Business Segment Information

3 Months Ended

Mar. 31, 2024

Segment Reporting [Abstract]

Business Segment Information

16. Business Segment Information

The Company’s operations are organized and reviewed by management along with its solutions or end markets that the segment serves and presented in two reportable segments. The results of the segments are reviewed through the “Income from operations” line on the Condensed Consolidated Statements of Income.

The Company’s reportable segments are organized as groups of similar products and services, as described as follows:

Engineered Systems segment: The Engineered Systems segment serves the power generation, hydrocarbon processing, water/wastewater treatment, oily water separation and treatment, marine and naval vessels, and midstream oil and gas sectors. The Company seeks to address the global demand for environmental and equipment protection solutions with its highly engineered platforms including emissions management, fluid bed cyclones, thermal acoustics, separation and filtration, and dampers and expansion joints.

Industrial Process Solutions segment: The Industrial Process Solutions segment serves the broad industrial sector with solutions for air pollution and contamination control, fluid handling, and process filtration in applications such as aluminum beverage can production, automobile production, food and beverage processing, semiconductor fabrication, electronics production, steel and aluminum mill processing, wood manufacturing, desalination, and aquaculture markets. The Company assists customers in maintaining clean and safe operations for employees, reducing energy consumption, minimizing waste for customers, and meeting regulatory standards for toxic emissions, fumes, volatile organic compounds, and odor elimination through its platforms including duct fabrication and installation, industrial air, and fluid handling.

The financial segment information is as follows:

	Three months ended March 31,
(in thousands)	2024		2023
Net sales (less intra-, inter-segment sales)
Engineered Systems segment	$	89,349	$	74,454
Industrial Process Solutions segment		36,983		38,109
Total net sales	$	126,332	$	112,563

	Three months ended March 31,
(in thousands)	2024			2023
Income from operations
Engineered Systems segment	$	16,277		$	9,805
Industrial Process Solutions segment		7,100			5,546
Corporate and Other(1)		(15,691	)		(9,890	)
Total income from operations	$	7,686		$	5,461

(1)Includes corporate compensation, professional services, information technology, and other general and administrative corporate expenses.

	Three months ended March 31,
(in thousands)	2024		2023
Property and equipment additions
Engineered Systems segment	$	1,137	$	244
Industrial Process Solutions segment		606		1,399
Corporate and Other		1,373		870
Total property and equipment additions	$	3,116	$	2,513

	Three months ended March 31,
(in thousands)	2024		2023
Depreciation and amortization
Engineered Systems segment	$	1,785	$	1,212
Industrial Process Solutions segment		1,119		1,158
Corporate and Other		608		515
Total depreciation and amortization	$	3,512	$	2,885

(in thousands)	March 31, 2024		December 31, 2023
Identifiable assets
Engineered Systems segment	$	430,890	$	432,098
Industrial Process Solutions segment		143,819		147,740
Corporate and Other(2)		14,311		20,453
Total identifiable assets	$	589,020	$	600,291

(2)Corporate and Other assets consist primarily of cash and income tax related assets.

(in thousands)	March 31, 2024		December 31, 2023
Goodwill
Engineered Systems segment	$	142,304	$	142,229
Industrial Process Solutions segment		69,175		69,097
Total goodwill	$	211,479	$	211,326

Intra-segment and Inter-segment Revenues

The Company has multiple divisions that sell to each other within segments (intra-segment sales) and between segments (inter-segment sales), as follows:

	Three months ended March 31, 2024
						Less Inter-Segment Sales
(in thousands)	Total Sales		Intra- Segment Sales			Industrial Process Solutions			Engineered Systems			Net Sales to Outside Customers
Net sales
Engineered Systems segment	$	92,518	$	(3,082	)	$	(87	)	$	—		$	89,349
Industrial Process Solutions segment		39,579		(2,535	)		—			(61	)		36,983
Total net sales	$	132,097	$	(5,617	)	$	(87	)	$	(61	)	$	126,332

	Three months ended March 31, 2023
						Less Inter-Segment Sales
(in thousands)	Total Sales		Intra- Segment Sales			Industrial Process Solutions			Engineered Systems			Net Sales to Outside Customers
Net sales
Engineered Systems segment	$	76,089	$	(1,538	)	$	(97	)	$	—		$	74,454
Industrial Process Solutions segment		39,042		(835	)		—			(98	)		38,109
Total net sales	$	115,131	$	(2,373	)	$	(97	)	$	(98	)	$	112,563