Stockholders' Equity and Noncontrolling Interests (Tables)

9 Months Ended

Dec. 31, 2023

Equity [Abstract]

Change In Number Of Shares Of Common Stock Outstanding

The following demonstrates the change in the number of shares of common stock outstanding during the nine months ended December 31, 2023:

Shares outstanding as of March 31, 2023	40,901,059
Purchase of treasury stock	(855,034)
Shares issued under equity-based compensation plans, net of equity awards surrendered for option price and taxes	353,106
Shares outstanding as of December 31, 2023	40,399,131

Components Of Accumulated Other Comprehensive Income

The components of AOCI, net of tax, as of December 31, 2023 and March 31, 2023, are as follows:

	March 31, 2023		Before Reclassifications		Amounts Reclassified from AOCI		December 31, 2023
Pension funded status adjustment	$	(4,423)	$	—	$	62	$	(4,361)
Net unrealized gain (loss) on derivative instruments	1,411		3,266		(5,707)		(1,030)
Foreign currency translation adjustment (1)	(180,462)		3,803		—		(176,659)
Accumulated other comprehensive (loss) income	$	(183,474)	$	7,069	$	(5,645)	$	(182,050)

(1) Foreign currency translation adjustment for the nine months ended December 31, 2023 includes a $5,687 loss (net of taxes of $1,734) related to the Company's $150,000 cross-currency fixed interest rate swap contract.

Reclassification from Accumulated Other Comprehensive Income

The following table presents reclassifications from AOCI during the third quarter ended December 31, 2023:

Components of AOCI	Amounts Reclassified from AOCI		Location of (Gain) Loss Recognized on Income Statement
Derivatives in cash flow hedging relationships:
Net unrealized gain on derivative instruments	$	(3,334)	Cost of goods sold
Tax expense	779
Net unrealized gain on derivative instruments, net of tax	$	(2,555)
Derivatives in net investment hedging relationships:
Net unrealized gain on derivative instruments	$	(796)	Interest expense
Tax expense	186
Net unrealized gain on derivative instruments, net of tax	$	(610)
Defined benefit pension costs:
Prior service costs and deferrals	$	167	Net periodic benefit cost, included in other (income) expense, net - See Note 12
Tax benefit	(146)
Net periodic benefit cost, net of tax	$	21

The following table presents reclassifications from AOCI during the nine months ended December 31, 2023:

Components of AOCI	Amounts Reclassified from AOCI		Location of (Gain) Loss Recognized on Income Statement
Derivatives in cash flow hedging relationships:
Net unrealized gain on derivative instruments	$	(7,448)	Cost of goods sold
Tax expense	1,741
Net unrealized gain on derivative instruments, net of tax	$	(5,707)
Derivatives in net investment hedging relationships:
Net unrealized gain on derivative instruments	$	(908)	Interest expense
Tax expense	212
Net unrealized gain on derivative instruments, net of tax	$	(696)
Defined benefit pension costs:
Prior service costs and deferrals	$	223	Net periodic benefit cost, included in other (income) expense, net - See Note 12
Tax benefit	(161)
Net periodic benefit cost, net of tax	$	62

The following table presents reclassifications from AOCI during the third quarter ended January 1, 2023:

Components of AOCI	Amounts Reclassified from AOCI		Location of (Gain) Loss Recognized on Income Statement
Derivatives in cash flow hedging relationships:
Net unrealized loss on derivative instruments	$	2,484	Cost of goods sold
Tax benefit	(581)
Net unrealized loss on derivative instruments, net of tax	$	1,903
Derivatives in net investment hedging relationships:
Net unrealized gain on derivative instruments	$	(360)	Interest expense
Tax expense	84
Net unrealized gain on derivative instruments, net of tax	$	(276)
Defined benefit pension costs:
Prior service costs and deferrals	$	118	Net periodic benefit cost, included in other (income) expense, net - See Note 12
Tax benefit	(34)
Net periodic benefit cost, net of tax	$	84

The following table presents reclassifications from AOCI during the nine months ended January 1, 2023:

Components of AOCI	Amounts Reclassified from AOCI		Location of (Gain) Loss Recognized on Income Statement
Derivatives in cash flow hedging relationships:
Net unrealized loss on derivative instruments	$	2,411	Cost of goods sold
Tax benefit	(564)
Net unrealized gain on derivative instruments, net of tax	$	1,847
Derivatives in net investment hedging relationships:
Net unrealized gain on derivative instruments	$	(3,283)	Interest expense
Tax expense	767
Net unrealized gain on derivative instruments, net of tax	$	(2,516)
Defined benefit pension costs:
Prior service costs and deferrals	$	356	Net periodic benefit cost, included in other (income) expense, net - See Note 12
Tax benefit	(102)
Net periodic benefit cost, net of tax	$	254

