Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Mar. 31, 2022 | May 20, 2022 | Oct. 03, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Mar. 31, 2022 | ||
Current Fiscal Year End Date | --03-31 | ||
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 Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Public Float | $ 3,243,228,271 | ||
Entity Common Stock, Shares Outstanding (in shares) | 40,652,607 | ||
Documents Incorporated by Reference | Portions of the registrant’s definitive Proxy Statement for its Annual Meeting of Stockholders to be held on or about August 4, 2022 are incorporated by reference in Part III of this Annual Report. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0001289308 |
Audit Information
Audit Information | 12 Months Ended |
Mar. 31, 2022 | |
Audit Information [Abstract] | |
Auditor Firm ID | 42 |
Auditor Name | Ernst & Young LLP |
Auditor Location | Philadelphia, Pennsylvania |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 402,488 | $ 451,808 |
Accounts receivable, net of allowance for doubtful accounts (2022–$12,219; 2021–$12,992) | 719,434 | 603,581 |
Inventories, net | 715,712 | 518,247 |
Prepaid and other current assets | 155,559 | 117,681 |
Total current assets | 1,993,193 | 1,691,317 |
Property, plant, and equipment, net | 503,264 | 497,056 |
Goodwill | 700,640 | 705,593 |
Other intangible assets, net | 396,202 | 430,898 |
Deferred taxes | 60,479 | 65,212 |
Other assets | 82,868 | 72,721 |
Total assets | 3,736,646 | 3,462,797 |
Current liabilities: | ||
Short-term debt | 55,084 | 34,153 |
Current portion of finance leases | 185 | 236 |
Accounts payable | 393,096 | 323,876 |
Accrued expenses | 289,765 | 318,723 |
Total current liabilities | 738,130 | 676,988 |
Long-term debt, net of unamortized debt issuance costs | 1,243,002 | 969,618 |
Finance leases | 231 | 435 |
Deferred taxes | 78,228 | 76,412 |
Other liabilities | 183,780 | 195,768 |
Total liabilities | 2,243,371 | 1,919,221 |
Commitments and contingencies | ||
Equity: | ||
Preferred Stock, $0.01 par value, 1,000,000 shares authorized, no shares issued or outstanding at March 31, 2022 and at March 31, 2021 | 0 | 0 |
Common Stock, $0.01 par value per share, 135,000,000 shares authorized, 55,748,924 shares issued and 40,986,658 shares outstanding at March 31, 2022; 55,552,810 shares issued and 42,753,020 shares outstanding at March 31, 2021 | 557 | 555 |
Additional paid-in capital | 571,464 | 554,168 |
Treasury stock at cost, 14,762,266 shares held as of March 31, 2022 and 12,799,790 shares held as of March 31, 2021 | (719,119) | (563,481) |
Retained earnings | 1,783,586 | 1,669,751 |
Contra equity - indemnification receivable | (3,620) | (5,355) |
Accumulated other comprehensive loss | (143,495) | (115,883) |
Total EnerSys stockholders’ equity | 1,489,373 | 1,539,755 |
Nonredeemable noncontrolling interests | 3,902 | 3,821 |
Total equity | 1,493,275 | 1,543,576 |
Total liabilities and equity | $ 3,736,646 | $ 3,462,797 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Allowance for credit loss | $ 12,219 | $ 12,992 |
Preferred stock, par value (usd 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 (usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 135,000,000 | 135,000,000 |
Common stock, shares issued (in shares) | 55,748,924 | 55,552,810 |
Common stock, shares outstanding (in shares) | 40,986,658 | 42,753,020 |
Treasury stock, shares (in shares) | 14,762,266 | 12,799,790 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Income Statement [Abstract] | |||
Net sales | $ 3,357,319 | $ 2,977,932 | $ 3,087,868 |
Cost of goods sold | 2,604,747 | 2,238,782 | 2,301,148 |
Inventory step up to fair value relating to acquisitions and exit activities | 2,604 | 0 | 1,854 |
Gross profit | 749,968 | 739,150 | 784,866 |
Operating expenses | 520,810 | 482,401 | 529,643 |
Restructuring and other exit charges | 18,756 | 40,374 | 20,766 |
Impairment of goodwill | 0 | 0 | 39,713 |
Impairment of indefinite-lived intangibles | 1,178 | 0 | 4,549 |
Loss on assets held for sale | 2,973 | 0 | 0 |
Operating earnings | 206,251 | 216,375 | 190,195 |
Interest expense | 37,777 | 38,436 | 43,673 |
Other (income) expense, net | (5,465) | 7,804 | (415) |
Earnings before income taxes | 173,939 | 170,135 | 146,937 |
Income tax expense | 30,028 | 26,761 | 9,821 |
Net earnings attributable to EnerSys stockholders | $ 143,911 | $ 143,374 | $ 137,116 |
Net earnings per common share attributable to EnerSys stockholders: | |||
Basic (usd per share) | $ 3.42 | $ 3.37 | $ 3.23 |
Diluted (usd per share) | 3.36 | 3.32 | 3.20 |
Dividends per common share (usd per share) | $ 0.70 | $ 0.70 | $ 0.70 |
Weighted-average number of common shares outstanding: | |||
Basic (in shares) | 42,106,337 | 42,548,449 | 42,411,834 |
Diluted (in shares) | 42,783,373 | 43,224,403 | 42,896,775 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Statement of Comprehensive Income [Abstract] | |||
Net earnings | $ 143,911 | $ 143,374 | $ 137,116 |
Other comprehensive (loss) income: | |||
Net unrealized gain (loss) on derivative instruments, net of tax | 2,603 | 6,283 | (5,793) |
Pension funded status adjustment, net of tax | 8,310 | 1,847 | (2,003) |
Foreign currency translation adjustment | (38,397) | 91,277 | (64,721) |
Total other comprehensive (loss) gain, net of tax | (27,484) | 99,407 | (72,517) |
Total comprehensive income | 116,427 | 242,781 | 64,599 |
Comprehensive gain (loss) attributable to noncontrolling interests | 128 | 284 | (193) |
Comprehensive income attributable to EnerSys stockholders | $ 116,299 | $ 242,497 | $ 64,792 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) | Total | Total EnerSys Stockholders’ Equity | Preferred Stock | Common Stock | Additional Paid-in Capital | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Contra-Equity | Non- redeemable Non- Controlling Interests |
Beginning Balance at Mar. 31, 2019 | $ 1,286,017,000 | $ 1,282,287,000 | $ 0 | $ 548,000 | $ 512,696,000 | $ (530,760,000) | $ 1,450,325,000 | $ (142,682,000) | $ (7,840,000) | $ 3,730,000 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Stock-based compensation | 20,780,000 | 20,780,000 | 20,780,000 | |||||||
Exercise of stock options | 1,417,000 | 1,417,000 | 3,000 | 1,414,000 | ||||||
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net | (6,393,000) | (6,393,000) | (6,393,000) | |||||||
Purchase of common stock | (34,561,000) | (34,561,000) | (34,561,000) | |||||||
Reissuance of treasury stock towards employee stock purchase plan | 872,000 | 872,000 | (73,000) | 945,000 | ||||||
Contra equity - indemnification receivable for acquisition related tax liability | 1,116,000 | 1,116,000 | 1,116,000 | 0 | ||||||
Other | (80,000) | (80,000) | (80,000) | |||||||
Net earnings | 137,116,000 | 137,116,000 | 137,116,000 | 0 | ||||||
Dividends | (29,705,000) | (29,705,000) | 756,000 | (30,461,000) | ||||||
Other comprehensive income: | ||||||||||
Pension funded status adjustment, (net of tax (expense) benefit) | (2,003,000) | (2,003,000) | (2,003,000) | |||||||
Net unrealized gain (loss) on derivative instruments (net of tax benefit (expense)) | (5,793,000) | (5,793,000) | (5,793,000) | |||||||
Foreign currency translation adjustment | (64,721,000) | (64,528,000) | (64,528,000) | (193,000) | ||||||
Ending Balance at Mar. 31, 2020 | 1,304,062,000 | 1,300,525,000 | 0 | 551,000 | 529,100,000 | (564,376,000) | 1,556,980,000 | (215,006,000) | (6,724,000) | 3,537,000 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Stock-based compensation | 19,817,000 | 19,817,000 | 19,817,000 | |||||||
Exercise of stock options | 9,114,000 | 9,114,000 | 4,000 | 9,110,000 | ||||||
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net | (5,153,000) | (5,153,000) | (5,153,000) | |||||||
Reissuance of treasury stock towards employee stock purchase plan | 846,000 | 846,000 | (49,000) | 895,000 | ||||||
Contra equity - indemnification receivable for acquisition related tax liability | 1,369,000 | 1,369,000 | 1,369,000 | |||||||
Other | 571,000 | 571,000 | 571,000 | |||||||
Net earnings | 143,374,000 | 143,374,000 | 143,374,000 | |||||||
Dividends | (29,831,000) | (29,831,000) | 772,000 | (30,603,000) | ||||||
Other comprehensive income: | ||||||||||
Pension funded status adjustment, (net of tax (expense) benefit) | 1,847,000 | 1,847,000 | 1,847,000 | |||||||
Net unrealized gain (loss) on derivative instruments (net of tax benefit (expense)) | 6,283,000 | 6,283,000 | 6,283,000 | |||||||
Foreign currency translation adjustment | 91,277,000 | 90,993,000 | 90,993,000 | 284,000 | ||||||
Ending Balance at Mar. 31, 2021 | 1,543,576,000 | 1,539,755,000 | 0 | 555,000 | 554,168,000 | (563,481,000) | 1,669,751,000 | (115,883,000) | (5,355,000) | 3,821,000 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Stock-based compensation | 24,289,000 | 24,289,000 | 24,289,000 | |||||||
Exercise of stock options | 1,336,000 | 1,336,000 | 2,000 | 1,334,000 | ||||||
Shares issued under equity awards (taxes paid related to net share settlement of equity awards), net | (9,150,000) | (9,150,000) | (9,150,000) | |||||||
Purchase of common stock | (156,366,000) | (156,366,000) | (156,366,000) | |||||||
Contra equity - indemnification receivable for acquisition related tax liability | 1,735,000 | 1,735,000 | 1,735,000 | |||||||
Other | 828,000 | 828,000 | 100,000 | 728,000 | ||||||
Net earnings | 143,911,000 | 143,911,000 | 143,911,000 | |||||||
Dividends | (29,353,000) | (29,353,000) | 723,000 | (30,076,000) | ||||||
Dissolution of joint venture | (47,000) | (47,000) | ||||||||
Other comprehensive income: | ||||||||||
Pension funded status adjustment, (net of tax (expense) benefit) | 8,310,000 | 8,310,000 | 8,310,000 | |||||||
Net unrealized gain (loss) on derivative instruments (net of tax benefit (expense)) | 2,603,000 | 2,603,000 | 2,603,000 | |||||||
Foreign currency translation adjustment | (38,397,000) | (38,525,000) | (38,525,000) | 128,000 | ||||||
Ending Balance at Mar. 31, 2022 | $ 1,493,275,000 | $ 1,489,373,000 | $ 0 | $ 557,000 | $ 571,464,000 | $ (719,119,000) | $ 1,783,586,000 | $ (143,495,000) | $ (3,620,000) | $ 3,902,000 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Equity (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends per common share | $ 0.70 | $ 0.70 | $ 0.70 |
Pension funded status adjustment (net of tax (expense) benefit) | $ 1,910 | $ 424 | $ (468) |
Tax expense related to unrealized gain (loss) on derivative instruments | $ (789) | $ (1,952) | $ 1,793 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Cash flows from operating activities | |||
Net earnings | $ 143,911 | $ 143,374 | $ 137,116 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | |||
Depreciation and amortization | 95,878 | 94,082 | 87,344 |
Write-off of assets relating to restructuring and other exit charges | 6,503 | 10,231 | 10,986 |
Loss on assets held for sale | 2,973 | 0 | 0 |
Impairment of goodwill | 0 | 0 | 39,713 |
Impairment of indefinite-lived intangibles | 1,178 | 0 | 4,549 |
Derivatives not designated in hedging relationships: | |||
Net losses (gains) | 157 | (430) | 178 |
Cash proceeds (settlements) | 255 | 905 | (793) |
Provision for doubtful accounts | 2,621 | 178 | 4,821 |
Deferred income taxes | 1,115 | (8,994) | (16,486) |
Non-cash interest expense | 2,107 | 2,072 | 1,673 |
Stock-based compensation | 24,289 | 19,817 | 20,780 |
Gain on disposal of property, plant, and equipment | (490) | (3,883) | (86) |
Changes in assets and liabilities, net of effects of acquisitions: | |||
Accounts receivable | (128,956) | 8,713 | 26,486 |
Inventories | (212,839) | 24,176 | (9,379) |
Prepaid and other current assets | (32,044) | 27,292 | (17,508) |
Other assets | 270 | 424 | 3,089 |
Accounts payable | 65,316 | 20,797 | (33,490) |
Accrued expenses | (38,578) | 32,357 | 7,055 |
Other liabilities | 749 | (12,736) | (12,650) |
Net cash (used in) provided by operating activities | (65,585) | 358,375 | 253,398 |
Cash flows from investing activities | |||
Capital expenditures | (74,041) | (70,020) | (101,425) |
Purchase of businesses | 0 | 0 | (176,548) |
Proceeds from disposal of facility | 3,268 | 0 | 720 |
Insurance proceeds relating to property, plant and equipment | 0 | 4,800 | 403 |
Proceeds from disposal of property, plant, and equipment | 1,540 | 176 | 2,031 |
Net cash used in investing activities | (69,233) | (65,044) | (274,819) |
Cash flows from financing activities | |||
Net borrowings (repayments) on short-term debt | 20,556 | (15,934) | (5,325) |
Debt issuance costs | (2,952) | 0 | (4,607) |
Finance lease obligations and other | 810 | 650 | 995 |
Option proceeds, net | 1,336 | 9,114 | 1,417 |
Payment of taxes related to net share settlement of equity awards | (9,150) | (5,153) | (6,393) |
Purchase of treasury stock | (156,366) | 0 | (34,561) |
Dividends paid to stockholders | (29,353) | (29,812) | (29,705) |
Net cash provided by (used in) financing activities | 98,434 | (188,724) | 62,683 |
Effect of exchange rate changes on cash and cash equivalents | (12,936) | 20,222 | (13,495) |
Net (decrease) increase in cash and cash equivalents | (49,320) | 124,829 | 27,767 |
Cash and cash equivalents at beginning of year | 451,808 | 326,979 | 299,212 |
Cash and cash equivalents at end of year | 402,488 | 451,808 | 326,979 |
2017 Revolver borrowings | |||
Cash flows from financing activities | |||
Proceeds from borrowings | 523,400 | 102,000 | 386,700 |
Repayments of borrowings | (88,400) | (210,000) | (517,700) |
2027 Notes | |||
Cash flows from financing activities | |||
Proceeds from borrowings | 0 | 0 | 300,000 |
Amended 2017 Term Loan | |||
Cash flows from financing activities | |||
Repayments of Second Amended 2017 Term Loan | $ (161,447) | $ (39,589) | $ (28,138) |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Description of Business EnerSys (the “Company”) and its predecessor companies have been manufacturers of industrial batteries for over 125 years. EnerSys is a global leader in stored energy solutions for industrial applications. The Company manufactures, markets and distributes industrial batteries and related products such as chargers, outdoor cabinet enclosures, power equipment and battery accessories, and provides related after-market and customer-support services for its products. With the Alpha acquisition, the Company is also a provider of highly integrated power solutions and services to broadband, telecom, renewable and industrial customers. Principles of Consolidation The consolidated 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. Control generally equates to ownership percentage, whereby investments that are more than 50% owned are generally consolidated, investments in affiliates of 50% or less but greater than 20% are generally accounted for using the equity method, and investments in affiliates of 20% or less are accounted for using the cost method. All intercompany transactions and balances have been eliminated in consolidation. Foreign Currency Translation Results of foreign operations of subsidiaries, whose functional currency is the local currency, are translated into U.S. dollars using average exchange rates during the periods. The assets and liabilities are translated into U.S. dollars using exchange rates as of the balance sheet dates. Gains or losses resulting from translating the foreign currency financial statements are accumulated as a separate component of accumulated other comprehensive income (“AOCI”) in EnerSys’ stockholders’ equity and noncontrolling interests. Transaction gains and losses resulting from exchange rate changes on transactions denominated in currencies other than the functional currency of the applicable subsidiary are included in the Consolidated Statements of Income, within “Other (income) expense, net”, in the year in which the change occurs. Revenue Recognition The Company recognizes revenue when (or as) performance obligations are satisfied by transferring control of the performance obligation to a customer. Control of a performance obligation may transfer to the customer either at a point in time or over time depending on an evaluation of the specific facts and circumstances for each contract, including the terms and conditions of the contract as agreed with the customer, as well as the nature of the products or services to be provided. The Company's primary performance obligation to its customers is the delivery of finished goods and products, pursuant to purchase orders. Control of the products sold typically transfers to its customers at the point in time when the goods are shipped as this is also when title generally passes to its customers under the terms and conditions of the customer arrangements. Each customer purchase order sets forth the transaction price for the products and services purchased under that arrangement. Some customer arrangements include variable consideration, such as volume rebates, some of which depend upon the customers meeting specified performance criteria, such as a purchasing level over a period of time. The Company uses judgment to estimate the most likely amount of variable consideration at each reporting date. When estimating variable consideration, the Company also applies judgment when considering the probability of whether a reversal of revenue could occur and only recognize revenue subject to this constraint. 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. The Company's typical payment terms are 30 days and sales arrangements do not contain any significant financing component for its customers. 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. Freight charges billed to customers are included in sales and the related shipping costs are included in cost of sales in the Consolidated Statements of Income. If shipping activities are performed after a customer obtains control of a product, the Company applies a policy election to account for shipping as an activity to fulfill the promise to transfer the product to the customer. The Company applies a policy election to exclude transaction taxes collected from customers from sales when the tax is both imposed on and concurrent with a specific revenue-producing transaction. The Company generally provides customers with a product warranty that provides assurance that the products meet standard specifications and are free of defects. The Company maintains a reserve for claims incurred under standard product warranty programs. Performance obligations related to service warranties are not material to the Consolidated Financial Statements. The Company pays sales commissions to its sales representatives, which may be considered as incremental costs to obtain a contract. However, since the recoverability period is less than one year, the Company has utilized the practical expedient to record these costs of obtaining a contract as an expense as they are incurred. Warranties The Company’s products are warranted for a period ranging from one one one Cash and Cash Equivalents Cash and cash equivalents include all highly liquid investments with an original maturity of three months or less when purchased. Concentration of Credit Risk Financial instruments that subject the Company to potential concentration of credit risk consist principally of short-term cash investments and trade accounts receivable. The Company invests its cash with various financial institutions and in various investment instruments limiting the amount of credit exposure to any one financial institution or entity. The Company has bank deposits that exceed federally insured limits. In addition, certain cash investments may be made in U.S. and foreign government bonds, or other highly rated investments guaranteed by the U.S. or foreign governments. Concentration of credit risk with respect to trade receivables is limited by a large, diversified customer base and its geographic dispersion. The Company performs ongoing credit evaluations of its customers’ financial condition and requires collateral, such as letters of credit, in certain circumstances. Accounts Receivable Accounts receivable are recorded net of 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. Accounts are written off when management determines the account is uncollectible. The following table sets forth the changes in the Company's allowance for doubtful accounts: Balance at Beginning of Period Provision Write-offs, net of Recoveries and Other Balance at Fiscal year ended March 31, 2020 $ 10,813 $ 4,821 $ (388) $ 15,246 Fiscal year ended March 31, 2021 15,246 178 (2,432) 12,992 Fiscal year ended March 31, 2022 12,992 2,621 (3,394) 12,219 Inventories Inventories are stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out (FIFO) method. The cost of inventory consists of material, labor, and associated overhead. Property, Plant, and Equipment Property, plant, and equipment are recorded at cost and include expenditures that substantially increase the useful lives of the assets. Depreciation is provided using the straight-line method over the estimated useful lives of the assets as follows: 10 to 33 years for buildings and improvements and 3 to 15 years for machinery and equipment. Maintenance and repairs are expensed as incurred. Interest on capital projects is capitalized during the construction period. Business Combinations The Company records an acquisition using the acquisition method of accounting and recognizes the assets acquired and liabilities assumed at their fair values as of the date of the acquisition. The excess of the purchase price over the net tangible and intangible assets is recorded to goodwill. The results of operations of the acquired business are included in the Company’s operating results from the date of acquisition. Goodwill and Other Intangible Assets Goodwill and indefinite-lived trademarks are tested for impairment at least annually and whenever events or circumstances occur indicating that a possible impairment may have been incurred. The Company assesses whether goodwill impairment exists using both the qualitative and quantitative assessments. The qualitative assessment involves determining whether events or circumstances exist that indicate it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. If based on this qualitative assessment the Company determines it is more likely than not that the fair value of a reporting unit is less than its carrying amount, or if the Company elects not to perform a qualitative assessment, a quantitative assessment is performed by determining the fair value of the Company's reporting units. Goodwill is tested for impairment by determining the fair value of the Company’s reporting units. These estimated fair values are based on financial projections, certain cash flow measures, and market capitalization. The Company estimates the fair value of its reporting units using a weighting of fair values derived from both the income approach and the market approach. Under the income approach, the Company calculates the fair value of a reporting unit based on the present value of estimated future cash flows. Cash flow projections are based on management's estimates of revenue growth rates and operating margins, taking into consideration industry and market conditions. The discount rate used is based on the weighted-average cost of capital adjusted for the relevant risk associated with business-specific characteristics and the uncertainty related to the business's ability to execute on the projected cash flows. The market approach estimates fair value based on market multiples of revenue and earnings derived from comparable publicly-traded companies with similar operating and investment characteristics as the reporting unit. The weighting of the fair value derived from the market approach ranges from 0% to 50% depending on the level of comparability of these publicly-traded companies to the reporting unit. In order to assess the reasonableness of the calculated fair values of its reporting units, the Company also compares the sum of the reporting units' fair values to its market capitalization and calculates an implied control premium (the excess of the sum of the reporting units' fair values over the market capitalization). The Company evaluates the control premium by comparing it to control premiums of recent comparable market transactions. The Company assesses whether indefinite-lived intangible assets impairment exists using both the qualitative and quantitative assessments. The qualitative assessment involves determining whether events or circumstances exist that indicate it is more likely than not that the fair value of an indefinite-lived intangible asset is less than its carrying amount. If based on this qualitative assessment, the Company determines it is more likely than not that the fair value of an indefinite-lived intangible asset is less than its carrying amount or if the Company elects not to perform a qualitative assessment, a quantitative assessment is performed to determine whether an indefinite-lived intangible asset impairment exists. The Company tests the indefinite-lived intangible assets for impairment by comparing the carrying value to the fair value based on current revenue projections of the related operations, under the relief from royalty method. Any excess of the carrying value over the amount of fair value is recognized as an impairment. Any such impairment is recognized in the reporting period in which it has been identified. Finite-lived assets such as customer relationships, technology, trademarks, licenses, and non-compete agreements are amortized on a straight-line basis over their estimated useful lives, generally over periods ranging from 3 to 20 years. The Company continually evaluates the reasonableness of the useful lives of these assets. Impairment of Long-Lived Assets The Company reviews the carrying values of its long-lived assets to be held and used for possible impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable, based on undiscounted estimated cash flows expected to result from its use and eventual disposition. The factors considered by the Company in performing this assessment include current operating results, trends and other economic factors. In assessing the recoverability of the carrying value of a long-lived asset, the Company must make assumptions regarding future cash flows and other factors. If these estimates or the related assumptions change in the future, the Company may be required to record an impairment loss for these assets. Environmental Expenditures The Company records a loss and establishes a reserve for environmental remediation liabilities when it is probable that an asset has been impaired or a liability exists and the amount of the liability can be reasonably estimated. Reasonable estimates involve judgments made by management after considering a broad range of information including notifications, demands or settlements that have been received from a regulatory authority or private party, estimates performed by independent engineering companies and outside counsel, available facts, existing and proposed technology, the identification of other potentially responsible parties, their ability to contribute and prior experience. These judgments are reviewed quarterly as more information is received and the amounts reserved are updated as necessary. However, the reserves may materially differ from ultimate actual liabilities if the loss contingency is difficult to estimate or if management’s judgments turn out to be inaccurate. If management believes no best estimate exists, the minimum probable loss is accrued. Derivative Financial Instruments The Company utilizes derivative instruments to mitigate volatility related to interest rates, lead prices and foreign currency exposures. The Company does not hold or issue derivative financial instruments for trading or speculative purposes. The Company recognizes derivatives as either assets or liabilities in the accompanying Consolidated Balance Sheets and measures those instruments at fair value. Changes in the fair value of those instruments are reported in AOCI if they qualify for hedge accounting or in earnings if they do not qualify for hedge accounting. Derivatives qualify for hedge accounting if they are designated as hedge instruments and if the hedge is highly effective in achieving offsetting changes in the fair value or cash flows of the asset or liability hedged. For lead and foreign currency forward contracts, effectiveness is measured on a regular basis using statistical analysis and by comparing the overall changes in the expected cash flows of the hedging instrument with the changes in the expected all-in cash outflow required for the underlying lead and foreign currency purchases. This analysis is performed on the initial purchases quarterly that cover the quantities hedged. Accordingly, gains and losses from changes in derivative fair value of effective hedges are deferred and reported in AOCI until the underlying transaction affects earnings. In the case of cross currency fixed interest rate swap agreements, the swaps are remeasured with changes in fair value recognized in foreign currency translation adjustment within AOCI to offset the translation risk from the underlying investments. Balances in the foreign currency translation adjustment accounts remain until the sale or substantially complete liquidation of the foreign entity, upon which they are recognized as a component of income (expense). The Company has commodity, foreign exchange and interest rate hedging authorization from the Board of Directors and has established a hedging and risk management program that includes the management of market and counterparty risk. Key risk control activities designed to ensure compliance with the risk management program include, but are not limited to, credit review and approval, validation of transactions and market prices, verification of risk and transaction limits, portfolio stress tests, sensitivity analyses and frequent portfolio reporting, including open positions, determinations of fair value and other risk management metrics. Market risk is the potential loss the Company and its subsidiaries may incur as a result of price changes associated with a particular financial or commodity instrument. The Company utilizes forward contracts, options, and swaps as part of its risk management strategies, to minimize unanticipated fluctuations in earnings caused by changes in commodity prices, interest rates and / or foreign currency exchange rates. All derivatives are recognized on the balance sheet at their fair value, unless they qualify for the Normal Purchase Normal Sale exemption. Credit risk is the potential loss the Company may incur due to the counterparty’s non-performance. The Company is exposed to credit risk from interest rate, foreign currency and commodity derivatives with financial institutions. The Company has credit policies to manage their credit risk, including the use of an established credit approval process, monitoring of the counterparty positions and the use of master netting agreements. The Company has elected to offset net derivative positions under master netting arrangements. The Company does not have any positions involving cash collateral (payables or receivables) under a master netting arrangement as of March 31, 2022 and 2021. The Company does not have any credit-related contingent features associated with its derivative instruments. Fair Value of Financial Instruments The Company groups its recurring, non-recurring and disclosure-only fair value measurements into the following levels when making fair value measurement disclosures: Level 1 Inputs are unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 Inputs are quoted prices for similar assets or liabilities in an active market, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable and market-corroborated inputs which are derived principally from or corroborated by observable market data. Level 3 Inputs are derived from valuation techniques in which one or more significant inputs or value drivers are unobservable. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). The Company and its subsidiaries use, as appropriate, a market approach (generally, data from market transactions), an income approach (generally, present value techniques and option-pricing models), and / or a cost approach (generally, replacement cost) to measure the fair value of an asset or liability. These valuation approaches incorporate inputs such as observable, independent market data and / or unobservable data that management believes are predicated on the assumptions market participants would use to price an asset or liability. These inputs may incorporate, as applicable, certain risks such as nonperformance risk, which includes credit risk. Lead contracts, foreign currency contracts and interest rate contracts generally use an income approach to measure the fair value of these contracts, utilizing readily observable inputs, such as forward interest rates (e.g., London Interbank Offered Rate—“LIBOR”), forward foreign currency exchange rates (e.g., GBP and euro) and commodity prices (e.g., London Metals Exchange), as well as inputs that may not be observable, such as credit valuation adjustments. When observable inputs are used to measure all or most of the value of a contract, the contract is classified as Level 2. Over-the-counter (OTC) contracts are valued using quotes obtained from an exchange, binding and non-binding broker quotes. Furthermore, the Company obtains independent quotes from the market to validate the forward price curves. OTC contracts include forwards, swaps and options. To the extent possible, fair value measurements utilize various inputs that include quoted prices for similar contracts or market-corroborated inputs. When unobservable inputs are significant to the fair value measurement, the asset or liability is classified as Level 3. Additionally, Level 2 fair value measurements include adjustments for credit risk based on the Company’s own creditworthiness (for net liabilities) and its counterparties’ creditworthiness (for net assets). The Company assumes that observable market prices include sufficient adjustments for liquidity and modeling risks. The Company did not have any fair value measurements that transferred between Level 2 and Level 3 as well as Level 1 and Level 2. Income Taxes The Company accounts for income taxes using the asset and liability approach, which requires deferred tax assets and liabilities be recognized using enacted tax rates to measure the effect of temporary differences between book and tax bases on recorded assets and liabilities. Valuation allowances are recorded to reduce deferred tax assets, if it is more likely than not some portion or all of the deferred tax assets will not be realized. The need to establish valuation allowances against deferred tax assets is assessed quarterly. The primary factors used to assess the likelihood of realization are expected reversals of taxable temporary timing differences, forecasts of future taxable income and available tax planning strategies that could be implemented to realize the net deferred tax assets. The Company recognizes tax related interest and penalties in income tax expense in its Consolidated Statement of Income. With respect to accounting for uncertainty in income taxes, the Company evaluates tax positions to determine whether the benefits of tax positions are more likely than not of being sustained upon audit based on the technical merits of the tax position. For tax positions that are more likely than not of being sustained upon audit, the Company recognizes the largest amount of the benefit that is greater than 50% likely of being realized upon ultimate settlement. For tax positions that are not more likely than not of being sustained upon audit, the Company does not recognize any portion of the benefit. If the more likely than not threshold is not met in the period for which a tax position is taken, the Company may subsequently recognize the benefit of that tax position if the tax matter is effectively settled, the statute of limitations expires, or if the more likely than not threshold is met in a subsequent period. No additional income taxes have been provided for any undistributed foreign earnings or any additional outside basis difference inherent in these entities, as these amounts continue to be indefinitely reinvested in foreign operations. Regarding the GILTI tax rules, the Company is allowed to make an accounting policy choice of either (1) treating the taxes due on future US inclusions in taxable income as a current-period expense when incurred (“period cost method”) or (2) factoring amounts into a Company’s measurement of its deferred taxes (“deferred method”). The Company has elected the period cost method. Deferred Financing Fees Debt issuance costs that are incurred by the Company in connection with the issuance of debt are deferred and amortized to interest expense over the life of the underlying indebtedness, adjusted to reflect any early repayments and are shown as a deduction from long-term debt. Stock-Based Compensation Plans The Company measures the cost of employee services received in exchange for the award of an equity instrument based on the grant-date fair value of the award, with such cost recognized over the applicable vesting period. Market and Performance condition-based awards The Company grants market condition-based awards and performance condition-based awards. Beginning in fiscal 2017 and until fiscal 2020, the Company granted market condition-based awards (“TSR”). A participant may earn between 0% to 200% of the number of awards granted, based on the total shareholder return of the Company's common stock over a three-year period, relative to the shareholder return of a defined peer group. The awards cliff vest on the third anniversary of the date of grant and are settled in common stock on the first anniversary of the vesting date. The TSR is calculated by dividing the sixty or ninety calendar day average price at end of the period (as applicable) and the reinvested dividends thereon by such sixty or ninety calendar day average price at start of the period. The maximum number of awards earned is capped at 200% of the target award. Additionally, no payout will be awarded in the event that the TSR at the vesting date reflects less than a 25% return from the average price at the grant date. These share units are similar to the share units granted prior to fiscal 2016, except that under these awards, the targets are more difficult to achieve as they are tied to the TSR of a defined peer group. The fair value of these awards is estimated at the date of grant, using a Monte Carlo Simulation. The Company recognizes compensation expense using the straight-line method over the life of the market condition-based awards except for those issued to certain retirement-eligible participants, which are expensed on an accelerated basis. In fiscal 2019 and fiscal 2020, the Company granted performance condition-based awards (“PSU”). A participant may earn between 0% to 200% of the number of awards granted, based on the Company’s cumulative adjusted earnings per share performance over a three-year period. The vesting of these awards is contingent upon meeting or exceeding performance conditions. The awards cliff vest on the third anniversary of the date of grant and are settled in common stock on the first anniversary of the vesting date. The maximum number of awards earned is capped at 200% of the target award. Expense for the performance condition-based award is recorded when the achievement of the performance condition is considered probable of achievement and is recorded on a straight-line basis over the requisite service period. If such performance criteria are not met, no compensation cost is recognized, and any recognized compensation cost is reversed. The closing stock price on the date of grant, adjusted for a discount to reflect the illiquidity inherent in the PSUs, represents the grant-date fair value for these awards. Restricted Stock Units The fair value of restricted stock units is based on the closing market price of the Company’s common stock on the date of grant. These awards generally vest, and are settled in common stock, at 25% per year, over a four-year period from the date of grant. The Company recognizes compensation expense using the straight-line method over the life of the restricted stock units. Stock Options The fair value of the options granted is estimated at the date of grant using the Black-Scholes option-pricing model utilizing assumptions based on historical data and current market data. The assumptions include expected term of the options, risk-free interest rate, expected volatility, and dividend yield. The expected term represents the expected amount of time that options granted are expected to be outstanding, based on historical and forecasted exercise behavior. The risk-free rate is based on the rate at the grant date of zero-coupon U.S. Treasury Notes with a term equal to the expected term of the option. Expected volatility is estimated using historical volatility rates based on historical weekly price changes over a term equal to the expected term of the options. The Company’s dividend yield is based on historical data. The Company recognizes compensation expense using the straight-line method over the vesting period of the options except for those issued to certain retirement-eligible participants, which are expensed on an accelerated basis. Forfeitures Forfeitures of share-based awards are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. Earnings Per Share Basic earnings per common share (“EPS”) are computed by dividing net earnings attributable to EnerSys stockholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock. At March 31, 2022, 2021 and 2020, the Company had outstanding stock options, restricted stock units, market condition and performance condition-based awards, which could potentially dilute basic earnings per share in the future. Segment Reporting Effective April 1, 2020, 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 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 equipment; 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 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. Recently Adopted Accounting Pronouncements 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 adopted the standard in the first quarter of fiscal 2022 and the adoption did not have a materi |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition The Company's revenues by reportable segments are presented in Note 23. Service revenues for fiscal 2022, 2021 and 2020 amounted to $353,088, $296,213 and $270,704, respectively. A small portion of the Company's customer arrangements oblige 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 fiscal 2022, 2021 and 2020 amounted to $193,824, $155,217 and $142,153, respectively. On March 31, 2022, the aggregate transaction price allocated to unsatisfied (or partially unsatisfied) performance obligations was approximately $198,861, of which, the Company estimates that approximately $182,473 will be recognized as revenue in fiscal 2023, $13,394 in fiscal 2024, $2,994 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 March 31, 2022, the current and non-current portion of contract liabilities were $27,870 and $1,387, respectively. As of March 31, 2021, the current and non-current portion of contract liabilities were $15,992 and $2,072, respectively. Revenues recognized during fiscal 2022 and fiscal 2021, that were included in the contract liability at the beginning of the year, amounted to $6,775 and $14,064, respectively. Amounts representing work completed and not billed to customers represent contract assets and were $59,924 and $46,451 as of March 31, 2022 and March 31, 2021, respectively. |
Leases
Leases | 12 Months Ended |
Mar. 31, 2022 | |
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. At contract inception, the Company reviews the terms of the arrangement to determine if the contract is or contains a lease. Guidance in Topic 842 is used to evaluate whether the contract has an identified asset; if the Company has the right to obtain substantially all economic benefits from the asset; and if it has the right to direct the use of the underlying asset. When determining if a contract has an identified asset, the Company considers both explicit and implicit assets, and whether the supplier has the right to substitute the asset. When determining if the Company has the right to obtain substantially all economic benefits from the asset, the Company considers the primary outputs of the identified asset throughout the period of use and determines if it receives greater than 90% of those benefits. When determining if it has the right to direct the use of an underlying asset, the Company considers if it has the right to direct how and for what purpose the asset is used throughout the period of use and if it controls the decision-making rights over the asset. Lease terms may include options to extend or terminate the lease. The Company exercises its judgment to determine the term of those leases when extension or termination options are present and include such options in the calculation of the lease term when it is reasonably certain that the Company will exercise those options. The Company has elected to include both lease and non-lease components in the determination of lease payments for all asset classes. Payments made to a lessor for items such as taxes, insurance, common area maintenance, or other costs commonly referred to as executory costs, are also included in lease payments if they are fixed. The fixed portion of these payments are included in the calculation of the lease liability, while any variable portion would be recognized as variable lease expenses, when incurred. Variable payments made to third parties for these, or similar costs, such as utilities, are not included in the calculation of lease payments. Both finance and operating leases are reflected as liabilities on the commencement date of the lease based on the present value of the lease payments to be made over the lease term. As most of the leases do not provide an implicit rate, the Company has exercised judgment in electing the incremental borrowing rate based on the information available when the lease commences to determine the present value of future payments. Right-of-use assets are valued at the initial measurement of the lease liability, plus any initial direct costs or rent prepayments and reduced by any lease incentives and any deferred lease payments. Operating lease expense is recognized on a straight-line basis over the lease term. Finance lease expense includes depreciation, which is recognized on a straight-line basis over the expected life of the leased asset, and interest expense, which is recognized following an effective interest rate method. 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 current and non-current portion of operating lease liabilities are reflected in accrued expenses and other liabilities, respectively, on the consolidated balance sheets. The right-of use assets relating to operating and finance leases are reflected in other assets and property, plant and equipment, respectively, on the consolidated balance sheets. The following table presents lease assets and liabilities and their balance sheet classification: Classification As of March 31, 2022 As of March 31, 2021 Operating Leases: Right-of-use assets Other assets $ 71,085 $ 62,159 Operating lease current liabilities Accrued expenses 20,086 21,774 Operating lease non-current liabilities Other liabilities 52,904 42,528 Finance Leases: Right-of-use assets Property, plant, and equipment, net $ 344 $ 573 Finance lease current liabilities Current portion of finance leases 185 236 Finance lease non-current liabilities Finance leases 231 435 The components of lease expense for the fiscal years ended March 31, 2022 and March 31, 2021 were as follows: Classification March 31, 2022 March 31, 2021 Operating Leases: Operating lease cost Operating expenses $ 26,392 $ 27,888 Variable lease cost Operating expenses 9,620 7,781 Short term lease cost Operating expenses 6,218 6,675 Finance Leases: Depreciation Operating expenses $ 233 $ 221 Interest expense Interest expense 26 33 Total $ 42,489 $ 42,598 The following table presents the weighted average lease term and discount rates for leases as of March 31, 2022 and March 31, 2021: March 31, 2022 March 31, 2021 Operating Leases: Weighted average remaining lease term (years) 6.1 years 5.5 years Weighted average discount rate 4.43% 5.16% Finance Leases: Weighted average remaining lease term (years) 2.3 years 3.1 years Weighted average discount rate 4.79% 4.81% The following table presents future payments due under leases reconciled to lease liabilities as of March 31, 2022: Finance Leases Operating Leases Year ended March 31, 2023 $ 210 $ 22,954 2024 152 17,066 2025 46 12,387 2026 25 8,856 2027 — 6,681 Thereafter — 16,630 Total undiscounted lease payments 433 84,574 Present value discount 17 11,584 Lease liability $ 416 $ 72,990 The following table presents supplemental disclosures of cash flow information related to leases for the fiscal years ended March 31, 2022 and March 31, 2021: March 31, 2022 March 31, 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 26 $ 33 Operating cash flows from operating leases 26,731 28,036 Financing cash flows from finance leases 238 216 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 $ — $ 266 Right-of-use assets obtained in exchange for new operating lease liabilities 33,493 14,763 |
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. At contract inception, the Company reviews the terms of the arrangement to determine if the contract is or contains a lease. Guidance in Topic 842 is used to evaluate whether the contract has an identified asset; if the Company has the right to obtain substantially all economic benefits from the asset; and if it has the right to direct the use of the underlying asset. When determining if a contract has an identified asset, the Company considers both explicit and implicit assets, and whether the supplier has the right to substitute the asset. When determining if the Company has the right to obtain substantially all economic benefits from the asset, the Company considers the primary outputs of the identified asset throughout the period of use and determines if it receives greater than 90% of those benefits. When determining if it has the right to direct the use of an underlying asset, the Company considers if it has the right to direct how and for what purpose the asset is used throughout the period of use and if it controls the decision-making rights over the asset. Lease terms may include options to extend or terminate the lease. The Company exercises its judgment to determine the term of those leases when extension or termination options are present and include such options in the calculation of the lease term when it is reasonably certain that the Company will exercise those options. The Company has elected to include both lease and non-lease components in the determination of lease payments for all asset classes. Payments made to a lessor for items such as taxes, insurance, common area maintenance, or other costs commonly referred to as executory costs, are also included in lease payments if they are fixed. The fixed portion of these payments are included in the calculation of the lease liability, while any variable portion would be recognized as variable lease expenses, when incurred. Variable payments made to third parties for these, or similar costs, such as utilities, are not included in the calculation of lease payments. Both finance and operating leases are reflected as liabilities on the commencement date of the lease based on the present value of the lease payments to be made over the lease term. As most of the leases do not provide an implicit rate, the Company has exercised judgment in electing the incremental borrowing rate based on the information available when the lease commences to determine the present value of future payments. Right-of-use assets are valued at the initial measurement of the lease liability, plus any initial direct costs or rent prepayments and reduced by any lease incentives and any deferred lease payments. Operating lease expense is recognized on a straight-line basis over the lease term. Finance lease expense includes depreciation, which is recognized on a straight-line basis over the expected life of the leased asset, and interest expense, which is recognized following an effective interest rate method. 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 current and non-current portion of operating lease liabilities are reflected in accrued expenses and other liabilities, respectively, on the consolidated balance sheets. The right-of use assets relating to operating and finance leases are reflected in other assets and property, plant and equipment, respectively, on the consolidated balance sheets. The following table presents lease assets and liabilities and their balance sheet classification: Classification As of March 31, 2022 As of March 31, 2021 Operating Leases: Right-of-use assets Other assets $ 71,085 $ 62,159 Operating lease current liabilities Accrued expenses 20,086 21,774 Operating lease non-current liabilities Other liabilities 52,904 42,528 Finance Leases: Right-of-use assets Property, plant, and equipment, net $ 344 $ 573 Finance lease current liabilities Current portion of finance leases 185 236 Finance lease non-current liabilities Finance leases 231 435 The components of lease expense for the fiscal years ended March 31, 2022 and March 31, 2021 were as follows: Classification March 31, 2022 March 31, 2021 Operating Leases: Operating lease cost Operating expenses $ 26,392 $ 27,888 Variable lease cost Operating expenses 9,620 7,781 Short term lease cost Operating expenses 6,218 6,675 Finance Leases: Depreciation Operating expenses $ 233 $ 221 Interest expense Interest expense 26 33 Total $ 42,489 $ 42,598 The following table presents the weighted average lease term and discount rates for leases as of March 31, 2022 and March 31, 2021: March 31, 2022 March 31, 2021 Operating Leases: Weighted average remaining lease term (years) 6.1 years 5.5 years Weighted average discount rate 4.43% 5.16% Finance Leases: Weighted average remaining lease term (years) 2.3 years 3.1 years Weighted average discount rate 4.79% 4.81% The following table presents future payments due under leases reconciled to lease liabilities as of March 31, 2022: Finance Leases Operating Leases Year ended March 31, 2023 $ 210 $ 22,954 2024 152 17,066 2025 46 12,387 2026 25 8,856 2027 — 6,681 Thereafter — 16,630 Total undiscounted lease payments 433 84,574 Present value discount 17 11,584 Lease liability $ 416 $ 72,990 The following table presents supplemental disclosures of cash flow information related to leases for the fiscal years ended March 31, 2022 and March 31, 2021: March 31, 2022 March 31, 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 26 $ 33 Operating cash flows from operating leases 26,731 28,036 Financing cash flows from finance leases 238 216 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 $ — $ 266 Right-of-use assets obtained in exchange for new operating lease liabilities 33,493 14,763 |
Acquisitions
Acquisitions | 12 Months Ended |
Mar. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions | Acquisitions The Company made no acquisitions in fiscal 2022 and fiscal 2021. The NorthStar acquisition was made in fiscal 2020 and details are as follows: NorthStar On September 30, 2019, 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 $76,784. As a result of the change in operating segments discussed in Note 23, 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 $68,522. During fiscal 2021, the Company finalized the measurement of all provisional amounts recognized in connection with the NorthStar business combination. The purchase accounting adjustments resulted in an increase to goodwill by $2,996 as a result of finalizing income tax accounting. The results of the NorthStar acquisition have been included in the Company’s results of operations from the date of acquisition. Pro forma earnings and earnings per share computations have not been presented as this acquisition is not considered material. |
Inventories
Inventories | 12 Months Ended |
Mar. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories March 31, 2022 2021 Raw materials $ 260,604 $ 147,040 Work-in-process 109,441 97,715 Finished goods 345,667 273,492 Total $ 715,712 $ 518,247 |
Property, Plant, and Equipment
Property, Plant, and Equipment | 12 Months Ended |
Mar. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant, and Equipment | Property, Plant, and Equipment Property, plant, and equipment consist of: March 31, 2022 2021 Land, buildings, and improvements $ 313,090 $ 313,031 Machinery and equipment 851,251 822,725 Construction in progress 69,550 60,049 1,233,891 1,195,805 Less accumulated depreciation (730,627) (698,749) Total $ 503,264 $ 497,056 Depreciation expense for the fiscal years ended March 31, 2022, 2021, and 2020 totaled $62,584, $60,956, and $56,331, respectively. Interest capitalized in connection with major capital expenditures amounted to $447, $1,319, and $2,030 for the fiscal years ended March 31, 2022, 2021 and 2020, respectively. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Mar. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Other Intangible Assets Information regarding the Company’s other intangible assets are as follows: March 31, 2022 2021 Gross Accumulated Net Gross Accumulated Net Indefinite-lived intangible assets: Trademarks $ 145,808 $ (953) $ 144,855 $ 148,164 $ (953) $ 147,211 Finite-lived intangible assets: Customer relationships 298,577 (109,820) 188,757 298,576 (87,308) 211,268 Non-compete 2,825 (2,825) — 2,825 (2,825) — Technology 97,367 (38,712) 58,655 97,349 (29,561) 67,788 Trademarks 8,947 (5,012) 3,935 8,012 (3,381) 4,631 Licenses 1,196 (1,196) — 1,196 (1,196) — Total $ 554,720 $ (158,518) $ 396,202 $ 556,122 $ (125,224) $ 430,898 The Company’s amortization expense related to finite-lived intangible assets was $33,294, $33,126, and $31,013, for the years ended March 31, 2022, 2021 and 2020, respectively. The expected amortization expense based on the finite-lived intangible assets as of March 31, 2022, is $30,725 in fiscal 2023, $27,691 in fiscal 2024, $26,550 in fiscal 2025, $25,616 in fiscal 2026 and $24,822 in fiscal 2027. Goodwill Concurrent with the change in operating 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 reporting units as of April 1, 2020, using the relative fair value approach, as well as changes in the carrying amount of goodwill by segment during fiscal 2021 and 2022: Energy Systems Motive Power Specialty Total Balance at April 1, 2020 (1) $ 263,150 $ 308,497 $ 92,289 $ 663,936 Measurement period adjustments 1,348 — 1,648 2,996 Foreign currency translation adjustment 15,178 18,558 4,925 38,661 Balance at March 31, 2021 $ 279,676 $ 327,055 $ 98,862 $ 705,593 Foreign currency translation adjustment (215) (3,752) (986) (4,953) Balance at March 31, 2022 $ 279,461 $ 323,303 $ 97,876 $ 700,640 (1) Represents the reallocation of goodwill as a result of the Company reorganizing its segments as described in Note 1. Impairment of goodwill, finite and indefinite-lived intangibles Goodwill is tested annually for impairment during the fourth quarter or earlier upon the occurrence of certain events or substantive changes in circumstances that indicate goodwill is more likely than not impaired. The Company did not record any impairment relating to its goodwill during fiscal 2022 and 2021. In fiscal 2020, the Company conducted its annual goodwill impairment test which indicated that the fair value of its legacy Asia reporting unit was less than its carrying value. The Company recorded a non-cash charge of $39,713 related to goodwill impairment in Asia under the caption “Impairment of goodwill” in the Consolidated Statements of Income. The key factors contributing to the impairment in Asia was the increasing pressure on organic sales growth that the Company began to experience in fiscal 2019 due to a slowdown in telecom spending in the People's Republic of China (“PRC”) amidst growing trade tensions between the U.S.A and China. The impact of these trade tensions on the Company's ability to capture market share in the PRC accelerated in the second half of the fiscal year. Throughout fiscal 2020, there was a general slowdown in the Chinese economy which was further exacerbated by the outbreak of the COVID -19 pandemic, causing disruption to two of the Company's plants in China in the fourth quarter. Also contributing to the poor performance of the Asia region was a general softening of demand in Australia, that began in fiscal 2019 and continued throughout fiscal 2020. The Company monitored the performance of its Asia reporting unit for interim impairment indicators throughout fiscal 2020, but the emergence of COVID-19 in China in December 2019 coupled with the totality of economic headwinds in the region resulted in the recognition of a goodwill impairment loss in connection with its annual impairment test. During the fourth quarter of fiscal 2022, the Company recorded a non-cash charge of $1,178 related to impairment of indefinite-lived trademarks under the caption “Impairment of indefinite-lived intangibles” in the Consolidated Statements of Income. Management completed its evaluation of key inputs used to estimate the fair value of its indefinite-lived trademarks and determined that an impairment charge relating to two of its trademarks that were acquired through legacy acquisitions was appropriate, as it plans to phase out these trademarks. The Company had also recorded an impairment charge relating to the same trademarks in fiscal 2020 for $4,549. |
Prepaid and Other Current Asset
Prepaid and Other Current Assets | 12 Months Ended |
Mar. 31, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Prepaid and Other Current Assets | Prepaid and Other Current Assets Prepaid and other current assets consist of the following: March 31, 2022 2021 Contract assets $ 59,924 $ 46,451 Prepaid non-income taxes 25,585 25,251 Non-trade receivables 16,670 10,925 Prepaid income taxes 7,162 6,562 Other 46,218 28,492 Total $ 155,559 $ 117,681 |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Mar. 31, 2022 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | Accrued Expenses Accrued expenses consist of the following: March 31, 2022 2021 Payroll and benefits $ 81,058 $ 92,305 Accrued selling expenses 48,894 47,364 Contract liabilities 27,870 15,992 Warranty 20,716 18,982 Operating lease liabilities 20,086 21,774 VAT and other non-income taxes 16,458 14,267 Freight 14,167 13,097 Interest 10,793 10,592 Hagen exit related accruals 1,832 24,593 Pension 1,294 1,514 Tax Act - Transition Tax (1) 1,229 11,855 Restructuring 1,030 2,595 Other 44,338 43,793 Total $ 289,765 $ 318,723 |
Debt
Debt | 12 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Debt | Debt The following summarizes the Company’s long-term debt as of March 31, 2022 and March 31, 2021: 2022 2021 Principal Unamortized Issuance Costs Principal Unamortized Issuance Costs Senior Notes $ 600,000 $ 3,905 $ 600,000 $ 5,106 Second Amended Credit Facility, due 2026 650,268 3,361 376,039 1,315 $ 1,250,268 $ 7,266 $ 976,039 $ 6,421 Less: Unamortized issuance costs 7,266 6,421 Long-term debt, net of unamortized issuance costs $ 1,243,002 $ 969,618 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 and are unsecured and unsubordinated obligations of the Company. They are fully and unconditionally guaranteed, jointly and severally, by certain of its subsidiaries that are guarantors under the Second Amended Credit Facility (defined below). 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 (defined below). 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 Second Amended Credit Facility. These guarantees are unsecured and unsubordinated obligations of such guarantors. 2017 Credit Facility and Subsequent Amendments 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 consisted of $449,105 senior secured term loans (the “Amended Term Loan”), including a CAD 133,050 ($99,105) senior secured term loan and a $700,000 senior secured revolving credit facility (the “Amended Revolver”). The amendment resulted in an increase of the 2017 Term Loan and the 2017 Revolver by $299,105 and $100,000, respectively. During the second quarter of fiscal 2022, the Company entered into a second amendment to the Amended Credit Facility (as amended, the “Second Amended Credit Facility”). The Second Amended Credit Facility, scheduled to mature on September 30, 2026, consists of a $130,000 senior secured term loan (the “Second Amended Term Loan”), a CAD 106,440 ($84,229) senior secured term loan and an $850,000 senior secured revolving credit facility (the “Second Amended Revolver”). The second amendment resulted in a decrease of the Amended Term Loan by $150,000 and an increase of the Amended Revolver by $150,000. Subsequent to the second amendment, the quarterly installments payable on the Second Amended Term Loan are $2,678 beginning December 31, 2022, $4,017 beginning December 31, 2024 and $5,356 beginning December 31, 2025 with a final payment of $160,672 on September 30, 2026. The Second Amended Credit Facility may be increased by an aggregate amount of $350,000 in revolving commitments and /or one or more new tranches of term loans, under certain conditions. Both the Second Amended Revolver and the Second Amended 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 1.125% 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%. The Second Amended Credit Facility provides for alternate benchmark rates such as the Secured Overnight Financing Rate (“SOFR”) to replace LIBOR when it is phased out. Obligations under the Second 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 Second 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 Second 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. As of March 31, 2022, the Company had $435,000 outstanding under the Second Amended Revolver and $215,268 under the Second Amended Term Loan. The scheduled repayments within the next twelve months of fiscal 2023, relating to the Second Amended Term Loan is $5,356 and is classified as long-term debt, as the Company expects to refinance the future quarterly payments with revolver borrowings under the Second Amended Credit Facility. Interest Rates on Long Term Debt The weighted average interest rate on the long term debt at March 31, 2022 and March 31, 2021, was 3.3% and 3.5%, respectively. Interest Paid The Company paid in cash, $37,776, $36,365 and $38,632, net of interest received, for interest during the fiscal years ended March 31, 2022, 2021 and 2020, respectively. Covenants The Company’s financing agreements contain various covenants, which, absent prepayment in full of the indebtedness and other obligations, or the receipt of waivers, would limit the Company’s ability to conduct certain specified business transactions including incurring debt, mergers, consolidations or similar transactions, buying or selling assets out of the ordinary course of business, engaging in sale and leaseback transactions, paying dividends and certain other actions. The Company is in compliance with all such covenants. Short-Term Debt As of March 31, 2022 and 2021, the Company had $55,084 and $34,153, respectively, of short-term borrowings. The weighted-average interest rate on these borrowings was approximately 2.4% and 2%, respectively, for fiscal years ended March 31, 2022 and 2021. Letters of Credit As of March 31, 2022 and 2021, the Company had $2,959 of standby letters of credit. Debt Issuance Costs In fiscal 2022, the Company capitalized $2,952 in debt issuance costs and wrote off $128 of unamortized debt issuance costs in connection with the Second Amended Credit Facility. In fiscal 2020, the Company capitalized $4,607 of debt issuance costs in connection with the issuance of the 2027 Notes. Amortization expense, relating to debt issuance costs, included in interest expense was $2,107, $2,072, and $1,673 for the fiscal years ended March 31, 2022, 2021 and 2020, respectively. Debt issuance costs, net of accumulated amortization, totaled $7,266 and $6,421 as of March 31, 2022 and 2021, respectively. Available Lines of Credit As of March 31, 2022 and 2021, the Company had available and undrawn, under all its lines of credit, $482,305 and $697,875, respectively, including $69,430 and $122,303, respectively, of uncommitted lines of credit as of March 31, 2022 and March 31, 2021. |
Other Liabilities
Other Liabilities | 12 Months Ended |
Mar. 31, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Other Liabilities | Other Liabilities Other liabilities consist of the following: March 31, 2022 2021 Operating lease liabilities $ 52,904 $ 42,528 Tax Act - Transition Tax 46,587 53,045 Warranty 34,262 39,980 Pension 28,566 40,450 Liability for uncertain tax positions 5,210 7,185 Contract liabilities 1,387 2,072 Other 14,864 10,508 Total $ 183,780 $ 195,768 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Mar. 31, 2022 | |
