XML 30 R19.htm IDEA: XBRL DOCUMENT
v3.19.1

Segment Information | 9 Months Ended
--- | ---
Mar. 31, 2019
Segment Reporting [Abstract] |
SEGMENT INFORMATION | SEGMENT INFORMATION In the first quarter of fiscal 2019, the Company performed a review of its management reporting structure and implemented changes to align with how the Company measures performance. As a result, the Company has revised its reportable segments to reflect how management currently reviews financial information and makes operating decisions. Certain supplier support benefits are now included within the Service Center Based Distribution segment operating income. Previously, these benefits were included in Corporate and other expense, net. All prior-period amounts have been adjusted to reflect the reportable segment change. The accounting policies of the Company’s reportable segments are generally the same as those used to prepare the condensed consolidated financial statements. LIFO expense of $3,650 and $7,997 is recorded in cost of sales in the condensed statements of income for the three and nine months ended March 31, 2019, respectively, and is included in operating income for the Service Center Based Distribution segment. The corresponding amounts for the prior year periods were not material to the Company's condensed consolidated financial statements. The Company allocates LIFO expense between the segments in the fourth quarter of its fiscal year. Intercompany sales, primarily from the Fluid Power & Flow Control segment to the Service Center Based Distribution segment, of $7,328 and $6,706, in the three months ended March 31, 2019 and 2018, respectively, and $21,013 and $18,461 in the nine months ended March 31, 2019 and 2018, respectively, have been eliminated in the Segment Financial Information tables below.
Three Months Ended |  | Service Center Based Distribution |  | Fluid Power & Flow Control |  | Total
March 31, 2019 |  |  |  |  |  |
Net sales |  | $ | 630,438 |  |  | $ | 255,005 |  |  | $ | 885,443 |
Operating income for reportable segments |  | 64,763 |  |  | 25,837 |  |  | 90,600 |
Depreciation and amortization of property |  | 3,969 |  |  | 1,057 |  |  | 5,026 |
Capital expenditures |  | 4,024 |  |  | 591 |  |  | 4,615 |
March 31, 2018 |  |  |  |  |  |
Net sales |  | $ | 601,214 |  |  | $ | 226,451 |  |  | $ | 827,665 |
Operating income for reportable segments |  | 61,076 |  |  | 26,514 |  |  | 87,590 |
Depreciation and amortization of property |  | 3,885 |  |  | 828 |  |  | 4,713 |
Capital expenditures |  | 4,385 |  |  | 2,054 |  |  | 6,439 |
Nine Months Ended |  | Service Center Based Distribution |  | Fluid Power & Flow Control |  | Total
March 31, 2019 |  |  |  |  |  |
Net sales |  | $ | 1,823,785 |  |  | $ | 766,211 |  |  | $ | 2,589,996 |
Operating income for reportable segments |  | 185,889 |  |  | 85,960 |  |  | 271,849 |
Assets used in business |  | 1,252,161 |  |  | 1,070,649 |  |  | 2,322,810 |
Depreciation and amortization of property |  | 11,791 |  |  | 3,254 |  |  | 15,045 |
Capital expenditures |  | 9,724 |  |  | 1,987 |  |  | 11,711 |
March 31, 2018 |  |  |  |  |  |
Net sales |  | $ | 1,725,734 |  |  | $ | 449,819 |  |  | $ | 2,175,553 |
Operating income for reportable segments |  | 172,965 |  |  | 53,482 |  |  | 226,447 |
Assets used in business |  | 1,202,593 |  |  | 1,069,730 |  |  | 2,272,323 |
Depreciation and amortization of property |  | 11,356 |  |  | 1,365 |  |  | 12,721 |
Capital expenditures |  | 14,754 |  |  | 3,144 |  |  | 17,898 |
A reconciliation of operating income for reportable segments to the condensed consolidated income before income taxes is as follows:
|  | Three Months Ended |  | Nine Months Ended
|  | March 31, |  | March 31,
|  | 2019 |  | 2018 |  | 2019 |  | 2018
Operating income for reportable segments |  | $ | 90,600 |  |  | $ | 87,590 |  |  | $ | 271,849 |  |  | $ | 226,447 |
Adjustment for: |  |  |  |  |  |  |  |
Intangible amortization—Service Center Based Distribution |  | 2,794 |  |  | 4,311 |  |  | 10,785 |  |  | 13,248 |
Intangible amortization—Fluid Power & Flow Control |  | 7,117 |  |  | 5,489 |  |  | 21,038 |  |  | 8,078 |
Intangible Impairment—Service Center Based Distribution |  | 31,594 |  |  | — |  |  | 31,594 |  |  | — |
Corporate and other expense, net |  | 14,586 |  |  | 21,346 |  |  | 46,619 |  |  | 50,125 |
Total operating income |  | 34,509 |  |  | 56,444 |  |  | 161,813 |  |  | 154,996 |
Interest expense, net |  | 9,947 |  |  | 8,216 |  |  | 30,001 |  |  | 12,521 |
Other income, net |  | (1,256 | ) |  | (1,291 | ) |  | (549 | ) |  | (2,022 | )
Income before income taxes |  | $ | 25,818 |  |  | $ | 49,519 |  |  | $ | 132,361 |  |  | $ | 144,497 |
The change in corporate and other expense, net is due to changes in corporate expenses, as well as in the amounts and levels of certain expenses being allocated to the segments. The expenses being allocated include corporate charges for working capital, logistics support and other items.

X
- References No definition available. + Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration