REVENUE (Notes)

12 Months Ended

Oct. 31, 2020

Revenue from Contract with Customer [Abstract]

Revenue from Contract with Customer [Text Block]

REVENUE

Contract Balances

    Contract assets (unbilled receivables) represent revenue recognized on contracts using an over-time recognition model in excess of amounts invoiced to the customer. Contract liabilities (deferred revenue) represent customer advances and billings in excess of revenue recognized and are included within accrued expenses and other current liabilities in the Company’s Consolidated Balance Sheet.    

    Changes in the Company’s contract assets and liabilities during fiscal 2020 and 2019 are as follows (in thousands):

	October 31, 2020	October 31, 2019	Change
Contract assets	$60,429	$43,132	$17,297
Contract liabilities	25,631	23,809	1,822
Net contract assets	$34,798	$19,323	$15,475

    The increase in the Company's contract assets during fiscal 2020 occurred within the ETG and principally reflects additional unbilled receivables on certain customer contracts using an over-time recognition model in excess of billings on certain customer contracts.

    The amount of revenue that the Company recognized during fiscal 2020 that was included in contract liabilities as of the beginning of fiscal 2020 was $18.7 million.

Remaining Performance Obligations

    As of October 31, 2020, the Company had $439.5 million of remaining performance obligations associated with contracts with an original duration of greater than one year pertaining to the majority of the products offered by the ETG as well as certain products of the FSG's specialty products and aftermarket replacement parts product lines. The Company will recognize net sales as these obligations are satisfied. The Company expects to recognize $309.1 million of

this amount during fiscal 2021 and $130.4 million thereafter, of which the majority is expected to occur in fiscal 2022.

Disaggregation of Revenue

    The following table summarizes the Company’s net sales by product line for each operating segment (in thousands):

	Year Ended October 31,
	2020	2019	2018
Flight Support Group:
Aftermarket replacement parts (1)	$525,636	$678,001	$582,562
Repair and overhaul parts and services (2)	193,164	299,323	286,454
Specialty products (3)	206,012	262,859	228,921
Total net sales	924,812	1,240,183	1,097,937
Electronic Technologies Group:
Electronic component parts primarily for    defense, space and aerospace equipment (4)	679,901	633,685	547,088
Electronic component parts for equipment in various other industries (5)	195,086	200,837	154,739
Total net sales	874,987	834,522	701,827
Intersegment sales	(12,790)	(19,058)	(22,043)
Total consolidated net sales	$1,787,009	$2,055,647	$1,777,721

(1)    Includes various jet engine and aircraft component replacement parts.

(2)    Includes primarily the sale of parts consumed in various repair and overhaul services on selected jet engine and aircraft components, avionics, instruments, composites and flight surfaces of commercial and military aircraft.

(3)    Includes primarily the sale of specialty components such as thermal insulation blankets, renewable/reusable insulation systems, advanced niche components, complex composite assemblies, and expanded foil mesh.

(4)    Includes various component parts such as electro-optical infrared simulation and test equipment, electro-optical laser products, electro-optical, microwave and other power equipment, high-speed interface products, power conversion products, underwater locator beacons, emergency locator transmission beacons, traveling wave tube amplifiers, microwave power modules, three-dimensional microelectronic and stacked memory products, crashworthy and ballistically self-sealing auxiliary fuel systems, radio frequency (RF) and microwave amplifiers, transmitters and receivers, high performance communications and electronic intercept receivers and tuners, high performance active antenna systems and technical surveillance countermeasures (TSCM) equipment.

(5)    Includes various component parts such as electromagnetic and radio frequency interference shielding, high voltage interconnection devices, high voltage advanced power electronics, harsh environment

connectivity products, custom molded cable assemblies, silicone material for a variety of demanding applications and rugged small form-factor embedded computing solutions.

    The following table summarizes the Company’s net sales by industry for each operating segment (in thousands):

	Year ended October 31,
	2020	2019	2018
Flight Support Group:
Aerospace	$669,194	$1,004,088	$890,059
Defense and Space	213,273	190,076	163,330
Other (1)	42,345	46,019	44,548
Total net sales	924,812	1,240,183	1,097,937
Electronic Technologies Group:
Defense and Space	577,581	531,029	452,714
Other (2)	225,749	217,889	177,878
Aerospace	71,657	85,604	71,235
Total net sales	874,987	834,522	701,827
Intersegment sales	(12,790)	(19,058)	(22,043)
Total consolidated net sales	$1,787,009	$2,055,647	$1,777,721

(1)    Principally industrial products.

(2)    Principally other electronics and medical products.