XML 48 R29.htm IDEA: XBRL DOCUMENT v3.22.4
Segment Information
 12 Months Ended
Dec. 31, 2022
Segment Reporting [Abstract]  
Segment Information
19. Segment Information

The Company categorizes its operating companies into five reportable segments: Engineered Products, Clean Energy & Fueling, Imaging & Identification, Pumps & Process Solutions, and Climate & Sustainability Technologies. The Company's businesses are structured around similar business models, go-to market strategies, manufacturing practices and product categories which increases management efficiency and better aligns Dover's operations with its strategic initiatives and capital allocation priorities, and provides greater transparency about performance. Operating segments are defined as the components of an enterprise for which separate financial information is available, that engage in business activities from which they may recognize revenues and incur expenses, and that are regularly evaluated by the entity's chief operating decision maker or decision-making group, which is composed of Dover's executive leadership team, in making resource allocation decisions and evaluating performance.

The five reportable segments are as follows: 

•Engineered Products segment provides a wide range of equipment, components, software, solutions and services to the vehicle aftermarket, waste handling, industrial automation, aerospace and defense, industrial winch and hoist, and fluid dispensing end-markets.

•Clean Energy & Fueling segment provides components, equipment, software, solutions and services enabling safe and reliable storage, transport and dispensing of traditional and clean fuels (including liquefied natural gas, hydrogen, and electric vehicle charging), cryogenic gases, and other hazardous substances along the supply chain, and safe and efficient operation of convenience retail, retail fueling and vehicle wash establishments, as well as facilities where cryogenic gases are produced, stored or consumed.

•Imaging & Identification segment supplies precision marking and coding, product traceability, brand protection and digital textile printing equipment, as well as related consumables, software and services to the global packaged and consumer goods, pharmaceutical, industrial manufacturing, textile and other end-markets.

•Pumps & Process Solutions segment manufactures specialty pumps and flow meters, highly engineered precision components for rotating and reciprocating machines, fluid connecting solutions and plastics and polymer processing equipment, serving single-use biopharmaceutical production, diversified industrial manufacturing, chemical production, plastics and polymer processing, midstream and downstream oil and gas and other end-markets.

•Climate & Sustainability Technologies segment is a provider of innovative and energy-efficient equipment, components and parts for the commercial refrigeration, equipment and systems, heating and cooling and beverage can-making equipment markets.

The Company's Chief Operating Decision Maker ("CODM") uses segment earnings to evaluate segment performance and allocate resources. Segment earnings is defined as earnings before purchase accounting expenses, restructuring and other costs, loss (gain) on dispositions, corporate expenses/other, interest expense, interest income and provision for income taxes.

