Donaldson (DCI) 10-Q6 Jun 222022 Q3 Quarterly reportFinancial data

Company Profile

Cover Page

Cover Page - shares	9 Months Ended
Cover Page - shares	Apr. 30, 2022	May 31, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Apr. 30, 2022
Document Transition Report	false
Entity File Number	1-7891
Entity Registrant Name	DONALDSON COMPANY, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	41-0222640
Entity Address, Address Line One	1400 West 94th Street
Entity Address, City or Town	Minneapolis
Entity Address, State or Province	MN
Entity Address, Postal Zip Code	55431
City Area Code	952
Local Phone Number	887-3131
Title of each class	Common Stock, $5.00 par value
Trading Symbol(s)	DCI
Name of each exchange on which registered	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		122,865,627
Entity Central Index Key	0000029644
Current Fiscal Year End Date	--07-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q3
Amendment Flag	false

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS - USD ($) shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Income Statement [Abstract]
Net sales	$ 853.2	$ 765	$ 2,416.6	$ 2,080.8
Cost of sales	584.2	507	1,640.8	1,374.8
Gross profit	269	258	775.8	706
Operating expenses	158	148.6	461.6	433.3
Operating income	111	109.4	314.2	272.7
Interest expense	3.8	3.2	10.8	9.9
Other income, net	(4.1)	(4.7)	(6.4)	(4.2)
Earnings before income taxes	111.3	110.9	309.8	267
Income taxes	28.3	26.5	78	64.4
Net earnings	$ 83	$ 84.4	$ 231.8	$ 202.6
Weighted average shares - basic (in shares)	123.4	126.4	123.9	126.6
Weighted average shares - diluted (in shares)	124.6	128.3	125.6	128.2
Net earnings per share - basic (in usd per share)	$ 0.67	$ 0.67	$ 1.87	$ 1.60
Net earnings per share - diluted (in usd per share)	$ 0.67	$ 0.66	$ 1.85	$ 1.58

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Statement of Comprehensive Income [Abstract]
Net earnings	$ 83	$ 84.4	$ 231.8	$ 202.6
Other comprehensive (loss) income:
Foreign currency translation (loss) income	(42.8)	(0.2)	(70.4)	36.3
Pension liability adjustment, net of deferred taxes of $0.8, $(5.9), $(0.3) and $(7.6), respectively	(1.8)	18.5	2.2	24.6
Derivatives:
Gains (losses) on hedging derivatives, net of deferred taxes of $(0.8), $(0.2), $(1.2) and $0.1, respectively	2.6	1	4.3	(0.1)
Reclassifications of (gains) losses on hedging derivatives to net earnings, net of taxes of $0.1, $(0.1), $0.0 and $0.1, respectively	(0.2)	0.1	(0.2)	(0.4)
Total derivatives	2.4	1.1	4.1	(0.5)
Net other comprehensive (loss) income	(42.2)	19.4	(64.1)	60.4
Comprehensive income	$ 40.8	$ 103.8	$ 167.7	$ 263

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Statement of Comprehensive Income [Abstract]
Deferred taxes on pension liability	$ 0.8	$ (5.9)	$ (0.3)	$ (7.6)
Deferred taxes on hedging derivatives	(0.8)	(0.2)	(1.2)	0.1
Taxes on reclassifications of derivatives to net income	$ 0.1	$ (0.1)	$ 0	$ 0.1

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Apr. 30, 2022	Jul. 31, 2021
Current assets:
Cash and cash equivalents	$ 168.7	$ 222.8
Accounts receivable, less allowances of $5.7 and $7.0, respectively	585.5	552.7
Inventories, net	510.7	384.5
Prepaid expenses and other current assets	102.4	84
Total current assets	1,367.3	1,244
Property, plant and equipment, net	591.1	617.8
Goodwill	336.6	322.5
Intangible assets, net	73.8	61.6
Other long-term assets	150.4	154.3
Total assets	2,519.2	2,400.2
Current liabilities:
Short-term borrowings	31.3	48.5
Accounts payable	335.8	293.9
Accrued employee compensation and related taxes	106.7	126.8
Income taxes payable	25.4	17.7
Dividend payable	0	27.6
Other current liabilities	107.3	92.1
Total current liabilities	606.5	606.6
Long-term debt	607.2	461
Non-current income taxes payable	74.7	80.7
Deferred income taxes	30.9	26.6
Other long-term liabilities	76.3	88.2
Total liabilities	1,395.6	1,263.1
Stockholders’ equity:
Preferred stock, $1.00 par value, 1,000,000 shares authorized, none issued	0	0
Common stock, $5.00 par value, 240,000,000 shares authorized, 151,643,194 shares issued	758.2	758.2
Additional paid-in capital	12.9	5.8
Retained earnings	1,785.6	1,608.4
Stock-based compensation plans	17	12.8
Accumulated other comprehensive loss	(182.3)	(118.2)
Treasury stock, 28,794,251 and 26,620,560 shares, respectively, at cost	(1,267.8)	(1,129.9)
Total stockholders’ equity	1,123.6	1,137.1
Total liabilities and stockholders’ equity	$ 2,519.2	$ 2,400.2

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions	Apr. 30, 2022	Jul. 31, 2021
Statement of Financial Position [Abstract]
Accounts receivable, allowance	$ 5.7	$ 7
Preferred stock, par value (in usd per share)	$ 1	$ 1
Preferred stock, shares authorized (in shares)	1,000,000	1,000,000
Preferred stock, shares issued (in shares)	0	0
Common stock, par value (in usd per share)	$ 5	$ 5
Common stock, shares authorized (in shares)	240,000,000	240,000,000
Common stock, shares issued (in shares)	151,643,194	151,643,194
Treasury stock, shares (in shares)	28,794,251	26,620,560

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions	9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021
Operating Activities
Net earnings	$ 231.8	$ 202.6
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization	71	70.4
Deferred income taxes	3	(5.4)
Stock-based compensation expense	17	11.6
Other, net	4.3	16.1
Changes in operating assets and liabilities	(183.2)	10.3
Net cash provided by operating activities	143.9	305.6
Investing Activities
Purchases of property, plant and equipment	(56.8)	(40.2)
Acquisitions, net of cash acquired	(49)	0
Net cash used in investing activities	(105.8)	(40.2)
Financing Activities
Proceeds from long-term debt	249.3	0
Repayments of long-term debt	(90)	(165)
Change in short-term borrowings	(16.4)	21.6
Purchase of non-controlling interests	0	(14.4)
Purchase of treasury stock	(153.7)	(78.7)
Dividends paid	(81.8)	(79.5)
Tax withholding payments for stock compensation transactions	(1.7)	(4)
Exercise of stock options	11.5	24.5
Net cash used in financing activities	(82.8)	(295.5)
Effect of exchange rate changes on cash	(9.4)	8.8
Decrease in cash and cash equivalents	(54.1)	(21.3)
Cash and cash equivalents, beginning of period	222.8	236.6
Cash and cash equivalents, end of period	168.7	215.3
Supplemental Cash Flow Information
Income taxes paid	80.5	76.5
Interest paid	9.4	9
Supplemental Disclosure of Non-Cash Operating and Investing Transactions
Accrued property, plant and equipment additions	12	7.3
Leased assets obtained in exchange for new operating lease liabilities	12.9	6.2
Transfer of operating lease asset and operating lease liability	0	(9.2)
Recognized financing lease asset and finance lease liability	$ 0	$ 13.9

CONDENSED CONSOLIDATED STATEM_5

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY - USD ($) $ in Millions	Total	Common Stock	Additional Paid-in Capital	Retained Earnings	Non- Controlling Interest	Stock-Based Compensation Plans	Accumulated Other Comprehensive Loss	Treasury Stock
Beginning Balance at Jul. 31, 2020	$ 992.9	$ 758.2	$ 0	$ 1,430	$ 5.8	$ 15.9	$ (184)	$ (1,033)
Increase (Decrease) in Stockholders' Equity
Net earnings	202.6			202.6
Other comprehensive (loss) income	60.4						60.4
Treasury stock acquired	(78.7)							(78.7)
Dividends declared	(52.9)			(52.9)
Purchase of non-controlling interests	(3.7)		2.2		(5.9)
Stock compensation and other activity	32.8		3.2	(0.6)	0.1	(3.8)		33.9
Ending Balance at Apr. 30, 2021	1,153.4	758.2	5.4	1,579.1	0	12.1	(123.6)	(1,077.8)
Beginning Balance at Jan. 31, 2021	1,074.4	758.2	5.1	1,494.4	0	13.2	(143)	(1,053.5)
Increase (Decrease) in Stockholders' Equity
Net earnings	84.4			84.4
Other comprehensive (loss) income	19.4						19.4
Treasury stock acquired	(32.4)							(32.4)
Dividends declared	0.1			0.1
Stock compensation and other activity	7.5		0.3	0.2		(1.1)		8.1
Ending Balance at Apr. 30, 2021	1,153.4	758.2	5.4	1,579.1	0	12.1	(123.6)	(1,077.8)
Beginning Balance at Jul. 31, 2021	1,137.1	758.2	5.8	1,608.4	0	12.8	(118.2)	(1,129.9)
Increase (Decrease) in Stockholders' Equity
Net earnings	231.8			231.8
Other comprehensive (loss) income	(64.1)						(64.1)
Treasury stock acquired	(153.7)							(153.7)
Dividends declared	(54.2)			(54.2)
Stock compensation and other activity	26.7		7.1	(0.4)		4.2		15.8
Ending Balance at Apr. 30, 2022	1,123.6	758.2	12.9	1,785.6	0	17	(182.3)	(1,267.8)
Beginning Balance at Jan. 31, 2022	1,116.8	758.2	12	1,702.5	0	15.5	(140.1)	(1,231.3)
Increase (Decrease) in Stockholders' Equity
Net earnings	83			83
Other comprehensive (loss) income	(42.2)						(42.2)
Treasury stock acquired	(38.1)							(38.1)
Dividends declared	0.1			0.1
Stock compensation and other activity	4		0.9	0		1.5		1.6
Ending Balance at Apr. 30, 2022	$ 1,123.6	$ 758.2	$ 12.9	$ 1,785.6	$ 0	$ 17	$ (182.3)	$ (1,267.8)

CONDENSED CONSOLIDATED STATEM_6

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY (Parenthetical) - $ / shares	9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021
Statement of Stockholders' Equity [Abstract]
Dividends, per share (in usd per share)	$ 0.44	$ 0.42