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 March 31, 2022 and March 31, 2021 and the basis for that measurement: Total Fair Value Measurement March 31, 2022 Quoted Price in Significant Significant Lead forward contracts $ 2,520 $ — $ 2,520 $ — Foreign currency forward contracts (256) — (256) — Net investment hedges 298 — 298 — Total derivatives $ 2,562 $ — $ 2,562 $ — Total Fair Value Measurement March 31, 2021 Quoted Price in Significant Significant Lead forward contracts $ (1,980) $ — $ (1,980) $ — Foreign currency forward contracts 424 — 424 — Total derivatives $ (1,556) $ — $ (1,556) $ — 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. The fair values for foreign currency forward contracts and net investment hedges 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 Second Amended Credit Facility (as defined in Note 10), 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. The fair value of the Company's 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 95% and 102% of face value on March 31, 2022 and March 31, 2021, respectively. The 2023 Notes were trading at approximately 101% and 105% of face value on March 31, 2022 and March 31, 2021, respectively. The carrying amounts and estimated fair values of the Company’s derivatives and Senior Notes at March 31, 2022 and 2021 were as follows: March 31, 2022 March 31, 2021 Carrying Fair Value Carrying Fair Value Financial assets: Derivatives (1) $ 2,562 $ 2,562 $ — $ — Financial liabilities: Senior Notes (2) $ 600,000 $ 585,750 $ 600,000 $ 621,000 Derivatives (1) — — 1,556 1,556 (1) Represents lead, foreign currency forward contracts and net investment hedges (see Note 13 for asset and liability positions of the lead, foreign currency forward contracts and net investment hedges at March 31, 2022 and March 31, 2021). (2) The fair value amount of the Senior Notes at March 31, 2022 and March 31, 2021 represent the trading value of the instruments. Non-recurring fair value measurements The valuation of goodwill and other intangible assets is based on information and assumptions available to the Company at the time of acquisition, using income and market approaches to determine fair value. The Company tests goodwill and other intangible assets annually for impairment, or when indications of potential impairment exist (see Note 1). Goodwill is tested for impairment by determining the fair value of the Company’s reporting units. The unobservable inputs used to measure the fair value of the reporting units include projected growth rates, profitability, and the risk factor premium added to the discount rate. The remeasurement of the reporting unit fair value is classified as a Level 3 fair value assessment due to the significance of unobservable inputs developed using company-specific information. The inputs used to measure the fair value of other intangible assets were largely unobservable and accordingly were also classified as Level 3. The fair value of trademarks is based on an estimate of the royalties saved that would have been paid to a third party had the Company not owned the trademark. The fair value of other indefinite-lived intangibles was estimated using the income approach, based on cash flow projections of revenue growth rates, taking into consideration industry and market conditions. In connection with the annual impairment testing conducted as of January 3, 2022, two of the Company's indefinite-lived trademarks, that were acquired through legacy acquisitions were recorded at fair value on a non-recurring basis at $980 and the remeasurement resulted in an impairment of $1,178. In determining the fair value of these assets, the Company used a royalty rate of 1.25% based on comparable market rates and used discount rates of 13.0% and 14.5%. In fiscal 2020, the Company recorded an impairment relating to the same trademarks, which were recorded at a fair value on a non-recurring basis of $1,700 and the remeasurement resulted in an impairment of $4,549. In determining the fair value of these assets, the Company used a royalty rate of 1.25% based on comparable market rates and used a discount rate of 13.0%. These impairment charges relating to goodwill and indefinite-lived trademarks are included under the captions Impairment of goodwill and Impairment of indefinite-lived intangibles in the Consolidated Statements of Income. Russia In February 2022, as a result of the Russia-Ukraine conflict, economic sanctions were imposed on Russian individuals and entities, including financial institutions, by countries around the world, including the U.S. and the European Union. On March 3, 2022, the Company announced that it was indefinitely suspending its operations in Russia in order to comply with the sanctions. As a result of this decision, the Company wrote off net assets of $3,999 relating to its Russian subsidiary, based on a non-recurring basis. Vijayawada, India During fiscal 2021, the Company committed to a plan to close its facility in Vijayawada, India to align with its strategic vision for the new line of business structure and footprint. As a result of this decision, in fiscal 2022, the Company reclassified property, plant and equipment with a carrying value of $4,573 to assets held for sale on the Consolidated Balance Sheet and recognized an impairment loss of $2,973 under the caption Loss on assets held for sale on its consolidated statement of income, by recording the carrying value of these assets to their estimated fair value of $1,600, based on a non-recurring basis. The fair value was based on the expected proceeds, less costs to sell. In fiscal 2021, the Company committed to a plan to substantially close all of its facility in Hagen, Germany, which produces flooded motive power batteries for forklifts. Management determined that future demand for the motive power batteries produced at this facility was not sufficient, given the conversion from flooded to maintenance free batteries by customers, the existing number of competitors in the market, as well as the near term decline in demand and increased uncertainty from the pandemic. As a result, the Company concluded that the carrying value of the asset group is not recoverable and recorded a write-off of $3,975 of the fixed assets to their estimated fair value of $14,456, which was recognized in the third quarter of fiscal 2021. The valuation technique used to measure the fair value of fixed assets was a combination of the income and market approaches. The inputs used to measure the fair value of these fixed assets under the income approach were largely unobservable and accordingly were classified as Level 3. |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Mar. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial InstrumentsThe Company utilizes derivative instruments to reduce its exposure to fluctuations in commodity prices, foreign exchange rates and interest 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 March 31, 2022 and 2021, the Company has hedged the price to purchase approximately 54.0 million pounds and 54.5 million pounds of lead, respectively, for a total purchase price of $56,768 and $50,567, 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 March 31, 2022 and 2021, the Company had entered into a total of $29,676 and $26,033, respectively, of such contracts. Derivatives in Net Investment Hedging Relationships Net Investment Hedges On December 23, 2021, the Company entered into cross currency fixed interest rate swap agreements, with aggregate notional amounts of $300,000, to hedge its net investments in foreign operations against future volatility in the exchange rates between U.S. Dollars and Euros. These swaps mature on December 15, 2027 and qualify for hedge accounting as a net investment hedging instrument, which allows the swaps to be remeasured to foreign currency translation adjustment within AOCI to offset the translation risk from those investments. Balances in the foreign currency translation adjustment accounts remain until the sale or substantially complete liquidation of the foreign entity, upon which they are recognized as a component of income (expense). Impact of Hedging Instruments on AOCI In the coming twelve months, the Company anticipates that $8,436 of pretax gain relating to lead, foreign currency forward contracts and net investment hedges will be reclassified from AOCI as part of cost of goods sold and interest expense. This amount represents the current net unrealized impact of hedging lead, foreign exchange rates and interest rates, which will change as market rates change in the future. This amount will ultimately be realized in the Consolidated Statements of Income as an offset to the corresponding actual changes in lead, foreign exchange rates and lead costs resulting from variable lead cost, foreign exchange and interest rates 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 Statements of Income. As of March 31, 2022 and 2021, the notional amount of these contracts was $22,990 and $28,995, respectively. Presented below in tabular form is information on the location and amounts of derivative fair values in the Consolidated Balance Sheets and derivative gains and losses in the Consolidated Statements of Income: Fair Value of Derivative Instruments March 31, 2022 and 2021 Derivatives and Hedging Activities Designated as Cash Flow Hedges Derivatives and Hedging Activities Designated as Net Investment Hedges Derivatives and Hedging Activities Not Designated as Hedging Instruments March 31, 2022 March 31, 2021 March 31, 2022 March 31, 2021 March 31, 2022 March 31, 2021 Prepaid and other current assets: Lead forward contracts $ 2,520 $ — $ — $ — $ — $ — Foreign currency forward contracts 256 524 — — — — Net investment hedges — — 4,388 — — — Total assets $ 2,776 $ 524 $ 4,388 $ — $ — $ — Accrued expenses: Lead forward contracts $ — $ 1,980 $ — $ — $ — $ — Foreign currency forward contracts — — — — 512 100 Other liabilities: Net investment hedges — — 4,090 — — — Total liabilities $ — $ 1,980 $ 4,090 $ — $ 512 $ 100 The Effect of Derivative Instruments on the Consolidated Statements of Income For the fiscal year ended March 31, 2022 Derivatives Designated as Cash Flow Hedges Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) Location of Gain Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Lead forward contracts $ 12,193 Cost of goods sold $ 8,974 Foreign currency forward contracts 941 Cost of goods sold 768 Total $ 13,134 $ 9,742 Derivatives Designated as Net Investment Hedges Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) Location of Gain Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Cross currency fixed interest rate swaps $ 1,479 Interest expense $ 1,181 Total $ 1,479 $ 1,181 Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Pretax Gain (Loss) Foreign currency forward contracts Other (income) expense, net $ (157) Total $ (157) The Effect of Derivative Instruments on the Consolidated Statements of Income For the fiscal year ended March 31, 2021 Derivatives Designated as Cash Flow Hedges Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) Location of Gain Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Lead forward contracts $ 202 Cost of goods sold $ (7,411) Foreign currency forward contracts 130 Cost of goods sold (492) Total $ 332 $ (7,903) Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Pretax Gain (Loss) Foreign currency forward contracts Other (income) expense, net $ 430 Total $ 430 The Effect of Derivative Instruments on the Consolidated Statements of Income For the fiscal year ended March 31, 2020 Derivatives Designated as Cash Flow Hedges Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) Location of Gain Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Lead forward contracts $ (8,683) Cost of goods sold $ (1,690) Foreign currency forward contracts (54) Cost of goods sold 539 Total $ (8,737) $ (1,151) Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Pretax Gain (Loss) Foreign currency forward contracts Other (income) expense, net $ (178) Total $ (178) |
Income Taxes
Income Taxes | 12 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Fiscal year ended March 31, 2022 2021 2020 Current income tax expense Current: Federal $ 9,558 $ 12,591 $ 9,185 State 4,022 4,133 2,561 Foreign 15,333 19,031 14,561 Total current income tax expense 28,913 35,755 26,307 Deferred income tax (benefit) expense Federal 1,183 1,495 5,489 State (1,453) 735 741 Foreign 1,385 (11,224) (22,716) Total deferred income tax (benefit) expense 1,115 (8,994) (16,486) Total income tax expense $ 30,028 $ 26,761 $ 9,821 Earnings before income taxes consists of the following: Fiscal year ended March 31, 2022 2021 2020 United States $ 21,871 $ 56,055 $ 36,193 Foreign 152,068 114,080 110,744 Earnings before income taxes $ 173,939 $ 170,135 $ 146,937 Income taxes paid by the Company for the fiscal years ended March 31, 2022, 2021 and 2020 were $50,484, $32,002 and $48,653, respectively. On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) was signed into law in the U.S. to provide certain relief as a result of the COVID-19 pandemic. In addition, governments around the world have enacted or implemented various forms of tax relief measures in response to the economic conditions in the wake of COVID-19. As of March 31, 2022, neither the CARES Act nor changes to income tax laws or regulations in other jurisdictions had a significant impact on the Company’s effective tax rate. The following table sets forth the tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities: March 31, 2022 2021 Deferred tax assets: Accounts receivable $ 481 $ 2,029 Inventories 8,581 8,831 Net operating loss carryforwards 56,010 62,663 Lease liabilities 17,590 15,685 Accrued expenses 33,571 36,775 Other assets 19,941 18,173 Gross deferred tax assets 136,174 144,156 Less valuation allowance (31,017) (31,928) Total deferred tax assets 105,157 112,228 Deferred tax liabilities: Property, plant and equipment 41,105 38,364 Lease Right-of-use assets 17,590 15,685 Intangible assets 60,827 66,743 Other liabilities 3,384 2,636 Total deferred tax liabilities 122,906 123,428 Net deferred tax liabilities $ (17,749) $ (11,200) The Company has approximately $899 in United States federal net operating loss carryforwards, all of which are limited by Section 382 of the Internal Revenue Code, with expirations between 2023 and 2027. The Company has approximately $202,176 of foreign net operating loss carryforwards, of which $155,338 may be carried forward indefinitely and $46,838 expire between fiscal 2023 and fiscal 2041. In addition, the Company also has approximately $28,994 of state net operating loss carryforwards with expirations between fiscal 2023 and fiscal 2042. The following table sets forth the changes in the Company's valuation allowance for fiscal 2022, 2021 and 2020: Balance at Additions Valuation Allowance Reversal Business Combination Adjustments Other (1) Balance at Fiscal year ended March 31, 2020 $ 17,519 $ 7,494 $ (3,145) $ (688) $ (229) $ 20,951 Fiscal year ended March 31, 2021 20,951 8,437 (2,904) 6,384 (940) 31,928 Fiscal year ended March 31, 2022 31,928 4,486 (1,535) — (3,862) 31,017 (1) Includes the impact of currency changes and the expiration of net operating losses for which a full valuation allowance was recorded. As of March 31, 2022 and 2021, the Company had no federal valuation allowance and the valuation allowance associated with the state tax jurisdictions was $686 for both years. As of March 31, 2022 and 2021, the valuation allowance associated with certain foreign tax jurisdictions was $30,331 and $31,242, respectively. Of the net decrease of $(911), $2,951 was recorded as an increase to tax expense primarily related to deferred tax assets generated in the current year that the Company believes are not more likely than not to be realized, offset by $(3,862) primarily related to foreign currency translation adjustments and expiration of foreign net operating losses for which a full valuation allowance was recorded. A reconciliation of income taxes at the statutory rate (21.0% for fiscal 2022, 2021 and 2020) to the income tax provision is as follows: Fiscal year ended March 31, 2022 2021 2020 United States statutory income tax expense $ 36,527 $ 35,729 $ 30,857 Increase (decrease) resulting from: State income taxes, net of federal effect 1,724 4,000 2,764 Nondeductible expenses and other 1,217 5,273 5,953 Net effect of GILTI, FDII, BEAT 5,405 1,985 3,025 Goodwill impairment - See Note 7 — — 10,714 Effect of foreign operations (14,192) (20,035) (17,605) Valuation allowance 2,951 5,533 4,349 Switzerland Tax Reform — (1,883) (26,846) Research and Development Credit (3,604) (3,841) (3,390) Income tax expense $ 30,028 $ 26,761 $ 9,821 The effective income tax rates for the fiscal years ended March 31, 2022, 2021 and 2020 were 17.3%, 15.7% and 6.7%, respectively. The 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 and the amount of its consolidated income before taxes. The rate increase in fiscal 2022 compared to fiscal 2021 is primarily due to Swiss tax reform and changes in the mix of earnings among tax jurisdictions. The rate increase in fiscal 2021 compared to fiscal 2020 is primarily due to Swiss tax reform, partially offset by the Hagen, Germany exit charges and changes in the mix of earnings among tax jurisdictions. 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 Swiss tax reform measures were effective January 1, 2020. The Company recorded a net deferred tax asset of $22,500 during fiscal 2020, related to the amortizable goodwill and based on further evaluation with the Swiss tax authority, recorded an additional income tax benefit of $1,883 during fiscal 2021. In fiscal 2022, the foreign effective income tax rate on foreign pre-tax income of $152,068 was 11.0%. In fiscal 2021, the foreign effective income tax rate on foreign pre-tax income of $114,080 was 6.8% and in fiscal 2020, the foreign effective income tax rate on foreign pre-tax income of $110,744 was (7.4)%. The rate increase in fiscal 2022 compared to fiscal 2021 is primarily due to Swiss tax reform and changes in the mix of earnings among tax jurisdictions. The rate increase in fiscal 2021 compared to fiscal 2020 is primarily due to Swiss tax reform, partially offset by the Hagen, Germany exit charges and changes in the mix of earnings among tax jurisdictions. Income from the Company's Swiss subsidiary comprised a substantial portion of its overall foreign mix of income for the fiscal years ended March 31, 2022, 2021 and 2020 and was taxed, excluding the impact from the Swiss tax reform, at approximately 4%, 8% and 3%, respectively. The Company has approximately $1,180,000 and $1,591,000 of undistributed earnings of foreign subsidiaries for fiscal years 2022 and 2021, respectively. During fiscal 2022, the Company remitted $550,000 of undistributed earnings from a foreign subsidiary, with no tax impact. Additionally, the Company recorded $2,000 in additional income taxes related to the indefinite suspension of its business operations in Russia. The Company intends to continue to be indefinitely reinvested on the remaining undistributed foreign earnings and outside basis differences and therefore, no additional income taxes have been provided. Uncertain Tax Positions The following table summarizes activity of the total amounts of unrecognized tax benefits: Fiscal year ended March 31, 2022 2021 2020 Balance at beginning of year $ 6,785 $ 7,795 $ 20,165 Increases related to current year tax positions 21 346 598 Increases related to the Alpha acquisition — — 769 Increases related to prior year tax positions 598 325 — Decreases related to prior tax positions — — (11,463) Decreases related to prior year tax positions settled (784) — — Lapse of statute of limitations (1,850) (1,681) (2,274) Balance at end of year $ 4,770 $ 6,785 $ 7,795 All of the balance of unrecognized tax benefits at March 31, 2022, if recognized, would be included in the Company’s Consolidated Statements of Income and have a favorable impact on both the Company’s net earnings and effective tax rate. The Company and its subsidiaries file income tax returns in the U.S. federal jurisdiction, and various states and foreign jurisdictions and is routinely subject to income tax examinations. As of March 31, 2022, the most significant tax examinations in process are the United States and Switzerland. The Company regularly assesses the likely outcomes of its tax audits and disputes to determine the appropriateness of its tax reserves. However, any tax authority could take a position on tax treatment that is contrary to the Company’s expectations, which could result in tax liabilities in excess of reserves. With few exceptions, the Company is no longer subject to U.S. federal, state and local, or non-U.S. income tax examinations by tax authorities for years before 2010. While the net effect on total unrecognized tax benefits cannot be reasonably estimated, approximately $1,050 is expected to reverse in fiscal 2023 due to expiration of various statute of limitations. The Company recognizes tax related interest and penalties in income tax expense in its Consolidated Statements of Income. As of March 31, 2022 and 2021, the Company had an accrual of $440 and $400, respectively, for interest and penalties. |
Retirement Plans
Retirement Plans | 12 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
Retirement Plans | Retirement Plans Defined Benefit Plans The Company sponsors several retirement and pension plans covering eligible salaried and hourly employees. The Company uses a measurement date of March 31 for its pension plans. Net periodic pension cost for fiscal 2022, 2021 and 2020, includes the following components: United States Plans International Plans Fiscal year ended March 31, Fiscal year ended March 31, 2022 2021 2020 2022 2021 2020 Service cost $ — $ — $ — $ 1,114 $ 993 $ 906 Interest cost 517 533 616 1,427 1,388 1,485 Expected return on plan assets (526) (272) (448) (2,200) (1,899) (2,136) Amortization and deferral 7 476 188 1,205 1,053 910 Net periodic benefit cost $ (2) $ 737 $ 356 $ 1,546 $ 1,535 $ 1,165 The following table sets forth a reconciliation of the related benefit obligation, plan assets, and accrued benefit costs related to the pension benefits provided by the Company for those employees covered by defined benefit plans: United States Plans International Plans March 31, March 31, 2022 2021 2022 2021 Change in projected benefit obligation Benefit obligation at the beginning of the period $ 17,806 $ 18,111 $ 83,252 $ 68,602 Service cost — — 1,114 993 Interest cost 517 533 1,427 1,388 Benefits paid, inclusive of plan expenses (802) (802) (2,328) (2,087) Plan curtailments and settlements — — (141) (91) Actuarial (gains) losses (1,316) (36) (8,545) 7,761 Foreign currency translation adjustment — — (3,946) 6,686 Benefit obligation at the end of the period $ 16,205 $ 17,806 $ 70,833 $ 83,252 Change in plan assets Fair value of plan assets at the beginning of the period $ 16,265 $ 12,036 $ 42,844 $ 32,831 Actual return on plan assets 443 4,379 1,784 6,272 Employer contributions 260 652 1,979 1,869 Benefits paid, inclusive of plan expenses (802) (802) (2,328) (2,087) Plan curtailments and settlements — — (141) (91) Foreign currency translation adjustment — — (2,071) 4,050 Fair value of plan assets at the end of the period $ 16,166 $ 16,265 $ 42,067 $ 42,844 Funded status deficit $ (39) $ (1,541) $ (28,766) $ (40,408) March 31, 2022 2021 Amounts recognized in the Consolidated Balance Sheets consist of: Non current assets $ 1,055 $ 15 Accrued expenses (1,294) (1,514) Other liabilities (28,566) (40,450) Funded status deficit $ (28,805) $ (41,949) The following table represents pension components (before tax) and related changes (before tax) recognized in AOCI for the Company’s pension plans for the years ended March 31, 2022, 2021 and 2020: Fiscal year ended March 31, 2022 2021 2020 Amounts recorded in AOCI before taxes: Prior service cost $ (174) $ (230) $ (258) Net loss (14,049) (25,450) (25,796) Net amount recognized $ (14,223) $ (25,680) $ (26,054) Fiscal year ended March 31, 2022 2021 2020 Changes in plan assets and benefit obligations: New prior service cost $ — $ — $ — Net loss (gain) arising during the year (9,362) (753) 3,793 Effect of exchange rates on amounts included in AOCI (883) 1,909 (804) Amounts recognized as a component of net periodic benefit costs: Amortization of prior service cost (45) (46) (43) Amortization or settlement recognition of net loss (1,167) (1,484) (1,250) Total recognized in other comprehensive (income) loss $ (11,457) $ (374) $ 1,696 The amounts included in AOCI as of March 31, 2022 that are expected to be recognized as components of net periodic pension cost (before tax) during the next twelve months are as follows: Prior service cost $ (43) Net loss (474) Net amount expected to be recognized $ (517) The accumulated benefit obligation related to all defined benefit pension plans and information related to unfunded and underfunded defined benefit pension plans at the end of each fiscal year are as follows: United States Plans International Plans March 31, March 31, 2022 2021 2022 2021 All defined benefit plans: Accumulated benefit obligation $ 16,205 $ 17,806 $ 67,301 $ 78,360 Unfunded defined benefit plans: Projected benefit obligation $ — $ — $ 29,570 $ 34,932 Accumulated benefit obligation — — 27,156 31,970 Defined benefit plans with a projected benefit obligation in excess of the fair value of plan assets: Projected benefit obligation $ 5,479 $ 17,806 $ 29,570 $ 82,814 Fair value of plan assets 5,188 16,265 — 42,390 Defined benefit plans with an accumulated benefit obligation in excess of the fair value of plan assets: Projected benefit obligation $ 5,479 $ 17,806 $ 29,570 $ 82,814 Accumulated benefit obligation 5,479 17,806 27,156 77,928 Fair value of plan assets 5,188 16,265 — 42,390 Assumptions Significant assumptions used to determine the net periodic benefit cost for the U.S. and International plans were as follows: United States Plans International Plans Fiscal year ended March 31, Fiscal year ended March 31, 2022 2021 2020 2022 2021 2020 Discount rate 3.0 % 3.0 % 3.8 % 0.5%-2.3% 1.3%-2.3% 1.0%-2.7% Expected return on plan assets 5.5 6.0 6.3 2.7-5.25 3.8-5.5 4.3-6.0 Rate of compensation increase N/A N/A N/A 1.5-4.0 2.0-3.5 2.0-4.0 N/A = not applicable Significant assumptions used to determine the projected benefit obligations for the U.S. and International plans were as follows: United States Plans International Plans March 31, March 31, 2022 2021 2022 2021 Discount rate 3.7 % 3.0 % 1.5%-5.4% 0.5%-2.3% Rate of compensation increase N/A N/A 1.8-5.5 1.5-4.0 N/A = not applicable The United States plans do not include compensation in the formula for determining the pension benefit as it is based solely on years of service. The expected long-term rate of return for the Company’s pension plan assets is based upon the target asset allocation and is determined using forward looking assumptions in the context of historical returns and volatilities for each asset class, as well as correlations among asset classes. The Company evaluates the rate of return assumptions for each of its plans on an annual basis. Pension Plan Investment Strategy The Company’s investment policy emphasizes a balanced approach to investing in securities of high quality and ready marketability. Investment flexibility is encouraged so as not to exclude opportunities available through a diversified investment strategy. Equity investments are maintained within a target range of 40% - 75% of the total portfolio market value for the U.S. plans and with a target of approximately 65% for international plans. Investments in debt securities include issues of various maturities, and the average quality rating of bonds should be investment grade with a minimum quality rating of “B” at the time of purchase. The Company periodically reviews the asset allocation of its portfolio. The proportion committed to equities, debt securities and cash and cash equivalents is a function of the values available in each category and risk considerations. The plan’s overall return will be compared to and is expected to meet or exceed established benchmark funds and returns over a three to five year period. The objectives of the Company’s investment strategies are: (a) the achievement of a reasonable long-term rate of total return consistent with an emphasis on preservation of capital and purchasing power, (b) stability of annual returns through a portfolio that reflects a conservative mix of risk versus return, and (c) reflective of the Company’s willingness to forgo significantly above-average rewards in order to minimize above-average risks. These objectives may not be met each year but should be attained over a reasonable period of time. The following table represents the Company's pension plan investments measured at fair value as of March 31, 2022 and 2021 and the basis for that measurement: March 31, 2022 United States Plans International Plans Total Fair Quoted Price Significant Significant Total Fair Quoted Price Significant Significant Asset category: Cash and cash equivalents $ 1,576 $ 1,576 $ — $ — $ 98 $ 98 $ — $ — Equity securities US (a) 10,350 10,350 — — — — — — International (b) — — — — 28,296 — 28,296 — Fixed income (c) 4,240 4,240 — — 13,673 — 13,673 — Total $ 16,166 $ 16,166 $ — $ — $ 42,067 $ 98 $ 41,969 $ — March 31, 2021 United States Plans International Plans Total Fair Quoted Price Significant Significant Total Fair Quoted Price Significant Significant Asset category: Cash and cash equivalents $ 1,454 $ 1,454 $ — $ — $ 81 $ 81 $ — $ — Equity securities US (a) 10,435 10,435 — — — — — — International (b) — — — — 28,144 — 28,144 — Fixed income (c) 4,376 4,376 — — 14,619 — 14,619 — Total $ 16,265 $ 16,265 $ — $ — $ 42,844 $ 81 $ 42,763 $ — The fair values presented above were determined based on valuation techniques to measure fair value as discussed in Note 1. (a) US equities include companies that are well diversified by industry sector and equity style (i.e., growth and value strategies). Active and passive management strategies are employed. Investments are primarily in large capitalization stocks and, to a lesser extent, mid- and small-cap stocks. (b) International equities are invested in companies that are traded on exchanges outside the U.S. and are well diversified by industry sector, country and equity style. Active and passive strategies are employed. The vast majority of the investments are made in companies in developed markets with a small percentage in emerging markets. (c) Fixed income consists primarily of investment grade bonds from diversified industries. The Company expects to make cash contributions of approximately $1,717 to its pension plans in fiscal 2023. Estimated future benefit payments under the Company’s pension plans are as follows: 2023 $ 3,031 2024 2,975 2025 3,378 2026 3,708 2027 4,064 Years 2028-2032 22,244 Defined Contribution Plan The Company maintains defined contribution plans primarily in the U.S. and U.K. Eligible employees can contribute a portion of their pre-tax and / or after-tax income in accordance with plan guidelines and the Company will make contributions based on the employees’ eligible pay and /or will match a percentage of the employee contributions up to certain limits. Matching contributions charged to expense for the fiscal years ended March 31, 2022, 2021 and 2020 were $18,402, $16,460 and $15,835, respectively. |
Stockholders_ Equity
