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Information on Reportable Segments
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Information on Reportable Segments Information on Reportable Segments
We are a global supplier of highly specialized, engineered solutions with operations in over 15 countries and sales in over 100 countries around the world.
In determining our reportable segments, we apply the threshold criteria of the Segment Reporting Topic of the Codification. We have aggregated our operating segments into the following two reportable segments: HVAC and Detection and Measurement. The factors considered in determining our aggregated segments are the economic similarity of the businesses, the nature of products sold or services provided, production processes, types of customers, distribution methods, and regulatory environment.
Our CODM, the President and Chief Executive Officer, uses revenue and segment income to evaluate the results of each operating segment. Segment Income is determined before considering, if applicable, impairments and special charges, long-term incentive compensation, certain other operating income/expense, other indirect corporate expenses, intangible asset amortization expense, inventory step-up charges, and certain other acquisition and integration-related costs. There have been no changes in the basis of segmentation or measurement of Segment Income during 2024. Our CODM assesses revenue and Segment Income performance in comparison to prior years, previously forecasted results, and anticipated/experienced market trends when determining how to allocate operating and capital resources. The only significant segment expense categories reviewed by our CODM are total selling, general, and administrative expense and cost of products sold. Our CODM does not review asset or liability information for our operating segments as this information is not used to assess performance or allocate resources.
HVAC Reportable Segment
Our HVAC reportable segment engineers, designs, manufactures, installs and services package and process cooling products and engineered air movement and handling solutions for the HVAC industrial, commercial, data center, and power generation markets, as well as boilers and electrical heating and ventilation products for the residential, industrial, and commercial markets. The primary distribution channels for the segment’s products are direct to customers, independent manufacturing representatives, third-party distributors, and retailers. The segment serves a global customer base in North America, Europe, and Asia.
Detection and Measurement Reportable Segment
Our Detection and Measurement reportable segment engineers, designs, manufactures, services, and installs underground pipe and cable locators, inspection and rehabilitation equipment, robotic systems, transportation systems, communication technologies, and aids to navigation. The primary distribution channels for the segment’s products are direct to customers and third-party distributors. The segment serves a global customer base in North America, Europe, Africa and Asia.
Corporate Expense
Corporate expense generally relates to the personnel and general operating costs of our corporate headquarters based in Charlotte, North Carolina.
Financial data for our reportable segments for the years ended December 31, 2024, 2023, and 2022 were as follows:
202420232022
HVAC reportable segment
Revenues$1,364.7 $1,122.3 $913.8 
Cost of products sold843.8 712.8 636.0 
Selling, general and administrative expense197.0 175.1 142.3 
     Segment income$323.9 $234.4 $135.5 
Detection and Measurement reportable segment
Revenues$619.2 $618.9 $547.1 
Cost of products sold338.9 354.8 299.9 
Selling, general and administrative expense143.6 145.3 133.1 
     Segment income$136.7 $118.8 $114.1 
Consolidated revenues$1,983.9 $1,741.2 $1,460.9 
Consolidated income for segments460.6 353.2 249.6 
Corporate expense53.6 58.4 68.6 
Acquisition-related and other costs (1)
7.2 5.8 1.9 
Long-term incentive compensation expense15.0 13.4 10.9 
Amortization of acquired intangible assets64.5 43.9 28.5 
Impairment of goodwill and intangible assets (2)
— — 13.4 
Special charges, net3.6 0.8 0.4 
Other operating expense, net (3)
8.4 9.0 74.9 
     Consolidated operating income $308.3 $221.9 $51.0 
Capital expenditures:
HVAC reportable segment$31.9 $17.6 $10.1 
Detection and Measurement reportable segment5.5 5.4 4.6 
General corporate0.6 0.9 1.2 
     Total capital expenditures$38.0 $23.9 $15.9 
Depreciation and amortization:
HVAC reportable segment$64.7 $37.1 $20.5 
Detection and Measurement reportable segment24.4 23.7 23.5 
General corporate2.5 2.4 2.4 
     Total depreciation and amortization$91.6 $63.2 $46.4 
Geographic Areas:
Revenues: (4)
United States$1,640.8 $1,454.1 $1,223.5 
Canada111.3 48.4 17.3 
China64.9 53.7 51.0 
United Kingdom90.9 96.3 96.5 
Other76.0 88.7 72.6 
$1,983.9 $1,741.2 $1,460.9 
Tangible Long-Lived Assets:
United States$275.5 $292.4 $275.0 
Canada83.3 11.9 3.3 
Other25.7 29.1 31.7 
Long-lived assets of continuing operations384.5 333.4 310.0 
Long-lived assets of discontinued operations, DBT and Heat Transfer— 0.2 19.3 
Total tangible long-lived assets$384.5 $333.6 $329.3 
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(1)Represents integration costs incurred in connection with acquisitions of $7.2, $5.8, and $1.9, including additional “Cost of products sold” related to the step-up of inventory (to fair value) acquired in connection with these acquisitions of $1.8, $3.6 and $1.1, during the years ended December 31, 2024, 2023 and 2022, respectively.
(2)The year ended December 31, 2022 includes impairment charges of $12.9 related to the goodwill and trademarks of our ULC Robotics (“ULC”) business and $0.5 related to certain other trademarks.
(3)The year ended December 31, 2024 includes a charge of $8.4 related to a settlement with the seller of ULC regarding additional contingent consideration. The year ended December 31, 2023 includes a charge of $9.0 related to the resolution of a dispute with a former representative at one of our businesses within the Detection and Measurement reportable segment. The year ended December 31, 2022 includes a loss on the Asbestos Portfolio Sale of $73.9, as well as charges of $2.3 for asbestos product liability matters incurred prior to the Asbestos Portfolio Sale, partially offset by a reduction in the fair value/liability associated with contingent consideration related to the acquisition of Enterprise Control Systems Ltd (“ECS”), which was completed in 2021, of $1.3.
(4)Revenues are included in the above geographic areas based on the country that recorded the revenue.