Schedule of Change in Stockholders Equity

The following demonstrates the change in equity attributable to EnerSys stockholders and nonredeemable noncontrolling interests during the third quarter and nine months ended December 31, 2023:

(In Thousands, Except Per Share Data)	Preferred Stock		Common Stock		Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Contra-Equity		Total EnerSys Stockholders’ Equity		Non- redeemable Non- Controlling Interests		Total Equity
Balance at March 31, 2023	$	—	$	560	$	596,464	$	(740,956)	$	1,930,148	$	(183,474)	$	(2,463)	$	1,600,279	$	3,602	$	1,603,881
Stock-based compensation	—		—		7,933		—		—		—		—		7,933		—		7,933
Exercise of stock options	—		5		7,649		—		—		—		—		7,654		—		7,654
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net	—		—		—		—		—		—		—		—		—		—
Purchase of common stock	—		—		—		—		—		—		—		—		—		—
Other	—		—		65		214		—		—		—		279		—		279
Net earnings	—		—		—		—		66,797		—		—		66,797		—		66,797
Dividends ($0.175 per common share)	—		—		184		—		(7,357)		—		—		(7,173)		—		(7,173)
Dissolution of joint venture	—		—		—		—		—		—		—		—		—		—
Other comprehensive income:
Pension funded status adjustment (net of tax benefit of $9)	—		—		—		—		—		20		—		20		—		20
Net unrealized gain (loss) on derivative instruments (net of tax expense of $544)	—		—		—		—		—		1,786		—		1,786		—		1,786
Foreign currency translation adjustment	—		—		—		—		—		2,192		—		2,192		(190)		2,002
Balance at July 2, 2023	$	—	$	565	$	612,295	$	(740,742)	$	1,989,588	$	(179,476)	$	(2,463)	$	1,679,767	$	3,412	$	1,683,179
Stock-based compensation	—		—		5,144		—		—		—		—		5,144		—		5,144
Exercise of stock options	—		(1)		2,015		—		—		—		—		2,014		—		2,014
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net	—		—		(7,348)		—		—		—		—		(7,348)		—		(7,348)
Contra equity - adjustment to indemnification receivable for acquisition related tax liability	—		—		—		—		—		—		475		475		—		475
Purchase of common stock	—		—		—		(47,340)		—		—		—		(47,340)		—		(47,340)
Other	—		(1)		151		194		—		—		—		344		—		344
Net earnings	—		—		—		—		65,229		—		—		65,229		—		65,229
Dividends ($0.225 per common share)	—		—		233		—		(9,401)		—		—		(9,168)		—		(9,168)
Other comprehensive income:
Pension funded status adjustment (net of tax benefit of $6)	—		—		—		—		—		21		—		21		—		21
Net unrealized gain (loss) on derivative instruments (net of tax of $762)	—		—		—		—		—		2,495		—		2,495		—		2,495
Foreign currency translation adjustment	—		—		—		—		—		(31,647)		—		(31,647)		(17)		(31,664)
Balance at October 1, 2023	$	—	$	563	$	612,490	$	(787,888)	$	2,045,416	$	(208,607)	$	(1,988)	$	1,659,986	$	3,395	$	1,663,381

Stock-based compensation	—		—		9,817		—		—		—		—		9,817		—		9,817
Exercise of stock options	—		—		—		—		—		—		—		—		—		—
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net	—		—		(2,144)		—		—		—		—		(2,144)		—		(2,144)
Contra equity - adjustment to indemnification receivable for acquisition related tax liability	—		—		—		—		—		—		—		—		—		—
Purchase of common stock	—		—		—		(34,991)		—		—		—		(34,991)		—		(34,991)
Other	—		—		11		221		—		—		—		232		—		232
Net earnings	—		—		—		—		76,158		—		—		76,158		—		76,158
Dividends ($0.225 per common share)	—		—		234		—		(9,315)		—		—		(9,081)		—		(9,081)
Other comprehensive income:															—				—
Pension funded status adjustment (net of tax benefit of $146)	—		—		—		—		—		21		—		21		—		21
Net unrealized gain (loss) on derivative instruments (net of tax of $2,051)	—		—		—		—		—		(6,722)		—		(6,722)		—		(6,722)
Foreign currency translation adjustment	—		—		—		—		—		33,258		—		33,258		98		33,356
Balance at December 31, 2023	$	—	$	563	$	620,408	$	(822,658)	$	2,112,259	$	(182,050)	$	(1,988)	$	1,726,534	$	3,493	$	1,730,027