Stockholders’ Equity | 12 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Stockholders’ Equity | Stockholders’ Equity Preferred Stock and Common Stock The Company’s certificate of incorporation authorizes the issuance of up to 1,000,000 shares of preferred stock, par value $0.01 per share (“Preferred Stock”). At March 31, 2022 and 2021, no shares of Preferred Stock were issued or outstanding. The Board of Directors of the Company has the authority to specify the terms of any Preferred Stock at the time of issuance. The following demonstrates the change in the number of shares of common stock outstanding during fiscal years ended March 31, 2020, 2021 and 2022, respectively: Shares outstanding as of March 31, 2019 42,620,750 Purchase of treasury stock (581,140) Shares issued towards equity-based compensation plans, net of equity awards surrendered for option price and taxes 283,695 Shares outstanding as of March 31, 2020 42,323,305 Purchase of treasury stock — Shares issued under equity-based compensation plans, net of equity awards surrendered for option price and taxes 429,715 Shares outstanding as of March 31, 2021 42,753,020 Purchase of treasury stock (1,996,334) Shares issued under equity-based compensation plans, net of equity awards surrendered for option price and taxes 229,972 Shares outstanding as of March 31, 2022 40,986,658 Treasury Stock In fiscal 2022, the Company purchased 1,996,334 shares for $156,366. The Company did not purchase any shares in fiscal 2021 but purchased 581,140 shares for $34,561 in fiscal 2020. At March 31, 2022 and 2021, the Company held 14,762,266 and 12,799,790 shares as treasury stock, respectively. Treasury Stock Reissuance During fiscal 2022, fiscal 2021 and fiscal 2020, the Company also issued 13,858, 13,465 and 17,410 shares out of its treasury stock, respectively, 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, are as follows: Beginning Before Reclassifications Amount Reclassified from AOCI Ending March 31, 2022 Pension funded status adjustment $ (20,947) $ 7,374 $ 936 $ (12,637) Net unrealized gain (loss) on derivative instruments 360 10,063 (7,460) 2,963 Foreign currency translation adjustment (1) (95,296) (38,525) — (133,821) Accumulated other comprehensive loss $ (115,883) $ (21,088) $ (6,524) $ (143,495) March 31, 2021 Pension funded status adjustment $ (22,794) $ 680 $ 1,167 $ (20,947) Net unrealized gain (loss) on derivative instruments (5,923) 250 6,033 360 Foreign currency translation adjustment (186,289) 90,993 — (95,296) Accumulated other comprehensive loss $ (215,006) $ 91,923 $ 7,200 $ (115,883) March 31, 2020 Pension funded status adjustment $ (20,791) $ (2,819) $ 816 $ (22,794) Net unrealized gain (loss) on derivative instruments (130) (6,672) 879 (5,923) Foreign currency translation adjustment (121,761) (64,528) — (186,289) Accumulated other comprehensive loss $ (142,682) $ (74,019) $ 1,695 $ (215,006) (1) Foreign currency translation adjustment for the fiscal year ended March 31, 2022 includes a $228 gain (net of taxes of $70) relating to the net investment hedges entered into by the Company on December 23, 2021. The following table presents reclassifications from AOCI during the twelve months ended March 31, 2022: 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 $ (9,742) Cost of goods sold Tax expense 2,282 Net unrealized gain on derivative instruments, net of tax $ (7,460) Derivatives in net investment hedging relationships: Net unrealized gain on derivative instruments $ (1,181) Interest expense Tax expense 276 Net unrealized gain on derivative instruments, net of tax $ (905) Defined benefit pension costs: Prior service costs and deferrals $ 1,212 Net periodic benefit cost, included in other (income) expense, net - See Note 15 Tax benefit (276) Net periodic benefit cost, net of tax $ 936 The following table presents reclassifications from AOCI during the twelve months ended March 31, 2021: 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 $ 7,903 Cost of goods sold Tax benefit (1,870) Net unrealized loss on derivative instruments, net of tax $ 6,033 Defined benefit pension costs: Prior service costs and deferrals $ 1,529 Net periodic benefit cost, included in other (income) expense, net - See Note 15 Tax benefit (362) Net periodic benefit cost, net of tax $ 1,167 The following table presents reclassifications from AOCI during the twelve months ended March 31, 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 $ 1,151 Cost of goods sold Tax benefit (272) Net unrealized loss on derivative instruments, net of tax $ 879 Defined benefit pension costs: Prior service costs and deferrals $ 1,098 Net periodic benefit cost, included in other (income) expense, net - See Note 15 Tax benefit (282) Net periodic benefit cost, net of tax $ 816 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation As of March 31, 2022, 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. Shares subject to any awards that expire without being exercised or that are forfeited or settled in cash shall again be available for future grants of awards under the 2017 EIP. Shares subject to stock option or stock appreciation right awards, that have been retained by the Company in payment or satisfaction of the exercise price and any applicable tax withholding obligation of such awards, shall not be available for future grant under the 2017 EIP. As of March 31, 2022, 2,822,479 shares are available for future grants. The Company’s management equity incentive plans are intended to provide an incentive to employees and non-employee directors of the Company to remain in the service of the Company and to increase their interest in the success of the Company in order to promote the long-term interests of the Company. The plans seek to promote the highest level of performance by providing an economic interest in the long-term performance of the Company. The Company settles employee share-based compensation awards with newly issued shares. Stock Options During fiscal 2022, the Company granted to management and other key employees 246,222 non-qualified options that vest ratably over 3 years from the date of grant. Options expire 10 years from the date of grant. The Company recognized stock-based compensation expense relating to stock options of $6,235, with a related tax benefit of $738 for fiscal 2022, $3,514 with a related tax benefit of $368 for fiscal 2021 and $2,996 with a related tax benefit of $565 for fiscal 2020. For purposes of determining the fair value of stock options granted, the Company used a Black-Scholes Model with the following assumptions: 2022 2021 2020 Risk-free interest rate 0.89 % 0.39 % 1.52 % Dividend yield 0.76 % 0.93 % 1.21 % Expected life (years) 6 6 6 Volatility 37.3 % 37.2 % 29.1 % The following table summarizes the Company’s stock option activity in the years indicated: Number of Weighted- Weighted- Aggregate Options outstanding as of March 31, 2019 554,906 8.0 $ 72.31 $ 1,040 Granted 284,109 57.75 — Exercised (24,826) 57.60 383 Forfeited (22,607) 72.19 88 Expired — — — Options outstanding as of March 31, 2020 791,582 7.8 $ 67.55 $ — Granted 295,068 79.62 — Exercised (247,975) 66.11 6,382 Forfeited (34,854) 69.20 290 Expired (4,320) 80.25 — Options outstanding as of March 31, 2021 799,501 7.8 $ 72.31 $ 14,781 Granted 246,222 97.32 — Exercised (42,640) 65.71 1,079 Forfeited (27,478) 71.26 520 Options outstanding as of March 31, 2022 975,605 7.5 $ 78.94 $ 3,605 Options exercisable as of March 31, 2022 472,571 6.1 $ 72.71 $ 2,250 Options vested and expected to vest, as of March 31, 2022 960,129 7.4 $ 78.77 $ 3,590 The following table summarizes information regarding stock options outstanding as of March 31, 2022: Range of Exercise Prices Number of Weighted- Weighted- $57.60-$60.00 194,661 7.0 $ 57.73 $60.01-$70.00 56,530 2.9 $ 68.78 $70.01-$80.00 222,765 7.3 $ 75.27 $80.01-$90.00 260,247 7.2 $ 83.00 $90.01-100.99 241,402 9.4 $ 97.43 975,605 7.5 $ 78.94 Restricted Stock Units, Market and Performance-condition based Awards Non-Employee Directors In fiscal 2022, the Company granted to non-employee directors 24,055 deferred restricted stock units (“DSU”) at the fair value of $60.29 per restricted stock unit at the date of grant. In fiscal 2021, such grants amounted to 39,726 restricted stock units at the fair value of $39.93 per restricted stock unit at the date of grant and in fiscal 2020, such grants amounted to 40,462 restricted stock units at the fair value of $39.74 per restricted stock unit at the date of grant. The awards vest immediately upon the date of grant and are settled in shares of common stock six months after termination of service as a director. The Company also granted to non-employee directors, during fiscal 2022, fiscal 2021 and 2020, 781, 1,435 and 1,147 restricted stock units, respectively, at fair values of $88.27, $71.53 and $58.05, respectively, under the deferred compensation plan for non-employee directors. Employees In fiscal 2022, the Company granted to management and other key employees 229,600 restricted stock units that vest ratably over four years from the date of grant, at the fair value of $91.81 per restricted stock unit. In fiscal 2021, the Company granted to management and other key employees 283,101 restricted stock units that vest ratably over four years from the date of grant at the fair value of $75.39 per restricted stock unit. In fiscal 2020, the Company granted to management and other key employees 301,321 restricted stock units that vest ratably over four years from the date of grant at a fair value of $57.75 per restricted stock unit, 62,512 PSUs at the fair value of $50.69 and 51,063 TSRs at a weighted average fair value of $62.05 per unit at the date of grant, that cliff vest three years from the date of grant. For purposes of determining the fair value of the PSUs granted in fiscal 2020, the Company used the market price at the date of grant to which a discount for illiquidity was applied to reflect post vesting restrictions. For purposes of determining the fair value of TSRs granted in fiscal 2020, the Company used a Monte Carlo Simulation with the following assumptions: 2020 Risk-free interest rate 1.50 % Dividend yield — % Expected life (years) 3 Volatility 34.39 % A summary of the changes in restricted stock units, TSRs and PSUs awarded to employees and directors that were outstanding under the Company’s equity compensation plans during fiscal 2022 is presented below: Restricted Stock Units (RSU) Market condition-based Share Units (TSR) Performance condition-based Share Units (PSU) Number of Weighted- Number of Weighted- Number of Weighted- Non-vested awards as of March 31, 2021 880,284 $ 60.07 125,960 $ 83.48 98,346 $ 57.55 Granted 254,436 88.27 — — — — Stock dividend 7,639 64.22 670 71.04 714 56.04 Performance factor — — 1,116 — — — Vested (228,765) 68.34 (46,295) 104.89 (670) 68.48 Forfeitures (35,829) 73.40 (6,468) 70.77 (21,517) 64.25 Non-vested awards as of March 31, 2022 877,765 $ 65.48 74,983 $ 71.25 76,873 $ 55.56 The Company recognized stock-based compensation expense relating to restricted stock units, TSRs and PSUs of $18,054, with a related tax benefit of $3,072 for fiscal 2022, $16,303, with a related tax benefit of $2,121 for fiscal 2021 and $17,784, with a related tax benefit of $2,544 for fiscal 2020. All Award Plans As of March 31, 2022, unrecognized compensation expense associated with the non-vested equity awards outstanding was $48,867 and is expected to be recognized over a weighted-average period of 24 months. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Mar. 31, 2022 | |
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. Fiscal year ended March 31, 2022 2021 2020 Net earnings attributable to EnerSys stockholders $ 143,911 $ 143,374 $ 137,116 Weighted-average number of common shares outstanding: Basic 42,106,337 42,548,449 42,411,834 Dilutive effect of: Common shares from exercise and lapse of equity awards, net of shares assumed reacquired 677,036 675,954 484,941 Diluted weighted-average number of common shares outstanding 42,783,373 43,224,403 42,896,775 Basic earnings per common share attributable to EnerSys stockholders $ 3.42 $ 3.37 $ 3.23 Diluted earnings per common share attributable to EnerSys stockholders $ 3.36 $ 3.32 $ 3.20 Anti-dilutive equity awards not included in diluted weighted-average common shares 951,057 281,483 698,546 |
Commitments, Contingencies and
Commitments, Contingencies and Litigation | 12 Months Ended |
Mar. 31, 2022 | |
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. As of March 31, 2022 and March 31, 2021, the Company did not have a reserve balance related to these matters. 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 believes that it has adequate reserves to satisfy its environmental liabilities. Collective Bargaining At March 31, 2022, the Company had approximately 11,400 employees. Of these employees, approximately 26% were covered by collective bargaining agreements. Employees covered by collective bargaining agreements that expire in the next twelve months were approximately 7% of the total workforce. The average term of these agreements is 2 years, with the longest term being 3.5 years. The Company considers its employee relations to be good and did not experience any significant labor unrest or disruption of production during fiscal 2022. Lead, Foreign Currency Forward Contracts and Swaps To stabilize its lead costs and reduce volatility from currency movements, the Company enters into contracts with financial institutions. The vast majority of such contracts are for a period not extending beyond one year. The Company also entered into cross currency fixed interest rate swap agreements to hedge its net investments in foreign operations against future volatility in the exchange rates between U.S. Dollars and Euros and these agreements mature on December 15, 2027. Please refer to Note 13 - Derivative Financial Instruments for more details. Other The Company has various purchase and capital commitments incidental to the ordinary conduct of business. In the aggregate, such commitments are not at prices in excess of current market. |
Restructuring Plans and Other E
Restructuring Plans and Other Exit Charges | 12 Months Ended |
Mar. 31, 2022 | |
Restructuring and Related Activities [Abstract] | |
Restructuring, Exit and Other Charges | Restructuring, Exit and Other Charges Restructuring Programs Fiscal 2022 The Company had committed to various restructuring plans aimed at improving operational efficiencies across its lines of business. A substantial portion of these plans are complete, with an estimated $2,135 remaining to be incurred by the end of fiscal 2023, mainly related to plans started in fiscal 2021 and fiscal 2022. Restructuring and exit charges for the reportable segments are as follows: During fiscal 2022, the Company announced and completed restructuring programs in the Energy Systems segment to improve operational efficiencies. The charges related to severance payments and amounted to $1,284 to approximately 10 employees in the Energy Systems’ segment. During fiscal 2021, the Company announced restructuring programs in the Energy Systems segment relating to its recent acquisitions of Alpha and NorthStar, as part of its targeted synergy plans. The Company also announced a restructuring program to improve global operational efficiencies in its Motive Power segment. The charges, in both segments were primarily cash charges relating to severance payments and amounted to $3,187 to approximately 47 employees in the Energy Systems segment and $4,012 to approximately 32 employees in the Motive Power segment. In addition there was a $169 charge related to the Specialty segment. During fiscal 2020, the Company announced restructuring programs to improve efficiencies across all its lines of business. The charges were primarily severance payments to approximately 160 employees. The Company completed these actions in fiscal 2021. Restructuring and exit charges for fiscal 2022, 2021 and 2020 by reportable segments are as follows: Fiscal year ended March 31, 2022 Energy Systems Motive Power Specialty Total Restructuring charges $ 2,005 $ 2,348 $ 75 $ 4,428 Exit charges 708 14,711 (1,091) 14,328 Restructuring and other exit charges $ 2,713 $ 17,059 $ (1,016) $ 18,756 Fiscal year ended March 31, 2021 Energy Systems Motive Power Specialty Total Restructuring charges $ 3,187 $ 4,012 $ 169 $ 7,368 Exit charges — 32,786 220 33,006 Restructuring and other exit charges $ 3,187 $ 36,798 $ 389 $ 40,374 Fiscal year ended March 31, 2020 Energy Systems Motive Power Specialty Total Restructuring charges $ 6,808 $ 1,860 $ 2,318 $ 10,986 Exit charges 526 5,541 3,713 9,780 Restructuring and other exit charges $ 7,334 $ 7,401 $ 6,031 $ 20,766 A roll-forward of the restructuring reserve is as follows: Employee Other Total Balance at March 31, 2019 $ 2,356 $ 596 $ 2,952 Accrued 10,395 402 10,797 Costs incurred (9,179) (995) (10,174) Foreign currency impact and other (247) (3) (250) Balance at March 31, 2020 $ 3,325 $ — $ 3,325 Accrued 6,537 831 7,368 Costs incurred (7,550) (831) (8,381) Foreign currency impact and other 283 — 283 Balance at March 31, 2021 $ 2,595 $ — $ 2,595 Accrued 4,428 — 4,428 Costs incurred (6,013) — (6,013) Foreign currency impact and other 20 — 20 Balance at March 31, 2022 $ 1,030 $ — $ 1,030 Exit Charges Fiscal 2022 Program Russia In February 2022, as a result of the Russia-Ukraine conflict, economic sanctions were imposed on Russian individuals and entities, including financial institutions, by countries around the world, including the U.S. and the European Union. On March 3, 2022, the Company announced that it was indefinitely suspending its operations in Russia in order to comply with the sanctions. As a result of this decision, the Company wrote off net assets of $3,999 relating to its Russian subsidiary. The Company also incurred cash charges of $1,284 relating to severance and exiting lease obligations. Zamudio, Spain During fiscal 2022, the Company closed a minor assembling plant in Zamudio, Spain and sold the same for $1,779. A net gain of $740 was recorded as a credit to exit charges in the Consolidated Statements of Income. Fiscal 2021 Programs Hagen, Germany In fiscal 2021, the Company's Board of Directors approved a plan to substantially close all of its facility in Hagen, Germany, which produces flooded motive power batteries for forklifts. Management determined that future demand for the motive power batteries produced at this facility was not sufficient, given the conversion from flooded to maintenance free batteries by customers, the existing number of competitors in the market, as well as the near term decline in demand and increased uncertainty from the pandemic. The Company plans to retain the facility with limited sales, service and administrative functions along with related personnel for the foreseeable future. The Company currently estimates that the total charges for these actions will amount to approximately $60,000, the majority of which has been recorded as of March 31, 2022. Cash charges for employee severance related payments, cleanup related to the facility, contractual releases and legal expenses are estimated to be $40,000 and non-cash charges from inventory and equipment write-offs are estimated to be $20,000. These actions resulted in the reduction of approximately 200 employees. During fiscal 2021, the Company recorded cash charges relating to severance of $23,331 and non-cash charges of $7,946 primarily relating to fixed asset write-offs. During fiscal 2022, the Company recorded cash charges primarily relating to severance of $8,069 and non-cash charges of $3,522 primarily relating to fixed asset write-offs. The Company also recorded a non-cash write off relating to inventories of $960, which was reported in cost of goods sold. Vijayawada, India During fiscal 2021, the Company committed to a plan to close its facility in Vijayawada, India to align with its strategic vision for the new line of business structure and footprint and recorded exit charges of $1,509, primarily relating to asset write-offs. In fiscal 2022, the Company reclassified property, plant and equipment with a carrying value of $4,573 to assets held for sale on the Consolidated Balance Sheet and recognized an impairment loss of $2,973 under the caption Loss on assets held for sale on its consolidated statement of income, by writing down the carrying value of these assets to their estimated fair value of $1,600, based on their expected proceeds, less costs to sell. The Company also recorded a non-cash write off relating to inventories of $820, which was reported in cost of goods sold. Targovishte, Bulgaria 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 $26,000 for this plan, 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 fiscal 2021, in keeping with its strategy of exiting the manufacture of batteries for diesel-electric submarines, the Company completed further actions which resulted in $220 relating to cash and non-cash charges. During fiscal 2022, the Company sold this facility for $1,489. A net gain of $1,208 was recorded as a credit to exit charges in the Consolidated Statements of Income. Fiscal 2020 Programs During fiscal 2020, in keeping with its strategy of exiting the manufacture of batteries for diesel-electric submarines, the Company also sold certain licenses and assets for $2,031 and recorded a net gain of $892, which were reported as other exit charges in the Specialty segment. During fiscal 2020, the Company also wrote off $5,441 of assets at its Kentucky and Tennessee Motive Power plants, as a result of its strategic product mix shift from traditional flooded batteries to maintenance free lead acid and lithium batteries. Richmond, Kentucky Plant Fire During fiscal 2021, the Company settled its claims with its insurance carrier relating to the fire that broke out in the battery formation area of the Company's Richmond, Kentucky motive power production facility in fiscal 2020. The total claims, for both property and business interruption of $46,117 were received through March 31, 2021. The final settlement of insurance recoveries and finalization of costs related to the replacement of property, plant and equipment, resulted in a net gain of $4,397, which was recorded as a reduction to operating expenses in the Consolidated Statements of Income. The details of charges and recoveries for fiscal 2021 and fiscal 2020 are as follows: In fiscal 2020, the Company recorded as a receivable, $17,037, consisting of write-offs for 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 related to its initial claims. During fiscal 2021, the Company recorded an additional $16,580 as a receivable for cleanup and received $21,617 from the insurance carrier. |
Warranty
Warranty | 12 Months Ended |
Mar. 31, 2022 | |
Guarantees [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: Fiscal year ended March 31, 2022 2021 2020 Balance at beginning of year $ 58,962 $ 63,525 $ 54,568 Current year provisions 17,645 27,645 27,622 Costs incurred (20,648) (34,346) (25,778) Warranty reserves of acquired businesses — — 6,995 Foreign currency translation adjustment (981) 2,138 118 Balance at end of year $ 54,978 $ 58,962 $ 63,525 |
Other (Income) Expense, Net
Other (Income) Expense, Net | 12 Months Ended |
Mar. 31, 2022 | |
Other Income and Expenses [Abstract] | |
Other (Income) Expense, Net | Other (Income) Expense, Net Other (income) expense, net consists of the following: Fiscal year ended March 31, 2022 2021 2020 Foreign exchange transaction (gains) losses $ (7,169) $ 6,696 $ 264 Non-service components of pension expense 430 1,279 615 Other 1,274 (171) (1,294) Total $ (5,465) $ 7,804 $ (415) |
Business Segments
Business Segments | 12 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Business Segments | Business Segments Effective April 1, 2020, 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 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 equipment; 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 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 at March 31, 2022, 2021 and 2020 and for each of the fiscal years then ended is shown below. Fiscal year ended March 31, 2022 2021 2020 Net sales by segment to unaffiliated customers Energy Systems $ 1,536,673 $ 1,380,278 $ 1,357,475 Motive Power 1,361,254 1,163,710 1,348,193 Specialty 459,392 433,944 382,200 Total net sales $ 3,357,319 $ 2,977,932 $ 3,087,868 Operating earnings by segment Energy Systems $ 18,531 $ 67,060 $ 67,809 Motive Power 169,740 143,541 146,814 Specialty 43,491 46,148 42,454 Inventory step up to fair value relating to acquisitions and exit activities - Energy Systems (186) — (304) Inventory adjustment relating to exit activities - Motive (2,418) — — Inventory step up to fair value relating to acquisitions - Specialty — — (1,550) Restructuring and other exit charges - Energy Systems (2,713) (3,187) (7,284) Restructuring and other exit charges - Motive Power (17,059) (36,798) (2,021) Restructuring and other exit charges - Specialty 1,016 (389) (6,020) Impairment of goodwill (3) — — (39,713) Impairment of indefinite-lived intangibles - Energy Systems (501) — (1,297) Impairment of indefinite-lived intangibles - Motive Power (677) — (2,861) Impairment of indefinite-lived intangibles - Specialty — — (391) Loss on assets held for sale - Motive Power (2,973) — — Fixed asset write-off relating to exit activities and other - Energy Systems — — (50) Fixed asset write-off relating to exit activities and other - Motive Power — — (5,380) Fixed asset write-off relating to exit activities - Specialty — — (11) Total operating earnings (2) $ 206,251 $ 216,375 $ 190,195 Capital Expenditures Energy Systems $ 33,614 $ 34,826 $ 40,768 Motive Power 13,887 14,154 22,285 Specialty 26,540 21,040 38,372 Total $ 74,041 $ 70,020 $ 101,425 Depreciation and Amortization Energy Systems $ 54,580 $ 57,864 $ 53,793 Motive Power 24,918 21,706 20,900 Specialty 16,380 14,512 12,651 Total $ 95,878 $ 94,082 $ 87,344 (1) Reportable segments do not record inter-segment revenues and accordingly there are none to report. (2) The Company does not allocate interest expense or other (income) expense, net, to the reportable segments. (3) The impairment of goodwill in fiscal 2020 related to the Company's legacy reportable segments as discussed in Note 7. The Company's property, plant and equipment by reportable segments as of March 31, 2022 and 2021 are as follows: March 31, 2022 March 31, 2021 Property, plant and equipment, net Energy Systems $ 216,853 $ 224,513 Motive Power 145,431 152,468 Specialty 140,980 120,075 Total $ 503,264 $ 497,056 The Company markets its products and services in over 100 countries. Sales are attributed to countries based on the location of sales order approval and acceptance. Sales to customers in the United States were 60.7%, 59.8% and 58.1% for fiscal years ended March 31, 2022, 2021 and 2020, respectively. Property, plant and equipment, net, attributable to the United States as of March 31, 2022 and 2021, were $320,208 and $291,578, respectively. No single country, outside the United States, accounted for more than 10% of the consolidated net sales or net property, plant and equipment and, therefore, was deemed not material for separate disclosure. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Mar. 31, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On May 25, 2022, the Board of Directors approved a quarterly cash dividend of $0.175 per share of common stock to be paid on June 30, 2022, to stockholders of record as of June 16, 2022. Between April 1, 2022 through May 25, 2022, the Company repurchased 318,789 shares for approximately $20,000. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Description of Business | Description of BusinessEnerSys (the “Company”) and its predecessor companies have been manufacturers of industrial batteries for over 125 years. EnerSys is a global leader in stored energy solutions for industrial applications. The Company manufactures, markets and distributes industrial batteries and related products such as chargers, outdoor cabinet enclosures, power equipment and battery accessories, and provides related after-market and customer-support services for its products. |
Principles of Consolidation | Principles of Consolidation The consolidated 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. Control generally equates to ownership percentage, whereby investments that are more than 50% owned are generally consolidated, investments in affiliates of 50% or less but greater than 20% are generally accounted for using the equity method, and investments in affiliates of 20% or less are accounted for using the cost method. All intercompany transactions and balances have been eliminated in consolidation. |
Foreign Currency Translation | Foreign Currency Translation Results of foreign operations of subsidiaries, whose functional currency is the local currency, are translated into U.S. dollars using average exchange rates during the periods. The assets and liabilities are translated into U.S. dollars using exchange rates as of the balance sheet dates. Gains or losses resulting from translating the foreign currency financial statements are accumulated as a separate component of accumulated other comprehensive income (“AOCI”) in EnerSys’ stockholders’ equity and noncontrolling interests. Transaction gains and losses resulting from exchange rate changes on transactions denominated in currencies other than the functional currency of the applicable subsidiary are included in the Consolidated Statements of Income, within “Other (income) expense, net”, in the year in which the change occurs. |
Revenue Recognition | Revenue Recognition The Company recognizes revenue when (or as) performance obligations are satisfied by transferring control of the performance obligation to a customer. Control of a performance obligation may transfer to the customer either at a point in time or over time depending on an evaluation of the specific facts and circumstances for each contract, including the terms and conditions of the contract as agreed with the customer, as well as the nature of the products or services to be provided. The Company's primary performance obligation to its customers is the delivery of finished goods and products, pursuant to purchase orders. Control of the products sold typically transfers to its customers at the point in time when the goods are shipped as this is also when title generally passes to its customers under the terms and conditions of the customer arrangements. Each customer purchase order sets forth the transaction price for the products and services purchased under that arrangement. Some customer arrangements include variable consideration, such as volume rebates, some of which depend upon the customers meeting specified performance criteria, such as a purchasing level over a period of time. The Company uses judgment to estimate the most likely amount of variable consideration at each reporting date. When estimating variable consideration, the Company also applies judgment when considering the probability of whether a reversal of revenue could occur and only recognize revenue subject to this constraint. 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. The Company's typical payment terms are 30 days and sales arrangements do not contain any significant financing component for its customers. 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. Freight charges billed to customers are included in sales and the related shipping costs are included in cost of sales in the Consolidated Statements of Income. If shipping activities are performed after a customer obtains control of a product, the Company applies a policy election to account for shipping as an activity to fulfill the promise to transfer the product to the customer. The Company applies a policy election to exclude transaction taxes collected from customers from sales when the tax is both imposed on and concurrent with a specific revenue-producing transaction. The Company generally provides customers with a product warranty that provides assurance that the products meet standard specifications and are free of defects. The Company maintains a reserve for claims incurred under standard product warranty programs. Performance obligations related to service warranties are not material to the Consolidated Financial Statements. The Company pays sales commissions to its sales representatives, which may be considered as incremental costs to obtain a contract. However, since the recoverability period is less than one year, the Company has utilized the practical expedient to record these costs of obtaining a contract as an expense as they are incurred. |
Warranties | WarrantiesThe Company’s products are warranted for a period ranging from one one one |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include all highly liquid investments with an original maturity of three months or less when purchased. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that subject the Company to potential concentration of credit risk consist principally of short-term cash investments and trade accounts receivable. The Company invests its cash with various financial institutions and in various investment instruments limiting the amount of credit exposure to any one financial institution or entity. The Company has bank deposits that exceed federally insured limits. In addition, certain cash investments may be made in U.S. and foreign government bonds, or other highly rated investments guaranteed by the U.S. or foreign governments. Concentration of credit risk with respect to trade receivables is limited by a large, diversified customer base and its geographic dispersion. The Company performs ongoing credit evaluations of its customers’ financial condition and requires collateral, such as letters of credit, in certain circumstances. |
Accounts Receivable | Accounts ReceivableAccounts receivable are recorded net of 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. Accounts are written off when management determines the account is uncollectible. |
Inventories | Inventories Inventories are stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out (FIFO) method. The cost of inventory consists of material, labor, and associated overhead. |
Property, Plant, and Equipment | Property, Plant, and Equipment Property, plant, and equipment are recorded at cost and include expenditures that substantially increase the useful lives of the assets. Depreciation is provided using the straight-line method over the estimated useful lives of the assets as follows: 10 to 33 years for buildings and improvements and 3 to 15 years for machinery and equipment. Maintenance and repairs are expensed as incurred. Interest on capital projects is capitalized during the construction period. |
Business Combinations | Business Combinations The Company records an acquisition using the acquisition method of accounting and recognizes the assets acquired and liabilities assumed at their fair values as of the date of the acquisition. The excess of the purchase price over the net tangible and intangible assets is recorded to goodwill. The results of operations of the acquired business are included in the Company’s operating results from the date of acquisition. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill and indefinite-lived trademarks are tested for impairment at least annually and whenever events or circumstances occur indicating that a possible impairment may have been incurred. The Company assesses whether goodwill impairment exists using both the qualitative and quantitative assessments. The qualitative assessment involves determining whether events or circumstances exist that indicate it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. If based on this qualitative assessment the Company determines it is more likely than not that the fair value of a reporting unit is less than its carrying amount, or if the Company elects not to perform a qualitative assessment, a quantitative assessment is performed by determining the fair value of the Company's reporting units. Goodwill is tested for impairment by determining the fair value of the Company’s reporting units. These estimated fair values are based on financial projections, certain cash flow measures, and market capitalization. The Company estimates the fair value of its reporting units using a weighting of fair values derived from both the income approach and the market approach. Under the income approach, the Company calculates the fair value of a reporting unit based on the present value of estimated future cash flows. Cash flow projections are based on management's estimates of revenue growth rates and operating margins, taking into consideration industry and market conditions. The discount rate used is based on the weighted-average cost of capital adjusted for the relevant risk associated with business-specific characteristics and the uncertainty related to the business's ability to execute on the projected cash flows. The market approach estimates fair value based on market multiples of revenue and earnings derived from comparable publicly-traded companies with similar operating and investment characteristics as the reporting unit. The weighting of the fair value derived from the market approach ranges from 0% to 50% depending on the level of comparability of these publicly-traded companies to the reporting unit. In order to assess the reasonableness of the calculated fair values of its reporting units, the Company also compares the sum of the reporting units' fair values to its market capitalization and calculates an implied control premium (the excess of the sum of the reporting units' fair values over the market capitalization). The Company evaluates the control premium by comparing it to control premiums of recent comparable market transactions. The Company assesses whether indefinite-lived intangible assets impairment exists using both the qualitative and quantitative assessments. The qualitative assessment involves determining whether events or circumstances exist that indicate it is more likely than not that the fair value of an indefinite-lived intangible asset is less than its carrying amount. If based on this qualitative assessment, the Company determines it is more likely than not that the fair value of an indefinite-lived intangible asset is less than its carrying amount or if the Company elects not to perform a qualitative assessment, a quantitative assessment is performed to determine whether an indefinite-lived intangible asset impairment exists. The Company tests the indefinite-lived intangible assets for impairment by comparing the carrying value to the fair value based on current revenue projections of the related operations, under the relief from royalty method. Any excess of the carrying value over the amount of fair value is recognized as an impairment. Any such impairment is recognized in the reporting period in which it has been identified. Finite-lived assets such as customer relationships, technology, trademarks, licenses, and non-compete agreements are amortized on a straight-line basis over their estimated useful lives, generally over periods ranging from 3 to 20 years. The Company continually evaluates the reasonableness of the useful lives of these assets. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets The Company reviews the carrying values of its long-lived assets to be held and used for possible impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable, based on undiscounted estimated cash flows expected to result from its use and eventual disposition. The factors considered by the Company in performing this assessment include current operating results, trends and other economic factors. In assessing the recoverability of the carrying value of a long-lived asset, the Company must make assumptions regarding future cash flows and other factors. If these estimates or the related assumptions change in the future, the Company may be required to record an impairment loss for these assets. |
