Information on Business Segments

9 Months Ended

Sep. 30, 2024

Segment Reporting [Abstract]

Information on Business Segments

Information on Business Segments

The Company is organized based upon the nature of its products and services and reports under two global business segments: Aerospace and Industrial. Segment information is consistent with how management reviews the businesses, makes investing and resource allocation decisions and assesses operating performance. The Company has not aggregated operating segments for purposes of identifying these two reportable segments.

Aerospace is a global manufacturer of complex fabricated and precision machined components and assemblies for turbine engines, nacelles and structures for both commercial and defense-related aircraft. The Aerospace Aftermarket business provides aircraft engine component MRO services, including services performed under our Component Repair Programs (“CRPs”), for many of the world’s major turbine engine manufacturers, commercial airlines and the defense market. The Aerospace Aftermarket activities also include the manufacture and delivery of aerospace aftermarket spare parts, including through revenue sharing programs (“RSPs”) under which the Company receives an exclusive right to supply designated aftermarket parts over the life of specific aircraft engine programs.

Industrial is a global provider of highly-engineered, high-quality precision components, products and systems for critical applications serving a diverse customer base in end-markets such as industrial equipment, automation, personal care, packaging, electronics, mobility and medical devices. Focused on innovative custom solutions, Industrial participates in the design phase of components and assemblies whereby customers receive the benefits of application and systems engineering, new product development, testing and evaluation, and the manufacturing of final products. Products are sold primarily through its direct sales force and global distribution channels. Industrial's Molding Solutions business designs and manufactures customized hot runner systems, advanced mold cavity sensors and process control systems, and precision high cavitation mold assemblies - collectively, the enabling technologies for many complex injection molding applications. The Automation business designs and develops robotic grippers, advanced end-of-arm tooling systems, sensors and other automation components for intelligent robotic handling solutions and industrial automation applications. The Force & Motion Control business (formerly the Motion Control Solutions business) provides innovative cost-effective force and motion control solutions for a wide range of sheet

metal forming and other industrial markets. See Note 4 as the Company completed the Sale of its Associated Spring™ and Hänggi™ businesses, both within the Force & Motion Control business, in April 2024.

The following tables set forth information about the Company's operations by its two reportable segments:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Net sales
Aerospace(A)	$	231,934	$	156,090	$	671,262	$	395,362
Industrial	155,864		204,898		529,406		639,977
Intersegment sales	(4)		—		(4)		(10)
Total net sales	$	387,794	$	360,988	$	1,200,664	$	1,035,329
Operating profit (loss)
Aerospace(A)	$	35,319	$	3,622	$	95,749	$	38,953
Industrial(B)	6,502		6,368		(16,359)		20,330
Total operating profit	41,821		9,990		79,390		59,283
Interest expense	19,573		22,792		65,216		34,612
Other expense (income), net	517		(874)		1,367		(2,427)
Income (loss) before income taxes	$	21,731	$	(11,928)	$	12,807	$	27,098

(A) The results of MB Aerospace have been included within the Company's Condensed Consolidated Financial Statements in the Aerospace segment for the three and nine months ended September 30, 2024. MB Aerospace's results have also have been included from the acquisition date on August 31, 2023 through September 30, 2023, for the three and nine months ended September 30, 2023.

(B) Industrial operating losses in the nine-month period ended September 30, 2024 include a $53,694 goodwill impairment charge. See Note 9. In addition, operating losses include a $5,420 pre-tax gain on the sale of the Businesses for the nine-month period ended September 30, 2024. See Note 4.

	September 30, 2024		December 31, 2023
Assets
Aerospace	$	1,520,837	$	1,465,347
Industrial	1,421,132		1,685,304
Other (A)	133,063		157,363
Total assets	$	3,075,032	$	3,308,014

(A) "Other" assets include corporate-controlled assets, the majority of which are cash and cash equivalents and deferred tax assets.