XML 23 R13.htm IDEA: XBRL DOCUMENT v3.25.2
INFORMATION ON REPORTABLE SEGMENTS AND CORPORATE EXPENSE
 6 Months Ended
Jun. 28, 2025
Segment Reporting [Abstract]  
INFORMATION ON REPORTABLE SEGMENTS AND CORPORATE EXPENSE INFORMATION ON REPORTABLE SEGMENTS AND CORPORATE EXPENSE
We are a global supplier of highly specialized, engineered solutions with operations in 16 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 Financial Accounting Standards Board Codification (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, who is our President and Chief Executive Officer, uses 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 2025. Our CODM assesses 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 hydronic and electrical heating and ventilation products for the residential, institutional, 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 three and six months ended June 28, 2025 and June 29, 2024 are presented below:
 Three months ended Six months ended
June 28,
2025		June 29,
2024		June 28,
2025		June 29,
2024
HVAC reportable segment
Revenues$376.7 $356.5 $699.7 $658.9 
Cost of product sold226.1 224.2 425.7 409.2 
Selling, general and administrative expense54.8 48.6 104.3 97.6 
Segment income$95.8 $83.7 $169.7 $152.1 
Detection and Measurement reportable segment
Revenues$175.7 $144.8 $335.3 $307.6 
Cost of product sold96.9 75.4 183.7 171.8 
Selling, general and administrative expense38.8 35.5 75.0 70.5 
Segment income$40.0 $33.9 $76.6 $65.3 
Consolidated revenues$552.4 $501.3 $1,035.0 $966.5 
Consolidated income for segments135.8 117.6 246.3 217.4 
Corporate expense13.3 12.0 27.3 25.9 
Acquisition-related and other costs (1)
6.9 2.3 13.3 4.9 
Long-term incentive compensation expense3.9 3.7 7.6 7.0 
Amortization of acquired intangible assets24.6 16.8 44.3 31.6 
Special charges, net— (0.2)0.1 0.4 
Other operating expense, net(2)
0.5 8.4 0.5 8.4 
Consolidated operating income86.6 74.6 153.2 139.2 
Other income (expense), net(2.1)(1.7)0.6 (5.7)
Interest expense(15.6)(12.8)(27.9)(22.6)
Interest income1.0 0.3 1.9 0.6 
Income from continuing operations before income taxes$69.9 $60.4 $127.8 $111.5 
Capital expenditures:
HVAC reportable segment$6.1 $9.0 $10.8 $17.7 
Detection and Measurement reportable segment1.6 1.1 2.4 2.1 
Corporate— 0.3 — 0.5 
Total capital expenditures$7.7 $10.4 $13.2 $20.3 
Depreciation and amortization:
HVAC reportable segment$18.9 $16.7 $35.8 $31.2 
Detection and Measurement reportable segment13.0 6.0 22.5 11.9 
Corporate0.6 0.7 1.2 1.3 
Total depreciation and amortization$32.5 $23.4 $59.5 $44.4 
Three months endedSix months ended
June 28,
2025		June 29,
2024		June 28,
2025		June 29,
2024
Geographic Areas:
Revenues: (3)
United States$438.9 $410.6 $841.9 $803.5 
Canada49.7 31.6 79.9 53.8 
China21.7 16.5 34.7 29.4 
United Kingdom22.5 23.4 39.9 42.2 
Other19.6 19.2 38.6 37.6 
$552.4 $501.3 $1,035.0 $966.5 
June 28, 2025December 31, 2024
Tangible Long-Lived Assets:
United States$307.1 $275.5 
Canada85.8 83.3 
Other29.7 25.7 
Total tangible long-lived assets$422.6 $384.5 
________________________________
(1)Represents integration costs incurred in connection with acquisitions of $6.9 and $13.3 during the three and six months ended June 28, 2025, respectively, and $2.3 and $4.9 during the three and six months ended June 29, 2024, respectively, including additional “Cost of products sold” related to the step-up of inventory (to fair value) acquired in connection with the KTS acquisition of $0.5 and $0.8 during the three and six months ended June 28, 2025, respectively, and the Ingénia acquisition of $0.9 and $1.8 during the three and six months ended June 29, 2024.
(2)The charge of $8.4 incurred during the three and six months ended June 29, 2024 related to a settlement with the seller of ULC regarding additional contingent consideration.
(3)Revenues are included in the above geographic areas based on the country that recorded the revenue.