Segments

3 Months Ended

Mar. 31, 2023

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 Company aggregates certain of its operating segments into reportable segments.

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 expenses, 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 CODM does not evaluate performance of the reportable segments based on total assets.

The following table shows information by reportable segment for the three months ended March 31, 2023 and 2022:

	Three Months Ended March 31,
	2023		2022
Net Sales
Americas	$	264.4	$	215.9
EURAF		178.2		179.2
MEAP		65.7		63.9
Total	$	508.3	$	459.0
Segment Operating Income
Americas	$	28.5	$	5.8
EURAF		3.6		11.4
MEAP		8.6		13.1
Total	$	40.7	$	30.3
Depreciation
Americas	$	7.2	$	9.7
EURAF		5.4		5.1
MEAP		0.6		0.6
Corporate		0.7		0.7
Total	$	13.9	$	16.1
Capital Expenditures
Americas	$	4.4	$	2.6
EURAF		4.7		5.6
MEAP		1.5		0.5
Corporate		—		—
Total	$	10.6	$	8.7

A reconciliation of the Company’s segment operating income to operating income in the Condensed Consolidated Statements of Operations for the three months ended March 31, 2023 and 2022 are summarized as follows:

	Three Months Ended March 31,
	2023			2022
Segment operating income	$	40.7		$	30.3
Unallocated corporate expenses		(10.4	)		(12.7	)
Unallocated restructuring expense		(0.1	)		—
Total operating income	$	30.2		$	17.6

Net sales by geographic area for the three months ended March 31, 2023 and 2022 are summarized as follows:

	Three Months Ended March 31,
	2023		2022
United States	$	213.8	$	192.1
Europe		174.4		174.2
Other		120.1		92.7
Total net sales	$	508.3	$	459.0

New machine and non-new machine sales for the three months ended March 31, 2023 and 2022 are summarized as follows:

	Three Months Ended March 31,
	2023		2022
New machine sales	$	357.3	$	329.6
Non-new machine sales		151.0		129.4
Total net sales	$	508.3	$	459.0