Hayward (HAYW) 10-Q 2 Nov 22 2022 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Oct. 01, 2022	Oct. 31, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Oct. 01, 2022
Document Transition Report	false
Entity File Number	001-40208
Entity Registrant Name	Hayward Holdings, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	82-2060643
Entity Address, Address Line One	1415 Vantage Park Drive
Entity Address, Address Line Two	Suite 400
Entity Address, City or Town	Charlotte
Entity Address, State or Province	NC
Entity Address, Postal Zip Code	28203
City Area Code	704
Local Phone Number	285-5445
Title of 12(b) Security	Common stock, $.001 per share
Trading Symbol	HAYW
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		211,276,558
Amendment Flag	false
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2022
Current Fiscal Year End Date	--12-31
Entity Central Index Key	0001834622

Unaudited Condensed Consolidate

Unaudited Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Oct. 01, 2022	Dec. 31, 2021
Current assets
Cash and cash equivalents	$ 72,907	$ 265,796
Accounts receivable, net of allowances of $2,872 and $2,003, respectively	108,543	208,112
Inventories, net	313,379	233,449
Prepaid expenses	16,051	12,459
Other current assets	51,368	30,705
Total current assets	562,248	750,521
Property, plant, and equipment, net of accumulated depreciation of $76,600 and $67,366, respectively	148,428	146,754
Goodwill	927,055	924,264
Trademark	736,000	736,000
Customer relationships, net	236,321	242,854
Other intangibles, net	108,983	103,192
Other non-current assets	111,363	74,885
Total assets	2,830,398	2,978,470
Current liabilities
Current portion of the long-term debt	11,957	12,155
Accounts payable	65,354	87,445
Accrued expenses and other liabilities	152,011	190,378
Income taxes payable	0	13,886
Total current liabilities	229,322	303,864
Long-term debt, net	1,067,002	973,124
Deferred tax liabilities, net	266,290	262,378
Other non-current liabilities	71,523	69,591
Total liabilities	1,634,137	1,608,957
Commitments and contingencies (Note 12)
Stockholders' equity
Preferred stock, $0.001 par value, 100,000,000 authorized, no shares issued or outstanding as of October 1, 2022 and December 31, 2021	0	0
Common stock $0.001 par value, 750,000,000 authorized; 239,942,927 issued and 211,276,558 outstanding at October 1, 2022; 238,432,216 issued and 233,056,799 outstanding at December 31, 2021	240	238
Additional paid-in capital	1,067,148	1,058,724
Common stock in treasury; 28,666,369 and 5,375,417 at October 1, 2022 and December 31, 2021, respectively	(357,408)	(14,066)
Retained earnings	484,254	320,875
Accumulated other comprehensive income	2,027	3,742
Total stockholders' equity	1,196,261	1,369,513
Total liabilities, redeemable stock, and stockholders' equity	$ 2,830,398	$ 2,978,470

Unaudited Condensed Consolida_2

Unaudited Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Oct. 01, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Accounts receivable, allowances	$ 2,872	$ 2,003
Property, plant, and equipment, accumulated depreciation	$ 76,600	$ 67,366
Preferred shares par value (in usd per share)	$ 0.001	$ 0.001
Preferred stock authorized (in shares)	100,000,000	100,000,000
Preferred stock issued (in shares)	0	0
Preferred stock outstanding (in shares)	0	0
Common stock, par value (in usd per share)	$ 0.001	$ 0.001
Common stock, authorized (in shares)	750,000,000	750,000,000
Common stock issued (in shares)	239,942,927	238,432,216
Common stock outstanding (in shares)	211,276,558	233,056,799
Common treasury stock (in shares)	28,666,369	5,375,417

Unaudited Condensed Consolida_3

Unaudited Condensed Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021	Oct. 01, 2022	Oct. 02, 2021
Income Statement [Abstract]
Net sales	$ 245,267	$ 350,624	$ 1,055,169	$ 1,049,409
Cost of sales	137,483	188,170	567,626	559,033
Gross profit	107,784	162,454	487,543	490,376
Selling, general, and administrative expense	50,493	68,807	188,297	207,129
Research, development, and engineering expense	6,142	6,370	16,411	16,187
Acquisition and restructuring related expense	2,288	783	9,499	2,452
Amortization of intangible assets	8,521	8,700	23,828	26,162
Operating income	40,340	77,794	249,508	238,446
Interest expense, net	13,938	11,050	35,105	42,297
Loss on debt extinguishment	0	0	0	9,418
Other (income) expense, net	(234)	2,087	3,056	4,655
Total other expense	13,704	13,137	38,161	56,370
Income from operations before income taxes	26,636	64,657	211,347	182,076
Provision for income taxes	3,549	14,336	47,968	42,072
Net income	$ 23,087	$ 50,321	$ 163,379	$ 140,004
Earnings per share
Basic (in usd per share)	$ 0.11	$ 0.22	$ 0.74	$ 0.24
Diluted (in usd per share)	$ 0.10	$ 0.21	$ 0.70	$ 0.23
Weighted average common shares outstanding
Basic (in shares)	212,905,429	231,339,007	222,009,824	172,820,430
Diluted (in shares)	222,006,615	243,783,501	232,131,395	185,673,814

Unaudited Condensed Consolida_4

Unaudited Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021	Oct. 01, 2022	Oct. 02, 2021
Statement of Comprehensive Income [Abstract]
Net income	$ 23,087	$ 50,321	$ 163,379	$ 140,004
Other comprehensive income (loss):
Foreign currency translation adjustments, gross	(15,589)	(5,312)	(27,069)	(549)
Foreign currency translation adjustments, taxes	0	0	0	(763)
Foreign currency translation adjustments, net	(15,589)	(5,312)	(27,069)	(1,312)
Change in fair value of derivatives, gross	19,053	1,599	33,805	6,524
Change in fair value of derivatives, taxes	(4,763)	(395)	(8,451)	(1,620)
Change in fair value of derivatives, net	14,290	1,204	25,354	4,904
Comprehensive income	$ 21,788	$ 46,213	$ 161,664	$ 143,596

Unaudited Condensed Consolida_5

Unaudited Condensed Consolidated Statements of Changes in Redeemable Stock and Stockholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Treasury Stock	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Redeemable Class A and C Stock	Common Class A	Common Class A Additional Paid-in Capital
Beginning balance (in shares) at Dec. 31, 2020							869,923
Beginning balance at Dec. 31, 2020							$ 594,500
Increase (Decrease) in Temporary Equity [Roll Forward]
Conversion to common stock upon IPO (in shares)							(869,923)
Conversion to common stock upon IPO							$ (594,500)
Issuance of Class A stock (in shares)							186
Repurchase of stock (in shares)							(186)
Ending balance (in shares) at Apr. 03, 2021							0
Ending balance at Apr. 03, 2021							$ 0
Beginning balance (in shares) at Dec. 31, 2020		2,772,900
Beginning balance at Dec. 31, 2020	$ 209,261	$ 3	$ 10,297	$ (3,686)	$ 202,997	$ (350)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	36,867				36,867
Stock-based compensation	10,634		10,634
Issuance of common stock (in shares)		22,200,000
Issuance of stock	351,575	$ 22	351,553					$ 221	$ 221
Repurchase of stock	(214)			(214)
Other comprehensive income	3,650					3,650
Conversion to common stock upon IPO (in shares)		206,147,857
Conversion to common stock upon IPO	594,706	$ 206	680,041		(85,541)
Cash distributions	(41)				(41)
Ending balance (in shares) at Apr. 03, 2021		231,120,757
Ending balance at Apr. 03, 2021	1,206,659	$ 231	1,052,746	(3,900)	154,282	3,300
Beginning balance (in shares) at Dec. 31, 2020							869,923
Beginning balance at Dec. 31, 2020							$ 594,500
Ending balance (in shares) at Oct. 02, 2021							0
Ending balance at Oct. 02, 2021							$ 0
Beginning balance (in shares) at Dec. 31, 2020		2,772,900
Beginning balance at Dec. 31, 2020	209,261	$ 3	10,297	(3,686)	202,997	(350)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	140,004
Ending balance (in shares) at Oct. 02, 2021		231,967,140
Ending balance at Oct. 02, 2021	1,302,298	$ 231	1,055,886	(14,216)	257,155	3,242
Beginning balance (in shares) at Apr. 03, 2021							0
Beginning balance at Apr. 03, 2021							$ 0
Ending balance (in shares) at Jul. 03, 2021							0
Ending balance at Jul. 03, 2021							$ 0
Beginning balance (in shares) at Apr. 03, 2021		231,120,757
Beginning balance at Apr. 03, 2021	1,206,659	$ 231	1,052,746	(3,900)	154,282	3,300
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	52,816				52,816
Stock-based compensation	1,900		1,900
Repurchase of stock (in shares)		(19,500)
Repurchase of stock	(768)			(768)
Other comprehensive income	4,050					4,050
Finalization for IPO conversion	(661)		(397)		(264)
Ending balance (in shares) at Jul. 03, 2021		231,101,257
Ending balance at Jul. 03, 2021	1,263,996	$ 231	1,054,249	(4,668)	206,834	7,350
Ending balance (in shares) at Oct. 02, 2021							0
Ending balance at Oct. 02, 2021							$ 0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	50,321				50,321
Stock-based compensation	774		774
Issuance of common stock (in shares)		1,323,564
Issuance of stock	863		863
Repurchase of stock (in shares)		(457,681)
Repurchase of stock	(9,548)			(9,548)
Other comprehensive income	(4,108)					(4,108)
Ending balance (in shares) at Oct. 02, 2021		231,967,140
Ending balance at Oct. 02, 2021	$ 1,302,298	$ 231	1,055,886	(14,216)	257,155	3,242
Beginning balance (in shares) at Dec. 31, 2021	233,056,799	233,056,799
Beginning balance at Dec. 31, 2021	$ 1,369,513	$ 238	1,058,724	(14,066)	320,875	3,742
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	74,032				74,032
Stock-based compensation	1,641		1,641
Issuance of common stock (in shares)		403,158
Issuance of stock	428	$ 1	427
Repurchase of stock (in shares)		(4,080,000)
Repurchase of stock	(80,784)			(80,784)
Treasury stock purchase for tax withholdings on stock exercises	(23)			(23)
Other comprehensive income	8,113					8,113
Ending balance (in shares) at Apr. 02, 2022		229,379,957
Ending balance at Apr. 02, 2022	$ 1,372,920	$ 239	1,060,792	(94,873)	394,907	11,855
Beginning balance (in shares) at Dec. 31, 2021	233,056,799	233,056,799
Beginning balance at Dec. 31, 2021	$ 1,369,513	$ 238	1,058,724	(14,066)	320,875	3,742
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	$ 163,379
Ending balance (in shares) at Oct. 01, 2022	211,276,558	211,276,558
Ending balance at Oct. 01, 2022	$ 1,196,261	$ 240	1,067,148	(357,408)	484,254	2,027
Beginning balance (in shares) at Apr. 02, 2022		229,379,957
Beginning balance at Apr. 02, 2022	1,372,920	$ 239	1,060,792	(94,873)	394,907	11,855
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	66,260				66,260
Stock-based compensation	1,991		1,991
Issuance of common stock (in shares)		748,247
Issuance of stock	1,331	$ 1	1,330
Repurchase of stock (in shares)		(14,441,118)
Repurchase of stock	(212,352)			(212,352)
Other comprehensive income	(8,529)					(8,529)
Ending balance (in shares) at Jul. 02, 2022		215,687,086
Ending balance at Jul. 02, 2022	1,221,621	$ 240	1,064,113	(307,225)	461,167	3,326
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	23,087				23,087
Stock-based compensation	2,155		2,155
Issuance of common stock (in shares)		359,306
Issuance of stock	880		880
Repurchase of stock (in shares)		(4,769,834)
Repurchase of stock	(50,183)			(50,183)
Other comprehensive income	$ (1,299)					(1,299)
Ending balance (in shares) at Oct. 01, 2022	211,276,558	211,276,558
Ending balance at Oct. 01, 2022	$ 1,196,261	$ 240	$ 1,067,148	$ (357,408)	$ 484,254	$ 2,027