Environmental Expenditures | Environmental Expenditures The Company records a loss and establishes a reserve for environmental remediation liabilities when it is probable that an asset has been impaired or a liability exists and the amount of the liability can be reasonably estimated. Reasonable estimates involve judgments made by management after considering a broad range of information including notifications, demands or settlements that have been received from a regulatory authority or private party, estimates performed by independent engineering companies and outside counsel, available facts, existing and proposed technology, the identification of other potentially responsible parties, their ability to contribute and prior experience. These judgments are reviewed quarterly as more information is received and the amounts reserved are updated as necessary. However, the reserves may materially differ from ultimate actual liabilities if the loss contingency is difficult to estimate or if management’s judgments turn out to be inaccurate. If management believes no best estimate exists, the minimum probable loss is accrued. |
Derivative Financial Instruments | Derivative Financial Instruments The Company utilizes derivative instruments to mitigate volatility related to interest rates, lead prices and foreign currency exposures. The Company does not hold or issue derivative financial instruments for trading or speculative purposes. The Company recognizes derivatives as either assets or liabilities in the accompanying Consolidated Balance Sheets and measures those instruments at fair value. Changes in the fair value of those instruments are reported in AOCI if they qualify for hedge accounting or in earnings if they do not qualify for hedge accounting. Derivatives qualify for hedge accounting if they are designated as hedge instruments and if the hedge is highly effective in achieving offsetting changes in the fair value or cash flows of the asset or liability hedged. For lead and foreign currency forward contracts, effectiveness is measured on a regular basis using statistical analysis and by comparing the overall changes in the expected cash flows of the hedging instrument with the changes in the expected all-in cash outflow required for the underlying lead and foreign currency purchases. This analysis is performed on the initial purchases quarterly that cover the quantities hedged. Accordingly, gains and losses from changes in derivative fair value of effective hedges are deferred and reported in AOCI until the underlying transaction affects earnings. In the case of cross currency fixed interest rate swap agreements, the swaps are remeasured with changes in fair value recognized in foreign currency translation adjustment within AOCI to offset the translation risk from the underlying investments. Balances in the foreign currency translation adjustment accounts remain until the sale or substantially complete liquidation of the foreign entity, upon which they are recognized as a component of income (expense). The Company has commodity, foreign exchange and interest rate hedging authorization from the Board of Directors and has established a hedging and risk management program that includes the management of market and counterparty risk. Key risk control activities designed to ensure compliance with the risk management program include, but are not limited to, credit review and approval, validation of transactions and market prices, verification of risk and transaction limits, portfolio stress tests, sensitivity analyses and frequent portfolio reporting, including open positions, determinations of fair value and other risk management metrics. Market risk is the potential loss the Company and its subsidiaries may incur as a result of price changes associated with a particular financial or commodity instrument. The Company utilizes forward contracts, options, and swaps as part of its risk management strategies, to minimize unanticipated fluctuations in earnings caused by changes in commodity prices, interest rates and / or foreign currency exchange rates. All derivatives are recognized on the balance sheet at their fair value, unless they qualify for the Normal Purchase Normal Sale exemption. Credit risk is the potential loss the Company may incur due to the counterparty’s non-performance. The Company is exposed to credit risk from interest rate, foreign currency and commodity derivatives with financial institutions. The Company has credit policies to manage their credit risk, including the use of an established credit approval process, monitoring of the counterparty positions and the use of master netting agreements. The Company has elected to offset net derivative positions under master netting arrangements. The Company does not have any positions involving cash collateral (payables or receivables) under a master netting arrangement as of March 31, 2022 and 2021. The Company does not have any credit-related contingent features associated with its derivative instruments. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company groups its recurring, non-recurring and disclosure-only fair value measurements into the following levels when making fair value measurement disclosures: Level 1 Inputs are unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 Inputs are quoted prices for similar assets or liabilities in an active market, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable and market-corroborated inputs which are derived principally from or corroborated by observable market data. Level 3 Inputs are derived from valuation techniques in which one or more significant inputs or value drivers are unobservable. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). The Company and its subsidiaries use, as appropriate, a market approach (generally, data from market transactions), an income approach (generally, present value techniques and option-pricing models), and / or a cost approach (generally, replacement cost) to measure the fair value of an asset or liability. These valuation approaches incorporate inputs such as observable, independent market data and / or unobservable data that management believes are predicated on the assumptions market participants would use to price an asset or liability. These inputs may incorporate, as applicable, certain risks such as nonperformance risk, which includes credit risk. Lead contracts, foreign currency contracts and interest rate contracts generally use an income approach to measure the fair value of these contracts, utilizing readily observable inputs, such as forward interest rates (e.g., London Interbank Offered Rate—“LIBOR”), forward foreign currency exchange rates (e.g., GBP and euro) and commodity prices (e.g., London Metals Exchange), as well as inputs that may not be observable, such as credit valuation adjustments. When observable inputs are used to measure all or most of the value of a contract, the contract is classified as Level 2. Over-the-counter (OTC) contracts are valued using quotes obtained from an exchange, binding and non-binding broker quotes. Furthermore, the Company obtains independent quotes from the market to validate the forward price curves. OTC contracts include forwards, swaps and options. To the extent possible, fair value measurements utilize various inputs that include quoted prices for similar contracts or market-corroborated inputs. When unobservable inputs are significant to the fair value measurement, the asset or liability is classified as Level 3. Additionally, Level 2 fair value measurements include adjustments for credit risk based on the Company’s own creditworthiness (for net liabilities) and its counterparties’ creditworthiness (for net assets). The Company assumes that observable market prices include sufficient adjustments for liquidity and modeling risks. The Company did not have any fair value measurements that transferred between Level 2 and Level 3 as well as Level 1 and Level 2. |
Income Taxes | Income Taxes The Company accounts for income taxes using the asset and liability approach, which requires deferred tax assets and liabilities be recognized using enacted tax rates to measure the effect of temporary differences between book and tax bases on recorded assets and liabilities. Valuation allowances are recorded to reduce deferred tax assets, if it is more likely than not some portion or all of the deferred tax assets will not be realized. The need to establish valuation allowances against deferred tax assets is assessed quarterly. The primary factors used to assess the likelihood of realization are expected reversals of taxable temporary timing differences, forecasts of future taxable income and available tax planning strategies that could be implemented to realize the net deferred tax assets. The Company recognizes tax related interest and penalties in income tax expense in its Consolidated Statement of Income. With respect to accounting for uncertainty in income taxes, the Company evaluates tax positions to determine whether the benefits of tax positions are more likely than not of being sustained upon audit based on the technical merits of the tax position. For tax positions that are more likely than not of being sustained upon audit, the Company recognizes the largest amount of the benefit that is greater than 50% likely of being realized upon ultimate settlement. For tax positions that are not more likely than not of being sustained upon audit, the Company does not recognize any portion of the benefit. If the more likely than not threshold is not met in the period for which a tax position is taken, the Company may subsequently recognize the benefit of that tax position if the tax matter is effectively settled, the statute of limitations expires, or if the more likely than not threshold is met in a subsequent period. No additional income taxes have been provided for any undistributed foreign earnings or any additional outside basis difference inherent in these entities, as these amounts continue to be indefinitely reinvested in foreign operations. |
Deferred Financing Fees | Deferred Financing Fees Debt issuance costs that are incurred by the Company in connection with the issuance of debt are deferred and amortized to interest expense over the life of the underlying indebtedness, adjusted to reflect any early repayments and are shown as a deduction from long-term debt. |
Stock-Based Compensation Plans | Stock-Based Compensation Plans The Company measures the cost of employee services received in exchange for the award of an equity instrument based on the grant-date fair value of the award, with such cost recognized over the applicable vesting period. Market and Performance condition-based awards The Company grants market condition-based awards and performance condition-based awards. Beginning in fiscal 2017 and until fiscal 2020, the Company granted market condition-based awards (“TSR”). A participant may earn between 0% to 200% of the number of awards granted, based on the total shareholder return of the Company's common stock over a three-year period, relative to the shareholder return of a defined peer group. The awards cliff vest on the third anniversary of the date of grant and are settled in common stock on the first anniversary of the vesting date. The TSR is calculated by dividing the sixty or ninety calendar day average price at end of the period (as applicable) and the reinvested dividends thereon by such sixty or ninety calendar day average price at start of the period. The maximum number of awards earned is capped at 200% of the target award. Additionally, no payout will be awarded in the event that the TSR at the vesting date reflects less than a 25% return from the average price at the grant date. These share units are similar to the share units granted prior to fiscal 2016, except that under these awards, the targets are more difficult to achieve as they are tied to the TSR of a defined peer group. The fair value of these awards is estimated at the date of grant, using a Monte Carlo Simulation. The Company recognizes compensation expense using the straight-line method over the life of the market condition-based awards except for those issued to certain retirement-eligible participants, which are expensed on an accelerated basis. In fiscal 2019 and fiscal 2020, the Company granted performance condition-based awards (“PSU”). A participant may earn between 0% to 200% of the number of awards granted, based on the Company’s cumulative adjusted earnings per share performance over a three-year period. The vesting of these awards is contingent upon meeting or exceeding performance conditions. The awards cliff vest on the third anniversary of the date of grant and are settled in common stock on the first anniversary of the vesting date. The maximum number of awards earned is capped at 200% of the target award. Expense for the performance condition-based award is recorded when the achievement of the performance condition is considered probable of achievement and is recorded on a straight-line basis over the requisite service period. If such performance criteria are not met, no compensation cost is recognized, and any recognized compensation cost is reversed. The closing stock price on the date of grant, adjusted for a discount to reflect the illiquidity inherent in the PSUs, represents the grant-date fair value for these awards. Restricted Stock Units The fair value of restricted stock units is based on the closing market price of the Company’s common stock on the date of grant. These awards generally vest, and are settled in common stock, at 25% per year, over a four-year period from the date of grant. The Company recognizes compensation expense using the straight-line method over the life of the restricted stock units. Stock Options The fair value of the options granted is estimated at the date of grant using the Black-Scholes option-pricing model utilizing assumptions based on historical data and current market data. The assumptions include expected term of the options, risk-free interest rate, expected volatility, and dividend yield. The expected term represents the expected amount of time that options granted are expected to be outstanding, based on historical and forecasted exercise behavior. The risk-free rate is based on the rate at the grant date of zero-coupon U.S. Treasury Notes with a term equal to the expected term of the option. Expected volatility is estimated using historical volatility rates based on historical weekly price changes over a term equal to the expected term of the options. The Company’s dividend yield is based on historical data. The Company recognizes compensation expense using the straight-line method over the vesting period of the options except for those issued to certain retirement-eligible participants, which are expensed on an accelerated basis. Forfeitures Forfeitures of share-based awards are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. |
Earnings Per Share | Earnings Per ShareBasic earnings per common share (“EPS”) are computed by dividing net earnings attributable to EnerSys stockholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock. At March 31, 2022, 2021 and 2020, the Company had outstanding stock options, restricted stock units, market condition and performance condition-based awards, which could potentially dilute basic earnings per share in the future. |
Segment Reporting | Segment Reporting Effective April 1, 2020, 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 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 equipment; 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 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. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements 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 adopted the standard in the first quarter of fiscal 2022 and the adoption did not have a material impact on the Company's consolidated financial statements. |
Use of Estimates | Use of EstimatesThe 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. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Schedule Of Accounts, Notes, Loans And Financing Receivable | The following table sets forth the changes in the Company's allowance for doubtful accounts: Balance at Beginning of Period Provision Write-offs, net of Recoveries and Other Balance at Fiscal year ended March 31, 2020 $ 10,813 $ 4,821 $ (388) $ 15,246 Fiscal year ended March 31, 2021 15,246 178 (2,432) 12,992 Fiscal year ended March 31, 2022 12,992 2,621 (3,394) 12,219 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Leases [Abstract] | |
Supplemental Balance Sheet Information Related To Leases | The following table presents lease assets and liabilities and their balance sheet classification: Classification As of March 31, 2022 As of March 31, 2021 Operating Leases: Right-of-use assets Other assets $ 71,085 $ 62,159 Operating lease current liabilities Accrued expenses 20,086 21,774 Operating lease non-current liabilities Other liabilities 52,904 42,528 Finance Leases: Right-of-use assets Property, plant, and equipment, net $ 344 $ 573 Finance lease current liabilities Current portion of finance leases 185 236 Finance lease non-current liabilities Finance leases 231 435 |
Components Of Lease Expense | The components of lease expense for the fiscal years ended March 31, 2022 and March 31, 2021 were as follows: Classification March 31, 2022 March 31, 2021 Operating Leases: Operating lease cost Operating expenses $ 26,392 $ 27,888 Variable lease cost Operating expenses 9,620 7,781 Short term lease cost Operating expenses 6,218 6,675 Finance Leases: Depreciation Operating expenses $ 233 $ 221 Interest expense Interest expense 26 33 Total $ 42,489 $ 42,598 |
Weighted Average Lease Term And Discount Rates | The following table presents the weighted average lease term and discount rates for leases as of March 31, 2022 and March 31, 2021: March 31, 2022 March 31, 2021 Operating Leases: Weighted average remaining lease term (years) 6.1 years 5.5 years Weighted average discount rate 4.43% 5.16% Finance Leases: Weighted average remaining lease term (years) 2.3 years 3.1 years Weighted average discount rate 4.79% 4.81% |
Maturity Of Operating Lease Liability | The following table presents future payments due under leases reconciled to lease liabilities as of March 31, 2022: Finance Leases Operating Leases Year ended March 31, 2023 $ 210 $ 22,954 2024 152 17,066 2025 46 12,387 2026 25 8,856 2027 — 6,681 Thereafter — 16,630 Total undiscounted lease payments 433 84,574 Present value discount 17 11,584 Lease liability $ 416 $ 72,990 |
Maturity Of Finance Lease Liability | The following table presents future payments due under leases reconciled to lease liabilities as of March 31, 2022: Finance Leases Operating Leases Year ended March 31, 2023 $ 210 $ 22,954 2024 152 17,066 2025 46 12,387 2026 25 8,856 2027 — 6,681 Thereafter — 16,630 Total undiscounted lease payments 433 84,574 Present value discount 17 11,584 Lease liability $ 416 $ 72,990 |
Supplemental Cash Flow Information Related To Leases | The following table presents supplemental disclosures of cash flow information related to leases for the fiscal years ended March 31, 2022 and March 31, 2021: March 31, 2022 March 31, 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 26 $ 33 Operating cash flows from operating leases 26,731 28,036 Financing cash flows from finance leases 238 216 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 $ — $ 266 Right-of-use assets obtained in exchange for new operating lease liabilities 33,493 14,763 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Summary Of Net Inventories | March 31, 2022 2021 Raw materials $ 260,604 $ 147,040 Work-in-process 109,441 97,715 Finished goods 345,667 273,492 Total $ 715,712 $ 518,247 |
Property, Plant, and Equipment
Property, Plant, and Equipment (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Summary Of Property, Plant, And Equipment | Property, plant, and equipment consist of: March 31, 2022 2021 Land, buildings, and improvements $ 313,090 $ 313,031 Machinery and equipment 851,251 822,725 Construction in progress 69,550 60,049 1,233,891 1,195,805 Less accumulated depreciation (730,627) (698,749) Total $ 503,264 $ 497,056 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule Of Company's Other Intangible Assets | Information regarding the Company’s other intangible assets are as follows: March 31, 2022 2021 Gross Accumulated Net Gross Accumulated Net Indefinite-lived intangible assets: Trademarks $ 145,808 $ (953) $ 144,855 $ 148,164 $ (953) $ 147,211 Finite-lived intangible assets: Customer relationships 298,577 (109,820) 188,757 298,576 (87,308) 211,268 Non-compete 2,825 (2,825) — 2,825 (2,825) — Technology 97,367 (38,712) 58,655 97,349 (29,561) 67,788 Trademarks 8,947 (5,012) 3,935 8,012 (3,381) 4,631 Licenses 1,196 (1,196) — 1,196 (1,196) — Total $ 554,720 $ (158,518) $ 396,202 $ 556,122 $ (125,224) $ 430,898 |
Schedule Of Changes In The Carrying Amount Of Goodwill By Business Segment | The following table presents the amount of goodwill that has been reassigned to each of the Company's reporting units as of April 1, 2020, using the relative fair value approach, as well as changes in the carrying amount of goodwill by segment during fiscal 2021 and 2022: Energy Systems Motive Power Specialty Total Balance at April 1, 2020 (1) $ 263,150 $ 308,497 $ 92,289 $ 663,936 Measurement period adjustments 1,348 — 1,648 2,996 Foreign currency translation adjustment 15,178 18,558 4,925 38,661 Balance at March 31, 2021 $ 279,676 $ 327,055 $ 98,862 $ 705,593 Foreign currency translation adjustment (215) (3,752) (986) (4,953) Balance at March 31, 2022 $ 279,461 $ 323,303 $ 97,876 $ 700,640 |
Prepaid and Other Current Ass_2
Prepaid and Other Current Assets (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule Of Prepaid And Other Current Assets | Prepaid and other current assets consist of the following: March 31, 2022 2021 Contract assets $ 59,924 $ 46,451 Prepaid non-income taxes 25,585 25,251 Non-trade receivables 16,670 10,925 Prepaid income taxes 7,162 6,562 Other 46,218 28,492 Total $ 155,559 $ 117,681 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Payables and Accruals [Abstract] | |
Summary Of Accrued Expenses | Accrued expenses consist of the following: March 31, 2022 2021 Payroll and benefits $ 81,058 $ 92,305 Accrued selling expenses 48,894 47,364 Contract liabilities 27,870 15,992 Warranty 20,716 18,982 Operating lease liabilities 20,086 21,774 VAT and other non-income taxes 16,458 14,267 Freight 14,167 13,097 Interest 10,793 10,592 Hagen exit related accruals 1,832 24,593 Pension 1,294 1,514 Tax Act - Transition Tax (1) 1,229 11,855 Restructuring 1,030 2,595 Other 44,338 43,793 Total $ 289,765 $ 318,723 (1) Transition Tax for both years of fiscal 2022 and fiscal 2021 was $6,172. In fiscal 2022, income taxes were in a prepaid position of $4,943 and were netted against the transition tax payable. In fiscal 2021, income taxes payable were $5,683. |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Schedule Of Long-Term Debt | The following summarizes the Company’s long-term debt as of March 31, 2022 and March 31, 2021: 2022 2021 Principal Unamortized Issuance Costs Principal Unamortized Issuance Costs Senior Notes $ 600,000 $ 3,905 $ 600,000 $ 5,106 Second Amended Credit Facility, due 2026 650,268 3,361 376,039 1,315 $ 1,250,268 $ 7,266 $ 976,039 $ 6,421 Less: Unamortized issuance costs 7,266 6,421 Long-term debt, net of unamortized issuance costs $ 1,243,002 $ 969,618 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Schedule Of Other Long-Term Liabilities | Other liabilities consist of the following: March 31, 2022 2021 Operating lease liabilities $ 52,904 $ 42,528 Tax Act - Transition Tax 46,587 53,045 Warranty 34,262 39,980 Pension 28,566 40,450 Liability for uncertain tax positions 5,210 7,185 Contract liabilities 1,387 2,072 Other 14,864 10,508 Total $ 183,780 $ 195,768 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
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 March 31, 2022 and March 31, 2021 and the basis for that measurement: Total Fair Value Measurement March 31, 2022 Quoted Price in Significant Significant Lead forward contracts $ 2,520 $ — $ 2,520 $ — Foreign currency forward contracts (256) — (256) — Net investment hedges 298 — 298 — Total derivatives $ 2,562 $ — $ 2,562 $ — Total Fair Value Measurement March 31, 2021 Quoted Price in Significant Significant Lead forward contracts $ (1,980) $ — $ (1,980) $ — Foreign currency forward contracts 424 — 424 — Total derivatives $ (1,556) $ — $ (1,556) $ — |
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 March 31, 2022 and 2021 were as follows: March 31, 2022 March 31, 2021 Carrying Fair Value Carrying Fair Value Financial assets: Derivatives (1) $ 2,562 $ 2,562 $ — $ — Financial liabilities: Senior Notes (2) $ 600,000 $ 585,750 $ 600,000 $ 621,000 Derivatives (1) — — 1,556 1,556 (1) Represents lead, foreign currency forward contracts and net investment hedges (see Note 13 for asset and liability positions of the lead, foreign currency forward contracts and net investment hedges at March 31, 2022 and March 31, 2021). |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair Value Of Derivative Instruments In The Consolidated Balance Sheets | Presented below in tabular form is information on the location and amounts of derivative fair values in the Consolidated Balance Sheets and derivative gains and losses in the Consolidated Statements of Income: Fair Value of Derivative Instruments March 31, 2022 and 2021 Derivatives and Hedging Activities Designated as Cash Flow Hedges Derivatives and Hedging Activities Designated as Net Investment Hedges Derivatives and Hedging Activities Not Designated as Hedging Instruments March 31, 2022 March 31, 2021 March 31, 2022 March 31, 2021 March 31, 2022 March 31, 2021 Prepaid and other current assets: Lead forward contracts $ 2,520 $ — $ — $ — $ — $ — Foreign currency forward contracts 256 524 — — — — Net investment hedges — — 4,388 — — — Total assets $ 2,776 $ 524 $ 4,388 $ — $ — $ — Accrued expenses: Lead forward contracts $ — $ 1,980 $ — $ — $ — $ — Foreign currency forward contracts — — — — 512 100 Other liabilities: Net investment hedges — — 4,090 — — — Total liabilities $ — $ 1,980 $ 4,090 $ — $ 512 $ 100 |
The Effect of Derivative Instruments on the Consolidated Statements of Income | The Effect of Derivative Instruments on the Consolidated Statements of Income For the fiscal year ended March 31, 2022 Derivatives Designated as Cash Flow Hedges Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) Location of Gain Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Lead forward contracts $ 12,193 Cost of goods sold $ 8,974 Foreign currency forward contracts 941 Cost of goods sold 768 Total $ 13,134 $ 9,742 Derivatives Designated as Net Investment Hedges Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) Location of Gain Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Cross currency fixed interest rate swaps $ 1,479 Interest expense $ 1,181 Total $ 1,479 $ 1,181 The Effect of Derivative Instruments on the Consolidated Statements of Income For the fiscal year ended March 31, 2021 Derivatives Designated as Cash Flow Hedges Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) Location of Gain Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Lead forward contracts $ 202 Cost of goods sold $ (7,411) Foreign currency forward contracts 130 Cost of goods sold (492) Total $ 332 $ (7,903) The Effect of Derivative Instruments on the Consolidated Statements of Income For the fiscal year ended March 31, 2020 Derivatives Designated as Cash Flow Hedges Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) Location of Gain Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) Lead forward contracts $ (8,683) Cost of goods sold $ (1,690) Foreign currency forward contracts (54) Cost of goods sold 539 Total $ (8,737) $ (1,151) |
Effect Of Derivative Instruments | Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Pretax Gain (Loss) Foreign currency forward contracts Other (income) expense, net $ (157) Total $ (157) Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Pretax Gain (Loss) Foreign currency forward contracts Other (income) expense, net $ 430 Total $ 430 Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Pretax Gain (Loss) Foreign currency forward contracts Other (income) expense, net $ (178) Total $ (178) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Tax Expense | Fiscal year ended March 31, 2022 2021 2020 Current income tax expense Current: Federal $ 9,558 $ 12,591 $ 9,185 State 4,022 4,133 2,561 Foreign 15,333 19,031 14,561 Total current income tax expense 28,913 35,755 26,307 Deferred income tax (benefit) expense Federal 1,183 1,495 5,489 State (1,453) 735 741 Foreign 1,385 (11,224) (22,716) Total deferred income tax (benefit) expense 1,115 (8,994) (16,486) Total income tax expense $ 30,028 $ 26,761 $ 9,821 |
Earnings Before Income Taxes | Earnings before income taxes consists of the following: Fiscal year ended March 31, 2022 2021 2020 United States $ 21,871 $ 56,055 $ 36,193 Foreign 152,068 114,080 110,744 Earnings before income taxes $ 173,939 $ 170,135 $ 146,937 |
Deferred Tax Assets And Liabilities | The following table sets forth the tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities: March 31, 2022 2021 Deferred tax assets: Accounts receivable $ 481 $ 2,029 Inventories 8,581 8,831 Net operating loss carryforwards 56,010 62,663 Lease liabilities 17,590 15,685 Accrued expenses 33,571 36,775 Other assets 19,941 18,173 Gross deferred tax assets 136,174 144,156 Less valuation allowance (31,017) (31,928) Total deferred tax assets 105,157 112,228 Deferred tax liabilities: Property, plant and equipment 41,105 38,364 Lease Right-of-use assets 17,590 15,685 Intangible assets 60,827 66,743 Other liabilities 3,384 2,636 Total deferred tax liabilities 122,906 123,428 Net deferred tax liabilities $ (17,749) $ (11,200) |
Schedule of Change in Valuation Allowance | The following table sets forth the changes in the Company's valuation allowance for fiscal 2022, 2021 and 2020: Balance at Additions Valuation Allowance Reversal Business Combination Adjustments Other (1) Balance at Fiscal year ended March 31, 2020 $ 17,519 $ 7,494 $ (3,145) $ (688) $ (229) $ 20,951 Fiscal year ended March 31, 2021 20,951 8,437 (2,904) 6,384 (940) 31,928 Fiscal year ended March 31, 2022 31,928 4,486 (1,535) — (3,862) 31,017 (1) Includes the impact of currency changes and the expiration of net operating losses for which a full valuation allowance was recorded. |
Reconciliation Of Income Taxes At The Statutory Rate | A reconciliation of income taxes at the statutory rate (21.0% for fiscal 2022, 2021 and 2020) to the income tax provision is as follows: Fiscal year ended March 31, 2022 2021 2020 United States statutory income tax expense $ 36,527 $ 35,729 $ 30,857 Increase (decrease) resulting from: State income taxes, net of federal effect 1,724 4,000 2,764 Nondeductible expenses and other 1,217 5,273 5,953 Net effect of GILTI, FDII, BEAT 5,405 1,985 3,025 Goodwill impairment - See Note 7 — — 10,714 Effect of foreign operations (14,192) (20,035) (17,605) Valuation allowance 2,951 5,533 4,349 Switzerland Tax Reform — (1,883) (26,846) Research and Development Credit (3,604) (3,841) (3,390) Income tax expense $ 30,028 $ 26,761 $ 9,821 |
Reconciliation Of Unrecognized Tax Benefits | The following table summarizes activity of the total amounts of unrecognized tax benefits: Fiscal year ended March 31, 2022 2021 2020 Balance at beginning of year $ 6,785 $ 7,795 $ 20,165 Increases related to current year tax positions 21 346 598 Increases related to the Alpha acquisition — — 769 Increases related to prior year tax positions 598 325 — Decreases related to prior tax positions — — (11,463) Decreases related to prior year tax positions settled (784) — — Lapse of statute of limitations (1,850) (1,681) (2,274) Balance at end of year $ 4,770 $ 6,785 $ 7,795 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