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
Summary of Significant Accounting Policies	Apr. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited Condensed Consolidated Financial Statements of Donaldson Company, Inc. and its subsidiaries (the Company) have been prepared in accordance with generally accepted accounting prin ciples (GAAP) in the United States (U.S.) and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and notes required for complete financial statements. In the opinion of management, all adjustments considered necessary for a fair statement of earnings, comprehensive income, financial position, cash flows and changes in stockholders’ equity have been included and are of a normal recurring nature. Operating results for the three and nine months ended April 30, 2022 are not necessarily indicative of the results that may be expected for future periods. The year end Condensed Consolidated Balance Sheet information was derived from the Company’s Audited Consolidated Financial Statements but does not include all disclosures required by GAAP. For further information, refer to the Audited Consolidated Financial Statements and Notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended July 31, 2021. Principles of Consolidation The Condensed Consolidated Financial Statements include the accounts of the Company and all of its majority-owned subsidiaries. All intercompany accounts and transactions have been eliminated. The Company’s joint ventures are not majority-owned and are accounted for under the equity method. Use of Estimates The preparation of the Company’s financial statements in conformity with GAAP requires management to make estimates and assu mptions that affect the amount of assets and liabilities and the disclosures regarding contingent assets and liabilities at period end and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Operating Environment Russia and Ukraine Following the Russia and Ukraine conflict, the Company complied with all sanctions, including those from the European Union, Great Britain and the U.S. and ceased direct product shipments into Russia and Belarus. Total revenues associated with customers in these areas are less than 2% of the Company’s net sales in the Condensed Consolidated Statements of Earnings. As of April 30, 2022, the Company has related asset exposure in the form of accounts receivables and inventories of approximately $6.8 million. The Company is monitoring the regional and global ramifications of the events unfolding. Supply Chain Disruptions The Company continues to experience supply chain disruptions, including global logistics and labor challenges and constrained supplies of steel, petrochemical products and filter media. These disruptions have increased the Company’s input costs significantly and extended lead times. The Company has undertaken steps to mitigate these negative impacts, such as increasing prices, evaluating alternative supply chain options, qualifying additional suppliers and strategic raw material purchases. This dynamic impacted results through the third quarter of fiscal 2022 and is expected to continue into fiscal 2023. Inflation In connection with the supply chain disruptions described above, the Company has experienced the effects of inflation related to raw materials and operating expenses, including freight, labor and energy. These inflationary pressures have had an adverse impact on profit margins, particularly in recent months. The Company continues to negotiate price increases with its customers and is working with its suppliers to mitigate these cost increases. Inflation impacted results through the third quarter of fiscal 2022 and is expected to continue into fiscal 2023. New Accounting Standards Not Yet Adopted The Company considers the applicability and impact of the Financial Accounting Standards Board’s (FASB) Accounting Standards Updates (ASUs) issued but not yet adopted. In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805), Accounting for Contract Assets and Contract Liabilities from Contracts with Customers. This ASU clarifies that an acquirer of a business should recognize and measure contract assets and contract liabilities in a business combination in accordance with ASU 2014-09, Revenue from Contracts with Customers

Acquisitions

Acquisitions	9 Months Ended
Acquisitions	Apr. 30, 2022
Business Combination and Asset Acquisition [Abstract]
Acquisitions	Acquisitions Solaris Biotechnology Srl (Solaris) On November 22, 2021, the Company acquired Solaris, headquartered in Porto Mantovano, Italy, with U.S. operations based in Berkeley, California, for cash consideration of approximately €41 million, or $45.7 million, net of cash acquired. Solaris designs and manufactures bioprocessing equipment, including bioreactors, fermenters and tangential flow filtration systems for use in food and beverage, biotechnology and other life sciences markets. Solaris is reported within the Company’s Industrial Filtration Solutions business in the Industrial Products segment. The Company assigned the fair values to the net assets acquired resulting in $27.2 million for goodwill and $20.8 million for intangible assets, none of which are expected to be deductible for tax purposes, as well as a deferred tax liability of $4.4 million. Net working capital was $2.1 million. Net sales of Solaris were immaterial to the Condensed Consolidated Statements of Earnings for the three and nine months ended April 30, 2022. Pearson Arnold Industrial Services (PAIS) On November 1, 2021, the Company acquired PAIS, headquartered in the U.S., for cash consideration of approximately $3.3 million, net of cash acquired. PAIS provides equipment, parts and services for dust, mist and fume collection systems, industrial fans and compressed air systems. PAIS is reported within the Industrial Products segment. The Company assigned the fair values to the net assets acquired resulting in $0.4 million for goodwill and $3.0 million for intangible assets, all of which are expected to be deductible for tax purposes. During the three months ended April 30, 2022, the Company adjusted working capital accounts of PAIS, resulting in a corresponding increase in the value of acquired goodwill of $1.8 million. Net sales of PAIS were immaterial to the Condensed Consolidated Statements of Earnings for the three and nine months ended April 30, 2022.

Revenue

Revenue	9 Months Ended
Revenue	Apr. 30, 2022
Revenue from Contract with Customer [Abstract]
Revenue	Revenue The Company recognizes revenue on a wide range of filtration solutions sold to customers in many industries around the globe. Most of the Company’s performance obligations within customer sales contracts are for manufactured filtration systems and replacement parts. The Company also performs limited services and installation. Customer contracts may include multiple performance obligations and the transaction price is allocated to each distinct performance obligation based on its relative standalone selling price. Revenue Disaggregation Net sales, generally disaggregated by location where the customer’s order was placed, were as follows (in millions): Three Months Ended Nine Months Ended 2022 2021 2022 2021 U.S. and Canada $ 348.8 $ 294.6 $ 963.6 $ 801.8 Europe, Middle East and Africa (EMEA) 250.9 232.7 717.2 621.7 Asia Pacific 161.6 169.0 495.6 474.5 Latin America 91.9 68.7 240.2 182.8 Total net sales $ 853.2 $ 765.0 $ 2,416.6 $ 2,080.8 See Note 17 for net sales disaggregated by segment and business unit. Contract Assets and Liabilities The satisfaction of performance obligations and the resulting recognition of revenue typically correspond with billing of the customer. In limited circumstances, the customer may be billed at a time later than when revenue is recognized, resulting in contract assets, which are reported in other current assets on the Condensed Consolidated Balance Sheets. Contract assets were $18.7 million and $14.9 million as of April 30, 2022 and July 31, 2021, respectively. In other limited circumstances, the customer may make a payment at a time earlier than when revenue is recognized and prior to the satisfaction of performance obligations, resulting in contract liabilities, which are reported in other current liabilities on the Condensed Consolidated Balance Sheets. Contract liabilities were $23.3 million and $12.2 million as of April 30, 2022 and July 31, 2021, respectively. The Company will recognize revenue in future periods related to remaining performance obligations for certain open contracts. Generally, these contracts have terms of one year or less. The amount of revenue related to unsatisfied performance obligations in which the original duration of the contract is greater than one year is not significant. None of the Company’s contracts contained a significant financing component. Costs to Obtain or Fulfill a Contract The Company generally does not incur significant incremental costs related to obtaining or fulfilling a contract prior to the start of a project. The Company may incur certain fulfillment costs such as initial design or mobilization costs which are capitalized if they relate directly to the contract, if they are expected to generate resources that will be used to satisfy the Company’s performance obligation under the contract, and if they are expected to be recovered through revenues generated under the contract. Such costs, which are amortized over the life of the respective project, were not material for any period presented.

Inventories, Net

Inventories, Net	9 Months Ended
Inventories, Net	Apr. 30, 2022
Inventory Disclosure [Abstract]
Inventories, Net	Inventories, Net The components of inventories, net were as follows (in millions): April 30, July 31, Raw materials $ 201.3 $ 148.1 Work in process 57.1 43.2 Finished products 252.3 193.2 Total inventories, net $ 510.7 $ 384.5

Property, Plant and Equipment,

Property, Plant and Equipment, Net	9 Months Ended
Property, Plant and Equipment, Net	Apr. 30, 2022
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment, Net	Property, Plant and Equipment, Net The components of property, plant and equipment, net were as follows (in millions): April 30, July 31, Land $ 26.1 $ 27.1 Buildings 401.1 410.8 Machinery and equipment 959.9 972.0 Computer software 143.4 144.3 Construction in progress 56.2 40.6 Less accumulated depreciation (995.6) (977.0) Total property, plant and equipment, net $ 591.1 $ 617.8

Goodwill and Intangible Assets

Goodwill and Intangible Assets	9 Months Ended
Goodwill and Intangible Assets	Apr. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	Goodwill and Intangible Assets Goodwill The Company allocates goodwill to reporting units within its Engine Products and Industrial Products segments. There were no dispositions or impairment charges recorded during the three and nine months ended April 30, 2022 and 2021. Goodwill is assessed for impairment annually during the third quarter of the fiscal year, or more frequently if events or changes in circumstances indicate the asset may be impaired. The Company performed its annual impairment assessment during the third quarter of fiscal 2022 and did not record any impairment as a result of this assessment. Goodwill by reportable segment was as follows (in millions): Engine Industrial Total Balance as of July 31, 2021 $ 84.7 $ 237.8 $ 322.5 Goodwill acquired — 29.4 29.4 Foreign currency translation (0.8) (14.5) (15.3) Balance as of April 30, 2022 $ 83.9 $ 252.7 $ 336.6 Intangible Assets Preliminary intangible assets recognized from the Solaris acquisition were $20.8 million, of which technology was $17.3 million with a 15 year useful life, trademarks and tradenames were $3.3 million with a 10 year useful life and backlog was $0.2 million with a six month useful life. Preliminary intangible assets recognized from the PAIS acquisition were $3.0 million, all of which were customer relationships with a 20 year useful life. See Note 2 for the acquisitions. Intangible asset classes were as follows (in millions): Customer Relationships Patents, Trademarks and Technology Gross Carrying Amount Accumulated Amortization Total Net Value Gross Carrying Amount Accumulated Amortization Total Net Value Total Balance as of July 31, 2021 $ 107.5 $ (56.4) $ 51.1 $ 24.3 $ (13.8) $ 10.5 $ 61.6 Intangible assets acquired 3.2 — 3.2 20.6 — 20.6 23.8 Amortization expense — (4.7) (4.7) — (2.2) (2.2) (6.9) Foreign currency translation (4.5) 1.5 (3.0) (2.0) 0.3 (1.7) (4.7) Balance as of April 30, 2022 $ 106.2 $ (59.6) $ 46.6 $ 42.9 $ (15.7) $ 27.2 $ 73.8 Amortization expense was $2.4 million and $6.9 million for the three and nine months ended April 30, 2022, respectively, and was $2.2 million and $6.4 million for the three and nine months ended April 30, 2021, respectively. Amortization expense is included in operating expenses in the Condensed Consolidated Statements of Earnings.