Unaudited Condensed Consolida_6

Unaudited Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021
Cash flows from operating activities
Net income	$ 163,379	$ 140,004
Adjustments to reconcile net income to net cash provided by operating activities
Depreciation	13,931	14,096
Amortization of intangible assets	28,437	30,903
Amortization of deferred debt issuance fees	2,312	2,771
Stock-based compensation	5,787	13,308
Deferred income taxes	(4,221)	(3,014)
Allowance for bad debts	869	584
Loss on debt extinguishment	0	9,418
Loss on disposal of property, plant and equipment	5,550	3,743
Changes in operating assets and liabilities
Accounts receivable	96,874	(9,115)
Inventories	(70,469)	(66,027)
Other current and non-current assets	(16,902)	(10,699)
Accounts payable	(24,472)	9,671
Accrued expenses and other liabilities	(57,411)	63,520
Net cash provided by operating activities	143,664	199,163
Cash flows from investing activities
Purchases of property, plant, and equipment	(23,533)	(19,098)
Purchases of intangibles	0	(818)
Acquisitions, net of cash acquired	(61,337)	0
Proceeds from sale of property, plant, and equipment	4	25
Proceeds from settlements of investment currency hedge	0	719
Net cash used in investing activities	(84,866)	(19,172)
Cash flows from financing activities
Proceeds from issuance of common stock - Initial Public Offering	0	377,400
Costs associated with Initial Public Offering	0	(26,124)
Purchase of common stock for treasury	(343,319)	(10,530)
Cash paid for taxes from share withholdings	(871)	(10,174)
Proceeds from issuance of long-term debt	0	51,659
Debt issuance costs	0	(12,422)
Payments of long-term debt	(7,500)	(367,144)
Proceeds from revolving credit facility	150,000	68,000
Payments on revolving credit facility	(50,000)	(68,000)
Proceeds from issuance of short term debt	8,119	0
Payments of short term debt	(2,849)	0
Other, net	473	522
Net cash (used in) provided by financing activities	(245,947)	3,187
Effect of exchange rate changes on cash and cash equivalents and restricted cash	(5,740)	(1,505)
Change in cash and cash equivalents and restricted cash	(192,889)	181,673
Cash and cash equivalents and restricted cash, beginning of period	265,796	115,294
Cash and cash equivalents and restricted cash, end of period	72,907	296,967
Supplemental disclosures of cash flow information
Cash paid-interest	32,725	53,686
Cash paid-income taxes	93,503	39,242
Equipment financed under finance leases	$ 1,603	$ 0

Nature of Operations and Organi

Nature of Operations and Organization	9 Months Ended
	Oct. 01, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Operations and Organization	Hayward Holdings, Inc. (“Holdings,” the “Company,” “we” or “us”) is a global designer, manufacturer, and marketer of a broad portfolio of pool equipment and associated automation systems. The Company has nine manufacturing facilities worldwide, which are located in North Carolina, Tennessee, Rhode Island, Florida, California, Spain (three) and China, and other facilities in the United States, Canada, France and Australia. Cash flow is impacted by the seasonality of the swimming pool business. Cash flow is usually higher in the second and third quarters d ue to terms of sale to our customers.

Significant Accounting Policies

Significant Accounting Policies	9 Months Ended
	Oct. 01, 2022
Accounting Policies [Abstract]
Significant Accounting Policies	2. Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements of the Company included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The financial statements reflect all adjustments that are, in the opinion of management, necessary for a fair statement of such information. All such adjustments are of a normal recurring nature. Certain information and note disclosures, including a description of significant accounting policies normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), have been condensed or omitted pursuant to such rules and regulations. These interim financial statements should be read in conjunction with the Company’s annual consolidated financial statements and notes thereto for the fiscal year ended December 31, 2021. The results of operations for the three and nine months ended October 1, 2022 are not necessarily indicative of the results for any subsequent periods or the entire fiscal year ending December 31, 2022. The unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. Certain prior-period amounts have been reclassified for comparative purposes to conform to the current presentation. Recent Accounting Pronouncements Not Yet Adopted Reference Rate Reform In March 2020, the Financial Accounting Standards Board (“FASB”) issued guidance that provides optional expedients and exceptions for applying generally accepted accounting principles to contracts, hedging relationships, and other transactions affected by the transition away from reference rates expected to be discontinued to alternative reference rates. The guidance was effective upon issuance and may be applied prospectively to contract modifications made and hedging relationships entered into on or before December 31, 2022. The Company is currently evaluating the potential effects of the adoption of this guidance and has begun to transition some debt instruments to an alternative reference rate (see Note 18 . Subsequent Events). Recently Adopted Accounting Standards Accounting for Leases In February 2016, the FASB issued ASU 2016-02

Revenue

Revenue	9 Months Ended
	Oct. 01, 2022
Revenue from Contract with Customer [Abstract]
Revenue	3. Revenue The following table disaggregates net sales between product groups and geographic regions, respectively (in thousands): Three Months Ended Nine Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Product groups Residential pool $ 223,661 $ 330,898 $ 990,693 $ 990,977 Commercial pool 8,370 7,360 27,262 23,297 Industrial flow control 13,236 12,366 37,214 35,135 Total $ 245,267 $ 350,624 $ 1,055,169 $ 1,049,409 Geographic United States $ 190,849 $ 261,223 $ 795,781 $ 748,726 Canada 12,825 37,013 96,269 114,550 Europe 18,674 32,726 100,062 137,642 Rest of World 22,919 19,662 63,057 48,491 Total international revenue 54,418 89,401 259,388 300,683 Total $ 245,267 $ 350,624 $ 1,055,169 $ 1,049,409

Inventories

Inventories	9 Months Ended
	Oct. 01, 2022
Inventory Disclosure [Abstract]
Inventories	4. Inventories Inventories, net, consist of the following (in thousands): October 1, 2022 December 31, 2021 Raw materials $ 134,413 $ 124,545 Work in progress 18,688 22,669 Finished goods 160,278 86,235 Total $ 313,379 $ 233,449

Accrued Expenses and Other Liab

Accrued Expenses and Other Liabilities	9 Months Ended
	Oct. 01, 2022
Payables and Accruals [Abstract]
Accrued Expenses and Other Liabilities	5. Accrued Expenses and Other Liabilities Accrued expenses and other liabilities consist of the following (in thousands): October 1, 2022 December 31, 2021 Selling, promotional and advertising $ 46,538 $ 41,975 Employee compensation and benefits 18,768 49,552 Warranty reserve 20,524 24,174 Inventory purchases 12,135 18,606 Insurance reserve 10,656 8,842 Deferred income 8,854 8,074 Operating lease liability - short term 8,980 7,546 Business restructuring costs 1,619 1,397 Professional fees 1,657 2,027 Payroll taxes 3,238 4,522 Short-term notes payable 5,270 — Other accrued liabilities 13,772 23,663 Total $ 152,011 $ 190,378 The Company offers warranties on certain of its products and records an accrual for estimated future claims. Such accruals are based on historical experience and management’s estimate of the level of future claims. The following table summarizes the warranty reserve activities (in thousands): Balance at December 31, 2021 $ 24,174 Accrual for warranties issued during the period 9,413 Payments (6,399) Balance at April 2, 2022 27,188 Accrual for warranties issued during the period 8,784 Payments (9,053) Balance at July 2, 2022 26,919 Accrual for warranties issued during the period 6,199 Payments (12,594) Balance at October 1, 2022 $ 20,524 Balance at December 31, 2020 $ 16,412 Accrual for warranties issued during the period 10,109 Payments (4,644) Balance at April 3, 2021 21,877 Accrual for warranties issued during the period 9,850 Payments (7,030) Balance at July 3, 2021 24,697 Accrual for warranties issued during the period 7,796 Payments (8,825) Balance at October 2, 2021 $ 23,668 Warranty expenses for the three and nine months ended October 1, 2022 were $6.2 million and

Income Taxes

Income Taxes	9 Months Ended
	Oct. 01, 2022
Income Tax Disclosure [Abstract]
Income Taxes	6. Income Taxes The Company’s effective tax rate for the three months ended October 1, 2022 and three months ended October 2, 2021 was 13.3% and 22.2%, respectively. The change in the Company’s effective tax rate was primarily due to discrete items resulting from the revaluation of deferred tax liabilities as a result of state tax law changes and the tax benefit resulting from the exercise of stock options. The Company’s effective tax rate for the nine months ended October 1, 2022 and nine months ended October 2, 2021 was 22.7% and 23.1%, respectively. The change in the Company’s effective tax rate was primarily due to discrete items resulting from the state tax law changes and the tax benefit resulting from the exercise of stock options. In addition, the Company's effective tax rate for the nine months ended October 2, 2021 included a benefit for the release of the valuation allowance on the deferred tax assets of the France subsidiary. The Company will recognize a tax benefit in the financial statements for an uncertain tax position only if the Company’s assessment is that the position is “more likely than not” (i.e., a likelihood greater than 50 percent) to be allowed by the tax jurisdiction based solely on the technical merits of the position. The term “tax position” refers to a position in a previously filed tax return or a position expected to be taken in a future tax return that is reflected in measuring current or deferred income tax assets and liabilities for financial reporting purposes. There were no uncertain tax positions at October 1, 2022 or October 2, 2021. In assessing the realizability of deferred tax assets, the Company considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities and projected future taxable income in making this assessment. Management evaluates the need for valuation allowances on the deferred tax assets according to the provisions of ASC 740, Income Taxes . In making this determination, the Company assesses all available evidence (positive and negative) including recent earnings, internally-prepared income tax projections, and historical financial performance.

