Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Sep. 30, 2022 | Oct. 31, 2022 | Mar. 31, 2022 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Sep. 30, 2022 | ||
Document Transition Report | false | ||
Entity File Number | 001-15401 | ||
Entity Registrant Name | EDGEWELL PERSONAL CARE COMPANY | ||
Entity Incorporation, State or Country Code | MO | ||
Entity Tax Identification Number | 43-1863181 | ||
Entity Address, Address Line One | 6 Research Drive | ||
City Area Code | (203) | ||
Local Phone Number | 944-5500 | ||
Entity Address, City or Town | Shelton, | ||
Entity Address, State or Province | CT | ||
Entity Address, Postal Zip Code | 06484 | ||
Title of 12(b) Security | Common Stock, par value $0.01 per share | ||
Trading Symbol | EPC | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 1,922,025,854 | ||
Entity Common Stock, Shares Outstanding | 51,443,452 | ||
Documents Incorporated by Reference | Certain portions of the registrant’s definitive proxy statement for its 2022 annual meeting of shareholders, to be filed with the Securities and Exchange Commission within 120 days after September 30, 2022, are incorporated by reference into Part III of this report. | ||
Entity Central Index Key | 0001096752 | ||
Current Fiscal Year End Date | --09-30 | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Audit Information
Audit Information | 12 Months Ended |
Sep. 30, 2022 | |
Cover [Abstract] | |
Auditor Name | PricewaterhouseCoopers LLP |
Auditor Location | St. Louis, Missouri |
Auditor Firm ID | 238 |
Consolidated Statements of Earn
Consolidated Statements of Earnings and Comprehensive (Loss) Income - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Income Statement [Abstract] | |||
Net sales | $ 2,171.7 | $ 2,087.3 | $ 1,949.7 |
Cost of products sold | 1,292.3 | 1,137.2 | 1,068.8 |
Gross profit | 879.4 | 950.1 | 880.9 |
Selling, general and administrative expense | 389.1 | 391.2 | 408.8 |
Advertising and sales promotion expense | 238.3 | 241.5 | 216.2 |
Research and development expense | 55.5 | 57.8 | 55.3 |
Restructuring charges | 15.3 | 20.8 | 24.6 |
Operating income | 181.2 | 238.8 | 176 |
Gain on sale of Infant and Pet Care business | 0 | 0 | 4.1 |
Cost of early retirement of long-term debt | 0 | 26.1 | 26.2 |
Interest expense associated with debt | 71.4 | 67.9 | 61.2 |
Other (income) expense, net | (13.2) | (1.2) | 5.4 |
Earnings before income taxes | 123 | 146 | 87.3 |
Income tax provision | 24.4 | 29 | 19.7 |
Net earnings | $ 98.6 | $ 117 | $ 67.6 |
Basic net earnings per share | $ 1.86 | $ 2.15 | $ 1.25 |
Dilutive net earnings per share | $ 1.84 | $ 2.12 | $ 1.24 |
Condensed Consolidated Statements of Comprehensive Income | |||
Net earnings | $ 98.6 | $ 117 | $ 67.6 |
Other comprehensive (loss) income, net of tax: | |||
Foreign currency translation adjustments | (89.4) | 5.6 | 29.9 |
Pension and postretirement activity, net of tax | 4.7 | 44.8 | 17.7 |
Deferred gain (loss) on hedging activity, net of tax | 5.5 | 4.3 | (3.3) |
Total other comprehensive (loss) income, net of tax | (79.2) | 54.7 | 44.3 |
Total comprehensive income | $ 19.4 | $ 171.7 | $ 111.9 |
Consolidated Statements of Ea_2
Consolidated Statements of Earnings and Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Income Statement [Abstract] | |||
OCI Pension and postretirement activity, net of tax | $ 5.2 | $ 17.1 | $ 6.3 |
OCI gain (loss) on cash flow hedge, tax | $ 2.5 | $ 2 | $ (1.5) |
Consolidated Balance Sheet
Consolidated Balance Sheet - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 |
Current assets | ||
Cash and cash equivalents | $ 188.7 | $ 479.2 |
Trade receivables | 136.9 | 150.7 |
Inventories | 449.3 | 345.7 |
Other current assets | 167.3 | 160.1 |
Total current assets | 942.2 | 1,135.7 |
Property, plant and equipment, net | 345.5 | 362.6 |
Goodwill | 1,322.2 | 1,162.8 |
Other intangible assets, net | 996.6 | 906.4 |
Other assets | 106.6 | 107.1 |
Total assets | 3,713.1 | 3,674.6 |
Current liabilities | ||
Current maturities of long-term debt | 0 | 0 |
Notes payable | 19 | 26.5 |
Accounts payable | 237.3 | 209.5 |
Other current liabilities | 291.7 | 300.8 |
Total current liabilities | 548 | 536.8 |
Long-term debt | 1,391.4 | 1,234.2 |
Deferred income tax liabilities | 140.4 | 129 |
Other liabilities | 173.6 | 190.3 |
Total liabilities | 2,253.4 | 2,090.3 |
Shareholders’ equity | ||
Preferred shares | 0 | 0 |
Common shares | 0.7 | 0.7 |
Additional paid-in capital | 1,604.3 | 1,631.1 |
Retained earnings | 931.7 | 865.7 |
Common shares in treasury at cost | (860.9) | (776.3) |
Accumulated other comprehensive loss | (216.1) | (136.9) |
Total shareholders’ equity | 1,459.7 | 1,584.3 |
Total liabilities and shareholders’ equity | $ 3,713.1 | $ 3,674.6 |
Consolidated Balance Sheet Pare
Consolidated Balance Sheet Parentheticals - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts, trade receivable | $ 3.8 | $ 6.9 |
Preferred shares, par value (in usd per share) | $ 0.01 | $ 0.01 |
Preferred shares, authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred shares, issued (in shares) | 0 | 0 |
Preferred shares, outstanding (in shares) | 0 | 0 |
Common shares, par value (in usd per share) | $ 0.01 | $ 0.01 |
Common shares, authorized (in shares) | 300,000,000 | 300,000,000 |
Common shares, issued (in shares) | 65,251,989 | 65,251,989 |
Common shares, outstanding (in shares) | 51,573,001 | 54,369,714 |
Treasury shares (in shares) | 13,678,988 | 10,882,275 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Cash Flow from Operating Activities | |||
Net earnings | $ 98.6 | $ 117 | $ 67.6 |
Depreciation and amortization | 89.9 | 87.1 | 88.8 |
Share-based compensation expense | 23.8 | 27.3 | 19.2 |
Deferred income taxes | (13.7) | 9.6 | (2.9) |
Deferred compensation payments | (7.3) | (9.3) | (8.7) |
Loss on sale of assets | 1.5 | 0.9 | 2.3 |
Gain on sale of Infant and Pet Care business | 0 | 0 | 4.1 |
Cost of early retirement of long-term debt | 0 | (26.1) | (26.2) |
Other, net | (9.8) | (2.8) | 1 |
Accounts receivable, net | (6.6) | 3.7 | 66.3 |
Inventories | (111.3) | (28.8) | 37.1 |
Other current assets | (11.5) | (13.8) | 3 |
Accounts payable | 30.4 | 25.4 | (42.9) |
Other current liabilities | 18 | (13.4) | (20.3) |
Net cash from operating activities | 102 | 229 | 232.6 |
Cash flow from Investing Activities | |||
Capital expenditures | (56.4) | (56.8) | (47.7) |
Acquisitions, net of cash acquired | (309.4) | (0.3) | (233.6) |
Proceeds from sale of Infant Care business | 5 | 7.5 | 95.8 |
Investment in equity securities | 0 | 0 | (13.8) |
Collection of deferred purchase price from accounts receivable sold | 6.9 | 2.6 | 4.3 |
Other, net | (1.5) | (1.7) | (1.4) |
Net cash used by investing activities | (355.4) | (48.7) | (196.4) |
Cash flow from Financing Activities | |||
Cash proceeds from debt with original maturities greater than 90 days | 707 | 0 | 50 |
Cash payments on debt with original maturities greater than 90 days | (552) | 0 | (167) |
Cash proceeds from the issuance of Senior Notes due 2029 | 0 | 500 | 0 |
Cash payments on Senior Notes due 2022 | 0 | 500 | 0 |
Cash proceeds from the issuance of Senior Notes due 2028 | 0 | 0 | 750 |
Cash payments on Senior Notes due 2021 | 0 | 0 | (600) |
Net (decrease) increase in debt with original maturities of 90 days or less | (3.9) | 4.2 | 3 |
Cost of early retirement of long-term debt | 0 | (26.1) | (26.2) |
Debt issuance costs for Senior Notes due 2029 | 0 | (6.5) | 0 |
Debt issuance costs for Senior Notes due 2028 | 0 | 0 | (11.7) |
Debt issuance costs for the Revolving Credit Facility | 0 | 0 | (3.6) |
Repurchase of shares | (125.3) | (9.2) | 0 |
Dividends paid | (32.6) | (25.6) | 0 |
Employee shares withheld for taxes | (10.7) | (4.2) | (2) |
Net financing (outflow) inflow from the Accounts Receivable Facility | (0.8) | 2.4 | (11.2) |
Other, net | 0.7 | (0.4) | 0 |
Net cash used by financing activities | (17.6) | (65.4) | (18.7) |
Effect of exchange rate changes on cash | (19.5) | (0.4) | 5.6 |
Net (decrease) increase in cash and cash equivalents | (290.5) | 114.5 | 23.1 |
Cash and cash equivalents, beginning | 479.2 | 364.7 | 341.6 |
Cash and cash equivalents, ending | 188.7 | 479.2 | 364.7 |
Supplemental Cash Flow Information [Abstract] | |||
Cash paid for interest, net | 68.4 | 61 | 56.1 |
Cash paid for income taxes, net | $ 23.8 | $ 25.4 | $ 24.6 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Shareholders' Equity - USD ($) $ in Millions | Total | Common shares | Treasury shares | Additional paid-in capital | Retained earnings | Accumulated other comprehensive loss |
Common shares, issued (in shares) at Sep. 30, 2019 | 65,200,000 | |||||
Treasury shares (in shares) at Sep. 30, 2019 | (11,000,000) | |||||
Shareholders' equity at Sep. 30, 2019 | $ 1,303.5 | $ 0.7 | $ (803.8) | $ 1,627.7 | $ 714.8 | $ (235.9) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 67.6 | 0 | 0 | 0 | 67.6 | 0 |
Foreign currency translation adjustments | 29.9 | 0 | 0 | 0 | 0 | 29.9 |
Pension and postretirement activity, net of tax | 17.7 | 0 | 0 | 0 | 0 | 17.7 |
Deferred gain (loss) on hedging activity, net of tax | (3.3) | $ 0 | $ 0 | 0 | 0 | (3.3) |
Activity under share plans (in shares) | 0 | 100,000 | ||||
Activity under share plans (in usd) | 17.5 | $ 0 | $ 13.4 | 4.1 | 0 | 0 |
Common shares, issued (in shares) at Sep. 30, 2020 | 65,200,000 | |||||
Treasury shares (in shares) at Sep. 30, 2020 | (10,900,000) | |||||
Shareholders' equity at Sep. 30, 2020 | 1,432.9 | $ 0.7 | $ (790.4) | 1,631.8 | 782.4 | (191.6) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 117 | 0 | 0 | 0 | 117 | 0 |
Dividends declared to common shareholders | (33.7) | (33.7) | ||||
Foreign currency translation adjustments | 5.6 | 0 | 0 | 0 | 0 | 5.6 |
Pension and postretirement activity, net of tax | 44.8 | 0 | 0 | 0 | 0 | 44.8 |
Deferred gain (loss) on hedging activity, net of tax | 4.3 | $ 0 | $ 0 | 0 | 0 | 4.3 |
Treasury Stock, Shares, Acquired | (300,000) | |||||
Repurchase of shares (in usd) | (9.2) | $ 9.2 | ||||
Activity under share plans (in shares) | 0 | 300,000 | ||||
Activity under share plans (in usd) | $ 22.6 | $ 0 | $ 23.3 | (0.7) | 0 | 0 |
Common shares, issued (in shares) at Sep. 30, 2021 | 65,251,989 | 65,200,000 | ||||
Treasury shares (in shares) at Sep. 30, 2021 | (10,882,275) | (10,900,000) | ||||
Shareholders' equity at Sep. 30, 2021 | $ 1,584.3 | $ 0.7 | $ (776.3) | 1,631.1 | 865.7 | (136.9) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 98.6 | 0 | 0 | 0 | 98.6 | 0 |
Dividends declared to common shareholders | (32.6) | (32.6) | ||||
Foreign currency translation adjustments | (89.4) | 0 | 0 | 0 | 0 | (89.4) |
Pension and postretirement activity, net of tax | 4.7 | 0 | 0 | 0 | 0 | 4.7 |
Deferred gain (loss) on hedging activity, net of tax | $ 5.5 | $ 0 | $ 0 | 0 | 0 | 5.5 |
Treasury Stock, Shares, Acquired | (3,300,000) | (3,300,000) | ||||
Repurchase of shares (in usd) | $ (125.3) | $ 125.3 | ||||
Activity under share plans (in shares) | 0 | 500,000 | ||||
Activity under share plans (in usd) | $ 13.9 | $ 0 | $ 40.7 | (26.8) | 0 | 0 |
Common shares, issued (in shares) at Sep. 30, 2022 | 65,251,989 | 65,200,000 | ||||
Treasury shares (in shares) at Sep. 30, 2022 | (13,678,988) | (13,700,000) | ||||
Shareholders' equity at Sep. 30, 2022 | $ 1,459.7 | $ 0.7 | $ (860.9) | $ 1,604.3 | $ 931.7 | $ (216.1) |
Supplemental Balance Sheet Info
Supplemental Balance Sheet Information - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 |
Inventories | ||
Raw materials and supplies | $ 80.4 | $ 61.3 |
Work in process | 103.2 | 83.4 |
Finished products | 265.7 | 201 |
Total inventories | 449.3 | 345.7 |
Other Current Assets | ||
Miscellaneous receivables | 39.6 | 30.3 |
Inventory returns receivable | 1.1 | 0.9 |
Prepaid expenses | 70.2 | 67.3 |
Value added tax collectible from customers | 21.3 | 19.6 |
Income taxes receivable | 19.3 | 29.1 |
Other | 15.8 | 12.9 |
Other current assets | 167.3 | 160.1 |
Property, Plant and Equipment | ||
Land | 18 | 19.2 |
Buildings | 140.3 | 144.5 |
Machinery and equipment | 1,050 | 1,049 |
Capitalized software costs | 56.5 | 57 |
Construction in progress | 47 | 44 |
Total gross property, plant and equipment | 1,311.8 | 1,313.7 |
Accumulated depreciation | (966.3) | (951.1) |
Total property, plant and equipment, net | 345.5 | 362.6 |
Other Current Liabilities | ||
Accrued advertising, sales promotion and allowances | 34.9 | 33.8 |
Accrued trade allowances | 31.4 | 34 |
Accrued salaries, vacations and incentive compensation | 51.1 | 66.4 |
Income taxes payable | 17.4 | 9.8 |
Returns reserve | 47.5 | 52.7 |
Restructuring reserve | 2.5 | 5.5 |
Value added tax payable | 6.5 | 4.6 |
Dividends Payable | 7.8 | 8.2 |
Deferred compensation | 4.5 | 5.9 |
Short term lease obligation | 8.8 | 11 |
Customer advance payments | 1.1 | 0.6 |
Other | 78.2 | 68.3 |
Other current liabilities | 291.7 | 300.8 |
Other Liabilities | ||
Pensions and other retirement benefits | 57.9 | 55.4 |
Deferred compensation | 17.6 | 22.7 |
Long term lease obligation | 41.5 | 46.9 |
Other non-current liabilities | 56.6 | 65.3 |
Total other liabilities | $ 173.6 | $ 190.3 |
Background and Basis of Present
Background and Basis of Presentation | 12 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Background and Basis of Presentation | Background and Basis of Presentation Background Edgewell Personal Care Company and its subsidiaries (collectively, “Edgewell” or the “Company”), is one of the world’s largest manufacturers and marketers of personal care products in the wet shave, sun and skin care and feminine care categories. With operations in over 20 countries, The Company’s products are widely available in more than 50 countries. The Company conducts its business in the following three segments: • Wet Shave consists of products sold under the Schick®, Wilkinson Sword®, Edge, Skintimate®, Billie®, Shave Guard and Personna® brands, as well as non-branded products. The Company’s wet shave products include razor handles and refillable blades, disposable shave products and shaving gels and creams. • Sun and Skin Care consists of Banana Boat® and Hawaiian Tropic® sun care products, Jack Black®, Bulldog® and Cremo® men’s grooming products, and Wet Ones® products. • Feminine Care includes tampons, pads and liners sold under the Playtex Gentle Glide® and Sport®, Stayfree®, Carefree® and o.b.® brands. Through December 2019, the Company also conducted business in its All Other segment which included infant care products, such as bottles, cups and pacifiers, sold under the Playtex®, OrthoPro® and Binky® brand names, as well as the Diaper Genie® and Litter Genie® disposal systems. The Company completed the sale of the Infant and Pet Care business in December 2019. Basis of Presentation The accompanying Consolidated Financial Statements include the accounts of the Company and its controlled subsidiaries and have been prepared in accordance with United States (“U.S.”) generally accepted accounting principles (“GAAP”), under the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”). The preparation of the Consolidated Financial Statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses. Actual results may differ materially from those estimates. All intercompany balances and transactions have been eliminated in consolidation and, in the opinion of management, all normal recurring adjustments considered necessary for a fair presentation have been included. Acquisition of Billie, Inc. On November 29, 2021, the Company completed the acquisition of Billie, Inc. (“Billie”) (the “Billie Acquisition”), a leading U.S. based consumer brand company that offers a broad portfolio of personal care products for women. The results of Billie for the post-acquisition period are included within the Company’s results since the acquisition date. For more information on the Billie Acquisition, see Note 3 of Notes to Consolidated Financial Statements. Acquisition of Cremo. On September 2, 2020, the Company completed the acquisition of Cremo Holding Company, LLC (“Cremo”) (the “Cremo Acquisition”), a men’s skincare products company based in the U.S. The results of Cremo for the post-acquisition period are included within the Company’s results since the acquisition date for the fiscal year ended September 30, 2021 and 2020. For more information on the Cremo Acquisition, see Note 3 of Notes to Consolidated Financial Statements. Sale of Infant and Pet Care assets. On December 17, 2019, the Company completed the sale of its Infant and Pet Care business which was included in the All Other segment through the date of the sale. The All Other segment had no further operating results after the first quarter of fiscal 2020. Operations for the Company’s manicure kits were reclassified to the Sun and Skin Care segment for all periods presented as these products were not part of the divestiture. The impact of recasting the prior period segment information was not material. For more information on the sale of the Infant and Pet Care business, see Note 3 of Notes to Consolidated Financial Statements. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Foreign Currency Translation Financial statements of foreign operations where the local currency is the functional currency are translated using end-of-period exchange rates for assets and liabilities, and average exchange rates during the period for results of operations. Related translation adjustments are reported as a component within accumulated other comprehensive loss in the shareholders’ equity section of the Consolidated Balance Sheets, except as noted below. Gains and losses resulting from foreign currency transactions are included in Net earnings. Foreign currency losses of $7.7, $0.5 and $10.5 during fiscal 2022, 2021 and 2020, respectively, were included within Other (income) expense, net. The Company uses foreign exchange (“FX”) instruments to reduce the risk of FX transactions as described below and in Note 16 of Notes to Consolidated Financial Statements. Financial Instruments and Derivative Securities The Company uses financial instruments, from time to time, in the management of foreign currency, interest rate, and other risks that are inherent to its business operations. Such instruments are not held or issued for trading purposes. FX instruments, including forward currency contracts, are used primarily to reduce cash transaction exposures and, to a lesser extent, to manage other translation exposures. FX instruments are selected based on their risk reduction attributes, costs, and related market conditions. The Company has designated certain foreign currency contracts as cash flow hedges for accounting purposes as of September 30, 2022. At September 30, 2022, the Company had $174.0 of variable rate debt outstanding. In the past the Company has used interest rate swaps to hedge the risk of variable rate debt. As of September 30, 2022, the Company did not have any outstanding interest rate swap agreements. For further discussion, see Note 11 and Note 16 of Notes to Consolidated Financial Statements. Cash Equivalents Cash equivalents are considered to be highly liquid investments with a maturity of three months or less when purchased. At September 30, 2022, the Company had $188.7 in available cash and cash equivalents, a significant portion of which was outside of the U.S. The Company has extensive operations outside of the U.S., including a significant manufacturing footprint. The Company manages its worldwide cash requirements by reviewing available funds among the many subsidiaries through which it conducts its business and the cost effectiveness with which those funds can be accessed. The repatriation of cash balances from certain of the Company’s subsidiaries could have adverse tax consequences or be subject to regulatory capital requirements; however, those balances are generally available without legal restrictions to fund ordinary business operations. Cash Flow Presentation The Consolidated Statements of Cash Flows are prepared using the indirect method, which reconciles Net earnings to Net cash from operating activities. The reconciliation adjustments include the removal of timing differences between the occurrence of operating receipts and payments and their recognition in Net earnings. The adjustments also remove cash flows arising from investing and financing activities, which are presented separately from operating activities. Cash flows from foreign currency transactions and operations are translated at an average exchange rate for the period. Cash flows from hedging activities are included in the same category as the items being hedged, which is primarily operating activities. Cash payments related to income taxes are classified as operating activities. Trade Receivables Trade receivables are stated at their net realizable value. The allowance for doubtful accounts reflects the Company’s best estimate of probable losses inherent in the trade receivables portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other currently available information. Bad debt expense is included in Selling, general and administrative expense (“SG&A”). The Company began an accounts receivable factoring program in September 2017. For further discussion, see Note 10 of Notes to Consolidated Financial Statements. Inventories Inventories are valued at the lower of cost or net realizable value, with cost generally determined using average cost or the first-in, first-out (“FIFO”) method. Capitalized Software Costs Capitalized software costs are included in Property, plant and equipment, net. These costs are amortized using the straight-line method over periods of related benefit ranging from three Property, Plant and Equipment, net Property, plant and equipment, net (“PP&E”) is stated at historical cost. PP&E acquired as part of a business combination is recorded at estimated fair value. Expenditures for new facilities and expenditures that substantially increase the useful life of property, including interest during construction, are capitalized and reported as Capital expenditures in the accompanying Consolidated Statements of Cash Flows. Maintenance, repairs and minor renewals are expensed as incurred. When property is retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the accounts and gains or losses on the disposition are reflected in Net earnings. Depreciation is generally provided on the straight-line basis by charges to earnings at rates based on estimated useful lives. Estimated useful lives range from two three Estimated useful lives are periodically reviewed and, when appropriate, changes are made and accounted for prospectively. When certain events or changes in operating conditions occur, asset lives may be adjusted and an impairment assessment may be performed on the recoverability of the carrying amounts. Acquisitions, Goodwill and Other Intangible Assets The Company allocates the cost of an acquired business to the assets acquired and liabilities assumed based on their estimated fair values at the date of acquisition. The excess value of the cost of an acquired business over the estimated fair value of the assets acquired and liabilities assumed is recognized as goodwill. The valuation of the acquired assets and liabilities will impact the determination of future operating results. The Company uses a variety of information sources to determine the value of acquired assets and liabilities, including: third-party appraisers for the values and lives of property, identifiable intangibles and inventories; actuaries for defined benefit retirement plans; and legal counsel or other experts to assess the obligations associated with legal, environmental or other claims. Goodwill and indefinite-lived intangibles are not amortized but are instead evaluated annually for impairment as part of the Company’s annual business planning cycle in the fourth fiscal quarter, or when indicators of a potential impairment are present. The annual test for impairment performed for goodwill can be qualitative or quantitative, taking into consideration certain factors surrounding the fair value of the goodwill including, level by which fair value exceeded carrying value in the prior valuation, as well as macroeconomic factors, industry conditions and actual results at the test date. The quantitative analysis to test for impairment will estimate the fair value of each reporting unit (Wet Shave, Sun Care, Skin Care and/or Feminine Care) using valuation models that incorporate assumptions and projections of expected future cash flows and operating plans. In determining the estimated fair value of the reporting units when performing a quantitative analysis, both the market approach and the income approach are considered in the valuation, and where appropriate, both methods will be used and weighted, unless appropriate market comparables are not available for a reporting unit. Determining the fair value of a reporting unit requires the use of significant judgment, estimates, and assumptions. While the Company believes that the estimates and assumptions underlying the valuation methodology are reasonable, these estimates and assumptions could have a significant impact on whether an impairment charge is recognized and the magnitude of any such charge. The results of an impairment analysis are as of a point in time. There is no assurance that actual future earnings or cash flows of the reporting units will not vary significantly from these projections. The Company will monitor any changes to these assumptions and will evaluate the carrying value of goodwill as warranted during future periods. The key assumptions and estimates for the market and income approaches used to determine fair value of the reporting units included market data and market multiples, discount rates and terminal growth rates, as well as revenue growth rates, and operating margins, which are based upon management’s strategic plan. The Company evaluates indefinite-lived intangible assets, which consist of trademarks and brand names used across the Company’s segments for impairment on an annual basis. Similar to goodwill, the impairment test can be qualitative or quantitative, taking into consideration certain factors surrounding the fair value of the brand names including, level by which fair value exceeded carrying value in the prior valuation, as well as macroeconomic factors, industry conditions and actual results at the test date. The quantitative test will determine the fair value using one of two income approaches: (i) the multi-period excess earnings method and (ii) the relief-from-royalty method, both of which require significant assumptions, including estimates regarding future revenue and operating margin growth, discount rates, and appropriate royalty rates. Revenue and operating margin growth assumptions are based on historical trends and management’s expectations for future growth by brand. The discount rates were based on a weighted-average cost of capital utilizing industry market data of similar companies and estimated returns on the assets utilized in the operations of the applicable reporting unit, including net working capital, fixed assets and intangible assets. The Company estimated royalty rates based on operating profits of the brand. Intangible assets with finite lives, and a remaining weighted-average life of approximately eight years, are amortized on a straight-line basis over expected lives of five Refer to Note 7 of Notes to Consolidated Financial Statements for further discussion on goodwill and other intangible assets. Impairment of Long-Lived Assets The Company reviews long-lived assets, other than goodwill and other intangible assets, for impairment when events or changes in business circumstances indicate that the remaining useful life may warrant revision or that the carrying amount of the long-lived asset may not be fully recoverable. The Company performs an undiscounted cash flow analysis to determine if impairment exists for an asset or asset group. If impairment is determined to exist, any related impairment loss is calculated based on estimated fair value. Impairment losses on assets to be disposed of, if any, are based on the estimated proceeds to be received, less cost of disposal. Revenue Recognition Principal Revenue Streams and Significant Judgments Our principal revenue streams can be divided into: (i) sale of personal care products primarily through retailers in North America; (ii) sale of personal care products through a combination of retailers and distributors internationally; and (iii) production and sale of private brands products in North America and internationally that are made to customer specifications. Performance Obligations The Company’s revenue is generated from the sale of its products. Revenue is recognized when the customer obtains control of the goods, which occurs when the ability to use and obtain benefits from the goods are passed to the customer, most commonly upon the delivery of goods to the customer. Discounts are offered to customers for early payment and an estimate of discounts is recorded as a reduction of Net sales in the same period as the sale. The Company’s standard sales terms are final and returns or exchanges are not permitted with the exception of end of season returns for Sun Care products. Reserves are established and recorded in cases where the right of return exists for a particular sale. The Company assesses the goods promised in its customers’ purchase orders and identifies a performance obligation to transfer goods (or a bundle of goods) that is distinct. To identify the performance obligations, the Company considers all the goods promised, whether explicitly stated or implied based on customary business practices. The Company’s purchase orders are short term in nature, lasting less than one year and contain a single delivery element. For a purchase order that has more than one performance obligation, the Company allocates the total consideration to each distinct performance obligation on a relative stand-alone selling price basis. The Company does not exclude variable consideration in determining the remaining value of performance obligations. Significant Judgments The Company records sales at the time that control of goods pass to the customer. The terms of these sales vary but the following conditions are applicable to all sales: (i) the sales arrangement is evidenced by purchase orders submitted by customers; (ii) the selling price is fixed or determinable; (iii) title to the product has transferred; (iv) there is an obligation to pay at a specified date without any additional conditions or actions required by the Company; and (v) collectability is reasonably assured. Simultaneously with the sale, the Company reduces Net sales and Cost of products sold and reserves amounts on its Consolidated Balance Sheet for anticipated returns based upon an estimated return level in accordance with GAAP. The Company also allows for returns of other products under limited circumstances. Customers are required to pay for the Sun Care product purchased during the season under the required terms. Under certain circumstances, the Company allows customers to return Sun Care products that have not been sold by the end of the Sun Care season, which is normal practice in the Sun Care industry. The timing of returns of Sun Care products can vary in different regions based on climate and other factors. However, the majority of returns occur in the U.S. from September through January following the summer Sun Care season. The Company estimates the level of Sun Care returns as the Sun Care season progresses using a variety of inputs including historical experience, consumption trends during the Sun Care season, obsolescence factors including expiration dates and inventory positions at key retailers. The Company monitors shipment activity and inventory levels at key retailers during the season in an effort to more accurately estimate potential returns. This allows the Company to manage shipment activity to its customers, especially in the latter stages of the Sun Care season, to reduce the potential for returned product. The Company also allows for returns of other products under limited circumstances. Non-Sun Care returns are evaluated each period based on communications with customers and other issues known as of period end. The Company had a reserve for returns of $47.5 and $52.7 at September 30, 2022 and September 30, 2021, respectively. The adoption of ASU 2014-09, which updated the guidance related to accounting for revenue from contracts with customers, required changes in the presentation of returns on the Consolidated Balance Sheet, namely that a return asset should be recognized for returns expected to be resold, measured at the carrying amount of goods at the time of sale, less the expected costs to recover the goods and any expected reduction in value. In addition, the Company offers a variety of programs, such as consumer coupons and rebate programs, primarily to its retail customers, designed to promote sales of its products. Such programs require periodic payments and allowances based on estimated results of specific programs and are recorded as a reduction to Net sales. The Company accrues, at the time of sale, the estimated total payments and allowances associated with each transaction. Additionally, the Company offers programs directly to consumers to promote the sale of its products. Promotions which reduce the ultimate consumer sale price are recorded as a reduction of Net sales at the time the promotional offer is made using estimated redemption and participation levels. Taxes the Company collects on behalf of governmental authorities, which are generally included in the price to the customer, are also recorded as a reduction of Net sales. The Company continually assesses the adequacy of accruals for customer and consumer promotional program costs not yet paid. To the extent total program payments differ from estimates, adjustments may be necessary. Historically, these adjustments have not been material. Contract Balances The timing of revenue recognition is based on completion of performance obligations through the transfer of goods. Standard payment terms with customers require payment after goods have been delivered and risk of ownership has transferred to the customer. The Company has contract liabilities as a result of advanced payments received from certain customers before goods have been delivered and all performance obligations have been completed. Contract liabilities were $1.1 and $0.6 at September 30, 2022 and September 30, 2021, respectively, and were classified within Other current liabilities on our Consolidated Balance Sheets. Substantially all of the amount deferred will be recognized within a year, with the significant majority to be captured within a quarter following deferral. Trade receivables are stated at their net realizable value. The allowance for doubtful accounts reflects the Company’s best estimate of probable losses inherent in its receivables portfolio determined by historical experience, specific allowances for known troubled accounts, and other currently available information. Advertising and Sales Promotion Costs The Company advertises and promotes its products through national and regional media and expenses such activities as incurred. Advertising and sales promotion expense reported on the Consolidated Statements of Earnings and Comprehensive (Loss) Income includes advertising costs of $125.8, $142.3 and $121.2 for fiscal 2022, 2021 and 2020, respectively. Share-Based Payments The Company grants restricted share equivalents (“RSE”), which generally vest over two Non-qualified stock options (“Share Options”) are granted at the market price on the grant date and generally vest ratably over three years. The Company calculates the fair value of total share-based compensation for Share Options using the Black-Scholes option pricing model, which utilizes certain assumptions and estimates that have a material impact on the amount of total compensation cost recognized in the Consolidated Financial Statements, including the expected term, expected share price volatility, risk-free interest rate and expected dividends. The original estimate of the grant date fair value is not subsequently revised unless the awards are modified. The Company has elected to recognize forfeiture of awards as they occur. Income Taxes The Company’s annual effective income tax rate is determined based on its pre-tax income, statutory tax rates and the tax impacts of items treated differently for tax purposes than for financial reporting purposes. Tax law requires that certain items be included in its federal tax return at different times than the items are reflected in the financial statements. Some of these differences are permanent, such as expenses that are not deductible in the Company’s tax return, and some differences are temporary, reversing over time, such as depreciation expense. These temporary differences create deferred tax assets and liabilities. Deferred tax assets generally represent the tax effect of items that can be used as a tax deduction or credit in future years for which the Company has already recorded the tax benefit in the Consolidated Statement of Earnings. Deferred tax liabilities generally represent tax expense recognized in the Company’s financial statements for which payment has been deferred, the tax effect of expenditures for which a deduction has already been taken in its tax return but has not yet been recognized in its financial statements or assets recorded at estimated fair value in business combinations for which there was no corresponding tax basis adjustment. The Company estimates income taxes and the effective income tax rate in each jurisdiction that it operates. This involves estimating taxable earnings, specific taxable and deductible items, the likelihood of generating sufficient future taxable income to utilize deferred tax assets, the portion of the income of foreign subsidiaries that is expected to be remitted to the U.S. and be taxable and possible exposures related to future tax audits. Deferred tax assets are evaluated on a subsidiary by subsidiary basis to ensure that the asset will be realized. Valuation allowances are established when the realization is not deemed to be more likely than not. Future performance is monitored, and when objectively measurable operating trends change, adjustments are made to the valuation allowances accordingly. To the extent the estimates described above change, adjustments to income taxes are made in the period in which the estimate is changed. The Company operates in multiple jurisdictions with complex tax and regulatory environments, which are subject to differing interpretations by the taxpayer and the taxing authorities. At times, the Company may take positions that management believes are supportable but are potentially subject to successful challenges by the appropriate taxing authority. The Company evaluates its tax positions and establishes liabilities in accordance with guidance governing accounting for uncertainty in income taxes. The Company reviews these tax uncertainties in light of changing facts and circumstances, such as the progress of tax audits, and adjusts them accordingly. Estimated Fair Values of Financial Instruments Certain financial instruments are required to be recorded at estimated fair value. Changes in assumptions or estimation methods could affect the fair value estimates; however, the Company does not believe any such changes would have a material impact on its financial condition, results of operations or cash flows. Other financial instruments including cash and cash equivalents and short-term borrowings, including notes payable, are recorded at cost, which approximates estimated fair value. The estimated fair values of long-term debt and financial instruments are disclosed in Note 16 of Notes to Consolidated Financial Statements. Recently Adopted Accounting Pronouncements In December 2019, the Financial Accounting Standards Board issued Accounting Standards Update 2019-12, which eliminates certain exceptions related to the approach for intra-period tax allocation, the methodology for calculating income taxes in an interim period when interim loss exceeds anticipated loss for the year, and the recognition of deferred tax liabilities for outside basis differences related to changes in ownership of equity method investments and foreign subsidiaries. The guidance also simplifies aspects of accounting for franchise taxes and enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. The Company adopted this standard as of October 1, 2021. There was no cumulative effect adjustment recorded to retained earnings as the amount was not material, and the effects of this standard on our financial position, results of operations and cash flows were not material. Recently Issued Accounting Pronouncements In September 2022, the Financial Accounting Standards Board issued Accounting Standards Update 2022-04, "Liabilities - Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations". This guidance requires annual and interim disclosures for entities that use supplier finance programs in connection with the purchase of goods and services. These amendments are effective for fiscal years beginning after December 15, 2022, except for the amendment on rollforward information, which is effective for fiscal years beginning after December 15, 2023. The Company is assessing the impact of this guidance on our Consolidated Financial Statements. |
Business Combinations and Dives
Business Combinations and Divestitures | 12 Months Ended |
Sep. 30, 2022 | |
Business Combinations [Abstract] | |
Business Combinations and Divestitures | Business Combinations and Divestitures Billie Inc. On November 29, 2021 (the “Acquisition Date”), the Company completed the Billie Acquisition for cash consideration of $309.4, net of cash acquired. As a result of the Billie Acquisition, Billie became a wholly owned subsidiary of the Company. The Company accounted for the Billie Acquisition utilizing the acquisition method of accounting, which requires assets and liabilities to be recognized based on estimates of their acquisition date fair values. The determination of the values of the acquired assets and assumed liabilities, including goodwill, other intangible assets and deferred taxes, requires significant judgement. We have calculated fair values of the assets and liabilities acquired from Billie, including goodwill and intangible assets and working capital. The Company completed the final fair value determination of the Billie Acquisition in the fourth quarter of fiscal year 2022. The Company used variations of the income approach in determining the fair value of intangible assets acquired in the Billie Acquisition. Specifically, we utilized the multi-period excess earnings method to determine the fair value of the definite lived customer relationships acquired and the relief from royalty method to determine the fair value of the definite lived trade name acquired. Our determination of the fair value of the intangible assets acquired involved the use of significant estimates and assumptions related to revenue growth rates, discount rates, customer attrition rates, and royalty rates. Edgewell believes that the fair value assigned to the assets acquired and liabilities assumed are based on reasonable assumptions and estimates that marketplace participants would use. The following table provides the allocation of the purchase price related to the Billie Acquisition based upon the fair value of assets and liabilities assumed: Current assets 17.0 Goodwill 181.2 Intangible assets 136.0 Other assets, including property, plant and equipment, net 3.2 Current liabilities (6.9) Deferred tax liabilities (21.1) $ 309.4 The acquired goodwill represented the value of expansion into new markets and channels of trade and is not deductible for tax purposes. The intangible assets acquired consisted primarily of the Billie trade name and customer relationships with a weighted average useful life of 19 years. All assets are included in the Company’s Wet Shave segment. Billie contributed Net sales and a Loss before income taxes totaling $93.7 and $1.1, respectively, for the post-acquisition period ending September 30, 2022 in the Consolidated Statements of Earnings and Comprehensive (Loss) Income. The Loss before income taxes was driven primarily by amortization expense of acquired intangible assets. Acquisition and integration costs related to Billie totaling $9.1 and $0.8 were included in SG&A and Cost of products sold, respectively, for fiscal 2022. The following summarizes the Company's unaudited pro forma consolidated results of operations for the twelve months ended September 30, 2022 and September 30, 2021, as though the Billie Acquisition occurred on October 1, 2020: Twelve Months Ended September 30, 2022 2022 2021 Pro forma net sales $ 2,181.7 $ 2,155.3 Pro forma net earnings 104.9 93.1 The unaudited pro forma consolidated results of operations were adjusted by pre-tax amortization expense of $1.3 for the year ended September 30, 2022, compared to $8.9 for the twelve months ended September 30, 2021. Additionally, pro forma earnings for the twelve months ended September 30, 2022 exclude $9.9 of pre-tax acquisition costs, which were included in the pro forma earnings for the twelve months ended September 30, 2021. The pro forma earnings were also adjusted to reflect the capital structure as of the Acquisition Date, and all pro forma adjustments have been included with related tax effects. The unaudited pro forma consolidated results of operations are not necessarily indicative of the results obtained had the Billie Acquisition occurred on October 1, 2020, or of those results that may be obtained in the future. Amounts do not reflect any anticipated cost savings or cross-selling opportunities expected to result from the Billie Acquisition. Cremo Holding Company, LLC On September 2, 2020, the Company completed the acquisition of Cremo Holding Company, LLC. The Company accounted for the Cremo Acquisition utilizing the acquisition method of accounting, which requires assets and liabilities to be recognized based on estimates of their acquisition date fair values. The determination of the values of the acquired assets and assumed liabilities, including goodwill and other intangible assets, requires significant judgment. We have calculated fair values of the assets and liabilities acquired from Cremo including goodwill and intangible assets and working capital. The Company completed the final fair value determination of the Cremo Acquisition in the first quarter of fiscal year 2021. The Company used variations of the income approach in determining the fair value of intangible assets acquired in the Cremo Acquisition. Specifically, we utilized the multi-period excess earnings method to determine the fair value of the definite lived customer relationships acquired and the relief from royalty method to determine the fair value of the definite lived trade name and proprietary technology acquired. Our determination of the fair value of the intangible assets acquired involved the use of significant estimates and assumptions related to revenue growth rates, discount rates, customer attrition rates, and royalty rates. The Company believes that the fair value assigned to the assets acquired and liabilities assumed are based on reasonable assumptions and estimates that marketplace participants would use. The Company’s purchase price allocation included net assets of $234.6 and consisted of working capital and other net assets of $11.5 (including cash of $0.7), other intangible assets of $95.1, and goodwill of $128.0, representing the value of expansion into new markets and channels of trade. The acquired goodwill is deductible for tax purposes. The intangible assets acquired consisted primarily of the Cremo trade name, customer relationships, and product formulations with a weighted-average useful life of 17 years. All assets are included in the Company’s Sun and Skin Care segment. The Company noted that the net sales and net earnings of Cremo from the beginning of fiscal 2020 through the date of the closing of the Cremo Acquisition were not material relative to the total net sales and net earnings of the Company during fiscal 2020, and thus pro-forma results for Cremo were not disclosed in accordance with Accounting Standards Codification 805. Acquisition and integration costs related to Cremo totaling $7.1 and $7.0 for the year ended September 30, 2021 and 2020, respectively, were included in SG&A on the Consolidated Statement of Earnings and Comprehensive (Loss) Income. Additionally, acquisition costs of $1.3 and $0.6 were included in Cost of products sold for the year ended September 30, 2021 and 2020, respectively. Sale of Infant and Pet Care Business On December 17, 2019, the Company completed the sale of its Infant and Pet Care business included in the All Other segment for $122.5, which included consideration for providing services to the purchaser for up to one year under a transition services agreement. Total assets included in the sale were comprised of $18.8 of inventory, $3.6 of property, plant and equipment, and $77.8 of goodwill and intangible assets. The sale of the Infant and Pet Care business resulted in a gain of $4.1 in the Company’s 2020 Consolidated Statement of Earnings. The gain on the sale was net of expenses incurred to facilitate the closing of the transaction and in support of the transition services agreement. |
Restructuring Charges
Restructuring Charges | 12 Months Ended |
Sep. 30, 2022 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Charges | Restructuring Charges Operating Model Redesign In fiscal 2022, the Company took specific actions to strengthen its operating model, simplify the organization and improve manufacturing and supply chain efficiency and productivity. The Company will continue this program to drive efficiency across the organization in fiscal 2023. As a result of these actions, we expect to incur restructuring charges of approximately $18 in fiscal 2023. The Company incurred the following restructuring charges for fiscal 2022: Fiscal 2022 Severance and related benefit costs 5.6 Asset write-off and accelerated depreciation 0.8 Consulting, project implementation and management, and other exit costs 9.8 Total restructuring $ 16.2 Pre-tax SG&A of $0.9 for fiscal 2022 associated with certain information technology enablement expenses and compensation expenses for restructuring programs were included in Consulting, project implementation and management, and other exit costs. Project Fuel Project Fuel was an enterprise-wide transformational initiative launched in fiscal 2018 to improve operational performance and reshape the business’ cost structure. Project Fuel was completed on September 30, 2021. The Company does not include Project Fuel restructuring costs in the results of its reportable segments. However, the estimated impact of allocating such charges to segment results for fiscal 2021 and 2020 would have been as follows: Fiscal 2021 Wet Sun and Skin Care Feminine Care Corporate Total Project Fuel Severance and related benefit costs $ 1.5 $ 0.1 $ — $ 7.8 $ 9.4 Asset impairment and accelerated depreciation 1.1 — — — $ 1.1 Consulting, project implementation and management and other exit costs 2.7 0.2 0.3 16.4 19.6 Total Restructuring $ 5.3 $ 0.3 $ 0.3 $ 24.2 $ 30.1 Fiscal 2020 Wet Sun and Skin Care Feminine Corporate Total Project Fuel Severance and related benefit costs $ 0.2 $ 0.3 $ — $ 7.6 $ 8.1 Asset impairment and accelerated depreciation 1.7 — — — $ 1.7 Consulting, project implementation and management and other exit costs 9.5 0.8 0.4 17.6 28.3 Total Restructuring $ 11.4 $ 1.1 $ 0.4 $ 25.2 $ 38.1 Consulting, project implementation and management and other exit costs include pre-tax SG&A associated with certain information technology enablement expenses and compensation expenses related to Project Fuel of $8.7, and $13.3 for fiscal 2021 and 2020, respectively. Asset impairment and accelerated depreciation includes pre-tax Cost of products sold associated with inventory obsolescence related to Project Fuel of $0.6 and $0.2 for fiscal 2021 and 2020, respectively. Project-to-date restructuring costs inclusive of information technology enablement charges and inventory obsolescence totaled $163.7. Restructuring Reserves The following table summarizes restructuring activities and related accruals: Utilized October 1, 2021 Charge to Other (1) Cash Non-Cash September 30, 2022 Restructuring Severance and termination related costs $ 1.9 $ 5.6 $ — $ (5.8) $ — $ 1.7 Asset impairment and accelerated depreciation — 0.8 — — (0.8) — Other related costs 3.6 9.8 — (12.6) — 0.8 Total Restructuring $ 5.5 $ 16.2 $ — $ (18.4) $ (0.8) $ 2.5 Utilized October 1, 2020 Charge to Other (1) Cash Non-Cash September 30, Restructuring Severance and termination related costs $ 4.3 $ 9.4 $ — $ (11.8) $ — $ 1.9 Asset impairment and accelerated depreciation — 1.1 — — (1.1) — Other related costs 1.1 19.6 — (17.1) — 3.6 Total Restructuring $ 5.4 $ 30.1 $ — $ (28.9) $ (1.1) $ 5.5 (1) Includes the impact of currency translation. |
Income Taxes
Income Taxes | 12 Months Ended |
Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The provisions for income taxes from continuing operations consisted of the following: Fiscal Year 2022 2021 2020 Currently payable: United States - Federal $ 12.2 $ (3.1) $ 1.2 State 6.6 (0.1) 2.3 Foreign 19.4 22.6 19.1 Total current 38.2 19.4 22.6 Deferred: United States - Federal (7.6) 7.9 (2.8) State (0.6) 0.3 0.5 Foreign (5.6) 1.4 (0.6) Total deferred (13.8) 9.6 (2.9) Income tax provision $ 24.4 $ 29.0 $ 19.7 The source of pre-tax earnings was: Fiscal Year 2022 2021 2020 United States $ 1.5 $ (11.5) $ (27.4) Foreign 121.5 157.5 114.7 Pre-tax earnings $ 123.0 $ 146.0 $ 87.3 A reconciliation of income taxes with the amounts computed at the statutory federal income tax rate follows: Fiscal Year 2022 2021 2020 Computed tax at federal statutory rate $ 25.8 21.0 % $ 30.7 21.0 % $ 18.3 21.0 % State income taxes, net of federal tax benefit 2.7 2.2 0.8 0.6 1.0 1.1 Foreign tax less than the federal rate (11.7) (9.5) (9.0) (6.2) (5.6) (6.4) Adjustments to prior years’ tax accruals 1.6 1.3 (4.3) (2.9) (0.5) (0.5) Other taxes including repatriation of foreign earnings 4.6 3.7 8.9 6.1 8.2 9.4 Other, net 3.9 3.2 2.7 1.8 1.1 1.3 Uncertain tax positions (2.5) (2.0) (0.8) (0.6) (4.4) (5.1) Sale of Infant and Pet Care business — — — — 1.6 1.8 Total $ 24.4 19.9 % $ 29.0 19.8 % $ 19.7 22.6 % The deferred tax assets and deferred tax liabilities recorded on the balance sheet were as follows, and include current and noncurrent amounts: September 30, 2022 2021 Deferred tax liabilities: Depreciation and property differences $ (22.8) $ (26.6) Intangible assets (229.4) (192.5) Lease liabilities (13.0) (14.9) Other tax liabilities (3.9) (9.4) Gross deferred tax liabilities (269.1) (243.4) Deferred tax assets: Accrued liabilities 55.8 52.8 Deferred and share-based compensation 13.7 15.4 Tax loss carryforwards and tax credits 26.0 8.2 Postretirement benefits other than pensions 1.1 1.5 Pension plans 24.0 40.2 Inventory differences 5.8 3.2 Lease right of use assets 13.1 15.0 Deferred revenue 9.7 — Other tax assets 8.1 8.5 Gross deferred tax assets 157.3 144.8 Valuation allowance (10.3) (9.4) Net deferred tax liabilities $ (122.1) $ (108.0) There were no material tax loss carryforwards that expired in fiscal 2022. Future expirations of tax loss carryforwards and tax credits, if not utilized, are not expected to be material from 2023 through 2040. The remaining tax loss carryforwards and credits have no expiration. The valuation allowance is primarily attributable to tax loss carryforwards and certain deferred tax assets impacted by the deconsolidation of the Company’s Venezuelan subsidiaries. The Company generally repatriates a portion of current year earnings from select non-US subsidiaries only if the economic cost of the repatriation is not considered material. No provision is made for additional taxes on undistributed earnings of foreign affiliates that are intended and planned to be indefinitely invested in the affiliate. The Company intends to, and has plans to, reinvest these earnings indefinitely in its foreign subsidiaries to, amongst other things, fund local operations, fund pension and other post-retirement obligations, fund capital projects and to support foreign growth initiatives including potential acquisitions. As of September 30, 2022, approximately $850.0 of foreign subsidiary earnings were considered indefinitely invested in those businesses. If the Company repatriated any of the earnings it could be subject to withholding tax and the impact of foreign currency movements. Accordingly, it is not practical to calculate a specific potential tax exposure. Applicable income and withholding taxes will be provided on these earnings in the periods in which they are no longer considered reinvested. Unrecognized tax benefits activity is summarized below: 2022 2021 2020 Unrecognized tax benefits, beginning of year $ 21.0 $ 21.8 $ 25.5 Additions based on current year tax positions and acquisitions 1.8 1.7 1.8 Reductions for prior year tax positions and dispositions — — (1.7) Settlements with taxing authorities and statute expirations (4.6) (2.5) (3.8) Unrecognized tax benefits, end of year $ 18.2 $ 21.0 $ 21.8 Included in the unrecognized tax benefits noted above was $17.2 of uncertain tax positions that would affect the Company’s effective tax rate, if recognized. The Company does not expect any significant increases or decreases to its unrecognized tax benefits within 12 months of this reporting date. In the Consolidated Balance Sheets, unrecognized tax benefits are classified as Other liabilities (non-current) to the extent that payments are not anticipated within one year. The Company classifies accrued interest and penalties related to unrecognized tax benefits in the income tax provision. The accrued interest and penalties are not included in the table above. The Company accrued approximately $4.1 of interest, (net of the deferred tax asset of $0.7) at September 30, 2022, and $4.3 of interest, (net of the deferred tax asset of $0.7) at September 30, 2021. Interest was computed on the difference between the tax position recognized in accordance with GAAP and the amount previously taken or expected to be taken in the Company’s tax returns. The Company files income tax returns in the U.S. federal jurisdiction, various cities and states, and more than 30 foreign jurisdictions where the Company has operations. U.S. federal income tax returns for tax years ended September 30, 2019 and after remain subject to examination by the Internal Revenue Service (the “IRS”). With few exceptions, the Company is no longer subject to state and local income tax examinations for years before September 30, 2013. The status of international income tax examinations varies by jurisdiction. At this time, the Company does not anticipate any material adjustments to its financial statements resulting from tax examinations currently in progress. |
Earnings per Share
Earnings per Share | 12 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) per Share | Earnings per Share Basic earnings per share is based on the average number of common shares outstanding during the period. Diluted earnings per share is based on the average number of shares used for the basic earnings per share calculation, adjusted for the dilutive effect of share options, RSE, and PRSE awards. The following is the reconciliation between the number of weighted-average shares used in the basic and diluted earnings per share calculation: Fiscal Year 2022 2021 2020 Basic weighted-average shares outstanding 53.1 54.4 54.3 Effect of dilutive securities: RSE awards 0.5 0.8 0.3 Total dilutive securities 0.5 0.8 0.3 Diluted weighted-average shares outstanding 53.6 55.2 54.6 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Sep. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The following table sets forth goodwill by segment: Wet Sun and Skin Feminine Total Gross balance at October 1, 2021 $ 967.5 $ 357.6 $ 208.7 $ 1,533.8 Accumulated goodwill impairment (369.0) (2.0) — (371.0) Net balance at October 1, 2021 $ 598.5 $ 355.6 $ 208.7 $ 1,162.8 Changes in the twelve months ended September 30, 2022 Billie acquisition $ 181.2 $ — $ — $ 181.2 Cumulative translation adjustment (15.2) (3.1) (3.5) $ (21.8) Gross balance at September 30, 2022 $ 1,133.5 $ 354.5 $ 205.2 $ 1,693.2 Accumulated goodwill impairment (369.0) (2.0) — (371.0) Net balance at September 30, 2022 $ 764.5 $ 352.5 $ 205.2 $ 1,322.2 Wet Sun and Skin Feminine Total Gross balance at October 1, 2020 $ 967.2 $ 356.8 $ 206.7 $ 1,530.7 Accumulated goodwill impairment (369.0) (2.0) — (371.0) Net balance at October 1, 2020 $ 598.2 $ 354.8 $ 206.7 $ 1,159.7 Changes in the twelve months ended September 30, 2021 Cremo acquisition measurement period adjustment — 0.3 — 0.3 Cumulative translation adjustment 0.3 0.5 2.0 2.8 Gross balance at September 30, 2021 $ 967.5 $ 357.6 $ 208.7 $ 1,533.8 Accumulated goodwill impairment (369.0) (2.0) — (371.0) Net balance at September 30, 2021 $ 598.5 $ 355.6 $ 208.7 $ 1,162.8 Total amortizable intangible assets were as follows: September 30, 2022 September 30, 2021 Gross Accumulated Net Gross Accumulated Net Indefinite lived Trade names and brands $ 587.1 $ — $ 587.1 $ 600.8 $ — $ 600.8 Definite lived Trade names and brands $ 339.4 $ 72.2 $ 267.2 $ 256.2 $ 57.7 $ 198.5 Technology and patents 77.8 75.0 2.8 79.1 75.8 3.3 Customer related and other 267.1 127.5 139.6 221.2 117.4 103.8 Total amortizable intangible assets $ 684.3 $ 274.7 $ 409.5 $ 556.5 $ 250.9 $ 305.6 Amortization expense for intangible assets was $29.4, $22.0 and $17.3 for fiscal 2022, 2021 and 2020, respectively. Estimated amortization expense for amortizable intangible assets for fiscal 2023, 2024, 2025, 2026 and 2027 is approximately $30.6, $30.5, $30.5, $30.3 and $30.3, respectively, and $257.3 thereafter. Goodwill and intangible assets deemed to have an indefinite life are not amortized but are instead reviewed annually in the fourth quarter of each fiscal year for impairment of value or when indicators of a potential impairment are present. The Company continuously monitors changing business conditions, which may indicate that the remaining useful life of goodwill and other intangible assets may warrant revision or carrying amounts may require adjustment. Indefinite-lived intangible assets The Company’s annual indefinite-lived intangible assets impairment testing was conducted on July 1, 2022 using the Company’s strategic plan. The Company elected to perform a qualitative test of impairment for all indefinite lived intangible assets with the exception of the Wet Ones trade name. For the qualitative test of indefinite lived intangible assets, there were no significant events or adverse trends that could negatively impact the fair value of the intangible assets. For the Wet Ones trade name, the Company elected to perform a quantitative impairment test in fiscal 2022 using the Company’s strategic plan to calculate a five-year cash flow. The annual impairment assessment of the indefinite-lived intangible assets concluded there was no indication of impairment of the Company’s indefinite-lived intangible assets. The Company performed an assessment in the fourth quarter of fiscal 2022 to determine if any significant events or changes in circumstances had occurred that would be considered a potential triggering event. The Company did not identify a triggering event that would indicate the existence of any impairment of the indefinite-lived intangible assets. |
Leases
Leases | 12 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Leases | Leases A lease is defined as a contract, or part of a contract, that conveys the right to control the use of identified property, plant or equipment over a contracted period in exchange for payment. The Company evaluates if an arrangement is a lease as of the effective date of the agreement. For operating leases entered into prior to October 1, 2019, right of use (“ROU”) assets and operating lease liabilities are recognized on the balance sheet based on the present value of the remaining future minimum payments over the lease term from the implementation date. Certain leases include an option to either renew or terminate the lease. For purposes of calculating lease liabilities, these options are included within the lease term when it has become reasonably certain that the Company will exercise such options. Leases entered into subsequent to October 1, 2019 calculate the operating lease ROU asset and operating lease liabilities based on the present value of minimum payments over the lease term at the effective date of the lease. The Company leases certain offices and manufacturing facilities, warehouses, employee vehicles and certain manufacturing related equipment. Leases with an initial term of 12 months or less are not recorded on the Consolidated Balance Sheet. All recorded leases are classified as operating leases and lease expense is recognized on a straight-line basis over the lease term. The Company has elected to utilize the package of practical expedients which allows it to carryforward its historical lease classification, its assessment on whether a contract was or contains a lease, and its assessment of initial direct costs for any leases that existed prior to October 1, 2019. Additionally, the Company has elected as an accounting policy not to separate non-lease components from lease components and, instead, account for these components as a single lease component. The Company has made an accounting policy election not to recognize ROU assets and lease liabilities for leases that, as of October 1, 2019, are for 12 months or less. For leases that do not provide an implicit rate, the Company uses its secured incremental borrowing rate, based on the information available for leases, including the lease term and interest rate environment in the country in which the lease exists, to calculate the present value of the future lease payments. A summary of the Company's lease information is as follows: September 30, September 30, Assets Classification Right of use assets Other assets $ 50.1 $ 57.7 Liabilities Current lease liabilities Other current liabilities $ 8.8 $ 11.0 Long-term lease liabilities Other liabilities 41.5 46.9 Total lease liabilities $ 50.3 $ 57.9 Other information Weighted-average remaining lease term (years) 10 10 Weighted-average incremental borrowing rate 6.6 % 6.3 % Fiscal Year Ended September 30, 2022 Fiscal Year Ended September 30, 2021 Fiscal Year Ended September 30, 2020 Statement of Earnings Lease cost (1) $ 13.5 $ 14.4 $ 13.9 Other information Leased assets obtained in exchange for new lease liabilities $ 7.6 $ 28.0 $ 1.9 Cash paid for amounts included in the measurement of lease liabilities $ 13.5 $ 14.3 $ 13.4 (1) Lease expense is included in Cost of products sold or SG&A expense based on the nature of the lease. Short-term lease expense is excluded from this amount and is not material. The Company's future lease payments including reasonably assured renewal options under lease agreements are as follows: Operating Leases Fiscal 2023 $ 10.8 2024 9.2 2025 8.7 2026 7.4 2027 5.7 2028 and thereafter 35.0 Total future minimum lease commitments 76.8 Less: Imputed interest (26.5) Present value of lease liabilities $ 50.3 |
Accounts Receivable Facility
Accounts Receivable Facility | 12 Months Ended |
Sep. 30, 2022 | |
Transfers and Servicing [Abstract] | |
Accounts receivable facility | Accounts Receivable Facility The Company participates in a uncommitted master accounts receivable purchase agreement with The Bank of Tokyo-Mitsubishi UFJ, Ltd., New York Branch, as the purchaser (the “Accounts Receivable Facility”). Transfers under the Accounts Receivable Facility are accounted for as sales of receivables, resulting in the receivables being de-recognized from the Consolidated Balance Sheet. The purchaser assumes the credit risk at the time of sale and has the right at any time to assign, transfer, or participate any of its rights under the purchased receivables to another bank or financial institution. The purchase and sale of receivables under the Accounts Receivable Facility is intended to be an absolute and irrevocable transfer without recourse by the purchaser to the Company for the creditworthiness of any obligor. The Company continues to have collection and servicing responsibilities for the receivables sold and receives separate compensation for their servicing. The compensation received is considered acceptable servicing compensation and, as such, the Company does not recognize a servicing asset or liability. Effective February 7, 2022, the Company increased the maximum receivables sold facility amount under the Sixth Amendment to Master Accounts Receivable Purchase Agreement to $180.0 from $150.0 and amended the pricing index used to determine the purchase price for subject receivables from LIBOR to the Bloomberg Short Term Bank Yield Index (“BSBY”). The applicable margin that is added to the BSBY pricing index specific for each obligor was unchanged. Except as noted above, all other terms, conditions, obligations, covenants or agreements contained in the Accounts Receivable Facility are unmodified in all respects and continue in full force and effect. On August 5, 2022, the Company entered into the Master Receivable Assignment Agreement (the "Japan Agreement"). The Japan Agreement was between Schick Japan K.K. and Concerto Receivables Corporation (the “Purchaser”), Tokyo Branch, a subsidiary of MUFG Bank, LTD., which allows the Company to assign third party accounts receivable to the Purchaser. The Japan Agreement allows for the sale of up to ¥3,000 with limits set between individual customers. The terms of the agreement expire one year after the date of execution and will be renewed annually unless either party notifies of its intent not to renew. The assigned receivables will be discounted using the funding rate from the Tokyo Interbank Market plus 1.1%. As of September 30, 2022, the discount rate used to determine the purchase price for the subject receivables is based upon BSBY plus a margin applicable to the specified obligor. Accounts receivable sold under the Accounts Receivable Facility for the year ended September 30, 2022 and 2021 were $1,046.8 and $929.9, respectively. The trade receivables sold that remained outstanding under the Accounts Receivable Facility as of September 30, 2022 and 2021 were $78.7 and $91.1, respectively. The net proceeds received were included in Cash provided by operating activities in the Consolidated Statement of Cash Flows. The difference between the carrying amount of the trade receivables sold and the sum of the cash received is recorded as a loss on sale of receivables in Other (income) expense, net in the Consolidated Statement of Earnings. For the year ended September 30, 2022, the loss on sale of trade receivables was $2.0. For the year ended September 30, 2021, the loss on sale of trade receivables was $0.9. |
Debt
Debt | 12 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Debt | Debt The detail of long-term debt was as follows: September 30, September 30, Senior notes, fixed interest rate of 5.5%, due 2028 (1) 750.0 750.0 Senior notes, fixed interest rate of 4.1%, due 2029 (1) 500.0 500.0 Revolving credit facility (2) 155.0 — Total long-term debt, including current maturities 1,405.0 1,250.0 Less current portion — — Less unamortized debt issuance costs and discount (1) 13.6 15.8 Total long-term debt $ 1,391.4 $ 1,234.2 (1) At September 30, 2022, the balance for the Senior Notes due 2028 and the Senior Notes due 2029 are reflected net of debt issuance costs of $8.3 and $5.3, respectively. At September 30, 2021, the balance for the Senior Notes due 2028 and the Senior Notes due 2029 are reflected net of debt issuance costs of $9.8 and $6.0, respectively. (2) The U.S. revolving credit facility matures in 2025. At September 30, 2022 and 2021, the Company also had outstanding short-term notes payable with financial institutions with original maturities of less than 90 days of $19.0 and $26.5, respectively, with weighted-average interest rates of 3.9% and 3.9%, respectively. These notes were primarily outstanding international borrowings. Issuance of Senior Notes On March 8, 2021, the Company entered into a new unsecured indenture agreement for 4.125% Senior Notes in the amount of $500 due April 1, 2029 (the “2029 Notes”). The Company used the net proceeds from the issuance of the 2029 Notes, together with cash on hand, to satisfy and discharge its obligations outstanding under its 4.70% Senior Notes in the amount of $500 due 2022 (the “2022 Notes”) and to pay fees associated therewith. The Company incurred $6.5 in bank, legal, and other fees in connection with the issuance of the 2029 Notes, which has been deferred and is being amortized to interest expense over the term of the 2029 Notes. Interest expense on the 2029 Notes is due semiannually on April 1 and October 1. In connection with the early repayment of the 2022 Notes, the Company recorded expense of $26.1 in fiscal 2021, which is included in Cost of early retirement of long-term debt in the Consolidated Statements of Earnings and Comprehensive (Loss) Income. This expense included a premium of $25.5 and debt issuance cost write-offs of $0.6. Debt Covenants The U.S. revolving credit facility maturing in 2025 (“Revolving Credit Facility”) governing our outstanding debt at September 30, 2022 contains certain customary representations and warranties, financial covenants, covenants restricting the Company’s ability to take certain actions, affirmative covenants and provisions relating to events of default. Under the terms of the Revolving Credit Facility, the ratio of the Company’s indebtedness to earnings before interest, taxes, depreciation and amortization (“EBITDA”), as defined in the agreement and detailed below, cannot be greater than 4.0 to 1. In addition, under the Revolving Credit Facility, the ratio of the Company’s EBITDA, as defined in the credit agreement, to total interest expense must exceed 3.0 to 1. Under the Revolving Credit Facility, EBITDA is defined as net earnings, as adjusted to add-back interest expense, income taxes, depreciation and amortization, all of which are determined in accordance with GAAP. In addition, the credit agreement allows certain non-cash charges such as stock award amortization and asset write-offs including, but not limited to, impairment and accelerated depreciation, and operating expense reductions or synergies to be “added-back” in determining EBITDA for purposes of the indebtedness ratio. Total debt and interest expense are calculated in accordance with GAAP. If the Company fails to comply with these covenants or with other requirements of the Revolving Credit Facility, the lenders may have the right to accelerate the maturity of the debt. Acceleration under the Revolving Credit Facility would trigger cross-defaults on its other borrowings. As of September 30, 2022, the Company was in compliance with the provisions and covenants associated with the Revolving Credit Facility. Debt Maturities |
Retirement Plans
Retirement Plans | 12 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits [Abstract] | |
Retirement Plans | Retirement Plans Pensions and Postretirement Plans The Company has several defined benefit pension plans covering employees in the U.S. and certain employees in other countries, which are included in the information below. The plans provide retirement benefits based on years of service and earnings. The Company also sponsors or participates in a number of other non-U.S. pension and postretirement arrangements, including various retirement and termination benefit plans, some of which are required by local law or coordinated with government-sponsored plans, which are not significant in the aggregate and, therefore, are not included in the information presented below. The Company funds its pension plans in compliance with the Employee Retirement Income Security Act of 1974 (“ERISA”) or local funding requirements. The following tables present the benefit obligation, plan assets, and funded status of the plans: As of September 30, Pension Postretirement 2022 2021 2022 2021 Change in projected benefit obligation Benefit obligation at beginning of year $ 618.7 $ 652.1 $ 5.5 $ 6.0 Service cost 3.8 4.4 — — Interest cost 10.2 9.6 0.2 0.2 Actuarial gain (141.1) (14.9) (0.9) (0.8) Benefits paid, net (26.4) (32.0) (0.3) (0.2) Plan settlements (4.3) — — — Expenses paid — — — — Foreign currency exchange rate changes (21.5) (0.5) (0.4) 0.3 Projected benefit obligation at end of year 439.4 618.7 4.1 5.5 Change in plan assets Estimated fair value of plan assets at beginning of year 570.5 538.6 — — Actual return on plan assets (121.0) 59.7 — — Company contributions 0.9 4.9 0.3 0.2 Plan settlements (4.3) — — — Benefits paid (26.4) (32.0) (0.3) (0.2) Expenses paid — — — — Foreign currency exchange rate changes (21.5) (0.7) — — Estimated fair value of plan assets at end of year 398.2 570.5 — — Funded status at end of year $ (41.2) $ (48.2) $ (4.1) $ (5.5) The following table presents the amounts recognized in the Consolidated Balance Sheets and Consolidated Statements of Changes in Shareholders’ Equity: As of September 30, Pension Postretirement 2022 2021 2022 2021 Amounts recognized in the Consolidated Balance Sheets Noncurrent assets $ 12.0 $ 0.8 $ — $ — Current liabilities (0.9) (0.9) (0.2) (0.2) Noncurrent liabilities (52.3) (48.1) (3.9) (5.3) Net amount recognized $ (41.2) $ (48.2) $ (4.1) $ (5.5) Amounts recognized in Accumulated other comprehensive loss Net loss (gain) $ 128.6 $ 138.6 $ (7.4) $ (7.4) Prior service credit — — — — Net amount recognized, pre-tax $ 128.6 $ 138.6 $ (7.4) $ (7.4) Pre-tax changes recognized in Other comprehensive income for fiscal 2022 were as follows: Pension Post- Changes in plan assets and benefit obligations recognized in Other comprehensive income Net loss (gain) arising during the year $ 1.0 $ (0.9) Effect of exchange rates (2.8) 0.6 Amounts recognized as a component of net periodic benefit cost Amortization or curtailment recognition of prior service cost — — Amortization or settlement recognition of net (loss) gain (8.2) 0.3 Total recognized in Other comprehensive income $ (10.0) $ — The Company is not required to make any cash contributions to our pension and postretirement plans in fiscal 2023 due to the plans funded status. Pension contributions required beyond fiscal 2023 represent future pension payments to comply with local funding requirements in the U.S. only. The projected contributions for the U.S. pension plans total $8.7 in fiscal 2024, $7.0 in fiscal 2025, $10.1 in fiscal 2026, and $8.8 in fiscal 2027. Estimated contributions beyond fiscal 2027 are not determinable. The Company may also elect to make discretionary contributions. The Company’s expected future benefit payments are as follows: Pension Post- Fiscal 2023 $ 36.0 $ 0.2 Fiscal 2024 36.5 0.2 Fiscal 2025 34.4 0.2 Fiscal 2026 34.6 0.2 Fiscal 2027 33.5 0.2 Fiscal 2028 to 2032 153.4 1.2 The accumulated benefit obligation for defined benefit pension plans was $433.0 and $603.0 at September 30, 2022 and 2021, respectively. The following table shows pension plans with an accumulated benefit obligation in excess of plan assets: As of September 30, 2022 2021 Projected benefit obligation $ 331.0 $ 590.1 Accumulated benefit obligation 331.0 575.1 Estimated fair value of plan assets 277.8 541.9 Pension plan assets in the U.S. plan represent approximately 70% of assets in all of the Company’s defined benefit pension plans. Investment policy for the U.S. plan includes a mandate to diversify assets and invest in a variety of asset classes to achieve that goal. The U.S. plan’s assets are currently invested in several funds representing most standard equity and debt security classes. The broad target allocations are: (a) equities, including U.S. and foreign: approximately 38% and (b) debt securities, including U.S. bonds: approximately 62%. Actual allocations at September 30, 2022 approximated these targets. The U.S. plan held no shares of Company common stock at September 30, 2022. Investment objectives are similar for non-U.S. pension arrangements, subject to local regulations. The following table presents pension and post-retirement expense: Fiscal Year Pension Postretirement 2022 2021 2020 2022 2021 2020 Service cost $ 3.8 $ 4.4 $ 4.3 $ — $ — $ — Interest cost 10.2 9.6 13.5 0.2 0.2 0.3 Expected return on plan assets (21.1) (22.4) (23.1) — — — Recognized net actuarial loss (gain) 6.4 9.5 9.3 (0.3) (0.3) (0.1) Settlement loss recognized 1.8 — 0.8 — — — Net periodic benefit cost (credit) 1.1 1.1 4.8 (0.1) (0.1) 0.2 The service cost component of the net periodic cost associated with the Company’s retirement plans is recorded to Cost of products sold and SG&A on the Consolidated Statement of Earnings. The remaining net periodic cost is recorded to Other (income) expense, net on the Consolidated Statement of Earnings. The Company utilized the spot discount rate approach, which applies the specific spot rates along the yield curve used in the determination of the benefit obligations to the relevant cash flows. The following table presents assumptions, which reflect weighted-averages for the component plans, used in determining the above information: Fiscal Year Pension Postretirement 2022 2021 2020 2022 2021 2020 Plan obligations: Discount rate 5.1 % 2.3 % 2.1 % 5.1 % 3.5 % 2.8 % Compensation increase rate 2.5 % 2.5 % 2.5 % 4.0 % N/A N/A Net periodic benefit cost: Discount rate 2.3 % 2.1 % 2.5 % 3.5 % 2.8 % 3.0 % Expected long-term rate of return on plan assets 4.2 % 4.5 % 4.8 % N/A N/A N/A Compensation increase rate 2.5 % 2.5 % 2.5 % 4.0 % N/A N/A Cash balance interest credit rate 3.3 % 1.9 % 1.3 % N/A N/A N/A The expected return on plan assets was determined based on historical and expected future returns of the various asset classes, using the target allocations described above. The following table sets forth the estimated fair value of the Company’s pension assets segregated by level within the estimated fair value hierarchy. Refer to Note 16 of Notes to Consolidated Financial Statements for further discussion on the estimated fair value hierarchy and estimated fair value principles. As of September 30, 2022 Pension assets at estimated fair value Level 1 Level 2 Total Equity U.S. equity $ 49.1 $ — $ 49.1 International equity 50.1 — 50.1 Debt U.S. government — 173.3 173.3 Other government — — — Corporate 47.4 — 47.4 Cash and cash equivalents 19.9 — 19.9 Other 13.8 — 13.8 Total, excluding investments valued at net asset value (“NAV”) $ 180.3 $ 173.3 $ 353.6 Investments valued at NAV 44.6 Total $ 180.3 $ 173.3 $ 398.2 As of September 30, 2021 Pension assets at estimated fair value Level 1 Level 2 Total Equity U.S. equity $ 84.5 $ — $ 84.5 International equity 76.0 — 76.0 Debt U.S. government — 236.5 236.5 Other government — — — Corporate 66.0 — 66.0 Cash and cash equivalents 14.4 — 14.4 Other 18.4 0.1 18.5 Total, excluding investments valued at NAV $ 259.3 $ 236.6 $ 495.9 Investments valued at NAV 74.6 Total $ 259.3 $ 236.6 $ 570.5 The following table sets forth the estimated fair value of the Company’s pension assets valued at NAV: As of September 30, 2022 2021 Pension assets valued at NAV estimated at fair value Equity U.S. equity $ 11.4 $ 18.0 International equity 33.2 56.6 Total investments valued at NAV $ 44.6 $ 74.6 There were no Level 3 pension assets as of September 30, 2022 and 2021. The Company had no post-retirement plan assets as of September 30, 2022 and 2021. The Company’s investment objective for defined benefit retirement plan assets is to satisfy its current and future pension benefit obligations. The investment philosophy is to achieve this objective through diversification of the retirement plan assets with the goal of earning a suitable return with an appropriate level of risk while maintaining adequate liquidity to distribute benefit payments. The diversified asset allocation includes equity positions as well as fixed income investments. The increased volatility associated with equities is offset with higher expected returns, while long duration fixed income investments help dampen the volatility of the overall portfolio. Risk exposure is controlled by re-balancing the retirement plan assets back to target allocations, as needed. Investment firms managing retirement plan assets carry out investment policy within their stated guidelines. Investment performance is monitored against benchmark indices, which reflect the policy and target allocation of the retirement plan assets. Defined Contribution Plan |
