SEGMENT INFORMATION

6 Months Ended

Jul. 03, 2021

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATIONThe Company is comprised of four operating segments: Commercial Systems, Industrial Systems, Climate Solutions and Power Transmission Solutions.

Commercial Systems segment produces fractional to approximately 5 horsepower AC and DC motors, electronic variable speed controls, fans, and blowers for commercial applications. These products serve markets including commercial building ventilation and HVAC, pool and spa, irrigation, dewatering, agriculture, and general commercial equipment.

Industrial Systems segment produces integral motors, generators, alternators and switchgear for industrial applications, along with aftermarket parts and kits to support such products. These products serve markets including agriculture, marine, mining, oil and gas, food and beverage, data centers, healthcare, prime and standby power, and general industrial equipment.

Climate Solutions segment produces small motors, electronic variable speed controls and air moving solutions serving markets including residential and light commercial HVAC, water heaters and commercial refrigeration.

Power Transmission Solutions segment produces, sells and services belt and chain drives, helical and worm gearing, mounted and unmounted bearings, couplings, modular plastic belts, conveying chains and components, hydraulic pump drives, large open gearing and specialty mechanical products serving markets including e-commerce, alternative energy, beverage, bulk handling, metals, special machinery, energy, aerospace and general industrial.

The Company evaluates performance based on the segment's income from operations. Corporate costs have been allocated to each segment based on the net sales of each segment. The reported external net sales of each segment are from external customers.

The following sets forth certain financial information attributable to the Company's operating segments for the three and six months ended July 3, 2021 and June 27, 2020 (in millions):

	Three Months Ended
July 3, 2021	Commercial Systems		Industrial Systems		Climate Solutions		Power Transmission Solutions		Eliminations		Total
External Sales	$	269.3	$	145.2	$	257.3	$	215.1	$	—	$	886.9
Intersegment Sales	19.9		7.3		5.1		0.8		(33.1)		—
Total Sales	289.2		152.5		262.4		215.9		(33.1)		886.9
Gross Profit	67.5		26.2		74.0		83.8		—		251.5
Operating Expenses	40.3		23.1		27.0		49.8		—		140.2
Asset Impairments	1.8		—		0.5		—		—		2.3
Total Operating Expenses	42.1		23.1		27.5		49.8		—		142.5
Income from Operations	25.4		3.1		46.5		34.0		—		109.0
Depreciation and Amortization	7.8		5.7		3.6		13.4		—		30.5
Capital Expenditures	4.5		3.3		3.0		2.8		—		13.6
June 27, 2020
External Sales	$	175.9	$	120.6	$	178.2	$	159.4	$	—	$	634.1
Intersegment Sales	16.9		9.1		3.9		0.6		(30.5)		—
Total Sales	192.8		129.7		182.1		160.0		(30.5)		634.1
Gross Profit	42.4		24.9		47.4		55.6		—		170.3
Operating Expenses	34.2		21.7		26.6		39.1		—		121.6
Asset Impairments	2.0		—		0.8		—		—		2.8
Total Operating Expenses	36.2		21.7		27.4		39.1		—		124.4
Income from Operations	6.2		3.2		20.0		16.5		—		45.9
Depreciation and Amortization	8.3		6.0		5.0		14.0		—		33.3
Capital Expenditures	2.2		2.3		2.6		2.4		—		9.5

	Six Months Ended
July 3, 2021	Commercial Systems		Industrial Systems		Climate Solutions		Power Transmission Solutions		Eliminations		Total
External Sales	$	506.3	$	281.6	$	496.4	$	416.7	$	—	$	1,701.0
Intersegment Sales	37.4		11.0		9.4		1.5		(59.3)		—
Total Sales	543.7		292.6		505.8		418.2		(59.3)		1,701.0
Gross Profit	133.0		53.0		148.0		162.9		—		496.9
Operating Expenses	78.3		46.2		57.7		106.3		—		288.5
Asset Impairments	1.8		—		0.5		—		—		2.3
Total Operating Expenses	80.1		46.2		58.2		106.3		—		290.8
Income from Operations	52.9		6.8		89.8		56.6		—		206.1
Depreciation and Amortization	15.6		11.6		8.1		27.0		—		62.3
Capital Expenditures	7.8		5.7		6.2		4.6		—		24.3
June 27, 2020
External Sales	$	375.3	$	250.2	$	388.3	$	354.5	$	—	$	1,368.3
Intersegment Sales	28.7		15.8		8.4		1.3		(54.2)		—
Total Sales	404.0		266.0		396.7		355.8		(54.2)		1,368.3
Gross Profit	92.7		47.9		106.8		126.2		—		373.6
Operating Expenses	71.7		44.6		56.0		81.2		—		253.5
Gain on Divestiture of Businesses	(0.1)		—		—		—		—		(0.1)
Asset Impairments	2.8		0.2		1.3		—		—		4.3
Total Operating Expenses	74.4		44.8		57.3		81.2		—		257.7
Income from Operations	18.3		3.1		49.5		45.0		—		115.9
Depreciation and Amortization	16.6		11.9		9.7		27.7		—		65.9
Capital Expenditures	5.3		4.3		6.2		4.6		—		20.4

The following table presents identifiable assets information attributable to the Company's operating segments as of July 3, 2021 and January 2, 2021 (in millions):

	Commercial Systems		Industrial Systems		Climate Solutions		Power Transmission Solutions		Total
Identifiable Assets as of July 3, 2021	$	1,390.5	$	870.2	$	966.1	$	1,546.9	$	4,773.7
Identifiable Assets as of January 2, 2021	1,319.6		837.5		890.4		1,541.5		4,589.0