Operating Segments

9 Months Ended

Jul. 31, 2015

Segment Reporting [Abstract]

Operating Segments

12. Operating segments  

We conduct business across three primary business segments:  Adhesive Dispensing Systems, Advanced Technology Systems, and Industrial Coating Systems.  The composition of segments and measure of segment profitability is consistent with that used by our chief operating decision maker.  The primary measure used by the chief operating decision maker for purposes of making decisions about allocating resources to the segments and assessing performance is operating profit, which equals sales less cost of sales and certain operating expenses.  Items below the operating profit line of the Consolidated Statement of Income (interest and investment income, interest expense and other income/expense) are excluded from the measure of segment profitability reviewed by our chief operating decision maker and are not presented by operating segment.  The accounting policies of the segments are generally the same as those described in Note 1, Significant Accounting Policies, of our annual report on Form 10-K for the year ended October 31, 2014.

The following table presents information about our reportable segments:

	AdhesiveDispensing Systems			AdvancedTechnology Systems			IndustrialCoating Systems		Corporate			Total
Three months ended
July 31, 2015
Net external sales	$	211,649		$	184,888		$	66,194	$	—		$	462,731
Operating profit (loss)		54,854			44,633	(a)		12,326		(8,963	)		102,850
Three months ended
July 31, 2014
Net external sales	$	226,762		$	174,636		$	57,152	$	—		$	458,550
Operating profit (loss)		60,806			56,444			7,471		(10,266	)		114,455
Nine months ended
July 31, 2015
Net external sales	$	609,135		$	446,588		$	186,743	$	—		$	1,242,466
Operating profit (loss)		148,963			96,221	(a)		27,604		(30,706	)		242,082
Nine months ended
July 31, 2014
Net external sales	$	668,187		$	399,805		$	167,439	$	—		$	1,235,431
Operating profit (loss)		171,425	(b)		97,664	(c)		21,762		(29,703	)		261,148

(a) Includes $2,319 of severance and restructuring costs in the three and nine months ended July 31, 2015.

(b) Includes $699 of severance and restructuring costs in the nine months ended July 31, 2014.

(c) Includes $579 of severance and restructuring costs in the nine months ended July 31, 2014.

A reconciliation of total segment operating income to total consolidated income before income taxes is as follows:

	Three Months Ended						Nine Months Ended
	July 31, 2015			July 31, 2014			July 31, 2015			July 31, 2014
Total profit for reportable segments	$	102,850		$	114,455		$	242,082		$	261,148
Interest expense		(4,504	)		(3,810	)		(12,907	)		(10,917	)
Interest and investment income		111			137			349			466
Other-net		2			(236	)		(787	)		(851	)
Income before income taxes	$	98,459		$	110,546		$	228,737		$	249,846

We have significant sales in the following geographic regions:

	Three Months Ended				Nine Months Ended
	July 31, 2015		July 31, 2014		July 31, 2015		July 31, 2014
United States	$	129,290	$	119,705	$	392,144	$	360,904
Americas		34,929		31,296		94,225		89,705
Europe		120,580		126,639		334,244		365,172
Japan		26,647		34,593		76,679		89,727
Asia Pacific		151,285		146,317		345,174		329,923
Total net external sales	$	462,731	$	458,550	$	1,242,466	$	1,235,431