Share-Based Payments
Share-Based Payments | 12 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Payments | Share-Based Payments As of September 30, 2022, the Company had three share-based compensation plans: the Amended and Restated 2018 Stock Incentive Plan (the “2018 Plan”), the Second Amended and Restated 2009 Incentive Stock Plan (the “2009 Plan”) and the 2000 Incentive Stock Plan (the “2000 Plan”). The 2000 Plan was superseded by the 2009 Plan, which was then superseded by the 2018 Stock Incentive Plan. New awards granted after January 2018 are issued under the 2018 Plan. The 2018 Plan provides for the award of restricted stock, RSEs, or Share Options to purchase the Company’s common stock to directors, officers and employees of the Company. The maximum number of shares authorized for issuance under the 2018 Pla n is 14.9 , of which 2.6 were available for future awards as of September 30, 2022. Share options are granted at th e market price on the grant date and generally vest ratably over three years. These awards typically have a maximum term of ten years. Re stricted stock and RSEs may also be granted. Option shares and prices, and restricted stock and RSEs, are adjusted in conjunction with stock splits and other recapitalizations, including our 2015 separation from Energizer, so that the holder is in the same economic position before and after these equity transactions. The Company uses the straight-line method of recognizing compensation cost. Total compensation costs charged against earnings before income taxes for the Company’s share-based compensation arrangements were $23.9, $27.3 and $19.2 for fiscal 2022, 2021 and 2020, respectively, and were recorded in SG&A. The total income tax benefit recognized for share-based compensation arrangements was $5.7, $6.6 and $4.6, for fiscal 2022, 2021 and 2020, respectively. Restricted stock issuance and shares issued for share option exercises u n der the Company’s share-based compensation programs are generally issued from treasury shares. Share Options The following table summarizes Share Option activity during fiscal 2022: Shares Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value Outstanding as of October 1, 2021 0.9 $ 60.13 Granted 0.3 42.26 Canceled (0.1) 74.72 Exercised — 34.51 Outstanding as of September 30, 2022 1.1 $ 54.05 6.6 $ — Vested and unvested expected to vest as of September 30, 2022 1.1 $ 54.05 6.6 $ — Exercisable as of September 30, 2022 0.6 66.35 An immaterial number of share options were exercised in fiscal 2022. No share options were exercised in fiscal 2021 or 2020. The Company estimates the grant-date fair value of share option awards using the Black-Scholes option pricing model. During fiscal 2022 and 2021, the Company grant ed non-qualified share option awards to certain executives and employees of 0.3 and 0.2, respectively, with a grant-date fair value of $4.6 and $3.1, respectively. The following table presents the Company’s weighted average fair value per option and the assumptions utilized in the Black-Scholes option pricing model: 2022 2021 Weighted-average fair value per share option $ 14.25 $ 12.06 Expected volatility 39.00 % 36.00 % Risk-free interest rate 1.33 % 0.57 % Expected share option life (in years) 6.1 6.3 Dividend yield 1.42 % — % As of September 30, 2022, there was an estimated $4.4 of total unrecognized compensation costs related to share option awards, which will be recognized over a weighted-average period of approximat ely 1.5 years. Restricted Share Equivalents The following table summarizes RSE award activity during fiscal 2022: Shares Weighted-Average Non-vested at October 1, 2021 1.0 $ 34.07 Granted 0.5 42.49 Vested (0.4) 35.13 Canceled (0.1) 34.48 Non-vested at September 30, 2022 1.0 38.09 The estimated fair value of the award is determined using the closing share price of the Company’s common stock on the date of grant. As of September 30, 2022, there was an estimat ed $24.9 of total unrecognized compensation costs related to RSEs, which will be recognized over a weighted-average period of approximately 2.2 years . T he weighted-average estimated fair value per RSE granted in fiscal 2022, 2021 and 2020 was $42.49, $35.16, and $29.25, respectively. The estimated fair value of RSEs vested in fiscal 2022, 2021 and 2020 was $15.4, $13.2, and $11.5, respectively. Performance Restricted Share Equivalents The following table summarizes PRSE award activity during fiscal 2022: Shares Weighted-Average Non-vested at October 1, 2021 0.8 $ 38.45 Granted 0.2 63.75 Vested (0.3) 42.57 Canceled (0.2) 40.96 Non-vested at September 30, 2022 0.5 43.04 As of September 30, 2022, there was an estimat ed $7.8 of total unrecognized compensation costs related to PRSEs, which will be recognized over a weighted-average period of approximately 2.8 years. T he weighted-average estimated fair value per PRSE granted in fiscal 2022, 2021 and 2020 was $63.75, $56.53, and $29.25, respectively. The estimated fair value of PRSEs vested in fiscal 2022 was $12.5. For PRSE awards granted during fiscal 2020, the Company records estimated expense for performance-based grants based on target achievement of performance metrics for the three-year period for each respective program, unless evidence exists that achievement above or below target for the applicable performance metric is more likely to occur. The PRSE awards will vest with a value of 0% to 200% of the targeted award value based upon the achievement of performance metrics. The estimated fair value of the award is determined using the closing share price of the Company’s common stock on the date of grant. For PRSE awards granted during fiscal 2022 and 2021, awards will vest by comparing the Company’s TSR during a certain three year period to the respective TSRs of companies in a selected performance peer group. Based upon the Company’s ranking in its performance peer group, a recipient of the PRSE award may earn a total award ranging from 0% to 200% of the target award. The fair value of each PRSE was estimated on the grant date using a Monte Carlo simulation. The assumptions for PRSE awards during the years ended September 30, 2022 are summarized in the following table. 2022 2021 Expected term (in years) 3.0 3.0 Expected stock price volatility 48.73 % 48.00 % Risk-free interest rate 0.85 % 0.22 % Fair value (per award granted) 65.90 56.53 |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders’ Equity At September 30, 2022, there were 300.0 shares of the Company’s common stock authorized, of which 2.6 shares were reserved for outstanding awards under the 2018, 2009 and 2000 Plans. The Company’s Amended and Restated Articles of Incorporation authorize it to issue up to 10.0 shares of $0.01 par value preferred stock. As of September 30, 2022, there were no shares of preferred stock issued or outstanding. Share Repurchases During fiscal 2022, the Company repurchased 3.3 shares of common stock under the share repurchase Board authorization from January 2018 for $125.3 and has 6.5 shares of its common stock available for repurchase in the future under the Board’s authorization. Future share repurchases, if any, would be made in the open market, privately negotiated transactions, or otherwise, in such amounts and at such times as we deem appropriate based upon prevailing market conditions, business needs, and other factors. Additionally, 0.3 shares were purchased related to the surrender of shares of common stock to satisfy tax withholding obligations in connection with the vesting of RSEs. Since September 30, 2022, the Company repurchased 0.2 shares of common stock for $6.9 under the share repurchase Board authorization from January 2018 which allows the repurchase of up to 10.0 shares. There are 6.3 common shares remaining available to be purchased. Dividends On November 4, 2021, the Board declared a quarterly cash dividend of $0.15 per share of common stock outstanding. The dividend was paid on January 6, 2022 to holders of record as of the close of business on December 3, 2021. On February 4, 2022, the Board declared a quarterly cash dividend of $0.15 per common share for the first fiscal quarter. The dividend was paid April 5, 2022, to stockholders of record as of the close of business on March 8, 2022. On May 6, 2022, the Board declared a quarterly cash dividend of $0.15 per common share for the second fiscal quarter. The dividend was paid July 7, 2022, to stockholders of record as of the close of business on June 2, 2022. On July 29, 2022, the Board declared a quarterly cash dividend of $0.15 per common share for the third fiscal quarter. The dividend was paid on October 5, 2022 to shareholders of record as of the close of business on September 2, 2022. On November 3, 2022, the Board declared a quarterly cash dividend of $0.15 per common share for the fourth fiscal quarter. The dividend will be payable on January 4, 2023 to shareholders of record as of the close of business on November 29, 2022. Dividends declared during fiscal 2022 totaled $32.6. Payments made for dividends during fiscal 2022 totaled $32.6. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Sep. 30, 2022 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The following table presents the changes in accumulated other comprehensive loss (“AOCI”), net of tax, by component: Foreign Currency Translation Adjustments Pension and Post-retirement Activity Hedging Activity Total Balance at October 1, 2020 $ (47.4) $ (142.1) $ (2.1) $ (191.6) OCI before reclassifications (1) 5.6 38.1 2.1 45.8 Reclassifications to earnings — 6.7 2.2 8.9 Balance at September 30, 2021 (41.8) (97.3) 2.2 (136.9) OCI before reclassifications (1) (89.4) (1.2) 13.1 (77.5) Reclassifications to earnings — 5.9 (7.6) (1.7) Balance at September 30, 2022 $ (131.2) $ (92.6) $ 7.7 $ (216.1) (1) OCI is defined as other comprehensive income. The following table presents the reclassifications out of AOCI: Fiscal Year Details of AOCI Components 2022 2021 Affected Line Item in the Consolidated Statement of Earnings (Loss) gain on cash flow hedges Foreign exchange contracts $ 11.2 $ (3.2) Other expense (income), net 3.6 (1.0) Income tax provision (benefit) $ 7.6 $ (2.2) Net of tax Amortization of defined benefit pension and postretirement items Actuarial losses (6.1) (9.2) (1) Settlements (1.8) — (1) (2.0) (2.5) Tax expense (benefit) $ (5.9) $ (6.7) Net of tax Total reclassifications for the period $ 1.7 $ (8.9) Net of tax (1) These AOCI components are included in the computation of net periodic benefit cost. See Note 12 of Notes to Consolidated Financial Statements. |
Financial Instruments and Risk
Financial Instruments and Risk Management | 12 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments and Risk Management | Financial Instruments and Risk Management In the course of ordinary business, the Company enters into contractual arrangements (also referred to as derivatives) to reduce its exposure to foreign currency. The Company has master netting agreements with all of its counterparties that allow for the settlement of contracts in an asset position with contracts in a liability position in the event of default. The Company manages counterparty risk through the utilization of investment grade commercial banks, diversification of counterparties, and its counterparty netting arrangements. The section below outlines the types of derivatives that existed at September 30, 2022 and 2021, respectively, as well as the Company’s objectives and strategies for holding derivative instruments. Foreign Currency Risk A significant share of the Company’s sales is tied to currencies other than the U.S. dollar, the Company’s reporting currency. As such, a weakening of currencies relative to the U.S. dollar can have a negative impact to reported earnings. Conversely, strengthening of currencies relative to the U.S. dollar can improve reported results. The primary currencies to which the Company is exposed include the euro, the Japanese yen, the British pound, the Canadian dollar and the Australian dollar. Additionally, the Company’s foreign subsidiaries enter into internal and external transactions that create non-functional currency balance sheet positions at the foreign subsidiary level. These exposures are generally the result of intercompany purchases, intercompany loans and, to a lesser extent, external purchases, and are revalued in the foreign subsidiary’s local currency at the end of each period. Changes in the value of the non-functional currency balance sheet positions in relation to the foreign subsidiary’s local currency results in an exchange gain or loss recorded in Other (income) expense, net. The primary currency to which the Company’s foreign subsidiaries are exposed is the U.S. dollar. Interest Rate Risk The Company has interest rate risk with respect to interest expense on variable rate debt. At September 30, 2022, the Company had $174.0 of variable rate debt outstanding, which consisted primarily of outstanding borrowings under the Revolving Credit Facility in the U.S. Other Risks Customer Concentration. Financial instruments that potentially subject the Company to concentrations of credit risk primarily consist of accounts receivable. The Company generally does not require collateral from customers. The Company’s largest customer, Walmart Inc. and its affiliates (collectively, “Walmart”), accounted for approximately 22% of Net sales in fiscal 2022. No other customer accounted for more than 10% of the Company’s consolidated Net sales. Purchases by Walmart included products from all of the Company’s segments. Additionally, in fiscal 2022, Target Corporation represented approximately 11% of net sales for the Sun and Skin Care segment and 11% of net sales for the Feminine Care segment, respectively. Product Concentration. Within the Wet Shave segment, the Company’s razor and blades represented 51%, 52% and 52% of net sales during fiscal 2022, 2021 and 2020, respectively, and within the Sun and Skin Care segment, sun care products represented 19%,16%, and 15% of net sales during each of fiscal 2022, 2021 and 2020. Cash Flow Hedges At September 30, 2022, the Company maintained a cash flow hedging program related to foreign currency risk. These derivative instruments have a high correlation to the underlying exposure being hedged and have been deemed highly effective by the Company for accounting purposes in offsetting the associated risk. The Company entered into a series of forward currency contracts to hedge cash flow uncertainty associated with currency fluctuations. These transactions are accounted for as cash flow hedges. The Company had an unrealized pre-tax gains of $11.3 and $3.3 at September 30, 2022 and 2021, respectively, on these forward currency contracts, which are accounted for as cash flow hedges included in AOCI. Assuming foreign exchange rates versus the U.S. dollar remain at September 30, 2022 levels over the next 12 months, the majority of the pre-tax gain included in AOCI at September 30, 2022 is expected to be included in Other (income) expense, net. Contract maturities for these hedges extend into fiscal year 2023. At September 30, 2022, there were 64 open foreign currency contracts with a total notional value of $114.8. Derivatives not Designated as Hedges The Company has entered into foreign currency derivative contracts, which are not designated as cash flow hedges for accounting purposes to hedge balance sheet exposures and, thus, are not subject to significant market risk. The change in estimated fair value of the foreign currency contracts resulted in gains of $ 8.2 2.3 0.5 The following table provides estimated fair values of derivative instruments: Fair Value of (Liability) Asset (1) September 30, 2022 September 30, 2021 Derivatives designated as cash flow hedging relationships: Foreign currency contracts $ 11.3 $ 3.3 Derivatives not designated as cash flow hedging relationships: Foreign currency contracts $ 2.0 $ 0.5 (1) All derivative assets are presented in Other current assets or Other assets. All derivative liabilities are presented in Other current liabilities or Other liabilities. The following table provides the amounts of gains and losses on derivative instruments: Fiscal Year 2022 2021 2020 Derivatives designated as cash flow hedging relationships: Foreign currency contracts Gain (loss) recognized in OCI (1) $ 19.2 $ 3.1 $ (2.7) (Loss) gain reclassified from AOCI into income (effective portion) (1) (2) 11.2 (3.2) 2.1 Derivatives not designated as cash flow hedging relationships: Foreign currency contracts Gain (loss) recognized in income (2) $ 8.2 $ 2.3 $ (0.5) (1) Each of these derivative instruments had a high correlation to the underlying exposure being hedged for the periods indicated and had been deemed highly effective in offsetting associated risk. (2) Gain (loss) was recorded in Other (income) expense, net. The following table provides financial assets and liabilities for balance sheet offsetting: As of September 30, 2022 As of September 30, 2021 Assets (1) Liabilities (2) Assets (1) Liabilities (2) Foreign currency contracts Gross amounts of recognized assets (liabilities) $ 13.4 $ (0.5) $ 3.9 $ (0.2) Gross amounts offset in the balance sheet — 0.4 (0.1) 0.1 Net amounts of assets (liabilities) presented in the balance sheet $ 13.4 $ (0.1) $ 3.8 $ (0.1) (1) All derivative assets are presented in Other current assets or Other assets. (2) All derivative liabilities are presented in Other current liabilities or Other liabilities. Fair Value Hierarchy Accounting guidance on fair value measurements for certain financial assets and liabilities requires that assets and liabilities carried at fair value be classified in one of the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs reflecting the reporting entity’s own assumptions or external inputs from inactive markets. Under the fair value accounting guidance hierarchy, an entity is required to maximize the use of quoted market prices and minimize the use of unobservable inputs. The following table sets forth the Company’s financial assets and liabilities, which are carried at fair value, that are measured on a recurring basis during the period, all of which are classified as Level 2 within the fair value hierarchy: As of September 30, 2022 2021 (Liabilities) Assets at estimated fair value: Deferred compensation $ (21.8) $ (28.4) Derivatives - foreign currency contracts 13.3 3.7 Net liabilities at estimated fair value $ (8.5) $ (24.7) At September 30, 2022 and 2021, the Company had no Level 1 or Level 3 financial assets or liabilities, other than pension plan assets which contained certain assets classified as Level 1. Refer to Note 12 of Notes to Consolidated Financial Statements for the fair value hierarchy of the pension plan assets. At September 30, 2022 and 2021, the fair market value of fixed rate long-term debt was $945.9 and $1,300.1, respectively, compared to its carrying value of $1,250.0 in each period. The estimated fair value of the fixed-rate long-term debt is estimated using yields obtained from independent pricing sources for similar types of borrowing arrangements. There was no variable rate debt excluding revolving credit facilities as of September 30, 2022. The estimated fair values of long-term debt, excluding the Revolving Credit Facility has been determined based on Level 2 inputs. Due to the nature of cash and cash equivalents and short-term borrowings, including notes payable, carrying amounts on the balance sheets approximate fair value. Additionally, the carrying amount of the Revolving Credit Facility , which are classified as long-term debt on the balance sheet, approximate fair value due to the revolving nature of the balances. The estimated fair value of cash and cash equivalents, short-term borrowings and the Revolving Credit Facility have been determined based on Level 2 inputs. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Legal Proceedings During the year ended September 30, 2022, the Company settled certain legal matters primarily related to intellectual property claims against a third party. The settlement resulted in a gain of $7.5 which was included in SG&A in the Condensed Consolidated Financial Statements. The Company received payment for the settlement in fiscal 2022. The Company and its subsidiaries are subject to a number of legal proceedings in various jurisdictions arising out of its operations during the ordinary course of business. Many of these legal matters are in preliminary stages and involve complex issues of law and fact and may proceed for protracted periods of time. The amount of liability, if any, from these proceedings cannot be determined with certainty. The Company reviews its legal proceedings and claims, regulatory reviews and inspections and other legal proceedings on an ongoing basis and follows appropriate accounting guidance when making accrual and disclosure decisions. The Company establishes accruals for those contingencies when the incurrence of a loss is probable and can be reasonably estimated and discloses the amount accrued and the amount of a reasonably possible loss in excess of the amount accrued if such disclosure is necessary for its financial statements to not be misleading. The Company does not record liabilities when the likelihood that the liability has been incurred is probable, but the amount cannot be reasonably estimated. Based upon present information, the Company believes that its liability, if any, arising from such pending legal proceedings, asserted legal claims, and known potential legal claims which are likely to be asserted, is not reasonably likely to be material to its financial position, results of operations or cash flows, when taking into account established accruals for estimated liabilities. SKU rationalization During the year ended September 30, 2022, the Company recorded a charge of $22.5 relating to the write-off of inventory for certain Wet Ones SKUs and related contract termination charges associated with a third-party co-manufacturer. This charge was included in Cost of products sold in the Consolidated Financial Statements. Government Regulation and Environmental Matters The operations of the Company are subject to various federal, state, local, and foreign laws and regulations intended to protect the public health and environment. Contamination has been identified at certain of the Company’s current and former facilities, as well as third-party waste disposal sites, and the Company is conducting investigation and remediation activities in relation to such properties. In connection with certain sites, the Company has received notices from the U.S. Environmental Protection Agency, state agencies and private parties, that it has been identified as a potentially responsible party (“PRP”) under the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (“CERCLA”), and may be required to share in the cost of cleanup with respect to a number of federal “Superfund” sites. The Company may also be required to share in the cost of cleanup with respect to state-designated sites, and certain international locations, as well as any of its own properties. The amount of the Company’s ultimate liability in connection with those sites may depend on many factors, including the volume and toxicity of material contributed to the site, the number of other PRPs and their financial viability, and the remediation methods and technology to be used. Total environmental capital expenditures and operating expenses are not expected to have a material effect on the Company’s total capital and operating expenditures, cash flows, earnings or competitive position. Current environmental spending estimates may be modified as a result of changes in the Company’s plans or its understanding of the underlying facts, changes in legal requirements, including any requirements related to global climate change, or other factors. Many European countries, as well as the European Union, have been very active in adopting and enforcing environmental regulations. As such, it is possible that new regulations may increase the risk and expense of doing business in such countries. |
Segment and Geographical Data