Long-Term Debt, Net

Long-Term Debt, Net	9 Months Ended
	Oct. 01, 2022
Debt Disclosure [Abstract]
Long-Term Debt, Net	7. Long-Term Debt, Net Long-term debt, net, consists of the following (in thousands): October 1, 2022 December 31, 2021 First Lien Term Facility, due May 28, 2028 $ 987,500 $ 995,000 ABL Revolving Credit Facility 100,000 — Finance lease obligations 7,050 7,780 Subtotal 1,094,550 1,002,780 Less: Current portion of the long-term debt (11,957) (12,155) Less: Unamortized debt issuance costs (15,591) (17,501) Total $ 1,067,002 $ 973,124

Derivatives and Hedging Transac

Derivatives and Hedging Transactions	9 Months Ended
	Oct. 01, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivatives and Hedging Transactions	8. Derivatives and Hedging Transactions The Company holds derivative financial instruments for the purpose of hedging the risks of certain identifiable and anticipated transactions. In general, the types of risks hedged are those relating to the variability of future earnings and cash flows caused by movements in foreign currency exchange rates and interest rates. In hedging these transactions, the Company holds the following types of derivatives in the normal course of business. Interest Rate Swap Agreements The Company enters into interest rate swap agreements designated as cash flow hedges to manage its interest rate risk related to its variable rate debt obligations. As cash flow hedges, unrealized gains are recognized as assets while unrealized losses are recognized as liabilities. The interest rate swap agreements are highly cor related to the changes in interest rates to which the Company is exposed. Unrealized gains and losses on these instruments have been designated as effective and as such, the related gains or losses have been recorded as a component of accumulated other comprehensive income (loss), net of tax. Other comprehensive income or loss is reclassified into current period income when the hedged interest expense affects earnings. In the first quarter of 2022, the Company entered into interest rate swap agreements that effectively convert an initial notional amount of $500.0 million of its variable-rate debt obligations to fixed-rate debt. As of October 1, 2022 and October 2, 2021, t he Company was a party to interest rate swap agreements of a notional amount of $500.0 million and zero , respectively. Foreign Exchange Contracts The Company enters into foreign exchange contracts to manage risks associated with foreign currency transactions and future variability of intercompany cash flows arising from those transactions that may be adversely affected by changes in exchange rates. These contracts are marked-to-market with the resulting gains and losses recognized in earnings. For the three months ended October 1, 2022 and October 2, 2021, the Company recognized $4.5 million of income and $0.4 million of expense, respectively, and for the nine months ended October 1, 2022 and October 2, 2021, the Company recognized $3.1 million of income and $0.7 million of expense, respectively, in Other (income) expense, net, related to foreign exchange contracts. Net Investment Hedges The Company uses net investment hedges to minimize its exposure to variability in the foreign currency translation of its net investment in one of its international subsidiaries. The effective portion of changes in the fair value of the hedging instrument is recognized in accumulated other comprehensive income (loss) consistent with the related translation gains and losses of the hedged net investment. There were no outstanding net investment hedges as of October 1, 2022 or December 31, 2021. Th e following table s ummarizes the gross fair values and location of the significant derivative instruments within Company's unaudited condensed consolidated balance sheets (in thousands): Other Current Assets Other Non-Current Assets Accrued Expenses and Other Liabilities Other Current Assets October 1, 2022 December 31, 2021 Interest rate swaps $ — $ 33,806 $ — $ — Foreign exchange contracts 4,025 — — 410 Total $ 4,025 $ 33,806 $ — $ 410 The following tables present the effects of derivative instruments by contract type in accumulated other comprehensive income ( “ AOCI ” ) in the Company's unaudited condensed consolidated statements of comprehensive income (in thousands): Gain (Loss) Recognized in AOCI Gain (Loss) Reclassified From AOCI to Earnings Location of Gain (Loss) Reclassified from AOCI into Earnings Three Months Ended Three Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Interest rate swaps (1) $ 14,290 $ 4,860 $ 122 $ (6,598) Interest Expense Net investment hedge — 1,268 — — N/A Total $ 14,290 $ 6,128 $ 122 $ (6,598) (1) The Company estimates that $11.2 million of unrealized gains will be reclassified from accumulated other comprehensive income (loss) into earnings in the next twelve months. Gain (Loss) Recognized in AOCI Gain (Loss) Reclassified From AOCI to Earnings Location of Gain (loss) Reclassified from AOCI into Earnings Nine Months Ended Nine Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Interest rate swaps $ 25,354 $ 1,185 $ (2,127) $ (1,696) Interest Expense Net investment hedge — — — — N/A Total $ 25,354 $ 1,185 $ (2,127) $ (1,696)

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Oct. 01, 2022
Fair Value Disclosures [Abstract]
Fair Value Measurements	9. Fair Value Measurements The Company is required to disclose the estimated fair values of all financial instruments, even if they are not carried at their fair value. The fair values of financial instruments are estimates based upon market conditions and perceived risks. These estimates require management’s judgment and may not be indicative of the future fair values of the assets and liabilities. The Company’s financial instruments include cash and cash equivalents, accounts receivable, and accounts payable. The carrying amount of these instruments approximate fair value because of their short-term nature. The Company’s interest rate swaps, foreign exchange contracts, and net investment hedges are measured in the financial statements at fair value on a recurring basis. The fair values of the interest rate swaps are estimated using industry standard valuation models using market-based observable inputs, including interest rate curves. The fair value of net investment hedges and foreign exchanges contracts are estimated using readily observable market inputs, such as quotations on forward foreign exchange points and foreign interest rates. These instruments are customary, over-the-counter contracts with various bank counterparties. Accordingly, the fair value measurements of the interest rate swaps, foreign exchange contracts and net investment hedges are categorized as Level 2. As of October 1, 2022, the Company’s long-term debt instruments had a carrying value of $987.5 million (excluding finance leases and the ABL Facility) and a fair value of approximately $930.7 million. As of December 31, 2021, the Company’s long-term debt instruments had a carrying value of $995.0 million and a fair value of approximately $991.9 million. The estimated fair value of the long-term debt is based on observable quoted prices in active markets for similar liabilities and is classified as a Level 2 input.

Segments and Related Informatio

Segments and Related Information	9 Months Ended
	Oct. 01, 2022
Segment Reporting [Abstract]
Segments and Related Information	10. Segments and Related Information The Company’s operational and management structure is aligned to its key geographies and go-to market strategy resulting in two reportable segments: North America (“NAM”) and Europe & Rest of World (“E&RW”). Operating segments have not been aggregated to form the reportable segments. The Company determined its reportable segments based on how the Company’s Chief Operating Decision Maker (“CODM”) reviews the Company’s operating results in assessing performance and allocating resources. The CODM reviews net sales, gross profit and segment income for each of the reportable segments. Gross profit is defined as net sales less cost of sales incurred by the segment. The CODM does not evaluate reportable segments using asset information as these are managed on an enterprise-wide basis. Segment income is defined as segment gross profit less sales, general, and administrative expenses (“SG&A”) and research, development, and engineering expense (“RD&E”). The accounting policies of the segments are the same as those of Holdings. The North America segment manufactures and sells residential and commercial swimming pool equipment and supplies as well as equipment that controls the flow of fluids. This segment is composed of three reporting units. The Europe & Rest of World segment manufactures and sells residential and commercial swimming pool equipment and supplies. This segment is composed of two reporting units. The Company sells its products primarily through distributors and retailers. Financial information by reportable segment, net of intercompany transactions, is included in the following summary (in thousands): Three Months Ended Three Months Ended October 1, 2022 October 2, 2021 North America Europe & Rest of World Total North America Europe & Rest of World Total External net sales $ 203,674 $ 41,593 $ 245,267 $ 298,236 $ 52,388 $ 350,624 Segment income 48,704 8,789 57,493 91,920 10,582 102,502 Capital expenditures (1) 8,035 387 8,422 7,762 1,005 8,767 Depreciation (1) 3,853 196 4,049 4,253 175 4,428 Intersegment sales 3,759 47 3,806 5,897 72 5,969 Nine Months Ended Nine Months Ended October 1, 2022 October 2, 2021 North America Europe & Rest of World Total North America Europe & Rest of World Total External net sales $ 892,050 $ 163,119 $ 1,055,169 $ 863,276 $ 186,133 $ 1,049,409 Segment income 267,854 38,990 306,844 267,020 37,828 304,848 Capital expenditures (1) 18,611 1,977 20,588 17,362 1,305 18,667 Depreciation (1) 12,435 571 13,006 12,653 843 13,496 Intersegment sales 27,437 401 27,838 25,509 343 25,852 (1) Capital expenditures and depreciation associated with Corporate are not included in these totals. The following table presents a reconciliation of segment income to income from operations before income taxes (in thousands): Three Months Ended Nine Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Total segment income $ 57,493 $ 102,502 $ 306,844 $ 304,848 Corporate expense, net 6,344 15,225 24,009 37,788 Acquisition and restructuring related expense 2,288 783 9,499 2,452 Amortization of intangible assets 8,521 8,700 23,828 26,162 Operating income 40,340 77,794 249,508 238,446 Interest expense, net 13,938 11,050 35,105 42,297 Loss on debt extinguishment — — — 9,418 Other (income) expense, net (234) 2,087 3,056 4,655 Total other expense 13,704 13,137 38,161 56,370 Income from operations before income taxes $ 26,636 $ 64,657 $ 211,347 $ 182,076

Earnings Per Share

Earnings Per Share	9 Months Ended
	Oct. 01, 2022
Earnings Per Share [Abstract]
Earnings Per Share	11. Earnings Per Share The following table sets forth the computation of basic and diluted net income per share attributable to common stockholders (in thousands, except share and per share data): Three Months Ended Nine Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Net income $ 23,087 $ 50,321 $ 163,379 $ 140,004 Deemed Dividend - Class A stock redemption (a) — — — (85,541) Dividends paid to Class C stockholders — — — (41) Net income attributable to Class A and common stockholders, basic (b) 23,087 50,321 163,379 54,422 Net income attributable to Class A holders, basic — — — 12,733 Net income attributable to common stockholders, basic $ 23,087 $ 50,321 $ 163,379 $ 41,689 Net income attributable to Class A holders, diluted — $ — $ — $ 12,046 Net income attributable to common stockholders, diluted $ 23,087 $ 50,321 $ 163,379 $ 42,376 Weighted average number of common shares outstanding, basic 212,905,429 231,339,007 222,009,824 172,820,430 Effect of dilutive securities (c) 9,101,186 12,444,494 10,121,571 12,853,384 Weighted average number of common shares outstanding, diluted 222,006,615 243,783,501 232,131,395 185,673,814 Earnings per share attributable to common stockholders, basic $ 0.11 $ 0.22 $ 0.74 $ 0.24 Earnings per share attributable to common stockholders, diluted $ 0.10 $ 0.21 $ 0.70 $ 0.23 (a) For the nine months ended October 2, 2021, the non-cash deemed dividend represents the beneficial conversion feature related to the redemption of Class A shares for common shares as a consequence of the Company's initial public offering (the “ IPO ” ). (b) Net income attributable to Class A stockholders is impacted by the total shares of participating securities, basic and diluted, on an as converted basis. (c) For the three months ended October 1, 2022 and October 2, 2021 there were potential common shares totaling approximately 2.5 million and 1.2 million, respectively, and for the nine months ended October 1, 2022 and October 2, 2021, there were potential common shares totaling approximately 2.2 million and 0.9 million, respectively, that were excluded from the computation of diluted EPS as the effect of inclusion of such shares would have been anti-dilutive.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Oct. 01, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	12. Commitments and Contingencies Litigation

