Segment Results (Tables)

3 Months Ended

Mar. 31, 2019

Summarized Financial Information on Operations by Reportable Segment

The following table provides summarized information about the Company’s operations by reportable segment and reconciles Segment Adjusted EBITDA to Income Before Income Taxes for the three month periods ended March 31, 2019 and 2018.

	For the Three Month Period Ended March 31, 2019			For the Three Month Period Ended March 31, 2018
Revenue
Industrials	$	318.1		$	316.9
Energy		233.1			242.2
Medical		69.1			60.5
Total Revenue	$	620.3		$	619.6
Segment Adjusted EBITDA
Industrials	$	71.0		$	66.8
Energy		60.0			68.0
Medical		20.0			15.9
Total Segment Adjusted EBITDA	$	151.0		$	150.7
Less items to reconcile Segment Adjusted EBITDA to Income
Before Income Taxes:
Corporate expenses not allocated to segments^(a)	$	10.9		$	2.5
Interest expense		22.4			26.0
Depreciation and amortization expense		45.5			45.0
Restructuring and related business transformation costs^(b)		4.1			4.5
Acquisition related expenses and non-cash charges^(c)		1.6			4.6
Expenses related to public stock offerings^(d)		-			1.4
Establish public company financial reporting compliance^(e)		0.6			0.8
Stock-based compensation^(f)		9.3			2.7
Foreign currency transaction losses, net		3.1			2.6
Shareholder litigation settlement recoveries^(g)		(6.0	)		(4.5	)
Other adjustments^(h)		0.4			(0.7	)
Income Before Income Taxes	$	59.1		$	65.8

^(a)

Includes insurance recoveries of asbestos legal fees of $5.6 million in the three month period ended March 31, 2018.

^(b)

Restructuring and related business transformation costs consist of the following.

	For the Three Month Period Ended March 31, 2019		For the Three Month Period Ended March 31, 2018
Restructuring charges	$	2.0	$	-
Severance, sign-on, relocation and executive search costs		1.0		2.0
Facility reorganization, relocation and other costs		0.6		0.6
Information technology infrastructure transformation		0.3		-
Losses (gains) on asset and business disposals		0.1		(1.2	)
Consultant and other advisor fees		0.1		2.6
Other, net		-		0.5
Total restructuring and related business transformation costs	$	4.1	$	4.5

^(c)

Represents costs associated with successful and/or abandoned acquisitions, including third-party expenses, post-closure integration costs (including certain incentive and non-incentive cash compensation costs) and non-cash charges and credits arising from fair value purchase accounting adjustments.

^(d)

Represents certain expenses related to the Company’s initial stock offering and subsequent secondary offerings.

^(e)

Represents third party expenses to comply with the requirements of Sarbanes-Oxley and the accelerated adoption of the new accounting standards (ASC 606 – Revenue from Contracts with Customers and ASC 842 – Leases) in the first quarter of 2018 and 2019, respectively, one year ahead of the required adoption dates for a private company.

^(f)

Represents stock-based compensation expense recognized for the three month period ended March 31, 2019 of $7.5 million, increased by $1.8 million due to costs associated with employer taxes.

Represents stock-based compensation expense recognized for the three month period ended March 31, 2018 of $3.4 million, decreased by $0.7 million due to the reduction of an accrual related to employer taxes.

^(g)

Represents an insurance recovery of the Company’ shareholder litigation settlement in 2014.

^(h)

Includes (i) effects of amortization of prior service costs and amortization of losses in pension and other postemployment (‘‘OPEB’’) expense, (ii) certain legal and compliance costs and (iii) other miscellaneous adjustments.