Segment and Geographical Data | 12 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Segment and Geographical Data | Segment and Geographical Data Segment performance is evaluated based on segment profit, exclusive of general corporate expenses, share-based compensation costs, restructuring charges and certain costs deemed non-recurring in nature, including acquisition and integration costs, SKU rationalization charges, Sun Care reformulation costs, legal, pension, value-added tax (“VAT”) settlements, cost of early debt retirement, COVID-19 pandemic expenses, advisory expenses incurred in connection with the evaluation of the Feminine Care and Infant Care businesses, the gain on sale of the Infant and Pet Care business, the amortization of intangible assets, and the related tax effects of these items. Financial items, such as interest income and expense, are managed on a global basis at the corporate level. The exclusion of such charges from segment results reflects management’s view on how it evaluates segment performance. The Company’s operating model includes some shared business functions across the segments, including product warehousing and distribution, transaction processing functions and, in most cases, a combined sales force and management teams. The Company applies a fully allocated cost basis, in which shared business functions are allocated among the segments. Such allocations are estimates and do not represent the costs of such services if performed on a stand-alone basis. Segment net sales and profitability are presented below: Fiscal Year 2022 2021 2020 Net Sales Wet Shave $ 1,242.5 $ 1,215.9 $ 1,162.3 Sun and Skin Care 638.5 585.3 462.0 Feminine Care 290.7 286.1 298.6 All Other — — 26.8 Total net sales $ 2,171.7 $ 2,087.3 $ 1,949.7 Segment Profit Wet Shave $ 174.0 $ 221.0 $ 206.2 Sun and Skin Care 108.5 98.7 69.1 Feminine Care 31.2 37.2 52.3 All Other — — 3.1 Total segment profit 313.7 356.9 330.7 General corporate and other expenses (54.0) (56.5) (54.9) Restructuring and related costs (16.2) (30.1) (38.1) Acquisition and integration costs (1) (9.9) (8.4) (39.8) SKU rationalization charges (2) (22.5) — — Sun Care reformulation costs (3) (4.6) (1.1) — Legal settlement (4) 7.5 — — Pension settlement expense (5) (1.8) — — VAT settlement costs (6) (3.4) — — Cost of early retirement of long-term debt — (26.1) (26.2) COVID-19 expenses (7) — — (4.3) Feminine and Infant Care evaluation costs (8) — — (0.3) Gain on sale of Infant and Pet Care business — — 4.1 Amortization of intangibles (29.4) (22.0) (17.3) Interest and other expense, net (56.4) (66.7) (66.6) Total earnings before income taxes $ 123.0 $ 146.0 $ 87.3 Depreciation and amortization Wet Shave $ 36.4 $ 39.9 $ 44.8 Sun and Skin Care 15.4 15.6 13.8 Feminine Care 8.7 9.6 11.9 All Other — — 1.0 Total segment depreciation and amortization 60.5 65.1 71.5 Corporate 29.4 22.0 17.3 Total depreciation and amortization $ 89.9 $ 87.1 $ 88.8 Fiscal Year 2022 2021 Total Assets Wet Shave $ 751.4 $ 713.7 Sun and Skin Care 276.8 256.3 Feminine Care 159.1 137.1 Total segment assets 1,187.3 1,107.1 Corporate (9) 207.0 498.3 Goodwill and other intangible assets, net 2,318.8 2,069.2 Total assets $ 3,713.1 $ 3,674.6 Capital Expenditures Wet Shave $ 36.1 $ 36.1 $ 34.8 Sun and Skin Care 12.4 12.2 7.1 Feminine Care 7.9 8.5 5.0 All Other — — 0.8 Total capital expenditures 56.4 56.8 47.7 (1) Includes SG&A of $9.1, $7.1, and $39.2 for fiscal 2022, 2021, and 2020, respectively, related to integration expenses associated with acquisitions and Cost of products sold of $0.8, $1.3, and $0.6 related to the valuation of acquired inventory for fiscal 2022, 2021, and 2020 respectively. (2) Includes Cost of products sold of $22.5 for fiscal 2022 for the write-off of certain Wet Ones SKUs and related contract termination charges. Wet Ones products are included within the Sun and Skin Care segment. (3) Includes pre-tax R&D of $1.1 for fiscal 2022 and pre-tax COGS of $3.5 and $1.1 for fiscal 2022 and fiscal 2021, respectively, related to the reformulation, recall, and destruction of certain Sun Care products. (4) Includes pre-tax SG&A of $7.5 for fiscal 2022 for a favorable legal settlement. (5) Includes pre-tax other (income) expense of $1.8for fiscal 2022 for a pension settlement expenses. (6) Includes pre-tax SG&A of $3.4 for the fiscal 2022 related to the estimated settlement of prior years’ value-added tax audits in Germany. (7) Includes pre-tax Cost of products sold of $4.3 for fiscal 2020, which included incremental costs incurred by the Company related to higher benefit and emergency payments, supplies and freight. (8) Includes pre-tax SG&A of $0.3 for fiscal 2020 associated with consulting costs incurred in connection with the evaluation of our Feminine Care and Infant Care segments. (9) Corporate assets include all cash and cash equivalents, financial instruments and deferred tax assets that are managed outside of operating segments. The following table presents the Company’s net sales and long-lived assets by geographic area: Fiscal Year 2022 2021 2020 Net Sales to Customers United States $ 1,306.5 $ 1,183.6 $ 1,082.8 International 865.2 903.7 866.9 Total net sales $ 2,171.7 $ 2,087.3 $ 1,949.7 Long-lived Assets United States $ 239.3 $ 244.6 Germany 61.1 51.9 Other International 65.7 66.1 Total long-lived assets excluding goodwill and other intangibles, net, and other assets $ 366.1 $ 362.6 The Company’s international net sales are derived from customers in numerous countries, with no sales to any individual foreign country exceeding 10% of the Company’s total Net sales. For information on customer concentration and product concentration risk, see Note 16 of Notes to Consolidated Financial Statements. Supplemental product information is presented below for net sales: Fiscal Year 2022 2021 2020 Razors and blades $ 1,108.8 $ 1,084.6 $ 1,023.3 Sun care products 401.8 333.6 283.3 Tampons, pads and liners 290.7 286.1 298.6 Skin care products 236.7 251.7 178.7 Shaving gels and creams 133.7 131.3 139.0 Infant care and other — — 26.8 Total net sales $ 2,171.7 $ 2,087.3 $ 1,949.7 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Sep. 30, 2022 | |
Subsequent Events [Abstract] | |
Subsequent events | Subsequent EventsOn November 10, 2022, the Commission Regulation (EU) published regulatory requirement 2022/2195 pertaining to the level of certain ingredients that can be utilized in Sun Care products beginning in 2025. The Company is currently assessing the impact of this change. |
Background and Basis of Prese_2
Background and Basis of Presentation (Policies) | 12 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of accounting | The accompanying Consolidated Financial Statements include the accounts of the Company and its controlled subsidiaries and have been prepared in accordance with United States (“U.S.”) generally accepted accounting principles (“GAAP”), under the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”). |
Use of estimates | The preparation of the Consolidated Financial Statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses. Actual results may differ materially from those estimates. |
Consolidation | All intercompany balances and transactions have been eliminated in consolidation and, in the opinion of management, all normal recurring adjustments considered necessary for a fair presentation have been included. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Foreign currency translation | Financial statements of foreign operations where the local currency is the functional currency are translated using end-of-period exchange rates for assets and liabilities, and average exchange rates during the period for results of operations. Related translation adjustments are reported as a component within accumulated other comprehensive loss in the shareholders’ equity section of the Consolidated Balance Sheets, except as noted below.Gains and losses resulting from foreign currency transactions are included in Net earnings. |
Financial instruments and derivative securities | The Company uses financial instruments, from time to time, in the management of foreign currency, interest rate, and other risks that are inherent to its business operations. Such instruments are not held or issued for trading purposes.FX instruments, including forward currency contracts, are used primarily to reduce cash transaction exposures and, to a lesser extent, to manage other translation exposures. FX instruments are selected based on their risk reduction attributes, costs, and related market conditions. The Company has designated certain foreign currency contracts as cash flow hedges for accounting purposes as of September 30, 2022. |
Cash equivalents | Cash equivalents are considered to be highly liquid investments with a maturity of three months or less when purchased. At September 30, 2022, the Company had $188.7 in available cash and cash equivalents, a significant portion of which was outside of the U.S. The Company has extensive operations outside of the U.S., including a significant manufacturing footprint. The Company manages its worldwide cash requirements by reviewing available funds among the many subsidiaries through which it conducts its business and the cost effectiveness with which those funds can be accessed. The repatriation of cash balances from certain of the Company’s subsidiaries could have adverse tax consequences or be subject to regulatory capital requirements; however, those balances are generally available without legal restrictions to fund ordinary business operations. |
Cash flow presentation | The Consolidated Statements of Cash Flows are prepared using the indirect method, which reconciles Net earnings to Net cash from operating activities. The reconciliation adjustments include the removal of timing differences between the occurrence of operating receipts and payments and their recognition in Net earnings. The adjustments also remove cash flows arising from investing and financing activities, which are presented separately from operating activities. Cash flows from foreign currency transactions and operations are translated at an average exchange rate for the period. Cash flows from hedging activities are included in the same category as the items being hedged, which is primarily operating activities. Cash payments related to income taxes are classified as operating activities. |
Accounts receivable valuation | Trade receivables are stated at their net realizable value. The allowance for doubtful accounts reflects the Company’s best estimate of probable losses inherent in the trade receivables portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other currently available information. Bad debt expense is included in Selling, general and administrative expense (“SG&A”). |
Inventories | Inventories are valued at the lower of cost or net realizable value, with cost generally determined using average cost or the first-in, first-out (“FIFO”) method. |
Capitalized software costs | Capitalized software costs are included in Property, plant and equipment, net. These costs are amortized using the straight-line method over periods of related benefit ranging from three |
Property, plant and equipment, net | Property, plant and equipment, net (“PP&E”) is stated at historical cost. PP&E acquired as part of a business combination is recorded at estimated fair value. Expenditures for new facilities and expenditures that substantially increase the useful life of property, including interest during construction, are capitalized and reported as Capital expenditures in the accompanying Consolidated Statements of Cash Flows. Maintenance, repairs and minor renewals are expensed as incurred. When property is retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the accounts and gains or losses on the disposition are reflected in Net earnings. Depreciation is generally provided on the straight-line basis by charges to earnings at rates based on estimated useful lives. Estimated useful lives range from two three Estimated useful lives are periodically reviewed and, when appropriate, changes are made and accounted for prospectively. When certain events or changes in operating conditions occur, asset lives may be adjusted and an impairment assessment may be performed on the recoverability of the carrying amounts. |
Goodwill and other intangible assets | Goodwill and indefinite-lived intangibles are not amortized but are instead evaluated annually for impairment as part of the Company’s annual business planning cycle in the fourth fiscal quarter, or when indicators of a potential impairment are present. The annual test for impairment performed for goodwill can be qualitative or quantitative, taking into consideration certain factors surrounding the fair value of the goodwill including, level by which fair value exceeded carrying value in the prior valuation, as well as macroeconomic factors, industry conditions and actual results at the test date. The quantitative analysis to test for impairment will estimate the fair value of each reporting unit (Wet Shave, Sun Care, Skin Care and/or Feminine Care) using valuation models that incorporate assumptions and projections of expected future cash flows and operating plans. In determining the estimated fair value of the reporting units when performing a quantitative analysis, both the market approach and the income approach are considered in the valuation, and where appropriate, both methods will be used and weighted, unless appropriate market comparables are not available for a reporting unit. Determining the fair value of a reporting unit requires the use of significant judgment, estimates, and assumptions. While the Company believes that the estimates and assumptions underlying the valuation methodology are reasonable, these estimates and assumptions could have a significant impact on whether an impairment charge is recognized and the magnitude of any such charge. The results of an impairment analysis are as of a point in time. There is no assurance that actual future earnings or cash flows of the reporting units will not vary significantly from these projections. The Company will monitor any changes to these assumptions and will evaluate the carrying value of goodwill as warranted during future periods. The key assumptions and estimates for the market and income approaches used to determine fair value of the reporting units included market data and market multiples, discount rates and terminal growth rates, as well as revenue growth rates, and operating margins, which are based upon management’s strategic plan. The Company evaluates indefinite-lived intangible assets, which consist of trademarks and brand names used across the Company’s segments for impairment on an annual basis. Similar to goodwill, the impairment test can be qualitative or quantitative, taking into consideration certain factors surrounding the fair value of the brand names including, level by which fair value exceeded carrying value in the prior valuation, as well as macroeconomic factors, industry conditions and actual results at the test date. The quantitative test will determine the fair value using one of two income approaches: (i) the multi-period excess earnings method and (ii) the relief-from-royalty method, both of which require significant assumptions, including estimates regarding future revenue and operating margin growth, discount rates, and appropriate royalty rates. Revenue and operating margin growth assumptions are based on historical trends and management’s expectations for future growth by brand. The discount rates were based on a weighted-average cost of capital utilizing industry market data of similar companies and estimated returns on the assets utilized in the operations of the applicable reporting unit, including net working capital, fixed assets and intangible assets. The Company estimated royalty rates based on operating profits of the brand. |
Impairment of long-lived assets | The Company reviews long-lived assets, other than goodwill and other intangible assets, for impairment when events or changes in business circumstances indicate that the remaining useful life may warrant revision or that the carrying amount of the long-lived asset may not be fully recoverable. The Company performs an undiscounted cash flow analysis to determine if impairment exists for an asset or asset group. If impairment is determined to exist, any related impairment loss is calculated based on estimated fair value. Impairment losses on assets to be disposed of, if any, are based on the estimated proceeds to be received, less cost of disposal. |
Revenue recognition | Principal Revenue Streams and Significant Judgments Our principal revenue streams can be divided into: (i) sale of personal care products primarily through retailers in North America; (ii) sale of personal care products through a combination of retailers and distributors internationally; and (iii) production and sale of private brands products in North America and internationally that are made to customer specifications. Performance Obligations The Company’s revenue is generated from the sale of its products. Revenue is recognized when the customer obtains control of the goods, which occurs when the ability to use and obtain benefits from the goods are passed to the customer, most commonly upon the delivery of goods to the customer. Discounts are offered to customers for early payment and an estimate of discounts is recorded as a reduction of Net sales in the same period as the sale. The Company’s standard sales terms are final and returns or exchanges are not permitted with the exception of end of season returns for Sun Care products. Reserves are established and recorded in cases where the right of return exists for a particular sale. The Company assesses the goods promised in its customers’ purchase orders and identifies a performance obligation to transfer goods (or a bundle of goods) that is distinct. To identify the performance obligations, the Company considers all the goods promised, whether explicitly stated or implied based on customary business practices. The Company’s purchase orders are short term in nature, lasting less than one year and contain a single delivery element. For a purchase order that has more than one performance obligation, the Company allocates the total consideration to each distinct performance obligation on a relative stand-alone selling price basis. The Company does not exclude variable consideration in determining the remaining value of performance obligations. Significant Judgments The Company records sales at the time that control of goods pass to the customer. The terms of these sales vary but the following conditions are applicable to all sales: (i) the sales arrangement is evidenced by purchase orders submitted by customers; (ii) the selling price is fixed or determinable; (iii) title to the product has transferred; (iv) there is an obligation to pay at a specified date without any additional conditions or actions required by the Company; and (v) collectability is reasonably assured. Simultaneously with the sale, the Company reduces Net sales and Cost of products sold and reserves amounts on its Consolidated Balance Sheet for anticipated returns based upon an estimated return level in accordance with GAAP. The Company also allows for returns of other products under limited circumstances. Customers are required to pay for the Sun Care product purchased during the season under the required terms. Under certain circumstances, the Company allows customers to return Sun Care products that have not been sold by the end of the Sun Care season, which is normal practice in the Sun Care industry. The timing of returns of Sun Care products can vary in different regions based on climate and other factors. However, the majority of returns occur in the U.S. from September through January following the summer Sun Care season. The Company estimates the level of Sun Care returns as the Sun Care season progresses using a variety of inputs including historical experience, consumption trends during the Sun Care season, obsolescence factors including expiration dates and inventory positions at key retailers. The Company monitors shipment activity and inventory levels at key retailers during the season in an effort to more accurately estimate potential returns. This allows the Company to manage shipment activity to its customers, especially in the latter stages of the Sun Care season, to reduce the potential for returned product. The Company also allows for returns of other products under limited circumstances. Non-Sun Care returns are evaluated each period based on communications with customers and other issues known as of period end. The Company had a reserve for returns of $47.5 and $52.7 at September 30, 2022 and September 30, 2021, respectively. The adoption of ASU 2014-09, which updated the guidance related to accounting for revenue from contracts with customers, required changes in the presentation of returns on the Consolidated Balance Sheet, namely that a return asset should be recognized for returns expected to be resold, measured at the carrying amount of goods at the time of sale, less the expected costs to recover the goods and any expected reduction in value. In addition, the Company offers a variety of programs, such as consumer coupons and rebate programs, primarily to its retail customers, designed to promote sales of its products. Such programs require periodic payments and allowances based on estimated results of specific programs and are recorded as a reduction to Net sales. The Company accrues, at the time of sale, the estimated total payments and allowances associated with each transaction. Additionally, the Company offers programs directly to consumers to promote the sale of its products. Promotions which reduce the ultimate consumer sale price are recorded as a reduction of Net sales at the time the promotional offer is made using estimated redemption and participation levels. Taxes the Company collects on behalf of governmental authorities, which are generally included in the price to the customer, are also recorded as a reduction of Net sales. The Company continually assesses the adequacy of accruals for customer and consumer promotional program costs not yet paid. To the extent total program payments differ from estimates, adjustments may be necessary. Historically, these adjustments have not been material. Contract Balances The timing of revenue recognition is based on completion of performance obligations through the transfer of goods. Standard payment terms with customers require payment after goods have been delivered and risk of ownership has transferred to the customer. The Company has contract liabilities as a result of advanced payments received from certain customers before goods have been delivered and all performance obligations have been completed. Contract liabilities were $1.1 and $0.6 at September 30, 2022 and September 30, 2021, respectively, and were classified within Other current liabilities on our Consolidated Balance Sheets. Substantially all of the amount deferred will be recognized within a year, with the significant majority to be captured within a quarter following deferral. Trade receivables are stated at their net realizable value. The allowance for doubtful accounts reflects the Company’s best estimate of probable losses inherent in its receivables portfolio determined by historical experience, specific allowances for known troubled accounts, and other currently available information. |
Advertising and sales promotion costs | The Company advertises and promotes its products through national and regional media and expenses such activities as incurred. |
Share-based payments | The Company grants restricted share equivalents (“RSE”), which generally vest over two Non-qualified stock options (“Share Options”) are granted at the market price on the grant date and generally vest ratably over three years. The Company calculates the fair value of total share-based compensation for Share Options using the Black-Scholes option pricing model, which utilizes certain assumptions and estimates that have a material impact on the amount of total compensation cost recognized in the Consolidated Financial Statements, including the expected term, expected share price volatility, risk-free interest rate and expected dividends. The original estimate of the grant date fair value is not subsequently revised unless the awards are modified. The Company has elected to recognize forfeiture of awards as they occur. |
Income taxes | The Company’s annual effective income tax rate is determined based on its pre-tax income, statutory tax rates and the tax impacts of items treated differently for tax purposes than for financial reporting purposes. Tax law requires that certain items be included in its federal tax return at different times than the items are reflected in the financial statements. Some of these differences are permanent, such as expenses that are not deductible in the Company’s tax return, and some differences are temporary, reversing over time, such as depreciation expense. These temporary differences create deferred tax assets and liabilities. Deferred tax assets generally represent the tax effect of items that can be used as a tax deduction or credit in future years for which the Company has already recorded the tax benefit in the Consolidated Statement of Earnings. Deferred tax liabilities generally represent tax expense recognized in the Company’s financial statements for which payment has been deferred, the tax effect of expenditures for which a deduction has already been taken in its tax return but has not yet been recognized in its financial statements or assets recorded at estimated fair value in business combinations for which there was no corresponding tax basis adjustment. The Company estimates income taxes and the effective income tax rate in each jurisdiction that it operates. This involves estimating taxable earnings, specific taxable and deductible items, the likelihood of generating sufficient future taxable income to utilize deferred tax assets, the portion of the income of foreign subsidiaries that is expected to be remitted to the U.S. and be taxable and possible exposures related to future tax audits. Deferred tax assets are evaluated on a subsidiary by subsidiary basis to ensure that the asset will be realized. Valuation allowances are established when the realization is not deemed to be more likely than not. Future performance is monitored, and when objectively measurable operating trends change, adjustments are made to the valuation allowances accordingly. To the extent the estimates described above change, adjustments to income taxes are made in the period in which the estimate is changed. The Company operates in multiple jurisdictions with complex tax and regulatory environments, which are subject to differing interpretations by the taxpayer and the taxing authorities. At times, the Company may take positions that management believes are supportable but are potentially subject to successful challenges by the appropriate taxing authority. The Company evaluates its tax positions and establishes liabilities in accordance with guidance governing accounting for uncertainty in income taxes. The Company reviews these tax uncertainties in light of changing facts and circumstances, such as the progress of tax audits, and adjusts them accordingly. |
Estimated fair values of financial instruments | Certain financial instruments are required to be recorded at estimated fair value. Changes in assumptions or estimation methods could affect the fair value estimates; however, the Company does not believe any such changes would have a material impact on its financial condition, results of operations or cash flows. Other financial instruments including cash and cash equivalents and short-term borrowings, including notes payable, are recorded at cost, which approximates estimated fair value. |
Recently issued accounting pronouncements | Recently Adopted Accounting Pronouncements In December 2019, the Financial Accounting Standards Board issued Accounting Standards Update 2019-12, which eliminates certain exceptions related to the approach for intra-period tax allocation, the methodology for calculating income taxes in an interim period when interim loss exceeds anticipated loss for the year, and the recognition of deferred tax liabilities for outside basis differences related to changes in ownership of equity method investments and foreign subsidiaries. The guidance also simplifies aspects of accounting for franchise taxes and enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. The Company adopted this standard as of October 1, 2021. There was no cumulative effect adjustment recorded to retained earnings as the amount was not material, and the effects of this standard on our financial position, results of operations and cash flows were not material. Recently Issued Accounting Pronouncements In September 2022, the Financial Accounting Standards Board issued Accounting Standards Update 2022-04, "Liabilities - Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations". This guidance requires annual and interim disclosures for entities that use supplier finance programs in connection with the purchase of goods and services. These amendments are effective for fiscal years beginning after December 15, 2022, except for the amendment on rollforward information, which is effective for fiscal years beginning after December 15, 2023. The Company is assessing the impact of this guidance on our Consolidated Financial Statements. |