Leases

Leases	9 Months Ended
	Oct. 01, 2022
Leases [Abstract]
Leases	13. Leases The Company’s operating and finance lease portfolio is described in Note 15. Leases of Notes to Consolidated Financial Statements in our Annual Report on Form 10-K for the year ended December 31, 2021. Supplemental cash flow information related to leases was as follows (in thousands): Nine Months Ended October 1, 2022 October 2, 2021 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 11,941 $ 3,640 Finance leases 1,531 — Supplemental balance sheet information related to leases was as follows (in thousands): October 1, 2022 December 31, 2021 Operating leases Other non-current assets $ 67,106 $ 63,611 Accrued expenses and other liabilities 8,980 7,546 Other non-current liabilities 66,192 61,565 Total operating lease liabilities 75,172 69,111 Finance leases Property, plant and equipment 10,732 9,280 Accumulated depreciation (1,811) (1,262) Property, plant and equipment, net 8,921 8,017 Current maturities of long-term debt 1,957 2,155 Long-term debt 5,093 5,625 Total finance lease liabilities $ 7,050 $ 7,780
Leases	13. Leases The Company’s operating and finance lease portfolio is described in Note 15. Leases of Notes to Consolidated Financial Statements in our Annual Report on Form 10-K for the year ended December 31, 2021. Supplemental cash flow information related to leases was as follows (in thousands): Nine Months Ended October 1, 2022 October 2, 2021 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 11,941 $ 3,640 Finance leases 1,531 — Supplemental balance sheet information related to leases was as follows (in thousands): October 1, 2022 December 31, 2021 Operating leases Other non-current assets $ 67,106 $ 63,611 Accrued expenses and other liabilities 8,980 7,546 Other non-current liabilities 66,192 61,565 Total operating lease liabilities 75,172 69,111 Finance leases Property, plant and equipment 10,732 9,280 Accumulated depreciation (1,811) (1,262) Property, plant and equipment, net 8,921 8,017 Current maturities of long-term debt 1,957 2,155 Long-term debt 5,093 5,625 Total finance lease liabilities $ 7,050 $ 7,780

Stockholders_ Equity

Stockholders’ Equity	9 Months Ended
	Oct. 01, 2022
Equity [Abstract]
Stockholders’ Equity	14. Stockholders’ Equity Preferred Stock The Company’s Second Restated Certificate of Incorporation authorizes the Company to issue up to 100,000,000 shares of preferred stock, $0.001 value per share, all of which is undesignated. Common Stock The Company’s Second Restated Certificate of Incorporation authorizes the Company to issue up to 750,000,000 shares of Common Stock, $0.001 value per share. Each share of Common Stock is entitled to one vote on all matters submitted to a vote of the Company’s stockholders. The holders of Common Stock are entitled to receive dividends, if any, as may be declared by the board of directors. Dividends paid For the three and nine months ended October 1, 2022, no dividend was declared nor paid to the Company's common stockholders. Share Repurchases As part of the Company’s previously announced $450 million share repurchase program, on January 24, 2022, the Company agreed to repurchase 4.08 million shares of common stock from certain affiliates of one of the Company’s controlling stockholders, CCMP Capital Advisors, LP (“CCMP”), at a price per share of $19.80, for an aggregate consideration of approximately $81 million. The price per share was approved by an independent committee of the board of the directors and is the same price at which the certain affiliates of the Company's controlling stockholders (collectively, the “Sponsors”), sold their shares in a block trade in compliance with Rule 144. Closing of this share repurchase occurred on March 11, 2022. On May 2, 2022, the Company entered into an underwriting agreement (the “Underwriting Agreement”) by and among the Company, the underwriters named therein (the “Underwriters”) and the selling stockholders listed on Schedule B thereto (the “Selling Stockholders”), relating to the underwritten offering of Company common stock from the Selling Stockholders (the “Underwritten Offering”). As part of the Company’s previously announced $450 million share repurchase program, the Company agreed to purchase from the Underwriters 8 million shares being sold in the Underwritten Offering by certain affiliates of one of the Company’s controlling stockholders, CCMP, to the Underwriters, at a price per share of approximately $13.88, for an aggregate consideration of approximately $111 million. The price per share was approved by an independent committee of the board of the directors and is the same price at which the Underwriters agreed to purchase shares from the Selling Stockholders in the Underwritten Offering. Closing of this share repurchase occurred on May 5, 2022. On July 26, 2022, the board of directors renewed the initial authorization of its share repurchase program such that the Company is authorized, commencing at that time, to repurchase from time to time up to an aggregate of $450 million of its common stock with such authority expiring on July 26, 2025. During the three months ended October 1, 2022, the Company repurchased approximately 4.8 million shares of common stock on the open market at an average price per share of $10.48, for an aggregate consideration of approximately $50.0 million, as part of the Company’s previously announced share repurchase program. For the nine months ended October 1, 2022, the Company repurchased approximately 11.2 million shares of common stock in the open market at an average price per share of $13.49, for an aggregate consideration of approximately $151.3 million, as part of the Company's previously announced share repurchase program. For the nine months ended October 1, 2022, the Company has repurchased approximately 23.3 million shares of common stock in the open market and in privately negotiated transactions for an aggregate consideration of approximately $343.1 million. As of October 1, 2022, $400.0 million remained available for additional share repurchases under the program.

Stock-based Compensation

Stock-based Compensation	9 Months Ended
	Oct. 01, 2022
Share-Based Payment Arrangement [Abstract]
Stock-based Compensation	15. Stock-based Compensation Stock-based compensation expense recorded in the unaudited condensed consolidated statements of operations for equity-classified stock-based awards for the three and nine months ended October 1, 2022 was $2.2 million and $5.8 million, respectively, and $0.8 million and $13.3 million, respectively, for the three and nine months ended October 2, 2021. The Company has established two equity incentive plans, the 2021 Equity Incentive Plan and the 2017 Equity Incentive Plan. The Company no longer issues awards under the 2017 Equity Incentive Plan. 2021 Equity Incentive Plan In March 2021, the Company adopted the 2021 Equity Incentive Plan (the “2021 Plan”). Under the 2021 Plan, up to 13,737,500 shares of common stock may be granted to employees, directors and consultants in the form of stock options, restricted stock units and other stock-based awards. The terms of awards granted under the 2021 Plan are determined by the Compensation Committee of the Board of Directors, subject to the provisions of the 2021 Plan. Options granted under the 2021 Plan expire no later than ten years from the date of grant. The vesting period of stock options and restricted stock units granted under the 2021 Plan is three years from the date of grant. In 2022, the Company began utilizing performance-based stock units (“PSUs”) as part of its equity awards program for certain senior management and executive officers. The vesting of the PSUs will be tied to organic net revenue growth and adjusted EBITDA margin, each with a relative weighting of 50%. The PSUs will be measured over 3-year performance period with a minimum of 50% of the target awarded PSUs to be earned for threshold performance and a maximum of 200% of the target awarded PSUs to be earned for maximum performance. During the three months ended October 1, 2022, the Company granted 66,946 options and 92,838 restricted stock units under the 2021 plan with a fair value per share of $4.11 and $11.67 respectively. During the nine months ended October 1, 2022, the Company granted 1,145,845 options, 228,368 restricted stock units and 101,215 PSUs under the 2021 Plan with a weighted-average grant-date fair value per share of $5.43, $15.12 and $16.76, respectively. The Company determined the fair value of granted stock options at the date of grant using the Black-Scholes option-pricing model. The principal assumptions used in the Black-Scholes option-pricing model for the stock options granted on March 3, 2022 and July 29, 2022 were as follows: March 3, 2022 July 29, 2022 Risk-free interest rate 1.78 % 2.70 % Expected life in years 6 6 Expected dividend yield — % — % Expected volatility 29.61 % 30.73 % The risk-free interest rate was based on the U.S. Treasury yield curve at date of grant over the expected term of these stock options. The expected volatility was based upon comparable public company historical volatility. The expected life was based on the average of the weighted-average vesting period and the contractual term of the stock option awards by utilizing the “simplified method”, as prescribed in the SEC’s Staff Accounting Bulletin (SAB) No. 107, as the Company does not have sufficient available historical data to estimate the expected term of these stock option awards.

Acquisitions and Restructuring

Acquisitions and Restructuring	9 Months Ended
	Oct. 01, 2022
Acquisition, Restructuring and Related Activities [Abstract]
Acquisitions and Restructuring	16. Acquisitions and Restructuring Acquisition and restructuring related expense, net consists of the following (in thousands): Three Months Ended Nine Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Business restructuring costs $ 2,288 $ 783 $ 6,276 $ 2,452 Acquisition transaction and integration costs — — 3,223 — Total $ 2,288 $ 783 $ 9,499 $ 2,452 On March 29, 2021, the Company announced the relocation of its corporate office functions to Charlotte, North Carolina from Berkeley Heights, New Jersey. As of October 1, 2022, the Company has largely completed the relocation. The estimated severance and retention costs pertaining to this relocation are approximately $5.9 million. The impacted employees must remain with the Company through their planned exit date to receive each of the severance and retention amounts. Such costs are accounted for in accordance with ASC 420, Exit or Disposal Cost Obligations . The Company incurred approximately $4.2 million of expense related to the relocation during the nine months ended October 1, 2022. During the three months ended October 1, 2022, the Company initiated an enterprise cost reduction program to address the current market dynamics and maintain the Company’s strong financial metrics. The initial focus was on a reduction of variable costs with specific attention to eliminating cost inefficiencies in our supply chain and reducing variable labor in our production cost base. In addition to these variable cost reductions, the Company identified structural selling, general and administrative cost reduction opportunities with initial savings commencing in the third quarter. For the three months ended October 1, 2022, the Company incurred $1.3 million of expense related to the cost reduction program. These include severance and employee benefit costs, as well as other direct separation benefit costs. The following tables summarize the status of the Company's restructuring related expense and related liability balances (in thousands): 2022 Activity Liability as of December 31, 2021 Costs Recognized Cash Payments Liability as of October 1, 2022 One-time termination benefits $ 1,035 $ 3,609 $ (2,677) $ 1,967 Facility-related 27 337 (364) — Other (1) 4,374 2,330 (4,981) 1,723 Total $ 5,436 $ 6,276 $ (8,022) $ 3,690 (1) ‘Other’ restructuring related expense primarily consists of expenses pertaining to the relocation of the corporate headquarters. 2021 Activity Liability as of December 31, 2020 Costs Recognized Cash Payments Liability as of October 2, 2021 One-time termination benefits $ — $ 749 $ (749) $ — Facility-related — 1,635 (1,063) 572 Other — 68 (68) — Total Restructuring $ — $ 2,452 $ (1,880) $ 572 Restructuring costs are included within acquisition and restructuring related costs on the Company’s unaudited condensed consolidated statements of operations, while the restructuring liability is included as a component of accrued expenses and other liabilities on the Company’s unaudited condensed consolidated balance sheets. Acquisitions On June 2, 2022, the Company acquired the specialty lighting business of Halco Lighting Technologies, LLC. The acquired business includes a robust portfolio of lighting solutions serving the residential and commercial pool, spa, fountain, and landscape lighting market segments. The acquisition is included in our North America segment. The net acquisition cost was $59.7 million. The purchase price was funded with proceeds from the ABL Facility and cash on hand. For the nine months ended October 1, 2022, transaction expenses recognized for the acquisition were $3.1 million. These expenses are included within acquisition and restructuring related costs on the Company’s unaudited condensed consolidated statements of operations. The allocation of purchase price is still preliminary as the Company finalizes aspects of the valuation including intangible, inventory and fixed asset valuations. Preliminary estimates will be finalized within one year of the date of acquisition. The following table summarizes the consideration transferred and the preliminary allocation of the purchase price among the assets acquired and liabilities assumed, including measurement period adjustments recorded through October 1, 2022 (in thousands): Preliminary Allocation Revised Preliminary Allocation Measurement Period Adjustments Assets Accounts receivable $ 3,905 $ — $ 3,905 Inventory 16,465 3,324 19,789 Other current assets 521 — 521 Property, plant and equipment 187 — 187 Goodwill 6,740 6,226 12,966 Identifiable intangible assets, net 39,350 (9,550) 29,800 Other noncurrent assets 13 — 13 Less: Liabilities assumed Accounts payable (6,091) — (6,091) Accrued liabilities (1,430) — (1,430) Net assets acquired $ 59,660 $ — $ 59,660 The following table summarizes the identifiable intangible assets, net and their useful lives. The weighted average amortization period for the acquired intangible assets is 13.2 years. Useful life Amount (in years) (in thousands) Customer relationships 15 $ 17,100 Tradename 15 3,400 Developed technology 10 7,900 Noncompete agreements 5 1,400 Total intangible assets with definite lives $ 29,800 Goodwill is a result of the expected synergies and cross-selling opportunities this acquisition is expected to bring as well as the expected growth potential from the integration of the specialty lighting products into Hayward’s OmniLogic automation technology. The goodwill balance has been recorded to the North America reportable segment and is deductible for tax purposes.

