Business Segment Information

3 Months Ended

Dec. 31, 2019

20.	Business Segment Information

The Company is organized into four reportable segments based on the internal organization used by the President and Chief Executive Officer for making operating decisions and measuring performance and based on the similarity of customers served, common management, common use of facilities and economic results attained.

In accordance with FASB ASC Topic 280, Segment Reporting, for purposes of business segment performance measurement, the Company does not allocate to individual business segments costs or items that are of a non-operating nature or organizational or functional expenses of a corporate nature. The caption “Corporate” includes corporate office expenses, stock-based compensation, costs of certain business initiatives and shared services or operations benefiting multiple segments, and results of insignificant operations. Identifiable assets of the business segments exclude general corporate assets, which principally consist of cash and cash equivalents, certain property, plant and equipment, and certain other assets pertaining to corporate activities. Intersegment sales generally include amounts invoiced by a segment for work performed for another segment. Amounts are based on actual work performed and agreed-upon pricing, which is intended to be reflective of the contribution made by the supplying business segment.

Selected financial information concerning the Company’s reportable segments and product lines is as follows (in millions):

	Three Months Ended December 31,
	2019								2018
	External Customers		Inter- segment			Net Sales			External Customers		Inter- segment			Net Sales
Access equipment
Aerial work platforms	$	306.0	$	—		$	306.0		$	337.7	$	—		$	337.7
Telehandlers		201.4		—			201.4			269.5		—			269.5
Other		210.5		—			210.5			219.3		—			219.3
Total access equipment		717.9		—			717.9			826.5		—			826.5

Defense		492.6		0.5			493.1			463.8		0.3			464.1

Fire & emergency		260.0		2.4			262.4			291.2		4.3			295.5

Commercial
Concrete placement		75.7		—			75.7			81.7		—			81.7
Refuse collection		115.9		—			115.9			109.2		—			109.2
Other		32.3		0.3			32.6			30.7		0.6			31.3
Total commercial		223.9		0.3			224.2			221.6		0.6			222.2
Corporate and intersegment eliminations		0.7		(3.2	)		(2.5	)		0.3		(5.2	)		(4.9	)
Consolidated	$	1,695.1	$	—		$	1,695.1		$	1,803.4	$	—		$	1,803.4

	Three Months Ended December 31,
	2019			2018
Operating income (loss):
Access equipment	$	69.0		$	66.4
Defense		30.9			71.1
Fire & emergency		31.0			39.9
Commercial		17.8			18.7
Corporate		(39.6	)		(35.6	)
Consolidated		109.1			160.5
Interest expense, net of interest income		(11.8	)		(11.5	)
Miscellaneous other (expense) income		(0.4	)		(1.2	)
Income before income taxes and earnings (losses) of unconsolidated affiliates	$	96.9		$	147.8

	December 31, 2019		September 30, 2019
Identifiable assets:
Access equipment:
U.S.	$	2,295.8	$	2,317.2
Europe, Africa and Middle East		390.5		403.4
Rest of the World ^(b)		357.4		252.6
Total access equipment		3,043.7		2,973.2
Defense:
U.S.		1,032.6		883.0
Rest of the World		6.6		6.7
Total defense		1,039.2		889.7
Fire & emergency - U.S.		569.1		587.9
Commercial:
U.S.		373.6		383.6
Rest of the World		41.9		48.9
Total commercial		415.5		432.5
Corporate:
U.S. ^(a)		488.7		597.6
Rest of the World ^(b)		—		85.4
Total corporate		488.7		683.0
Consolidated	$	5,556.2	$	5,566.3

^(a)	Primarily includes cash and short-term investments and the Company’s new global headquarters.

^(b)	Control of a shared manufacturing facility in Mexico transferred to the access equipment segment effective October 1, 2019.

The following table presents net sales by geographic region based on product shipment destination (in millions):

	Three Months Ended December 31, 2019
	Access equipment		Defense		Fire & emergency		Commercial		Eliminations			Total
Net sales:
North America	$	547.1	$	485.6	$	243.9	$	218.6	$	(2.5	)	$	1,492.7
Europe, Africa and Middle East		74.2		6.0		0.4		0.4		—			81.0
Rest of the World		96.6		1.5		18.1		5.2		—			121.4
	$	717.9	$	493.1	$	262.4	$	224.2	$	(2.5	)	$	1,695.1

	Three Months Ended December 31, 2018
	Access equipment		Defense		Fire & emergency		Commercial		Eliminations			Total
Net sales:
North America	$	646.2	$	448.1	$	273.1	$	217.7	$	(5.0	)	$	1,580.1
Europe, Africa and Middle East		113.7		15.9		11.0		1.8		0.1			142.5
Rest of the World		66.6		0.1		11.4		2.7		—			80.8
	$	826.5	$	464.1	$	295.5	$	222.2	$	(4.9	)	$	1,803.4