Long-Term Debt

Long-Term Debt	9 Months Ended
Long-Term Debt	Apr. 30, 2022
Debt Disclosure [Abstract]
Long-Term Debt	Long-Term Debt As of April 30, 2022, there was $407.5 million available on the Company’s $500.0 million unsecured revolving credit facility that expires on May 21, 2026. In the third quarter of fiscal 2022, the Company borrowed a net $60.0 million on its unsecured revolving credit facility. The Company entered into an agreement in which the Company would issue and sell two tranches of unsecured senior notes, totaling $150.0 million. The first tranche, issued in August 2021, was a $100.0 million 10 year note due 2031 at a fixed interest rate of 2.50%. The second tranche, issued in November 2021, was a $50.0 million seven year note due 2028 at a fixed interest rate of 2.12%. Certain debt agreements contain financial covenants related to interest coverage and leverage ratios, as well as other non-financial covenants. As of April 30, 2022, the Company was in compliance with all such covenants.

Income Taxes

Income Taxes	9 Months Ended
Income Taxes	Apr. 30, 2022
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company files income tax returns in the U.S. federal jurisdiction and various state and foreign jurisdictions. The U.S. In ternal Revenue Service has completed examinations of the Company’s U.S. fed eral income tax returns through 2017. With few exceptions, the Company is no longer subject to state and foreign income tax examinations by tax authorities for years before 2016. As of April 30, 2022 , gross unrecognized tax benefits were $19.6 million and accrued interest and penalties on these unrecognized tax benefits were $2.1 million. The Company recognizes accrued interest and penalties related to unrecognized tax benefits in income taxes in the Condensed Consolidated Statements of Earnings. The Company estimates within the next 12 months it is reasonably possible its uncertain tax positions could decrease by as much as $5.3 million due to lapses in statutes of limitation. The statutes of limitation periods for the Company’s various tax jurisdictions range from two years to 10 years.

Earnings Per Share

Earnings Per Share	9 Months Ended
Earnings Per Share	Apr. 30, 2022
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share Basic net earnings per share is computed by dividing net earnings by the weighted average number of outstanding common shares. Diluted net earnings per share is computed by dividing net earnings by the weighted average number of outstanding common shares and common share equivalents relating to stock options and other stock incentive plans. Basic and diluted net earnings per share calculations were as follows (in millions, except per share amounts): Three Months Ended Nine Months Ended 2022 2021 2022 2021 Net earnings $ 83.0 $ 84.4 $ 231.8 $ 202.6 Weighted average common shares outstanding Weighted average common shares – basic 123.4 126.4 123.9 126.6 Dilutive impact of stock-based awards 1.2 1.9 1.7 1.6 Weighted average common shares – diluted 124.6 128.3 125.6 128.2 Net earnings per share – basic $ 0.67 $ 0.67 $ 1.87 $ 1.60 Net earnings per share – diluted $ 0.67 $ 0.66 $ 1.85 $ 1.58 Stock options excluded from net earnings per share calculation 1.7 — 1.6 0.8

Shareholders' Equity

Shareholders' Equity	9 Months Ended
Shareholders' Equity	Apr. 30, 2022
Stockholders' Equity Note [Abstract]
Shareholders' Equity	Stockholders’ Equity Share Repurchases The Company’s Board of Directors has authorized the repurchase of up to 13.0 million shares of common stock under the Company’s stock repurchase plan. This repurchase authorization is effective until terminated by the Board of Directors. During the nine months ended April 30, 2022, the Company r epurchased 2.5 million shares for $153.7 million. As of April 30, 2022, the Company had remaining authorization to repurchase 5.8 million shares u nder this plan. Dividends Paid and Declared Dividends p aid were 22.0 cents and 66.0 cents p er share for the three and nine months ended April 30, 2022, respectively, and were 21.0 cents and 63.0 cents for the three and nine months ended April 30, 2021, respectively. On May 25, 2022, the Company’s Board of Directors declared a cash dividend in the amount of 23.0 cents per common share, payable June 24, 2022, to shareholders of record as of June 9, 2022.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	9 Months Ended
Accumulated Other Comprehensive Loss	Apr. 30, 2022
Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated Other Comprehensive Loss	Accumulated Other Comprehensive Loss Changes in accumulated other comprehensive loss for the three months ended April 30, 2022 and 2021 were as follows (in millions): Foreign Pension Derivative Total Balance as of January 31, 2022, net of tax $ (71.6) $ (70.7) $ 2.2 $ (140.1) Other comprehensive (loss) income before reclassifications and tax (42.8) (7.6) (1) 3.4 (47.0) Tax benefit (expense) — 2.0 (0.8) 1.2 Other comprehensive (loss) income before reclassifications, net of tax (42.8) (5.6) 2.6 (45.8) Reclassifications, before tax — 5.0 (2) (0.3) (3) 4.7 Tax (expense) benefit — (1.2) 0.1 (1.1) Reclassifications, net of tax — 3.8 (0.2) 3.6 Other comprehensive (loss) income, net of tax (42.8) (1.8) 2.4 (42.2) Balance as of April 30, 2022, net of tax $ (114.4) $ (72.5) $ 4.6 $ (182.3) Balance as of January 31, 2021, net of tax $ (37.5) $ (103.9) $ (1.6) $ (143.0) Other comprehensive (loss) income before reclassifications and tax (0.2) 21.4 (1) 1.2 22.4 Tax expense — (5.2) (0.2) (5.4) Other comprehensive (loss) income before reclassifications, net of tax (0.2) 16.2 1.0 17.0 Reclassifications, before tax — 3.0 (2) 0.2 (3) 3.2 Tax expense — (0.7) (0.1) (0.8) Reclassifications, net of tax — 2.3 0.1 2.4 Other comprehensive (loss) income, net of tax (0.2) 18.5 1.1 19.4 Balance as of April 30, 2021, net of tax $ (37.7) $ (85.4) $ (0.5) $ (123.6) (1) In fiscal 2022 and 2021, pension settlement accounting was triggered. Remeasurements of the Company’s pension obligations resulted in adjustments to accumulated other comprehensive loss of $7.6 million and $21.4 million in fiscal 2022 and 2021, respectively, on the Condensed Consolidated Balance Sheets, see Note 13. (2) Includes reclassifications of $1.1 million in fiscal 2022 and 2021, and also included net amortization of prior service costs and actuarial losses of $3.9 million and $1.9 million in fiscal 2022 and 2021, respectively, included in other income, net in the Condensed Consolidated Statements of Earnings, see Note 13. (3) Relates to designated forward foreign currency exchange contracts that were reclassified from accumulated other comprehensive loss on the Condensed Consolidated Balance Sheets to net sales, cost of sales and operating expenses in the Condensed Consolidated Statements of Earnings, see Note 14. Changes in accumulated other comprehensive loss for the nine months ended April 30, 2022 and 2021 were as follows (in millions): Foreign Pension Derivative Total Balance as of July 31, 2021, net of tax $ (44.0) $ (74.7) $ 0.5 $ (118.2) Other comprehensive (loss) income before reclassifications and tax (70.4) (9.3) (1) 5.5 (74.2) Tax benefit (expense) — 2.4 (1.2) 1.2 Other comprehensive (loss) income before reclassifications, net of tax (70.4) (6.9) 4.3 (73.0) Reclassifications, before tax — 11.8 (2) (0.2) (3) 11.6 Tax expense — (2.7) — (2.7) Reclassifications, net of tax — 9.1 (0.2) 8.9 Other comprehensive (loss) income, net of tax (70.4) 2.2 4.1 (64.1) Balance as of April 30, 2022, net of tax $ (114.4) $ (72.5) $ 4.6 $ (182.3) Balance as of July 31, 2020, net of tax $ (74.0) $ (110.0) $ — $ (184.0) Other comprehensive income (loss) before reclassifications and tax 36.3 25.4 (1) (0.2) 61.5 Tax (expense) benefit — (6.2) 0.1 (6.1) Other comprehensive income (loss) before reclassifications, net of tax 36.3 19.2 (0.1) 55.4 Reclassifications, before tax — 6.8 (2) (0.5) (3) 6.3 Tax (expense) benefit — (1.4) 0.1 (1.3) Reclassifications, net of tax — 5.4 (0.4) 5.0 Other comprehensive income (loss), net of tax 36.3 24.6 (0.5) 60.4 Balance as of April 30, 2021, net of tax $ (37.7) $ (85.4) $ (0.5) $ (123.6) (1) In fiscal 2022 and 2021, pension settlement accounting was triggered. In addition, pension curtailment accounting was triggered in fiscal 2021. Remeasurements of the Company’s pension obligations resulted in adjustments to accumulated other comprehensive loss of $9.3 million and $25.4 million in fiscal 2022 and 2021, respectively, on the Condensed Consolidated Balance Sheets, see Note 13. (2) Includes reclassifications of $2.3 million and $1.9 million in fiscal 2022 and 2021, respectively, and also includes net amortization of prior service costs and actuarial losses of $9.5 million and $4.9 million in fiscal 2022 and 2021, respectively, included in other income, net in the Condensed Consolidated Statements of Earnings, see Note 13. (3) Relates to designated forward foreign currency exchange contracts that were reclassified from accumulated other comprehensive loss on the Condensed Consolidated Balance Sheets to net sales, cost of sales and operating expenses in the Condensed Consolidated Statements of Earnings, see Note 14.

