Leases (Policies)

12 Months Ended

Sep. 30, 2024

Leases [Abstract]

Leases accounting policy

Leases

A summary of the Company's lease information is as follows:

		September 30, 2024			September 30, 2023
Assets	Classification
Right of use assets	Other assets	$	85.4		$	68.5
Liabilities
Current lease liabilities	Other current liabilities	$	16.7		$	14.0
Long-term lease liabilities	Other liabilities	69.8			53.9
Total lease liabilities		$	86.5		$	67.9
Other information
Weighted-average remaining lease term (years)		8.1			8.4
Weighted-average incremental borrowing rate		8.8		%	6.8		%

	Fiscal Year
	2024		2023		2022
Statement of Earnings
Lease cost (1)	$	18.0	$	12.5	$	13.5
Other information
Leased assets obtained in exchange for new lease liabilities	$	32.1	$	25.9	$	7.6
Cash paid for amounts included in the measurement of lease liabilities	$	17.5	$	12.2	$	13.5

(1)Lease expense is included in Cost of products sold or SG&A expense based on the nature of the lease. Short-term lease expense and variable lease expense are excluded from this amount and are not material.

In connection with the consolidation of the Mexico facilities (See Note 4 of the Notes to Consolidated Financial Statements), the Company entered into a lease agreement pursuant to which it had agreed to lease a 593,816 square foot manufacturing facility in Aguascalientes, Mexico (the “Mexico Lease”). The Company recognized a right-of-use asset and lease liability of $31.6 as of September 30, 2024 which was determined to be the commencement date as defined under ASC 842, Leases. The Company elected the practical expedient which includes all lease costs as a lease component. Monthly payments included in the lease liability are $0.4 adjusted annually for the increase in CPI. The Company used a lease term of 182 months, of which the first two months are rent free, and an incremental borrowing rate of 11.64%. The Mexico Lease contains one five year lease extension option. The Company also has the option to enter into a subsequent 15-year lease agreement on substantially the same terms as the Mexico Lease (the “Subsequent Lease”), including an option to extend the term of the Subsequent Lease for an additional five years. The Subsequent Lease was determined not to be reasonably certain to be exercised as of September 30, 2024. As a result of the Mexico Lease, the Company remeasured the existing lease liability for its Obregon, Mexico facility as its lease option was no longer reasonably certain to be exercised which resulted in a reduction of the right-of-use asset and lease liability of $11.0.

The Company's future lease payments including reasonably assured renewal options under lease agreements are as follows:

	Operating Leases
Fiscal 2025	$	22.4
2026	19.6
2027	16.2
2028	13.8
2029	8.2
2029 and thereafter	48.7
Total future minimum lease commitments	128.9
Less: Imputed Interest	(42.4)
Present value of lease liabilities	$	86.5