Related Party Transactions

Related Party Transactions	9 Months Ended
	Oct. 01, 2022
Related Party Transactions [Abstract]
Related Party Transactions	17. Related-Party Transactions Other than the stock repurchases described in Note 14. Stockholders’ Equity, the Company did not incur any significant related party transactions for the three and nine months ended October 1, 2022. Prior to the IPO in March 2021, the Company incurred management fees to certain affiliates of the Company's controlling stockholders (the “Sponsors”) in the amount of $0.2 million for the nine months ended October 2, 2021. In addition, $41 thousand in Class C dividends were incurred to one Sponsor in lieu of management fees for the nine months ended October 2, 2021.

Subsequent Events

Subsequent Events	9 Months Ended
	Oct. 01, 2022
Subsequent Events [Abstract]
Subsequent Events	18. Subsequent Events On October 7, 2022, the Company entered into the Third Amendment to its existing ABL Revolving Credit Facility (the “ABL Facility”) to include a $35 million First-In, Last-Out Sublimit (“FILO Sublimit”) and to replace the LIBOR based reference rate with an adjusted term Secured Overnight Financing Rate (“SOFR”). The borrowings under the ABL Facility bear interest at a rate equal to SOFR or a base rate plus a margin of between 1.25% to 1.75% or 0.25% to 0.75%, respectively, while the FILO Sublimit borrowings bear interest at a rate equal to SOFR or a base rate plus a margin of between 2.25% to 2.75% or 1.25% to 1.75%, respectively.

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	9 Months Ended
	Oct. 01, 2022
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements of the Company included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The financial statements reflect all adjustments that are, in the opinion of management, necessary for a fair statement of such information. All such adjustments are of a normal recurring nature. Certain information and note disclosures, including a description of significant accounting policies normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), have been condensed or omitted pursuant to such rules and regulations. These interim financial statements should be read in conjunction with the Company’s annual consolidated financial statements and notes thereto for the fiscal year ended December 31, 2021. The results of operations for the three and nine months ended October 1, 2022 are not necessarily indicative of the results for any subsequent periods or the entire fiscal year ending December 31, 2022.
Recent Accounting Pronouncements Not Yet Adopted and Recently Adopted Accounting Standards	Recent Accounting Pronouncements Not Yet Adopted Reference Rate Reform In March 2020, the Financial Accounting Standards Board (“FASB”) issued guidance that provides optional expedients and exceptions for applying generally accepted accounting principles to contracts, hedging relationships, and other transactions affected by the transition away from reference rates expected to be discontinued to alternative reference rates. The guidance was effective upon issuance and may be applied prospectively to contract modifications made and hedging relationships entered into on or before December 31, 2022. The Company is currently evaluating the potential effects of the adoption of this guidance and has begun to transition some debt instruments to an alternative reference rate (see Note 18 . Subsequent Events). Recently Adopted Accounting Standards Accounting for Leases In February 2016, the FASB issued ASU 2016-02

Revenue (Tables)

Revenue (Tables)	9 Months Ended
	Oct. 01, 2022
Revenue from Contract with Customer [Abstract]
Schedule of Net Sales by Product Groups	The following table disaggregates net sales between product groups and geographic regions, respectively (in thousands): Three Months Ended Nine Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Product groups Residential pool $ 223,661 $ 330,898 $ 990,693 $ 990,977 Commercial pool 8,370 7,360 27,262 23,297 Industrial flow control 13,236 12,366 37,214 35,135 Total $ 245,267 $ 350,624 $ 1,055,169 $ 1,049,409 Geographic United States $ 190,849 $ 261,223 $ 795,781 $ 748,726 Canada 12,825 37,013 96,269 114,550 Europe 18,674 32,726 100,062 137,642 Rest of World 22,919 19,662 63,057 48,491 Total international revenue 54,418 89,401 259,388 300,683 Total $ 245,267 $ 350,624 $ 1,055,169 $ 1,049,409
Schedule of Net Sales by Geographic Destinations	The following table disaggregates net sales between product groups and geographic regions, respectively (in thousands): Three Months Ended Nine Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Product groups Residential pool $ 223,661 $ 330,898 $ 990,693 $ 990,977 Commercial pool 8,370 7,360 27,262 23,297 Industrial flow control 13,236 12,366 37,214 35,135 Total $ 245,267 $ 350,624 $ 1,055,169 $ 1,049,409 Geographic United States $ 190,849 $ 261,223 $ 795,781 $ 748,726 Canada 12,825 37,013 96,269 114,550 Europe 18,674 32,726 100,062 137,642 Rest of World 22,919 19,662 63,057 48,491 Total international revenue 54,418 89,401 259,388 300,683 Total $ 245,267 $ 350,624 $ 1,055,169 $ 1,049,409

Inventories (Tables)

Inventories (Tables)	9 Months Ended
	Oct. 01, 2022
Inventory Disclosure [Abstract]
Schedule of Inventories, Net	Inventories, net, consist of the following (in thousands): October 1, 2022 December 31, 2021 Raw materials $ 134,413 $ 124,545 Work in progress 18,688 22,669 Finished goods 160,278 86,235 Total $ 313,379 $ 233,449

Accrued Expenses and Other Li_2

Accrued Expenses and Other Liabilities (Tables)	9 Months Ended
	Oct. 01, 2022
Payables and Accruals [Abstract]
Schedule of Accrued Liabilities and Other Current Liabilities	Accrued expenses and other liabilities consist of the following (in thousands): October 1, 2022 December 31, 2021 Selling, promotional and advertising $ 46,538 $ 41,975 Employee compensation and benefits 18,768 49,552 Warranty reserve 20,524 24,174 Inventory purchases 12,135 18,606 Insurance reserve 10,656 8,842 Deferred income 8,854 8,074 Operating lease liability - short term 8,980 7,546 Business restructuring costs 1,619 1,397 Professional fees 1,657 2,027 Payroll taxes 3,238 4,522 Short-term notes payable 5,270 — Other accrued liabilities 13,772 23,663 Total $ 152,011 $ 190,378
Schedule of Change in Warranty Reserve	The following table summarizes the warranty reserve activities (in thousands): Balance at December 31, 2021 $ 24,174 Accrual for warranties issued during the period 9,413 Payments (6,399) Balance at April 2, 2022 27,188 Accrual for warranties issued during the period 8,784 Payments (9,053) Balance at July 2, 2022 26,919 Accrual for warranties issued during the period 6,199 Payments (12,594) Balance at October 1, 2022 $ 20,524 Balance at December 31, 2020 $ 16,412 Accrual for warranties issued during the period 10,109 Payments (4,644) Balance at April 3, 2021 21,877 Accrual for warranties issued during the period 9,850 Payments (7,030) Balance at July 3, 2021 24,697 Accrual for warranties issued during the period 7,796 Payments (8,825) Balance at October 2, 2021 $ 23,668

Long-Term Debt, Net (Tables)

Long-Term Debt, Net (Tables)	9 Months Ended
	Oct. 01, 2022
Debt Disclosure [Abstract]
Schedule of Long-term Debt	Long-term debt, net, consists of the following (in thousands): October 1, 2022 December 31, 2021 First Lien Term Facility, due May 28, 2028 $ 987,500 $ 995,000 ABL Revolving Credit Facility 100,000 — Finance lease obligations 7,050 7,780 Subtotal 1,094,550 1,002,780 Less: Current portion of the long-term debt (11,957) (12,155) Less: Unamortized debt issuance costs (15,591) (17,501) Total $ 1,067,002 $ 973,124

Derivatives and Hedging Trans_2

Derivatives and Hedging Transactions (Tables)	9 Months Ended
	Oct. 01, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Effect of Derivative Instruments in the Statement of Financial Position and Operations and Comprehensive Income (Loss)	Th e following table s ummarizes the gross fair values and location of the significant derivative instruments within Company's unaudited condensed consolidated balance sheets (in thousands): Other Current Assets Other Non-Current Assets Accrued Expenses and Other Liabilities Other Current Assets October 1, 2022 December 31, 2021 Interest rate swaps $ — $ 33,806 $ — $ — Foreign exchange contracts 4,025 — — 410 Total $ 4,025 $ 33,806 $ — $ 410 The following tables present the effects of derivative instruments by contract type in accumulated other comprehensive income ( “ AOCI ” ) in the Company's unaudited condensed consolidated statements of comprehensive income (in thousands): Gain (Loss) Recognized in AOCI Gain (Loss) Reclassified From AOCI to Earnings Location of Gain (Loss) Reclassified from AOCI into Earnings Three Months Ended Three Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Interest rate swaps (1) $ 14,290 $ 4,860 $ 122 $ (6,598) Interest Expense Net investment hedge — 1,268 — — N/A Total $ 14,290 $ 6,128 $ 122 $ (6,598) (1) The Company estimates that $11.2 million of unrealized gains will be reclassified from accumulated other comprehensive income (loss) into earnings in the next twelve months. Gain (Loss) Recognized in AOCI Gain (Loss) Reclassified From AOCI to Earnings Location of Gain (loss) Reclassified from AOCI into Earnings Nine Months Ended Nine Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Interest rate swaps $ 25,354 $ 1,185 $ (2,127) $ (1,696) Interest Expense Net investment hedge — — — — N/A Total $ 25,354 $ 1,185 $ (2,127) $ (1,696)