Stock-Based Compensation

Stock-Based Compensation	9 Months Ended
Stock-Based Compensation	Apr. 30, 2022
Share-based Payment Arrangement, Noncash Expense [Abstract]
Stock-Based Compensation	Stock-Based Compensation The Company recognizes compensation expense for all stock-based awards based on the grant date fair value of the award. Stock-based awards consist primarily of non-qualified stock options, performance-based awards, restricted stock awards and restricted stock units. Grants related to restricted stock awards and restricted stock units are immaterial. The Company issues treasury shares for stock options and performance-based awards. Stock Options The exercise price of options granted is equal to the market price of the Company’s common stock at the date of the grant. Options are generally exercisable for up to 10 years from t he date of grant and vest in equal increments over three years. Pretax stock-based compensation expense associated with options was $1.4 million and $10.2 million fo r the three and nine months ended April 30, 2022, respectively, and was $1.8 million and $9.3 million for the three and nine months ended April 30, 2021, respectively. Fair value is calculated using the Black-Scholes option pricing model. The weighted average fair value for options granted during the nine months ended April 30, 2022 and 2021 w as $14.24 and $10.23 pe r share, respectively. Option activity was as follows: Options Weighted Balance outstanding as of July 31, 2021 6,444,743 $ 44.05 Granted 898,726 59.18 Exercised (308,945) 37.50 Canceled/forfeited (43,560) 53.07 Balance outstanding as of April 30, 2022 6,990,964 $ 46.23 Performance-Based Awards Performance-based awards are payable in common stock and are based on a formula that measures Company performance over a three year period. These awards are settled after three years with payouts ranging from zero to 200% of the target award depending on achievement. Pretax performance-based awards expense w as $1.8 million and $5.6 million for the three and nine months ended April 30, 2022, respectively. For the three months ended April 30, 2021, pretax performance-based awards was a reduction in expense of $0.8 million resulting from an adjustment to anticipated performance achievement. For the nine months ended April 30, 2021, pretax performance-based awards expense was $1.2 million. Performance-based awards for non-vested activity were as follows: Performance Shares Weighted Balance outstanding as of July 31, 2021 200,567 $ 48.76 Granted 88,400 59.40 Vested — — Canceled (3,580) 53.23 Balance outstanding as of April 30, 2022 285,387 $ 52.00

Employee Benefit Plans

Employee Benefit Plans	9 Months Ended
Employee Benefit Plans	Apr. 30, 2022
Retirement Benefits, Description [Abstract]
Employee Benefit Plans	Employee Benefit Plans The Company has defined benefit pension plans for certain hourly and salaried employees. These plans generally provide pension benefits based on years of service and compensation level. Components of net periodic pension costs other than the service cost component are included in other income, net in the Condensed Consolidated Statements of Earnings. Net periodic pension costs for the Company’s pension plans were as follows (in millions): Three Months Ended Nine Months Ended 2022 2021 2022 2021 Service cost $ 1.8 $ 2.0 $ 5.4 $ 6.1 Interest cost 2.4 2.5 7.4 7.4 Expected return on assets (6.2) (5.9) (18.7) (17.6) Prior service cost amortization 0.1 0.1 0.2 0.4 Actuarial loss amortization 1.8 2.1 5.4 6.2 Settlement charge 1.1 1.1 2.3 1.1 Curtailment charge — — — 0.8 Net periodic pension costs $ 1.0 $ 1.9 $ 2.0 $ 4.4 In the second and third quarters of fiscal 2022, the Company recorded pension settlement charges of $1.2 million and $1.1 million, respectively, as a result of lump sum distributions exceeding the service and interest cost components of the annual net periodic pension cost. The corresponding remeasurements resulted in a decrease in the Company’s net pension assets and a corresponding adjustment to other comprehensive loss in the Condensed Consolidated Statement of Comprehensive Income of $1.7 million and $7.6 million in the second and third quarters of fiscal 2022, respectively. See Note 11. In the first quarter of fiscal 2021, the Company recorded a pension curtailment charge of $0.8 million as a result of freezing pension benefits to certain employees. Additionally, in the third quarter of fiscal 2021, the Company recorded a pension settlement charge of $1.1 million as a result of lump sum distributions exceeding the service and interest cost components of the annual net periodic pension cost. The corresponding remeasurements resulted in an increase in the Company’s net pension assets, as well as a corresponding adjustment to other comprehensive loss in the Condensed Consolidated Statement of Comprehensive Income of $25.4 million. See Note 11. The Company’s general funding policy is to make at least the minimum required contributions as required by applicable regulations, plus any additional amounts it determines to be appropriate. Future required pension plan contributions may change significantly depending on the actual rate of return on plan assets, discount rates and regulatory requirements.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
Fair Value Measurements	Apr. 30, 2022
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements Fair value measurements of financial instruments are reported in one of three levels based on the lowest level of significant input used. For Level 1, inputs to the fair value measurement are quoted prices in active markets for identical assets or liabilities. For Level 2, inputs to the fair value measurement include quoted prices in active markets for similar assets or liabilities, quoted prices for identical or similar assets or liabilities in markets that are not active and inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. For Level 3, inputs to the fair value measurement are unobservable inputs or are based on valuation techniques. Short-Term Financial Instruments As of April 30, 2022 and July 31, 2021, the carrying values of cash and cash equivalents, accounts receivable, short-term borrowings and accounts payable approximate fair value because of the short-term nature of these instruments, and are classified as Level 1 in the fair value hierarchy. Long-Term Debt As of April 30, 2022, the estimated fair values of fixed interest rate long-term debt were $395.4 million compared to the carrying values of $425.0 million. As of July 31, 2021, the estimated fair values of fixed interest rate long-term debt were $297.4 million compared to the carrying values of $275.0 million. The fair values are estimated by discounting the projected cash flows using the interest rates at which similar amounts of debt could currently be borrowed. The carrying values of total variable interest rate long-term debt were $184.7 million and $188.3 million as of April 30, 2022 and July 31, 2021, respectively, and approximate their fair values. Long-term de bt is cl assified as Level 2 in the fair value hierarchy. Equity Method Investments The Company holds equity method investments in its joint ventures, which are included in other long-term assets on the Condensed Consolidated Balance Sheets. The aggregate carrying amount of these investments was $25.6 million and $24.2 million as of April 30, 2022 and July 31, 2021, respectively. These equity method investments are measured at fair value on a non-recurring basis. The fair value of the Company’s equity method investments has not been adjusted as there have been no triggering events or changes in circumstance that would have had an adverse impact on the value of these investments. In the event these investments are required to be measured, they would fall within Level 3 of the fair value hierarchy due to the use of significant unobservable inputs to determine fair value, as the investments are in privately-held entities. Derivative Fair Value Measurements The Company enters into derivative instrument agreements, including forward foreign currency exchange contracts and net investment hedges to manage risk in connection with changes in foreign currency. The Company only enters into derivative instrument agreements with counterparties who have highly rated credit. The Company does not enter into derivative instrument agreements for trading or speculative purposes. The fair values of the Company’s forward foreign currency exchange contracts and net investment hedges reflect the amounts that would be received to sell the assets or paid to transfer the liabilities in an orderly transaction between market participants at the measurement date (exit price). The fair values are based on inputs other than quoted prices that are observable for the asset or liability and are determined by standard calculations and models that use readily observable market parameters. These inputs include foreign currency exchange rates and interest rates. Industry standard data providers are the primary source for forward and spot rate information for both interest rates and foreign currency exchange rates. The fair values of the Company’s forward foreign currency exchange contracts and net investment hedges are classified as Level 2 in the fair value hierarchy. Forward Foreign Currency Exchange Contracts The Company buys materials from foreign suppliers. Those transactions can be denominated in those suppliers’ local currency. The Company also sells to customers in foreign countries. Those transactions can be denominated in those customers’ local currency. Both of these transaction types can create volatility in the Company’s financial statements. The Company uses forward currency exchange contracts to manage those exposures and fluctuations. These contracts generally mature in 12 months or less, which is consistent with the forecasts of the rel ated purchases and sales. Certain contracts are designated as cash flow hedges, whereas the remaining contracts, most of which are related to certain intercompany transactions, are not designated. Net Investment Hedges The Company uses fixed-to-fixed cross-currency swap agreements to hedge its exposure to adverse foreign currency exchange rate movements for i ts operations in Europe. The Company has elected the spot method for designating these contracts as net investment hedges. As of April 30, 2022, the total notional amount of foreign exchange forward contracts designated as net investment hedges was €80 million, or $88.8 million, which includes a hedge for $33.0 million entered into in the third quarter of fiscal 2022. The maturity dates of these derivative instruments designated as net investment hedges range from 2027 to 2029. Fair Value of Derivatives Contracts The fair value of the Company’s derivative contracts, recorded on the Condensed Consolidated Balance Sheets, was as follows (in millions): Notional Amounts Assets Liabilities April 30, July 31, April 30, July 31, April 30, July 31, 2022 2021 2022 2021 2022 2021 Designated as hedging instruments Forward foreign currency exchange contracts $ 33.8 $ 117.2 $ 1.2 $ 1.0 $ 1.3 $ 1.2 Net investment hedges 88.8 55.8 4.8 1.1 — 2.0 Total designated 122.6 173.0 6.0 2.1 1.3 3.2 Not designated as hedging instruments Forward foreign currency exchange contracts 171.9 154.2 1.2 0.5 2.5 0.4 Total not designated 171.9 154.2 1.2 0.5 2.5 0.4 Total $ 294.5 $ 327.2 $ 7.2 $ 2.6 $ 3.8 $ 3.6 Forward foreign currency exchange contract assets were recorded in other current assets on the Condensed Consolidated Balance Sheets. Forward foreign currency exchange contract liabilities were recorded in other current liabilities on the Condensed Consolidated Balance Sheets. The net investment hedges were recorded in other current assets, other long-term assets and other long-term liabilities on the Condensed Consolidated Balance Sheets. Changes in the fair value of the Company’s designated hedges are reported in accumulated other comprehensive loss on the Condensed Consolidated Balance Sheets until the related transaction occurs. Designated hedges are recognized as a component of net sales, cost of sales and operating expenses in the Condensed Consolidated Statements of Earnings upon occurrence of the related hedged transaction. Hedges which are not designated are recognized in other income, net in the Condensed Consolidated Statements of Earnings. This recognition is timed to coincide with that of the related hedged transactions. Changes in the fair value of these hedges are, likewise, recognized in other income, net in the Condensed Consolidated Statements of Earnings. The Company classifies cash flows from derivatives designated in a qualifying cash flow hedging relationship in the same category as the cash flows from the hedged items. Cash flows from these derivative transactions are recorded in operating activities in the Condensed Consolidated Statements of Cash Flows. Amounts related to forward foreign currency exchange contracts are expected to be reclassified into earnings during the next 12 months based on the timing of inventory purchases and sales. Amounts related to excluded components, such as forward points, are excluded from the assessment of hedge effectiveness of net investment hedges, and are expected to be reclassified into earnings throughout their maturity dates. See Note 11 for additional information on accumulated other comprehensive loss. Credit Risk Related Contingent Features Contract provisions may require the posting of collateral or settlement of the contracts for various reasons, including if the Company’s credit ratings are downgraded below its investment grade credit rating by any of the major credit agencies or for cross default contractual provisions if there is a failure under other financing arrangements related to payment terms or covenants. As of April 30, 2022 and July 31, 2021, no collateral was posted. Counterparty Credit Risk There is risk that counterparties to derivative contracts will fail to meet their contractual obligations. In order to mitigate counterparty credit risk, the Company only enters into contracts with carefully selected financial institutions based on their credit ratings and certain other financial factors.

