Segment Data

9 Months Ended

Mar. 31, 2020

Our reportable operating segments have been determined in accordance with the our internal management structure, which is organized based on operating activities, the manner in which we organize segments for allocating resources, making operating decisions and assessing performance and the availability of separate financial results. We do not allocate certain corporate expenses related to executive retirement plans, our Board of Directors, strategic initiatives, and certain other costs and report them in Corporate. None of our reportable operating segments represent the aggregation of two or more operating segments.

INDUSTRIAL The Industrial segment develops and manufactures high performance tooling and metalworking products and services for diverse end markets, including aerospace and defense, general engineering, energy and transportation. These products include milling, hole making, turning, threading and toolmaking systems used in the manufacture of airframes, aero engines, trucks and automobiles, ships and various types of industrial equipment. We leverage advanced manufacturing capabilities in combination with varying levels of customization to solve our customers’ toughest challenges and deliver improved productivity for a wide range of applications. Industrial goes to market under the Kennametal^® brand through its direct sales force, a network of independent and national distributors, integrated supplier channels and via the Internet. Application engineers and technicians are critical to the sales process and directly assist our customers with specified product design, selection, application and support.

WIDIA Widia offers an assortment of standard and custom metal cutting solutions to general engineering, aerospace, energy and transportation customers. We serve our customers primarily through a network of value-added resellers, integrated supplier channels and via the internet. Widia markets its products under the WIDIA^®, WIDIA Hanita^® and WIDIA GTD^® brands.

INFRASTRUCTURE Our Infrastructure segment produces engineered tungsten carbide and ceramic components, earth-cutting tools, and advanced metallurgical powders, primarily for the energy, earthworks and general engineering end markets. These wear-resistant products include compacts, nozzles, frac seats and custom components used in oil and gas and petrochemical industries; rod blanks and abrasive water jet nozzles for general industries; earth cutting tools and systems used in underground mining, trenching and foundation drilling and road milling; tungsten carbide powders for the oil and gas, aerospace and process industries; and ceramics used by the packaging industry for metallization of films and papers. We combine deep metallurgical and engineering expertise with advanced manufacturing capabilities to deliver solutions that drive improved productivity for our customers. Infrastructure markets its products primarily under the Kennametal^® brand and sells through a direct sales force as well as through distributors.

Our sales and operating income (loss) by segment are as follows:



	Three Months Ended March 31,						Nine Months Ended March 31,
(in thousands)	2020			2019			2020			2019
Sales:
Industrial	$	260,738		$	318,636		$	820,008		$	956,515
Widia	42,721			50,966			131,115			148,592
Infrastructure	179,625			227,602			555,129			666,178
Total sales	$	483,084		$	597,204		$	1,506,252		$	1,771,285
Operating income (loss):
Industrial	$	30,147		$	57,218		$	32,159		$	173,279
Widia	(13,528		)	(4		)	(31,410		)	3,817
Infrastructure	21,941			24,934			7,679			69,407
Corporate	(667		)	(277		)	(1,797		)	(2,622		)
Total operating income	37,893			81,871			6,631			243,881
Interest expense	7,897			8,104			23,834			24,305
Other income, net	(2,438		)	(4,993		)	(9,330		)	(11,775		)
Income (loss) from continuing operations before income taxes	$	32,434		$	78,760		$	(7,873	)	$	231,351

The following table presents Kennametal's revenue disaggregated by geography:



	Three Months Ended
	March 31, 2020				March 31, 2019
(in thousands)	Industrial	Widia	Infrastructure	Total Kennametal	Industrial	Widia	Infrastructure	Total Kennametal
Americas	41%	49%	64%	50%	40%	46%	67%	51%
EMEA	39	26	18	30	41	26	16	30
Asia Pacific	20	25	18	20	19	28	17	19



	Nine Months Ended
	March 31, 2020				March 31, 2019
(in thousands)	Industrial	Widia	Infrastructure	Total Kennametal	Industrial	Widia	Infrastructure	Total Kennametal
Americas	41%	48%	62%	50%	40%	46%	66%	50%
EMEA	39	26	18	30	40	25	15	30
Asia Pacific	20	26	20	20	20	29	19	20

The following tables presents Kennametal's revenue disaggregated by end market:



	Three Months Ended March 31, 2020
(in thousands)	Industrial	Widia	Infrastructure	Total Kennametal
General engineering	44%	100%	35%	46%
Transportation	33	—	—	18
Aerospace	13	—	—	7
Energy	10	—	29	16
Earthworks	—	—	36	13



	Three Months Ended March 31, 2019
(in thousands)	Industrial	Widia	Infrastructure	Total Kennametal
General engineering	45%	100%	36%	46%
Transportation	33	—	—	18
Aerospace	13	—	—	7
Energy	9	—	33	17
Earthworks	—	—	31	12



	Nine Months Ended March 31, 2020
(in thousands)	Industrial	Widia	Infrastructure	Total Kennametal
General engineering	44%	100%	34%	45%
Transportation	33	—	—	18
Aerospace	14	—	—	8
Energy	9	—	29	16
Earthworks	—	—	37	13



	Nine Months Ended March 31, 2019
(in thousands)	Industrial	Widia	Infrastructure	Total Kennametal
General engineering	44%	100%	34%	45%
Transportation	34	—	—	18
Aerospace	13	—	—	7
Energy	9	—	34	18
Earthworks	—	—	32	12