Segments and Related Informat_2

Segments and Related Information (Tables)	9 Months Ended
	Oct. 01, 2022
Segment Reporting [Abstract]
Schedule of Segment Reporting Information, by Segment	The Company sells its products primarily through distributors and retailers. Financial information by reportable segment, net of intercompany transactions, is included in the following summary (in thousands): Three Months Ended Three Months Ended October 1, 2022 October 2, 2021 North America Europe & Rest of World Total North America Europe & Rest of World Total External net sales $ 203,674 $ 41,593 $ 245,267 $ 298,236 $ 52,388 $ 350,624 Segment income 48,704 8,789 57,493 91,920 10,582 102,502 Capital expenditures (1) 8,035 387 8,422 7,762 1,005 8,767 Depreciation (1) 3,853 196 4,049 4,253 175 4,428 Intersegment sales 3,759 47 3,806 5,897 72 5,969 Nine Months Ended Nine Months Ended October 1, 2022 October 2, 2021 North America Europe & Rest of World Total North America Europe & Rest of World Total External net sales $ 892,050 $ 163,119 $ 1,055,169 $ 863,276 $ 186,133 $ 1,049,409 Segment income 267,854 38,990 306,844 267,020 37,828 304,848 Capital expenditures (1) 18,611 1,977 20,588 17,362 1,305 18,667 Depreciation (1) 12,435 571 13,006 12,653 843 13,496 Intersegment sales 27,437 401 27,838 25,509 343 25,852 (1) Capital expenditures and depreciation associated with Corporate are not included in these totals. The following table presents a reconciliation of segment income to income from operations before income taxes (in thousands): Three Months Ended Nine Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Total segment income $ 57,493 $ 102,502 $ 306,844 $ 304,848 Corporate expense, net 6,344 15,225 24,009 37,788 Acquisition and restructuring related expense 2,288 783 9,499 2,452 Amortization of intangible assets 8,521 8,700 23,828 26,162 Operating income 40,340 77,794 249,508 238,446 Interest expense, net 13,938 11,050 35,105 42,297 Loss on debt extinguishment — — — 9,418 Other (income) expense, net (234) 2,087 3,056 4,655 Total other expense 13,704 13,137 38,161 56,370 Income from operations before income taxes $ 26,636 $ 64,657 $ 211,347 $ 182,076

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Oct. 01, 2022
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table sets forth the computation of basic and diluted net income per share attributable to common stockholders (in thousands, except share and per share data): Three Months Ended Nine Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Net income $ 23,087 $ 50,321 $ 163,379 $ 140,004 Deemed Dividend - Class A stock redemption (a) — — — (85,541) Dividends paid to Class C stockholders — — — (41) Net income attributable to Class A and common stockholders, basic (b) 23,087 50,321 163,379 54,422 Net income attributable to Class A holders, basic — — — 12,733 Net income attributable to common stockholders, basic $ 23,087 $ 50,321 $ 163,379 $ 41,689 Net income attributable to Class A holders, diluted — $ — $ — $ 12,046 Net income attributable to common stockholders, diluted $ 23,087 $ 50,321 $ 163,379 $ 42,376 Weighted average number of common shares outstanding, basic 212,905,429 231,339,007 222,009,824 172,820,430 Effect of dilutive securities (c) 9,101,186 12,444,494 10,121,571 12,853,384 Weighted average number of common shares outstanding, diluted 222,006,615 243,783,501 232,131,395 185,673,814 Earnings per share attributable to common stockholders, basic $ 0.11 $ 0.22 $ 0.74 $ 0.24 Earnings per share attributable to common stockholders, diluted $ 0.10 $ 0.21 $ 0.70 $ 0.23 (a) For the nine months ended October 2, 2021, the non-cash deemed dividend represents the beneficial conversion feature related to the redemption of Class A shares for common shares as a consequence of the Company's initial public offering (the “ IPO ” ). (b) Net income attributable to Class A stockholders is impacted by the total shares of participating securities, basic and diluted, on an as converted basis. (c) For the three months ended October 1, 2022 and October 2, 2021 there were potential common shares totaling approximately 2.5 million and 1.2 million, respectively, and for the nine months ended October 1, 2022 and October 2, 2021, there were potential common shares totaling approximately 2.2 million and 0.9 million, respectively, that were excluded from the computation of diluted EPS as the effect of inclusion of such shares would have been anti-dilutive.

Leases (Tables)

Leases (Tables)	9 Months Ended
	Oct. 01, 2022
Leases [Abstract]
Schedule of Lease, Cost	Supplemental cash flow information related to leases was as follows (in thousands): Nine Months Ended October 1, 2022 October 2, 2021 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 11,941 $ 3,640 Finance leases 1,531 —
Schedule of Assets and Liabilities, Lessee	Supplemental balance sheet information related to leases was as follows (in thousands): October 1, 2022 December 31, 2021 Operating leases Other non-current assets $ 67,106 $ 63,611 Accrued expenses and other liabilities 8,980 7,546 Other non-current liabilities 66,192 61,565 Total operating lease liabilities 75,172 69,111 Finance leases Property, plant and equipment 10,732 9,280 Accumulated depreciation (1,811) (1,262) Property, plant and equipment, net 8,921 8,017 Current maturities of long-term debt 1,957 2,155 Long-term debt 5,093 5,625 Total finance lease liabilities $ 7,050 $ 7,780

Stock-based Compensation (Table

Stock-based Compensation (Tables)	9 Months Ended
	Oct. 01, 2022
Share-Based Payment Arrangement [Abstract]
Schedule of Option Pricing Model for Stock Options Granted	The principal assumptions used in the Black-Scholes option-pricing model for the stock options granted on March 3, 2022 and July 29, 2022 were as follows: March 3, 2022 July 29, 2022 Risk-free interest rate 1.78 % 2.70 % Expected life in years 6 6 Expected dividend yield — % — % Expected volatility 29.61 % 30.73 %

Acquisitions and Restructuring

Acquisitions and Restructuring (Tables)	9 Months Ended
	Oct. 01, 2022
Acquisition, Restructuring and Related Activities [Abstract]
Schedule of Acquisition and Restructuring Related Income	Acquisition and restructuring related expense, net consists of the following (in thousands): Three Months Ended Nine Months Ended October 1, 2022 October 2, 2021 October 1, 2022 October 2, 2021 Business restructuring costs $ 2,288 $ 783 $ 6,276 $ 2,452 Acquisition transaction and integration costs — — 3,223 — Total $ 2,288 $ 783 $ 9,499 $ 2,452
Schedule of Charges for Facility Closure and Other One Time Termination Benefits	The following tables summarize the status of the Company's restructuring related expense and related liability balances (in thousands): 2022 Activity Liability as of December 31, 2021 Costs Recognized Cash Payments Liability as of October 1, 2022 One-time termination benefits $ 1,035 $ 3,609 $ (2,677) $ 1,967 Facility-related 27 337 (364) — Other (1) 4,374 2,330 (4,981) 1,723 Total $ 5,436 $ 6,276 $ (8,022) $ 3,690 (1) ‘Other’ restructuring related expense primarily consists of expenses pertaining to the relocation of the corporate headquarters. 2021 Activity Liability as of December 31, 2020 Costs Recognized Cash Payments Liability as of October 2, 2021 One-time termination benefits $ — $ 749 $ (749) $ — Facility-related — 1,635 (1,063) 572 Other — 68 (68) — Total Restructuring $ — $ 2,452 $ (1,880) $ 572
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The following table summarizes the consideration transferred and the preliminary allocation of the purchase price among the assets acquired and liabilities assumed, including measurement period adjustments recorded through October 1, 2022 (in thousands): Preliminary Allocation Revised Preliminary Allocation Measurement Period Adjustments Assets Accounts receivable $ 3,905 $ — $ 3,905 Inventory 16,465 3,324 19,789 Other current assets 521 — 521 Property, plant and equipment 187 — 187 Goodwill 6,740 6,226 12,966 Identifiable intangible assets, net 39,350 (9,550) 29,800 Other noncurrent assets 13 — 13 Less: Liabilities assumed Accounts payable (6,091) — (6,091) Accrued liabilities (1,430) — (1,430) Net assets acquired $ 59,660 $ — $ 59,660
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination	The following table summarizes the identifiable intangible assets, net and their useful lives. The weighted average amortization period for the acquired intangible assets is 13.2 years. Useful life Amount (in years) (in thousands) Customer relationships 15 $ 17,100 Tradename 15 3,400 Developed technology 10 7,900 Noncompete agreements 5 1,400 Total intangible assets with definite lives $ 29,800

Nature of Operations and Orga_2

Nature of Operations and Organization (Details)	Oct. 01, 2022 manufacturing_facility
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of manufacturing facilities	9

Significant Accounting Polici_3

Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Thousands	Jan. 01, 2022	Oct. 01, 2022	Dec. 31, 2021
Other Commitments [Line Items]
Accounting Standards Update [Extensible Enumeration]	Accounting Standards Update 2016-02 [Member]
Operating lease liability		$ 75,172	$ 69,111
Right-of-use asset		$ 67,106	$ 63,611
Cumulative Effect, Period of Adoption, Adjustment
Other Commitments [Line Items]
Operating lease liability	$ 48,600
Right-of-use asset	43,900
Liabilities for deferred rent and unamortized landlord lease incentives	$ 4,700

Revenue (Details)

Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021	Oct. 01, 2022	Oct. 02, 2021
Revenue from External Customer [Line Items]
Net sales	$ 245,267	$ 350,624	$ 1,055,169	$ 1,049,409
United States
Revenue from External Customer [Line Items]
Net sales	190,849	261,223	795,781	748,726
Total international revenue
Revenue from External Customer [Line Items]
Net sales	54,418	89,401	259,388	300,683
Canada
Revenue from External Customer [Line Items]
Net sales	12,825	37,013	96,269	114,550
Europe
Revenue from External Customer [Line Items]
Net sales	18,674	32,726	100,062	137,642
Rest of World
Revenue from External Customer [Line Items]
Net sales	22,919	19,662	63,057	48,491
Residential pool
Revenue from External Customer [Line Items]
Net sales	223,661	330,898	990,693	990,977
Commercial pool
Revenue from External Customer [Line Items]
Net sales	8,370	7,360	27,262	23,297
Industrial flow control
Revenue from External Customer [Line Items]
Net sales	$ 13,236	$ 12,366	$ 37,214	$ 35,135

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Oct. 01, 2022	Dec. 31, 2021
Inventory Disclosure [Abstract]
Raw materials	$ 134,413	$ 124,545
Work in progress	18,688	22,669
Finished goods	160,278	86,235
Total inventory	$ 313,379	$ 233,449

Accrued Expenses and Other Li_3

Accrued Expenses and Other Liabilities - Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Thousands	Oct. 01, 2022	Jul. 02, 2022	Apr. 02, 2022	Dec. 31, 2021	Oct. 02, 2021	Jul. 03, 2021	Apr. 03, 2021	Dec. 31, 2020
Payables and Accruals [Abstract]
Selling, promotional and advertising	$ 46,538			$ 41,975
Employee compensation and benefits	18,768			49,552
Warranty reserve	20,524	$ 26,919	$ 27,188	24,174	$ 23,668	$ 24,697	$ 21,877	$ 16,412
Inventory purchases	12,135			18,606
Insurance reserve	10,656			8,842
Deferred income	8,854			8,074
Operating lease liability - short term	8,980			7,546
Business restructuring costs	1,619			1,397
Professional fees	1,657			2,027
Payroll taxes	3,238			4,522
Short-term notes payable	5,270			0
Other accrued liabilities	13,772			23,663
Accrued expenses and other liabilities	$ 152,011			$ 190,378