Guarantees

Guarantees	9 Months Ended
Guarantees	Apr. 30, 2022
Guarantees [Abstract]
Guarantees	Guarantees Letters of Credit The Company has letters of credit which guarantee payment to third parties in the event the Company is in breach of contract terms as detailed in each letter of credit. The outstanding debt contingent liability for standby letters of credit was as follows (in millions): April 30, July 31, Contingent liability for standby letters of credit issued under the Company’s revolving credit facility $ 7.5 $ 7.7 Amounts drawn for letters of credit under the Company’s revolving credit facility $ — $ — Advanced Filtration Systems Inc. (AFSI) The Company has an unconsolidated joint venture, AFSI, established by the Company and Caterpillar Inc. (Caterpillar) in 1986. AFSI designs and manufactures high-efficiency fluid filters used in Caterpillar’s machinery worldwide. The Company and Caterpillar equally own the shares of AFSI, and both companies guaran tee certain debt and banking services, including credit and debit cards, merchant processing and treasury management services, of the joint venture. The Company accounts for AFSI as an equity method investment. The outstanding debt relating to AFSI, which the Company guarantees half, was $61.1 million and $37.8 million as of April 30, 2022 and July 31, 2021, respectively. AFSI’s $63.0 million revolving credit facility expires July 31, 2024. Earnings from AFSI, which are recorded in other income, net in the Condensed Consolidated Statements of Earnings were $3.2 million and $6.6 million for the three and nine months ended April 30, 2022, respectively, and $2.6 million and $6.4 million for the three and nine months ended April 30, 2021, respectively.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
Commitments and Contingencies	Apr. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies The Company records provisions when it is probable a liability has been incurred and the amount of the loss can be reasonably estimated. Claims and litigation are reviewed quarterly and provisions are taken or adjusted to reflect the status of a particular matter. The Company believes the estimated liability in its Condensed Consolidated Financial Statements for claims or litigation is adequate and appropriate for the probable and estimable outcomes. Liabilities recorded were not material to the Company’s financial position, results of operations or liquidity. The Company believes it is remote that the settlement of any of the currently identified claims or litigation will be materially in excess of what is accrued.

Segment Reporting

Segment Reporting	9 Months Ended
Segment Reporting	Apr. 30, 2022
Segment Reporting, Measurement Disclosures [Abstract]
Segment Reporting	Segment Reporting The Company’s reportable segments are Engine Products and Industrial Products. The Company determines its operating segments consistent with the manner in which it manages its operations and evaluates performance for internal review and decision-making. Corporate and unallocated includes corporate expenses determined to be non-allocable to the segments, such as interest expense, restructuring charges and certain incentive compensation . The Company is an integrated enterprise, characterized by substantial intersegment cooperation, cost allocations and sharing of assets. Therefore, the Company does not represent these segments, if operated independently, would report earnings before income taxes as stated below. Segment details were as follows (in millions): Three Months Ended Nine Months Ended 2022 2021 2022 2021 Net sales Engine Products segment $ 601.0 $ 531.0 $ 1,682.3 $ 1,429.6 Industrial Products segment 252.2 234.0 734.3 651.2 Total Company $ 853.2 $ 765.0 $ 2,416.6 $ 2,080.8 Earnings before income taxes Engine Products segment $ 89.2 $ 84.4 $ 226.5 $ 206.1 Industrial Products segment 38.8 37.6 114.6 90.9 Corporate and unallocated (16.7) (11.1) (31.3) (30.0) Total Company $ 111.3 $ 110.9 $ 309.8 $ 267.0 Net sales by business unit were as follows (in millions): Three Months Ended Nine Months Ended 2022 2021 2022 2021 Engine Products segment Off-Road $ 108.2 $ 95.7 $ 297.6 $ 238.4 On-Road 36.1 39.7 100.7 105.0 Aftermarket 425.4 371.4 1,198.1 1,018.7 Aerospace and Defense 31.3 24.2 85.9 67.5 Total Engine Products segment 601.0 531.0 1,682.3 1,429.6 Industrial Products segment Industrial Filtration Solutions 178.5 163.7 515.2 449.3 Gas Turbine Systems 30.5 25.5 76.7 71.9 Special Applications 43.2 44.8 142.4 130.0 Total Industrial Products segment 252.2 234.0 734.3 651.2 Total Company $ 853.2 $ 765.0 $ 2,416.6 $ 2,080.8 Concentrations There we re no customers that accounted for over 10% of net sales for the three and nine months ended April 30, 2022 or 2021. There were no cu

Restructuring

Restructuring	9 Months Ended
Restructuring	Apr. 30, 2022
Restructuring and Related Activities [Abstract]
Restructuring	RestructuringIn the second quarter of fiscal 2021, the Company initiated activities to further improve its operating and manufacturing cost structure, primarily in EMEA. These activities resulted in restructuring expenses, primarily related to severance, of $14.8 million. Charges of $5.8 million were included in cost of sales and $9.0 million were included in operating expenses in the Condensed Consolidated Statement of Earnings for the year ended July 31, 2021. This initiative is now substantially completed.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
Summary of Significant Accounting Policies (Policies)	Apr. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited Condensed Consolidated Financial Statements of Donaldson Company, Inc. and its subsidiaries (the Company) have been prepared in accordance with generally accepted accounting prin ciples (GAAP) in the United States (U.S.) and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and notes required for complete financial statements. In the opinion of management, all adjustments considered necessary for a fair statement of earnings, comprehensive income, financial position, cash flows and changes in stockholders’ equity have been included and are of a normal recurring nature. Operating results for the three and nine months ended April 30, 2022 are not necessarily indicative of the results that may be expected for future periods. The year end Condensed Consolidated Balance Sheet information was derived from the Company’s Audited Consolidated Financial Statements but does not include all disclosures required by GAAP. For further information, refer to the Audited Consolidated Financial Statements and Notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended July 31, 2021.
Principles of Consolidation	Principles of ConsolidationThe Condensed Consolidated Financial Statements include the accounts of the Company and all of its majority-owned subsidiaries. All intercompany accounts and transactions have been eliminated. The Company’s joint ventures are not majority-owned and are accounted for under the equity method.
Use of Estimates	Use of Estimates The preparation of the Company’s financial statements in conformity with GAAP requires management to make estimates and assu mptions that affect the amount of assets and liabilities and the disclosures regarding contingent assets and liabilities at period end and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Operating Environment Russia and Ukraine Following the Russia and Ukraine conflict, the Company complied with all sanctions, including those from the European Union, Great Britain and the U.S. and ceased direct product shipments into Russia and Belarus. Total revenues associated with customers in these areas are less than 2% of the Company’s net sales in the Condensed Consolidated Statements of Earnings. As of April 30, 2022, the Company has related asset exposure in the form of accounts receivables and inventories of approximately $6.8 million. The Company is monitoring the regional and global ramifications of the events unfolding. Supply Chain Disruptions The Company continues to experience supply chain disruptions, including global logistics and labor challenges and constrained supplies of steel, petrochemical products and filter media. These disruptions have increased the Company’s input costs significantly and extended lead times. The Company has undertaken steps to mitigate these negative impacts, such as increasing prices, evaluating alternative supply chain options, qualifying additional suppliers and strategic raw material purchases. This dynamic impacted results through the third quarter of fiscal 2022 and is expected to continue into fiscal 2023. Inflation In connection with the supply chain disruptions described above, the Company has experienced the effects of inflation related to raw materials and operating expenses, including freight, labor and energy. These inflationary pressures have had an adverse impact on profit margins, particularly in recent months. The Company continues to negotiate price increases with its customers and is working with its suppliers to mitigate these cost increases. Inflation impacted results through the third quarter of fiscal 2022 and is expected to continue into fiscal 2023.
New Accounting Standards Not Yet Adopted	New Accounting Standards Not Yet Adopted The Company considers the applicability and impact of the Financial Accounting Standards Board’s (FASB) Accounting Standards Updates (ASUs) issued but not yet adopted. In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805), Accounting for Contract Assets and Contract Liabilities from Contracts with Customers. This ASU clarifies that an acquirer of a business should recognize and measure contract assets and contract liabilities in a business combination in accordance with ASU 2014-09, Revenue from Contracts with Customers

Revenue (Tables)

Revenue (Tables)	9 Months Ended
Revenue (Tables)	Apr. 30, 2022
Revenue from Contract with Customer [Abstract]
Schedule of disaggregation of revenue	Net sales, generally disaggregated by location where the customer’s order was placed, were as follows (in millions): Three Months Ended Nine Months Ended 2022 2021 2022 2021 U.S. and Canada $ 348.8 $ 294.6 $ 963.6 $ 801.8 Europe, Middle East and Africa (EMEA) 250.9 232.7 717.2 621.7 Asia Pacific 161.6 169.0 495.6 474.5 Latin America 91.9 68.7 240.2 182.8 Total net sales $ 853.2 $ 765.0 $ 2,416.6 $ 2,080.8 See Note 17 for net sales disaggregated by segment and business unit.