During the year ended December 31, 2022, the segment measure of profit and loss used by the CODM was changed to segment earnings from segment earnings (EBIT), defined as earnings before corporate expenses/other, interest expense, interest income and provision for income taxes. This change in segment measure allows the CODM to better assess operating results over time and is consistent with how the CODM evaluates our businesses. Accordingly, we have updated our segment earnings for the years ended 2021 and 2020 to conform to the new presentation.
Segment financial information and a reconciliation of segment results to consolidated results follows:
 Years Ended December 31,
 202220212020
Revenue:
Engineered Products$2,043,632 $1,780,827 $1,531,277 
Clean Energy & Fueling1,878,507 1,648,153 1,476,282 
Imaging & Identification1,123,815 1,163,367 1,038,178 
Pumps & Process Solutions1,728,235 1,708,634 1,324,003 
Climate & Sustainability Technologies1,737,724 1,608,175 1,316,090 
Intersegment eliminations(3,825)(2,075)(2,070)
Total consolidated revenue$8,508,088 $7,907,081 $6,683,760 
Net earnings:
Segment earnings:
Engineered Products$346,519 $277,852 $265,143 
Clean Energy & Fueling352,993 327,186 290,233 
Imaging & Identification268,084 266,932 224,033 
Pumps & Process Solutions533,018 575,593 348,733 
Climate & Sustainability Technologies
254,484 185,517 126,093 
Total segment earnings1,755,098 1,633,080 1,254,235 
Purchase accounting expenses (1)
181,103 141,980 138,515 
Restructuring and other costs (2)
38,990 38,436 51,472 
Loss (gain) on dispositions (3)
194 (206,338)(5,213)
Corporate expense / other (4)
135,280 156,298 119,361 
Interest expense116,456 106,319 111,937 
Interest income(4,430)(4,441)(3,571)
Earnings before provision for income taxes1,287,505 1,400,826 841,734 
Provision for income taxes222,129 277,008 158,283 
Net earnings$1,065,376 $1,123,818 $683,451 
Segment margins:
Engineered Products17.0 %15.6 %17.3 %
Clean Energy & Fueling18.8 %19.9 %19.7 %
Imaging & Identification23.9 %22.9 %21.6 %
Pumps & Process Solutions30.8 %33.7 %26.3 %
Climate & Sustainability Technologies
14.6 %11.5 %9.6 %
Total segments20.6 %20.7 %18.8 %
Net earnings12.5 %14.2 %10.2 %
Depreciation and amortization:   
Other depreciation and amortization (5):
Engineered Products$27,745 $27,036 $25,242 
Clean Energy & Fueling28,815 25,842 26,053 
Imaging & Identification14,185 14,189 13,795 
Pumps & Process Solutions40,839 39,272 38,667 
Climate & Sustainability Technologies26,204 26,987 24,582 
Total other depreciation and amortization137,788 133,326 128,339 
Corporate depreciation and amortization8,137 7,250 6,535 
Depreciation and amortization included in purchase accounting expenses and restructuring and other161,613 149,547 144,177 
Consolidated total$307,538 $290,123 $279,051 
(1) Purchase accounting expenses are primarily comprised of amortization of intangible assets and charges related to fair value step-ups for acquired inventory sold during the period.
(2) Restructuring and other costs relate to actions taken for headcount reductions, facility consolidations and site closures, exit costs, and other asset charges. Restructuring and other costs consist of the following:
Years Ended December 31,
202220212020
Restructuring$30,480 $26,705 $44,468 
Other costs, net8,510 11,731 7,004 
Restructuring and other costs $38,990 $38,436 $51,472 
(3) Loss (gain) on dispositions includes working capital adjustments related to dispositions.
(4) Certain expenses are maintained at the corporate level and not allocated to the segments. These expenses include executive and functional compensation costs, non-service pension costs, non-operating insurance expenses, shared business services overhead costs, deal related expenses and various administrative expenses relating to the corporate headquarters.
(5) Other depreciation and amortization relates to property, plant, and equipment and intangibles, and excludes amounts related to purchase accounting expenses and restructuring and other costs.

Selected financial information by segment (continued):
Capital expenditures:202220212020
Engineered Products$39,765 $48,453 $23,515 
Clean Energy & Fueling33,489 25,167 26,903 
Imaging & Identification14,695 10,671 10,690 
Pumps & Process Solutions82,817 44,578 52,804 
Climate & Sustainability Technologies41,426 34,335 42,923 
Corporate8,770 8,261 8,857 
Consolidated total$220,962 $171,465 $165,692 

Total assets at December 31:20222021
Engineered Products$1,771,689 $1,678,317 
Clean Energy & Fueling3,068,260 3,201,504 
Imaging & Identification1,821,649 1,871,039 
Pumps & Process Solutions (6)
2,161,210 1,709,852 
Climate & Sustainability Technologies1,525,449 1,358,118 
Corporate (7)
548,262 584,797 
Total assets$10,896,519 $10,403,627 
(6) Increase primarily driven by 2022 acquisitions. See Note 3 — Acquisitions for additional information.
(7) Corporate assets are comprised primarily of cash and cash equivalents.

 Revenue
Long-Lived Assets (8)
 Years Ended December 31,At December 31,
 20222021202020222021
United States$4,847,321 $4,305,957 $3,677,285 $629,140 $584,948 
Europe1,792,020 1,797,138 1,482,520 291,921 283,952 
Asia939,093 901,141 745,150 57,253 62,210 
Other Americas667,673 612,751 535,091 21,763 20,627 
Other261,981 290,094 243,714 4,748 5,573 
Consolidated total$8,508,088 $7,907,081 $6,683,760 $1,004,825 $957,310 
(8) Long-lived assets are comprised of net property, plant and equipment.

The U.S. was the largest geographical market for the Engineered Products, Clean Energy & Fueling, Pumps & Process Solutions, and Climate & Sustainability Technologies segments, and Europe was the largest market for the Imaging & Identification segment.

Revenue is attributed to regions based on the location of the Company's customer, which in some instances is an intermediary and not necessarily the end user. The Company's businesses serve thousands of customers, none of which individually accounted for more than 10% of consolidated revenue.