Components Of Net Periodic Pension Cost | Net periodic pension cost for fiscal 2022, 2021 and 2020, includes the following components: United States Plans International Plans Fiscal year ended March 31, Fiscal year ended March 31, 2022 2021 2020 2022 2021 2020 Service cost $ — $ — $ — $ 1,114 $ 993 $ 906 Interest cost 517 533 616 1,427 1,388 1,485 Expected return on plan assets (526) (272) (448) (2,200) (1,899) (2,136) Amortization and deferral 7 476 188 1,205 1,053 910 Net periodic benefit cost $ (2) $ 737 $ 356 $ 1,546 $ 1,535 $ 1,165 |
Summary Of Change In Projected Benefit Obligation | The following table sets forth a reconciliation of the related benefit obligation, plan assets, and accrued benefit costs related to the pension benefits provided by the Company for those employees covered by defined benefit plans: United States Plans International Plans March 31, March 31, 2022 2021 2022 2021 Change in projected benefit obligation Benefit obligation at the beginning of the period $ 17,806 $ 18,111 $ 83,252 $ 68,602 Service cost — — 1,114 993 Interest cost 517 533 1,427 1,388 Benefits paid, inclusive of plan expenses (802) (802) (2,328) (2,087) Plan curtailments and settlements — — (141) (91) Actuarial (gains) losses (1,316) (36) (8,545) 7,761 Foreign currency translation adjustment — — (3,946) 6,686 Benefit obligation at the end of the period $ 16,205 $ 17,806 $ 70,833 $ 83,252 |
Summary Of Change In Plan Assets | Change in plan assets Fair value of plan assets at the beginning of the period $ 16,265 $ 12,036 $ 42,844 $ 32,831 Actual return on plan assets 443 4,379 1,784 6,272 Employer contributions 260 652 1,979 1,869 Benefits paid, inclusive of plan expenses (802) (802) (2,328) (2,087) Plan curtailments and settlements — — (141) (91) Foreign currency translation adjustment — — (2,071) 4,050 Fair value of plan assets at the end of the period $ 16,166 $ 16,265 $ 42,067 $ 42,844 Funded status deficit $ (39) $ (1,541) $ (28,766) $ (40,408) |
Summary Of Amounts Recognized In The Balance Sheets | March 31, 2022 2021 Amounts recognized in the Consolidated Balance Sheets consist of: Non current assets $ 1,055 $ 15 Accrued expenses (1,294) (1,514) Other liabilities (28,566) (40,450) Funded status deficit $ (28,805) $ (41,949) |
Summary Of Amounts In AOCI Before Taxes | The following table represents pension components (before tax) and related changes (before tax) recognized in AOCI for the Company’s pension plans for the years ended March 31, 2022, 2021 and 2020: Fiscal year ended March 31, 2022 2021 2020 Amounts recorded in AOCI before taxes: Prior service cost $ (174) $ (230) $ (258) Net loss (14,049) (25,450) (25,796) Net amount recognized $ (14,223) $ (25,680) $ (26,054) |
Summary Of Changes In AOCI | Fiscal year ended March 31, 2022 2021 2020 Changes in plan assets and benefit obligations: New prior service cost $ — $ — $ — Net loss (gain) arising during the year (9,362) (753) 3,793 Effect of exchange rates on amounts included in AOCI (883) 1,909 (804) Amounts recognized as a component of net periodic benefit costs: Amortization of prior service cost (45) (46) (43) Amortization or settlement recognition of net loss (1,167) (1,484) (1,250) Total recognized in other comprehensive (income) loss $ (11,457) $ (374) $ 1,696 |
Summary Of Recognized Components Of Net Periodic Pension Cost Included In Accumulated Other Comprehensive Income | The amounts included in AOCI as of March 31, 2022 that are expected to be recognized as components of net periodic pension cost (before tax) during the next twelve months are as follows: Prior service cost $ (43) Net loss (474) Net amount expected to be recognized $ (517) |
Summary Of Accumulated Benefit Obligation Related To All Defined Pension Plans | The accumulated benefit obligation related to all defined benefit pension plans and information related to unfunded and underfunded defined benefit pension plans at the end of each fiscal year are as follows: United States Plans International Plans March 31, March 31, 2022 2021 2022 2021 All defined benefit plans: Accumulated benefit obligation $ 16,205 $ 17,806 $ 67,301 $ 78,360 Unfunded defined benefit plans: Projected benefit obligation $ — $ — $ 29,570 $ 34,932 Accumulated benefit obligation — — 27,156 31,970 Defined benefit plans with a projected benefit obligation in excess of the fair value of plan assets: Projected benefit obligation $ 5,479 $ 17,806 $ 29,570 $ 82,814 Fair value of plan assets 5,188 16,265 — 42,390 Defined benefit plans with an accumulated benefit obligation in excess of the fair value of plan assets: Projected benefit obligation $ 5,479 $ 17,806 $ 29,570 $ 82,814 Accumulated benefit obligation 5,479 17,806 27,156 77,928 Fair value of plan assets 5,188 16,265 — 42,390 |
Significant Assumptions Used To Determine The Net Periodic Benefit Cost | Significant assumptions used to determine the net periodic benefit cost for the U.S. and International plans were as follows: United States Plans International Plans Fiscal year ended March 31, Fiscal year ended March 31, 2022 2021 2020 2022 2021 2020 Discount rate 3.0 % 3.0 % 3.8 % 0.5%-2.3% 1.3%-2.3% 1.0%-2.7% Expected return on plan assets 5.5 6.0 6.3 2.7-5.25 3.8-5.5 4.3-6.0 Rate of compensation increase N/A N/A N/A 1.5-4.0 2.0-3.5 2.0-4.0 N/A = not applicable |
Significant Assumptions Used To Determine The Projected Benefit Obligations | Significant assumptions used to determine the projected benefit obligations for the U.S. and International plans were as follows: United States Plans International Plans March 31, March 31, 2022 2021 2022 2021 Discount rate 3.7 % 3.0 % 1.5%-5.4% 0.5%-2.3% Rate of compensation increase N/A N/A 1.8-5.5 1.5-4.0 N/A = not applicable |
Summary Of Pension Plan Investments Measured At Fair Value | The following table represents the Company's pension plan investments measured at fair value as of March 31, 2022 and 2021 and the basis for that measurement: March 31, 2022 United States Plans International Plans Total Fair Quoted Price Significant Significant Total Fair Quoted Price Significant Significant Asset category: Cash and cash equivalents $ 1,576 $ 1,576 $ — $ — $ 98 $ 98 $ — $ — Equity securities US (a) 10,350 10,350 — — — — — — International (b) — — — — 28,296 — 28,296 — Fixed income (c) 4,240 4,240 — — 13,673 — 13,673 — Total $ 16,166 $ 16,166 $ — $ — $ 42,067 $ 98 $ 41,969 $ — March 31, 2021 United States Plans International Plans Total Fair Quoted Price Significant Significant Total Fair Quoted Price Significant Significant Asset category: Cash and cash equivalents $ 1,454 $ 1,454 $ — $ — $ 81 $ 81 $ — $ — Equity securities US (a) 10,435 10,435 — — — — — — International (b) — — — — 28,144 — 28,144 — Fixed income (c) 4,376 4,376 — — 14,619 — 14,619 — Total $ 16,265 $ 16,265 $ — $ — $ 42,844 $ 81 $ 42,763 $ — The fair values presented above were determined based on valuation techniques to measure fair value as discussed in Note 1. (a) US equities include companies that are well diversified by industry sector and equity style (i.e., growth and value strategies). Active and passive management strategies are employed. Investments are primarily in large capitalization stocks and, to a lesser extent, mid- and small-cap stocks. (b) International equities are invested in companies that are traded on exchanges outside the U.S. and are well diversified by industry sector, country and equity style. Active and passive strategies are employed. The vast majority of the investments are made in companies in developed markets with a small percentage in emerging markets. (c) Fixed income consists primarily of investment grade bonds from diversified industries. |
Summary Of Estimated Future Benefit Payments | Estimated future benefit payments under the Company’s pension plans are as follows: 2023 $ 3,031 2024 2,975 2025 3,378 2026 3,708 2027 4,064 Years 2028-2032 22,244 |
Stockholders_ Equity (Tables)
Stockholders’ Equity (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
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 fiscal years ended March 31, 2020, 2021 and 2022, respectively: Shares outstanding as of March 31, 2019 42,620,750 Purchase of treasury stock (581,140) Shares issued towards equity-based compensation plans, net of equity awards surrendered for option price and taxes 283,695 Shares outstanding as of March 31, 2020 42,323,305 Purchase of treasury stock — Shares issued under equity-based compensation plans, net of equity awards surrendered for option price and taxes 429,715 Shares outstanding as of March 31, 2021 42,753,020 Purchase of treasury stock (1,996,334) Shares issued under equity-based compensation plans, net of equity awards surrendered for option price and taxes 229,972 Shares outstanding as of March 31, 2022 40,986,658 |
Components Of Accumulated Other Comprehensive Income | The components of AOCI, net of tax, are as follows: Beginning Before Reclassifications Amount Reclassified from AOCI Ending March 31, 2022 Pension funded status adjustment $ (20,947) $ 7,374 $ 936 $ (12,637) Net unrealized gain (loss) on derivative instruments 360 10,063 (7,460) 2,963 Foreign currency translation adjustment (1) (95,296) (38,525) — (133,821) Accumulated other comprehensive loss $ (115,883) $ (21,088) $ (6,524) $ (143,495) March 31, 2021 Pension funded status adjustment $ (22,794) $ 680 $ 1,167 $ (20,947) Net unrealized gain (loss) on derivative instruments (5,923) 250 6,033 360 Foreign currency translation adjustment (186,289) 90,993 — (95,296) Accumulated other comprehensive loss $ (215,006) $ 91,923 $ 7,200 $ (115,883) March 31, 2020 Pension funded status adjustment $ (20,791) $ (2,819) $ 816 $ (22,794) Net unrealized gain (loss) on derivative instruments (130) (6,672) 879 (5,923) Foreign currency translation adjustment (121,761) (64,528) — (186,289) Accumulated other comprehensive loss $ (142,682) $ (74,019) $ 1,695 $ (215,006) (1) Foreign currency translation adjustment for the fiscal year ended March 31, 2022 includes a $228 gain (net of taxes of $70) relating to the net investment hedges entered into by the Company on December 23, 2021. |
Reclassification out of Accumulated Other Comprehensive Income | The following table presents reclassifications from AOCI during the twelve months ended March 31, 2022: 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 $ (9,742) Cost of goods sold Tax expense 2,282 Net unrealized gain on derivative instruments, net of tax $ (7,460) Derivatives in net investment hedging relationships: Net unrealized gain on derivative instruments $ (1,181) Interest expense Tax expense 276 Net unrealized gain on derivative instruments, net of tax $ (905) Defined benefit pension costs: Prior service costs and deferrals $ 1,212 Net periodic benefit cost, included in other (income) expense, net - See Note 15 Tax benefit (276) Net periodic benefit cost, net of tax $ 936 The following table presents reclassifications from AOCI during the twelve months ended March 31, 2021: 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 $ 7,903 Cost of goods sold Tax benefit (1,870) Net unrealized loss on derivative instruments, net of tax $ 6,033 Defined benefit pension costs: Prior service costs and deferrals $ 1,529 Net periodic benefit cost, included in other (income) expense, net - See Note 15 Tax benefit (362) Net periodic benefit cost, net of tax $ 1,167 The following table presents reclassifications from AOCI during the twelve months ended March 31, 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 $ 1,151 Cost of goods sold Tax benefit (272) Net unrealized loss on derivative instruments, net of tax $ 879 Defined benefit pension costs: Prior service costs and deferrals $ 1,098 Net periodic benefit cost, included in other (income) expense, net - See Note 15 Tax benefit (282) Net periodic benefit cost, net of tax $ 816 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Summary Of Stock Option Activity | For purposes of determining the fair value of stock options granted, the Company used a Black-Scholes Model with the following assumptions: 2022 2021 2020 Risk-free interest rate 0.89 % 0.39 % 1.52 % Dividend yield 0.76 % 0.93 % 1.21 % Expected life (years) 6 6 6 Volatility 37.3 % 37.2 % 29.1 % The following table summarizes the Company’s stock option activity in the years indicated: Number of Weighted- Weighted- Aggregate Options outstanding as of March 31, 2019 554,906 8.0 $ 72.31 $ 1,040 Granted 284,109 57.75 — Exercised (24,826) 57.60 383 Forfeited (22,607) 72.19 88 Expired — — — Options outstanding as of March 31, 2020 791,582 7.8 $ 67.55 $ — Granted 295,068 79.62 — Exercised (247,975) 66.11 6,382 Forfeited (34,854) 69.20 290 Expired (4,320) 80.25 — Options outstanding as of March 31, 2021 799,501 7.8 $ 72.31 $ 14,781 Granted 246,222 97.32 — Exercised (42,640) 65.71 1,079 Forfeited (27,478) 71.26 520 Options outstanding as of March 31, 2022 975,605 7.5 $ 78.94 $ 3,605 Options exercisable as of March 31, 2022 472,571 6.1 $ 72.71 $ 2,250 Options vested and expected to vest, as of March 31, 2022 960,129 7.4 $ 78.77 $ 3,590 For purposes of determining the fair value of TSRs granted in fiscal 2020, the Company used a Monte Carlo Simulation with the following assumptions: 2020 Risk-free interest rate 1.50 % Dividend yield — % Expected life (years) 3 Volatility 34.39 % |
Summary Of Information Regarding Stock Options Outstanding And Exercisable | The following table summarizes information regarding stock options outstanding as of March 31, 2022: Range of Exercise Prices Number of Weighted- Weighted- $57.60-$60.00 194,661 7.0 $ 57.73 $60.01-$70.00 56,530 2.9 $ 68.78 $70.01-$80.00 222,765 7.3 $ 75.27 $80.01-$90.00 260,247 7.2 $ 83.00 $90.01-100.99 241,402 9.4 $ 97.43 975,605 7.5 $ 78.94 |
Summary Of The Changes In Restricted Stock Units And Market Share Units | A summary of the changes in restricted stock units, TSRs and PSUs awarded to employees and directors that were outstanding under the Company’s equity compensation plans during fiscal 2022 is presented below: Restricted Stock Units (RSU) Market condition-based Share Units (TSR) Performance condition-based Share Units (PSU) Number of Weighted- Number of Weighted- Number of Weighted- Non-vested awards as of March 31, 2021 880,284 $ 60.07 125,960 $ 83.48 98,346 $ 57.55 Granted 254,436 88.27 — — — — Stock dividend 7,639 64.22 670 71.04 714 56.04 Performance factor — — 1,116 — — — Vested (228,765) 68.34 (46,295) 104.89 (670) 68.48 Forfeitures (35,829) 73.40 (6,468) 70.77 (21,517) 64.25 Non-vested awards as of March 31, 2022 877,765 $ 65.48 74,983 $ 71.25 76,873 $ 55.56 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Reconciliation From Basic To Diluted Average Common Shares And Net Earnings Per Common 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. Fiscal year ended March 31, 2022 2021 2020 Net earnings attributable to EnerSys stockholders $ 143,911 $ 143,374 $ 137,116 Weighted-average number of common shares outstanding: Basic 42,106,337 42,548,449 42,411,834 Dilutive effect of: Common shares from exercise and lapse of equity awards, net of shares assumed reacquired 677,036 675,954 484,941 Diluted weighted-average number of common shares outstanding 42,783,373 43,224,403 42,896,775 Basic earnings per common share attributable to EnerSys stockholders $ 3.42 $ 3.37 $ 3.23 Diluted earnings per common share attributable to EnerSys stockholders $ 3.36 $ 3.32 $ 3.20 Anti-dilutive equity awards not included in diluted weighted-average common shares 951,057 281,483 698,546 |
Restructuring, Exit and Other C
Restructuring, Exit and Other Charges (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Restructuring and Related Activities [Abstract] | |
Acquisition And Non-Acquisition Related Restructuring Reserve | Restructuring and exit charges for fiscal 2022, 2021 and 2020 by reportable segments are as follows: Fiscal year ended March 31, 2022 Energy Systems Motive Power Specialty Total Restructuring charges $ 2,005 $ 2,348 $ 75 $ 4,428 Exit charges 708 14,711 (1,091) 14,328 Restructuring and other exit charges $ 2,713 $ 17,059 $ (1,016) $ 18,756 Fiscal year ended March 31, 2021 Energy Systems Motive Power Specialty Total Restructuring charges $ 3,187 $ 4,012 $ 169 $ 7,368 Exit charges — 32,786 220 33,006 Restructuring and other exit charges $ 3,187 $ 36,798 $ 389 $ 40,374 Fiscal year ended March 31, 2020 Energy Systems Motive Power Specialty Total Restructuring charges $ 6,808 $ 1,860 $ 2,318 $ 10,986 Exit charges 526 5,541 3,713 9,780 Restructuring and other exit charges $ 7,334 $ 7,401 $ 6,031 $ 20,766 A roll-forward of the restructuring reserve is as follows: Employee Other Total Balance at March 31, 2019 $ 2,356 $ 596 $ 2,952 Accrued 10,395 402 10,797 Costs incurred (9,179) (995) (10,174) Foreign currency impact and other (247) (3) (250) Balance at March 31, 2020 $ 3,325 $ — $ 3,325 Accrued 6,537 831 7,368 Costs incurred (7,550) (831) (8,381) Foreign currency impact and other 283 — 283 Balance at March 31, 2021 $ 2,595 $ — $ 2,595 Accrued 4,428 — 4,428 Costs incurred (6,013) — (6,013) Foreign currency impact and other 20 — 20 Balance at March 31, 2022 $ 1,030 $ — $ 1,030 |
Warranty (Tables)
Warranty (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Guarantees [Abstract] | |
Analysis Of Changes In Liability For Product Warranties | An analysis of changes in the liability for product warranties is as follows: Fiscal year ended March 31, 2022 2021 2020 Balance at beginning of year $ 58,962 $ 63,525 $ 54,568 Current year provisions 17,645 27,645 27,622 Costs incurred (20,648) (34,346) (25,778) Warranty reserves of acquired businesses — — 6,995 Foreign currency translation adjustment (981) 2,138 118 Balance at end of year $ 54,978 $ 58,962 $ 63,525 |
Other (Income) Expense, Net (Ta
Other (Income) Expense, Net (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Other Income and Expenses [Abstract] | |
Summary Of Other (Income) Expense, Net | Other (income) expense, net consists of the following: Fiscal year ended March 31, 2022 2021 2020 Foreign exchange transaction (gains) losses $ (7,169) $ 6,696 $ 264 Non-service components of pension expense 430 1,279 615 Other 1,274 (171) (1,294) Total $ (5,465) $ 7,804 $ (415) |
Business Segments (Tables)
Business Segments (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Summary Of Financial Information Related To The Company's Business Segments | Summarized financial information related to the Company’s reportable segments at March 31, 2022, 2021 and 2020 and for each of the fiscal years then ended is shown below. Fiscal year ended March 31, 2022 2021 2020 Net sales by segment to unaffiliated customers Energy Systems $ 1,536,673 $ 1,380,278 $ 1,357,475 Motive Power 1,361,254 1,163,710 1,348,193 Specialty 459,392 433,944 382,200 Total net sales $ 3,357,319 $ 2,977,932 $ 3,087,868 Operating earnings by segment Energy Systems $ 18,531 $ 67,060 $ 67,809 Motive Power 169,740 143,541 146,814 Specialty 43,491 46,148 42,454 Inventory step up to fair value relating to acquisitions and exit activities - Energy Systems (186) — (304) Inventory adjustment relating to exit activities - Motive (2,418) — — Inventory step up to fair value relating to acquisitions - Specialty — — (1,550) Restructuring and other exit charges - Energy Systems (2,713) (3,187) (7,284) Restructuring and other exit charges - Motive Power (17,059) (36,798) (2,021) Restructuring and other exit charges - Specialty 1,016 (389) (6,020) Impairment of goodwill (3) — — (39,713) Impairment of indefinite-lived intangibles - Energy Systems (501) — (1,297) Impairment of indefinite-lived intangibles - Motive Power (677) — (2,861) Impairment of indefinite-lived intangibles - Specialty — — (391) Loss on assets held for sale - Motive Power (2,973) — — Fixed asset write-off relating to exit activities and other - Energy Systems — — (50) Fixed asset write-off relating to exit activities and other - Motive Power — — (5,380) Fixed asset write-off relating to exit activities - Specialty — — (11) Total operating earnings (2) $ 206,251 $ 216,375 $ 190,195 Capital Expenditures Energy Systems $ 33,614 $ 34,826 $ 40,768 Motive Power 13,887 14,154 22,285 Specialty 26,540 21,040 38,372 Total $ 74,041 $ 70,020 $ 101,425 Depreciation and Amortization Energy Systems $ 54,580 $ 57,864 $ 53,793 Motive Power 24,918 21,706 20,900 Specialty 16,380 14,512 12,651 Total $ 95,878 $ 94,082 $ 87,344 (1) Reportable segments do not record inter-segment revenues and accordingly there are none to report. (2) The Company does not allocate interest expense or other (income) expense, net, to the reportable segments. (3) The impairment of goodwill in fiscal 2020 related to the Company's legacy reportable segments as discussed in Note 7. The Company's property, plant and equipment by reportable segments as of March 31, 2022 and 2021 are as follows: March 31, 2022 March 31, 2021 Property, plant and equipment, net Energy Systems $ 216,853 $ 224,513 Motive Power 145,431 152,468 Specialty 140,980 120,075 Total $ 503,264 $ 497,056 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) | 12 Months Ended |
Mar. 31, 2022segment | |
Summary Of Significant Accounting Policies [Line Items] | |
Cash and cash equivalents include all highly liquid investments with an original maturity, when purchased, in months | 3 months |
Number of operating segments | 3 |
Number of reportable segments | 3 |
Restricted Stock and Restricted Stock Units | |
Summary Of Significant Accounting Policies [Line Items] | |
Percentage of restricted stock units granted, vested per year | 25.00% |
Vesting period, in years | 4 years |
Minimum | |
Summary Of Significant Accounting Policies [Line Items] | |
Percentage of investment ownership, consolidated | 50.00% |
Percentage of investment ownership, equity method | 20.00% |
Estimated useful lives of finite-lived assets | 3 years |
Minimum | Energy Systems Batteries | |
Summary Of Significant Accounting Policies [Line Items] | |
Product warranty for a period | 1 year |
Minimum | Motive Power Batteries | |
Summary Of Significant Accounting Policies [Line Items] | |
Product warranty for a period | 1 year |
Minimum | Specialty Transportation Batteries | |
Summary Of Significant Accounting Policies [Line Items] | |
Product warranty for a period | 1 year |
Minimum | Building and Improvements | |
Summary Of Significant Accounting Policies [Line Items] | |
Property, plant, and equipment, useful life | 10 years |
Minimum | Machinery and equipment | |
Summary Of Significant Accounting Policies [Line Items] | |
Property, plant, and equipment, useful life | 3 years |
Maximum | |
Summary Of Significant Accounting Policies [Line Items] | |
Percentage of investment ownership, equity method | 50.00% |
Percentage of investment ownership, cost method | 20.00% |
Estimated useful lives of finite-lived assets | 20 years |
Maximum | Energy Systems Batteries | |
Summary Of Significant Accounting Policies [Line Items] | |
Product warranty for a period | 20 years |
Maximum | Motive Power Batteries | |
Summary Of Significant Accounting Policies [Line Items] | |
Product warranty for a period | 5 years |
Maximum | Specialty Transportation Batteries | |
Summary Of Significant Accounting Policies [Line Items] | |
Product warranty for a period | 4 years |
Maximum | Building and Improvements | |
Summary Of Significant Accounting Policies [Line Items] | |
Property, plant, and equipment, useful life | 33 years |
Maximum | Machinery and equipment | |
Summary Of Significant Accounting Policies [Line Items] | |
Property, plant, and equipment, useful life | 15 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Schedule of Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at Beginning of Period | $ 12,992 | $ 15,246 | $ 10,813 |
Provision for Doubtful Debts | 2,621 | 178 | 4,821 |
Write-offs, net of Recoveries and Other | (3,394) | (2,432) | (388) |
Balance at End of Period | $ 12,219 | $ 12,992 | $ 15,246 |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 3,357,319 | $ 2,977,932 | $ 3,087,868 |
Contract with customer, liability, current portion | 27,870 | 15,992 | |
Contract with customer, liability, noncurrent portion | 1,387 | 2,072 | |
Revenue recognized | 6,775 | 14,064 | |
Unbilled contracts receivable | 59,924 | 46,451 | |
Right to recover product | 4,606 | ||
Refund liability | 8,051 | ||
Transferred over Time | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 193,824 | 155,217 | 142,153 |
Service | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 353,088 | $ 296,213 | $ 270,704 |
Revenue Recognition - Remaining
Revenue Recognition - Remaining Performance Obligation (Details) $ in Thousands | Mar. 31, 2022USD ($) |
Revenue from Contract with Customer [Abstract] | |
Remaining performance obligation | $ 198,861 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-04-01 | |
Revenue from Contract with Customer [Abstract] | |
Remaining performance obligation | $ 182,473 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation, timing of satisfaction | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-04-01 | |
Revenue from Contract with Customer [Abstract] | |
Remaining performance obligation | $ 13,394 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation, timing of satisfaction | 2 years |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-04-01 | |
Revenue from Contract with Customer [Abstract] | |
Remaining performance obligation | $ 2,994 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation, timing of satisfaction | 3 years |
Leases - Additional Information
Leases - Additional Information (Detail) | Mar. 31, 2022 |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Contract term | 1 year |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Contract term | 17 years |
Leases - Balance Sheet Classifi
Leases - Balance Sheet Classification (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 71,085 | $ 62,159 |
Operating lease current liabilities | 20,086 | 21,774 |
Operating lease non-current liabilities | 52,904 | 42,528 |
Finance lease right-of-use assets | 344 | 573 |
Finance lease current liabilities | 185 | 236 |
Finance lease non-current liabilities | $ 231 | $ 435 |
Operating lease, right-of-use asset, statement of financial position | Other assets | Other assets |
Operating lease, liability, current, statement of financial position | Accrued expenses | Accrued expenses |
Operating lease, liability, noncurrent, statement of financial position | Other liabilities | Other liabilities |
Finance lease, right-of-use asset, statement of financial position | Property, plant, and equipment, net | Property, plant, and equipment, net |
Leases - Components of Lease Ex
Leases - Components of Lease Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Operating Leases: | ||
Operating lease cost | $ 26,392 | $ 27,888 |
Variable lease cost | 9,620 | 7,781 |
Short term lease cost | 6,218 | 6,675 |
Finance Leases: | ||
Depreciation | 233 | 221 |
Interest expense | 26 | 33 |
Total | $ 42,489 | $ 42,598 |
Leases - Additional Informati_2
Leases - Additional Information Related to Leases (Detail) | Mar. 31, 2022 | Mar. 31, 2021 |
Operating Leases: | ||
Weighted average remaining lease term (years) | 6 years 1 month 6 days | 5 years 6 months |
Weighted average discount rate | 4.43% | 5.16% |
Finance Leases: | ||
Weighted average remaining lease term (years) | 2 years 3 months 18 days | 3 years 1 month 6 days |
Weighted average discount rate | 4.79% | 4.81% |
Leases - Finance and Operating
Leases - Finance and Operating Lease Maturity Schedules (Detail) $ in Thousands | Mar. 31, 2022USD ($) |
Finance Leases | |
2023 | $ 210 |
2024 | 152 |
2025 | 46 |
2026 | 25 |
2027 | 0 |
Thereafter | 0 |
Total undiscounted lease payments | 433 |
Present value discount | 17 |
Finance lease liability | 416 |
Operating Leases | |
2023 | 22,954 |
2024 | 17,066 |
2025 | 12,387 |
2026 | 8,856 |
2027 | 6,681 |
Thereafter | 16,630 |
Total undiscounted lease payments | 84,574 |
Present value discount | 11,584 |
Operating lease liabilities | $ 72,990 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows from finance leases | $ 26 | $ 33 |
Operating cash flows from operating leases | 26,731 | 28,036 |
Financing cash flows from finance leases | 238 | 216 |
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 | 266 |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 33,493 | $ 14,763 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 700,640 | $ 705,593 | $ 663,936 | |
Estimated tax-deductible goodwill | $ 101,499 | 110,063 | ||
Measurement period adjustments | 2,996 | |||
NorthStar | ||||
Business Acquisition [Line Items] | ||||
Payments to acquire businesses | $ 77,777 | |||
Debt assumed | 107,018 | |||
Goodwill | 76,784 | |||
Measurement period adjustments | $ 2,996 | |||
NorthStar | Developed Technology Rights | ||||
Business Acquisition [Line Items] | ||||
Acquired intangible assets | $ 19,000 | |||
Estimated useful lives of finite-lived assets | 10 years | |||
NorthStar | Trademarks | ||||
Business Acquisition [Line Items] | ||||
Acquired intangible assets | $ 6,000 | |||
Estimated useful lives of finite-lived assets | 5 years | |||
Estimated tax-deductible goodwill | $ 68,522 | |||
NorthStar | Customer relationships | ||||
Business Acquisition [Line Items] | ||||
Acquired intangible assets | $ 9,000 | |||
Minimum | ||||
Business Acquisition [Line Items] | ||||
Estimated useful lives of finite-lived assets | 3 years | |||
Minimum | NorthStar | Customer relationships | ||||
Business Acquisition [Line Items] | ||||
Estimated useful lives of finite-lived assets | 15 years | |||
Maximum | ||||
Business Acquisition [Line Items] | ||||
Estimated useful lives of finite-lived assets | 20 years | |||
Maximum | NorthStar | Customer relationships | ||||
Business Acquisition [Line Items] | ||||
Estimated useful lives of finite-lived assets | 18 years |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 260,604 | $ 147,040 |
Work-in-process | 109,441 | 97,715 |
Finished goods | 345,667 | 273,492 |
Total | $ 715,712 | $ 518,247 |
Property, Plant, and Equipmen_2
Property, Plant, and Equipment - Summary of Property, Plant, and Equipment (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, including finance lease right-of-use asset, gross | $ 1,233,891 | $ 1,195,805 |
Less accumulated depreciation | (730,627) | (698,749) |
Total | 503,264 | 497,056 |
Land, buildings, and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, including finance lease right-of-use asset, gross | 313,090 | 313,031 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, including finance lease right-of-use asset, gross | 851,251 | 822,725 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, including finance lease right-of-use asset, gross | $ 69,550 | $ 60,049 |
Property, Plant, and Equipmen_3
Property, Plant, and Equipment - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation expense | $ 62,584 | $ 60,956 | $ 56,331 |
Interest capitalized | $ 447 | $ 1,319 | $ 2,030 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Schedule of Company's Other Intangible Assets (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Intangible Assets [Line Items] | ||
Gross Amount, Total | $ 554,720 | $ 556,122 |
Accumulated Amortization ,Total | (158,518) | (125,224) |
Net Amount ,Total | 396,202 | 430,898 |
Trademarks | ||
Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets, Gross Amount | 145,808 | 148,164 |
Finite-lived intangible assets, Gross Amount | 8,947 | 8,012 |
Indefinite-lived intangible assets, Accumulated Amortization | (953) | (953) |
Finite-lived intangible assets, Accumulated Amortization | (5,012) | (3,381) |
Indefinite-lived intangible assets, Net Amount | 144,855 | 147,211 |
Finite-lived intangible assets, Net Amount | 3,935 | 4,631 |
Customer relationships | ||
Intangible Assets [Line Items] | ||
Finite-lived intangible assets, Gross Amount | 298,577 | 298,576 |
Finite-lived intangible assets, Accumulated Amortization | (109,820) | (87,308) |
Finite-lived intangible assets, Net Amount | 188,757 | 211,268 |
Non-compete | ||
Intangible Assets [Line Items] | ||
Finite-lived intangible assets, Gross Amount | 2,825 | 2,825 |
Finite-lived intangible assets, Accumulated Amortization | (2,825) | (2,825) |
Finite-lived intangible assets, Net Amount | 0 | 0 |
Technology | ||
Intangible Assets [Line Items] | ||
Finite-lived intangible assets, Gross Amount | 97,367 | 97,349 |
Finite-lived intangible assets, Accumulated Amortization | (38,712) | (29,561) |
Finite-lived intangible assets, Net Amount | 58,655 | 67,788 |
Licenses | ||
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 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Indefinite-lived Intangible Assets [Line Items] | ||||
Amortization expense, related to finite-lived intangible assets | $ 33,294 | $ 33,126 | $ 31,013 | |
Expected amortization expense, 2023 | $ 30,725 | 30,725 | ||
Expected amortization expense, 2024 | 27,691 | 27,691 | ||
Expected amortization expense, 2025 | 26,550 | 26,550 | ||
Expected amortization expense, 2026 | 25,616 | 25,616 | ||
Expected amortization expense, 2027 | 24,822 | 24,822 | ||
Impairment of goodwill | 0 | 0 | 39,713 | |
Estimated tax-deductible goodwill | 101,499 | $ 101,499 | $ 110,063 | |
Asia | ||||
Indefinite-lived Intangible Assets [Line Items] | ||||
Impairment of goodwill | 39,713 | |||
Trademarks | EMEA | ||||
Indefinite-lived Intangible Assets [Line Items] | ||||
Impairment of indefinite-lived intangible assets | $ 1,178 | $ 4,549 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets - Schedule of Changes in Carrying Amount of Goodwill by Business Segment (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Goodwill [Roll Forward] | ||
Balance at beginning of year | $ 705,593 | $ 663,936 |
Measurement period adjustments | 2,996 | |
Foreign currency translation adjustment | (4,953) | 38,661 |
Balance at end of year | 700,640 | 705,593 |
Energy Systems | ||
Goodwill [Roll Forward] | ||
Balance at beginning of year | 279,676 | 263,150 |
Measurement period adjustments | 1,348 | |
Foreign currency translation adjustment | (215) | 15,178 |
Balance at end of year | 279,461 | 279,676 |
Motive Power | ||
Goodwill [Roll Forward] | ||
Balance at beginning of year | 327,055 | 308,497 |
Measurement period adjustments | 0 | |
Foreign currency translation adjustment | (3,752) | 18,558 |
Balance at end of year | 323,303 | 327,055 |
Specialty | ||
Goodwill [Roll Forward] | ||
Balance at beginning of year | 98,862 | 92,289 |
Measurement period adjustments | 1,648 | |
Foreign currency translation adjustment | (986) | 4,925 |
Balance at end of year | $ 97,876 | $ 98,862 |
Prepaid and Other Current Ass_3
Prepaid and Other Current Assets (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Contract assets | $ 59,924 | $ 46,451 |
