Segment Information

12 Months Ended

Dec. 31, 2022

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company's four operating segments are: Commercial Systems, Industrial Systems, Climate Solutions and Motion Control Solutions.

Commercial Systems segment designs and 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 designs and produces integral motors, automatic transfer switches, 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 designs and produces small motors, electronic variable speed controls and air moving solutions serving markets including residential and light commercial HVAC, water heaters and commercial refrigeration.

Motion Control Solutions segment designs, produces and services mounted and unmounted bearings, conveyor products, conveying automation solutions, couplings, mechanical power transmission drives and components, gearboxes and gear motors, aerospace components, special components products and industrial powertrain components and solutions serving a broad range of markets including food and beverage, bulk handling, eCommerce/warehouse distribution, 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 fiscal 2022, fiscal 2021 and fiscal 2020, respectively:

	Commercial Systems		Industrial Systems		Climate Solutions		Motion Control Solutions		Eliminations		Total
Fiscal 2022
External Sales	$	1,145.4	$	616.0	$	1,081.8	$	2,374.7	$	—	$	5,217.9
Intersegment Sales	23.0		1.0		4.3		5.3		(33.6)		—
Total Sales	1,168.4		617.0		1,086.1		2,380.0		(33.6)		5,217.9
Gross Profit	328.2		152.7		282.9		905.9		—		1,669.7
Operating Expenses	162.5		97.7		121.7		596.5		—		978.4
Asset Impairments	—		—		—		0.9		—		0.9
Income from Operations	165.7		55.0		161.2		308.5		—		690.4
Depreciation and Amortization	29.3		13.8		17.6		246.7		—		307.4
Capital Expenditures	20.7		10.4		21.2		31.5		—		83.8
Fiscal 2021
External Sales	$	1,032.1	$	576.3	$	1,030.6	$	1,171.3	$	—	$	3,810.3
Intersegment Sales	88.7		26.6		19.1		4.1		(138.5)		—
Total Sales	1,120.8		602.9		1,049.7		1,175.4		(138.5)		3,810.3
Gross Profit*	274.2		107.6		312.3		417.5		—		1,111.6
Operating Expenses	161.1		88.0		115.5		350.1		—		714.7
Goodwill Impairment	—		33.0		—		—		—		33.0
Asset Impairments	1.8		—		0.5		3.3		—		5.6
Income (Loss) from Operations*	111.3		(13.4)		196.3		64.1		—		358.3
Depreciation and Amortization	29.9		23.2		16.5		101.0		—		170.6
Capital Expenditures	17.8		9.5		11.7		15.5		—		54.5
Fiscal 2020
External Sales	$	820.2	$	528.8	$	846.8	$	711.2	$	—	$	2,907.0
Intersegment Sales	62.5		27.7		18.8		2.5		(111.5)		—
Total Sales	882.7		556.5		865.6		713.7		(111.5)		2,907.0
Gross Profit*	212.8		94.6		246.9		252.3		—		806.6
Operating Expenses	144.9		91.6		115.5		160.9		—		512.9
Goodwill Impairment	—		10.5		—		—		—		10.5
Asset Impairments	2.8		0.2		1.3		1.0		—		5.3
Gain on Sale of Business	(0.1)		—		—		—		—		(0.1)
Income (Loss) from Operations*	65.2		(7.7)		130.1		90.4		—		278.0
Depreciation and Amortization	32.6		23.9		19.6		55.3		—		131.4
Capital Expenditures	15.3		8.1		12.1		12.0		—		47.5

The following table presents total identifiable assets attributable to the Company's operating segments as of December 31, 2022 and January 1, 2022:

	Commercial Systems		Industrial Systems		Climate Solutions		Motion Control Solutions		Total
Identifiable Assets as of December 31, 2022	$	1,253.5	$	886.0	$	980.6	$	7,148.8	$	10,268.9
Identifiable Assets as of January 1, 2022*	1,264.0		859.9		982.7		7,260.8		10,367.4

*Includes the retrospective effect of changing accounting methods for valuing certain inventories to the FIFO cost method from the LIFO cost method. See Note 3 for additional information.

The following sets forth net sales by country in which the Company operates for fiscal 2022, fiscal 2021 and fiscal 2020, respectively:

	Net Sales
	2022		2021		2020
United States	$	3,332.5	$	2,364.7	$	1,885.1
Rest of the World	1,885.4		1,445.6		1,021.9
Total	$	5,217.9	$	3,810.3	$	2,907.0

U.S. net sales for fiscal 2022, fiscal 2021 and fiscal 2020 represented 63.9%, 62.1% and 64.8% of total net sales, respectively. No individual foreign country represented a material portion of total net sales for any of the years presented.

The following sets forth net property, plant and equipment by country in which the Company operates for fiscal 2022 and fiscal 2021, respectively:

	Long-lived Assets
	2022		2021
United States	$	307.8	$	363.6
Mexico	200.4		204.6
China	79.4		91.2
Rest of the World	219.4		249.1
Total	$	807.0	$	908.5

No other individual foreign country represented a material portion of net property, plant and equipment for any of the years presented.