XML 32 R23.htm IDEA: XBRL DOCUMENT
v3.22.2.2

Segment Information | 9 Months Ended
--- | ---
Oct. 01, 2022
Segment Reporting [Abstract] |
Segment Information | Segment Information The Company and its subsidiaries design, manufacture and sell component, modules and subassemblies to empower the long-term structural themes of sustainability, connectivity and safety. The Company reports its operations by the following segments: Electronics, Transportation, and Industrial. An operating segment is defined as a component of an enterprise that engages in business activities from which it may earn revenues and incur expenses, and about which separate financial information is regularly evaluated by the Chief Operating Decision Maker (“CODM”) in deciding how to allocate resources. The CODM is the Company’s President and Chief Executive Officer (“CEO”). The CODM allocates resources to and assesses the performance of each operating segment using information about its revenue and operating income (loss) before interest and taxes, but does not evaluate the operating segments using discrete balance sheet information. Sales, marketing, and research and development expenses are charged directly into each operating segment. Purchasing, logistics, customer service, finance, information technology, and human resources are shared functions that are allocated back to the three operating segments. The Company does not report inter-segment revenue because the operating segments do not record it. Certain expenses, determined by the CODM to be strategic in nature and not directly related to segments current results, are not allocated but identified as “Other”. Additionally, the Company does not allocate interest and other income, interest expense, or taxes to operating segments. These costs are not allocated to the segments, as management excludes such costs when assessing the performance of the segments. Although the CODM uses operating income (loss) to evaluate the segments, operating costs included in one segment may benefit other segments. Except as discussed above, the accounting policies for segment reporting are the same as for the Company as a whole. •Electronics Segment: Consists of one of the broadest product offerings in the industry, including fuses and fuse accessories, positive temperature coefficient (“PTC”) resettable fuses, electromechanical switches and interconnect solutions, polymer electrostatic discharge (“ESD”) suppressors, varistors, reed switch based magnetic sensing, gas discharge tubes; semiconductor products such as discrete transient voltage suppressor (“TVS”) diodes, TVS diode arrays, protection and switching thyristors, silicon and silicon carbide metal-oxide-semiconductor field effect transistors (“MOSFETs”) and diodes; and insulated gate bipolar transistors (“IGBT”) technologies. The segment covers a broad range of end markets, including industrial motor drives and power conversion, automotive electronics, electric vehicle and related infrastructure, aerospace, power supplies, data centers and telecommunications, medical devices, alternative energy and energy storage, building and home automation, appliances, and mobile electronics. •Transportation Segment: Consists of a wide range of circuit protection, power control and sensing technologies for global original equipment manufacturers (“OEMs”), Tier-one suppliers and parts and aftermarket distributors in passenger vehicle, heavy-duty truck, off-road vehicle, material handling, agricultural, construction and other commercial vehicle end markets. Passenger vehicle products are used in internal combustion engine, hybrid and electric vehicles including blade fuses, battery cable protectors, resettable fuses, high-current fuses, high-voltage fuses, and sensor products designed to monitor the occupant’s safety and environment as well as the vehicle’s powertrain. Commercial vehicle products include fuses, switches, circuit breakers, relays, and power distribution modules and units used in applications serving a number of end markets, including heavy-duty truck, construction, agriculture, material handling and marine. •Industrial Segment: Consists of industrial circuit protection (industrial fuses), industrial controls (protection relays, contactors, and transformers) and temperature sensors for use in various applications such as renewable energy and energy storage systems, electric vehicle infrastructure, HVAC systems, industrial safety, non-residential construction, MRO, mining and industrial automation. Segment information is summarized as follows:
|  | Three Months Ended |  | Nine Months Ended
