credit losses: A/R was recorded net of allowance of $30.5 at December 31, 2025 (December 31, 2024 — $10.1). We recorded expected credit losses of $18.2 in SG&A in 2025 (2024 — $2.8; 2023 — $2.2). A/R sales program and supplier financing programs (SFPs): We are party to an A/R sales program agreement with a third-party bank to sell up to $450.0 in A/R on an uncommitted, revolving basis, subject to pre-determined limits by customer. This agreement provides for automatic annual one-year extensions. This agreement may be terminated at any time by the bank or by us upon 3 months’ prior notice, or by the bank upon specified defaults. We are required to comply with certain covenants, including those relating to the fulfillment of payment obligations and restrictions on the sale, assignment or creation of liens, with respect to A/R sold under this agreement. At December 31, 2025 and December 31, 2024, we were in compliance with these covenants. Under our A/R sales program, we collect cash from our customers and remit amounts collected to the bank weekly. As of December 31, 2025, we participate in three customer SFPs, one with a CCS segment customer (subsequently terminated in early February 2026) and two with ATS segment customers. Pursuant to the SFPs, we sell A/R from the relevant customer to third-party banks on an uncommitted basis. The SFPs have indefinite terms and may be terminated at any time by the customer or by us upon specified prior notice. Under our SFPs, the third-party banks collect the relevant receivables directly from the customers. We have nil outstanding balances under our A/R sales program and under our SFPs at December 31, 2025 and December 31, 2024. The A/R sold under each of these programs are de-recognized from our A/R balance at the time of sale, and the proceeds are reflected as cash provided by operating activities in our consolidated statements of cash flows. Upon sale, we assign the rights to the A/R to the banks. A/R are sold net of discount charges, which are recorded as finance costs in our consolidated statement of operations. Aggregated discount charges incurred on both of these programs was $0.3 in 2025 (2024 — $1.2; 2023 — $16.3). Contract assets: A contract asset is recognized when we have recognized revenue but have not yet billed the customer. For performance obligations satisfied at a point in time, revenue recognition occurs at the point the customer is billed and the resulting asset is recorded in A/R. For performance obligations satisfied over time as work progresses, we have an unconditional right to payment, which results in the recognition of contract assets. We anticipate that substantially all contract assets will be invoiced in the following quarter due to the short-term nature of the manufacturing cycle. At December 31, 2025, our A/R balance included $296.3 (December 31, 2024 — $237.9) of contract assets recognized as revenue in accordance with our revenue recognition accounting policy.
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