Acquisitions (Tables) - Signature Systems [Member]

9 Months Ended

Sep. 30, 2024

Summary of Allocation of Purchase Price Based on Estimated Fair Value of Assets Acquired and Liabilities Assumed

The purchase price allocation to the assets acquired and liabilities assumed is preliminary until the final independent valuation consultant report is issued and the Company finalizes its valuation estimates to determine amounts allocated to intangible assets, the tax effects of the acquisition and the allocation of fair value to any other assets defined below. The Company expects to complete this process no longer than twelve months after the closing of the acquisition.

A summary of the preliminary estimated purchase price allocation is as follows:

	Initial Allocation of Consideration		Measurement Period Adjustments(1)			Updated Preliminary Allocation
Assets acquired:
Accounts receivable	$	18,902	$	(48	)	$	18,854
Inventories		17,612		(239	)		17,373
Prepaid expenses		719		(25	)		694
Other assets - long term		4,761		437			5,198
Property, plant and equipment		28,281		—			28,281
Right of use asset - operating leases		3,946		—			3,946
Intangible assets		127,000		9,700			136,700
Goodwill		215,105		(7,176	)		207,929
Assets acquired	$	416,326	$	2,649		$	418,975
Liabilities assumed:
Accounts payable	$	4,542	$	362		$	4,904
Accrued expenses		5,646		(124	)		5,522
Operating lease liability - short term		525		—			525
Operating lease liability - long term		2,400		—			2,400
Deferred income taxes		55,054		2,258			57,312
Total liabilities assumed		68,167		2,496			70,663
Net acquisition cost	$	348,159	$	153		$	348,312

(1) The Company's preliminary purchase price allocation changed due to additional information and further analysis.

Summary of Intangible Assets

Intangible assets consist of Signature’s technology, customer relationships and the Signature Systems indefinite-lived trade name, and are summarized in the table below:

	Fair Value		Weighted Average Estimated Useful Life
Customer relationships	$	83,800	10.0 years
Technology		31,300	12.0 years
Total amortizable intangible assets	$	115,100
Intangible assets not subject to amortization:
Trademarks and trade names	$	21,600	Indefinite

Summary of Pro Forma Results of Operations

The following pro forma results include adjustments to reflect acquisition related costs, additional interest expense, amortization of intangibles associated with the acquisition, amortization of acquisition-related inventory step-up costs and the effects of adjustments made to the carrying value of certain assets.

	Three months ended March 31, 2024		Three months ended September 30, 2023		Nine months ended September 30, 2023
Net sales	$	221,821	$	228,722	$	713,545
Net income		8,345		12,540		29,731