Inventories, Net (Tables)

Inventories, Net (Tables)	9 Months Ended
Inventories, Net (Tables)	Apr. 30, 2022
Inventory Disclosure [Abstract]
Schedule of inventories	The components of inventories, net were as follows (in millions): April 30, July 31, Raw materials $ 201.3 $ 148.1 Work in process 57.1 43.2 Finished products 252.3 193.2 Total inventories, net $ 510.7 $ 384.5

Property, Plant and Equipment_2

Property, Plant and Equipment, Net (Tables)	9 Months Ended
Property, Plant and Equipment, Net (Tables)	Apr. 30, 2022
Property, Plant and Equipment [Abstract]
Schedule of property, plant and equipment	The components of property, plant and equipment, net were as follows (in millions): April 30, July 31, Land $ 26.1 $ 27.1 Buildings 401.1 410.8 Machinery and equipment 959.9 972.0 Computer software 143.4 144.3 Construction in progress 56.2 40.6 Less accumulated depreciation (995.6) (977.0) Total property, plant and equipment, net $ 591.1 $ 617.8

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	9 Months Ended
Goodwill and Intangible Assets (Tables)	Apr. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of reconciliation of goodwill	Goodwill by reportable segment was as follows (in millions): Engine Industrial Total Balance as of July 31, 2021 $ 84.7 $ 237.8 $ 322.5 Goodwill acquired — 29.4 29.4 Foreign currency translation (0.8) (14.5) (15.3) Balance as of April 30, 2022 $ 83.9 $ 252.7 $ 336.6
Schedule of finite-lived intangible assets	Intangible asset classes were as follows (in millions): Customer Relationships Patents, Trademarks and Technology Gross Carrying Amount Accumulated Amortization Total Net Value Gross Carrying Amount Accumulated Amortization Total Net Value Total Balance as of July 31, 2021 $ 107.5 $ (56.4) $ 51.1 $ 24.3 $ (13.8) $ 10.5 $ 61.6 Intangible assets acquired 3.2 — 3.2 20.6 — 20.6 23.8 Amortization expense — (4.7) (4.7) — (2.2) (2.2) (6.9) Foreign currency translation (4.5) 1.5 (3.0) (2.0) 0.3 (1.7) (4.7) Balance as of April 30, 2022 $ 106.2 $ (59.6) $ 46.6 $ 42.9 $ (15.7) $ 27.2 $ 73.8

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
Earnings Per Share (Tables)	Apr. 30, 2022
Earnings Per Share [Abstract]
Schedule of basic and diluted net earnings per share	Basic and diluted net earnings per share calculations were as follows (in millions, except per share amounts): Three Months Ended Nine Months Ended 2022 2021 2022 2021 Net earnings $ 83.0 $ 84.4 $ 231.8 $ 202.6 Weighted average common shares outstanding Weighted average common shares – basic 123.4 126.4 123.9 126.6 Dilutive impact of stock-based awards 1.2 1.9 1.7 1.6 Weighted average common shares – diluted 124.6 128.3 125.6 128.2 Net earnings per share – basic $ 0.67 $ 0.67 $ 1.87 $ 1.60 Net earnings per share – diluted $ 0.67 $ 0.66 $ 1.85 $ 1.58 Stock options excluded from net earnings per share calculation 1.7 — 1.6 0.8

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Loss (Tables)	9 Months Ended
Accumulated Other Comprehensive Loss (Tables)	Apr. 30, 2022
Other Comprehensive Income (Loss), Net of Tax [Abstract]
Schedule of changes in accumulated other comprehensive loss	Changes in accumulated other comprehensive loss for the three months ended April 30, 2022 and 2021 were as follows (in millions): Foreign Pension Derivative Total Balance as of January 31, 2022, net of tax $ (71.6) $ (70.7) $ 2.2 $ (140.1) Other comprehensive (loss) income before reclassifications and tax (42.8) (7.6) (1) 3.4 (47.0) Tax benefit (expense) — 2.0 (0.8) 1.2 Other comprehensive (loss) income before reclassifications, net of tax (42.8) (5.6) 2.6 (45.8) Reclassifications, before tax — 5.0 (2) (0.3) (3) 4.7 Tax (expense) benefit — (1.2) 0.1 (1.1) Reclassifications, net of tax — 3.8 (0.2) 3.6 Other comprehensive (loss) income, net of tax (42.8) (1.8) 2.4 (42.2) Balance as of April 30, 2022, net of tax $ (114.4) $ (72.5) $ 4.6 $ (182.3) Balance as of January 31, 2021, net of tax $ (37.5) $ (103.9) $ (1.6) $ (143.0) Other comprehensive (loss) income before reclassifications and tax (0.2) 21.4 (1) 1.2 22.4 Tax expense — (5.2) (0.2) (5.4) Other comprehensive (loss) income before reclassifications, net of tax (0.2) 16.2 1.0 17.0 Reclassifications, before tax — 3.0 (2) 0.2 (3) 3.2 Tax expense — (0.7) (0.1) (0.8) Reclassifications, net of tax — 2.3 0.1 2.4 Other comprehensive (loss) income, net of tax (0.2) 18.5 1.1 19.4 Balance as of April 30, 2021, net of tax $ (37.7) $ (85.4) $ (0.5) $ (123.6) (1) In fiscal 2022 and 2021, pension settlement accounting was triggered. Remeasurements of the Company’s pension obligations resulted in adjustments to accumulated other comprehensive loss of $7.6 million and $21.4 million in fiscal 2022 and 2021, respectively, on the Condensed Consolidated Balance Sheets, see Note 13. (2) Includes reclassifications of $1.1 million in fiscal 2022 and 2021, and also included net amortization of prior service costs and actuarial losses of $3.9 million and $1.9 million in fiscal 2022 and 2021, respectively, included in other income, net in the Condensed Consolidated Statements of Earnings, see Note 13. (3) Relates to designated forward foreign currency exchange contracts that were reclassified from accumulated other comprehensive loss on the Condensed Consolidated Balance Sheets to net sales, cost of sales and operating expenses in the Condensed Consolidated Statements of Earnings, see Note 14. Changes in accumulated other comprehensive loss for the nine months ended April 30, 2022 and 2021 were as follows (in millions): Foreign Pension Derivative Total Balance as of July 31, 2021, net of tax $ (44.0) $ (74.7) $ 0.5 $ (118.2) Other comprehensive (loss) income before reclassifications and tax (70.4) (9.3) (1) 5.5 (74.2) Tax benefit (expense) — 2.4 (1.2) 1.2 Other comprehensive (loss) income before reclassifications, net of tax (70.4) (6.9) 4.3 (73.0) Reclassifications, before tax — 11.8 (2) (0.2) (3) 11.6 Tax expense — (2.7) — (2.7) Reclassifications, net of tax — 9.1 (0.2) 8.9 Other comprehensive (loss) income, net of tax (70.4) 2.2 4.1 (64.1) Balance as of April 30, 2022, net of tax $ (114.4) $ (72.5) $ 4.6 $ (182.3) Balance as of July 31, 2020, net of tax $ (74.0) $ (110.0) $ — $ (184.0) Other comprehensive income (loss) before reclassifications and tax 36.3 25.4 (1) (0.2) 61.5 Tax (expense) benefit — (6.2) 0.1 (6.1) Other comprehensive income (loss) before reclassifications, net of tax 36.3 19.2 (0.1) 55.4 Reclassifications, before tax — 6.8 (2) (0.5) (3) 6.3 Tax (expense) benefit — (1.4) 0.1 (1.3) Reclassifications, net of tax — 5.4 (0.4) 5.0 Other comprehensive income (loss), net of tax 36.3 24.6 (0.5) 60.4 Balance as of April 30, 2021, net of tax $ (37.7) $ (85.4) $ (0.5) $ (123.6) (1) In fiscal 2022 and 2021, pension settlement accounting was triggered. In addition, pension curtailment accounting was triggered in fiscal 2021. Remeasurements of the Company’s pension obligations resulted in adjustments to accumulated other comprehensive loss of $9.3 million and $25.4 million in fiscal 2022 and 2021, respectively, on the Condensed Consolidated Balance Sheets, see Note 13. (2) Includes reclassifications of $2.3 million and $1.9 million in fiscal 2022 and 2021, respectively, and also includes net amortization of prior service costs and actuarial losses of $9.5 million and $4.9 million in fiscal 2022 and 2021, respectively, included in other income, net in the Condensed Consolidated Statements of Earnings, see Note 13. (3) Relates to designated forward foreign currency exchange contracts that were reclassified from accumulated other comprehensive loss on the Condensed Consolidated Balance Sheets to net sales, cost of sales and operating expenses in the Condensed Consolidated Statements of Earnings, see Note 14.

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	9 Months Ended
Stock-Based Compensation (Tables)	Apr. 30, 2022
Share-based Payment Arrangement, Noncash Expense [Abstract]
Schedule of stock option activity	Option activity was as follows: Options Weighted Balance outstanding as of July 31, 2021 6,444,743 $ 44.05 Granted 898,726 59.18 Exercised (308,945) 37.50 Canceled/forfeited (43,560) 53.07 Balance outstanding as of April 30, 2022 6,990,964 $ 46.23
Schedule of performance shares activity	Performance-based awards for non-vested activity were as follows: Performance Shares Weighted Balance outstanding as of July 31, 2021 200,567 $ 48.76 Granted 88,400 59.40 Vested — — Canceled (3,580) 53.23 Balance outstanding as of April 30, 2022 285,387 $ 52.00

Employee Benefit Plans (Tables)

Employee Benefit Plans (Tables)	9 Months Ended
Employee Benefit Plans (Tables)	Apr. 30, 2022
Retirement Benefits, Description [Abstract]
Schedule of net periodic pension costs	Net periodic pension costs for the Company’s pension plans were as follows (in millions): Three Months Ended Nine Months Ended 2022 2021 2022 2021 Service cost $ 1.8 $ 2.0 $ 5.4 $ 6.1 Interest cost 2.4 2.5 7.4 7.4 Expected return on assets (6.2) (5.9) (18.7) (17.6) Prior service cost amortization 0.1 0.1 0.2 0.4 Actuarial loss amortization 1.8 2.1 5.4 6.2 Settlement charge 1.1 1.1 2.3 1.1 Curtailment charge — — — 0.8 Net periodic pension costs $ 1.0 $ 1.9 $ 2.0 $ 4.4

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
Fair Value Measurements (Tables)	Apr. 30, 2022
Fair Value Disclosures [Abstract]
Schedule of derivative on the balance sheet	The fair value of the Company’s derivative contracts, recorded on the Condensed Consolidated Balance Sheets, was as follows (in millions): Notional Amounts Assets Liabilities April 30, July 31, April 30, July 31, April 30, July 31, 2022 2021 2022 2021 2022 2021 Designated as hedging instruments Forward foreign currency exchange contracts $ 33.8 $ 117.2 $ 1.2 $ 1.0 $ 1.3 $ 1.2 Net investment hedges 88.8 55.8 4.8 1.1 — 2.0 Total designated 122.6 173.0 6.0 2.1 1.3 3.2 Not designated as hedging instruments Forward foreign currency exchange contracts 171.9 154.2 1.2 0.5 2.5 0.4 Total not designated 171.9 154.2 1.2 0.5 2.5 0.4 Total $ 294.5 $ 327.2 $ 7.2 $ 2.6 $ 3.8 $ 3.6

Guarantees (Tables)

Guarantees (Tables)	9 Months Ended
Guarantees (Tables)	Apr. 30, 2022
Guarantees [Abstract]
Schedule of guarantor obligations	The outstanding debt contingent liability for standby letters of credit was as follows (in millions): April 30, July 31, Contingent liability for standby letters of credit issued under the Company’s revolving credit facility $ 7.5 $ 7.7 Amounts drawn for letters of credit under the Company’s revolving credit facility $ — $ —

Segment Reporting (Tables)