Leases (Policies)
Leases (Policies) | 12 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Leases accounting policy | The Company leases certain offices and manufacturing facilities, warehouses, employee vehicles and certain manufacturing related equipment. Leases with an initial term of 12 months or less are not recorded on the Consolidated Balance Sheet. All recorded leases are classified as operating leases and lease expense is recognized on a straight-line basis over the lease term. The Company has elected to utilize the package of practical expedients which allows it to carryforward its historical lease classification, its assessment on whether a contract was or contains a lease, and its assessment of initial direct costs for any leases that existed prior to October 1, 2019. Additionally, the Company has elected as an accounting policy not to separate non-lease components from lease components and, instead, account for these components as a single lease component. The Company has made an accounting policy election not to recognize ROU assets and lease liabilities for leases that, as of October 1, 2019, are for 12 months or less. For leases that do not provide an implicit rate, the Company uses its secured incremental borrowing rate, based on the information available for leases, including the lease term and interest rate environment in the country in which the lease exists, to calculate the present value of the future lease payments. |
Restructuring Charges (Tables)
Restructuring Charges (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring and Related Costs | The Company incurred the following restructuring charges for fiscal 2022: Fiscal 2022 Severance and related benefit costs 5.6 Asset write-off and accelerated depreciation 0.8 Consulting, project implementation and management, and other exit costs 9.8 Total restructuring $ 16.2 Pre-tax SG&A of $0.9 for fiscal 2022 associated with certain information technology enablement expenses and compensation expenses for restructuring programs were included in Consulting, project implementation and management, and other exit costs. Project Fuel Project Fuel was an enterprise-wide transformational initiative launched in fiscal 2018 to improve operational performance and reshape the business’ cost structure. Project Fuel was completed on September 30, 2021. The Company does not include Project Fuel restructuring costs in the results of its reportable segments. However, the estimated impact of allocating such charges to segment results for fiscal 2021 and 2020 would have been as follows: Fiscal 2021 Wet Sun and Skin Care Feminine Care Corporate Total Project Fuel Severance and related benefit costs $ 1.5 $ 0.1 $ — $ 7.8 $ 9.4 Asset impairment and accelerated depreciation 1.1 — — — $ 1.1 Consulting, project implementation and management and other exit costs 2.7 0.2 0.3 16.4 19.6 Total Restructuring $ 5.3 $ 0.3 $ 0.3 $ 24.2 $ 30.1 Fiscal 2020 Wet Sun and Skin Care Feminine Corporate Total Project Fuel Severance and related benefit costs $ 0.2 $ 0.3 $ — $ 7.6 $ 8.1 Asset impairment and accelerated depreciation 1.7 — — — $ 1.7 Consulting, project implementation and management and other exit costs 9.5 0.8 0.4 17.6 28.3 Total Restructuring $ 11.4 $ 1.1 $ 0.4 $ 25.2 $ 38.1 |
Schedule of Restructuring Reserve by Type of Cost | The following table summarizes restructuring activities and related accruals: Utilized October 1, 2021 Charge to Other (1) Cash Non-Cash September 30, 2022 Restructuring Severance and termination related costs $ 1.9 $ 5.6 $ — $ (5.8) $ — $ 1.7 Asset impairment and accelerated depreciation — 0.8 — — (0.8) — Other related costs 3.6 9.8 — (12.6) — 0.8 Total Restructuring $ 5.5 $ 16.2 $ — $ (18.4) $ (0.8) $ 2.5 Utilized October 1, 2020 Charge to Other (1) Cash Non-Cash September 30, Restructuring Severance and termination related costs $ 4.3 $ 9.4 $ — $ (11.8) $ — $ 1.9 Asset impairment and accelerated depreciation — 1.1 — — (1.1) — Other related costs 1.1 19.6 — (17.1) — 3.6 Total Restructuring $ 5.4 $ 30.1 $ — $ (28.9) $ (1.1) $ 5.5 (1) Includes the impact of currency translation. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of Provisions for Income Taxes | The provisions for income taxes from continuing operations consisted of the following: Fiscal Year 2022 2021 2020 Currently payable: United States - Federal $ 12.2 $ (3.1) $ 1.2 State 6.6 (0.1) 2.3 Foreign 19.4 22.6 19.1 Total current 38.2 19.4 22.6 Deferred: United States - Federal (7.6) 7.9 (2.8) State (0.6) 0.3 0.5 Foreign (5.6) 1.4 (0.6) Total deferred (13.8) 9.6 (2.9) Income tax provision $ 24.4 $ 29.0 $ 19.7 |
Schedule of Source of Pre-Tax Earnings | The source of pre-tax earnings was: Fiscal Year 2022 2021 2020 United States $ 1.5 $ (11.5) $ (27.4) Foreign 121.5 157.5 114.7 Pre-tax earnings $ 123.0 $ 146.0 $ 87.3 |
Schedule of Reconciliation of Income Taxes at Statutory Rate | A reconciliation of income taxes with the amounts computed at the statutory federal income tax rate follows: Fiscal Year 2022 2021 2020 Computed tax at federal statutory rate $ 25.8 21.0 % $ 30.7 21.0 % $ 18.3 21.0 % State income taxes, net of federal tax benefit 2.7 2.2 0.8 0.6 1.0 1.1 Foreign tax less than the federal rate (11.7) (9.5) (9.0) (6.2) (5.6) (6.4) Adjustments to prior years’ tax accruals 1.6 1.3 (4.3) (2.9) (0.5) (0.5) Other taxes including repatriation of foreign earnings 4.6 3.7 8.9 6.1 8.2 9.4 Other, net 3.9 3.2 2.7 1.8 1.1 1.3 Uncertain tax positions (2.5) (2.0) (0.8) (0.6) (4.4) (5.1) Sale of Infant and Pet Care business — — — — 1.6 1.8 Total $ 24.4 19.9 % $ 29.0 19.8 % $ 19.7 22.6 % |
Schedule of Deferred Tax Assets and Deferred Tax Liabilities | The deferred tax assets and deferred tax liabilities recorded on the balance sheet were as follows, and include current and noncurrent amounts: September 30, 2022 2021 Deferred tax liabilities: Depreciation and property differences $ (22.8) $ (26.6) Intangible assets (229.4) (192.5) Lease liabilities (13.0) (14.9) Other tax liabilities (3.9) (9.4) Gross deferred tax liabilities (269.1) (243.4) Deferred tax assets: Accrued liabilities 55.8 52.8 Deferred and share-based compensation 13.7 15.4 Tax loss carryforwards and tax credits 26.0 8.2 Postretirement benefits other than pensions 1.1 1.5 Pension plans 24.0 40.2 Inventory differences 5.8 3.2 Lease right of use assets 13.1 15.0 Deferred revenue 9.7 — Other tax assets 8.1 8.5 Gross deferred tax assets 157.3 144.8 Valuation allowance (10.3) (9.4) Net deferred tax liabilities $ (122.1) $ (108.0) |
Schedule of Unrecognized Tax Benefits Activity | Unrecognized tax benefits activity is summarized below: 2022 2021 2020 Unrecognized tax benefits, beginning of year $ 21.0 $ 21.8 $ 25.5 Additions based on current year tax positions and acquisitions 1.8 1.7 1.8 Reductions for prior year tax positions and dispositions — — (1.7) Settlements with taxing authorities and statute expirations (4.6) (2.5) (3.8) Unrecognized tax benefits, end of year $ 18.2 $ 21.0 $ 21.8 |
Earnings per Share (Tables)
Earnings per Share (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Weighted-Average Shares Outstanding | The following is the reconciliation between the number of weighted-average shares used in the basic and diluted earnings per share calculation: Fiscal Year 2022 2021 2020 Basic weighted-average shares outstanding 53.1 54.4 54.3 Effect of dilutive securities: RSE awards 0.5 0.8 0.3 Total dilutive securities 0.5 0.8 0.3 Diluted weighted-average shares outstanding 53.6 55.2 54.6 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The following table sets forth goodwill by segment: Wet Sun and Skin Feminine Total Gross balance at October 1, 2021 $ 967.5 $ 357.6 $ 208.7 $ 1,533.8 Accumulated goodwill impairment (369.0) (2.0) — (371.0) Net balance at October 1, 2021 $ 598.5 $ 355.6 $ 208.7 $ 1,162.8 Changes in the twelve months ended September 30, 2022 Billie acquisition $ 181.2 $ — $ — $ 181.2 Cumulative translation adjustment (15.2) (3.1) (3.5) $ (21.8) Gross balance at September 30, 2022 $ 1,133.5 $ 354.5 $ 205.2 $ 1,693.2 Accumulated goodwill impairment (369.0) (2.0) — (371.0) Net balance at September 30, 2022 $ 764.5 $ 352.5 $ 205.2 $ 1,322.2 |
Schedule of Amortizable Intangible Assets | Total amortizable intangible assets were as follows: September 30, 2022 September 30, 2021 Gross Accumulated Net Gross Accumulated Net Indefinite lived Trade names and brands $ 587.1 $ — $ 587.1 $ 600.8 $ — $ 600.8 Definite lived Trade names and brands $ 339.4 $ 72.2 $ 267.2 $ 256.2 $ 57.7 $ 198.5 Technology and patents 77.8 75.0 2.8 79.1 75.8 3.3 Customer related and other 267.1 127.5 139.6 221.2 117.4 103.8 Total amortizable intangible assets $ 684.3 $ 274.7 $ 409.5 $ 556.5 $ 250.9 $ 305.6 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Summary of Lease Information | A summary of the Company's lease information is as follows: September 30, September 30, Assets Classification Right of use assets Other assets $ 50.1 $ 57.7 Liabilities Current lease liabilities Other current liabilities $ 8.8 $ 11.0 Long-term lease liabilities Other liabilities 41.5 46.9 Total lease liabilities $ 50.3 $ 57.9 Other information Weighted-average remaining lease term (years) 10 10 Weighted-average incremental borrowing rate 6.6 % 6.3 % Fiscal Year Ended September 30, 2022 Fiscal Year Ended September 30, 2021 Fiscal Year Ended September 30, 2020 Statement of Earnings Lease cost (1) $ 13.5 $ 14.4 $ 13.9 Other information Leased assets obtained in exchange for new lease liabilities $ 7.6 $ 28.0 $ 1.9 Cash paid for amounts included in the measurement of lease liabilities $ 13.5 $ 14.3 $ 13.4 |
Summary of lease liability maturities | The Company's future lease payments including reasonably assured renewal options under lease agreements are as follows: Operating Leases Fiscal 2023 $ 10.8 2024 9.2 2025 8.7 2026 7.4 2027 5.7 2028 and thereafter 35.0 Total future minimum lease commitments 76.8 Less: Imputed interest (26.5) Present value of lease liabilities $ 50.3 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt | The detail of long-term debt was as follows: September 30, September 30, Senior notes, fixed interest rate of 5.5%, due 2028 (1) 750.0 750.0 Senior notes, fixed interest rate of 4.1%, due 2029 (1) 500.0 500.0 Revolving credit facility (2) 155.0 — Total long-term debt, including current maturities 1,405.0 1,250.0 Less current portion — — Less unamortized debt issuance costs and discount (1) 13.6 15.8 Total long-term debt $ 1,391.4 $ 1,234.2 (1) At September 30, 2022, the balance for the Senior Notes due 2028 and the Senior Notes due 2029 are reflected net of debt issuance costs of $8.3 and $5.3, respectively. At September 30, 2021, the balance for the Senior Notes due 2028 and the Senior Notes due 2029 are reflected net of debt issuance costs of $9.8 and $6.0, respectively. (2) The U.S. revolving credit facility matures in 2025. |
Retirement Plans (Tables)
Retirement Plans (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits [Abstract] | |
Schedule of Benefit Obligations, Plan Assets and Funded Status of the Plans | The following tables present the benefit obligation, plan assets, and funded status of the plans: As of September 30, Pension Postretirement 2022 2021 2022 2021 Change in projected benefit obligation Benefit obligation at beginning of year $ 618.7 $ 652.1 $ 5.5 $ 6.0 Service cost 3.8 4.4 — — Interest cost 10.2 9.6 0.2 0.2 Actuarial gain (141.1) (14.9) (0.9) (0.8) Benefits paid, net (26.4) (32.0) (0.3) (0.2) Plan settlements (4.3) — — — Expenses paid — — — — Foreign currency exchange rate changes (21.5) (0.5) (0.4) 0.3 Projected benefit obligation at end of year 439.4 618.7 4.1 5.5 Change in plan assets Estimated fair value of plan assets at beginning of year 570.5 538.6 — — Actual return on plan assets (121.0) 59.7 — — Company contributions 0.9 4.9 0.3 0.2 Plan settlements (4.3) — — — Benefits paid (26.4) (32.0) (0.3) (0.2) Expenses paid — — — — Foreign currency exchange rate changes (21.5) (0.7) — — Estimated fair value of plan assets at end of year 398.2 570.5 — — Funded status at end of year $ (41.2) $ (48.2) $ (4.1) $ (5.5) |
Schedule of Amounts Recognized in the Consolidated Balance Sheets | The following table presents the amounts recognized in the Consolidated Balance Sheets and Consolidated Statements of Changes in Shareholders’ Equity: As of September 30, Pension Postretirement 2022 2021 2022 2021 Amounts recognized in the Consolidated Balance Sheets Noncurrent assets $ 12.0 $ 0.8 $ — $ — Current liabilities (0.9) (0.9) (0.2) (0.2) Noncurrent liabilities (52.3) (48.1) (3.9) (5.3) Net amount recognized $ (41.2) $ (48.2) $ (4.1) $ (5.5) Amounts recognized in Accumulated other comprehensive loss Net loss (gain) $ 128.6 $ 138.6 $ (7.4) $ (7.4) Prior service credit — — — — Net amount recognized, pre-tax $ 128.6 $ 138.6 $ (7.4) $ (7.4) |
Schedule of Changes Recognized in Other Comprehensive Income | Pre-tax changes recognized in Other comprehensive income for fiscal 2022 were as follows: Pension Post- Changes in plan assets and benefit obligations recognized in Other comprehensive income Net loss (gain) arising during the year $ 1.0 $ (0.9) Effect of exchange rates (2.8) 0.6 Amounts recognized as a component of net periodic benefit cost Amortization or curtailment recognition of prior service cost — — Amortization or settlement recognition of net (loss) gain (8.2) 0.3 Total recognized in Other comprehensive income $ (10.0) $ — |
Schedule of Expected Future Benefit Payments | The Company’s expected future benefit payments are as follows: Pension Post- Fiscal 2023 $ 36.0 $ 0.2 Fiscal 2024 36.5 0.2 Fiscal 2025 34.4 0.2 Fiscal 2026 34.6 0.2 Fiscal 2027 33.5 0.2 Fiscal 2028 to 2032 153.4 1.2 |
Schedule of Pension Plans with Accumulated Benefit Obligation in Excess of Plan Assets | The following table shows pension plans with an accumulated benefit obligation in excess of plan assets: As of September 30, 2022 2021 Projected benefit obligation $ 331.0 $ 590.1 Accumulated benefit obligation 331.0 575.1 Estimated fair value of plan assets 277.8 541.9 |
Schedule of Net Periodic Pension and Postretirement Benefit (Credit) Cost | The following table presents pension and post-retirement expense: Fiscal Year Pension Postretirement 2022 2021 2020 2022 2021 2020 Service cost $ 3.8 $ 4.4 $ 4.3 $ — $ — $ — Interest cost 10.2 9.6 13.5 0.2 0.2 0.3 Expected return on plan assets (21.1) (22.4) (23.1) — — — Recognized net actuarial loss (gain) 6.4 9.5 9.3 (0.3) (0.3) (0.1) Settlement loss recognized 1.8 — 0.8 — — — Net periodic benefit cost (credit) 1.1 1.1 4.8 (0.1) (0.1) 0.2 |
Schedule of Actuarial Assumptions | The following table presents assumptions, which reflect weighted-averages for the component plans, used in determining the above information: Fiscal Year Pension Postretirement 2022 2021 2020 2022 2021 2020 Plan obligations: Discount rate 5.1 % 2.3 % 2.1 % 5.1 % 3.5 % 2.8 % Compensation increase rate 2.5 % 2.5 % 2.5 % 4.0 % N/A N/A Net periodic benefit cost: Discount rate 2.3 % 2.1 % 2.5 % 3.5 % 2.8 % 3.0 % Expected long-term rate of return on plan assets 4.2 % 4.5 % 4.8 % N/A N/A N/A Compensation increase rate 2.5 % 2.5 % 2.5 % 4.0 % N/A N/A Cash balance interest credit rate 3.3 % 1.9 % 1.3 % N/A N/A N/A |
Schedule of Fair Value of Plan Assets | The following table sets forth the estimated fair value of the Company’s pension assets segregated by level within the estimated fair value hierarchy. Refer to Note 16 of Notes to Consolidated Financial Statements for further discussion on the estimated fair value hierarchy and estimated fair value principles. As of September 30, 2022 Pension assets at estimated fair value Level 1 Level 2 Total Equity U.S. equity $ 49.1 $ — $ 49.1 International equity 50.1 — 50.1 Debt U.S. government — 173.3 173.3 Other government — — — Corporate 47.4 — 47.4 Cash and cash equivalents 19.9 — 19.9 Other 13.8 — 13.8 Total, excluding investments valued at net asset value (“NAV”) $ 180.3 $ 173.3 $ 353.6 Investments valued at NAV 44.6 Total $ 180.3 $ 173.3 $ 398.2 As of September 30, 2021 Pension assets at estimated fair value Level 1 Level 2 Total Equity U.S. equity $ 84.5 $ — $ 84.5 International equity 76.0 — 76.0 Debt U.S. government — 236.5 236.5 Other government — — — Corporate 66.0 — 66.0 Cash and cash equivalents 14.4 — 14.4 Other 18.4 0.1 18.5 Total, excluding investments valued at NAV $ 259.3 $ 236.6 $ 495.9 Investments valued at NAV 74.6 Total $ 259.3 $ 236.6 $ 570.5 The following table sets forth the estimated fair value of the Company’s pension assets valued at NAV: As of September 30, 2022 2021 Pension assets valued at NAV estimated at fair value Equity U.S. equity $ 11.4 $ 18.0 International equity 33.2 56.6 Total investments valued at NAV $ 44.6 $ 74.6 |
Share-Based Payments (Tables)
Share-Based Payments (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Share Option Activity | The following table summarizes Share Option activity during fiscal 2022: Shares Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value Outstanding as of October 1, 2021 0.9 $ 60.13 Granted 0.3 42.26 Canceled (0.1) 74.72 Exercised — 34.51 Outstanding as of September 30, 2022 1.1 $ 54.05 6.6 $ — Vested and unvested expected to vest as of September 30, 2022 1.1 $ 54.05 6.6 $ — Exercisable as of September 30, 2022 0.6 66.35 |
Schedule of Share Option Valuation Assumptions | The following table presents the Company’s weighted average fair value per option and the assumptions utilized in the Black-Scholes option pricing model: 2022 2021 Weighted-average fair value per share option $ 14.25 $ 12.06 Expected volatility 39.00 % 36.00 % Risk-free interest rate 1.33 % 0.57 % Expected share option life (in years) 6.1 6.3 Dividend yield 1.42 % — % |
Schedule of Restricted Share Equivalent Award Activity | The following table summarizes RSE award activity during fiscal 2022: Shares Weighted-Average Non-vested at October 1, 2021 1.0 $ 34.07 Granted 0.5 42.49 Vested (0.4) 35.13 Canceled (0.1) 34.48 Non-vested at September 30, 2022 1.0 38.09 |
Share-based Payment Arrangement, Performance Shares, Activity | The following table summarizes PRSE award activity during fiscal 2022: Shares Weighted-Average Non-vested at October 1, 2021 0.8 $ 38.45 Granted 0.2 63.75 Vested (0.3) 42.57 Canceled (0.2) 40.96 Non-vested at September 30, 2022 0.5 43.04 |
Schedule Of Share Based Payment Award Non Options Valuation Assumptions | The assumptions for PRSE awards during the years ended September 30, 2022 are summarized in the following table. 2022 2021 Expected term (in years) 3.0 3.0 Expected stock price volatility 48.73 % 48.00 % Risk-free interest rate 0.85 % 0.22 % Fair value (per award granted) 65.90 56.53 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | The following table presents the changes in accumulated other comprehensive loss (“AOCI”), net of tax, by component: Foreign Currency Translation Adjustments Pension and Post-retirement Activity Hedging Activity Total Balance at October 1, 2020 $ (47.4) $ (142.1) $ (2.1) $ (191.6) OCI before reclassifications (1) 5.6 38.1 2.1 45.8 Reclassifications to earnings — 6.7 2.2 8.9 Balance at September 30, 2021 (41.8) (97.3) 2.2 (136.9) OCI before reclassifications (1) (89.4) (1.2) 13.1 (77.5) Reclassifications to earnings — 5.9 (7.6) (1.7) Balance at September 30, 2022 $ (131.2) $ (92.6) $ 7.7 $ (216.1) (1) OCI is defined as other comprehensive income. |
Schedule of Reclassifications out of Accumulated Other Comprehensive Loss | The following table presents the reclassifications out of AOCI: Fiscal Year Details of AOCI Components 2022 2021 Affected Line Item in the Consolidated Statement of Earnings (Loss) gain on cash flow hedges Foreign exchange contracts $ 11.2 $ (3.2) Other expense (income), net 3.6 (1.0) Income tax provision (benefit) $ 7.6 $ (2.2) Net of tax Amortization of defined benefit pension and postretirement items Actuarial losses (6.1) (9.2) (1) Settlements (1.8) — (1) (2.0) (2.5) Tax expense (benefit) $ (5.9) $ (6.7) Net of tax Total reclassifications for the period $ 1.7 $ (8.9) Net of tax (1) These AOCI components are included in the computation of net periodic benefit cost. See Note 12 of Notes to Consolidated Financial Statements. |
Financial Instruments and Ris_2
Financial Instruments and Risk Management (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Fair Values of Derivative Instruments | The following table provides estimated fair values of derivative instruments: Fair Value of (Liability) Asset (1) September 30, 2022 September 30, 2021 Derivatives designated as cash flow hedging relationships: Foreign currency contracts $ 11.3 $ 3.3 Derivatives not designated as cash flow hedging relationships: Foreign currency contracts $ 2.0 $ 0.5 (1) All derivative assets are presented in Other current assets or Other assets. All derivative liabilities are presented in Other current liabilities or Other liabilities. |
Schedule of Gains and Losses on Derivative Instruments | The following table provides the amounts of gains and losses on derivative instruments: Fiscal Year 2022 2021 2020 Derivatives designated as cash flow hedging relationships: Foreign currency contracts Gain (loss) recognized in OCI (1) $ 19.2 $ 3.1 $ (2.7) (Loss) gain reclassified from AOCI into income (effective portion) (1) (2) 11.2 (3.2) 2.1 Derivatives not designated as cash flow hedging relationships: Foreign currency contracts Gain (loss) recognized in income (2) $ 8.2 $ 2.3 $ (0.5) (1) Each of these derivative instruments had a high correlation to the underlying exposure being hedged for the periods indicated and had been deemed highly effective in offsetting associated risk. |
Schedule of Offsetting Assets and Liabilities | The following table provides financial assets and liabilities for balance sheet offsetting: As of September 30, 2022 As of September 30, 2021 Assets (1) Liabilities (2) Assets (1) Liabilities (2) Foreign currency contracts Gross amounts of recognized assets (liabilities) $ 13.4 $ (0.5) $ 3.9 $ (0.2) Gross amounts offset in the balance sheet — 0.4 (0.1) 0.1 Net amounts of assets (liabilities) presented in the balance sheet $ 13.4 $ (0.1) $ 3.8 $ (0.1) (1) All derivative assets are presented in Other current assets or Other assets. (2) All derivative liabilities are presented in Other current liabilities or Other liabilities. |
Schedule of Fair Value of Assets and Liabilities Measured on Recurring Basis | The following table sets forth the Company’s financial assets and liabilities, which are carried at fair value, that are measured on a recurring basis during the period, all of which are classified as Level 2 within the fair value hierarchy: As of September 30, 2022 2021 (Liabilities) Assets at estimated fair value: Deferred compensation $ (21.8) $ (28.4) Derivatives - foreign currency contracts 13.3 3.7 Net liabilities at estimated fair value $ (8.5) $ (24.7) |
Segment and Geographical Data (
Segment and Geographical Data (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Segment Disclosures | Segment net sales and profitability are presented below: Fiscal Year 2022 2021 2020 Net Sales Wet Shave $ 1,242.5 $ 1,215.9 $ 1,162.3 Sun and Skin Care 638.5 585.3 462.0 Feminine Care 290.7 286.1 298.6 All Other — — 26.8 Total net sales $ 2,171.7 $ 2,087.3 $ 1,949.7 Segment Profit Wet Shave $ 174.0 $ 221.0 $ 206.2 Sun and Skin Care 108.5 98.7 69.1 Feminine Care 31.2 37.2 52.3 All Other — — 3.1 Total segment profit 313.7 356.9 330.7 General corporate and other expenses (54.0) (56.5) (54.9) Restructuring and related costs (16.2) (30.1) (38.1) Acquisition and integration costs (1) (9.9) (8.4) (39.8) SKU rationalization charges (2) (22.5) — — Sun Care reformulation costs (3) (4.6) (1.1) — Legal settlement (4) 7.5 — — Pension settlement expense (5) (1.8) — — VAT settlement costs (6) (3.4) — — Cost of early retirement of long-term debt — (26.1) (26.2) COVID-19 expenses (7) — — (4.3) Feminine and Infant Care evaluation costs (8) — — (0.3) Gain on sale of Infant and Pet Care business — — 4.1 Amortization of intangibles (29.4) (22.0) (17.3) Interest and other expense, net (56.4) (66.7) (66.6) Total earnings before income taxes $ 123.0 $ 146.0 $ 87.3 Depreciation and amortization Wet Shave $ 36.4 $ 39.9 $ 44.8 Sun and Skin Care 15.4 15.6 13.8 Feminine Care 8.7 9.6 11.9 All Other — — 1.0 Total segment depreciation and amortization 60.5 65.1 71.5 Corporate 29.4 22.0 17.3 Total depreciation and amortization $ 89.9 $ 87.1 $ 88.8 |
Schedule of Geographical Segment Information | The following table presents the Company’s net sales and long-lived assets by geographic area: Fiscal Year 2022 2021 2020 Net Sales to Customers United States $ 1,306.5 $ 1,183.6 $ 1,082.8 International 865.2 903.7 866.9 Total net sales $ 2,171.7 $ 2,087.3 $ 1,949.7 Long-lived Assets United States $ 239.3 $ 244.6 Germany 61.1 51.9 Other International 65.7 66.1 Total long-lived assets excluding goodwill and other intangibles, net, and other assets $ 366.1 $ 362.6 |
Schedule of Supplemental Product Information | Supplemental product information is presented below for net sales: Fiscal Year 2022 2021 2020 Razors and blades $ 1,108.8 $ 1,084.6 $ 1,023.3 Sun care products 401.8 333.6 283.3 Tampons, pads and liners 290.7 286.1 298.6 Skin care products 236.7 251.7 178.7 Shaving gels and creams 133.7 131.3 139.0 Infant care and other — — 26.8 Total net sales $ 2,171.7 $ 2,087.3 $ 1,949.7 |
Background and Basis of Prese_3
Background and Basis of Presentation (Details) | Sep. 30, 2022 country |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of countries | 20 |
Number Of Countries with Retail Operations | 50 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Significant Accounting Policies [Line Items] | |||
Foreign currency gain (loss) | $ 7.7 | $ 0.5 | $ 10.5 |
Cash and cash equivalents | 188.7 | 479.2 | |
Software amortization | 4.7 | 4.5 | 5.2 |
Depreciation | $ 55.7 | 60.6 | 66.3 |
Finite-lived intangible assets, remaining amortization period | 8 years | ||
Returns reserve | $ 47.5 | 52.7 | |
Customer advance payments | 1.1 | 0.6 | |
Advertising expense | 125.8 | $ 142.3 | $ 121.2 |
Variable rate debt | |||
Significant Accounting Policies [Line Items] | |||
Variable rate debt outstanding | $ 174 | ||
Share options | |||
Significant Accounting Policies [Line Items] | |||
Vesting period (in years) | 3 years | ||
Minimum | |||
Significant Accounting Policies [Line Items] | |||
Useful life assigned to definite lived trade names | 5 years | ||
Minimum | Capitalized software costs | |||
Significant Accounting Policies [Line Items] | |||
Property, plant and equipment, useful life | 3 years | ||
Minimum | Machinery and equipment | |||
Significant Accounting Policies [Line Items] | |||
Property, plant and equipment, useful life | 2 years | ||
Minimum | Buildings and building improvements | |||
Significant Accounting Policies [Line Items] | |||
Property, plant and equipment, useful life | 3 years | ||
Minimum | RSE awards | |||
Significant Accounting Policies [Line Items] | |||
Vesting period (in years) | 2 years | ||
Maximum | |||
Significant Accounting Policies [Line Items] | |||
Useful life assigned to definite lived trade names | 25 years | ||
Maximum | Capitalized software costs | |||
Significant Accounting Policies [Line Items] | |||
Property, plant and equipment, useful life | 7 years | ||
Maximum | Machinery and equipment | |||
Significant Accounting Policies [Line Items] | |||
Property, plant and equipment, useful life | 10 years | ||
Maximum | Buildings and building improvements | |||
Significant Accounting Policies [Line Items] | |||
Property, plant and equipment, useful life | 30 years | ||
Maximum | RSE awards | |||
Significant Accounting Policies [Line Items] | |||
Vesting period (in years) | 4 years |
Business Combinations and Div_2
Business Combinations and Divestitures (Details) - USD ($) $ in Millions | 12 Months Ended | ||||||
Nov. 29, 2021 | Sep. 02, 2020 | Dec. 17, 2019 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | ||
Business Acquisition [Line Items] | |||||||
Acquisitions, net of cash acquired | $ 309.4 | $ 309.4 | $ 0.3 | $ 233.6 | |||
Goodwill | 1,322.2 | 1,162.8 | 1,159.7 | ||||
Business combinations, pro forma revenue | 2,181.7 | 2,155.3 | |||||
Acquisition integration costs | [1] | 9.9 | 8.4 | 39.8 | |||
Business combinations, pro forma net income | 104.9 | 93.1 | |||||
Pro forma amortization expense | 1.3 | 8.9 | |||||
Pro forma acquisition costs | 9.9 | ||||||
Gain on sale of Infant and Pet Care business | 0 | 0 | 4.1 | ||||
Cremo | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill | $ 128 | ||||||
Other intangible assets | $ 95.1 | ||||||
Weighted average useful life of intangible assets acquired | 17 years | ||||||
Business combinations, net assets acquired | $ 234.6 | ||||||
Business combinations, working capital and other net assets | 11.5 | ||||||
Cash | $ 0.7 | ||||||
Billie | |||||||
Business Acquisition [Line Items] | |||||||
Current assets acquired | 17 | ||||||
Goodwill | 181.2 | ||||||
Other intangible assets | 136 | ||||||
Property, plant and equipment | 3.2 | ||||||
Liabilities assumed | (6.9) | ||||||
Deferred tax liability acquired | (21.1) | ||||||
Business combination, net assets assumed | $ 309.4 | ||||||
Weighted average useful life of intangible assets acquired | 19 years | ||||||
Business combinations, pro forma revenue | 93.7 | ||||||
Business combination, earnings post acquisition | (1.1) | ||||||
Selling, general and administrative expense | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition integration costs | 9.1 | 7.1 | 39.2 | ||||
Selling, general and administrative expense | Cremo | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition integration costs | 7.1 | 7 | |||||
Cost of products sold | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition integration costs | 0.8 | 1.3 | 0.6 | ||||
Cost of products sold | Cremo | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition integration costs | $ 1.3 | $ 0.6 | |||||
Infant and Pet Care | Disposal | |||||||
Business Acquisition [Line Items] | |||||||
Divestiture, sale price | $ 122.5 | ||||||
Infant inventory sold | 18.8 | ||||||
Infant PPE sold | 3.6 | ||||||
Infant goodwill and intangibles sold | $ 77.8 | ||||||
Gain on sale of Infant and Pet Care business | $ (4.1) | ||||||
[1]Includes SG&A of $9.1, $7.1, and $39.2 for fiscal 2022, 2021, and 2020, respectively, related to integration expenses associated with acquisitions and Cost of products sold of $0.8, $1.3, and $0.6 related to the valuation of acquired inventory for fiscal 2022, 2021, and 2020 respectively. |
Restructuring Charges (Narrativ
Restructuring Charges (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related costs | $ 16.2 | $ 30.1 | $ 38.1 |
Project Fuel | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charges incurred to date | 163.7 | ||
FY23 Restructuring outlook | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs | 18 | ||
Obsolescence | Cost of products sold | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related costs | 0.6 | 0.2 | |
IT enablement | Selling, general and administrative expense | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related costs | $ 0.9 | $ 8.7 | $ 13.3 |
Restructuring Charges (Schedule
Restructuring Charges (Schedule of Restructuring and Related Costs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Restructuring Cost and Reserve [Line Items] | |||
Severance Costs | $ 5.6 | $ 9.4 | $ 8.1 |
Accelerated depreciation | 0.8 | 1.1 | 1.7 |
Consulting, project implementation and management and other exit costs | 9.8 | 19.6 | 28.3 |
Restructuring and related costs | 16.2 | 30.1 | 38.1 |
Project Fuel | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charges incurred to date | 163.7 | ||
Wet Shave | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance Costs | 1.5 | 0.2 | |
Accelerated depreciation | 1.1 | 1.7 | |
Consulting, project implementation and management and other exit costs | 2.7 | 9.5 | |
Restructuring and related costs | 5.3 | 11.4 | |
Sun and Skin Care | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance Costs | 0.1 | 0.3 | |
Accelerated depreciation | 0 | 0 | |
Consulting, project implementation and management and other exit costs | 0.2 | 0.8 | |
Restructuring and related costs | 0.3 | 1.1 | |
Feminine Care | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance Costs | 0 | 0 | |
Accelerated depreciation | 0 | 0 | |
Consulting, project implementation and management and other exit costs | 0.3 | 0.4 | |
Restructuring and related costs | 0.3 | 0.4 | |
Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance Costs | 7.8 | 7.6 | |
Accelerated depreciation | 0 | 0 | |
Consulting, project implementation and management and other exit costs | 16.4 | 17.6 | |
Restructuring and related costs | 24.2 | 25.2 | |
Selling, general and administrative expense | IT enablement | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related costs | $ 0.9 | 8.7 | 13.3 |
Cost of products sold | Obsolescence | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related costs | $ 0.6 | $ 0.2 |
Restructuring Charges (Schedu_2
Restructuring Charges (Schedule of Restructuring Activities and Related Accruals) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Restructuring Reserve [Roll Forward] | ||
Restructuring reserve | $ 5.5 | $ 5.4 |
Restructuring charges, charge to income | 16.2 | 30.1 |
Other related costs | 0 | 0 |
Utilized - cash payments | (18.4) | (28.9) |
Utilized - non cash | (0.8) | (1.1) |
Restructuring reserve | 2.5 | 5.5 |
Severance and related benefit costs | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring reserve | 1.9 | 4.3 |
Restructuring charges, charge to income | 5.6 | 9.4 |
Other related costs | 0 | 0 |
Utilized - cash payments | (5.8) | (11.8) |
Utilized - non cash | 0 | 0 |
Restructuring reserve | 1.7 | 1.9 |
Asset impairment and accelerated depreciation | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring reserve | 0 | 0 |
Restructuring charges, charge to income | 0.8 | 1.1 |
Other related costs | 0 | 0 |
Utilized - cash payments | 0 | 0 |
Utilized - non cash | (0.8) | (1.1) |
Restructuring reserve | 0 | 0 |
Other exit costs | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring reserve | 3.6 | 1.1 |
Restructuring charges, charge to income | 9.8 | 19.6 |
Other related costs | 0 | 0 |
Utilized - cash payments | (12.6) | (17.1) |
Utilized - non cash | 0 | 0 |
Restructuring reserve | $ 0.8 | $ 3.6 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) $ in Millions | Sep. 30, 2022 USD ($) country | Sep. 30, 2021 USD ($) |
Income Tax Disclosure [Abstract] | ||
Foreign subsidiary earnings, indefinitely invested | $ 850 | |
Unrecognized tax benefits that would impact effective tax rate | 17.2 | |
Unrecognized tax benefits, interest accrued | 4.1 | $ 4.3 |
Unrecognized tax benefits, deferred tax asset excluded from interest accrued | $ 0.7 | $ 0.7 |
Number of foreign jurisdictions | country | 30 |
Income Taxes (Schedule of Provi
Income Taxes (Schedule of Provisions for Income Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Currently payable: | |||
Currently payable, United States - Federal | $ 12.2 | $ (3.1) | $ 1.2 |
Currently payable, State | 6.6 | (0.1) | 2.3 |
Currently payable, Foreign | 19.4 | 22.6 | 19.1 |
Currently payable, Total | 38.2 | 19.4 | 22.6 |
Deferred: | |||
Deferred, United States - Federal | (7.6) | 7.9 | (2.8) |
Deferred, State | (0.6) | 0.3 | 0.5 |
Deferred, Foreign | (5.6) | 1.4 | (0.6) |
Deferred, Total | (13.8) | 9.6 | (2.9) |
Income tax provision (benefit) | $ 24.4 | $ 29 | $ 19.7 |
Income Taxes (Schedule of Sourc
Income Taxes (Schedule of Source of Pre-Tax Earnings) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |||
Earnings (loss) from continuing operations before income taxes, domestic | $ 1.5 | $ (11.5) | $ (27.4) |
Earnings (loss) from continuing operations before income taxes, foreign | 121.5 | 157.5 | 114.7 |
Earnings (loss) before income taxes | $ 123 | $ 146 | $ 87.3 |
Income Taxes (Schedule of Recon
Income Taxes (Schedule of Reconciliation of Income Taxes at Statutory Rate) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Computed tax a federal statutory rate, amount | $ 25.8 | $ 30.7 | $ 18.3 |
State income taxes, net of federal tax benefit, amount | 2.7 | 0.8 | 1 |
Foreign tax less than the federal rate, amount | (11.7) | (9) | (5.6) |
Adjustments to prior years' tax accruals | 1.6 | (4.3) | (0.5) |
Other taxes including repatriation of foreign earnings, amount | 4.6 | 8.9 | 8.2 |
Other adjustments, amount | 3.9 | 2.7 | 1.1 |
Uncertain tax position | (2.5) | (0.8) | (4.4) |
Sale of Infant and Pet Care business | 0 | 0 | 1.6 |
Income tax provision (benefit) | $ 24.4 | $ 29 | $ 19.7 |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Computed tax at federal statutory rate, percent | 21% | 21% | 21% |
State income taxes, net of federal tax benefit, percent | 2.20% | 0.60% | 1.10% |
Foreign tax less than the federal rate, perecent | (9.50%) | (6.20%) | (6.40%) |
Adjustments to prior years' tax accruals, percent | 1.30% | (2.90%) | (0.50%) |
Other taxes including repatriation of foreign earnings, percent | 3.70% | 6.10% | 9.40% |
Other, net, percent | 3.20% | 1.80% | 1.30% |
Uncertain tax position, percent | (2.00%) | (0.60%) | (5.10%) |
Sale of Infant and Pet care business, percent | 0% | 0% | 1.80% |
Total, percent | 19.90% | 19.80% | 22.60% |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Deferred Tax Liabilities) (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 |
Components of Deferred Tax Liabilities [Abstract] | ||
Property, plant and equipment | $ (22.8) | $ (26.6) |
Intangibles | (229.4) | (192.5) |
Leasing assets | 13 | 14.9 |
Other tax liabilities | (3.9) | (9.4) |
Gross deferred tax liabilities | (269.1) | (243.4) |
Components of Deferred Tax Assets [Abstract] | ||
Accrued liabilities | 55.8 | 52.8 |
Deferred and share-based compensation | 13.7 | 15.4 |
Tax loss carryforwards and tax credits | 26 | 8.2 |
Postretirement benefits other than pensions | 1.1 | 1.5 |
Pension plans | 24 | 40.2 |
Inventory differences | 5.8 | 3.2 |
Lease liability | 13.1 | 15 |
Deferred revenue | 9.7 | 0 |
Other tax assets | 8.1 | 8.5 |
Gross deferred tax assets | 157.3 | 144.8 |
Valuation allowance | (10.3) | (9.4) |
Net deferred tax liabilities | $ (122.1) | $ (108) |
Income Taxes (Schedule of Unrec
Income Taxes (Schedule of Unrecognized Tax Benefits Activity) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Unrecognized Tax Benefits [Rollforward] | |||
Unrecognized tax benefits, beginning of year | $ 21 | $ 21.8 | $ 25.5 |
Additions based on current year tax positions and acquisitions | 1.8 | 1.7 | 1.8 |
Reductions for prior year tax positions and dispositions | 0 | 0 | (1.7) |
Settlements with taxing authorities and statute expirations | (4.6) | (2.5) | (3.8) |
Unrecognized tax benefits, end of year | $ 18.2 | $ 21 | $ 21.8 |
Earnings per Share (Narrative)
Earnings per Share (Narrative) (Details) - shares shares in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Share options | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive awards excluded from the calculation of diluted weighted-average shares outstanding (in shares) | 1 | 0.9 | 0.7 |
RSE awards | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive awards excluded from the calculation of diluted weighted-average shares outstanding (in shares) | 0.2 | 0 | 0.1 |
Earnings per Share (Schedule of
Earnings per Share (Schedule of Weighted-Average Shares Outstanding) (Details) - shares shares in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Schedule Of Weighted Average Number Of Shares [Line Items] | |||
Basic weighted-average shares outstanding (in shares) | 53.1 | 54.4 | 54.3 |
Effect of dilutive securities (in shares) | 0.5 | 0.8 | 0.3 |
Diluted weighted-average shares outstanding (in shares) | 53.6 | 55.2 | 54.6 |
RSE awards | |||
Schedule Of Weighted Average Number Of Shares [Line Items] | |||
Anti-dilutive awards excluded from the calculation of diluted weighted-average shares outstanding (in shares) | 0.2 | 0 | 0.1 |
RSE awards | |||
Schedule Of Weighted Average Number Of Shares [Line Items] | |||
Effect of dilutive securities (in shares) | 0.5 | 0.8 | 0.3 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets (Schedule of Goodwill) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Goodwill [Line Items] | |||
Goodwill, gross | $ 1,693.2 | $ 1,533.8 | $ 1,530.7 |
Goodwill, accumulated impairment loss | (371) | (371) | (371) |
Goodwill [Roll Forward] | |||
Net balance at October 1, 2021 | 1,162.8 | 1,159.7 | |
Goodwill cremo acquisition | 181.2 | 0.3 | |
Cumulative translation adjustment | (21.8) | 2.8 | |
Net balance at September 30, 2022 | 1,322.2 | 1,162.8 | |
Wet Shave | |||
Goodwill [Line Items] | |||
Goodwill, gross | 1,133.5 | 967.5 | 967.2 |
Goodwill, accumulated impairment loss | (369) | (369) | (369) |
Goodwill [Roll Forward] | |||
Net balance at October 1, 2021 | 598.5 | 598.2 | |
Goodwill cremo acquisition | 181.2 | ||
Cumulative translation adjustment | (15.2) | 0.3 | |
Net balance at September 30, 2022 | 764.5 | 598.5 | |
Sun and Skin Care | |||
Goodwill [Line Items] | |||
Goodwill, gross | 354.5 | 357.6 | 356.8 |
Goodwill, accumulated impairment loss | (2) | (2) | (2) |
Goodwill [Roll Forward] | |||
Net balance at October 1, 2021 | 355.6 | 354.8 | |
Goodwill cremo acquisition | 0 | 0.3 | |
Cumulative translation adjustment | (3.1) | 0.5 | |
Net balance at September 30, 2022 | 352.5 | 355.6 | |
Feminine Care | |||
Goodwill [Line Items] | |||
Goodwill, gross | 205.2 | 208.7 | 206.7 |
Goodwill, accumulated impairment loss | 0 | 0 | $ 0 |
Goodwill [Roll Forward] | |||
Net balance at October 1, 2021 | 208.7 | 206.7 | |
Goodwill cremo acquisition | 0 | ||
Cumulative translation adjustment | (3.5) | 2 | |
Net balance at September 30, 2022 | $ 205.2 | $ 208.7 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets (Schedule of Amortizable Intangible Assets) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Finite-Lived Intangible Assets [Line Items] | |||
Amortizable intangible assets, gross carrying amount | $ 684.3 | $ 556.5 | |
Amortizable intangible assets, accumulated amortization | 274.7 | 250.9 | |
Amortizable intangible assets, net | 409.5 | 305.6 | |
Amortization of intangibles | 29.4 | 22 | $ 17.3 |
Amortizable intangible assets, amortization expense, next 12 months | 30.6 | ||
Amortizable intangible assets, amortization expense, year two | 30.5 | ||
Amortizable intangible assets, amortization expense, year 3 | 30.5 | ||
Amortizable intangible assets, amortization expense, year 4 | 30.3 | ||
Amortizable intangible assets, amortization expense, year 5 | 30.3 | ||
Amortizable intangible assets, amortization expense, thereafter | 257.3 | ||
Indefinite-lived intangible assets | 587.1 | 600.8 | |
Trade names and brands | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortizable intangible assets, gross carrying amount | 339.4 | 256.2 | |
Amortizable intangible assets, accumulated amortization | 72.2 | 57.7 | |
Amortizable intangible assets, net | 267.2 | 198.5 | |
Technology and patents | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortizable intangible assets, gross carrying amount | 77.8 | 79.1 | |
Amortizable intangible assets, accumulated amortization | 75 | 75.8 | |
Amortizable intangible assets, net | 2.8 | 3.3 | |
Customer related and other | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortizable intangible assets, gross carrying amount | 267.1 | 221.2 | |
Amortizable intangible assets, accumulated amortization | 127.5 | 117.4 | |
Amortizable intangible assets, net | $ 139.6 | $ 103.8 |
Leases (Summary of Lease Inform
Leases (Summary of Lease Information) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | ||
Lessee, Lease, Description [Line Items] | ||||
Lease right-of-use asset | $ 50.1 | $ 57.7 | ||
Right of use asset - financial statement location | Other assets | Other assets | ||
Short term lease obligation | $ 8.8 | $ 11 | ||
Long term lease obligation | 41.5 | 46.9 | ||
Lease liability | $ 50.3 | $ 57.9 | ||
Leases, weighted average remaining term (years) | 10 years | 10 years | ||
Leases, weighted average incremental borrowing rate (percent) | 6.60% | 6.30% | ||
Lease expense | [1] | $ 13.5 | $ 14.4 | $ 13.9 |
Leased assets obtained in exchange for new lease liabilities | 7.6 | 28 | 1.9 | |
Cash paid for amounts included in the measurement of lease liabilities | $ 13.5 | $ 14.3 | $ 13.4 | |
[1]Lease expense is included in Cost of products sold or SG&A expense based on the nature of the lease. Short-term lease expense is excluded from this amount and is not material. |
Leases (Summary of Lease Liabil
Leases (Summary of Lease Liability Maturities) (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 |
Lessee, Lease, Description [Line Items] | ||
Lease liability payments due next twelve months | $ 10.8 | |
Lease liability payments due year two | 9.2 | |
Lease liability payments due year three | 8.7 | |
Lease liability payments due year four | 7.4 | |
Lease liability payments due year five | 5.7 | |
Lease liability payments due year after year five | 35 | |
Lease liability payments due total | 76.8 | |
Lease liability, imputed interest | (26.5) | |
Lease liability | $ 50.3 | $ 57.9 |
Accounts Receivable Facility (D
Accounts Receivable Facility (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Feb. 07, 2022 | |
Transfer of Financial Assets Accounted for as Sales [Line Items] | |||
Transfer of accounts receivable, max per agreement | $ 150 | $ 180 | |
Accounts Receivable Sales Agreement | |||
Transfer of Financial Assets Accounted for as Sales [Line Items] | |||
Transfer of accounts receivable, sold to date | $ 1,046.8 | 929.9 | |
Transfer of accounts receivable, sales amount derecognized | 78.7 | 91.1 | |
Loss on sale of accounts receivable | $ 2 | $ 0.9 |
Debt (Details)
Debt (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | Mar. 08, 2021 | ||
Debt Instrument [Line Items] | |||||
Total long-term debt, including current maturities | $ 1,405 | $ 1,250 | |||
Current maturities of long-term debt | 0 | 0 | |||
Long-term debt | 1,391.4 | 1,234.2 | |||
Notes payable | $ 19 | $ 26.5 | |||
Notes payable, weighted-average interest rate | 3.90% | 3.90% | |||
Cost of early retirement of long-term debt | $ 0 | $ 26.1 | $ 26.2 | ||
Premium for extinguishment on debt | 25.5 | ||||
Senior notes | |||||
Debt Instrument [Line Items] | |||||
Write off of deferred debt issuance cost | $ 0.6 | ||||
Senior notes | Senior notes due 2022 | |||||
Debt Instrument [Line Items] | |||||
Total long-term debt, including current maturities | $ 500 | ||||
Debt, stated interest rate | 4.70% | ||||
Senior notes | Senior notes due 2028 | |||||
Debt Instrument [Line Items] | |||||
Total long-term debt, including current maturities | [1] | 750 | $ 750 | ||
Unamortized debt issuance costs | 8.3 | 9.8 | |||
Senior notes | Senior Notes, Due 2029 | |||||
Debt Instrument [Line Items] | |||||
Total long-term debt, including current maturities | [1] | 500 | 500 | ||
Unamortized debt issuance costs | 5.3 | $ 6 | $ 6.5 | ||
Debt, stated interest rate | 4.125% | ||||
Domestic line of credit | Revolving line of credit due 2025 | |||||
Debt Instrument [Line Items] | |||||
Total long-term debt, including current maturities | [2] | 155 | $ 0 | ||
Loans payable | |||||
Debt Instrument [Line Items] | |||||
Unamortized discount and debt issuance costs | [1] | $ 13.6 | $ 15.8 | ||
[1]At September 30, 2022, the balance for the Senior Notes due 2028 and the Senior Notes due 2029 are reflected net of debt issuance costs of $8.3 and $5.3, respectively. At September 30, 2021, the balance for the Senior Notes due 2028 and the Senior Notes due 2029 are reflected net of debt issuance costs of $9.8 and $6.0, respectively.[2]The U.S. revolving credit facility matures in 2025. |
Retirement Plans (Narrative) (D
Retirement Plans (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Accumulated benefit obligation, pension plans | $ 433 | $ 603 | |
Defined contribution plan, company match percentage | 100% | ||
Defined contribution plan, company match, percentage of employees pay | 6% | ||
Defined contribution plan, cost recognized | $ 10.4 | $ 10.4 | $ 9.9 |
Expected defined benefit plan contributions, fiscal 2024 | 8.7 | ||
Expected defined benefit plan contributions, fiscal 2025 | 7 | ||
Expected defined benefit plan contributions, fiscal 2026 | 10.1 | ||
Expected defined benefit plan contributions, fiscal 2027 | $ 8.8 | ||
Equity securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Broad target allocations | 38% | ||
Debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Broad target allocations | 62% | ||
Common stock | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined contribution plan, amount of employer securities included in plan assets | $ 0 | ||
United States | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percent of total pension plan assets - U.S. | 70% |
Retirement Plans (Schedule of B
Retirement Plans (Schedule of Benefit Obligations, Plan Assets and Funded Status of the Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Change in plan assets | |||
Estimated fair value of plan assets at beginning of year | $ 570.5 | ||
Estimated fair value of plan assets at end of year | 398.2 | $ 570.5 | |
Pension plan | |||
Change in projected benefit obligation | |||
Benefit obligation at beginning of year | 618.7 | 652.1 | |
Service cost | 3.8 | 4.4 | $ 4.3 |
Interest cost | 10.2 | 9.6 | 13.5 |
Actuarial gain | (141.1) | (14.9) | |
Benefits paid, net | (26.4) | (32) | |
Plan settlements | (4.3) | 0 | |
Expenses paid | 0 | 0 | |
Foreign currency exchange rate changes | (21.5) | (0.5) | |
Projected benefit obligation at end of year | 439.4 | 618.7 | 652.1 |
Change in plan assets | |||
Estimated fair value of plan assets at beginning of year | 570.5 | 538.6 | |
Actual return on plan assets | (121) | 59.7 | |
Company contributions | 0.9 | 4.9 | |
Plan settlements | (4.3) | 0 | |
Benefits paid | (26.4) | (32) | |
Expenses paid | 0 | 0 | |
Foreign currency exchange rate changes | (21.5) | (0.7) | |
Estimated fair value of plan assets at end of year | 398.2 | 570.5 | 538.6 |
Funded status at end of year | (41.2) | (48.2) | |
Postretirement plan | |||
Change in projected benefit obligation | |||
Benefit obligation at beginning of year | 5.5 | 6 | |
Service cost | 0 | 0 | 0 |
Interest cost | 0.2 | 0.2 | 0.3 |
Actuarial gain | (0.9) | (0.8) | |
Benefits paid, net | (0.3) | (0.2) | |
Plan settlements | 0 | 0 | |
Expenses paid | 0 | 0 | |
Foreign currency exchange rate changes | (0.4) | 0.3 | |
Projected benefit obligation at end of year | 4.1 | 5.5 | 6 |
Change in plan assets | |||
Estimated fair value of plan assets at beginning of year | 0 | 0 | |
Actual return on plan assets | 0 | 0 | |
Company contributions | 0.3 | 0.2 | |
Plan settlements | 0 | 0 | |
Benefits paid | (0.3) | (0.2) | |
Expenses paid | 0 | 0 | |
Foreign currency exchange rate changes | 0 | 0 | |
Estimated fair value of plan assets at end of year | 0 | 0 | $ 0 |
Funded status at end of year | $ (4.1) | $ (5.5) |
Retirement Plans (Schedules of
Retirement Plans (Schedules of Amounts Recognized in Consolidated Balance Sheets) (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 |
Amounts recognized in the Consolidated Balance Sheets | ||
Noncurrent liabilities | $ (57.9) | $ (55.4) |
Pension plan | ||
Amounts recognized in the Consolidated Balance Sheets | ||
Noncurrent assets | 12 | 0.8 |
Current liabilities | (0.9) | (0.9) |
Noncurrent liabilities | (52.3) | (48.1) |
Net amount recognized | (41.2) | (48.2) |
Amounts recognized in Accumulated other comprehensive loss | ||
Net loss (gain) | 128.6 | 138.6 |
Prior service credit | 0 | 0 |
Net amount recognized, pre-tax | 128.6 | 138.6 |
Postretirement plan | ||
Amounts recognized in the Consolidated Balance Sheets | ||
Noncurrent assets | 0 | 0 |
Current liabilities | (0.2) | (0.2) |
Noncurrent liabilities | (3.9) | (5.3) |
Net amount recognized | (4.1) | (5.5) |
Amounts recognized in Accumulated other comprehensive loss | ||
Net loss (gain) | (7.4) | (7.4) |
Prior service credit | 0 | 0 |
Net amount recognized, pre-tax | $ (7.4) | $ (7.4) |
Retirement Plans (Schedule of C
Retirement Plans (Schedule of Changes Recognized in Other Comprehensive Income) (Details) $ in Millions | 12 Months Ended |
Sep. 30, 2022 USD ($) | |
Pension plan | |
Amounts recognized in Accumulated other comprehensive loss | |
Net loss (gain) arising during the year | $ 1 |
Effect of exchange rates | (2.8) |
Amortization or curtailment recognition of prior service cost | 0 |
Amortization or settlement recognition of net (loss) gain | (8.2) |
Total recognized in Other comprehensive income | (10) |
Postretirement plan | |
Amounts recognized in Accumulated other comprehensive loss | |
Net loss (gain) arising during the year | (0.9) |
Effect of exchange rates | 0.6 |
Amortization or curtailment recognition of prior service cost | 0 |
Amortization or settlement recognition of net (loss) gain | 0.3 |
Total recognized in Other comprehensive income | $ 0 |
Retirement Plans (Schedule of E
Retirement Plans (Schedule of Expected Future Benefit Payments) (Details) $ in Millions | Sep. 30, 2022 USD ($) |
Pension plan | |
Defined Benefit Plan, Expected Future Benefit Payment [Abstract] | |
Fiscal 2023 | $ 36 |
Fiscal 2024 | 36.5 |
Fiscal 2025 | 34.4 |
Fiscal 2026 | 34.6 |
Fiscal 2027 | 33.5 |
Fiscal 2028 to 2032 | 153.4 |
Postretirement plan | |
Defined Benefit Plan, Expected Future Benefit Payment [Abstract] | |
Fiscal 2023 | 0.2 |
Fiscal 2024 | 0.2 |
Fiscal 2025 | 0.2 |
Fiscal 2026 | 0.2 |
Fiscal 2027 | 0.2 |
Fiscal 2028 to 2032 | $ 1.2 |
Retirement Plans (Schedule of P
Retirement Plans (Schedule of Pension Plans with Accumulated Benefit Obligation in Excess of Plan Assets) (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 |
Defined Benefit Plan, Plan with Accumulated Benefit Obligation in Excess of Plan Assets [Abstract] | ||
Projected benefit obligation | $ 331 | $ 590.1 |
Accumulated benefit obligation | 331 | 575.1 |
Estimated fair value of plan assets | $ 277.8 | $ 541.9 |
Retirement Plans (Schedule of N
Retirement Plans (Schedule of Net Periodic Pension and Postretirement Benefit (Credit) Cost) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||
Settlement loss recognized | [1] | $ 1.8 | $ 0 | |
Pension plan | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||
Service cost | 3.8 | 4.4 | $ 4.3 | |
Interest cost | $ 10.2 | $ 9.6 | $ 13.5 | |
Interest cost - financial statement location | Nonoperating Income (Expense) | Nonoperating Income (Expense) | Nonoperating Income (Expense) | |
Expected return on plan assets | $ (21.1) | $ (22.4) | $ (23.1) | |
Expected return on plan assets - financial statement location | Nonoperating Income (Expense) | Nonoperating Income (Expense) | Nonoperating Income (Expense) | |
Recognized net actuarial loss (gain) | $ 6.4 | $ 9.5 | $ 9.3 | |
Recognized net actuarial loss (gain) - financial statement location | Nonoperating Income (Expense) | Nonoperating Income (Expense) | Nonoperating Income (Expense) | |
Settlement loss recognized | $ (1.8) | $ 0 | $ (0.8) | |
Net periodic benefit cost (credit) | 1.1 | 1.1 | 4.8 | |
Postretirement plan | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||
Service cost | 0 | 0 | 0 | |
Interest cost | $ 0.2 | $ 0.2 | $ 0.3 | |
Interest cost - financial statement location | Nonoperating Income (Expense) | Nonoperating Income (Expense) | Nonoperating Income (Expense) | |
Expected return on plan assets | $ 0 | $ 0 | $ 0 | |
Expected return on plan assets - financial statement location | Nonoperating Income (Expense) | Nonoperating Income (Expense) | Nonoperating Income (Expense) | |
Recognized net actuarial loss (gain) | $ (0.3) | $ (0.3) | $ (0.1) | |
Recognized net actuarial loss (gain) - financial statement location | Nonoperating Income (Expense) | Nonoperating Income (Expense) | Nonoperating Income (Expense) | |
Settlement loss recognized | $ 0 | $ 0 | $ 0 | |
Net periodic benefit cost (credit) | $ (0.1) | $ (0.1) | $ 0.2 | |
[1]Includes pre-tax other (income) expense of $1.8for fiscal 2022 for a pension settlement expenses. |
Retirement Plans (Schedule of A
Retirement Plans (Schedule of Actuarial Assumptions) (Details) | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Pension plan | |||
Plan obligations: | |||
Discount rate | 5.10% | 2.30% | 2.10% |
Compensation increase rate | 2.50% | 2.50% | 2.50% |
Net periodic benefit cost: | |||
Discount rate | 2.30% | 2.10% | 2.50% |
Expected long-term rate of return on plan assets | 4.20% | 4.50% | 4.80% |
Compensation increase rate | 2.50% | 2.50% | 2.50% |
Cash balance interest credit rate | 3.30% | 1.90% | 1.30% |
Postretirement plan | |||
Plan obligations: | |||
Discount rate | 5.10% | 3.50% | 2.80% |
Net periodic benefit cost: | |||
Discount rate | 3.50% | 2.80% | 3% |
Compensation increase rate | 4% |
Retirement Plans (Schedule of F
Retirement Plans (Schedule of Fair Value of Plan Assets) (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 |
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Amount | $ 398.2 | $ 570.5 |
Fair value of plan assets, excluding investments valued at NAV | 353.6 | 495.9 |
Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Amount | 180.3 | 259.3 |
Fair value of plan assets, excluding investments valued at NAV | 180.3 | 259.3 |
Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Amount | 173.3 | 236.6 |
Fair value of plan assets, excluding investments valued at NAV | 173.3 | 236.6 |
Fair value measured at net asset value per share | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Amount | 44.6 | 74.6 |
US Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 49.1 | 84.5 |
US Equity securities | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 49.1 | 84.5 |
US Equity securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 0 | 0 |
US Equity securities | Fair value measured at net asset value per share | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Amount | 11.4 | 18 |
Non-US equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 50.1 | 76 |
Non-US equity securities | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 50.1 | 76 |
Non-US equity securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 0 | 0 |
Non-US equity securities | Fair value measured at net asset value per share | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Amount | 33.2 | 56.6 |
US government securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 173.3 | 236.5 |
US government securities | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 0 | 0 |
US government securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 173.3 | 236.5 |
Other government | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 0 | 0 |
Other government | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 0 | 0 |
Other government | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 0 | 0 |
Corporate | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 47.4 | 66 |
Corporate | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 47.4 | 66 |
Corporate | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 0 | 0 |
Cash and cash equivalents | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 19.9 | 14.4 |
Cash and cash equivalents | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 19.9 | 14.4 |
Cash and cash equivalents | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 0 | 0 |
Other plan assets | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 13.8 | 18.5 |
Other plan assets | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | 13.8 | 18.4 |
Other plan assets | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Amount | $ 0 | $ 0.1 |
Retirement Plans (Schedule of_2
Retirement Plans (Schedule of Fair Value of Plan Assets Measured at NAV) (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 |
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | $ 398.2 | $ 570.5 |
Fair value measured at net asset value per share | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 44.6 | 74.6 |
US Equity securities | Fair value measured at net asset value per share | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 11.4 | 18 |
Non-US equity securities | Fair value measured at net asset value per share | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | $ 33.2 | $ 56.6 |
Share-Based Payments (Narrative
Share-Based Payments (Narrative) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum number of shares authorized for issuance (in shares) | 14.9 | ||
Shares available for future awards (in shares) | 2.6 | ||
Share-based compensation expense | $ 23.9 | $ 27.3 | $ 19.2 |
Tax benefit recognized for share-based compensation arrangements | $ 5.7 | $ 6.6 | $ 4.6 |
Share options granted (in shares) | 0.3 | ||
RSE awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Anti-dilutive awards excluded from the calculation of diluted weighted-average shares outstanding (in shares) | 0.2 | 0 | 0.1 |
Share options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period (in years) | 3 years | ||
Expiration period (in years) | 10 years | ||
Share options granted (in shares) | 0.3 | 0.2 | |
Compensation expense to be recognized over vesting period | $ 4.6 | $ 3.1 | |
Unrecognized compensation expense, share options | $ 4.4 | ||
Unrecognized compensation expense, weighted-average period to recognize (in years) | 1 year 6 months | ||
PSU awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation expense, weighted-average period to recognize (in years) | 2 years 9 months 18 days | ||
Unrecognized compensation expense, RSE awards | $ 7.8 | ||
Weighted-average grant date fair value, granted (in usd per share) | $ 63.75 | $ 56.53 | $ 29.25 |
Estimated fair value of vested awards | $ 12.5 | ||
RSE awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation expense, weighted-average period to recognize (in years) | 2 years 2 months 12 days | ||
Unrecognized compensation expense, RSE awards | $ 24.9 | ||
Weighted-average grant date fair value, granted (in usd per share) | $ 42.49 | $ 35.16 | $ 29.25 |
Estimated fair value of vested awards | $ 15.4 | $ 13.2 | $ 11.5 |
Share-Based Payments (Schedule
Share-Based Payments (Schedule of Share Option Activity) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Outstanding as of October 1, 2021 | 0.9 | |
Granted | 0.3 | |
Canceled | (0.1) | |
Exercised | 0 | |
Weighted-average remaining contractual term, outstanding (in years) | 6 years 7 months 6 days | |
Outstanding as of September 30, 2022 | 1.1 | 0.9 |
Weighted-average remaining contractual term, vested and unvested expected to vest (in years) | 6 years 7 months 6 days | |
Vested and unvested expected to vest as of September 30, 2022 | 1.1 | |
Exercisable as of September 30, 2022 | 0.6 | |
Weighted-average exercise price, outstanding (in usd per share) | $ 54.05 | $ 60.13 |
Weighted-average exercise price, granted (in usd per share) | 42.26 | |
Weighted-average exercise price, canceled (in usd per share) | 74.72 | |
Weighted-average exercise price, exercised (in usd per share) | 34.51 | |
Weighted-average exercise price, vested and unvested expected to vest (in usd per share) | 54.05 | |
Weighted-average exercise price, exercisable (in usd per share) | $ 66.35 | |
Aggregate intrinsic value, outstanding | $ 0 | |
Aggregate intrinsic value, unvested expected to vest | $ 0 |
Share-Based Payments (Schedul_2
Share-Based Payments (Schedule of Share Option Valuation Assumptions) (Details) - $ / shares | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Weighted-average fair value per share option (in usd per share) | $ 14.25 | $ 12.06 |
Share options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected volatility | 39% | 36% |
Risk-free interest rate | 1.33% | 0.57% |
Expected share option life (in years) | 6 years 1 month 6 days | 6 years 3 months 18 days |
Dividend yield | 1.42% | 0% |
Share-Based Payments (Schedul_3
Share-Based Payments (Schedule of Restricted Share Equivalent Award Activity) (Details) - $ / shares shares in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
RSE awards | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Non-vested at October 1, 2021 | 1 | ||
Granted | 0.5 | ||
Vested | (0.4) | ||
Canceled | (0.1) | ||
Non-vested at September 30, 2022 | 1 | 1 | |
Weighted-average grant date fair value, non-vested (in usd per share) | $ 38.09 | $ 34.07 | |
Weighted-average grant date fair value, granted (in usd per share) | 42.49 | $ 35.16 | $ 29.25 |
Weighted-average grant date fair value, vested (in usd per share) | 35.13 | ||
Weighted-average grant date fair value, canceled (in usd per share) | $ 34.48 | ||
PSU awards | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Non-vested at October 1, 2021 | 0.8 | ||
Granted | 0.2 | ||
Vested | (0.3) | ||
Canceled | (0.2) | ||
Non-vested at September 30, 2022 | 0.5 | 0.8 | |
Weighted-average grant date fair value, non-vested (in usd per share) | $ 43.04 | $ 38.45 | |
Weighted-average grant date fair value, granted (in usd per share) | 63.75 | $ 56.53 | $ 29.25 |
Weighted-average grant date fair value, vested (in usd per share) | 42.57 | ||
Weighted-average grant date fair value, canceled (in usd per share) | $ 40.96 | ||
Expected volatility | 48.73% | 48% | |
Risk-free interest rate | 0.85% | 0.22% | |
Expected share option life (in years) | 3 years | 3 years | |
PSU awards | Fiscal 2022 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Weighted-average grant date fair value, granted (in usd per share) | $ 65.90 | ||
Share options | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Expected volatility | 39% | 36% | |
Risk-free interest rate | 1.33% | 0.57% | |
Expected share option life (in years) | 6 years 1 month 6 days | 6 years 3 months 18 days |
Shareholders' Equity (Narrative
Shareholders' Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Equity [Abstract] | |||||||
Common shares, authorized (in shares) | 300,000,000 | 300,000,000 | 300,000,000 | ||||
Shares available for future awards (in shares) | 2,600,000 | 2,600,000 | |||||
Preferred shares, par value (in usd per share) | $ 0.01 | $ 0.01 | $ 0.01 | ||||
Preferred shares, outstanding (in shares) | 0 | 0 | 0 | ||||
Shares withheld for taxes on equity based compensation (in shares) | 300,000 | ||||||
Treasury Stock, Shares, Acquired | 3,300,000 | ||||||
Treasury Stock, Value, Acquired, Cost Method | $ 125.3 | $ 9.2 | |||||
Shares available for repurchase under authorization | 6.5 | ||||||
Common Stock, Dividends, Per Share, Declared | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.15 | |||
Preferred shares, authorized (in shares) | 10,000,000 | 10,000,000 | 10,000,000 | ||||
Dividends declared to common shareholders | $ 32.6 | $ 33.7 | |||||
Dividends paid | $ 32.6 | $ 25.6 | $ 0 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Schedule of Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning Balance | $ (136.9) | $ (191.6) | |
OCI before reclassifications | [1] | (77.5) | 45.8 |
Reclassification to earnings | (1.7) | 8.9 | |
Ending Balance | (216.1) | (136.9) | |
Foreign Currency Translation Adjustments | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning Balance | (41.8) | (47.4) | |
OCI before reclassifications | [1] | (89.4) | 5.6 |
Reclassification to earnings | 0 | 0 | |
Ending Balance | (131.2) | (41.8) | |
Pension and Post-retirement Activity | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning Balance | (97.3) | (142.1) | |
OCI before reclassifications | [1] | (1.2) | 38.1 |
Reclassification to earnings | 5.9 | 6.7 | |
Ending Balance | (92.6) | (97.3) | |
Hedging Activity | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning Balance | 2.2 | (2.1) | |
OCI before reclassifications | [1] | 13.1 | 2.1 |
Reclassification to earnings | (7.6) | 2.2 | |
Ending Balance | $ 7.7 | $ 2.2 | |
[1]OCI is defined as other comprehensive income. |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss (Schedule of Reclassifications out of Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Deferred gain (loss) on hedging activity, net of tax | $ (5.5) | $ (4.3) | $ 3.3 | |
Reclassification to earnings | 1.7 | (8.9) | ||
Reclassification out of Accumulated Other Comprehensive Income | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
OCI gain (loss) on cash flow hedge, reclassification before tax | 11.2 | (3.2) | ||
OCI gain (loss) on cash flow hedge, reclassification, tax | 3.6 | (1) | ||
Deferred gain (loss) on hedging activity, net of tax | 7.6 | (2.2) | ||
Amortization of defined benefit pension and postretirement items, actuarial losses, before tax | [1] | (6.1) | (9.2) | |
Amortization or settlement recognition of net (loss) gain | [1] | (1.8) | 0 | |
Amortization of defined benefit pension and postretirement items, tax | (2) | (2.5) | ||
Amortization of defined benefit pension and postretirement items, after tax | (5.9) | (6.7) | ||
Reclassification to earnings | $ 1.7 | $ (8.9) | ||
[1]These AOCI components are included in the computation of net periodic benefit cost. See Note 12 of Notes to Consolidated Financial Statements. |
Financial Instruments and Ris_3
Financial Instruments and Risk Management (Narrative) (Details) $ in Millions | 12 Months Ended | |||
Sep. 30, 2022 USD ($) contracts | Sep. 30, 2021 USD ($) | Sep. 30, 2020 USD ($) | ||
Derivative [Line Items] | ||||
Total long-term debt, including current maturities | $ 1,405 | $ 1,250 | ||
Variable rate debt | ||||
Derivative [Line Items] | ||||
Variable rate debt outstanding | 174 | |||
Fixed rate debt | ||||
Derivative [Line Items] | ||||
Fair value of long-term debt | 945.9 | $ 1,300.1 | ||
Total long-term debt, including current maturities | $ 1,250 | |||
Customer concentration risk | Wal-Mart | Percentage of Revenue | ||||
Derivative [Line Items] | ||||
Concentration risk, percentage | 22% | |||
Sun and Skin Care | Customer concentration risk | Target | Percentage of Revenue | ||||
Derivative [Line Items] | ||||
Concentration risk, percentage | 11% | |||
Feminine Care | Customer concentration risk | Target | Percentage of Revenue | ||||
Derivative [Line Items] | ||||
Concentration risk, percentage | 11% | |||
Razors and blades | Wet Shave | Product concentration risk | Percentage of Revenue | ||||
Derivative [Line Items] | ||||
Concentration risk, percentage | 51% | 52% | 52% | |
Sun care products | Sun and Skin Care | Product concentration risk | Percentage of Revenue | ||||
Derivative [Line Items] | ||||
Concentration risk, percentage | 19% | 16% | 15% | |
Designated as hedging instrument | Cash flow hedging | FX contract | ||||
Derivative [Line Items] | ||||
Estimated fair value of derivatives | [1] | $ 11.3 | $ 3.3 | |
Open foreign currency contracts (in contracts) | contracts | 64 | |||
Derivative, notional amount | $ 114.8 | |||
Not designated as hedging instrument | FX contract | ||||
Derivative [Line Items] | ||||
Estimated fair value of derivatives | [1] | $ 2 | 0.5 | |
Open foreign currency contracts (in contracts) | contracts | 7 | |||
Derivative, notional amount | $ 65.6 | |||
Change in estimate of fair value of foreign currency contracts | $ 8.2 | $ 2.3 | $ (0.5) | |
[1]All derivative assets are presented in Other current assets or Other assets. All derivative liabilities are presented in Other current liabilities or Other liabilities. |
Financial Instruments and Ris_4
Financial Instruments and Risk Management (Schedule of Fair Values of Derivative Instruments) (Details) - FX contract - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 | |
Not designated as hedging instrument | |||
Derivatives, Fair Value [Line Items] | |||
Estimated fair value of derivatives | [1] | $ 2 | $ 0.5 |
Cash flow hedging | Designated as hedging instrument | |||
Derivatives, Fair Value [Line Items] | |||
Estimated fair value of derivatives | [1] | $ 11.3 | $ 3.3 |
[1]All derivative assets are presented in Other current assets or Other assets. All derivative liabilities are presented in Other current liabilities or Other liabilities. |
Financial Instruments and Ris_5
Financial Instruments and Risk Management (Schedule of Gains and Losses on Derivative Instruments) (Details) - FX contract - USD ($) $ in Millions | 12 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | ||
Designated as hedging instrument | Cash flow hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain recognized in OCI | [1] | $ 19.2 | $ 3.1 | $ (2.7) |
Gain (loss) reclassified from AOCI into income (effective portion) | $ 11.2 | $ (3.2) | $ 2.1 | |
Gain (loss) reclassified from AOCI into income - financial statement location | [1],[2] | Nonoperating Income (Expense) | Nonoperating Income (Expense) | Nonoperating Income (Expense) |
Not designated as hedging instrument | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Change in estimate of fair value of foreign currency contracts | $ 8.2 | $ 2.3 | $ (0.5) | |
Gain (loss) on fair value hedges - financial statement location | [2] | Nonoperating Income (Expense) | Nonoperating Income (Expense) | Nonoperating Income (Expense) |
[1]Each of these derivative instruments had a high correlation to the underlying exposure being hedged for the periods indicated and had been deemed highly effective in offsetting associated risk.[2]ain (loss) was recorded in Other (income) expense, net. |
Financial Instruments and Ris_6
Financial Instruments and Risk Management (Schedule of Offsetting Assets and Liabilities) (Details) - FX contract - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 | |
Derivative [Line Items] | |||
Gross amount of recognized assets | [1] | $ 13.4 | $ 3.9 |
Gross amount of recognized liabilities | [2] | (0.5) | (0.2) |
Gross amounts offset in the balance sheet (assets) | [1] | 0 | (0.1) |
Gross amounts offset in the balance sheet (liabilities) | [2] | 0.4 | 0.1 |
Net amount of assets presented in the balance sheet | [1] | 13.4 | 3.8 |
Net amount of liabilities presented in the balance sheet | [2] | $ (0.1) | $ (0.1) |
[1]All derivative assets are presented in Other current assets or Other assets.[2]All derivative liabilities are presented in Other current liabilities or Other liabilities. |
Financial Instruments and Ris_7
Financial Instruments and Risk Management (Schedule of Fair Value of Assets and Liabilities Measured on a Recurring Basis) (Details) - Level 2 - Recurring fair value measurement - USD ($) $ in Millions | Sep. 30, 2022 | Sep. 30, 2021 |
Derivative [Line Items] | ||
Deferred compensation | $ (21.8) | $ (28.4) |
Net liabilities at estimated fair value | (8.5) | (24.7) |
FX contract | ||
Derivative [Line Items] | ||
Estimated fair value of derivatives | $ 13.3 | $ 3.7 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | ||
Commitments and Contingencies Disclosure [Abstract] | |||
Legal settlement | [1] | $ 7.5 | $ 0 |
SKU rationalization charges | [2] | $ (22.5) | $ 0 |
[1]Includes pre-tax SG&A of $7.5 for fiscal 2022 for a favorable legal settlement.[2]Includes Cost of products sold of $22.5 for fiscal 2022 for the write-off of certain Wet Ones SKUs and related contract termination charges. Wet Ones products are included within the Sun and Skin Care segment. |
Segment and Geographical Data_2
Segment and Geographical Data (Schedule of Segment Disclosures) (Details) - USD ($) | 12 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | ||
Segment Reporting Information [Line Items] | ||||
Net sales | $ 2,171,700,000 | $ 2,087,300,000 | $ 1,949,700,000 | |
Operating income | 181,200,000 | 238,800,000 | 176,000,000 | |
Restructuring and related costs | 16,200,000 | 30,100,000 | 38,100,000 | |
Acquisition integration costs | [1] | 9,900,000 | 8,400,000 | 39,800,000 |
SKU rationalization charges | [2] | (22,500,000) | 0 | |
Sun Care reformulation costs | [3] | 4,600,000 | 1,100,000 | 0 |
Legal settlement | [4] | 7,500,000 | 0 | |
Pension settlement loss | [5] | 1,800,000 | 0 | |
VAT settlement costs | [6] | (3,400,000) | 0 | |
Cost of early retirement of long-term debt | 0 | (26,100,000) | (26,200,000) | |
Covid-19 pandemic expenses | [7] | 0 | 0 | 4,300,000 |
Feminine and Infant Care evaluation costs | [8] | 0 | 0 | 300,000 |
Gain on sale of Infant and Pet Care business | 0 | 0 | 4,100,000 | |
Amortization of intangibles | (29,400,000) | (22,000,000) | (17,300,000) | |
Interest and other expense, net | (56,400,000) | (66,700,000) | (66,600,000) | |
Earnings (loss) before income taxes | 123,000,000 | 146,000,000 | 87,300,000 | |
Depreciation and amortization | 89,900,000 | 87,100,000 | 88,800,000 | |
Total assets | 3,713,100,000 | 3,674,600,000 | ||
Intangible assets, net (including goodwill) | 2,318,800,000 | 2,069,200,000 | ||
Wet Shave | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 1,242,500,000 | 1,215,900,000 | 1,162,300,000 | |
Operating income | 174,000,000 | 221,000,000 | 206,200,000 | |
Restructuring and related costs | 5,300,000 | 11,400,000 | ||
Depreciation and amortization | 36,400,000 | 39,900,000 | 44,800,000 | |
Total assets | 751,400,000 | 713,700,000 | ||
Capital expenditures | 36,100,000 | 36,100,000 | 34,800,000 | |
Sun and Skin Care | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 638,500,000 | 585,300,000 | 462,000,000 | |
Operating income | 108,500,000 | 98,700,000 | 69,100,000 | |
Restructuring and related costs | 300,000 | 1,100,000 | ||
Depreciation and amortization | 15,400,000 | 15,600,000 | 13,800,000 | |
Total assets | 276,800,000 | 256,300,000 | ||
Capital expenditures | 12,400,000 | 12,200,000 | 7,100,000 | |
Feminine Care | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 290,700,000 | 286,100,000 | 298,600,000 | |
Operating income | 31,200,000 | 37,200,000 | 52,300,000 | |
Restructuring and related costs | 300,000 | 400,000 | ||
Depreciation and amortization | 8,700,000 | 9,600,000 | 11,900,000 | |
Total assets | 159,100,000 | 137,100,000 | ||
Capital expenditures | 7,900,000 | 8,500,000 | 5,000,000 | |
All Other | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 0 | 0 | 26,800,000 | |
Operating income | 0 | 0 | 3,100,000 | |
Depreciation and amortization | 0 | 0 | 1,000,000 | |
Capital expenditures | 0 | 0 | 800,000 | |
Operating segments | ||||
Segment Reporting Information [Line Items] | ||||
Operating income | 313,700,000 | 356,900,000 | 330,700,000 | |
Depreciation and amortization | 60,500,000 | 65,100,000 | 71,500,000 | |
Total assets | 1,187,300,000 | 1,107,100,000 | ||
Capital expenditures | 56,400,000 | 56,800,000 | 47,700,000 | |
Corporate | ||||
Segment Reporting Information [Line Items] | ||||
General corporate and other expenses | (54,000,000) | (56,500,000) | (54,900,000) | |
Restructuring and related costs | 24,200,000 | 25,200,000 | ||
Depreciation and amortization | 29,400,000 | 22,000,000 | 17,300,000 | |
Total assets | [9] | 207,000,000 | 498,300,000 | |
Cost of products sold | ||||
Segment Reporting Information [Line Items] | ||||
Acquisition integration costs | 800,000 | 1,300,000 | 600,000 | |
Sun Care reformulation costs | 3,500,000 | 1,100,000 | ||
Continuing operations | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization | 89,900,000 | 87,100,000 | 88,800,000 | |
Selling, general and administrative expense | ||||
Segment Reporting Information [Line Items] | ||||
Acquisition integration costs | 9,100,000 | $ 7,100,000 | $ 39,200,000 | |
R&D | ||||
Segment Reporting Information [Line Items] | ||||
Sun Care reformulation costs | $ 1,100,000 | |||
[1]Includes SG&A of $9.1, $7.1, and $39.2 for fiscal 2022, 2021, and 2020, respectively, related to integration expenses associated with acquisitions and Cost of products sold of $0.8, $1.3, and $0.6 related to the valuation of acquired inventory for fiscal 2022, 2021, and 2020 respectively.[2]Includes Cost of products sold of $22.5 for fiscal 2022 for the write-off of certain Wet Ones SKUs and related contract termination charges. Wet Ones products are included within the Sun and Skin Care segment.[3]Includes pre-tax R&D of $1.1 for fiscal 2022 and pre-tax COGS of $3.5 and $1.1 for fiscal 2022 and fiscal 2021, respectively, related to the reformulation, recall, and destruction of certain Sun Care products.[4]Includes pre-tax SG&A of $7.5 for fiscal 2022 for a favorable legal settlement.[5]Includes pre-tax other (income) expense of $1.8for fiscal 2022 for a pension settlement expenses.[6]Includes pre-tax SG&A of $3.4 for the fiscal 2022 related to the estimated settlement of prior years’ value-added tax audits in Germany.[7]Includes pre-tax Cost of products sold of $4.3 for fiscal 2020, which included incremental costs incurred by the Company related to higher benefit and emergency payments, supplies and freight.[8]Includes pre-tax SG&A of $0.3 for fiscal 2020 associated with consulting costs incurred in connection with the evaluation of our Feminine Care and Infant Care segments.[9]Corporate assets include all cash and cash equivalents, financial instruments and deferred tax assets that are managed outside of operating segments. |
Segment and Geographical Data_3
Segment and Geographical Data (Schedule of Geographical Segment Information) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | $ 2,171.7 | $ 2,087.3 | $ 1,949.7 |
Long-Lived Assets | 366.1 | 362.6 | |
Property, plant and equipment, net | 345.5 | 362.6 | |
United States | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 1,306.5 | 1,183.6 | 1,082.8 |
Long-Lived Assets | 239.3 | 244.6 | |
International | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 865.2 | 903.7 | $ 866.9 |
Germany | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Long-Lived Assets | 61.1 | 51.9 | |
Other International | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Long-Lived Assets | $ 65.7 | $ 66.1 |
Segment and Geographical Data_4
Segment and Geographical Data (Schedule of Supplemental Product Information) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Revenue from External Customer [Line Items] | |||
Net sales | $ 2,171.7 | $ 2,087.3 | $ 1,949.7 |
Razors and blades | |||
Revenue from External Customer [Line Items] | |||
Net sales | 1,108.8 | 1,084.6 | 1,023.3 |
Tampons, pads and liners | |||
Revenue from External Customer [Line Items] | |||
Net sales | 290.7 | 286.1 | 298.6 |
Sun care products | |||
Revenue from External Customer [Line Items] | |||
Net sales | 401.8 | 333.6 | 283.3 |
Infant care and other products | |||
Revenue from External Customer [Line Items] | |||
Net sales | 0 | 0 | 26.8 |
Shaving gels and creams | |||
Revenue from External Customer [Line Items] | |||
Net sales | 133.7 | 131.3 | 139 |
Skin care products | |||
Revenue from External Customer [Line Items] | |||
Net sales | $ 236.7 | $ 251.7 | $ 178.7 |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Allowance for doubtful accounts | |||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at beginning of year | $ 6.9 | $ 8.2 | $ 5.6 |
Provision charged to expense, net of reversals | (2.9) | (0.7) | 3.7 |
Write-offs, less recoveries, translation, other | (0.3) | (0.6) | (1.4) |
Allowance for acquired receivables | 0.2 | 0 | 0.3 |
Balance at end of year | 3.9 | 6.9 | 8.2 |
Income tax valuation allowance | |||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at beginning of year | 9.4 | 8.5 | 7.2 |
Provision charged to expense, net of reversals | (0.7) | (1) | (1.4) |
Write-offs, less recoveries, translation, other | (0.2) | 0.1 | 0.1 |
Balance at end of year | $ 10.3 | $ 9.4 | $ 8.5 |