Segments

9 Months Ended

Sep. 30, 2022

Segment Reporting [Abstract]

Segments

17. Segments

The Company reports segment information based on the “management” approach. The management approach designates the internal reporting used by the Chief Executive Officer, who is also the Company’s Chief Operating Decision Maker (“CODM”), for making decisions about the allocation of resources and assessing performance as the source of the Company’s reportable operating segments.

The Company has three reportable segments: Americas, EURAF and MEAP. The Americas operating segment includes the North America and South America continents. The EURAF operating segment includes Europe and Africa continents, excluding the Middle East region. The MEAP operating segment includes the Asia and Australia continents and the Middle East region. The results of the acquired businesses are included in the Americas segment.

The CODM evaluates the performance of its reportable segments based on net sales and operating income. Segment net sales are recognized in the geographic region the product is sold. Operating income for each segment includes net sales to third parties, cost of sales directly attributable to the segment, and operating expenses directly attributable to the segment. Manufacturing variances generated within each operating segment are maintained in each segment’s operating income. Operating income for each segment excludes other income and expense and certain expenses managed outside the operating segments. Costs excluded from segment operating income include various corporate expenses such as stock-based compensation expense, income taxes, nonrecurring charges and other separately managed general and administrative costs. The Company does not include intercompany sales between segments for management reporting purposes. The Company aggregates certain of its operating segments into reportable segments. The CODM does not evaluate performance of the reportable segments based on total assets.

The following table shows information by reportable segment for the three and nine months ended September 30, 2022 and 2021:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2022			2021			2022			2021
Net Sales
Americas	$	238.5		$	190.6		$	680.6		$	516.0
EURAF		160.3			150.0			548.5			485.3
MEAP		55.9			63.9			181.8			221.1
Total	$	454.7		$	404.5		$	1,410.9		$	1,222.4
Segment Operating    Income (Loss)
Americas	$	22.2		$	15.3		$	46.4		$	44.2
EURAF		(14.2	)		(5.4	)		(2.2	)		6.6
MEAP		7.5			6.5			28.6			23.1
Total	$	15.5		$	16.4		$	72.8		$	73.9
Depreciation
Americas	$	8.6		$	3.6		$	27.6		$	10.9
EURAF		4.8			4.9			14.8			14.8
MEAP		0.4			0.6			1.7			1.6
Corporate		0.7			0.7			2.1			2.2
Total	$	14.5		$	9.8		$	46.2		$	29.5
Capital Expenditures
Americas	$	8.1		$	2.9		$	13.3		$	5.8
EURAF		6.5			3.7			16.9			15.4
MEAP		0.4			0.3			1.6			1.0
Corporate		—			—			—			0.1
Total	$	15.0		$	6.9		$	31.8		$	22.3

A reconciliation of the Company’s segment operating income to operating income in the Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2022 and 2021 are summarized as follows:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2022			2021			2022			2021
Segment operating income	$	15.5		$	16.4		$	72.8		$	73.9
Unallocated corporate expenses		(7.9	)		(9.1	)		(29.3	)		(29.2	)
Total operating income	$	7.6		$	7.3		$	43.5		$	44.7

Net sales by geographic area for the three and nine months ended September 30, 2022 and 2021 are summarized as follows:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
United States	$	218.8	$	158.7	$	610.0	$	445.2
Europe		157.7		147.4		532.8		472.3
Other		78.2		98.4		268.1		304.9
Total net sales	$	454.7	$	404.5	$	1,410.9	$	1,222.4

New machine and non-new machine sales for the three and nine months ended September 30, 2022 and 2021 are summarized as follows:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
New machine sales	$	327.1	$	304.2	$	1,014.8	$	898.6
Non-new machine sales		127.6		100.3		396.1		323.8
Total net sales	$	454.7	$	404.5	$	1,410.9	$	1,222.4