Segment Reporting (Tables)	9 Months Ended
Segment Reporting (Tables)	Apr. 30, 2022
Segment Reporting, Measurement Disclosures [Abstract]
Schedule of segment details	Segment details were as follows (in millions): Three Months Ended Nine Months Ended 2022 2021 2022 2021 Net sales Engine Products segment $ 601.0 $ 531.0 $ 1,682.3 $ 1,429.6 Industrial Products segment 252.2 234.0 734.3 651.2 Total Company $ 853.2 $ 765.0 $ 2,416.6 $ 2,080.8 Earnings before income taxes Engine Products segment $ 89.2 $ 84.4 $ 226.5 $ 206.1 Industrial Products segment 38.8 37.6 114.6 90.9 Corporate and unallocated (16.7) (11.1) (31.3) (30.0) Total Company $ 111.3 $ 110.9 $ 309.8 $ 267.0 Net sales by business unit were as follows (in millions): Three Months Ended Nine Months Ended 2022 2021 2022 2021 Engine Products segment Off-Road $ 108.2 $ 95.7 $ 297.6 $ 238.4 On-Road 36.1 39.7 100.7 105.0 Aftermarket 425.4 371.4 1,198.1 1,018.7 Aerospace and Defense 31.3 24.2 85.9 67.5 Total Engine Products segment 601.0 531.0 1,682.3 1,429.6 Industrial Products segment Industrial Filtration Solutions 178.5 163.7 515.2 449.3 Gas Turbine Systems 30.5 25.5 76.7 71.9 Special Applications 43.2 44.8 142.4 130.0 Total Industrial Products segment 252.2 234.0 734.3 651.2 Total Company $ 853.2 $ 765.0 $ 2,416.6 $ 2,080.8

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details) - Revenue Benchmark - Geographic Concentration Risk - Russia $ in Millions	9 Months Ended
	Apr. 30, 2022USD ($)
Change in Accounting Estimate [Line Items]
Concentration risk (as a percent)	2.00%
Accounts receivables and inventory	$ 6.8

Acquisitions (Details)

Acquisitions (Details) € in Millions, $ in Millions	Nov. 22, 2021USD ($)	Nov. 22, 2021EUR (€)	Nov. 01, 2021USD ($)	Apr. 30, 2022USD ($)	Apr. 30, 2022USD ($)	Apr. 30, 2021USD ($)	Jul. 31, 2021USD ($)
Business Acquisition
Acquisitions, net of cash acquired					$ 49	$ 0
Goodwill				$ 336.6	336.6		$ 322.5
Solaris
Business Acquisition
Acquisitions, net of cash acquired	$ 45.7	€ 41
Goodwill	27.2
Finite lived intangible assets acquired in business combination	20.8			20.8	$ 20.8
Deferred tax liability	4.4
Net working capital	$ 2.1
PAIS
Business Acquisition
Acquisitions, net of cash acquired			$ 3.3
Goodwill			0.4
Finite lived intangible assets acquired in business combination			$ 3
Goodwill, purchase accounting adjustments				$ 1.8

Revenue (Disaggregation of Reve

Revenue (Disaggregation of Revenue by Geographical Area) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Disaggregation of Revenue
Total net sales	$ 853.2	$ 765	$ 2,416.6	$ 2,080.8
U.S. and Canada
Disaggregation of Revenue
Total net sales	348.8	294.6	963.6	801.8
Europe, Middle East and Africa (EMEA)
Disaggregation of Revenue
Total net sales	250.9	232.7	717.2	621.7
Asia Pacific
Disaggregation of Revenue
Total net sales	161.6	169	495.6	474.5
Latin America
Disaggregation of Revenue
Total net sales	$ 91.9	$ 68.7	$ 240.2	$ 182.8

Revenue (Narrative) (Details)

Revenue (Narrative) (Details) - USD ($) $ in Millions	Apr. 30, 2022	Jul. 31, 2021
Revenue from Contract with Customer [Abstract]
Contract assets	$ 18.7	$ 14.9
Contract liabilities	$ 23.3	$ 12.2

Inventories, Net (Details)

Inventories, Net (Details) - USD ($) $ in Millions	Apr. 30, 2022	Jul. 31, 2021
Inventory, Net
Raw materials	$ 201.3	$ 148.1
Work in process	57.1	43.2
Finished products	252.3	193.2
Total inventories, net	$ 510.7	$ 384.5

Property, Plant and Equipment_3

Property, Plant and Equipment, Net (Details) - USD ($) $ in Millions	Apr. 30, 2022	Jul. 31, 2021
Property, Plant and Equipment
Less accumulated depreciation	$ (995.6)	$ (977)
Property, plant and equipment, net	591.1	617.8
Land
Property, Plant and Equipment
Property, plant and equipment, gross	26.1	27.1
Buildings
Property, Plant and Equipment
Property, plant and equipment, gross	401.1	410.8
Machinery and equipment
Property, Plant and Equipment
Property, plant and equipment, gross	959.9	972
Computer software
Property, Plant and Equipment
Property, plant and equipment, gross	143.4	144.3
Construction in progress
Property, Plant and Equipment
Property, plant and equipment, gross	$ 56.2	$ 40.6

Goodwill and Intangible Asset_2

Goodwill and Intangible Assets (Reconciliation of Goodwill) (Details) $ in Millions	9 Months Ended
	Apr. 30, 2022USD ($)
Goodwill
Beginning balance	$ 322.5
Goodwill acquired	29.4
Foreign currency translation	(15.3)
Ending balance	336.6
Engine Products Segment
Goodwill
Beginning balance	84.7
Goodwill acquired	0
Foreign currency translation	(0.8)
Ending balance	83.9
Industrial Products Segment
Goodwill
Beginning balance	237.8
Goodwill acquired	29.4
Foreign currency translation	(14.5)
Ending balance	$ 252.7

Goodwill and Intangible Asset_3

Goodwill and Intangible Assets (Narrative) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021	Nov. 22, 2021	Nov. 01, 2021
Finite-Lived Intangible Assets
Amortization expense	$ 2.4	$ 2.2	$ 6.9	$ 6.4
Customer Relationships
Finite-Lived Intangible Assets
Amortization expense			4.7
Solaris
Finite-Lived Intangible Assets
Finite lived intangible assets acquired in business combination	20.8		20.8		$ 20.8
Solaris \| Technology
Finite-Lived Intangible Assets
Finite lived intangible assets acquired in business combination	17.3		$ 17.3
Useful life (in years)			15 years
Solaris \| Trademarks and Trade Names
Finite-Lived Intangible Assets
Finite lived intangible assets acquired in business combination	3.3		$ 3.3
Useful life (in years)			10 years
Solaris \| Backlog
Finite-Lived Intangible Assets
Finite lived intangible assets acquired in business combination	0.2		$ 0.2
Useful life (in years)			6 months
PAIS
Finite-Lived Intangible Assets
Finite lived intangible assets acquired in business combination						$ 3
Useful life (in years)			20 years
PAIS \| Customer Relationships
Finite-Lived Intangible Assets
Finite lived intangible assets acquired in business combination	$ 3		$ 3

Goodwill and Intangible Asset_4

Goodwill and Intangible Assets (Reconciliation of Intangible Assets) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Total Net Value
Intangible assets, net, beginning balance			$ 61.6
Intangible assets acquired			23.8
Amortization expense	$ (2.4)	$ (2.2)	(6.9)	$ (6.4)
Foreign currency translation			(4.7)
Intangible assets, net, ending balance	73.8		73.8
Customer Relationships
Gross Carrying Amount
Gross carrying amount beginning balance			107.5
Intangible assets acquired			3.2
Amortization expense			0
Foreign currency translation			(4.5)
Gross carrying amount ending balance	106.2		106.2
Accumulated Amortization
Accumulated amortization beginning balance			(56.4)
Intangible assets acquired			0
Amortization expense			(4.7)
Foreign currency translation			1.5
Accumulated amortization ending balance	(59.6)		(59.6)
Total Net Value
Intangible assets, net, beginning balance			51.1
Intangible assets acquired			3.2
Amortization expense			(4.7)
Foreign currency translation			(3)
Intangible assets, net, ending balance	46.6		46.6
Patents, Trademarks and Technology
Gross Carrying Amount
Gross carrying amount beginning balance			24.3
Intangible assets acquired			20.6
Amortization expense			0
Foreign currency translation			(2)
Gross carrying amount ending balance	42.9		42.9
Accumulated Amortization
Accumulated amortization beginning balance			(13.8)
Intangible assets acquired			0
Amortization expense			(2.2)
Foreign currency translation			0.3
Accumulated amortization ending balance	(15.7)		(15.7)
Total Net Value
Intangible assets, net, beginning balance			10.5
Intangible assets acquired			20.6
Amortization expense			(2.2)
Foreign currency translation			(1.7)
Intangible assets, net, ending balance	$ 27.2		$ 27.2

Long-Term Debt (Details)

Long-Term Debt (Details) - USD ($)	1 Months Ended		3 Months Ended	9 Months Ended
Long-Term Debt (Details) - USD ($)	Nov. 30, 2021	Aug. 31, 2021	Apr. 30, 2022	Apr. 30, 2022	Apr. 30, 2021	Jul. 31, 2021
Debt Instrument
Proceeds from long-term debt				$ 249,300,000	$ 0
Unsecured Debt
Debt Instrument
Debt instrument amount						$ 150,000,000
2.5% 10 Year Note Due 2031 \| Unsecured Debt
Debt Instrument
Proceeds from long-term debt		$ 100,000,000
Debt instrument, term (in years)		10 years
Fixed interest rate (as a percent)		2.50%
2.12% 7 Year Note Due 2028 \| Unsecured Debt
Debt Instrument
Proceeds from long-term debt	$ 50,000,000
Debt instrument, term (in years)	7 years
Fixed interest rate (as a percent)	2.12%
Unsecured revolving credit facility \| Unsecured revolving credit facility
Debt Instrument
Remaining borrowing capacity			$ 407,500,000	407,500,000
Maximum borrowing capacity			500,000,000	$ 500,000,000
Proceeds from lines of credit			$ 60,000,000

Income Taxes (Details)

Income Taxes (Details) $ in Millions	9 Months Ended
Income Taxes (Details) $ in Millions	Apr. 30, 2022USD ($)
Income Tax Disclosure [Abstract]
Unrecognized tax benefits	$ 19.6
Accrued interest and penalties on unrecognized tax benefits	2.1
Unrecognized reduction from lapse of statute of limitations	$ 5.3

