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Segment Information
 3 Months Ended
Mar. 31, 2024
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company is organized into four geographical operating segments that are based on management responsibilities: Northern North America; Latin America; Europe, Middle East & Africa; and Asia Pacific. The operating segments have been aggregated (based on economic similarities, the nature of their products, end-user markets and methods of distribution) into three reportable segments: Americas, International, and Corporate.
The Americas segment is comprised of our operations in Northern North American and Latin American geographies. The International segment is comprised of our operations in all geographies outside of the Americas. Certain global expenses are allocated to each segment in a manner consistent with where the benefits from the expenses are derived.
The Company's sales are allocated to each segment based primarily on the country destination of the end-customer.
Adjusted operating income (loss), adjusted operating margin, adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) and adjusted EBITDA margin are the measures used by the chief operating decision maker to evaluate segment performance and allocate resources. Adjusted operating income (loss) is defined as operating income (loss) excluding restructuring charges, currency exchange (gains) losses, product liability expense, loss on divestiture of Mine Safety Appliances Company, LLC ("MSA LLC"), transaction costs and acquisition-related amortization. Adjusted operating margin is defined as adjusted operating income (loss) divided by segment net sales to external customers. Adjusted EBITDA is defined as adjusted operating income (loss) plus depreciation and amortization. Adjusted EBITDA margin is defined as adjusted EBITDA divided by segment net sales to external customers.
The accounting principles applied at the operating segment level in determining operating income (loss) are generally the same as those applied at the unaudited condensed consolidated financial statement level. Sales and transfers between operating segments are accounted for at market-based transaction prices and are eliminated in consolidation.
Reportable segment information is presented in the following table:
(In thousands, except percentages)AmericasInternationalCorporateConsolidated
Totals
Three Months Ended March 31, 2024
Net sales to external customers$295,539 $117,763 $— $413,302 
Operating income80,112 
Restructuring charges (Note 3)3,017 
Currency exchange losses, net2,333 
Amortization of acquisition-related intangible assets2,314 
Transaction costs(a)
233 
Adjusted operating income (loss)86,218 13,486 (11,695)88,009 
Adjusted operating margin %29.2 %11.5 %
Depreciation and amortization13,245 
Adjusted EBITDA95,693 17,045 (11,484)101,254 
Adjusted EBITDA margin %32.4 %14.5 %
Three Months Ended March 31, 2023
Net sales to external customers$280,267 $117,995 $— $398,262 
Operating loss(60,061)
Restructuring charges (Note 3)1,747 
Currency exchange losses, net4,175 
Loss on divestiture of MSA LLC (Note 17)129,211 
Product liability expense (Note 17)3 
Amortization of acquisition-related intangible assets2,305 
Adjusted operating income (loss)71,694 15,779 (10,093)77,380 
Adjusted operating margin %25.6 %13.4 %
Depreciation and amortization12,267 
Adjusted EBITDA80,494 19,058 (9,905)89,647 
Adjusted EBITDA margin %28.7 %16.2 %
(a) Transaction costs include advisory, legal, accounting, valuation, and other professional or consulting fees incurred during acquisitions and divestitures. These costs are included in Selling, general and administrative expense in the unaudited Condensed Consolidated Statements of Operations.
Total sales by product group was as follows:
Three Months Ended March 31, 2024ConsolidatedAmericasInternational
(In thousands, except percentages)DollarsPercentDollarsPercentDollarsPercent
Firefighter Safety (a)
$163,694 40%$122,252 41%$41,442 35%
Detection (b)
139,216 34%96,295 33%42,921 36%
Industrial PPE and Other (c)
110,392 26%76,992 26%33,400 29%
Total$413,302 100%$295,539 100%$117,763 100%
Three Months Ended March 31, 2023ConsolidatedAmericasInternational
(In thousands, except percentages)DollarsPercentDollarsPercentDollarsPercent
Firefighter Safety (a)
$139,388 35%$102,056 36%$37,332 32%
Detection (b)
146,601 37%99,311 35%47,290 40%
Industrial PPE and Other (c)
112,273 28%78,900 29%33,373 28%
Total$398,262 100%$280,267 100%$117,995 100%
(a) Firefighter Safety includes Breathing Apparatus and Firefighter Helmets and Protective Apparel.
(b) Detection includes Fixed Gas and Flame Detection and Portable Gas detection.
(c) Industrial PPE and Other includes Industrial Head Protection, Fall Protection and Non-Core.