(in thousands) |  | October 1, 2022 |  | September 25, 2021 |  | October 1, 2022 |  | September 25, 2021
Net sales |  |  |  |  |  |  |  |
Electronics |  | $ | 397,629 |  |  | $ | 347,240 |  |  | $ | 1,121,626 |  |  | $ | 959,122 |
Transportation |  | 181,735 |  |  | 124,415 |  |  | 548,266 |  |  | 386,262 |
Industrial |  | 79,516 |  |  | 67,926 |  |  | 230,754 |  |  | 181,479 |
Total net sales |  | $ | 658,880 |  |  | $ | 539,581 |  |  | $ | 1,900,646 |  |  | $ | 1,526,863 |
Depreciation and amortization |  |  |  |  |  |  |  |
Electronics |  | $ | 19,080 |  |  | $ | 15,503 |  |  | $ | 48,984 |  |  | 45,998 |
Transportation |  | 11,331 |  |  | 7,075 |  |  | 32,703 |  |  | 21,094 |
Industrial |  | 2,180 |  |  | 2,058 |  |  | 6,522 |  |  | 5,957 |
Total depreciation and amortization |  | $ | 32,591 |  |  | $ | 24,636 |  |  | $ | 88,209 |  |  | $ | 73,049 |
Operating income |  |  |  |  |  |  |  |
Electronics |  | $ | 113,140 |  |  | $ | 100,524 |  |  | $ | 339,675 |  |  | $ | 230,283 |
Transportation |  | 12,987 |  |  | 15,806 |  |  | 57,604 |  |  | 55,380 |
Industrial |  | 12,178 |  |  | 6,571 |  |  | 39,968 |  |  | 18,452 |
Other(a) |  | (16,435) |  |  | (2,794) |  |  | (30,623) |  |  | (11,270) |
Total operating income |  | 121,870 |  |  | 120,107 |  |  | 406,624 |  |  | 292,845 |
Interest expense |  | 8,399 |  |  | 4,602 |  |  | 17,069 |  |  | 13,901 |
Foreign exchange loss |  | 18,191 |  |  | 3,154 |  |  | 40,051 |  |  | 8,315 |
Other (income) expense, net |  | (698) |  |  | (1,240) |  |  | 9,789 |  |  | (10,867) |
Income before income taxes |  | $ | 95,978 |  |  | $ | 113,591 |  |  | $ | 339,715 |  |  | $ | 281,496 |
(a) Included in “Other” Operating income for the third quarter of 2022 was $6.8 million ($11.6 million year-to-date) of purchase accounting inventory step-up charges, $6.2 million ($14.8 million year-to-date) of legal and professional fees and other integration expenses related to completed and contemplated acquisitions, and $3.4 million ($4.3 million year-to-date) of restructuring, impairment and other charges, primarily related to employee termination costs. See Note 7, Restructuring, Impairment, and Other Charges, for further discussion. Included in “Other” Operating income for the third quarter of 2021 was $6.8 million year-to-date of purchase accounting inventory step-up charges, $2.0 million ($3.4 million year-to-date) of legal and professional fees and other integration expenses related to Hartland and other contemplated acquisitions, and $0.8 million ($2.0 million year-to-date) of restructuring, impairment and other charges, primarily related to employee termination costs. See Note 7, Restructuring, Impairment, and Other Charges, for further discussion. In addition, there was a year-to-date gain of $0.9 million recorded for the sale of a building within the Electronics segment. The Company’s net sales by country were as follows:
|  | Three Months Ended |  | Nine Months Ended
(in thousands) |  | October 1, 2022 |  | September 25, 2021 |  | October 1, 2022 |  | September 25, 2021
Net sales |  |  |  |  |  |  |  |
United States |  | $ | 244,907 |  |  | $ | 172,995 |  |  | $ | 689,888 |  |  | $ | 458,723 |
China |  | 165,091 |  |  | 160,628 |  |  | 492,195 |  |  | 455,872 |
Other countries(a) |  | 248,882 |  |  | 205,958 |  |  | 718,563 |  |  | 612,268 |
Total net sales |  | $ | 658,880 |  |  | $ | 539,581 |  |  | $ | 1,900,646 |  |  | $ | 1,526,863 |
The Company’s long-lived assets by country were as follows:
(in thousands) |  | October 1, 2022 |  | January 1, 2022
Long-lived assets |  |  |  |
United States |  | $ | 76,191 |  |  | $ | 57,923 |
China |  | 120,079 |  |  | 122,867 |
Mexico |  | 105,290 |  |  | 107,283 |
Germany |  | 36,033 |  |  | 39,055 |
Philippines |  | 74,967 |  |  | 74,918 |
Other countries(a) |  | 45,674 |  |  | 35,843 |
Total long-lived assets |  | $ | 458,234 |  |  | $ | 437,889 |
The Company’s additions to long-lived assets by country were as follows:
|  | Nine Months Ended
(in thousands) |  | October 1, 2022 |  | September 25, 2021
Additions to long-lived assets |  |  |  |
United States |  | $ | 9,761 |  |  | $ | 3,696 |
China |  | 23,449 |  |  | 13,790 |
Mexico |  | 21,169 |  |  | 22,518 |
Germany |  | 3,246 |  |  | 6,994 |
Philippines |  | 13,118 |  |  | 10,109 |
Other countries(a) |  | 4,269 |  |  | 3,527 |
Total additions to long-lived assets |  | $ | 75,012 |  |  | $ | 60,634 |
(a)Each country included in other countries is less than 10% of net sales.

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://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI https://asc.fasb.org/topic&trid=2134510 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration