Cover Page
Cover Page - shares | 3 Months Ended | |
Jul. 05, 2020 | Aug. 07, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jul. 5, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-32253 | |
Entity Registrant Name | EnerSys | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 23-3058564 | |
Entity Address, Address Line One | 2366 Bernville Road | |
Entity Address, City or Town | Reading | |
Entity Address, State or Province | PA | |
Entity Address, Postal Zip Code | 19605 | |
City Area Code | 610 | |
Local Phone Number | 208-1991 | |
Title of 12(b) Security | Common Stock, $0.01 par value per share | |
Trading Symbol | ENS | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 42,477,388 | |
Entity Central Index Key | 0001289308 | |
Current Fiscal Year End Date | --03-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
Consolidated Condensed Statemen
Consolidated Condensed Statements of Income - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
Net sales | $ 704,924 | $ 780,230 |
Cost of goods sold | 529,947 | 578,718 |
Gross profit | 174,977 | 201,512 |
Operating expenses | 120,370 | 130,804 |
Restructuring and other exit charges | 1,387 | 2,372 |
Operating earnings | 53,220 | 68,336 |
Interest expense | 10,165 | 10,898 |
Other (income) expense, net | 1,462 | (1,152) |
Earnings before income taxes | 41,593 | 58,590 |
Income tax expense | 6,410 | 9,954 |
Net earnings | $ 35,183 | 48,636 |
Net earnings attributable to EnerSys stockholders | $ 48,636 | |
Net earnings per common share attributable to EnerSys stockholders: | ||
Basic earnings per common share attributable to EnerSys stockholders (in dollars per share) | $ 0.83 | $ 1.14 |
Diluted earnings per common share attributable to EnerSys stockholders (in dollars per share) | 0.82 | 1.13 |
Dividends per common share (in dollars per share) | $ 0.175 | $ 0.175 |
Weighted average shares of common stock outstanding: | ||
Basic weighted-average number of common shares outstanding (in shares) | 42,385,888 | 42,656,339 |
Diluted weighted-average number of common shares outstanding (in shares) | 42,932,054 | 43,118,434 |
Consolidated Condensed Balance
Consolidated Condensed Balance Sheets - USD ($) $ in Thousands | Jul. 05, 2020 | Mar. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 384,379 | $ 326,979 |
Accounts receivable, net of allowance for doubtful accounts: July 05, 2020 - $13,229; March 31, 2020 - $15,246 | 509,006 | 595,873 |
Total | 510,598 | 519,460 |
Prepaid and other current assets | 120,956 | 120,593 |
Total current assets | 1,524,939 | 1,562,905 |
Property, plant, and equipment, net | 493,173 | 480,014 |
Goodwill | 676,667 | 663,936 |
Other intangible assets, net | 450,606 | 455,685 |
Deferred taxes | 55,631 | 55,803 |
Other assets | 83,722 | 83,355 |
Total assets | 3,284,738 | 3,301,698 |
Current liabilities: | ||
Short-term debt | 46,762 | 46,544 |
Accounts payable | 242,955 | 281,873 |
Accrued expenses | 253,564 | 271,902 |
Total current liabilities | 543,281 | 600,319 |
Long-term debt, net of unamortized debt issuance costs | 1,080,512 | 1,104,731 |
Deferred taxes | 78,640 | 78,363 |
Other liabilities | 217,132 | 214,223 |
Total liabilities | 1,919,565 | 1,997,636 |
Commitments and contingencies | ||
Equity: | ||
Preferred Stock, $0.01 par value, 1,000,000 shares authorized, no shares issued or outstanding at July 5, 2020 and at March 31, 2020 | 0 | 0 |
Common Stock, 0.01 par value per share, 135,000,000 shares authorized, 55,251,879 shares issued and 42,465,194 shares outstanding at July 05, 2020; 55,114,808 shares issued and 42,323,305 shares outstanding at March 31, 2020 | 553 | 551 |
Additional paid-in capital | 531,546 | 529,100 |
Treasury stock at cost, 12,786,685 shares held as of July 05, 2020 and 12,791,503 shares held as of March 31, 2020 | (564,077) | (564,376) |
Retained earnings | 1,584,563 | 1,556,980 |
Contra equity - indemnification receivable | (6,724) | (6,724) |
Accumulated other comprehensive income | (184,233) | (215,006) |
Total EnerSys stockholders' equity | 1,361,628 | 1,300,525 |
Noncontrolling interests | 3,545 | 3,537 |
Total equity | 1,365,173 | 1,304,062 |
Total liabilities and equity | $ 3,284,738 | $ 3,301,698 |
Consolidated Condensed Balanc_2
Consolidated Condensed Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jul. 05, 2020 | Mar. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Accounts receivable, allowance for doubtful accounts | $ 13,229 | $ 15,246 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 135,000,000 | 135,000,000 |
Common stock, shares issued (in shares) | 55,251,879 | 55,114,808 |
Common stock, shares outstanding (in shares) | 42,465,194 | 42,323,305 |
Treasury stock (in shares) | 12,786,685 | 12,791,503 |
Consolidated Condensed Statem_2
Consolidated Condensed Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
Statement of Comprehensive Income [Abstract] | ||
Net earnings | $ 35,183 | $ 48,636 |
Other comprehensive income (loss): | ||
Net unrealized gain (loss) on derivative instruments, net of tax | 2,343 | (2,329) |
Pension funded status adjustment, net of tax | 291 | 237 |
Foreign currency translation adjustment | 28,147 | (3,211) |
Total other comprehensive income (loss), net of tax | 30,781 | (5,303) |
Total comprehensive income | 65,964 | 43,333 |
Comprehensive gain (loss) attributable to noncontrolling interests | 8 | (83) |
Comprehensive income attributable to EnerSys stockholders | $ 65,956 | $ 43,416 |
Consolidated Condensed Statem_3
Consolidated Condensed Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
Cash flows from operating activities | ||
Net earnings | $ 35,183 | $ 48,636 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation and amortization | 23,657 | 20,725 |
Write-off of assets relating to exit activities | 471 | 802 |
Derivatives not designated in hedging relationships: | ||
Net gains | (262) | (34) |
Cash settlements | 467 | (376) |
Provision for doubtful accounts | 96 | 1,105 |
Deferred income taxes | (54) | 37 |
Non-cash interest expense | 518 | 378 |
Stock-based compensation | 5,053 | 3,874 |
Gain on disposal of property, plant, and equipment | 73 | 21 |
Changes in assets and liabilities, net of effects of acquisitions: | ||
Accounts receivable | 92,752 | 2,097 |
Inventories | 14,852 | (18,937) |
Prepaid and other current assets | 2,672 | (7,033) |
Other assets | 718 | 1,841 |
Accounts payable | (40,609) | (6,797) |
Accrued expenses | (18,571) | (16,275) |
Other liabilities | (452) | 320 |
Net cash provided by operating activities | 116,564 | 30,384 |
Cash flows from investing activities | ||
Capital expenditures | (26,330) | (17,315) |
Proceeds from disposal of property, plant, and equipment | 50 | 44 |
Net cash used in investing activities | (26,280) | (17,271) |
Cash flows from financing activities | ||
Net repayments on short-term debt | (987) | (19,499) |
Repayments of 2017 Term Loan | (8,402) | (5,645) |
Option proceeds | 479 | 38 |
Payment of taxes related to net share settlement of equity awards | (3,135) | (6,081) |
Purchase of treasury stock | 0 | (23,029) |
Dividends paid to stockholders | (7,428) | (7,499) |
Other | 11 | (27) |
Net cash used by financing activities | (39,462) | (51,742) |
Effect of exchange rate changes on cash and cash equivalents | 6,578 | 1,530 |
Net increase (decrease) in cash and cash equivalents | 57,400 | (37,099) |
Cash and cash equivalents at beginning of period | 326,979 | 299,212 |
Cash and cash equivalents at end of period | 384,379 | 262,113 |
Amended Credit Facility, due 2022 | ||
Cash flows from financing activities | ||
Proceeds from borrowings | 35,000 | 95,000 |
Repayments of 2017 Revolver borrowings | $ (55,000) | $ (85,000) |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Jul. 05, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited consolidated condensed financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments except those otherwise described herein) considered necessary for a fair presentation have been included, unless otherwise disclosed. Operating results for the three months ended July 5, 2020 are not necessarily indicative of the results that may be expected for the fiscal year ending March 31, 2021. The Consolidated Condensed Balance Sheet at March 31, 2020 has been derived from the audited consolidated financial statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. The financial statements should be read in conjunction with the Consolidated Financial Statements and Notes thereto included in the Company’s 2020 Annual Report on Form 10-K (SEC File No. 001-32253), which was filed on June 1, 2020 (the “2020 Annual Report”). EnerSys (the “Company,”) reports interim financial information for 13-week periods, except for the first quarter, which always begins on April 1, and the fourth quarter, which always ends on March 31. The four quarters in fiscal 2021 end on July 5, 2020, October 4, 2020, January 3, 2021, and March 31, 2021, respectively. The four quarters in fiscal 2020 ended on June 30, 2019, September 29, 2019, December 29, 2019, and March 31, 2020, respectively. The consolidated condensed financial statements include the accounts of the Company and its wholly-owned subsidiaries and any partially owned subsidiaries that the Company has the ability to control. All intercompany transactions and balances have been eliminated in consolidation. Recently Adopted Accounting Pronouncements In June 2016, the FASB, issued ASU No. 2016-13, “Financial Instruments - Credit Losses (Topic 326)”: Measurement of Credit Losses on Financial Instruments, which changes the recognition model for the impairment of financial instruments, including accounts receivable, loans and held-to-maturity debt securities, among others. The guidance is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. In contrast to current guidance, which considers current information and events and utilizes a probable threshold, (an “incurred loss” model), ASU 2016–13 mandates an “expected loss” model. The expected loss model: (i) estimates the risk of loss even when risk is remote, (ii) estimates losses over the contractual life, (iii) considers past events, current conditions and reasonable supported forecasts and (iv) has no recognition threshold. The Company adopted the standard effective April 1, 2020 and the adoption did not have a material impact on the Company's operating results, financial position or cash flows. However, the adoption resulted in modifying the Company's policies for accounts receivable. The Company estimates the allowance for credit losses in relation to accounts receivable based on relevant qualitative and quantitative information about historical events, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported accounts receivable. Subsequent to April 1, 2020, accounts receivable are recorded at amortized cost less an allowance for expected credit losses. The Company maintains an allowance for credit losses for the expected failure or inability of its customers to make required payments. The Company recognizes the allowance for expected credit losses at inception and reassesses quarterly based on management’s expectation of the asset’s collectability. The allowance is based on multiple factors including historical experience with bad debts, the credit quality of the customer base, the aging of such receivables and current macroeconomic conditions, as well as management’s expectations of conditions in the future. The Company’s allowance for uncollectible accounts receivable is based on management’s assessment of the collectability of assets pooled together with similar risk characteristics. The Company then adjusts the historical credit loss percentage by current and forecasted economic conditions. The Company then includes a baseline credit loss percentage into the historical credit loss percentage for each aging category to reflect the potential impact of the current and economic conditions. Such a baseline calculation will be adjusted further if changes in the economic environment impacts the Company's expectation for future credit losses. The following table sets forth the changes in the Company's allowance for doubtful accounts for the first quarter ended July 5, 2020: Allowance for doubtful accounts: Balance at Beginning of Period Provision Write-offs, net of recoveries and other Balance at First quarter ended July 5, 2020 $ 15,246 $ 96 $ (2,113) $ 13,229 Accounting Pronouncements Issued But Not Adopted as of July 5, 2020 In December 2019, the FASB issued ASU No. 2019-12, “Income Taxes (Topic 740)”: Simplifying the Accounting for Income Taxes, which is intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. The guidance is effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. The Company is currently assessing the potential impact that the adoption will have on its consolidated financial statements. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848)”: Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides temporary optional expedients to ease the financial reporting burdens of the expected market transition from London Interbank Offered Rate (LIBOR) to an alternative reference rate such as Secured Overnight Financing Rate (SOFR). The guidance was effective upon issuance and generally can be applied through December 31, 2022. The Company is currently assessing the potential impact that the adoption will have on its consolidated financial statements. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. These estimates and assumptions take into account historical and forward looking factors that the Company believes are reasonable, including, but not limited to, the potential impacts arising from the coronavirus pandemic of 2019 (“COVID-19”) and public and private sector policies and initiatives aimed at reducing its transmission. As the extent and duration of the impacts of COVID-19 remain unclear, the Company’s estimates and assumptions may evolve as conditions change. Actual results could differ significantly from those estimates. Examples of significant estimates include the allowance for credit losses, the recoverability of property, plant and equipment, the incremental borrowing rate for lease liabilities, the recoverability of intangible assets and other long-lived assets, fair value measurements, including those related to financial instruments, goodwill and intangible assets, valuation allowances on tax assets, pension and postretirement benefit obligations, contingencies and the identification and valuation of assets acquired and liabilities assumed in connection with business combinations. |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Jul. 05, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition The Company's revenues by reportable segments are presented in Note 17. Service revenues related to the work performed for the Company’s customers by its maintenance technicians generally represent a separate and distinct performance obligation. Control for these services passes to the customer as the services are performed. Service revenues for the first quarter of fiscal 2021 and 2020 amounted to $68,758 and $79,147, respectively. A small portion of the Company's customer arrangements obligate the Company to create customized products for its customers that require the bundling of both products and services into a single performance obligation because the individual products and services that are required to fulfill the customer requirements do not meet the definition for a distinct performance obligation. These customized products generally have no alternative use to the Company and the terms and conditions of these arrangements give the Company the enforceable right to payment for performance completed to date, including a reasonable profit margin. For these arrangements, control transfers over time and the Company measures progress towards completion by selecting the input or output method that best depicts the transfer of control of the underlying goods and services to the customer for each respective arrangement. Methods used by the Company to measure progress toward completion include labor hours, costs incurred and units of production. Revenues recognized over time for the first quarter of fiscal 2021 and 2020 amounted to $36,102 and $41,495, respectively. On July 5, 2020, the aggregate transaction price allocated to unsatisfied (or partially unsatisfied) performance obligations was approximately $92,632, of which, the Company estimates that approximately $66,604 will be recognized as revenue in fiscal 2021, $24,149 in fiscal 2022, $1,808 in fiscal 2023, $18 in fiscal 2024 and $53 in fiscal 2025. Any payments that are received from a customer in advance, prior to the satisfaction of a related performance obligation and billings in excess of revenue recognized, are deferred and treated as a contract liability. Advance payments and billings in excess of revenue recognized are classified as current or non-current based on the timing of when recognition of revenue is expected. As of July 5, 2020, the current and non-current portion of contract liabilities were $14,941 and $8,314, respectively. As of March 31, 2020, the current and non-current portion of contract liabilities were $17,342 and $8,356, respectively. Revenues recognized during the first quarter of fiscal 2021 and 2020 that were included in the contract liability at the beginning of the year, amounted to $3,466 and $4,467, respectively. Amounts representing work completed and not billed to customers represent contract assets and were $44,792 and $39,048 as of July 5, 2020 and March 31, 2020, respectively. The Company uses historic customer product return data as a basis of estimation for customer returns and records the reduction of sales at the time revenue is recognized. At July 5, 2020, the right of return asset related to the value of inventory anticipated to be returned from customers was $4,265 and refund liability representing amounts estimated to be refunded to customers was $6,970. |
Leases
Leases | 3 Months Ended |
Jul. 05, 2020 | |
Leases [Abstract] | |
Leases | Leases The Company leases manufacturing facilities, distribution centers, office space, vehicles and other equipment under non-cancellable leases with initial terms typically ranging from 1 to 17 years. Short term leases with an initial term of 12 months or less are not presented on the balance sheet and expense is recognized as incurred. The following table presents lease assets and liabilities and their balance sheet classification: Classification As of As of Operating Leases: Right-of-use assets Other assets $ 71,124 $ 70,045 Operating lease current liabilities Accrued expenses 21,891 21,128 Operating lease non-current liabilities Other liabilities 51,461 51,215 Finance Leases: Right-of-use assets Property, plant, and equipment, net $ 513 $ 540 Finance lease current liabilities Accrued expenses 169 162 Finance lease non-current liabilities Other liabilities 375 407 The components of lease expense for the first quarter ended July 5, 2020 and June 30, 2019 were as follows: Classification Quarter ended Quarter ended Operating Leases: Operating lease cost Operating expenses $ 6,936 $ 7,295 Variable lease cost Operating expenses 2,119 1,706 Short term lease cost Operating expenses 1,829 2,184 Finance Leases: Depreciation Operating expenses $ 42 $ 143 Interest expense Interest expense 7 12 Total $ 10,933 $ 11,340 The following table presents the weighted average lease term and discount rates for leases as of July 5, 2020: Operating Leases: Weighted average remaining lease term 6 years Weighted average discount rate 5.11% Finance Leases: Weighted average remaining lease term 3.2 years Weighted average discount rate 4.92% The following table presents future payments due under leases reconciled to lease liabilities as of July 5, 2020: Finance Leases Operating Leases Nine months ended March 31, 2021 $ 149 $ 19,170 Year ended March 31, 2022 201 21,086 2023 158 14,239 2024 107 8,866 2025 15 5,641 Thereafter 10 16,763 Total undiscounted lease payments 640 85,765 Present value discount 96 12,413 Lease liability $ 544 $ 73,352 The following table presents supplemental disclosures of cash flow information related to leases for the first quarter ended July 5, 2020 and June 30, 2019: Quarter ended Quarter ended Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 7 $ 12 Operating cash flows from operating leases 6,921 7,213 Financing cash flows from finance leases 41 142 Supplemental non-cash information on lease liabilities arising from right-of-use assets: Right-of-use assets obtained in exchange for new finance lease liabilities $ — $ — Right-of-use assets obtained in exchange for new operating lease liabilities 6,177 2,628 |
Leases | Leases The Company leases manufacturing facilities, distribution centers, office space, vehicles and other equipment under non-cancellable leases with initial terms typically ranging from 1 to 17 years. Short term leases with an initial term of 12 months or less are not presented on the balance sheet and expense is recognized as incurred. The following table presents lease assets and liabilities and their balance sheet classification: Classification As of As of Operating Leases: Right-of-use assets Other assets $ 71,124 $ 70,045 Operating lease current liabilities Accrued expenses 21,891 21,128 Operating lease non-current liabilities Other liabilities 51,461 51,215 Finance Leases: Right-of-use assets Property, plant, and equipment, net $ 513 $ 540 Finance lease current liabilities Accrued expenses 169 162 Finance lease non-current liabilities Other liabilities 375 407 The components of lease expense for the first quarter ended July 5, 2020 and June 30, 2019 were as follows: Classification Quarter ended Quarter ended Operating Leases: Operating lease cost Operating expenses $ 6,936 $ 7,295 Variable lease cost Operating expenses 2,119 1,706 Short term lease cost Operating expenses 1,829 2,184 Finance Leases: Depreciation Operating expenses $ 42 $ 143 Interest expense Interest expense 7 12 Total $ 10,933 $ 11,340 The following table presents the weighted average lease term and discount rates for leases as of July 5, 2020: Operating Leases: Weighted average remaining lease term 6 years Weighted average discount rate 5.11% Finance Leases: Weighted average remaining lease term 3.2 years Weighted average discount rate 4.92% The following table presents future payments due under leases reconciled to lease liabilities as of July 5, 2020: Finance Leases Operating Leases Nine months ended March 31, 2021 $ 149 $ 19,170 Year ended March 31, 2022 201 21,086 2023 158 14,239 2024 107 8,866 2025 15 5,641 Thereafter 10 16,763 Total undiscounted lease payments 640 85,765 Present value discount 96 12,413 Lease liability $ 544 $ 73,352 The following table presents supplemental disclosures of cash flow information related to leases for the first quarter ended July 5, 2020 and June 30, 2019: Quarter ended Quarter ended Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 7 $ 12 Operating cash flows from operating leases 6,921 7,213 Financing cash flows from finance leases 41 142 Supplemental non-cash information on lease liabilities arising from right-of-use assets: Right-of-use assets obtained in exchange for new finance lease liabilities $ — $ — Right-of-use assets obtained in exchange for new operating lease liabilities 6,177 2,628 |
Acquisitions
Acquisitions | 3 Months Ended |
Jul. 05, 2020 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisition NorthStar In fiscal 2020, the Company completed the acquisition of N Holding, AB (“NorthStar”) for $77,777 in cash consideration and the assumption of $107,018 in debt, which was funded using existing cash and credit facilities. NorthStar, through its direct and indirect subsidiaries, manufactures and distributes thin plate pure lead (TPPL) batteries and battery enclosures. NorthStar has two large manufacturing facilities in Springfield, Missouri. The Company acquired tangible and intangible assets, including trademarks, technology, customer relationships and goodwill. Based on valuations performed, trademarks were valued at $6,000, technology at $19,000, customer relationships at $9,000, and goodwill was recorded at $73,788. As a result of the change in operating and reportable segments discussed in Note 17, goodwill associated with the acquisition of NorthStar has been allocated to the Energy Systems and Specialty segments on a relative fair value basis. The useful lives of technology were estimated at 10 years, customer relationships were estimated at 15 to 18 years and trademarks were estimated at 5 years. Goodwill deductible for tax purposes is $72,056. The results of the NorthStar acquisition have been included in the Company’s Energy Systems and Specialty segments, respectively, from the date of acquisition. Pro forma earnings and earnings per share computations have not been presented as this acquisition is not considered material. Other Intangible Assets Information regarding the Company’s other intangible assets are as follows: Balance as of July 5, 2020 March 31, 2020 Gross Amount Accumulated Amortization Net Amount Gross Amount Accumulated Amortization Net Amount Indefinite-lived intangible assets: Trademarks $ 147,749 $ (957) $ 146,792 $ 147,356 $ (953) $ 146,403 Finite-lived intangible assets: Customer relationships 294,732 (70,685) 224,047 292,155 (64,855) 227,300 Non-compete 3,038 (2,824) 214 3,021 (2,817) 204 Technology 96,536 (22,746) 73,790 96,047 (20,349) 75,698 Trademarks 8,008 (2,245) 5,763 8,008 (1,928) 6,080 Licenses 1,196 (1,196) — 1,196 (1,196) — Total $ 551,259 $ (100,653) $ 450,606 $ 547,783 $ (92,098) $ 455,685 The Company’s amortization expense related to finite-lived intangible assets was $8,555 for the first quarter of fiscal 2021, compared to $7,316 for the first quarter of fiscal 2020. The expected amortization expense based on the finite-lived intangible assets as of July 5, 2020, is $24,104 for the remainder of fiscal 2021, $32,420 in fiscal 2022, $31,122 in fiscal 2023, $27,725 in fiscal 2024 and $26,494 in fiscal 2025. |
Inventories
Inventories | 3 Months Ended |
Jul. 05, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories, net consist of: July 5, 2020 March 31, 2020 Raw materials $ 144,185 $ 141,906 Work-in-process 88,091 91,520 Finished goods 278,322 286,034 Total $ 510,598 $ 519,460 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 3 Months Ended |
Jul. 05, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Recurring Fair Value Measurements The following tables represent the financial assets and (liabilities) measured at fair value on a recurring basis as of July 5, 2020 and March 31, 2020, and the basis for that measurement: Total Fair Value Measurement Quoted Price in Significant Significant Lead forward contracts $ 3 $ — $ 3 $ — Foreign currency forward contracts 93 — 93 — Total derivatives $ 96 $ — $ 96 $ — Total Fair Value Quoted Price in Significant Significant Lead forward contracts $ (2,433) $ — $ (2,433) $ — Foreign currency forward contracts 1 — 1 — Total derivatives $ (2,432) $ — $ (2,432) $ — The fair values of lead forward contracts are calculated using observable prices for lead as quoted on the London Metal Exchange (“LME”) and, therefore, were classified as Level 2 within the fair value hierarchy, as described in Note 1. Summary of Significant Accounting Policies to the Company's consolidated financial statements included in its 2020 Annual Report. The fair values for foreign currency forward contracts are based upon current quoted market prices and are classified as Level 2 based on the nature of the underlying market in which these derivatives are traded. Financial Instruments The fair values of the Company’s cash and cash equivalents approximate carrying value due to their short maturities. The fair value of the Company’s short-term debt and borrowings under the Amended Credit Facility (as defined in Note 12), approximate their respective carrying value, as they are variable rate debt and the terms are comparable to market terms as of the balance sheet dates and are classified as Level 2. In fiscal 2020, the Company issued its 4.375% Senior Notes due 2027 (the “2027 Notes”), with an original face value of $300,000. The Company's 5.00% Senior Notes due 2023 (the “2023 Notes”), with an original face value of $300,000, were issued in April 2015. The fair value of the 2027 Notes and 2023 Notes, (collectively, the “Senior Notes”) represent the trading values based upon quoted market prices and are classified as Level 2. The 2027 Notes were trading at approximately 99% and 94% of face value on July 5, 2020 and March 31, 2020, respectively. The 2023 Notes were trading at approximately 103% and 97% of face value on July 5, 2020 and March 31, 2020, respectively. The carrying amounts and estimated fair values of the Company’s derivatives and Senior Notes at July 5, 2020 and March 31, 2020 were as follows: July 5, 2020 March 31, 2020 Carrying Fair Value Carrying Fair Value Financial assets: Derivatives (1) $ 96 $ 96 $ — $ — Financial liabilities: Senior Notes (2) $ 600,000 $ 606,000 $ 600,000 $ 573,000 Derivatives (1) — — 2,432 2,432 (1) Represents lead and foreign currency forward contracts (see Note 7 for asset and liability positions of the lead and foreign currency forward contracts at July 5, 2020 and March 31, 2020). (2) The fair value amount of the Senior Notes at July 5, 2020 and March 31, 2020 represent the trading value of the instruments. |
Derivative Financial Instrument
Derivative Financial Instruments | 3 Months Ended |
Jul. 05, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments The Company utilizes derivative instruments to reduce its exposure to fluctuations in commodity prices and foreign exchange rates under established procedures and controls. The Company does not enter into derivative contracts for speculative purposes. The Company’s agreements are with creditworthy financial institutions and the Company anticipates performance by counterparties to these contracts and therefore no material loss is expected. Derivatives in Cash Flow Hedging Relationships Lead Forward Contracts The Company enters into lead forward contracts to fix the price for a portion of its lead purchases. Management considers the lead forward contracts to be effective against changes in the cash flows of the underlying lead purchases. The vast majority of such contracts are for a period not extending beyond one year. At July 5, 2020 and March 31, 2020, the Company has hedged the price to purchase approximately 24.0 million pounds and 35.0 million pounds of lead, respectively, for a total purchase price of $19,299 and $30,078, respectively. Foreign Currency Forward Contracts The Company uses foreign currency forward contracts and options to hedge a portion of the Company’s foreign currency exposures for lead, as well as other foreign currency exposures so that gains and losses on these contracts offset changes in the underlying foreign currency denominated exposures. The vast majority of such contracts are for a period not extending beyond one year. As of July 5, 2020 and March 31, 2020, the Company had entered into a total of $9,062 and $34,008, respectively, of such contracts. In the coming twelve months, the Company anticipates that $4,569 of pretax loss relating to lead and foreign currency forward contracts will be reclassified from AOCI as part of cost of goods sold. This amount represents the current net unrealized impact of hedging lead and foreign exchange rates, which will change as market rates change in the future, and will ultimately be realized in the Consolidated Condensed Statements of Income as an offset to the corresponding actual changes in lead costs to be realized in connection with the variable lead cost and foreign exchange rates being hedged. Derivatives not Designated in Hedging Relationships Foreign Currency Forward Contracts The Company also enters into foreign currency forward contracts to economically hedge foreign currency fluctuations on intercompany loans and foreign currency denominated receivables and payables. These are not designated as hedging instruments and changes in fair value of these instruments are recorded directly in the Consolidated Condensed Statements of Income. As of July 5, 2020 and March 31, 2020, the notional amount of these contracts was $19,618 and $42,232, respectively. Presented below in tabular form is information on the location and amounts of derivative fair values in the Consolidated Condensed Balance Sheets and derivative gains and losses in the Consolidated Condensed Statements of Income: Fair Value of Derivative Instruments July 5, 2020 and March 31, 2020 Derivatives and Hedging Activities Designated as Cash Flow Hedges Derivatives and Hedging Activities Not Designated as Hedging Instruments July 5, 2020 March 31, 2020 July 5, 2020 March 31, 2020 Prepaid and other current assets: Lead forward contracts $ 3 $ — $ — $ — Foreign currency forward contracts 72 — 21 375 Total assets $ 75 $ — $ 21 $ 375 Accrued expenses: Lead forward contracts $ — $ 2,433 $ — $ — Foreign currency forward contracts — 374 — — Total liabilities $ — $ 2,807 $ — $ — The Effect of Derivative Instruments on the Consolidated Condensed Statements of Income For the quarter ended July 5, 2020 Derivatives Designated as Cash Flow Hedges Pretax Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) Location of Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Lead forward contracts $ (1,274) Cost of goods sold $ (3,799) Foreign currency forward contracts 261 Cost of goods sold (283) Total $ (1,013) $ (4,082) Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Recognized in Income on Derivatives Pretax Gain (Loss) Foreign currency forward contracts Other (income) expense, net $ 262 Total $ 262 The Effect of Derivative Instruments on the Consolidated Condensed Statements of Income For the quarter ended June 30, 2019 Derivatives Designated as Cash Flow Hedges Pretax Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) Location of Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Lead forward contracts $ (2,494) Cost of goods sold $ 441 Foreign currency forward contracts 103 Cost of goods sold 217 Total $ (2,391) $ 658 Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Recognized in Income on Derivatives Pretax Gain (Loss) Foreign currency forward contracts Other (income) expense, net $ 34 Total $ 34 |
Income Taxes
Income Taxes | 3 Months Ended |
Jul. 05, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company’s income tax provision consists of federal, state and foreign income taxes. The tax provision for the first quarter of fiscal 2021 and 2020 was based on the estimated effective tax rates applicable for the full years ending March 31, 2021 and March 31, 2020, respectively, after giving effect to items specifically related to the interim periods. The Company’s effective income tax rate with respect to any period may be volatile based on the mix of income in the tax jurisdictions in which the Company operates, change in tax laws and the amount of the Company's consolidated earnings before taxes. On May 19, 2019, a public referendum held in Switzerland approved the Federal Act on Tax Reform and AHV (Old-Age and Survivors Insurance) Financing (TRAF) as adopted by the Swiss Federal Parliament on September 28, 2018. The Company recorded a deferred tax asset of $22,500 during fiscal 2020 related to the amortizable goodwill. Based on further discussions with the Swiss tax authority, the Company recorded an additional income tax benefit of $1,883 during the first quarter of fiscal 2021. The consolidated effective income tax rates for the first quarter of fiscal 2021 and 2020 were 15.4% and 17.0%, respectively. The rate decrease in the first quarter of fiscal 2021 compared to the comparable prior year quarter is primarily due to Swiss tax reform and changes in the mix of earnings among tax jurisdictions. Foreign income as a percentage of worldwide income is estimated to be 69% for fiscal 2021 compared to 64% for fiscal 2020. The foreign effective tax rates for the first quarter of fiscal 2021 and 2020 were 9% and 11.5%, respectively. The rate decrease compared to the prior year period is primarily due to Swiss tax reform and changes in the mix of earnings among tax jurisdictions. Income from the Company's Swiss subsidiary comprised a substantial portion of the Company's overall foreign mix of income and was taxed at an effective income tax rate of approximately 6% in both the current and prior year quarter of fiscal 2021 and fiscal 2020. |
Warranty
Warranty | 3 Months Ended |
Jul. 05, 2020 | |
Product Warranties Disclosures [Abstract] | |
Warranty | Warranty The Company provides for estimated product warranty expenses when products are sold, with related liabilities included within accrued expenses and other liabilities. As warranty estimates are forecasts that are based on the best available information, primarily historical claims experience, costs of claims may ultimately differ from amounts provided. An analysis of changes in the liability for product warranties is as follows: Quarter ended July 5, 2020 June 30, 2019 Balance at beginning of period $ 63,525 $ 54,568 Current period provisions 6,974 7,519 Costs incurred (11,310) (5,948) Foreign currency translation adjustment 582 40 Balance at end of period $ 59,771 $ 56,179 |
Commitments, Contingencies and
Commitments, Contingencies and Litigation | 3 Months Ended |
Jul. 05, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments, Contingencies and Litigation | Commitments, Contingencies and Litigation Litigation and Other Legal Matters In the ordinary course of business, the Company and its subsidiaries are routinely defendants in or parties to pending and threatened legal actions and proceedings, including actions brought on behalf of various classes of claimants. These actions and proceedings are generally based on alleged violations of environmental, anticompetition, employment, contract and other laws. In some of these actions and proceedings, claims for substantial monetary damages are asserted against the Company and its subsidiaries. In the ordinary course of business, the Company and its subsidiaries are also subject to regulatory and governmental examinations, information gathering requests, inquiries, investigations, and threatened legal actions and proceedings. In connection with formal and informal inquiries by federal, state, local and foreign agencies, the Company and its subsidiaries receive numerous requests, subpoenas and orders for documents, testimony and information in connection with various aspects of their activities. European Competition Investigations Certain of the Company’s European subsidiaries had received subpoenas and requests for documents and, in some cases, interviews from, and have had on-site inspections conducted by, the competition authorities of Belgium, Germany and the Netherlands relating to conduct and anticompetitive practices of certain industrial battery participants. For additional information regarding these matters, see Note 19 - Commitments, Contingencies and Litigation to the consolidated financial statements contained in the Annual Report on Form 10-K for the fiscal year ended March 31, 2020. The Company settled the Belgian regulatory proceeding in February 2016 by acknowledging certain anticompetitive practices and conduct and agreeing to pay a fine of $1,962, which was paid in March 2016. With respect to the Belgian regulatory matter, during the first quarter of fiscal 2019, the Company paid $2,402 towards certain aspects related to this matter, which are under appeal. As of July 5, 2020 and March 31, 2020, the Company did not have a reserve balance related to these matters. The foregoing estimate of losses is based upon currently available information for these proceedings. However, the precise scope, timing and time period at issue, as well as the final outcome of the investigations or customer claims, remain uncertain. Accordingly, the Company’s estimate may change from time to time, and actual losses could vary. Environmental Issues As a result of its operations, the Company is subject to various federal, state, and local, as well as international environmental laws and regulations and is exposed to the costs and risks of registering, handling, processing, storing, transporting, and disposing of hazardous substances, especially lead and acid. The Company’s operations are also subject to federal, state, local and international occupational safety and health regulations, including laws and regulations relating to exposure to lead in the workplace. The Company is responsible for certain cleanup obligations at the former Yuasa battery facility in Sumter, South Carolina, that predates its ownership of this facility. This manufacturing facility was closed in 2001 and the Company established a reserve for this facility, which was $1,060 as of July 5, 2020 and March 31, 2020. Based on current information, the Company’s management believes this reserve is adequate to satisfy the Company’s environmental liabilities at this facility. This facility is separate from the Company’s current metal fabrication facility in Sumter. Lead and Foreign Currency Forward Contracts |
Restructuring Plans
Restructuring Plans | 3 Months Ended |
Jul. 05, 2020 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Plans | Restructuring and other Exit Charges Restructuring Plans As disclosed in the Company's Form 10-K for the year ended March 31, 2020, the Company committed to restructuring plans aimed at improving operational efficiencies across its lines of business. A substantial portion of these plans are complete with an estimated $6,500 remaining to be incurred by the end of fiscal 2021. The charges for the first quarter of fiscal 2021 relate to severance payments and are presented by reportable segments as follows: Energy Systems Motive Power Specialty Total Restructuring charges $ 507 $ 762 $ 134 $ 1,403 A roll-forward of the restructuring reserve is as follows: Balance as of March 31, 2020 $ 3,325 Accrued 1,403 Costs incurred (1,291) Foreign currency impact 140 Balance as of July 5, 2020 $ 3,577 Exit Charges During fiscal 2019, the Company committed to a plan to close its facility in Targovishte, Bulgaria, which produced diesel-electric submarine batteries. Management determined that the future demand for batteries of diesel-electric submarines was not sufficient given the number of competitors in the market. Of the estimated total charges of $30,000 for all these actions, the Company had recorded charges amounting to $20,242 in fiscal 2019, relating to severance and inventory and fixed asset write-offs and an additional $5,123 relating to cash and non-cash charges during fiscal 2020. During the first quarter of fiscal 2021, in keeping with its strategy of exiting the manufacture of batteries for diesel-electric submarines, the Company continued to execute further actions which resulted in a non-material net impact from the cash and non-cash charges. Richmond, Kentucky Plant Fire In fiscal 2020, a fire broke out in the battery formation area of the Company's Richmond, Kentucky motive power production facility. The Company maintains insurance policies for both property damage and business interruption and are finishing cleanup and repair. The Company estimates that the total claim, including the replacement of inventory and equipment, the cleanup and repairs to the building, as well as the claim for business interruption may exceed $50,000. In fiscal 2020, the Company recorded $17,037 of damages caused to its fixed assets and inventories, as well as for cleanup, asset replacement and other ancillary activities directly associated with the fire and received $12,000 in advances related to its initial claims for recovery from its property and casualty insurance carriers. During the first quarter of fiscal 2021, the Company recorded a further charge of $9,274 for cleanup and received $10,000 in advances from the insurance carriers. Accumulated charges relating to the fire through July 5, 2020 were $26,311 and advances received from the property and casualty insurance carriers were $22,000. |
Debt
Debt | 3 Months Ended |
Jul. 05, 2020 | |
Debt Disclosure [Abstract] | |
Debt | Debt The following summarizes the Company’s long-term debt as of July 5, 2020 and March 31, 2020: July 5, 2020 March 31, 2020 Principal Unamortized Issuance Costs Principal Unamortized Issuance Costs Senior Notes $ 600,000 $ 6,006 $ 600,000 $ 6,306 Amended Credit Facility, due 2022 488,487 1,969 513,224 2,187 $ 1,088,487 $ 7,975 $ 1,113,224 $ 8,493 Less: Unamortized issuance costs 7,975 8,493 Long-term debt, net of unamortized issuance costs $ 1,080,512 $ 1,104,731 The Company's Senior Notes comprise the following: 4.375% Senior Notes due 2027 On December 11, 2019, the Company issued $300,000 in aggregate principal amount of its 4.375% Senior Notes due December 15, 2027 (the “2027 Notes”). Proceeds from this offering, net of debt issuance costs were $296,250 and were utilized to pay down the Amended 2017 Revolver (defined below). The 2027 Notes bear interest at a rate of 4.375% per annum accruing from December 11, 2019. Interest is payable semiannually in arrears on June 15 and December 15 of each year, commencing on June 15, 2020. The 2027 Notes mature on December 15, 2027, unless earlier redeemed or repurchased in full. The 2027 Notes are unsecured and unsubordinated obligations of the Company. The 2027 Notes are fully and unconditionally guaranteed, jointly and severally, by certain of its subsidiaries that are guarantors under the Amended Credit Facility. These guarantees are unsecured and unsubordinated obligations of such guarantors. The Company may redeem, prior to September 15, 2027, all or a portion of the 2027 Notes at a price equal to 100% of the principal amount of the 2027 Notes to be redeemed, plus accrued and unpaid interest and a “make whole” premium to, but excluding, the redemption date. The Company may redeem, on or after September 15, 2027, all or a portion of the 2027 Notes at a price equal to 100% of the principal amount of the 2027 Notes, plus accrued and unpaid interest to, but excluding, the redemption date. If a change of control triggering event occurs, the Company will be required to offer to repurchase the 2027 Notes at a price in cash equal to 101% of the aggregate principal amount of the 2027 Notes, plus accrued and unpaid interest to, but excluding, the date of repurchase. The 2027 Notes rank pari passu with the 2023 Notes. 5.00% Senior Notes due 2023 The 5% Senior Notes due April 30, 2023 (the “2023 Notes”) bear interest at a rate of 5.00% per annum and have an original face value of $300,000. Interest is payable semiannually in arrears on April 30 and October 30 of each year and commenced on October 30, 2015. The 2023 Notes will mature on April 30, 2023, unless earlier redeemed or repurchased in full. The 2023 Notes are unsecured and unsubordinated obligations of the Company. The 2023 Notes are fully and unconditionally guaranteed, jointly and severally, by certain of its subsidiaries that are guarantors under the Amended Credit Facility. These guarantees are unsecured and unsubordinated obligations of such guarantors. 2017 Credit Facility and Subsequent Amendment In fiscal 2018, the Company entered into a credit facility (the “2017 Credit Facility”). The 2017 Credit Facility scheduled to mature on September 30, 2022, initially comprised a $600,000 senior secured revolving credit facility (“2017 Revolver”) and a $150,000 senior secured term loan (“2017 Term Loan”). The Company utilized the borrowings from the 2017 Credit Facility to repay its pre-existing credit facility. In fiscal 2019, the Company amended the 2017 Credit Facility (as amended, the “Amended Credit Facility”) to fund the Alpha acquisition. The Amended Credit Facility consists of $449,105 senior secured term loans (the “Amended 2017 Term Loan”), including a CAD 133,050 ($99,105) term loan and a $700,000 senior secured revolving credit facility (the “Amended 2017 Revolver”). The amendment resulted in an increase of the 2017 Term Loan and the 2017 Revolver by $299,105 and $100,000, respectively. As of July 5, 2020, the Company had $88,000 outstanding under the Amended 2017 Revolver and $400,487 under the Amended 2017 Term Loan. Subsequent to the amendment, the quarterly installments payable on the Amended 2017 Term Loan are $5,645 beginning December 31, 2018, $8,468 beginning December 31, 2019 and $11,290 beginning December 31, 2020 with a final payment of $320,000 on September 30, 2022. The Amended Credit Facility may be increased by an aggregate amount of $325,000 in revolving commitments and / or one or more new tranches of term loans, under certain conditions. Both the Amended 2017 Revolver and the Amended 2017 Term Loan bear interest, at the Company's option, at a rate per annum equal to either (i) the London Interbank Offered Rate (“LIBOR”) or Canadian Dollar Offered Rate (“CDOR”) plus (i) LIBOR plus between 1.25% and 2.00% (currently 1.50% and based on the Company's consolidated net leverage ratio) or (ii) the U.S. Dollar Base Rate (which equals, for any day a fluctuating rate per annum equal to the highest of (a) the Federal Funds Effective Rate plus 0.50%, (b) Bank of America “Prime Rate” and (c) the Eurocurrency Base Rate plus 1%; provided that, if the Base Rate shall be less than zero, such rate shall be deemed zero) (iii) the CDOR Base Rate equal to the higher of (a) Bank of America “Prime Rate” and (b) average 30-day CDOR rate plus 0.50%. Obligations under the Amended Credit Facility are secured by substantially all of the Company’s existing and future acquired assets, including substantially all of the capital stock of the Company’s United States subsidiaries that are guarantors under the Amended Credit Facility and up to 65% of the capital stock of certain of the Company’s foreign subsidiaries that are owned by the Company’s United States subsidiaries. The Amended Credit Facility allows for up to two temporary increases in the maximum leverage ratio from 3.50x to 4.00x for a four quarter period following an acquisition larger than $250,000. Effective December 7, 2018 through December 28, 2019, the maximum leverage ratio was increased to 4.00x. On December 29, 2019, the maximum leverage ratio returned to 3.50x. The current portion of the Amended 2017 Term Loan of $42,009 is classified as long-term debt as the Company expects to refinance the future quarterly payments with revolver borrowings under the Amended Credit Facility. Short-Term Debt As of July 5, 2020 and March 31, 2020, the Company had $46,762 and $46,544, respectively, of short-term borrowings. The weighted average interest rate on these borrowings was approximately 2% at July 5, 2020 and 3% at March 31, 2020. Letters of Credit As of July 5, 2020 and March 31, 2020, the Company had standby letters of credit of $7,720. Debt Issuance Costs Amortization expense, relating to debt issuance costs, included in interest expense was $518 and $378, respectively, for the quarters ended July 5, 2020 and June 30, 2019. Debt issuance costs, net of accumulated amortization, totaled $7,975 and $8,493, respectively, at July 5, 2020 and March 31, 2020. Available Lines of Credit As of July 5, 2020 and March 31, 2020, the Company had available and undrawn, under all its lines of credit, $701,255 and $693,640, respectively, including $93,561 and $105,946, respectively, of uncommitted lines of credit as of July 5, 2020 and March 31, 2020. |
Retirement Plans
Retirement Plans | 3 Months Ended |
Jul. 05, 2020 | |
Retirement Benefits [Abstract] | |
Retirement Plans | Retirement Plans The following tables present the components of the Company’s net periodic benefit cost related to its defined benefit pension plans: United States Plans International Plans Quarter ended Quarter ended July 5, 2020 June 30, 2019 July 5, 2020 June 30, 2019 Service cost $ — $ — $ 235 $ 235 Interest cost 132 154 327 376 Expected return on plan assets (65) (112) (447) (538) Amortization and deferral 133 52 244 253 Net periodic benefit cost $ 200 $ 94 $ 359 $ 326 |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Jul. 05, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation As of July 5, 2020, the Company maintains the 2017 Equity Incentive Plan (“2017 EIP”). The 2017 EIP reserved 4,173,554 shares of common stock for the grant of various classes of nonqualified stock options, restricted stock units, market condition-based on total shareholder return (“TSR”) and performance condition-based share units (“PSU”) and other forms of equity-based compensation. The Company recognized stock-based compensation expense associated with its equity incentive plans of $5,053 for the first quarter of fiscal 2021 and $3,874 for the first quarter of fiscal 2020. The Company recognizes compensation expense using the straight-line method over the vesting period of the awards. During the first quarter of fiscal 2021, the Company granted to non-employee directors 3,353 restricted stock units, pursuant to the 2017 EIP. The awards vest immediately upon the date of grant and are settled in shares of common stock. Common stock activity during the first quarter of fiscal 2021 included the vesting of 120,390 restricted stock units, 65,096 TSRs and the exercise of 8,323 stock options. |
Stockholders' Equity and Noncon
Stockholders' Equity and Noncontrolling Interests | 3 Months Ended |
Jul. 05, 2020 | |
Equity [Abstract] | |
Stockholders' Equity and Noncontrolling Interests | Stockholders’ Equity and Noncontrolling Interests Common Stock The following demonstrates the change in the number of shares of common stock outstanding during the first quarter ended July 5, 2020: Shares outstanding as of March 31, 2020 42,323,305 Shares issued under equity-based compensation plans, net of equity awards surrendered for option price and taxes 141,889 Shares outstanding as of July 5, 2020 42,465,194 Treasury Stock During the first quarter ended July 5, 2020, the Company did not purchase any shares but purchased 376,343 shares for $23,029 during the first quarter ended June 30, 2019. At July 5, 2020 and March 31, 2020, the Company held 12,786,685 and 12,791,503 shares as treasury stock, respectively. During the first quarter ended July 5, 2020, the Company also issued 4,818 shares out of its treasury stock, valued at $62.55 per share, on a LIFO basis, to participants under the Company's Employee Stock Purchase Plan. Accumulated Other Comprehensive Income ( “ AOCI ” ) The components of AOCI, net of tax, as of July 5, 2020 and March 31, 2020, are as follows: March 31, 2020 Before Reclassifications Amounts Reclassified from AOCI July 5, 2020 Pension funded status adjustment $ (22,794) $ — $ 291 $ (22,503) Net unrealized (loss) gain on derivative instruments (5,923) (773) 3,116 (3,580) Foreign currency translation adjustment (186,289) 28,139 — (158,150) Accumulated other comprehensive (loss) income $ (215,006) $ 27,366 $ 3,407 $ (184,233) The following table presents reclassifications from AOCI during the first quarter ended July 5, 2020: Components of AOCI Amounts Reclassified from AOCI Location of (Gain) Loss Recognized on Income Statement Derivatives in cash flow hedging relationships: Net unrealized loss on derivative instruments $ 4,082 Cost of goods sold Tax benefit (966) Net unrealized loss on derivative instruments, net of tax $ 3,116 Defined benefit pension costs: Prior service costs and deferrals $ 377 Net periodic benefit cost, included in other (income) expense, net - See Note 13 Tax benefit (86) Net periodic benefit cost, net of tax $ 291 The following table presents reclassifications from AOCI during the first quarter ended June 30, 2019: Components of AOCI Amounts Reclassified from AOCI Location of (Gain) Loss Recognized on Income Statement Derivatives in cash flow hedging relationships: Net unrealized gain on derivative instruments $ (658) Cost of goods sold Tax expense 156 Net unrealized gain on derivative instruments, net of tax $ (502) Defined benefit pension costs: Prior service costs and deferrals $ 305 Net periodic benefit cost, included in other (income) expense, net - See Note 13 Tax benefit (68) Net periodic benefit cost, net of tax $ 237 |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Jul. 05, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The following table sets forth the reconciliation from basic to diluted weighted-average number of common shares outstanding and the calculations of net earnings per common share attributable to EnerSys stockholders. Quarter ended July 5, 2020 June 30, 2019 Net earnings attributable to EnerSys stockholders $ 35,183 $ 48,636 Weighted-average number of common shares outstanding: Basic 42,385,888 42,656,339 Dilutive effect of: Common shares from exercise and lapse of equity awards, net of shares assumed reacquired 546,166 462,095 Diluted weighted-average number of common shares outstanding 42,932,054 43,118,434 Basic earnings per common share attributable to EnerSys stockholders $ 0.83 $ 1.14 Diluted earnings per common share attributable to EnerSys stockholders $ 0.82 $ 1.13 Anti-dilutive equity awards not included in diluted weighted-average common shares 386,263 656,810 |
Business Segments
Business Segments | 3 Months Ended |
Jul. 05, 2020 | |
Segment Reporting [Abstract] | |
Business Segments | Business Segments During the first quarter of fiscal 2021, the Company's chief operating decision maker, or CODM (the Company's Chief Executive Officer), changed the manner in which he reviews financial information for purposes of assessing business performance and allocating resources, by focusing on the lines of business on a global basis, rather than on geographic basis. As a result of this change, the Company re-evaluated the identification of its operating segments and reportable segments and identified the following as its three new operating segments, based on lines of business: • Energy Systems - uninterruptible power systems, or “UPS” applications for computer and computer-controlled systems, as well as telecommunications systems, switchgear and electrical control systems used in industrial facilities and electric utilities, large-scale energy storage and energy pipelines. Energy Systems also includes highly integrated power solutions and services to broadband, telecom, renewable and industrial customers, as well as thermally managed cabinets and enclosures for electronic equipment and batteries. • Motive Power - power for electric industrial forklifts used in manufacturing, warehousing and other material handling applications, as well as mining equipment, diesel locomotive starting and other rail equipmen t ; and • Specialty - premium starting, lighting and ignition applications in transportation, energy solutions for satellites, military aircraft, submarines, ships and other tactical vehicles, as well as medical and security systems. The new operating segments also represent the Company's reportable segments under ASC 280, Segment Reporting . All prior comparative periods presented have been recast to conform to these changes. Summarized financial information related to the Company's reportable segments for the first quarter ended July 5, 2020 and June 30, 2019, is shown below: Quarter ended July 5, 2020 June 30, 2019 Net sales by segment to unaffiliated customers Energy Systems $ 353,387 $ 353,893 Motive Power 262,834 344,387 Specialty 88,703 81,950 Total net sales $ 704,924 $ 780,230 Operating earnings by segment Energy Systems $ 22,085 $ 23,587 Motive Power 27,276 37,098 Specialty 5,246 10,023 Restructuring charges - Energy Systems (512) (1,110) Restructuring charges - Motive Power (762) (558) Restructuring and other exit charges - Specialty (113) (704) Total operating earnings (1) $ 53,220 $ 68,336 (1) The Company does not allocate interest expense or other (income) expense to the reportable segments. (2) The Company does not identify or allocate assets by reportable segment, nor does the CODM evaluate reportable segments using discrete asset information. (3) Reportable segments do not record inter-segment revenues and accordingly there are none to report. Goodwill Concurrent with the change in reporting segments effective April 1, 2020, goodwill was reassigned to the affected reporting units that have been identified within each operating segment, using a relative fair value approach outlined in ASC 350, Intangibles - Goodwill and Other. The following table presents the amount of goodwill that has been reassigned to each of the Company's reportable segments as of April 1, 2020, using the relative fair value approach, as well as any changes in the carrying amount of goodwill by segment during the first quarter of fiscal 2021: Energy Systems Motive Power Specialty Total Balance at March 31, 2020 $ 263,150 $ 308,497 $ 92,289 $ 663,936 Foreign currency translation adjustment 4,971 6,119 1,641 12,731 Balance as of July 5, 2020 $ 268,121 $ 314,616 $ 93,930 $ 676,667 |
Subsequent Events
Subsequent Events | 3 Months Ended |
Jul. 05, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent EventsOn August 12, 2020, the Board of Directors approved a quarterly cash dividend of $0.175 per share of common stock to be paid on September 25, 2020, to stockholders of record as of September 11, 2020. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 3 Months Ended |
Jul. 05, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited consolidated condensed financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments except those otherwise described herein) considered necessary for a fair presentation have been included, unless otherwise disclosed. Operating results for the three months ended July 5, 2020 are not necessarily indicative of the results that may be expected for the fiscal year ending March 31, 2021. The Consolidated Condensed Balance Sheet at March 31, 2020 has been derived from the audited consolidated financial statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. The financial statements should be read in conjunction with the Consolidated Financial Statements and Notes thereto included in the Company’s 2020 Annual Report on Form 10-K (SEC File No. 001-32253), which was filed on June 1, 2020 (the “2020 Annual Report”). EnerSys (the “Company,”) reports interim financial information for 13-week periods, except for the first quarter, which always begins on April 1, and the fourth quarter, which always ends on March 31. The four quarters in fiscal 2021 end on July 5, 2020, October 4, 2020, January 3, 2021, and March 31, 2021, respectively. The four quarters in fiscal 2020 ended on June 30, 2019, September 29, 2019, December 29, 2019, and March 31, 2020, respectively. The consolidated condensed financial statements include the accounts of the Company and its wholly-owned subsidiaries and any partially owned subsidiaries that the Company has the ability to control. All intercompany transactions and balances have been eliminated in consolidation. |
Recently Adopted Accounting Pronouncements and Accounting Pronouncements Issued But Not Yet Adopted | Recently Adopted Accounting Pronouncements In June 2016, the FASB, issued ASU No. 2016-13, “Financial Instruments - Credit Losses (Topic 326)”: Measurement of Credit Losses on Financial Instruments, which changes the recognition model for the impairment of financial instruments, including accounts receivable, loans and held-to-maturity debt securities, among others. The guidance is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. In contrast to current guidance, which considers current information and events and utilizes a probable threshold, (an “incurred loss” model), ASU 2016–13 mandates an “expected loss” model. The expected loss model: (i) estimates the risk of loss even when risk is remote, (ii) estimates losses over the contractual life, (iii) considers past events, current conditions and reasonable supported forecasts and (iv) has no recognition threshold. The Company adopted the standard effective April 1, 2020 and the adoption did not have a material impact on the Company's operating results, financial position or cash flows. However, the adoption resulted in modifying the Company's policies for accounts receivable. The Company estimates the allowance for credit losses in relation to accounts receivable based on relevant qualitative and quantitative information about historical events, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported accounts receivable. Subsequent to April 1, 2020, accounts receivable are recorded at amortized cost less an allowance for expected credit losses. The Company maintains an allowance for credit losses for the expected failure or inability of its customers to make required payments. The Company recognizes the allowance for expected credit losses at inception and reassesses quarterly based on management’s expectation of the asset’s collectability. The allowance is based on multiple factors including historical experience with bad debts, the credit quality of the customer base, the aging of such receivables and current macroeconomic conditions, as well as management’s expectations of conditions in the future. The Company’s allowance for uncollectible accounts receivable is based on management’s assessment of the collectability of assets pooled together with similar risk characteristics. The Company then adjusts the historical credit loss percentage by current and forecasted economic conditions. The Company then includes a baseline credit loss percentage into the historical credit loss percentage for each aging category to reflect the potential impact of the current and economic conditions. Such a baseline calculation will be adjusted further if changes in the economic environment impacts the Company's expectation for future credit losses. The following table sets forth the changes in the Company's allowance for doubtful accounts for the first quarter ended July 5, 2020: Allowance for doubtful accounts: Balance at Beginning of Period Provision Write-offs, net of recoveries and other Balance at First quarter ended July 5, 2020 $ 15,246 $ 96 $ (2,113) $ 13,229 Accounting Pronouncements Issued But Not Adopted as of July 5, 2020 In December 2019, the FASB issued ASU No. 2019-12, “Income Taxes (Topic 740)”: Simplifying the Accounting for Income Taxes, which is intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. The guidance is effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. The Company is currently assessing the potential impact that the adoption will have on its consolidated financial statements. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848)”: Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides temporary optional expedients to ease the financial reporting burdens of the expected market transition from London Interbank Offered Rate (LIBOR) to an alternative reference rate such as Secured Overnight Financing Rate (SOFR). The guidance was effective upon issuance and generally can be applied through December 31, 2022. The Company is currently assessing the potential impact that the adoption will have on its consolidated financial statements. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. These estimates and assumptions take into account historical and forward looking factors that the Company believes are reasonable, including, but not limited to, the potential impacts arising from the coronavirus pandemic of 2019 (“COVID-19”) and public and private sector policies and initiatives aimed at reducing its transmission. As the extent and duration of the impacts of COVID-19 remain unclear, the Company’s estimates and assumptions may evolve as conditions change. Actual results could differ significantly from those estimates. Examples of significant estimates include the allowance for credit losses, the recoverability of property, plant and equipment, the incremental borrowing rate for lease liabilities, the recoverability of intangible assets and other long-lived assets, fair value measurements, including those related to financial instruments, goodwill and intangible assets, valuation allowances on tax assets, pension and postretirement benefit obligations, contingencies and the identification and valuation of assets acquired and liabilities assumed in connection with business combinations. |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Leases [Abstract] | |
Lessee, Supplemental Balance Sheet Information Related To Leases | The following table presents lease assets and liabilities and their balance sheet classification: Classification As of As of Operating Leases: Right-of-use assets Other assets $ 71,124 $ 70,045 Operating lease current liabilities Accrued expenses 21,891 21,128 Operating lease non-current liabilities Other liabilities 51,461 51,215 Finance Leases: Right-of-use assets Property, plant, and equipment, net $ 513 $ 540 Finance lease current liabilities Accrued expenses 169 162 Finance lease non-current liabilities Other liabilities 375 407 |
Lease, Cost | The components of lease expense for the first quarter ended July 5, 2020 and June 30, 2019 were as follows: Classification Quarter ended Quarter ended Operating Leases: Operating lease cost Operating expenses $ 6,936 $ 7,295 Variable lease cost Operating expenses 2,119 1,706 Short term lease cost Operating expenses 1,829 2,184 Finance Leases: Depreciation Operating expenses $ 42 $ 143 Interest expense Interest expense 7 12 Total $ 10,933 $ 11,340 |
Lessee, Supplemental Information Related To Leases | The following table presents the weighted average lease term and discount rates for leases as of July 5, 2020: Operating Leases: Weighted average remaining lease term 6 years Weighted average discount rate 5.11% Finance Leases: Weighted average remaining lease term 3.2 years Weighted average discount rate 4.92% |
Lessee, Operating Lease, Liability, Maturity | The following table presents future payments due under leases reconciled to lease liabilities as of July 5, 2020: Finance Leases Operating Leases Nine months ended March 31, 2021 $ 149 $ 19,170 Year ended March 31, 2022 201 21,086 2023 158 14,239 2024 107 8,866 2025 15 5,641 Thereafter 10 16,763 Total undiscounted lease payments 640 85,765 Present value discount 96 12,413 Lease liability $ 544 $ 73,352 |
Finance Lease, Liability, Maturity | The following table presents future payments due under leases reconciled to lease liabilities as of July 5, 2020: Finance Leases Operating Leases Nine months ended March 31, 2021 $ 149 $ 19,170 Year ended March 31, 2022 201 21,086 2023 158 14,239 2024 107 8,866 2025 15 5,641 Thereafter 10 16,763 Total undiscounted lease payments 640 85,765 Present value discount 96 12,413 Lease liability $ 544 $ 73,352 |
Lessee, Supplemental Cash Flow Information Related To Leases | The following table presents supplemental disclosures of cash flow information related to leases for the first quarter ended July 5, 2020 and June 30, 2019: Quarter ended Quarter ended Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 7 $ 12 Operating cash flows from operating leases 6,921 7,213 Financing cash flows from finance leases 41 142 Supplemental non-cash information on lease liabilities arising from right-of-use assets: Right-of-use assets obtained in exchange for new finance lease liabilities $ — $ — Right-of-use assets obtained in exchange for new operating lease liabilities 6,177 2,628 |
Acquisition (Tables)
Acquisition (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Business Combinations [Abstract] | |
Schedule of Intangible Assets | Information regarding the Company’s other intangible assets are as follows: Balance as of July 5, 2020 March 31, 2020 Gross Amount Accumulated Amortization Net Amount Gross Amount Accumulated Amortization Net Amount Indefinite-lived intangible assets: Trademarks $ 147,749 $ (957) $ 146,792 $ 147,356 $ (953) $ 146,403 Finite-lived intangible assets: Customer relationships 294,732 (70,685) 224,047 292,155 (64,855) 227,300 Non-compete 3,038 (2,824) 214 3,021 (2,817) 204 Technology 96,536 (22,746) 73,790 96,047 (20,349) 75,698 Trademarks 8,008 (2,245) 5,763 8,008 (1,928) 6,080 Licenses 1,196 (1,196) — 1,196 (1,196) — Total $ 551,259 $ (100,653) $ 450,606 $ 547,783 $ (92,098) $ 455,685 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Inventory Disclosure [Abstract] | |
Summary Of Inventories | Inventories, net consist of: July 5, 2020 March 31, 2020 Raw materials $ 144,185 $ 141,906 Work-in-process 88,091 91,520 Finished goods 278,322 286,034 Total $ 510,598 $ 519,460 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Fair Value Disclosures [Abstract] | |
Financial Assets And (Liabilities), Measured At Fair Value On A Recurring Basis | The following tables represent the financial assets and (liabilities) measured at fair value on a recurring basis as of July 5, 2020 and March 31, 2020, and the basis for that measurement: Total Fair Value Measurement Quoted Price in Significant Significant Lead forward contracts $ 3 $ — $ 3 $ — Foreign currency forward contracts 93 — 93 — Total derivatives $ 96 $ — $ 96 $ — Total Fair Value Quoted Price in Significant Significant Lead forward contracts $ (2,433) $ — $ (2,433) $ — Foreign currency forward contracts 1 — 1 — Total derivatives $ (2,432) $ — $ (2,432) $ — |
Carrying Amounts And Estimated Fair Values Of Company's Financial Instruments | The carrying amounts and estimated fair values of the Company’s derivatives and Senior Notes at July 5, 2020 and March 31, 2020 were as follows: July 5, 2020 March 31, 2020 Carrying Fair Value Carrying Fair Value Financial assets: Derivatives (1) $ 96 $ 96 $ — $ — Financial liabilities: Senior Notes (2) $ 600,000 $ 606,000 $ 600,000 $ 573,000 Derivatives (1) — — 2,432 2,432 (1) Represents lead and foreign currency forward contracts (see Note 7 for asset and liability positions of the lead and foreign currency forward contracts at July 5, 2020 and March 31, 2020). (2) The fair value amount of the Senior Notes at July 5, 2020 and March 31, 2020 represent the trading value of the instruments. |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair Value of Derivative Instruments | Presented below in tabular form is information on the location and amounts of derivative fair values in the Consolidated Condensed Balance Sheets and derivative gains and losses in the Consolidated Condensed Statements of Income: Fair Value of Derivative Instruments July 5, 2020 and March 31, 2020 Derivatives and Hedging Activities Designated as Cash Flow Hedges Derivatives and Hedging Activities Not Designated as Hedging Instruments July 5, 2020 March 31, 2020 July 5, 2020 March 31, 2020 Prepaid and other current assets: Lead forward contracts $ 3 $ — $ — $ — Foreign currency forward contracts 72 — 21 375 Total assets $ 75 $ — $ 21 $ 375 Accrued expenses: Lead forward contracts $ — $ 2,433 $ — $ — Foreign currency forward contracts — 374 — — Total liabilities $ — $ 2,807 $ — $ — |
The Effect Of Derivative Instruments On Consolidated Condensed Statements Of Income | The Effect of Derivative Instruments on the Consolidated Condensed Statements of Income For the quarter ended July 5, 2020 Derivatives Designated as Cash Flow Hedges Pretax Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) Location of Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Lead forward contracts $ (1,274) Cost of goods sold $ (3,799) Foreign currency forward contracts 261 Cost of goods sold (283) Total $ (1,013) $ (4,082) Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Recognized in Income on Derivatives Pretax Gain (Loss) Foreign currency forward contracts Other (income) expense, net $ 262 Total $ 262 The Effect of Derivative Instruments on the Consolidated Condensed Statements of Income For the quarter ended June 30, 2019 Derivatives Designated as Cash Flow Hedges Pretax Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) Location of Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Lead forward contracts $ (2,494) Cost of goods sold $ 441 Foreign currency forward contracts 103 Cost of goods sold 217 Total $ (2,391) $ 658 Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Recognized in Income on Derivatives Pretax Gain (Loss) Foreign currency forward contracts Other (income) expense, net $ 34 Total $ 34 |
Warranty (Tables)
Warranty (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Product Warranties Disclosures [Abstract] | |
Analysis Of Changes In Liability For Product Warranties | An analysis of changes in the liability for product warranties is as follows: Quarter ended July 5, 2020 June 30, 2019 Balance at beginning of period $ 63,525 $ 54,568 Current period provisions 6,974 7,519 Costs incurred (11,310) (5,948) Foreign currency translation adjustment 582 40 Balance at end of period $ 59,771 $ 56,179 |
Restructuring Plans (Tables)
Restructuring Plans (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Restructuring and Related Activities [Abstract] | |
Reconciliation of Restructuring Reserve | The charges for the first quarter of fiscal 2021 relate to severance payments and are presented by reportable segments as follows: Energy Systems Motive Power Specialty Total Restructuring charges $ 507 $ 762 $ 134 $ 1,403 A roll-forward of the restructuring reserve is as follows: Balance as of March 31, 2020 $ 3,325 Accrued 1,403 Costs incurred (1,291) Foreign currency impact 140 Balance as of July 5, 2020 $ 3,577 |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Debt Disclosure [Abstract] | |
Long-Term Debt And Capital Lease Obligations | The following summarizes the Company’s long-term debt as of July 5, 2020 and March 31, 2020: July 5, 2020 March 31, 2020 Principal Unamortized Issuance Costs Principal Unamortized Issuance Costs Senior Notes $ 600,000 $ 6,006 $ 600,000 $ 6,306 Amended Credit Facility, due 2022 488,487 1,969 513,224 2,187 $ 1,088,487 $ 7,975 $ 1,113,224 $ 8,493 Less: Unamortized issuance costs 7,975 8,493 Long-term debt, net of unamortized issuance costs $ 1,080,512 $ 1,104,731 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Retirement Benefits [Abstract] | |
Net Periodic Benefit Cost Related To Defined Benefit Pension Plans | The following tables present the components of the Company’s net periodic benefit cost related to its defined benefit pension plans: United States Plans International Plans Quarter ended Quarter ended July 5, 2020 June 30, 2019 July 5, 2020 June 30, 2019 Service cost $ — $ — $ 235 $ 235 Interest cost 132 154 327 376 Expected return on plan assets (65) (112) (447) (538) Amortization and deferral 133 52 244 253 Net periodic benefit cost $ 200 $ 94 $ 359 $ 326 |
Stockholders' Equity and Nonc_2
Stockholders' Equity and Noncontrolling Interests (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Equity [Abstract] | |
Change In Number Of Shares Of Common Stock Outstanding | The following demonstrates the change in the number of shares of common stock outstanding during the first quarter ended July 5, 2020: Shares outstanding as of March 31, 2020 42,323,305 Shares issued under equity-based compensation plans, net of equity awards surrendered for option price and taxes 141,889 Shares outstanding as of July 5, 2020 42,465,194 |
Components Of Accumulated Other Comprehensive Income | The components of AOCI, net of tax, as of July 5, 2020 and March 31, 2020, are as follows: March 31, 2020 Before Reclassifications Amounts Reclassified from AOCI July 5, 2020 Pension funded status adjustment $ (22,794) $ — $ 291 $ (22,503) Net unrealized (loss) gain on derivative instruments (5,923) (773) 3,116 (3,580) Foreign currency translation adjustment (186,289) 28,139 — (158,150) Accumulated other comprehensive (loss) income $ (215,006) $ 27,366 $ 3,407 $ (184,233) |
Reclassification from Accumulated Other Comprehensive Income | The following table presents reclassifications from AOCI during the first quarter ended July 5, 2020: Components of AOCI Amounts Reclassified from AOCI Location of (Gain) Loss Recognized on Income Statement Derivatives in cash flow hedging relationships: Net unrealized loss on derivative instruments $ 4,082 Cost of goods sold Tax benefit (966) Net unrealized loss on derivative instruments, net of tax $ 3,116 Defined benefit pension costs: Prior service costs and deferrals $ 377 Net periodic benefit cost, included in other (income) expense, net - See Note 13 Tax benefit (86) Net periodic benefit cost, net of tax $ 291 The following table presents reclassifications from AOCI during the first quarter ended June 30, 2019: Components of AOCI Amounts Reclassified from AOCI Location of (Gain) Loss Recognized on Income Statement Derivatives in cash flow hedging relationships: Net unrealized gain on derivative instruments $ (658) Cost of goods sold Tax expense 156 Net unrealized gain on derivative instruments, net of tax $ (502) Defined benefit pension costs: Prior service costs and deferrals $ 305 Net periodic benefit cost, included in other (income) expense, net - See Note 13 Tax benefit (68) Net periodic benefit cost, net of tax $ 237 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Weighted Average Number of Shares | The following table sets forth the reconciliation from basic to diluted weighted-average number of common shares outstanding and the calculations of net earnings per common share attributable to EnerSys stockholders. Quarter ended July 5, 2020 June 30, 2019 Net earnings attributable to EnerSys stockholders $ 35,183 $ 48,636 Weighted-average number of common shares outstanding: Basic 42,385,888 42,656,339 Dilutive effect of: Common shares from exercise and lapse of equity awards, net of shares assumed reacquired 546,166 462,095 Diluted weighted-average number of common shares outstanding 42,932,054 43,118,434 Basic earnings per common share attributable to EnerSys stockholders $ 0.83 $ 1.14 Diluted earnings per common share attributable to EnerSys stockholders $ 0.82 $ 1.13 Anti-dilutive equity awards not included in diluted weighted-average common shares 386,263 656,810 |
Business Segments Business Segm
Business Segments Business Segments (Tables) | 3 Months Ended |
Jul. 05, 2020 | |
Segment Reporting [Abstract] | |
Selected Financial Data for Reportable Business Segments and Product Lines | Summarized financial information related to the Company's reportable segments for the first quarter ended July 5, 2020 and June 30, 2019, is shown below: Quarter ended July 5, 2020 June 30, 2019 Net sales by segment to unaffiliated customers Energy Systems $ 353,387 $ 353,893 Motive Power 262,834 344,387 Specialty 88,703 81,950 Total net sales $ 704,924 $ 780,230 Operating earnings by segment Energy Systems $ 22,085 $ 23,587 Motive Power 27,276 37,098 Specialty 5,246 10,023 Restructuring charges - Energy Systems (512) (1,110) Restructuring charges - Motive Power (762) (558) Restructuring and other exit charges - Specialty (113) (704) Total operating earnings (1) $ 53,220 $ 68,336 (1) The Company does not allocate interest expense or other (income) expense to the reportable segments. (2) The Company does not identify or allocate assets by reportable segment, nor does the CODM evaluate reportable segments using discrete asset information. Energy Systems Motive Power Specialty Total Balance at March 31, 2020 $ 263,150 $ 308,497 $ 92,289 $ 663,936 Foreign currency translation adjustment 4,971 6,119 1,641 12,731 Balance as of July 5, 2020 $ 268,121 $ 314,616 $ 93,930 $ 676,667 |
Basis of Presentation - Allowan
Basis of Presentation - Allowance for Doubtful Accounts (Details) $ in Thousands | 3 Months Ended |
Jul. 05, 2020USD ($) | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |
Balance at Beginning of Period | $ 15,246 |
Provision for doubtful debts | 96 |
Write-offs, net of recoveries and other | (2,113) |
Balance at End of Period | $ 13,229 |
Revenue Recognition - (Addition
Revenue Recognition - (Additional Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jul. 05, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | |
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 704,924 | $ 780,230 | |
Remaining performance obligation | 92,632 | ||
Contract with customer, liability, current portion | 14,941 | $ 17,342 | |
Contract with customer, liability, noncurrent portion | 8,314 | 8,356 | |
Deferred Revenue, Revenue Recognized | 3,466 | 4,467 | |
Unbilled contracts receivable | 44,792 | $ 39,048 | |
Right to recover product | 4,265 | ||
Refund liability | 6,970 | ||
Transferred over Time | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 36,102 | 41,495 | |
Service | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 68,758 | $ 79,147 |
Revenue Recognition - (Remainin
Revenue Recognition - (Remaining Performance Obligation) (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Jul. 05, 2020 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Remaining performance obligation | $ 92,632 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Remaining performance obligation | $ 66,604 | |
Remaining performance obligation, timing of satisfaction | 9 months | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-04-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Remaining performance obligation | $ 24,149 | |
Remaining performance obligation, timing of satisfaction | 1 year | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-04-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Remaining performance obligation | 1,808 | |
Remaining performance obligation, timing of satisfaction | 1 year | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-04-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Remaining performance obligation | 18 | |
Remaining performance obligation, timing of satisfaction | 1 year | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-04-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Remaining performance obligation | $ 53 | |
Remaining performance obligation, timing of satisfaction | 1 year |
Leases - (Additional Informatio
Leases - (Additional Information) (Details) | Jul. 05, 2020 |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Contract term | 1 year |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Contract term | 17 years |
Leases - (Balance Sheet Classif
Leases - (Balance Sheet Classification) (Details) - USD ($) $ in Thousands | Jul. 05, 2020 | Mar. 31, 2020 |
Leases [Abstract] | ||
Operating lease right-of-use asset | $ 71,124 | $ 70,045 |
Operating lease current liabilities | 21,891 | 21,128 |
Operating lease non-current liabilities | 51,461 | 51,215 |
Finance lease right-of-use asset | 513 | 540 |
Finance lease current liabilities | 169 | 162 |
Finance lease non-current liabilities | $ 375 | $ 407 |
Leases - (Lease Cost) (Details)
Leases - (Lease Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
Operating Leases: | ||
Operating lease cost | $ 6,936 | $ 7,295 |
Variable lease cost | 2,119 | 1,706 |
Short term lease cost | 1,829 | 2,184 |
Finance Leases: | ||
Depreciation | 42 | 143 |
Interest expense | 7 | 12 |
Total | $ 10,933 | $ 11,340 |
Leases - (Additional Informat_2
Leases - (Additional Information Related to Leases) (Details) | Jul. 05, 2020 |
Operating Leases: | |
Weighted average remaining lease term | 6 years |
Weighted average discount rate | 5.11% |
Finance Leases: | |
Weighted average remaining lease term | 3 years 2 months 12 days |
Weighted average discount rate | 4.92% |
Leases - (Finance and Operating
Leases - (Finance and Operating Lease Maturity Schedules) (Details) $ in Thousands | Jul. 05, 2020USD ($) |
Finance Leases | |
Nine months ended March 31, 2021 | $ 149 |
Year ended March 31, 2021 | 201 |
Year ended March 31, 2022 | 158 |
Year ended March 31, 2023 | 107 |
Year ended March 31, 2024 | 15 |
Thereafter | 10 |
Total undiscounted lease payments | 640 |
Present value discount | 96 |
Lease liability | 544 |
Operating Leases | |
Nine months ended March 31, 2021 | 19,170 |
Year ended March 31, 2021 | 21,086 |
Year ended March 31, 2022 | 14,239 |
Year ended March 31, 2023 | 8,866 |
Year ended March 31, 2024 | 5,641 |
Thereafter | 16,763 |
Total undiscounted lease payments | 85,765 |
Present value discount | 12,413 |
Lease liability | $ 73,352 |
Leases - (Supplemental Cash Flo
Leases - (Supplemental Cash Flow Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows from finance leases | $ 7 | $ 12 |
Operating cash flows from operating leases | 6,921 | 7,213 |
Financing cash flows from finance leases | 41 | 142 |
Supplemental non-cash information on lease liabilities arising from right-of-use assets: | ||
Right-of-use assets obtained in exchange for new finance lease liabilities | 0 | 0 |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 6,177 | $ 2,628 |
Acquisitions - (Additional Info
Acquisitions - (Additional Information) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | |
Business Acquisition [Line Items] | |||
Goodwill | $ 676,667 | $ 663,936 | |
Estimated tax-deductible goodwill | 72,056 | ||
Amortization of intangible assets | 8,555 | $ 7,316 | |
Amortization of intangible assets, remainder of 2020 | 24,104 | ||
Amortization of intangible assets, 2021 | 32,420 | ||
Amortization of intangible assets, 2022 | 31,122 | ||
Amortization of intangible assets, 2023 | 27,725 | ||
Amortization of intangible assets, 2024 | $ 26,494 | ||
N Holding AB | |||
Business Acquisition [Line Items] | |||
Payments to acquire businesses | 77,777 | ||
Debt assumed | 107,018 | ||
Goodwill | $ 73,788 | ||
N Holding AB | Developed Technology Rights | |||
Business Acquisition [Line Items] | |||
Acquired intangible assets | $ 19,000 | ||
Useful life of intangible assets | 10 years | ||
N Holding AB | Trademarks | |||
Business Acquisition [Line Items] | |||
Acquired intangible assets | $ 6,000 | ||
Useful life of intangible assets | 5 years | ||
N Holding AB | Customer relationships | |||
Business Acquisition [Line Items] | |||
Acquired intangible assets | $ 9,000 | ||
Minimum | N Holding AB | Customer relationships | |||
Business Acquisition [Line Items] | |||
Useful life of intangible assets | 15 years | ||
Maximum | N Holding AB | Customer relationships | |||
Business Acquisition [Line Items] | |||
Useful life of intangible assets | 18 years |
Acquisitions - (Other Intangibl
Acquisitions - (Other Intangible Assets) (Details) - USD ($) $ in Thousands | Jul. 05, 2020 | Mar. 31, 2020 |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Total intangible assets, gross amount | $ 551,259 | $ 547,783 |
Total intangible assets, accumulated amortization | (100,653) | (92,098) |
Total intangible assets, net amount | 450,606 | 455,685 |
Customer relationships | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross amount | 294,732 | 292,155 |
Finite-lived intangible assets, accumulated amortization | (70,685) | (64,855) |
Finite-lived intangible assets, net amount | 224,047 | 227,300 |
Non-compete | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross amount | 3,038 | 3,021 |
Finite-lived intangible assets, accumulated amortization | (2,824) | (2,817) |
Finite-lived intangible assets, net amount | 214 | 204 |
Technology | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross amount | 96,536 | 96,047 |
Finite-lived intangible assets, accumulated amortization | (22,746) | (20,349) |
Finite-lived intangible assets, net amount | 73,790 | 75,698 |
Trademarks | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets, gross amount | 147,749 | 147,356 |
Indefinite-lived intangible assets, accumulated amortization | (957) | (953) |
Indefinite-lived intangible assets, net amount | 146,792 | 146,403 |
Finite-lived intangible assets, gross amount | 8,008 | 8,008 |
Finite-lived intangible assets, accumulated amortization | (2,245) | (1,928) |
Finite-lived intangible assets, net amount | 5,763 | 6,080 |
Licenses | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross amount | 1,196 | 1,196 |
Finite-lived intangible assets, accumulated amortization | (1,196) | (1,196) |
Finite-lived intangible assets, net amount | $ 0 | $ 0 |
Inventories - (Details)
Inventories - (Details) - USD ($) $ in Thousands | Jul. 05, 2020 | Mar. 31, 2020 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 144,185 | $ 141,906 |
Work-in-process | 88,091 | 91,520 |
Finished goods | 278,322 | 286,034 |
Total | $ 510,598 | $ 519,460 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - (Financial Assets and Liabilities) (Details) - USD ($) $ in Thousands | Jul. 05, 2020 | Mar. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative fair value | $ 96 | $ (2,432) |
Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative fair value | 96 | (2,432) |
Lead forward contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative fair value | 3 | (2,433) |
Lead forward contracts | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative fair value | 3 | (2,433) |
Foreign currency forward contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative fair value | 93 | 1 |
Foreign currency forward contracts | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative fair value | $ 93 | $ 1 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments - (Additional Information) (Details) - USD ($) $ in Thousands | Jul. 05, 2020 | Mar. 31, 2020 | Dec. 11, 2019 | Apr. 23, 2015 |
4.375% Senior Notes due 2027 | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Interest rate | 4.375% | 4.375% | ||
Long-term debt | $ 300,000 | $ 300,000 | ||
Face value of trades, percentage | 99.00% | 94.00% | ||
5.00% Senior Notes due 2023 | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Interest rate | 5.00% | 5.00% | ||
Long-term debt | $ 300,000 | $ 300,000 | ||
Face value of trades, percentage | 103.00% | 97.00% |
Fair Value of Financial Instr_5
Fair Value of Financial Instruments - (Carrying Amounts and Estimated Fair Values) (Details) - USD ($) $ in Thousands | Jul. 05, 2020 | Mar. 31, 2020 |
Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative asset | $ 96 | $ 0 |
Notes | 600,000 | 600,000 |
Derivative liability | 0 | 2,432 |
Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative asset | 96 | 0 |
Notes | 606,000 | 573,000 |
Derivative liability | $ 0 | $ 2,432 |
Derivative Financial Instrume_3
Derivative Financial Instruments - (Additional Information) (Details) $ in Thousands, lb in Millions | Jul. 05, 2020USD ($)lb | Mar. 31, 2020USD ($)lb |
Cost of Sales | ||
Derivatives, Fair Value [Line Items] | ||
Foreign currency cash flow hedge loss to be reclassified during next 12 months | $ 4,569 | |
Lead forward contracts | ||
Derivatives, Fair Value [Line Items] | ||
Notional amount in pounds | lb | 24 | 35 |
Fair value of hedges, net | $ 19,299 | $ 30,078 |
Foreign currency forward contracts | ||
Derivatives, Fair Value [Line Items] | ||
Derivative notional amount | 9,062 | 34,008 |
Foreign currency forward contracts | Derivatives and Hedging Activities Not Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Derivative notional amount | $ 19,618 | $ 42,232 |
Derivative Financial Instrume_4
Derivative Financial Instruments - (Location and Amounts of Derivative Fair Values) (Details) - USD ($) $ in Thousands | Jul. 05, 2020 | Mar. 31, 2020 |
Derivatives and Hedging Activities Designated as Cash Flow Hedges | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | $ 75 | $ 0 |
Derivatives liabilities, fair value | 0 | 2,807 |
Derivatives and Hedging Activities Not Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 21 | 375 |
Derivatives liabilities, fair value | 0 | 0 |
Foreign currency forward contracts | Derivatives and Hedging Activities Designated as Cash Flow Hedges | Accrued expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives liabilities, fair value | 0 | 374 |
Foreign currency forward contracts | Derivatives and Hedging Activities Designated as Cash Flow Hedges | Prepaid and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 72 | 0 |
Foreign currency forward contracts | Derivatives and Hedging Activities Not Designated as Hedging Instruments | Accrued expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives liabilities, fair value | 0 | 0 |
Foreign currency forward contracts | Derivatives and Hedging Activities Not Designated as Hedging Instruments | Prepaid and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 21 | 375 |
Lead forward contracts | Derivatives and Hedging Activities Designated as Cash Flow Hedges | Accrued expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives liabilities, fair value | 0 | 2,433 |
Lead forward contracts | Derivatives and Hedging Activities Designated as Cash Flow Hedges | Prepaid and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 3 | 0 |
Lead forward contracts | Derivatives and Hedging Activities Not Designated as Hedging Instruments | Accrued expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives liabilities, fair value | 0 | 0 |
Lead forward contracts | Derivatives and Hedging Activities Not Designated as Hedging Instruments | Prepaid and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | $ 0 | $ 0 |
Derivative Financial Instrume_5
Derivative Financial Instruments - (Derivatives Designated as Cash Flow Hedges) (Details) - Derivatives Designated as Cash Flow Hedges - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Pretax Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) | $ (1,013) | $ (2,391) |
Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | (4,082) | 658 |
Lead forward contracts | Cost of Sales | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Pretax Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) | (1,274) | (2,494) |
Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | (3,799) | 441 |
Foreign currency forward contracts | Cost of Sales | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Pretax Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) | 261 | 103 |
Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | $ (283) | $ 217 |
Derivative Financial Instrume_6
Derivative Financial Instruments - (Derivatives Not Designated as Hedging Instruments) (Details) - Derivatives Not Designated as Hedging Instruments $ in Thousands | 3 Months Ended |
Jul. 05, 2020USD ($) | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Derivatives Not Designated as Hedging Instruments | $ 262 |
Other Income Expense | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Derivatives Not Designated as Hedging Instruments | $ 262 |
Income Taxes - (Additional Info
Income Taxes - (Additional Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jul. 05, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
Deferred Tax Assets, Goodwill and Intangible Assets | $ 22,500 | ||
Additional tax benefit recognized | $ 1,883 | ||
Effective income tax rates | 15.40% | 17.00% | |
Foreign income as a percentage of worldwide income | 69.00% | 64.00% | |
Foreign effective income tax rates | 9.00% | 11.50% | |
Tax rate of Swiss subsidiary | 6.00% | 6.00% |
Warranty - (Analysis of Changes
Warranty - (Analysis of Changes in the Liability) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
Product Warranties Disclosures [Abstract] | ||
Balance at beginning of period | $ 63,525 | $ 54,568 |
Current period provisions | 6,974 | 7,519 |
Costs incurred | (11,310) | (5,948) |
Foreign currency translation adjustment | 582 | 40 |
Balance at end of period | $ 59,771 | $ 56,179 |
Commitments, Contingencies an_2
Commitments, Contingencies and Litigation - (Additional Information) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |
Feb. 29, 2016 | Jul. 05, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | |
Commitments, Contingencies And Litigation [Line Items] | ||||
Provision for environmental liabilities | $ 1,060 | $ 1,060 | ||
Belgium Anti-Competition Proceeding | ||||
Commitments, Contingencies And Litigation [Line Items] | ||||
Penalties paid relating to anti-competition investigations | $ 1,962 | $ 2,402 |
Restructuring Plans - (Addition
Restructuring Plans - (Additional Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 15 Months Ended | |||
Jul. 05, 2020 | Jun. 30, 2019 | Sep. 30, 2019 | Jul. 05, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | |
Restructuring Cost and Reserve [Line Items] | ||||||
Expected remaining cost | $ 6,500 | $ 6,500 | ||||
Restructuring charges | 1,387 | $ 2,372 | ||||
Employee Severance | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 1,403 | |||||
Restructuring costs incurred | 1,291 | |||||
Energy Systems | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 512 | 1,110 | ||||
Energy Systems | Employee Severance | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 507 | |||||
Motive Power | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 762 | 558 | ||||
Motive Power | Employee Severance | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 762 | |||||
Specialty | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 113 | 704 | ||||
Specialty | Employee Severance | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 134 | |||||
Closure Of Facility In Targovishte Bulgaria | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Expected remaining cost | $ 30,000 | |||||
Restructuring charges | $ 20,242 | |||||
Richmond Kentucky Battery Formation Area Fire | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 9,274 | 17,037 | $ 26,311 | |||
Expected additional restructuring charges | 50,000 | 50,000 | ||||
Prepaid Insurance | 10,000 | 10,000 | $ 12,000 | |||
Restructuring costs incurred | $ 3,700 | $ 5,000 | $ 8,700 | $ 22,000 |
Restructuring Plans - (Roll-for
Restructuring Plans - (Roll-forward of Restructuring Reserve) (Details) - Employee Severance $ in Thousands | 3 Months Ended |
Jul. 05, 2020USD ($) | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring reserve, beginning balance | $ 3,325 |
Accrued | 1,403 |
Costs incurred | (1,291) |
Foreign currency impact | 140 |
Restructuring reserve, ending balance | $ 3,577 |
Debt - (Long-term Debt Includin
Debt - (Long-term Debt Including Capital Lease Obligations) (Details) - USD ($) $ in Thousands | Jul. 05, 2020 | Mar. 31, 2020 |
Debt Instrument [Line Items] | ||
Debt and capital lease obligations | $ 1,088,487 | $ 1,113,224 |
Unamortized Issuance Costs | 7,975 | 8,493 |
Long-term debt, net of unamortized issuance costs | 1,080,512 | 1,104,731 |
Senior Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | 600,000 | 600,000 |
Unamortized Issuance Costs | 6,006 | 6,306 |
Secured Debt | Incremental Commitment Agreement | Amended Credit Facility, due 2022 | ||
Debt Instrument [Line Items] | ||
Incremental term loan commitment | 488,487 | 513,224 |
Unamortized Issuance Costs | $ 1,969 | $ 2,187 |
Debt - (Additional Information)
Debt - (Additional Information) (Details) | Dec. 11, 2019USD ($) | Aug. 04, 2017USD ($) | Jul. 05, 2020USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2020USD ($) | Dec. 28, 2019 | Mar. 31, 2019USD ($) | Mar. 31, 2019CAD ($) | Apr. 23, 2015USD ($) |
Debt Instrument [Line Items] | |||||||||
Increase in borrowing capacity limit | $ 325,000,000 | ||||||||
Company owned capital stock, percentage securing senior secured credit facility | 65.00% | ||||||||
Short-term debt | $ 46,762,000 | $ 46,544,000 | |||||||
Short-term debt, weighted average interest rate | 2.00% | 3.00% | |||||||
Amortization expense relating to debt issuance costs and included in interest expense | $ 518,000 | $ 378,000 | |||||||
Deferred issuance costs, net of accumulated amortization | 7,975,000 | $ 8,493,000 | |||||||
4.375% Senior Notes due 2027 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 300,000,000 | $ 300,000,000 | |||||||
Interest rate | 4.375% | 4.375% | |||||||
Proceeds from issuance of debt, net of debt issuance costs | $ 296,250,000 | ||||||||
5.00% Senior Notes due 2023 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 300,000,000 | $ 300,000,000 | |||||||
Interest rate | 5.00% | 5.00% | |||||||
Standby Letters of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Available lines of credit | $ 701,255,000 | 693,640,000 | |||||||
Stand by letters of credit | 7,720,000 | 7,720,000 | |||||||
Outstanding amount | 93,561,000 | $ 105,946,000 | |||||||
Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Consideration transferred | 250,000 | ||||||||
Amended Credit Facility, due 2022 | Revolving Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | $ 600,000,000 | $ 100,000,000 | |||||||
Available lines of credit | 88,000,000 | ||||||||
Amended Credit Facility, due 2022 | Secured Debt | |||||||||
Debt Instrument [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | 299,105,000 | ||||||||
Debt instrument, face amount | $ 150,000,000 | ||||||||
Available lines of credit | 400,487,000 | ||||||||
Current portion of long-term debt | $ 42,009,000 | ||||||||
Amended 2017 Term Loan | Term Loan | |||||||||
Debt Instrument [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | 99,105,000 | ||||||||
Amended 2017 Term Loan | Secured Debt | |||||||||
Debt Instrument [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | 449,105,000 | $ 133,050,000 | |||||||
Amended 2017 Revolver | Secured Debt | |||||||||
Debt Instrument [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | $ 700,000,000 | ||||||||
LIBOR | 2017 Revolver And 2017 Term Loan | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 1.50% | ||||||||
LIBOR | 2017 Revolver And 2017 Term Loan | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 1.25% | ||||||||
LIBOR | 2017 Revolver And 2017 Term Loan | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 2.00% | ||||||||
Federal Funds Effective Rate | 2017 Revolver And 2017 Term Loan | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 0.50% | ||||||||
Eurocurrency Base Rate | 2017 Revolver And 2017 Term Loan | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 1.00% | ||||||||
CDOR | 2017 Revolver And 2017 Term Loan | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 0.50% | ||||||||
Debt Instrument Quarterly Installments Beginning December 31, 2018 Through December 30, 2019 | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument, periodic payment | $ 5,645,000 | ||||||||
Debt Instrument Quarterly Installments Beginning December 31, 2019 Through December 30, 2020 | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument, periodic payment | 8,468,000 | ||||||||
Debt Instrument Quarterly Installments Beginning December 31, 2020 Through September 29, 2022 | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument, periodic payment | 11,290,000 | ||||||||
Debt Instrument Final Installments Payable On September 30, 2022 | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument, periodic payment | $ 320,000,000 | ||||||||
Maximum Leverage Ratio | |||||||||
Debt Instrument [Line Items] | |||||||||
Measurement input | 3.50 | 4 | |||||||
Maximum Leverage Ratio | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Measurement input | 3.50 | ||||||||
Maximum Leverage Ratio | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Measurement input | 4 | ||||||||
Prior to September 15, 2027 | 4.375% Senior Notes due 2027 | |||||||||
Debt Instrument [Line Items] | |||||||||
Redemption percentage | 100.00% | ||||||||
On or after September 15, 2027 | 4.375% Senior Notes due 2027 | |||||||||
Debt Instrument [Line Items] | |||||||||
Redemption percentage | 100.00% | ||||||||
Change of control triggering event | 4.375% Senior Notes due 2027 | |||||||||
Debt Instrument [Line Items] | |||||||||
Redemption percentage | 101.00% |
Retirement Plans - (Net Periodi
Retirement Plans - (Net Periodic Benefit Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
United States Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | $ 0 | $ 0 |
Interest cost | 132 | 154 |
Expected return on plan assets | (65) | (112) |
Amortization and deferral | 133 | 52 |
Net periodic benefit cost | 200 | 94 |
International Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | 235 | 235 |
Interest cost | 327 | 376 |
Expected return on plan assets | (447) | (538) |
Amortization and deferral | 244 | 253 |
Net periodic benefit cost | $ 359 | $ 326 |
Stock-Based Compensation - (Add
Stock-Based Compensation - (Additional Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares available for future grants | 4,173,554 | |
Equity-based compensation expense | $ 5,053 | $ 3,874 |
RSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vested restricted stock units (in shares) | 120,390 | |
Awards outstanding (in shares) | 755,489 | |
TSRs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Awards outstanding (in shares) | 128,375 | |
Employee Stock Options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock options exercised (in shares) | 8,323 | |
PSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Awards outstanding (in shares) | 101,406 | |
Non-employee Directors | RSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock unit grants during period (in shares) | 3,353 | |
Non-employee Directors | TSRs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock unit grants during period (in shares) | 65,096 | |
Management and Other Key Employees | Employee Stock Options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock option grants outstanding (in shares) | 778,939 |
Stockholders' Equity and Nonc_3
Stockholders' Equity and Noncontrolling Interests - (Change in the Number of Shares of Common Stock Outstanding) (Details) - shares | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
Common Stock Outstanding Roll Forward | ||
Shares outstanding, beginning balance (in shares) | 42,323,305 | |
Purchase of treasury stock (in shares) | 0 | 376,343 |
Shares issued towards equity-based compensation plans, net of equity awards surrendered for option price and taxes (in shares) | 141,889 | |
Shares outstanding, ending balance (in shares) | 42,465,194 |
Stockholders' Equity and Nonc_4
Stockholders' Equity and Noncontrolling Interests - (Treasury Stock) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||
Jul. 05, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | |
Equity [Abstract] | |||
Purchase of treasury stock (in shares) | 0 | 376,343 | |
Treasury stock purchased during period, value | $ 0 | $ 23,029 | |
Treasury stock (in shares) | 12,786,685 | 12,791,503 | |
Treasury shares issued (in shares) | 4,818 | ||
Treasury shares issued (in dollars per share) | $ 62.55 |
Stockholders' Equity and Nonc_5
Stockholders' Equity and Noncontrolling Interests - (Components of Accumulated Other Comprehensive Income) (Details) $ in Thousands | 3 Months Ended |
Jul. 05, 2020USD ($) | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Beginning balance | $ 1,304,062 |
Ending balance | 1,365,173 |
Pension funded status adjustment | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Beginning balance | 22,794 |
Before Reclassifications | 0 |
Amounts Reclassified from AOCI | (291) |
Ending balance | 22,503 |
Net unrealized (loss) gain on derivative instruments | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Beginning balance | (5,923) |
Before Reclassifications | 773 |
Amounts Reclassified from AOCI | 3,116 |
Ending balance | (3,580) |
Foreign currency translation adjustment | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Beginning balance | (186,289) |
Before Reclassifications | (28,139) |
Amounts Reclassified from AOCI | 0 |
Ending balance | (158,150) |
Accumulated other comprehensive (loss) income | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Beginning balance | (215,006) |
Before Reclassifications | 27,366 |
Amounts Reclassified from AOCI | 3,407 |
Ending balance | $ (184,233) |
Stockholders' Equity and Nonc_6
Stockholders' Equity and Noncontrolling Interests - (Reclassifications from AOCI) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Net unrealized loss on derivative instruments | $ (529,947) | $ (578,718) |
Derivatives in cash flow hedging relationships | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Tax expense (benefit) | (966) | 156 |
Net of tax | 3,116 | (502) |
Derivatives in cash flow hedging relationships | Reclassification out of Accumulated Other Comprehensive Income | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Net unrealized loss on derivative instruments | 4,082 | (658) |
Defined benefit pension costs | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Prior service costs and deferrals | 377 | 305 |
Tax expense (benefit) | (86) | (68) |
Net of tax | $ 291 | $ 237 |
- (Other Disclosures) (Details)
- (Other Disclosures) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |||
Jul. 05, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | Dec. 30, 2018 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | $ 1,304,062 | $ 1,286,017 | ||
Stock-based compensation | 5,053 | 3,874 | ||
Exercise of stock options | 481 | 38 | ||
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net | (3,135) | (6,081) | ||
Purchase of common stock | (23,029) | |||
Other | 176 | (80) | ||
Net earnings | 35,183 | 48,636 | ||
Dividends | (7,428) | (7,499) | ||
Other comprehensive income: | ||||
Pension funded status adjustment, net of tax | 291 | 237 | ||
Net unrealized gain (loss) on derivative instruments (net of tax) | 2,343 | (2,329) | ||
Foreign currency translation adjustment (excludes losses related to redeemable noncontrolling interests) | 28,147 | (3,211) | ||
Ending balance | $ 1,365,173 | $ 1,296,573 | ||
Dividends per common share (in dollars per share) | $ 0.175 | $ 0.175 | $ 0.175 | $ 0.175 |
Pension funded status adjustment, tax benefit (expense) | $ 86 | $ 141 | ||
Net unrealized gain (loss) on derivative instruments, tax (benefit) expense | $ 726 | $ 720 | ||
Preferred Stock | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | $ 0 | $ 0 | ||
Other comprehensive income: | ||||
Ending balance | 0 | 0 | ||
Common Stock | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 551 | 548 | ||
Exercise of stock options | 2 | 3 | ||
Other comprehensive income: | ||||
Ending balance | 553 | 551 | ||
Additional Paid-in Capital | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 529,100 | 512,696 | ||
Stock-based compensation | 5,053 | 3,874 | ||
Exercise of stock options | 479 | 35 | ||
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net | (3,135) | (6,081) | ||
Other | (123) | (80) | ||
Dividends | 172 | 133 | ||
Other comprehensive income: | ||||
Ending balance | 531,546 | 510,577 | ||
Treasury Stock | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | (564,376) | (530,760) | ||
Purchase of common stock | (23,029) | |||
Other | 299 | |||
Other comprehensive income: | ||||
Ending balance | (564,077) | (553,789) | ||
Retained Earnings | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 1,556,980 | 1,450,325 | ||
Net earnings | 35,183 | 48,636 | ||
Dividends | (7,600) | (7,632) | ||
Other comprehensive income: | ||||
Ending balance | 1,584,563 | 1,491,329 | ||
Accumulated Other Comprehensive Income (Loss) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | (215,006) | (142,682) | ||
Other comprehensive income: | ||||
Pension funded status adjustment, net of tax | 291 | 237 | ||
Net unrealized gain (loss) on derivative instruments (net of tax) | 2,343 | (2,329) | ||
Foreign currency translation adjustment (excludes losses related to redeemable noncontrolling interests) | 28,139 | (3,128) | ||
Ending balance | (184,233) | (147,902) | ||
Contra-Equity | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | (6,724) | (7,840) | ||
Other comprehensive income: | ||||
Ending balance | (6,724) | (7,840) | ||
Total EnerSys Stockholders’ Equity | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 1,300,525 | 1,282,287 | ||
Stock-based compensation | 5,053 | 3,874 | ||
Exercise of stock options | 481 | 38 | ||
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net | (3,135) | (6,081) | ||
Purchase of common stock | (23,029) | |||
Other | 176 | (80) | ||
Net earnings | 35,183 | 48,636 | ||
Dividends | (7,428) | (7,499) | ||
Other comprehensive income: | ||||
Pension funded status adjustment, net of tax | 291 | 237 | ||
Net unrealized gain (loss) on derivative instruments (net of tax) | 2,343 | (2,329) | ||
Foreign currency translation adjustment (excludes losses related to redeemable noncontrolling interests) | 28,139 | (3,128) | ||
Ending balance | 1,361,628 | 1,292,926 | ||
Non- redeemable Non- Controlling Interests | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 3,537 | 3,730 | ||
Net earnings | 0 | |||
Other comprehensive income: | ||||
Foreign currency translation adjustment (excludes losses related to redeemable noncontrolling interests) | 8 | (83) | ||
Ending balance | $ 3,545 | $ 3,647 |
Earnings Per Share - (Reconcili
Earnings Per Share - (Reconciliation from Basic to Diluted Average Common Shares) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Jul. 05, 2020 | Jun. 30, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Net earnings attributable to EnerSys stockholders | $ 48,636 | |
Basic weighted-average number of common shares outstanding (in shares) | 42,385,888 | 42,656,339 |
Common shares from exercise and lapse of equity awards, net of shares assumed reacquired (in shares) | 546,166 | 462,095 |
Diluted weighted-average number of common shares outstanding (in shares) | 42,932,054 | 43,118,434 |
Basic earnings per common share attributable to EnerSys stockholders (in dollars per share) | $ 0.83 | $ 1.14 |
Diluted earnings per common share attributable to EnerSys stockholders (in dollars per share) | $ 0.82 | $ 1.13 |
Anti-dilutive equity awards not included in diluted weighted-average common shares (in shares) | 386,263 | 656,810 |
Redeemable Noncontrolling Interest [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Net earnings attributable to EnerSys stockholders | $ 35,183 |
Business Segments - (Details)
Business Segments - (Details) $ in Thousands | 3 Months Ended | |
Jul. 05, 2020USD ($)segment | Jun. 30, 2019USD ($) | |
Segment Reporting Information [Line Items] | ||
Number of reportable segments | segment | 3 | |
Net sales | $ 704,924 | $ 780,230 |
Operating earnings by segment | 53,220 | 68,336 |
Restructuring charges | 1,387 | 2,372 |
Energy Systems | ||
Segment Reporting Information [Line Items] | ||
Net sales | 353,387 | 353,893 |
Operating earnings by segment | 22,085 | 23,587 |
Restructuring charges | 512 | 1,110 |
Motive Power | ||
Segment Reporting Information [Line Items] | ||
Net sales | 262,834 | 344,387 |
Operating earnings by segment | 27,276 | 37,098 |
Restructuring charges | 762 | 558 |
Specialty | ||
Segment Reporting Information [Line Items] | ||
Net sales | 88,703 | 81,950 |
Operating earnings by segment | 5,246 | 10,023 |
Restructuring charges | $ 113 | $ 704 |
Business Segments - (Goodwill)
Business Segments - (Goodwill) (Details) $ in Thousands | 3 Months Ended |
Jul. 05, 2020USD ($) | |
Segment Reporting Information [Line Items] | |
Balance at March 31, 2020 | $ 663,936 |
Foreign currency translation adjustment | 12,731 |
Balance as of July 5, 2020 | 676,667 |
Energy Systems | |
Segment Reporting Information [Line Items] | |
Balance at March 31, 2020 | 263,150 |
Foreign currency translation adjustment | 4,971 |
Balance as of July 5, 2020 | 268,121 |
Motive Power | |
Segment Reporting Information [Line Items] | |
Balance at March 31, 2020 | 308,497 |
Foreign currency translation adjustment | 6,119 |
Balance as of July 5, 2020 | 314,616 |
Specialty | |
Segment Reporting Information [Line Items] | |
Balance at March 31, 2020 | 92,289 |
Foreign currency translation adjustment | 1,641 |
Balance as of July 5, 2020 | $ 93,930 |
Subsequent Events - (Details)
Subsequent Events - (Details) | 3 Months Ended |
Jul. 05, 2020$ / shares | |
Subsequent Event | |
Subsequent Event [Line Items] | |
Common stock dividends (in dollars per share) | $ 0.175 |