Accrued Expenses and Other Li_4

Accrued Expenses and Other Liabilities - Warranty Reserve (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 01, 2022	Jul. 02, 2022	Apr. 02, 2022	Oct. 02, 2021	Jul. 03, 2021	Apr. 03, 2021
Movement in Standard Product Warranty Accrual [Roll Forward]
Beginning balance	$ 26,919	$ 27,188	$ 24,174	$ 24,697	$ 21,877	$ 16,412
Accrual for warranties issued during the period	6,199	8,784	9,413	7,796	9,850	10,109
Payments	(12,594)	(9,053)	(6,399)	(8,825)	(7,030)	(4,644)
Ending balance	$ 20,524	$ 26,919	$ 27,188	$ 23,668	$ 24,697	$ 21,877

Accrued Expenses and Other Li_5

Accrued Expenses and Other Liabilities - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021	Oct. 01, 2022	Oct. 02, 2021
Payables and Accruals [Abstract]
Warranty expense	$ 6.2	$ 7.8	$ 24.4	$ 27.8

Income Taxes (Details)

Income Taxes (Details) - USD ($)	3 Months Ended		9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021	Oct. 01, 2022	Oct. 02, 2021
Income Tax Disclosure [Abstract]
Effective tax rate	13.30%	22.20%	22.70%	23.10%
Uncertain tax positions reserve	$ 0	$ 0	$ 0	$ 0

Long-Term Debt, Net - Schedule

Long-Term Debt, Net - Schedule Of Long-Term Debt (Details) - USD ($) $ in Thousands	Oct. 01, 2022	Dec. 31, 2021
Line of Credit Facility [Line Items]
Finance lease obligations	$ 7,050	$ 7,780
Long-term debt, subtotal	1,094,550	1,002,780
Current portion of the long-term debt	(11,957)	(12,155)
Less: Unamortized debt issuance costs	(15,591)	(17,501)
Long-term debt, net	1,067,002	973,124
Term Loan | First Lien Term Facility, Due May 28, 2028
Line of Credit Facility [Line Items]
Long-term debt, gross	987,500	995,000
Revolving Credit Facility | ABL Revolving Credit Facility
Line of Credit Facility [Line Items]
Long-term debt, gross	$ 100,000	$ 0

Long-Term Debt, Net - Additiona

Long-Term Debt, Net - Additional Information (Details) - Term Loan - First Lien Term Facility, Due May 28, 2028		1 Months Ended
	May 28, 2021	Apr. 30, 2023
Line of Credit Facility [Line Items]
Leverage ratio threshold for mandatory prepayment of zero	2.5
Leverage ratio threshold for mandatory prepayment of fifty percent	3
Minimum | Forecast
Line of Credit Facility [Line Items]
Mandatory annual prepayment, percentage of excess cash		0%
Maximum | Forecast
Line of Credit Facility [Line Items]
Mandatory annual prepayment, percentage of excess cash		50%

Derivatives and Hedging Trans_3

Derivatives and Hedging Transactions - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021	Oct. 01, 2022	Oct. 02, 2021	Apr. 02, 2022	Dec. 31, 2021
Derivative [Line Items]
Other nonoperating expense	$ (234,000)	$ 2,087,000	$ 3,056,000	$ 4,655,000
Cash Flow Hedging
Derivative [Line Items]
Outstanding net investment hedges	0		0			$ 0
Interest Rate Swap | Cash Flow Hedging
Derivative [Line Items]
Derivative, notional amount	500,000,000	0	500,000,000	0	$ 500,000,000
Foreign exchange contracts
Derivative [Line Items]
Other nonoperating expense	$ (4,500,000)	$ 400,000	$ (3,100,000)	$ 700,000

Derivatives and Hedging Trans_4

Derivatives and Hedging Transactions - Gross Fair Values and Location of Derivative Instruments (Details) - USD ($) $ in Thousands	Oct. 01, 2022	Dec. 31, 2021
Other Current Assets
Derivatives, Fair Value [Line Items]
Other Assets	$ 4,025	$ 410
Other Current Assets | Interest rate swaps
Derivatives, Fair Value [Line Items]
Other Assets	0	0
Other Current Assets | Foreign exchange contracts
Derivatives, Fair Value [Line Items]
Other Assets	4,025	$ 410
Other Non-Current Assets
Derivatives, Fair Value [Line Items]
Other Assets	33,806
Other Non-Current Assets | Interest rate swaps
Derivatives, Fair Value [Line Items]
Other Assets	33,806
Other Non-Current Assets | Foreign exchange contracts
Derivatives, Fair Value [Line Items]
Other Assets	0
Accrued Expenses and Other Liabilities
Derivatives, Fair Value [Line Items]
Accrued Expenses and Other Liabilities	0
Accrued Expenses and Other Liabilities | Interest rate swaps
Derivatives, Fair Value [Line Items]
Accrued Expenses and Other Liabilities	0
Accrued Expenses and Other Liabilities | Foreign exchange contracts
Derivatives, Fair Value [Line Items]
Accrued Expenses and Other Liabilities	$ 0

Derivatives and Hedging Trans_5

Derivatives and Hedging Transactions - Effects of Derivative Instruments by Contract Type in AOCI (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021	Oct. 01, 2022	Oct. 02, 2021
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Gain (Loss) Recognized in AOCI, Net investment hedge	$ 0	$ 1,268	$ 0	$ 0
Gain (Loss) Reclassified From AOCI to Earnings, Net investment hedge	0	0	0	0
Gain (Loss) Recognized in AOCI, Total	14,290	6,128	25,354	1,185
Gain (Loss) Reclassified From AOCI to Earnings, Total	122	(6,598)	(2,127)	(1,696)
Interest Expense
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Gain (Loss) Recognized in AOCI, Interest rate swaps	14,290	4,860	25,354	1,185
Gain (Loss) Reclassified From AOCI to Earnings, Interest rate swaps	$ 122	(6,598)	$ (2,127)	$ (1,696)
Unrealized losses to be reclassified from accumulated other comprehensive income (loss) into earnings in the next twelve months		$ (11,200)

Fair Value Measurements (Detail

Fair Value Measurements (Details) - Level 2, fair value inputs - USD ($) $ in Millions	Oct. 01, 2022	Dec. 31, 2021
Carrying value
Debt Instrument [Line Items]
Long term debt	$ 987.5	$ 995
Fair value
Debt Instrument [Line Items]
Long term debt	$ 930.7	$ 991.9

Segments and Related Informat_3

Segments and Related Information - Additional Information (Details)	9 Months Ended
	Oct. 01, 2022 segment reporting_unit
Revenue, Major Customer [Line Items]
Number of reportable segments | segment	2
North America
Revenue, Major Customer [Line Items]
Number of reporting units	3
Europe & Rest of World
Revenue, Major Customer [Line Items]
Number of reporting units	2

Segments and Related Informat_4

Segments and Related Information - Financial Information by Reportable Segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021	Oct. 01, 2022	Oct. 02, 2021
Revenue, Major Customer [Line Items]
External net sales	$ 245,267	$ 350,624	$ 1,055,169	$ 1,049,409
Segment income	40,340	77,794	249,508	238,446
Depreciation			13,931	14,096
Operating segments
Revenue, Major Customer [Line Items]
External net sales	245,267	350,624	1,055,169	1,049,409
Segment income	57,493	102,502	306,844	304,848
Capital expenditures	8,422	8,767	20,588	18,667
Depreciation	4,049	4,428	13,006	13,496
Intersegment Eliminations
Revenue, Major Customer [Line Items]
External net sales	3,806	5,969	27,838	25,852
North America | Operating segments
Revenue, Major Customer [Line Items]
External net sales	203,674	298,236	892,050	863,276
Segment income	48,704	91,920	267,854	267,020
Capital expenditures	8,035	7,762	18,611	17,362
Depreciation	3,853	4,253	12,435	12,653
North America | Intersegment Eliminations
Revenue, Major Customer [Line Items]
External net sales	3,759	5,897	27,437	25,509
Europe & Rest of World | Operating segments
Revenue, Major Customer [Line Items]
External net sales	41,593	52,388	163,119	186,133
Segment income	8,789	10,582	38,990	37,828
Capital expenditures	387	1,005	1,977	1,305
Depreciation	196	175	571	843
Europe & Rest of World | Intersegment Eliminations
Revenue, Major Customer [Line Items]
External net sales	$ 47	$ 72	$ 401	$ 343

Segments and Related Informat_5

Segments and Related Information - Reconciliation of Segment Income to Income from Operations Before Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021	Oct. 01, 2022	Oct. 02, 2021
Revenue, Major Customer [Line Items]
Operating income	$ 40,340	$ 77,794	$ 249,508	$ 238,446
Acquisition and restructuring related expense	2,288	783	9,499	2,452
Amortization of intangible assets	8,521	8,700	23,828	26,162
Interest expense, net	13,938	11,050	35,105	42,297
Loss on debt extinguishment	0	0	0	9,418
Other (income) expense, net	(234)	2,087	3,056	4,655
Total other expense	13,704	13,137	38,161	56,370
Income from operations before income taxes	26,636	64,657	211,347	182,076
Operating segments
Revenue, Major Customer [Line Items]
Operating income	57,493	102,502	306,844	304,848
Corporate
Revenue, Major Customer [Line Items]
Operating income	$ 6,344	$ 15,225	$ 24,009	$ 37,788

Earnings Per Share (Details)

Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended						9 Months Ended
	Oct. 01, 2022	Jul. 02, 2022	Apr. 02, 2022	Oct. 02, 2021	Jul. 03, 2021	Apr. 03, 2021	Oct. 01, 2022	Oct. 02, 2021
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Net income	$ 23,087	$ 66,260	$ 74,032	$ 50,321	$ 52,816	$ 36,867	$ 163,379	$ 140,004
Net income attributable to common stockholders, basic	23,087			50,321			163,379	41,689
Net income attributable to common stockholders, diluted	$ 23,087			$ 50,321			$ 163,379	$ 42,376
Weighted Average Number of Shares Outstanding, Basic
Weighted average number of common shares outstanding, basic (in shares)	212,905,429			231,339,007			222,009,824	172,820,430
Effect of dilutive securities (in shares)	9,101,186			12,444,494			10,121,571	12,853,384
Weighted average number of common shares outstanding, diluted (in shares)	222,006,615			243,783,501			232,131,395	185,673,814
Earnings Per Share, Basic and Diluted
Earnings per share attributable to common stockholders, basic (in usd per share)	$ 0.11			$ 0.22			$ 0.74	$ 0.24
Earnings per share attributable to common stockholders, diluted (in usd per share)	$ 0.10			$ 0.21			$ 0.70	$ 0.23
Excluded from the weighted average number of common shares outstanding, dilutive due to being anti-dilutive (in shares)	2,500,000			1,200,000			2,200,000	900,000
Common Class A
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Dividends	$ 0			$ 0			$ 0	$ (85,541)
Net income attributable to common stockholders, basic	0			0			0	12,733
Net income attributable to common stockholders, diluted	0			0			0	12,046
Common Class C
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Dividends	0			0			0	(41)
Class A and common stock
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Net income attributable to common stockholders, basic	$ 23,087			$ 50,321			$ 163,379	$ 54,422