Prepaid non-income taxes | 25,585 | 25,251 |
Non-trade receivables | 16,670 | 10,925 |
Prepaid income taxes | 7,162 | 6,562 |
Other | 46,218 | 28,492 |
Total | $ 155,559 | $ 117,681 |
Accrued Expenses (Detail)
Accrued Expenses (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Payables and Accruals [Abstract] | ||
Payroll and benefits | $ 81,058 | $ 92,305 |
Accrued selling expenses | 48,894 | 47,364 |
Contract liabilities | 27,870 | 15,992 |
Warranty | 20,716 | 18,982 |
Operating lease liabilities | 20,086 | 21,774 |
VAT and other non-income taxes | 16,458 | 14,267 |
Freight | 14,167 | 13,097 |
Interest | 10,793 | 10,592 |
Hagen exit related accruals | 1,832 | 24,593 |
Pension | 1,294 | 1,514 |
Tax Act - Transition Tax | 1,229 | 11,855 |
Restructuring | 1,030 | 2,595 |
Other | 44,338 | 43,793 |
Total | 289,765 | 318,723 |
Transition tax | 6,172 | 6,172 |
Transition tax, prepaid position | $ 4,943 | |
Transition tax, income taxes payable | $ 5,683 |
Debt - Long Term Debt (Detail)
Debt - Long Term Debt (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Debt Instrument [Line Items] | ||
Long-term debt gross | $ 1,250,268 | $ 976,039 |
Unamortized debt issuance expense | 7,266 | 6,421 |
Long-term debt, net of unamortized issuance costs | 1,243,002 | 969,618 |
Senior Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | 600,000 | 600,000 |
Unamortized debt issuance expense | 3,905 | 5,106 |
Line Of Credit And Secured Debt | Second Amended Credit Facility, due 2026 | Secured Debt | ||
Debt Instrument [Line Items] | ||
Incremental term loan commitment | 650,268 | 376,039 |
Unamortized debt issuance expense | $ 3,361 | $ 1,315 |
Debt - Additional Information (
Debt - Additional Information (Detail) | Dec. 11, 2019USD ($) | Oct. 03, 2021USD ($) | Mar. 31, 2022USD ($) | Mar. 31, 2021USD ($) | Mar. 31, 2020USD ($) | Mar. 31, 2019USD ($) | Oct. 03, 2021CAD ($) | Dec. 29, 2019 | Dec. 28, 2019 | Mar. 31, 2019CAD ($) | Mar. 31, 2018USD ($) | Apr. 23, 2015USD ($) |
Debt Instrument [Line Items] | ||||||||||||
Weighted-average interest rate | 3.30% | 3.50% | ||||||||||
Short term borrowing outstanding amount | $ 55,084,000 | $ 34,153,000 | ||||||||||
Short-term debt, weighted-average interest rates | 2.40% | 2.00% | ||||||||||
Amortization expense included in interest expense | $ 2,107,000 | $ 2,072,000 | $ 1,673,000 | |||||||||
Deferred financing fees, net of accumulated amortization | 7,266,000 | 6,421,000 | ||||||||||
Senior Notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Long-term debt | 600,000,000 | 600,000,000 | ||||||||||
Line of Credit | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Available lines of credit | 482,305,000 | 697,875,000 | ||||||||||
Outstanding amount | 69,430,000 | 122,303,000 | ||||||||||
Maximum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Consideration transferred | $ 250,000,000 | |||||||||||
Convertible Notes Payable | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Stand by letters of credit | 2,959,000 | 2,959,000 | ||||||||||
2027 Notes | Senior Notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest rate of debt instrument | 4.375% | |||||||||||
Long-term debt | $ 300,000,000 | |||||||||||
Proceeds from debt, net | $ 296,250,000 | |||||||||||
Payments of debt issuance costs | 4,607,000 | |||||||||||
2023 Notes | Senior Notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest rate of debt instrument | 5.00% | |||||||||||
Long-term debt | $ 300,000,000 | |||||||||||
2017 Revolver borrowings | Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Face value of debt instrument | $ 150,000,000 | |||||||||||
Change in face amount | $ 299,105,000 | |||||||||||
2017 Revolver borrowings | Revolving Credit Facility | Line of Credit | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Maximum borrowing capacity | $ 600,000,000 | |||||||||||
Amended 2017 Term Loan | Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Maximum borrowing capacity | 449,105,000 | |||||||||||
Amended 2017 Term Loan | Term Loan | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Maximum borrowing capacity | 99,105,000 | $ 133,050,000 | ||||||||||
Amended 2017 Revolver | Line of Credit | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Maximum borrowing capacity | 700,000,000 | |||||||||||
Amended 2017 Revolver | Revolving Credit Facility | Line of Credit | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Change in borrowing capacity | $ 100,000,000 | |||||||||||
Second Amended Term Loan, Canadian Dollars | Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Face value of debt instrument | 84,229 | $ 106,440 | ||||||||||
Second Amended Term Loan | Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Face value of debt instrument | 130,000 | |||||||||||
Change in face amount | (150,000) | |||||||||||
Available lines of credit | 215,268,000 | |||||||||||
Current portion of long-term debt | 5,356,000 | |||||||||||
Second Amended Revolver | Revolving Credit Facility | Line of Credit | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Maximum borrowing capacity | 850,000 | |||||||||||
Change in borrowing capacity | 150,000 | |||||||||||
Optional increase in line of credit maximum borrowing capacity | $ 350,000,000 | |||||||||||
Available lines of credit | 435,000,000 | |||||||||||
Second Amended Credit Facility | Line Of Credit And Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Percentage of capital stock collateralizing debt | 65.00% | |||||||||||
Payments of debt issuance costs | 2,952,000 | |||||||||||
Write off of deferred debt issuance costs | 128,000 | |||||||||||
2038 Notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest paid | $ 37,776,000 | $ 36,365,000 | $ 38,632,000 | |||||||||
London Interbank Offered Rate (LIBOR) | Second Amended Credit Facility | Line Of Credit And Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest at a floating rate | 1.50% | |||||||||||
London Interbank Offered Rate (LIBOR) | Second Amended Credit Facility | Minimum | Line Of Credit And Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest at a floating rate | 1.125% | |||||||||||
London Interbank Offered Rate (LIBOR) | Second Amended Credit Facility | Maximum | Line Of Credit And Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest at a floating rate | 2.00% | |||||||||||
Federal Funds Effective Rate | Second Amended Credit Facility | Line Of Credit And Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest at a floating rate | 0.50% | |||||||||||
Eurocurrency Base Rate | Second Amended Credit Facility | Line Of Credit And Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest at a floating rate | 1.00% | |||||||||||
Canadian Dollar Offered Rate (CDOR) | Second Amended Credit Facility | Line Of Credit And Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest at a floating rate | 0.50% | |||||||||||
Measurement Input, Maximum Leverage Ratio | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Measurement input | 3.50 | 4 | ||||||||||
Measurement Input, Maximum Leverage Ratio | Minimum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Measurement input | 3.50 | 3.50 | ||||||||||
Measurement Input, Maximum Leverage Ratio | Maximum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Measurement input | 4 | 4 | ||||||||||
Debt Instrument, Redemption, Period One | 2027 Notes | Senior Notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Redemption price, percentage | 100.00% | |||||||||||
Debt Instrument, Redemption, Period One | Second Amended Term Loan | Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Periodic payment | $ 2,678,000 | |||||||||||
Debt Instrument, Redemption, Period Two | 2027 Notes | Senior Notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Redemption price, percentage | 100.00% | |||||||||||
Debt Instrument, Redemption, Period Two | Second Amended Term Loan | Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Periodic payment | 4,017,000 | |||||||||||
Debt Instrument, Redemption, Period Three | 2027 Notes | Senior Notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Redemption price, percentage | 101.00% | |||||||||||
Debt Instrument, Redemption, Period Three | Second Amended Term Loan | Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Periodic payment | 5,356,000 | |||||||||||
Debt Instrument, Redemption, Period Four | Second Amended Term Loan | Secured Debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Periodic payment | $ 160,672,000 |
Other Liabilities (Detail)
Other Liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Other Liabilities Disclosure [Abstract] | ||
Operating lease liabilities | $ 52,904 | $ 42,528 |
Tax Act - Transition Tax | 46,587 | 53,045 |
Warranty | 34,262 | 39,980 |
Pension | 28,566 | 40,450 |
Liability for uncertain tax positions | 5,210 | 7,185 |
Contract liabilities | 1,387 | 2,072 |
Other | 14,864 | 10,508 |
Total | $ 183,780 | $ 195,768 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - Fair Value, Recurring - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | $ 2,562 | $ (1,556) |
Lead forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 2,520 | (1,980) |
Foreign currency forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | (256) | 424 |
Net investment hedges | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 298 | |
Quoted Price In Active Markets for Identical Assets (Level 1) | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 0 | 0 |
Quoted Price In Active Markets for Identical Assets (Level 1) | Lead forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 0 | 0 |
Quoted Price In Active Markets for Identical Assets (Level 1) | Foreign currency forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 0 | 0 |
Quoted Price In Active Markets for Identical Assets (Level 1) | Net investment hedges | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 0 | |
Significant Other Observable Inputs (Level 2) | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 2,562 | (1,556) |
Significant Other Observable Inputs (Level 2) | Lead forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 2,520 | (1,980) |
Significant Other Observable Inputs (Level 2) | Foreign currency forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | (256) | 424 |
Significant Other Observable Inputs (Level 2) | Net investment hedges | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 298 | |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Lead forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Foreign currency forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | 0 | $ 0 |
Significant Unobservable Inputs (Level 3) | Net investment hedges | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total derivatives | $ 0 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments - Additional Information (Detail) $ in Thousands | Mar. 03, 2022USD ($) | Jan. 03, 2022USD ($) | Jan. 03, 2021USD ($) | Mar. 31, 2022USD ($) | Mar. 31, 2021USD ($) | Mar. 31, 2020USD ($) |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Impairment of indefinite-lived intangibles | $ 1,178 | $ 0 | $ 4,549 | |||
Loss on assets held for sale | 2,973 | $ 0 | 0 | |||
Indefinite Suspension of Facility in Russia | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Fixed asset impairment | $ 3,999 | |||||
Closure of Facility in Vijayawada, India | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Fair value of fixed assets | 1,600 | |||||
Assets held for sale | 4,573 | |||||
Loss on assets held for sale | $ 2,973 | |||||
Closure of Facility in Hagen, Germany | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Fair value of fixed assets | $ 14,456 | |||||
Fixed asset impairment | $ 3,975 | |||||
2027 Notes | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Trading of convertible notes, face value, disclosed as a percentage | 95.00% | 102.00% | ||||
2023 Notes | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Trading of convertible notes, face value, disclosed as a percentage | 101.00% | 105.00% | ||||
Trademarks | EMEA | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Fair value of fixed assets | $ 980 | 1,700 | ||||
Impairment of indefinite-lived intangibles | $ 1,178 | $ 4,549 | ||||
Royalty Rate | Trademarks | EMEA | Maximum | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Measurement inputs | 0.0125 | 0.0125 | ||||
Discount Rate | Trademarks | EMEA | Minimum | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Measurement inputs | 0.130 | |||||
Discount Rate | Trademarks, One | EMEA | Minimum | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Measurement inputs | 0.130 | |||||
Discount Rate | Trademarks, Two | EMEA | Minimum | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Measurement inputs | 0.145 |
Fair Value of Financial Instr_5
Fair Value of Financial Instruments - Carrying Amounts and Estimated Fair Values of Company Financial Instruments (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative Asset | $ 2,562 | $ 0 |
Senior Notes | 600,000 | 600,000 |
Derivative Liability | 0 | 1,556 |
Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative Asset | 2,562 | 0 |
Senior Notes | 585,750 | 621,000 |
Derivative Liability | $ 0 | $ 1,556 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Additional Information (Detail) lb in Millions | 12 Months Ended | ||
Mar. 31, 2022USD ($)lb | Mar. 31, 2021USD ($)lb | Dec. 23, 2021USD ($) | |
Cost of Goods Sold and Interest Expense | |||
Derivatives, Fair Value [Line Items] | |||
Derivative gain (loss) to be recorded in income within 12 months, before tax | $ 8,436,000 | ||
Designated as Hedging Instrument | Cross currency fixed interest rate swaps | Net investment hedges | |||
Derivatives, Fair Value [Line Items] | |||
Notional amount | $ 300,000 | ||
Designated as Hedging Instrument | Lead forward contracts | |||
Derivatives, Fair Value [Line Items] | |||
Hedge forward contracts, maturity | 1 year | ||
Derivative, nonmonetary notional amount, mass | lb | 54 | 54.5 | |
Total purchase price of derivative | $ 56,768,000 | $ 50,567,000 | |
Designated as Hedging Instrument | Foreign currency forward contracts | |||
Derivatives, Fair Value [Line Items] | |||
Derivative, term (not extending beyond) | 1 year | ||
Notional amount | $ 29,676,000 | 26,033,000 | |
Derivatives Not Designated as Hedging Instruments | Foreign currency forward contracts | |||
Derivatives, Fair Value [Line Items] | |||
Notional amount | $ 22,990,000 | $ 28,995,000 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Fair Value of Derivative Instruments (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Designated as Hedging Instrument | Cash Flow Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives assets, Fair Value | $ 2,776 | $ 524 |
Derivatives liabilities, Fair Value | 0 | 1,980 |
Designated as Hedging Instrument | Net investment hedges | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives assets, Fair Value | 4,388 | 0 |
Derivatives liabilities, Fair Value | 4,090 | 0 |
Designated as Hedging Instrument | Prepaid and other current assets | Net investment hedges | Cross currency fixed interest rate swaps | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives assets, Fair Value | 4,388 | 0 |
Designated as Hedging Instrument | Prepaid and other current assets | Lead forward contracts | Cash Flow Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives assets, Fair Value | 2,520 | 0 |
Designated as Hedging Instrument | Prepaid and other current assets | Foreign currency forward contracts | Cash Flow Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives assets, Fair Value | 256 | 524 |
Designated as Hedging Instrument | Accrued expenses | Lead forward contracts | Cash Flow Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives liabilities, Fair Value | 0 | 1,980 |
Designated as Hedging Instrument | Accrued expenses | Foreign currency forward contracts | Cash Flow Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives liabilities, Fair Value | 0 | 0 |
Designated as Hedging Instrument | Other liabilities | Net investment hedges | Cross currency fixed interest rate swaps | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives liabilities, Fair Value | 4,090 | 0 |
Derivatives Not Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives assets, Fair Value | 0 | 0 |
Derivatives liabilities, Fair Value | 512 | 100 |
Derivatives Not Designated as Hedging Instruments | Prepaid and other current assets | Lead forward contracts | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives assets, Fair Value | 0 | 0 |
Derivatives Not Designated as Hedging Instruments | Prepaid and other current assets | Foreign currency forward contracts | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives assets, Fair Value | 0 | 0 |
Derivatives Not Designated as Hedging Instruments | Accrued expenses | Lead forward contracts | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives liabilities, Fair Value | 0 | 0 |
Derivatives Not Designated as Hedging Instruments | Accrued expenses | Foreign currency forward contracts | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives liabilities, Fair Value | $ 512 | $ 100 |
Derivative Financial Instrume_5
Derivative Financial Instruments - (Derivatives Effect on Statements of Income) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Designated as Hedging Instrument | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) | $ 13,134 | $ 332 | $ (8,737) |
Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | 9,742 | (7,903) | (1,151) |
Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) | 1,479 | ||
Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | 1,181 | ||
Derivatives Not Designated as Hedging Instruments | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | (157) | 430 | (178) |
Lead forward contracts | Designated as Hedging Instrument | Cost of goods sold | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) | 12,193 | 202 | (8,683) |
Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | 8,974 | (7,411) | (1,690) |
Foreign currency forward contracts | Designated as Hedging Instrument | Cost of goods sold | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) | 941 | 130 | (54) |
Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | 768 | (492) | 539 |
Foreign currency forward contracts | Derivatives Not Designated as Hedging Instruments | Other (income) expense, net | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | (157) | $ 430 | $ (178) |
Cross currency fixed interest rate swaps | Designated as Hedging Instrument | Interest expense | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Pretax Gain (Loss) Recognized in AOCI on Derivative (Effective Portion) | 1,479 | ||
Pretax Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | $ 1,181 |
Derivative Financial Instrume_6
Derivative Financial Instruments - Effect of Derivative Instruments (Detail) - Derivatives Not Designated as Hedging Instruments - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Derivatives, Fair Value [Line Items] | |||
Derivatives Not Designated as Hedging Instruments | $ (157) | $ 430 | $ (178) |
Other (income) expense, net | Foreign currency forward contracts | |||
Derivatives, Fair Value [Line Items] | |||
Derivatives Not Designated as Hedging Instruments | $ (157) | $ 430 | $ (178) |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income Tax Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Current: | |||
Federal | $ 9,558 | $ 12,591 | $ 9,185 |
State | 4,022 | 4,133 | 2,561 |
Foreign | 15,333 | 19,031 | 14,561 |
Total current income tax expense | 28,913 | 35,755 | 26,307 |
Deferred income tax (benefit) expense | |||
Federal | 1,183 | 1,495 | 5,489 |
State | (1,453) | 735 | 741 |
Foreign | 1,385 | (11,224) | (22,716) |
Total deferred income tax (benefit) expense | 1,115 | (8,994) | (16,486) |
Total income tax expense | $ 30,028 | $ 26,761 | $ 9,821 |
Income Taxes - Schedule of Earn
Income Taxes - Schedule of Earning Before Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
United States | $ 21,871 | $ 56,055 | $ 36,193 |
Foreign | 152,068 | 114,080 | 110,744 |
Earnings before income taxes | $ 173,939 | $ 170,135 | $ 146,937 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2019 | |
Income Tax Contingency [Line Items] | ||||
Income taxes paid | $ 50,484,000 | $ 32,002,000 | $ 48,653,000 | |
Net operating loss carryforwards carried forward indefinitely | 155,338,000 | |||
Net operating loss carryforwards subject to expiration | 46,838,000 | |||
Valuation allowance | 31,017,000 | 31,928,000 | 20,951,000 | $ 17,519,000 |
Increase (decrease) in deferred tax asset | (3,862,000) | (940,000) | (229,000) | |
Income tax expense | $ 30,028,000 | $ 26,761,000 | $ 9,821,000 | |
Effective income tax rates | 17.30% | 15.70% | 6.70% | |
Deferred tax asset | $ 22,500,000 | |||
Foreign pre-tax income | $ 152,068,000 | $ 114,080,000 | $ 110,744,000 | |
Foreign pre-tax income, percent | 11.00% | 6.80% | (7.40%) | |
Tax rate of Swiss subsidiary | 4.00% | 8.00% | 3.00% | |
Blended rate | 21.00% | 21.00% | 21.00% | |
Undistributed earnings of foreign subsidiaries | $ 1,180,000,000 | $ 1,591,000,000 | ||
Undistributed earnings of foreign subsidiaries, remitted | 550,000 | |||
Unrecognized tax benefits | 4,770,000 | 6,785,000 | $ 7,795,000 | $ 20,165,000 |
Estimated change in unrecognized tax benefit in fiscal 2015 | 1,050,000 | |||
Tax related interest and penalties | 440,000 | 400,000 | ||
Indefinite Suspension of Facility in Russia | ||||
Income Tax Contingency [Line Items] | ||||
Income tax expense | 2,000,000 | |||
Federal | ||||
Income Tax Contingency [Line Items] | ||||
United States federal net operating loss carryforwards | 899,000 | |||
Valuation allowance | 0 | 0 | ||
Foreign | ||||
Income Tax Contingency [Line Items] | ||||
United States federal net operating loss carryforwards | 202,176,000 | |||
Valuation allowance | 30,331,000 | 31,242,000 | ||
Increase (decrease) in deferred tax asset | (911,000) | |||
Income tax expense | 1,883,000 | |||
Foreign | Increase to Income Tax Expense (Benefit) | ||||
Income Tax Contingency [Line Items] | ||||
Increase (decrease) in deferred tax asset | 2,951,000 | |||
Foreign | Purchase Accounting Adjustment | ||||
Income Tax Contingency [Line Items] | ||||
Increase (decrease) in deferred tax asset | (3,862,000) | |||
State | ||||
Income Tax Contingency [Line Items] | ||||
United States federal net operating loss carryforwards | 28,994,000 | |||
Valuation allowance | $ 686,000 | $ 686,000 |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2019 |
Deferred tax assets: | ||||
Accounts receivable | $ 481 | $ 2,029 | ||
Inventories | 8,581 | 8,831 | ||
Net operating loss carryforwards | 56,010 | 62,663 | ||
Lease liabilities | 17,590 | 15,685 | ||
Accrued expenses | 33,571 | 36,775 | ||
Other assets | 19,941 | 18,173 | ||
Gross deferred tax assets | 136,174 | 144,156 | ||
Less valuation allowance | (31,017) | (31,928) | $ (20,951) | $ (17,519) |
Total deferred tax assets | 105,157 | 112,228 | ||
Deferred tax liabilities: | ||||
Property, plant and equipment | 41,105 | 38,364 | ||
Lease Right-of-use assets | 17,590 | 15,685 | ||
Intangible assets | 60,827 | 66,743 | ||
Other liabilities | 3,384 | 2,636 | ||
Total deferred tax liabilities | 122,906 | 123,428 | ||
Net deferred tax liabilities | $ (17,749) | $ (11,200) |
Income Taxes - Schedule of Valu
Income Taxes - Schedule of Valuation Allowance (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Deferred Tax Asset, Valuation Allowance [Roll Forward] | |||
Balance at Beginning of Period | $ 31,928 | $ 20,951 | $ 17,519 |
Additions Charged to Expense | 4,486 | 8,437 | 7,494 |
Valuation Allowance Reversal | (1,535) | (2,904) | (3,145) |
Business Combination Adjustments | 0 | 6,384 | (688) |
Other | (3,862) | (940) | (229) |
Balance at End of Period | $ 31,017 | $ 31,928 | $ 20,951 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Income Taxes at Statutory Rate (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
United States statutory income tax expense | $ 36,527 | $ 35,729 | $ 30,857 |
State income taxes, net of federal effect | 1,724 | 4,000 | 2,764 |
Nondeductible expenses and other | 1,217 | 5,273 | 5,953 |
Net effect of GILTI, FDII, BEAT | 5,405 | 1,985 | 3,025 |
Goodwill impairment - See Note 7 | 0 | 0 | 10,714 |
Effect of foreign operations | (14,192) | (20,035) | (17,605) |
Valuation allowance | 2,951 | 5,533 | 4,349 |
Switzerland Tax Reform | 0 | (1,883) | (26,846) |
Research and Development Credit | (3,604) | (3,841) | (3,390) |
Total income tax expense | $ 30,028 | $ 26,761 | $ 9,821 |
Income Taxes - Reconciliation_2
Income Taxes - Reconciliation of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Reconciliation of Unrecognized Tax Benefits | |||
Balance at beginning of year | $ 6,785 | $ 7,795 | $ 20,165 |
Increases related to current year tax positions | 21 | 346 | 598 |
Increases related to the Alpha acquisition | 0 | 0 | 769 |
Increases related to prior year tax positions | 598 | 325 | 0 |
Decreases related to prior tax positions due to foreign currency translation | 0 | 0 | (11,463) |
Decreases related to prior year tax positions | (784) | 0 | 0 |
Lapse of statute of limitations | (1,850) | (1,681) | (2,274) |
Balance at end of year | $ 4,770 | $ 6,785 | $ 7,795 |
Retirement Plans - Net Periodic
Retirement Plans - Net Periodic Pension Costs (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 0 | $ 0 | $ 0 |
Interest cost | 517 | 533 | 616 |
Expected return on plan assets | (526) | (272) | (448) |
Amortization and deferral | 7 | 476 | 188 |
Net periodic benefit cost | (2) | 737 | 356 |
International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 1,114 | 993 | 906 |
Interest cost | 1,427 | 1,388 | 1,485 |
Expected return on plan assets | (2,200) | (1,899) | (2,136) |
Amortization and deferral | 1,205 | 1,053 | 910 |
Net periodic benefit cost | $ 1,546 | $ 1,535 | $ 1,165 |
Retirement Plans - Change in Pr
Retirement Plans - Change in Projected Benefit Obligations and Change in Plan Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
United States Plans | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation at the beginning of the period | $ 17,806 | $ 18,111 | |
Service cost | 0 | 0 | $ 0 |
Interest cost | 517 | 533 | 616 |
Benefits paid, inclusive of plan expenses | (802) | (802) | |
Plan curtailments and settlements | 0 | 0 | |
Actuarial (gains) losses | (1,316) | (36) | |
Foreign currency translation adjustment | 0 | 0 | |
Benefit obligation at the end of the period | 16,205 | 17,806 | 18,111 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Fair value of plan assets at the beginning of the period | 16,265 | 12,036 | |
Actual return on plan assets | 443 | 4,379 | |
Employer contributions | 260 | 652 | |
Benefits paid, inclusive of plan expenses | (802) | (802) | |
Plan curtailments and settlements | 0 | 0 | |
Foreign currency translation adjustment | 0 | 0 | |
Fair value of plan assets at the end of the period | 16,166 | 16,265 | 12,036 |
Funded status deficit | (39) | (1,541) | |
International Plans | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation at the beginning of the period | 83,252 | 68,602 | |
Service cost | 1,114 | 993 | 906 |
Interest cost | 1,427 | 1,388 | 1,485 |
Benefits paid, inclusive of plan expenses | (2,328) | (2,087) | |
Plan curtailments and settlements | (141) | (91) | |
Actuarial (gains) losses | (8,545) | 7,761 | |
Foreign currency translation adjustment | (3,946) | 6,686 | |
Benefit obligation at the end of the period | 70,833 | 83,252 | 68,602 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Fair value of plan assets at the beginning of the period | 42,844 | 32,831 | |
Actual return on plan assets | 1,784 | 6,272 | |
Employer contributions | 1,979 | 1,869 | |
Benefits paid, inclusive of plan expenses | (2,328) | (2,087) | |
Plan curtailments and settlements | (141) | (91) | |
Foreign currency translation adjustment | (2,071) | 4,050 | |
Fair value of plan assets at the end of the period | 42,067 | 42,844 | $ 32,831 |
Funded status deficit | $ (28,766) | $ (40,408) |
Retirement Plans - Amounts Reco
Retirement Plans - Amounts Recognized in Consolidated Balance Sheets (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan amounts recognized in balance sheet | $ (28,805) | $ (41,949) |
Non current assets | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan amounts recognized in balance sheet | 1,055 | 15 |
Accrued expenses | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan amounts recognized in balance sheet | (1,294) | (1,514) |
Other liabilities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan amounts recognized in balance sheet | $ (28,566) | $ (40,450) |
Retirement Plans - Pension Comp
Retirement Plans - Pension Components Before Tax and Related Changes Net of Tax Recognized in AOCI (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 |
Retirement Benefits [Abstract] | |||
Prior service cost | $ (174) | $ (230) | $ (258) |
Net loss | (14,049) | (25,450) | (25,796) |
Net amount recognized | $ (14,223) | $ (25,680) | $ (26,054) |
Retirement Plans - Summary Chan
Retirement Plans - Summary Changes in Plan Assets and Benefit Obligations (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Changes in plan assets and benefit obligations: | |||
New prior service cost | $ 0 | $ 0 | $ 0 |
Net loss (gain) arising during the year | (9,362) | (753) | 3,793 |
Effect of exchange rates on amounts included in AOCI | (883) | 1,909 | (804) |
Amounts recognized as a component of net periodic benefit costs: | |||
Amortization of prior service cost | (45) | (46) | (43) |
Amortization or settlement recognition of net loss | (1,167) | (1,484) | (1,250) |
Total recognized in other comprehensive (income) loss | $ (11,457) | $ (374) | $ 1,696 |
Retirement Plans - Summary of R
Retirement Plans - Summary of Recognized Components of Net Periodic Pension Cost Included in Accumulated Other Comprehensive Income (Detail) $ in Thousands | Mar. 31, 2022USD ($) |
Retirement Benefits [Abstract] | |
Prior service cost | $ (43) |
Net loss | (474) |
Net amount expected to be recognized | $ (517) |
Retirement Plans - Summary of A
Retirement Plans - Summary of Accumulated Benefit Obligation Related to All Defined Pension Plans (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
United States Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated benefit obligation | $ 16,205 | $ 17,806 |
Projected benefit obligation | 5,479 | 17,806 |
Fair value of plan assets | 5,188 | 16,265 |
United States Plans | Unfunded defined benefit plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated benefit obligation | 0 | 0 |
Projected benefit obligation | 0 | 0 |
United States Plans | Defined benefit plans with an accumulated benefit obligation in excess of the fair value of plan assets | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | 5,479 | 17,806 |
Fair value of plan assets | 5,188 | 16,265 |
Accumulated benefit obligation | 5,479 | 17,806 |
International Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated benefit obligation | 67,301 | 78,360 |
Projected benefit obligation | 29,570 | 82,814 |
Fair value of plan assets | 0 | 42,390 |
International Plans | Unfunded defined benefit plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated benefit obligation | 27,156 | 31,970 |
Projected benefit obligation | 29,570 | 34,932 |
International Plans | Defined benefit plans with an accumulated benefit obligation in excess of the fair value of plan assets | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | 29,570 | 82,814 |
Fair value of plan assets | 0 | 42,390 |
Accumulated benefit obligation | $ 27,156 | $ 77,928 |
Retirement Plans - Significant
Retirement Plans - Significant Assumptions Used to Determine Net Periodic Benefit Cost (Detail) | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 3.00% | 3.00% | 3.80% |
Expected return on plan assets | 5.50% | 6.00% | 6.30% |
Minimum | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 0.50% | 1.30% | 1.00% |
Expected return on plan assets | 2.70% | 3.80% | 4.30% |
Rate of compensation increase | 1.50% | 2.00% | 2.00% |
Maximum | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 2.30% | 2.30% | 2.70% |
Expected return on plan assets | 5.25% | 5.50% | 6.00% |
Rate of compensation increase | 4.00% | 3.50% | 4.00% |
Retirement Plans - Significan_2
Retirement Plans - Significant Assumptions Used to Determine Projected Benefit Obligations (Detail) | Mar. 31, 2022 | Mar. 31, 2021 |
United States Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 3.70% | 3.00% |
International Plans | Minimum | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 1.50% | 0.50% |
Rate of compensation increase | 1.80% | 1.50% |
International Plans | Maximum | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 5.40% | 2.30% |
Rate of compensation increase | 5.50% | 4.00% |
Retirement Plans - Additional I
Retirement Plans - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Expected cash contributions to pension plans in 2023 | $ 1,717 | ||
Defined Contribution Pension | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Employer expenses | 18,402 | $ 16,460 | $ 15,835 |
United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Employer expenses | 260 | 652 | |
International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Employer expenses | $ 1,979 | $ 1,869 | |
International Plans | Equity Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation percentage | 65.00% | ||
Minimum | United States Plans | Equity Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Equity investments target range, minimum | 40.00% | ||
Maximum | United States Plans | Equity Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Equity investments target range, minimum | 75.00% |
Retirement Plans - Summary of P
Retirement Plans - Summary of Pension Plan Investments Measured at Fair Value (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 |
United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | $ 16,166 | $ 16,265 | $ 12,036 |
International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 42,067 | 42,844 | $ 32,831 |
Quoted Price In Active Markets for Identical Assets (Level 1) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 16,166 | 16,265 | |
Quoted Price In Active Markets for Identical Assets (Level 1) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 98 | 81 | |
Significant Other Observable Inputs (Level 2) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 41,969 | 42,763 | |
Significant Unobservable Inputs (Level 3) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
Cash and Cash Equivalents | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 1,576 | 1,454 | |