The following demonstrates the change in equity attributable to EnerSys stockholders and nonredeemable noncontrolling interests during the third quarter and nine months ended January 1, 2023:

(In Thousands, Except Per Share Data)	Preferred Stock		Common Stock		Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Contra-Equity		Total EnerSys Stockholders’ Equity		Non- redeemable Non- Controlling Interests		Total Equity
Balance at March 31, 2022	$	—	$	557	$	571,464	$	(719,119)	$	1,783,586	$	(143,495)	$	(3,620)	$	1,489,373	$	3,902	$	1,493,275
Stock-based compensation	—		—		5,330		—		—		—		—		5,330		—		5,330
Exercise of stock options	—		1		—		—		—		—		—		1		—		1
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net	—		—		(633)		—		—		—		—		(633)		—		(633)
Purchase of common stock	—		—		—		(22,907)		—		—		—		(22,907)		—		(22,907)
Other	—		—		(41)		240		—		—		—		199		—		199
Net earnings	—		—		—		—		30,978		—		—		30,978		—		30,978
Dividends ($0.175 per common share)	—		—		174		—		(7,282)		—		—		(7,108)		—		(7,108)
Dissolution of joint venture	—		—		—		—		—		—		—		—		—		—
Other comprehensive income:
Pension funded status adjustment (net of tax benefit of $34)	—		—		—		—		—		89		—		89		—		89
Net unrealized gain (loss) on derivative instruments (net of tax benefit of $2,514)	—		—		—		—		—		(8,234)		—		(8,234)		—		(8,234)
Foreign currency translation adjustment	—		—		—		—		—		(52,010)		—		(52,010)		(210)		(52,220)
Balance at July 3, 2022	$	—	$	558	$	576,294	$	(741,786)	$	1,807,282	$	(203,650)	$	(3,620)	$	1,435,078	$	3,692	$	1,438,770
Stock-based compensation	—		—		6,534		—		—		—		—		6,534		—		6,534
Exercise of stock options	—		1		114		—		—		—		—		115		—		115
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net	—		—		(5,624)		—		—		—		—		(5,624)		—		(5,624)
Contra equity - adjustment to indemnification receivable for acquisition related tax liability	—		—		—		—		—		—		963		963		—		963
Purchase of common stock	—		—		—		—		—		—		—		—		—		—
Other	—		—		28		276		—		—		—		304		—		304
Net earnings	—		—		—		—		34,472		—		—		34,472		—		34,472

Dividends ($0.175 per common share)	—		—		174		—		(7,312)		—		—		(7,138)		—		(7,138)
Other comprehensive income:
Pension funded status adjustment (net of tax benefit of $34)	—		—		—		—		—		81		—		81		—		81
Net unrealized gain (loss) on derivative instruments (net of tax benefit of $647)	—		—		—		—		—		2,116		—		2,116		—		2,116
Foreign currency translation adjustment	—		—		—		—		—		(55,961)		—		(55,961)		(214)		(56,175)
Balance at October 2, 2022	$	—	$	559	$	577,520	$	(741,510)	$	1,834,442	$	(257,414)	$	(2,657)	$	1,410,940	$	3,478	$	1,414,418
Stock-based compensation	—		—		6,906		—		—		—		—		6,906		—		6,906
Exercise of stock options	—		1		946		—		—		—		—		947		—		947
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net	—		—		(128)		—		—		—		—		(128)		—		(128)
Contra equity - adjustment to indemnification receivable for acquisition related tax liability	—		—		—		—		—		—		194		194		—		194
Purchase of common stock	—		—		—		—		—		—		—		—		—		—
Other	—		—		(30)		314		—		—		—		284		—		284
Net earnings	—		—		—		—		44,410		—		—		44,410		—		44,410
Dividends ($0.225 per common share)	—		—		193		—		(7,333)		—		—		(7,140)		—		(7,140)
Other comprehensive income:															—				—
Pension funded status adjustment (net of tax benefit of $34)	—		—		—		—		—		84		—		84		—		84
Net unrealized gain (loss) on derivative instruments (net of tax benefit of $3,298)	—		—		—		—		—		10,806		—		10,806		—		10,806
Foreign currency translation adjustment	—		—		—		—		—		60,456		—		60,456		109		60,565
Balance at January 1, 2023	$	—	$	560	$	585,407	$	(741,196)	$	1,871,519	$	(186,068)	$	(2,463)	$	1,527,759	$	3,587	$	1,531,346