Leases - Supplemental Cash Flow

Leases - Supplemental Cash Flows Information (Details) - USD ($) $ in Thousands	9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	$ 11,941	$ 3,640
Finance leases	$ 1,531	$ 0

Leases - Supplemental Balance S

Leases - Supplemental Balance Sheet Information (Details) - USD ($) $ in Thousands	Oct. 01, 2022	Dec. 31, 2021
Operating leases
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration]	Other non-current assets	Other non-current assets
Other non-current assets	$ 67,106	$ 63,611
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration]	Accrued expenses and other liabilities	Accrued expenses and other liabilities
Accrued expenses and other liabilities	$ 8,980	$ 7,546
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Other non-current liabilities	Other non-current liabilities
Other non-current liabilities	$ 66,192	$ 61,565
Total operating lease liabilities	75,172	69,111
Finance leases
Property, plant and equipment	10,732	9,280
Accumulated depreciation	$ (1,811)	$ (1,262)
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration]	Property, plant, and equipment, net of accumulated depreciation of $76,600 and $67,366, respectively	Property, plant, and equipment, net of accumulated depreciation of $76,600 and $67,366, respectively
Property, plant and equipment, net	$ 8,921	$ 8,017
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration]	Current portion of the long-term debt	Current portion of the long-term debt
Current maturities of long-term debt	$ 1,957	$ 2,155
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Long-term debt, net	Long-term debt, net
Long-term debt	$ 5,093	$ 5,625
Total finance lease liabilities	$ 7,050	$ 7,780

Stockholders_ Equity (Details)

Stockholders’ Equity (Details) $ / shares in Units, $ in Thousands			3 Months Ended	9 Months Ended
	May 02, 2022 USD ($) $ / shares shares	Jan. 24, 2022 USD ($) $ / shares shares	Oct. 01, 2022 USD ($) vote $ / shares shares	Oct. 01, 2022 USD ($) vote $ / shares shares	Oct. 02, 2021 USD ($)	Jul. 26, 2022 USD ($)	Dec. 31, 2021 $ / shares shares
Equity, Class of Treasury Stock [Line Items]
Preferred stock authorized (in shares) | shares			100,000,000	100,000,000			100,000,000
Preferred shares par value (in usd per share)			$ 0.001	$ 0.001			$ 0.001
Common stock, authorized (in shares) | shares			750,000,000	750,000,000			750,000,000
Common stock, par value (in usd per share)			$ 0.001	$ 0.001			$ 0.001
Number of vote | vote			1	1
Common stock dividends declared (in usd per share)			$ 0	$ 0
Common stock dividends cash paid (in usd per share)			$ 0	$ 0
Share repurchase program amount | $		$ 450,000				$ 450,000
Number of shares authorized for repurchase (in shares) | shares	8,000,000	4,080,000
Repurchase price per share (in usd per share)	$ 13.88	$ 19.80
Consideration transferred for repurchased stock | $	$ 111,000	$ 81,000		$ 343,319	$ 10,530
Number of shares repurchased (in shares) | shares				23,300,000
Consideration cost of shares repurchased | $				$ 343,100
Remaining amount authorized for repurchase | $			$ 400,000	$ 400,000
Previously Announced Share Repurchase Program
Equity, Class of Treasury Stock [Line Items]
Number of shares repurchased (in shares) | shares			4,800,000	11,200,000
Average price paid per share of shares repurchased (in usd per share)			$ 10.48	$ 13.49
Consideration cost of shares repurchased | $			$ 50,000	$ 151,300

Stock-based Compensation - Addi

Stock-based Compensation - Additional Information (Details) $ / shares in Units, $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2022 USD ($) derivative_contract $ / shares shares	Oct. 02, 2021 USD ($)	Oct. 01, 2022 USD ($) derivative_contract $ / shares shares	Oct. 02, 2021 USD ($)	Mar. 31, 2021 shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense | $	$ 2.2	$ 0.8	$ 5.8	$ 13.3
Number of equity incentive plans | derivative_contract	2		2
2021 Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common shares authorized for future issuance (in shares)					13,737,500
2021 Plan | Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options, expiration term			10 years
Options granted (in shares)	66,946		1,145,845
Options weighted average grant date fair value (in usd per share) | $ / shares	$ 4.11		$ 5.43
2021 Plan | RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			3 years
Restricted stock units granted (in shares)	92,838		228,368
Restricted stock units weighted average grant date fair value (in usd per share) | $ / shares	$ 11.67		$ 15.12
2021 Plan | Performance Based Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Relative weighting of net revenue growth and adjusted EBITDA			50%
Performance period			3 years
Restricted stock units granted (in shares)			101,215
Restricted stock units weighted average grant date fair value (in usd per share) | $ / shares			$ 16.76
2021 Plan | Performance Based Stock Units | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Threshold performance			50%
2021 Plan | Performance Based Stock Units | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Threshold performance			200%

Stock-based Compensation - Blac

Stock-based Compensation - Black-Scholes Option-Pricing Model (Details) - 2021 Plan	Jul. 29, 2022	Mar. 03, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk-free interest rate	2.70%	1.78%
Expected life in years	6 years	6 years
Expected dividend yield	0%	0%
Expected volatility	30.73%	29.61%

Acquisitions and Restructurin_2

Acquisitions and Restructuring - Acquisition and Restructuring Related Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021	Oct. 01, 2022	Oct. 02, 2021
Acquisition, Restructuring and Related Activities [Abstract]
Business restructuring costs	$ 2,288	$ 783	$ 6,276	$ 2,452
Acquisition transaction and integration costs	0	0	3,223	0
Acquisition And Restructuring Related Expense (Income)	$ 2,288	$ 783	$ 9,499	$ 2,452

Acquisitions and Restructurin_3

Acquisitions and Restructuring - Additional Information (Details) - USD ($) $ in Millions		3 Months Ended	9 Months Ended
	Jun. 02, 2022	Oct. 01, 2022	Oct. 01, 2022
Restructuring Cost and Reserve [Line Items]
Expected restructuring costs		$ 5.9	$ 5.9
Halco Lighting Technologies
Restructuring Cost and Reserve [Line Items]
Consideration transferred	$ 59.7
Transaction costs		3.1	3.1
Weighted average amortization period	13 years 2 months 12 days
Employee Severance
Restructuring Cost and Reserve [Line Items]
Restructuring charges		$ 1.3	$ 4.2

Acquisitions and Restructurin_4

Acquisitions and Restructuring - Facility Closure and Other One-Time Termination Benefits (Details) - USD ($) $ in Thousands	9 Months Ended
	Oct. 01, 2022	Oct. 02, 2021
Restructuring Reserve [Roll Forward]
Beginning Balance	$ 5,436	$ 0
Costs Recognized	6,276	2,452
Cash Payments	(8,022)	(1,880)
Ending Balance	3,690	572
One-time termination benefits
Restructuring Reserve [Roll Forward]
Beginning Balance	1,035	0
Costs Recognized	3,609	749
Cash Payments	(2,677)	(749)
Ending Balance	1,967	0
Facility-related
Restructuring Reserve [Roll Forward]
Beginning Balance	27	0
Costs Recognized	337	1,635
Cash Payments	(364)	(1,063)
Ending Balance	0	572
Other
Restructuring Reserve [Roll Forward]
Beginning Balance	4,374	0
Costs Recognized	2,330	68
Cash Payments	(4,981)	(68)
Ending Balance	$ 1,723	$ 0

Acquisitions and Restructurin_5

Acquisitions and Restructuring - Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	4 Months Ended
	Oct. 01, 2022	Jun. 02, 2022	Dec. 31, 2021
Assets
Goodwill	$ 927,055		$ 924,264
Halco Lighting Technologies
Assets
Accounts receivable	3,905	$ 3,905
Measurement Period Adjustments, Accounts receivable	0
Inventory	19,789	16,465
Measurement Period Adjustments, Inventory	3,324
Other current assets	521	521
Measurement Period Adjustments, Other current assets	0
Property, plant and equipment	187	187
Measurement Period Adjustments, property, plant, and equipment	0
Goodwill	12,966	6,740
Measurement Period Adjustments, Goodwill	6,226
Identifiable intangible assets, net	29,800	39,350
Measurement Period Adjustments, Identifiable intangible assets, net	(9,550)
Other noncurrent assets	13	13
Measurement Period Adjustments, Other noncurrent assets	0
Less: Liabilities assumed
Accounts payable	(6,091)	(6,091)
Measurement Period Adjustments, Accounts payable	0
Accrued liabilities	(1,430)	(1,430)
Measurement Period Adjustments, Accrued liabilities	0
Net assets acquired	59,660	$ 59,660
Measurement Period Adjustments, Net assets acquired	$ 0

Acquisitions and Restructurin_6

Acquisitions and Restructuring - Acquired Intangible Assets (Details) - Halco Lighting Technologies $ in Thousands	Jun. 02, 2022 USD ($)
Business Acquisition [Line Items]
Useful life	13 years 2 months 12 days
Total intangible assets with definite lives	$ 29,800
Customer relationships
Business Acquisition [Line Items]
Useful life	15 years
Total intangible assets with definite lives	$ 17,100
Tradename
Business Acquisition [Line Items]
Useful life	15 years
Total intangible assets with definite lives	$ 3,400
Developed technology
Business Acquisition [Line Items]
Useful life	10 years
Total intangible assets with definite lives	$ 7,900
Noncompete agreements
Business Acquisition [Line Items]
Useful life	5 years
Total intangible assets with definite lives	$ 1,400

Related Party Transactions (Det

Related Party Transactions (Details) - Sponsors $ in Thousands	9 Months Ended
	Oct. 02, 2021 USD ($)
Management Fees, Prior To IPO
Related Party Transaction [Line Items]
Management fee	$ 200
Common Class C | Dividends paid
Related Party Transaction [Line Items]
Management fee	$ 41

Subsequent Events - Additional

Subsequent Events - Additional Information (Details) - Subsequent Event - Revolving Credit Facility - Line of Credit $ in Millions	Oct. 07, 2022 USD ($)
Third Amendment ABL Revolving Credit Facility
Subsequent Event [Line Items]
Maximum borrowing capacity	$ 35
Third Amendment ABL Revolving Credit Facility | Minimum | SOFR
Subsequent Event [Line Items]
Basis spread	2.25%
Third Amendment ABL Revolving Credit Facility | Minimum | Base Rate
Subsequent Event [Line Items]
Basis spread	1.25%
Third Amendment ABL Revolving Credit Facility | Maximum | SOFR
Subsequent Event [Line Items]
Basis spread	2.75%
Third Amendment ABL Revolving Credit Facility | Maximum | Base Rate
Subsequent Event [Line Items]
Basis spread	1.75%
ABL Revolving Credit Facility | Minimum | SOFR
Subsequent Event [Line Items]
Basis spread	1.25%
ABL Revolving Credit Facility | Minimum | Base Rate
Subsequent Event [Line Items]
Basis spread	0.25%
ABL Revolving Credit Facility | Maximum | SOFR
Subsequent Event [Line Items]
Basis spread	1.75%
ABL Revolving Credit Facility | Maximum | Base Rate
Subsequent Event [Line Items]
Basis spread	0.75%