Cash and Cash Equivalents | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 98 | 81 | |
Cash and Cash Equivalents | Quoted Price In Active Markets for Identical Assets (Level 1) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 1,576 | 1,454 | |
Cash and Cash Equivalents | Quoted Price In Active Markets for Identical Assets (Level 1) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 98 | 81 | |
Cash and Cash Equivalents | Significant Other Observable Inputs (Level 2) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
Cash and Cash Equivalents | Significant Other Observable Inputs (Level 2) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
Cash and Cash Equivalents | Significant Unobservable Inputs (Level 3) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
Cash and Cash Equivalents | Significant Unobservable Inputs (Level 3) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
US Equity Securities | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 10,350 | 10,435 | |
US Equity Securities | Quoted Price In Active Markets for Identical Assets (Level 1) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 10,350 | 10,435 | |
US Equity Securities | Significant Other Observable Inputs (Level 2) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
US Equity Securities | Significant Unobservable Inputs (Level 3) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
International Equity Securities | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 28,296 | 28,144 | |
International Equity Securities | Quoted Price In Active Markets for Identical Assets (Level 1) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
International Equity Securities | Significant Other Observable Inputs (Level 2) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 28,296 | 28,144 | |
International Equity Securities | Significant Unobservable Inputs (Level 3) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
Fixed Income Funds | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 4,240 | 4,376 | |
Fixed Income Funds | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 13,673 | 14,619 | |
Fixed Income Funds | Quoted Price In Active Markets for Identical Assets (Level 1) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 4,240 | 4,376 | |
Fixed Income Funds | Quoted Price In Active Markets for Identical Assets (Level 1) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
Fixed Income Funds | Significant Other Observable Inputs (Level 2) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
Fixed Income Funds | Significant Other Observable Inputs (Level 2) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 13,673 | 14,619 | |
Fixed Income Funds | Significant Unobservable Inputs (Level 3) | United States Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | 0 | 0 | |
Fixed Income Funds | Significant Unobservable Inputs (Level 3) | International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total Fair Value Measurement | $ 0 | $ 0 |
Retirement Plans - Summary of E
Retirement Plans - Summary of Estimated Future Benefit Payments (Detail) $ in Thousands | Mar. 31, 2022USD ($) |
Defined Benefit Plan, Expected Future Benefit Payment [Abstract] | |
2023 | $ 3,031 |
2024 | 2,975 |
2025 | 3,378 |
2026 | 3,708 |
2027 | 4,064 |
Years 2028-2032 | $ 22,244 |
Stockholders_ Equity - Addition
Stockholders’ Equity - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Class of Stock [Line Items] | |||
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 | |
Preferred stock, par value (usd per share) | $ 0.01 | $ 0.01 | |
Preferred stock, shares issued (in shares) | 0 | 0 | |
Preferred stock, shares outstanding (in shares) | 0 | 0 | |
Number of shares of common stock purchased (in shares) | 1,996,334 | 0 | 581,140 |
Repurchased common stock value | $ 156,366,000 | $ 34,561,000 | |
Treasury stock, shares (in shares) | 14,762,266 | 12,799,790 | |
Shares issued in ESPP (USD per share) | $ 62.55 | $ 62.55 | $ 62.55 |
Common Stock | Alpha | |||
Class of Stock [Line Items] | |||
Shares issued in employee stock purchase plan (in shares) | 13,858 | 13,465 | 17,410 |
Stockholders' Equity - Change i
Stockholders' Equity - Change in Number of Shares of Common Stock Outstanding (Detail) - shares | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Shares outstanding, beginning balance (in shares) | 42,753,020 | 42,323,305 | 42,620,750 |
Purchase of treasury stock (in shares) | (1,996,334) | 0 | (581,140) |
Shares issued as part of equity-based compensation plans, net of equity awards surrendered for option price and taxes (in shares) | 229,972 | 429,715 | 283,695 |
Shares outstanding, ending balance (in shares) | 40,986,658 | 42,753,020 | 42,323,305 |
Stockholders' Equity - Componen
Stockholders' Equity - Components of Accumulated Other Comprehensive Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward] | |||
Beginning Balance | $ (115,883) | $ (215,006) | $ (142,682) |
Before Reclassifications | (21,088) | 91,923 | (74,019) |
Amount Reclassified from AOCI | (6,524) | 7,200 | 1,695 |
Ending Balance | (143,495) | (115,883) | (215,006) |
Foreign currency translation adjustment, gain | (21,088) | 91,923 | (74,019) |
Pension funded status adjustment | |||
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward] | |||
Beginning Balance | (20,947) | (22,794) | (20,791) |
Before Reclassifications | 7,374 | 680 | (2,819) |
Amount Reclassified from AOCI | 936 | 1,167 | 816 |
Ending Balance | (12,637) | (20,947) | (22,794) |
Foreign currency translation adjustment, gain | 7,374 | 680 | (2,819) |
Net unrealized gain (loss) on derivative instruments | |||
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward] | |||
Beginning Balance | 360 | (5,923) | (130) |
Before Reclassifications | 10,063 | 250 | (6,672) |
Amount Reclassified from AOCI | (7,460) | 6,033 | 879 |
Ending Balance | 2,963 | 360 | (5,923) |
Foreign currency translation adjustment, gain | 10,063 | 250 | (6,672) |
Foreign currency translation adjustment | |||
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward] | |||
Beginning Balance | (95,296) | (186,289) | (121,761) |
Before Reclassifications | (38,525) | 90,993 | (64,528) |
Amount Reclassified from AOCI | 0 | 0 | 0 |
Ending Balance | (133,821) | (95,296) | (186,289) |
Foreign currency translation adjustment, gain | (38,525) | $ 90,993 | $ (64,528) |
Foreign currency translation adjustment | Cross currency fixed interest rate swaps | Net investment hedges | Designated as Hedging Instrument | |||
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward] | |||
Before Reclassifications | 228 | ||
Foreign currency translation adjustment, gain | 228 | ||
Foreign currency translation adjustment, tax | $ 70 |
Stockholders' Equity and Noncon
Stockholders' Equity and Noncontrolling Interests - (Reclassifications from AOCI) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net unrealized gain on derivative instruments, Interest expense | $ (37,777) | $ (38,436) | $ (43,673) | |
Derivatives in cash flow hedging relationships | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Tax expense (benefit) | $ 2,282 | (1,870) | (272) | |
Net of tax | (7,460) | 6,033 | 879 | |
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 gain (loss) on derivative instruments, Cost of goods sold | (9,742) | 7,903 | 1,151 | |
Derivatives in net investment hedging relationships | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Tax expense (benefit) | 276 | |||
Net of tax | (905) | |||
Derivatives in net investment hedging relationships | Reclassification out of Accumulated Other Comprehensive Income | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net unrealized gain on derivative instruments, Interest expense | (1,181) | |||
Defined benefit pension costs | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Prior service costs and deferrals | 1,212 | 1,529 | 1,098 | |
Tax expense (benefit) | (276) | (362) | (282) | |
Net of tax | $ 936 | $ 1,167 | $ 816 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for future grants (in shares) | 2,822,479 | ||
Stock options granted (in shares) | 246,222 | 295,068 | 284,109 |
Stock-based compensation expense | $ 6,235 | $ 3,514 | $ 2,996 |
Stock-based compensation expense, net of tax | $ 738 | $ 368 | $ 565 |
Market price per unit of stock award (usd per share) | $ 88.27 | $ 71.53 | $ 58.05 |
Unrecognized compensation expense associated with non-vested incentive awards outstanding | $ 48,867 | ||
Nonvested stock, weighted average remaining contractual term | 24 months | ||
Restricted Stock Units (RSU) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Market price per unit of stock award (usd per share) | $ 88.27 | ||
Stock unit grant during period (in shares) | 254,436 | ||
Restricted Shares Restricted Stock Units and Market Share Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | $ 18,054 | $ 16,303 | $ 17,784 |
Stock unit grant during period (in shares) | 781 | 1,435 | 1,147 |
Equity-based compensation expense, tax benefit | $ 3,072 | $ 2,121 | $ 2,544 |
Non Employee Directors | Restricted Stock Units (RSU) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock units granted (in shares) | 24,055 | 39,726 | 40,462 |
Market price per unit of stock award (usd per share) | $ 60.29 | $ 39.93 | $ 39.74 |
Management | Nonqualified Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options granted (in shares) | 246,222 | ||
Vesting period, in years | 3 years | ||
Management | Restricted Stock Units (RSU) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Market price per unit of stock award (usd per share) | $ 91.81 | $ 75.39 | $ 57.75 |
Stock unit grant during period (in shares) | 229,600 | 283,101 | 301,321 |
Management | Performance Shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Market price per unit of stock award (usd per share) | $ 50.69 | ||
Stock unit grant during period (in shares) | 62,512 | ||
Management | Market Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Market price per unit of stock award (usd per share) | $ 62.05 | ||
Stock unit grant during period (in shares) | 51,063 | ||
Equity Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for future grants (in shares) | 4,173,554 | ||
Stock Options Issued In Fiscal 2010 | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options expiration period (in years) | 10 years |
Stock Based Compensation Stock-
Stock Based Compensation Stock-Based Compensation - Summary of Assumptions Used for Market Share Units (Detail) | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Market Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 0.89% | 0.39% | 1.52% |
Dividend yield | 0.76% | 0.93% | 1.21% |
Expected life (years) | 6 years | 6 years | 6 years |
Volatility | 37.30% | 37.20% | 29.10% |
Performance Market Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 1.50% | ||
Dividend yield | 0.00% | ||
Expected life (years) | 3 years | ||
Volatility | 34.39% |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock Option Activity (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2019 | |
Number of Options | ||||
Number of Options outstanding, Beginning Balance (in shares) | 799,501 | 791,582 | 554,906 | |
Number of Options, Granted (in shares) | 246,222 | 295,068 | 284,109 | |
Number of Options, Exercised (in shares) | (42,640) | (247,975) | (24,826) | |
Number of Options, Forfeited (in shares) | (27,478) | (34,854) | (22,607) | |
Number of Options, Expired (in shares) | (4,320) | 0 | ||
Number of Options outstanding, Ending Balance (in shares) | 975,605 | 799,501 | 791,582 | 554,906 |
Number of Options, Exercisable (in shares) | 472,571 | |||
Number of Options, Vested and Expected to Vest (in shares) | 960,129 | |||
Weighted- Average Remaining Contract Term (Years) | ||||
Options outstanding, Weighted Average Remaining Contract Term (Years) | 7 years 6 months | 7 years 9 months 18 days | 7 years 9 months 18 days | 8 years |
Options exercisable, Weighted Average Remaining Contract Term (Years) | 6 years 1 month 6 days | |||
Options vested and expected to vest, Weighted Average Remaining Contract Term (Years) | 7 years 4 months 24 days | |||
Weighted- Average Exercise Price | ||||
Options outstanding, Weighted Average Exercise Price, Beginning Balance (usd per share) | $ 72.31 | $ 67.55 | $ 72.31 | |
Weighted Average Exercise Price, Granted (usd per share) | 97.32 | 79.62 | 57.75 | |
Weighted Average Exercise Price, Exercised (usd per share) | 65.71 | 66.11 | 57.60 | |
Weighted Average Exercise Price, Expired (usd per share) | 71.26 | 69.20 | 72.19 | |
Weighted Average Exercise Price, Forfeited (usd per share) | 80.25 | 0 | ||
Options outstanding, Weighted Average Exercise Price, Ending Balance (usd per share) | 78.94 | $ 72.31 | $ 67.55 | $ 72.31 |
Options exercisable, Weighted Average Exercise Price (usd per share) | 72.71 | |||
Weighted Average Exercise Price, Vested and Expected to Vest (usd per share) | $ 78.77 | |||
Aggregate Intrinsic Value | ||||
Options outstanding, Aggregate Intrinsic Value, Beginning Balance | $ 14,781 | $ 0 | $ 1,040 | |
Options exercised, aggregate intrinsic value | 1,079 | 6,382 | 383 | |
Options forfeited, aggregate intrinsic value | 520 | 290 | 88 | |
Options expired, aggregate intrinsic value | 0 | 0 | ||
Options outstanding, Aggregate Intrinsic Value, Ending Balance | 3,605 | $ 14,781 | $ 0 | $ 1,040 |
Options exercisable, Aggregate Intrinsic Value | 2,250 | |||
Options vested and expected to vest, aggregate intrinsic value | $ 3,590 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Information Regarding Stock Options Outstanding and Exercisable (Detail) | 12 Months Ended |
Mar. 31, 2022$ / sharesshares | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Number of Options | shares | 975,605 |
Weighted- Average Remaining Contractual Life (Years) | 7 years 6 months |
Weighted-Average Exercise Price (usd per share) | $ / shares | $ 78.94 |
$57.60-$60.00 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Number of Options | shares | 194,661 |
Weighted- Average Remaining Contractual Life (Years) | 7 years |
Weighted-Average Exercise Price (usd per share) | $ / shares | $ 57.73 |
$60.01-$70.00 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Number of Options | shares | 56,530 |
Weighted- Average Remaining Contractual Life (Years) | 2 years 10 months 24 days |
Weighted-Average Exercise Price (usd per share) | $ / shares | $ 68.78 |
$70.01-$80.00 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Number of Options | shares | 222,765 |
Weighted- Average Remaining Contractual Life (Years) | 7 years 3 months 18 days |
Weighted-Average Exercise Price (usd per share) | $ / shares | $ 75.27 |
$80.01-$90.00 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Number of Options | shares | 260,247 |
Weighted- Average Remaining Contractual Life (Years) | 7 years 2 months 12 days |
Weighted-Average Exercise Price (usd per share) | $ / shares | $ 83 |
$90.01-100.99 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Number of Options | shares | 241,402 |
Weighted- Average Remaining Contractual Life (Years) | 9 years 4 months 24 days |
Weighted-Average Exercise Price (usd per share) | $ / shares | $ 97.43 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Changes in Restricted Stock Units and Market Share Units (Detail) - $ / shares | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Weighted average grant date fair value | |||
Weighted Average Grant Date Fair Value, Granted (usd per share) | $ 88.27 | $ 71.53 | $ 58.05 |
Restricted Stock Units (RSU) | |||
Number of RSU and MSU | |||
Number of Non-vested awards, Beginning Balance (in shares) | 880,284 | ||
Number of units, Granted (in shares) | 254,436 | ||
Number of units, Stock dividend (in shares) | 7,639 | ||
Number of units, Performance factor (in shares) | 0 | ||
Number of units, Vested (in shares) | (228,765) | ||
Number of units, Forfeitures (in shares) | (35,829) | ||
Number of Non-vested awards, Ending Balance (in shares) | 877,765 | 880,284 | |
Weighted average grant date fair value | |||
Weighted Average Grant Date Fair Value, Non-vested awards, Beginning Balance (usd per share) | $ 60.07 | ||
Weighted Average Grant Date Fair Value, Granted (usd per share) | 88.27 | ||
Weighted Average Grant Date Fair Value, Stock dividend (usd per share) | 64.22 | ||
Weighted Average Grant Date Fair Value, Performance factor (usd per share) | 0 | ||
Weighted Average Grant Date Fair Value, Vested (usd per share) | 68.34 | ||
Weighted Average Grant Date Fair Value, Forfeitures (usd per share) | 73.40 | ||
Weighted Average Grant Date Fair Value, Non-vested awards, Ending Balance (usd per share) | $ 65.48 | $ 60.07 | |
Market condition-based Share Units (TSR) | |||
Number of RSU and MSU | |||
Number of Non-vested awards, Beginning Balance (in shares) | 125,960 | ||
Number of units, Granted (in shares) | 0 | ||
Number of units, Stock dividend (in shares) | 670 | ||
Number of units, Performance factor (in shares) | 1,116 | ||
Number of units, Vested (in shares) | (46,295) | ||
Number of units, Forfeitures (in shares) | (6,468) | ||
Number of Non-vested awards, Ending Balance (in shares) | 74,983 | 125,960 | |
Weighted average grant date fair value | |||
Weighted Average Grant Date Fair Value, Non-vested awards, Beginning Balance (usd per share) | $ 83.48 | ||
Weighted Average Grant Date Fair Value, Granted (usd per share) | 0 | ||
Weighted Average Grant Date Fair Value, Stock dividend (usd per share) | 71.04 | ||
Weighted Average Grant Date Fair Value, Performance factor (usd per share) | 0 | ||
Weighted Average Grant Date Fair Value, Vested (usd per share) | 104.89 | ||
Weighted Average Grant Date Fair Value, Forfeitures (usd per share) | 70.77 | ||
Weighted Average Grant Date Fair Value, Non-vested awards, Ending Balance (usd per share) | $ 71.25 | $ 83.48 | |
Performance condition-based Share Units (PSU) | |||
Number of RSU and MSU | |||
Number of Non-vested awards, Beginning Balance (in shares) | 98,346 | ||
Number of units, Granted (in shares) | 0 | ||
Number of units, Stock dividend (in shares) | 714 | ||
Number of units, Performance factor (in shares) | 0 | ||
Number of units, Vested (in shares) | (670) | ||
Number of units, Forfeitures (in shares) | (21,517) | ||
Number of Non-vested awards, Ending Balance (in shares) | 76,873 | 98,346 | |
Weighted average grant date fair value | |||
Weighted Average Grant Date Fair Value, Non-vested awards, Beginning Balance (usd per share) | $ 57.55 | ||
Weighted Average Grant Date Fair Value, Granted (usd per share) | 0 | ||
Weighted Average Grant Date Fair Value, Stock dividend (usd per share) | 56.04 | ||
Weighted Average Grant Date Fair Value, Performance factor (usd per share) | 0 | ||
Weighted Average Grant Date Fair Value, Vested (usd per share) | 68.48 | ||
Weighted Average Grant Date Fair Value, Forfeitures (usd per share) | 64.25 | ||
Weighted Average Grant Date Fair Value, Non-vested awards, Ending Balance (usd per share) | $ 55.56 | $ 57.55 |
Earnings Per Share - Weighted A
Earnings Per Share - Weighted Average Common Shares Basic and Common Shares Diluted (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |||
Net earnings attributable to EnerSys stockholders | $ 143,911 | $ 143,374 | $ 137,116 |
Basic (in shares) | 42,106,337 | 42,548,449 | 42,411,834 |
Dilutive effect of: | |||
Common shares from exercise and lapse of equity awards, net of shares assumed reacquired (in shares) | 677,036 | 675,954 | 484,941 |
Diluted weighted-average number of common shares outstanding (in shares) | 42,783,373 | 43,224,403 | 42,896,775 |
Basic earnings per common share attributable to EnerSys stockholders (usd per share) | $ 3.42 | $ 3.37 | $ 3.23 |
Diluted earnings per common share attributable to EnerSys stockholders (usd per share) | $ 3.36 | $ 3.32 | $ 3.20 |
Anti-dilutive equity awards not included in diluted weighted-average common shares (in shares) | 951,057,000 | 281,483,000 | 698,546,000 |
Commitments, Contingencies an_2
Commitments, Contingencies and Litigation - Additional Information (Detail) | 12 Months Ended |
Mar. 31, 2022Employee | |
Commitments and Contingencies Disclosure [Abstract] | |
Company number of employees | 11,400 |
Percentage of employees covered by collective bargaining agreements | 26.00% |
Percentage of collective bargaining agreements that expire in next twelve months | 7.00% |
Average term of collective bargaining agreements | 2 years |
Longest term of collective bargaining agreements | 3 years 6 months |
Restructuring, Exit and Other_2
Restructuring, Exit and Other Charges - Additional Information (Details) $ in Thousands | Mar. 03, 2022USD ($) | Jan. 03, 2021USD ($) | Mar. 31, 2022USD ($)segment | Mar. 31, 2021USD ($)Employee | Mar. 31, 2020USD ($)Employee | Mar. 31, 2019USD ($) | Mar. 31, 2021USD ($) |
Restructuring Cost and Reserve [Line Items] | |||||||
Expected cost remaining | $ 2,135 | ||||||
Expected reduction in number of employees | Employee | 160 | ||||||
Cost of goods sold | 2,604,747 | $ 2,238,782 | $ 2,301,148 | ||||
Write-off of assets relating to restructuring and other exit charges | 6,503 | 10,231 | 10,986 | ||||
Restructuring and other exit charges | 18,756 | 40,374 | 20,766 | ||||
Loss on assets held for sale | 2,973 | 0 | 0 | ||||
Employee Severance | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring and other exit charges | 18,756 | 40,374 | 20,766 | ||||
Restructuring charges | 4,428 | 7,368 | 10,986 | ||||
Exit charges | 14,328 | $ 33,006 | 9,780 | ||||
Indefinite Suspension of Facility in Russia | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Fixed asset impairment | $ 3,999 | ||||||
Indefinite Suspension of Facility in Russia | Employee Severance and Exiting Lease Obligations | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Write-off of assets relating to restructuring and other exit charges | $ 1,284 | ||||||
Closure of Facility in Samudio, Spain | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Proceeds for sale of certain licenses and assets | 1,779 | ||||||
Gain on disposal of facility | 740 | ||||||
Closure of Facility in Hagen, Germany | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected remaining restructuring charges | 60,000 | ||||||
Expected reduction in number of employees | Employee | 200 | ||||||
Fixed asset impairment | $ 3,975 | ||||||
Fair value of fixed assets | $ 14,456 | ||||||
Closure of Facility in Hagen, Germany | Severance, Cash Charges | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring charges | 8,069 | $ 23,331 | |||||
Closure of Facility in Hagen, Germany | Cash Charges | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected remaining restructuring charges | 40,000 | $ 40,000 | |||||
Closure of Facility in Hagen, Germany | Inventory, Non-Cash Charges | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected remaining restructuring charges | 20,000 | 20,000 | |||||
Cost of goods sold | 960 | ||||||
Closure of Facility in Hagen, Germany | Fixed Asset Write Off, Non-Cash Charges | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring charges | 3,522 | 7,946 | |||||
Closure of Facility in Vijayawada, India | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Assets held for sale | 4,573 | ||||||
Loss on assets held for sale | 2,973 | ||||||
Fair value of fixed assets | 1,600 | ||||||
Closure of Facility in Vijayawada, India | Employee Severance | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Exit charges | 1,509 | ||||||
Closure of Facility in Vijayawada, India | Inventory, Non-Cash Charges | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Cost of goods sold | 820 | ||||||
Closure Of Facility In Targovishte, Bulgaria | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected cost remaining | $ 26,000 | ||||||
Restructuring and other exit charges | 220 | 5,123 | $ 20,242 | ||||
Proceeds for sale of certain licenses and assets | 1,489 | ||||||
Loss on assets held for sale | $ (1,208) | ||||||
Strategy to Exit Manufacture of Batteries for Diesel-Electric Submarines | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Proceeds for sale of certain licenses and assets | 2,031 | ||||||
Loss on assets held for sale | (892) | ||||||
Fixed Asset Write-Off, Kentucky and Tennessee Plants | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring and other exit charges | 5,441 | ||||||
Richmond Kentucky Battery Formation Area Fire | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring and other exit charges | 46,117 | ||||||
Loss on assets held for sale | (4,397) | ||||||
Prepaid insurance | 21,617 | 12,000 | 21,617 | ||||
Restructuring charges, cash charges related to employee severance and other charges | 7,500 | 5,000 | |||||
Richmond Kentucky Battery Formation Area Fire | Write-Offs for Damages, Cleanup, Asset Replacement, and Other | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring and other exit charges | 17,037 | ||||||
Richmond Kentucky Battery Formation Area Fire | Cleanup | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring and other exit charges | 16,580 | ||||||
Richmond Kentucky Battery Formation Area Fire | Business Interruption Claim | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring charges, cash charges related to employee severance and other charges | $ 12,500 | ||||||
Energy Systems | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Approximate number of positions eliminated | segment | 10 | ||||||
Expected reduction in number of employees | Employee | 47 | ||||||
Restructuring and other exit charges | $ 2,713 | $ 3,187 | 7,284 | ||||
Energy Systems | Employee Severance | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance payments | 1,284 | ||||||
Restructuring and other exit charges | 2,713 | 3,187 | 7,334 | ||||
Restructuring charges | 2,005 | 3,187 | 6,808 | ||||
Exit charges | 708 | 0 | 526 | ||||
Energy Systems | Severance, Cash Charges | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected remaining restructuring charges | $ 3,187 | 3,187 | |||||
Motive Power | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected reduction in number of employees | Employee | 32 | ||||||
Restructuring and other exit charges | 17,059 | $ 36,798 | 2,021 | ||||
Loss on assets held for sale | 2,973 | 0 | 0 | ||||
Motive Power | Employee Severance | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring and other exit charges | 17,059 | 36,798 | 7,401 | ||||
Restructuring charges | 2,348 | 4,012 | 1,860 | ||||
Exit charges | 14,711 | 32,786 | 5,541 | ||||
Motive Power | Severance, Cash Charges | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected remaining restructuring charges | 4,012 | 4,012 | |||||
Specialty | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected remaining restructuring charges | 169 | $ 169 | |||||
Restructuring and other exit charges | (1,016) | 389 | 6,020 | ||||
Specialty | Employee Severance | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring and other exit charges | (1,016) | 389 | 6,031 | ||||
Restructuring charges | 75 | 169 | 2,318 | ||||
Exit charges | $ (1,091) | $ 220 | $ 3,713 |
Restructuring, Exit and Other_3
Restructuring, Exit and Other Charges - Acquisition and Non-Acquisition Related Restructuring Reserve (Details) - USD ($) $ in Thousands | 12 Months Ended | 24 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2021 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other exit charges | $ 18,756 | $ 40,374 | $ 20,766 | |
Energy Systems | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other exit charges | 2,713 | 3,187 | 7,284 | |
Motive Power | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other exit charges | 17,059 | 36,798 | 2,021 | |
Specialty | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other exit charges | (1,016) | 389 | 6,020 | |
Employee Severance | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 4,428 | 7,368 | 10,986 | |
Exit charges | 14,328 | 33,006 | 9,780 | |
Restructuring and other exit charges | 18,756 | 40,374 | 20,766 | |
Employee Severance | Energy Systems | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 2,005 | 3,187 | 6,808 | |
Exit charges | 708 | 0 | 526 | |
Restructuring and other exit charges | 2,713 | 3,187 | 7,334 | |
Employee Severance | Motive Power | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 2,348 | 4,012 | 1,860 | |
Exit charges | 14,711 | 32,786 | 5,541 | |
Restructuring and other exit charges | 17,059 | 36,798 | 7,401 | |
Employee Severance | Specialty | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 75 | 169 | 2,318 | |
Exit charges | (1,091) | 220 | 3,713 | |
Restructuring and other exit charges | (1,016) | 389 | 6,031 | |
Non-Acquisition Related Restructuring Plans | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning balance | 2,595 | 3,325 | 2,952 | $ 2,952 |
Accrued | 4,428 | 7,368 | 10,797 | |
Costs incurred | (6,013) | (8,381) | (10,174) | |
Foreign currency impact and other | 20 | 283 | (250) | |
Ending balance | 1,030 | 2,595 | 3,325 | 2,595 |
Non-Acquisition Related Restructuring Plans | Employee Severance | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning balance | 2,595 | 3,325 | 2,356 | 2,356 |
Accrued | 4,428 | 6,537 | 10,395 | |
Costs incurred | (6,013) | (7,550) | (9,179) | |
Foreign currency impact and other | 20 | 283 | (247) | |
Ending balance | 1,030 | 2,595 | 3,325 | 2,595 |
Non-Acquisition Related Restructuring Plans | Other | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning balance | 0 | 0 | 596 | 596 |
Accrued | 0 | 831 | 402 | |
Costs incurred | 0 | (831) | (995) | |
Foreign currency impact and other | 0 | 0 | (3) | |
Ending balance | $ 0 | $ 0 | $ 0 | $ 0 |
Warranty (Detail)
Warranty (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Product Warranty Accrual [Roll Forward] | |||
Balance at beginning of year | $ 58,962 | $ 63,525 | $ 54,568 |
Current year provisions | 17,645 | 27,645 | 27,622 |
Costs incurred | (20,648) | (34,346) | (25,778) |
Warranty reserves of acquired businesses | 0 | 0 | 6,995 |
Foreign currency translation adjustment | (981) | 2,138 | 118 |
Balance at end of year | $ 54,978 | $ 58,962 | $ 63,525 |
Other (Income) Expense, Net (De
Other (Income) Expense, Net (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Other Income and Expenses [Abstract] | |||
Foreign exchange transaction (gains) losses | $ (7,169) | $ 6,696 | $ 264 |
Non-service components of pension expense | 430 | 1,279 | 615 |
Other | 1,274 | (171) | (1,294) |
Total | $ (5,465) | $ 7,804 | $ (415) |
Business Segments - Additional
Business Segments - Additional Information (Detail) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022USD ($)segmentCountry | Mar. 31, 2021USD ($) | Mar. 31, 2020 | |
Segment Reporting Information [Line Items] | |||
Number of operating segments | segment | 3 | ||
Number of reportable segments | segment | 3 | ||
Operations in number of countries | Country | 100 | ||
Property, plant, and equipment, net | $ | $ 503,264 | $ 497,056 | |
United States | |||
Segment Reporting Information [Line Items] | |||
Property, plant, and equipment, net | $ | $ 320,208 | $ 291,578 | |
United States | Geographic Concentration Risk | Revenue Benchmark | |||
Segment Reporting Information [Line Items] | |||
Percentage of sales to customers | 60.70% | 59.80% | 58.10% |
Business Segments - Schedule of
Business Segments - Schedule of Financial Information by Reportable Segment (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 3,357,319 | $ 2,977,932 | $ 3,087,868 |
Operating earnings | 206,251 | 216,375 | 190,195 |
Inventory step up to fair value relating to acquisitions | (2,604) | 0 | (1,854) |
Restructuring and other exit charges | (18,756) | (40,374) | (20,766) |
Impairment of goodwill | 0 | 0 | (39,713) |
Impairment of indefinite-lived intangibles | (1,178) | 0 | (4,549) |
Loss on assets held for sale - Motive Power | (2,973) | 0 | 0 |
Capital Expenditures | 74,041 | 70,020 | 101,425 |
Depreciation and amortization | 95,878 | 94,082 | 87,344 |
Property, plant, and equipment, net | 503,264 | 497,056 | |
Energy Systems | |||
Segment Reporting Information [Line Items] | |||
Net sales | 1,536,673 | 1,380,278 | 1,357,475 |
Operating earnings | 18,531 | 67,060 | 67,809 |
Inventory step up to fair value relating to acquisitions | (186) | 0 | (304) |
Restructuring and other exit charges | (2,713) | (3,187) | (7,284) |
Impairment of indefinite-lived intangibles | (501) | 0 | (1,297) |
Capital Expenditures | 33,614 | 34,826 | 40,768 |
Depreciation and amortization | 54,580 | 57,864 | 53,793 |
Property, plant, and equipment, net | 216,853 | 224,513 | |
Energy Systems | Fixed Asset Write-Off | |||
Segment Reporting Information [Line Items] | |||
Restructuring and other exit charges | 0 | 0 | (50) |
Motive Power | |||
Segment Reporting Information [Line Items] | |||
Net sales | 1,361,254 | 1,163,710 | 1,348,193 |
Operating earnings | 169,740 | 143,541 | 146,814 |
Inventory adjustment relating to exit activities - Motive | (2,418) | 0 | 0 |
Restructuring and other exit charges | (17,059) | (36,798) | (2,021) |
Impairment of indefinite-lived intangibles | (677) | 0 | (2,861) |
Loss on assets held for sale - Motive Power | (2,973) | 0 | 0 |
Capital Expenditures | 13,887 | 14,154 | 22,285 |
Depreciation and amortization | 24,918 | 21,706 | 20,900 |
Property, plant, and equipment, net | 145,431 | 152,468 | |
Motive Power | Fixed Asset Write-Off | |||
Segment Reporting Information [Line Items] | |||
Restructuring and other exit charges | 0 | 0 | (5,380) |
Specialty | |||
Segment Reporting Information [Line Items] | |||
Net sales | 459,392 | 433,944 | 382,200 |
Operating earnings | 43,491 | 46,148 | 42,454 |
Inventory step up to fair value relating to acquisitions | 0 | 0 | (1,550) |
Restructuring and other exit charges | 1,016 | (389) | (6,020) |
Impairment of indefinite-lived intangibles | 0 | 0 | (391) |
Capital Expenditures | 26,540 | 21,040 | 38,372 |
Depreciation and amortization | 16,380 | 14,512 | 12,651 |
Property, plant, and equipment, net | 140,980 | 120,075 | |
Specialty | Fixed Asset Write-Off | |||
Segment Reporting Information [Line Items] | |||
Restructuring and other exit charges | $ 0 | $ 0 | $ (11) |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | May 25, 2022 | May 25, 2022 | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 |
Subsequent Event [Line Items] | |||||
Number of shares of common stock purchased (in shares) | 1,996,334 | 0 | 581,140 | ||
Purchase of treasury stock | $ 156,366 | $ 0 | $ 34,561 | ||
Subsequent Event | |||||
Subsequent Event [Line Items] | |||||
Number of shares of common stock purchased (in shares) | 318,789 | ||||
Purchase of treasury stock | $ 20,000 | ||||
Subsequent Event | Dividend Declared | |||||
Subsequent Event [Line Items] | |||||
Common Stock cash dividends, per share (usd per share) | $ 0.175 |