Earnings Per Share (Information

Earnings Per Share (Information Necessary to Calculate Basic and Diluted Net Earnings Per Common Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Earnings Per Share [Abstract]
Net earnings	$ 83	$ 84.4	$ 231.8	$ 202.6
Weighted average common shares outstanding
Weighted average common shares - basic (in shares)	123.4	126.4	123.9	126.6
Dilutive impact of share-based awards (in shares)	1.2	1.9	1.7	1.6
Weighted average common shares - diluted (in shares)	124.6	128.3	125.6	128.2
Net earnings per share - basic (in usd per share)	$ 0.67	$ 0.67	$ 1.87	$ 1.60
Net earnings per share - diluted (in usd per share)	$ 0.67	$ 0.66	$ 1.85	$ 1.58
Options excluded from the diluted net earnings per share calculation (in shares)	1.7	0	1.6	0.8

Shareholders' Equity (Details)

Shareholders' Equity (Details) - USD ($) $ / shares in Units, $ in Millions	May 25, 2022	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Stockholders' Equity Note [Abstract]
Number of shares authorized to be repurchased (in shares)		13,000,000		13,000,000
Stock repurchased during the period (in shares)				2,500,000
Stock repurchased during the period				$ 153.7	$ 78.7
Shares with remaining authorization for repurchase under stock repurchase plan (in shares)		5,800,000		5,800,000
Dividends paid per share (in usd per share)		$ 0.22	$ 0.21	$ 0.66	$ 0.63
Schedule of Equity Method Investments [Line Items]
Dividends, per share (in usd per share)				$ 0.44	$ 0.42
Subsequent Event
Schedule of Equity Method Investments [Line Items]
Dividends, per share (in usd per share)	$ 0.23

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions	3 Months Ended			9 Months Ended
	Apr. 30, 2022	Jan. 31, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Accumulated Other Comprehensive Income (Loss), Net of Tax
Beginning Balance	$ 1,116.8		$ 1,074.4	$ 1,137.1	$ 992.9
Other comprehensive (loss) income before reclassifications and tax	(47)		22.4	(74.2)	61.5
Tax benefit (expense)	1.2		(5.4)	1.2	(6.1)
Other comprehensive (loss) income before reclassifications, net of tax	(45.8)		17	(73)	55.4
Reclassifications, before tax	4.7		3.2	11.6	6.3
Tax (expense) benefit	(1.1)		(0.8)	(2.7)	(1.3)
Reclassifications, net of tax	3.6		2.4	8.9	5
Net other comprehensive (loss) income	(42.2)		19.4	(64.1)	60.4
Ending Balance	1,123.6	$ 1,116.8	1,153.4	1,123.6	1,153.4
Actuarial loss amortization	1.8		2.1	5.4	6.2
Scenario, Adjustment
Accumulated Other Comprehensive Income (Loss), Net of Tax
Net other comprehensive (loss) income	7.6	1.7
Total
Accumulated Other Comprehensive Income (Loss), Net of Tax
Beginning Balance	(140.1)		(143)	(118.2)	(184)
Net other comprehensive (loss) income	(42.2)		19.4	(64.1)	60.4
Ending Balance	(182.3)	(140.1)	(123.6)	(182.3)	(123.6)
Foreign Currency Translation Adjustment
Accumulated Other Comprehensive Income (Loss), Net of Tax
Beginning Balance	(71.6)		(37.5)	(44)	(74)
Other comprehensive (loss) income before reclassifications and tax	(42.8)		(0.2)	(70.4)	36.3
Tax benefit (expense)	0		0	0	0
Other comprehensive (loss) income before reclassifications, net of tax	(42.8)		(0.2)	(70.4)	36.3
Reclassifications, before tax	0		0	0	0
Tax (expense) benefit	0		0	0	0
Reclassifications, net of tax	0		0	0	0
Net other comprehensive (loss) income	(42.8)		(0.2)	(70.4)	36.3
Ending Balance	(114.4)	(71.6)	(37.7)	(114.4)	(37.7)
Pension Benefits
Accumulated Other Comprehensive Income (Loss), Net of Tax
Beginning Balance	(70.7)		(103.9)	(74.7)	(110)
Other comprehensive (loss) income before reclassifications and tax	(7.6)		21.4	(9.3)	25.4
Tax benefit (expense)	2		(5.2)	2.4	(6.2)
Other comprehensive (loss) income before reclassifications, net of tax	(5.6)		16.2	(6.9)	19.2
Reclassifications, before tax	5		3	11.8	6.8
Tax (expense) benefit	(1.2)		(0.7)	(2.7)	(1.4)
Reclassifications, net of tax	3.8		2.3	9.1	5.4
Net other comprehensive (loss) income	(1.8)		18.5	2.2	24.6
Ending Balance	(72.5)	(70.7)	(85.4)	(72.5)	(85.4)
Pension Benefits \| Scenario, Adjustment
Accumulated Other Comprehensive Income (Loss), Net of Tax
Other comprehensive (loss) income before reclassifications and tax	7.6		21.4	9.3	25.4
Reclassifications, before tax	(1.1)		(1.1)	(2.3)	(1.9)
Net amortization of prior service cost and actuarial losses
Accumulated Other Comprehensive Income (Loss), Net of Tax
Reclassifications, before tax	3.9		1.9	9.5	4.9
Derivative Financial Instruments
Accumulated Other Comprehensive Income (Loss), Net of Tax
Beginning Balance	2.2		(1.6)	0.5	0
Other comprehensive (loss) income before reclassifications and tax	3.4		1.2	5.5	(0.2)
Tax benefit (expense)	(0.8)		(0.2)	(1.2)	0.1
Other comprehensive (loss) income before reclassifications, net of tax	2.6		1	4.3	(0.1)
Reclassifications, before tax	(0.3)		0.2	(0.2)	(0.5)
Tax (expense) benefit	0.1		(0.1)	0	0.1
Reclassifications, net of tax	(0.2)		0.1	(0.2)	(0.4)
Net other comprehensive (loss) income	2.4		1.1	4.1	(0.5)
Ending Balance	$ 4.6	$ 2.2	$ (0.5)	$ 4.6	$ (0.5)

Stock-Based Compensation (Narra

Stock-Based Compensation (Narratives) (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award
Options granted, grant date fair value (in usd per share)			$ 14.24	$ 10.23
Employee Stock Option
Share-based Compensation Arrangement by Share-based Payment Award
Pretax performance-based award expense (adjustments)	$ 1.4	$ 1.8	$ 10.2	$ 9.3
Performance Shares
Share-based Compensation Arrangement by Share-based Payment Award
Pretax performance-based award expense (adjustments)	$ 1.8	$ (0.8)	$ 5.6	$ 1.2
2019 Master Stock Incentive Plan \| Employee Stock Option
Share-based Compensation Arrangement by Share-based Payment Award
Stock options exercisable term (in years)			10 years
Stock option, award vesting period (in years)			3 years
2019 Master Stock Incentive Plan \| Performance Shares
Share-based Compensation Arrangement by Share-based Payment Award
Performance award measurement period (in years)			3 years
Expiration period (in years)			3 years
2019 Master Stock Incentive Plan \| Performance Shares \| Minimum
Share-based Compensation Arrangement by Share-based Payment Award
Payout percentage based on target award (as a percent)			0.00%
2019 Master Stock Incentive Plan \| Performance Shares \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award
Payout percentage based on target award (as a percent)			200.00%

Stock-Based Compensation (Summa

Stock-Based Compensation (Summary of Stock Option Activity) (Details)	9 Months Ended
	Apr. 30, 2022$ / sharesshares
Options
Beginning balance (in shares) \| shares	6,444,743
Options granted (in shares) \| shares	898,726
Options exercised (in shares) \| shares	(308,945)
Options canceled/forfeited (in shares) \| shares	(43,560)
Ending balance (in shares) \| shares	6,990,964
Weighted Average Exercise Price
Beginning balance (in usd per share) \| $ / shares	$ 44.05
Granted (in usd per share) \| $ / shares	59.18
Exercised (in usd per share) \| $ / shares	37.50
Canceled/forfeited (in usd per share) \| $ / shares	53.07
Ending balance (in usd per share) \| $ / shares	$ 46.23

Stock-Based Compensation (Sum_2

Stock-Based Compensation (Summary of Performance Award Activity) (Details) - Performance Shares	9 Months Ended
	Apr. 30, 2022$ / sharesshares
Performance Shares
Beginning balance (in shares) \| shares	200,567
Granted (shares) \| shares	88,400
Vested (shares) \| shares	0
Canceled/forfeited (shares) \| shares	(3,580)
Ending balance (in shares) \| shares	285,387
Weighted Average Grant Date Fair Value
Beginning balance (in usd per share) \| $ / shares	$ 48.76
Granted (in usd per share) \| $ / shares	59.40
Vested (in usd per share) \| $ / shares	0
Canceled/forfeited (in usd per share) \| $ / shares	53.23
Ending balance (in usd per share) \| $ / shares	$ 52

Employee Benefit Plans (Compone

Employee Benefit Plans (Components of Net Periodic Pension Costs) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Net periodic benefit costs
Service cost	$ 1.8	$ 2	$ 5.4	$ 6.1
Interest cost	2.4	2.5	7.4	7.4
Expected return on assets	(6.2)	(5.9)	(18.7)	(17.6)
Prior service cost amortization	0.1	0.1	0.2	0.4
Actuarial loss amortization	1.8	2.1	5.4	6.2
Settlement charge	1.1	1.1	2.3	1.1
Curtailment charge	0	0	0	0.8
Net periodic pension costs	$ 1	$ 1.9	$ 2	$ 4.4

Employee Benefit Plans (Narrati

Employee Benefit Plans (Narrative) (Details) - USD ($) $ in Millions	3 Months Ended				9 Months Ended
	Apr. 30, 2022	Jan. 31, 2022	Apr. 30, 2021	Oct. 31, 2020	Apr. 30, 2022	Apr. 30, 2021	Jul. 31, 2021
Defined Benefit Plan, Plan Assets, Allocation
Curtailment charge	$ 1.1	$ 1.2	$ 1.1	$ 0.8
Accumulated other comprehensive loss	(182.3)				$ (182.3)		$ (118.2)
Other comprehensive (loss) income	(42.2)		19.4		$ (64.1)	$ 60.4
Scenario, Adjustment
Defined Benefit Plan, Plan Assets, Allocation
Other comprehensive (loss) income	$ 7.6	$ 1.7
Reclassification, Other
Defined Benefit Plan, Plan Assets, Allocation
Accumulated other comprehensive loss			$ 25.4			$ 25.4

Fair Value Measurements (Narrat

Fair Value Measurements (Narrative) (Details) € in Millions, $ in Millions	9 Months Ended
	Apr. 30, 2022USD ($)	Apr. 30, 2022EUR (€)	Jul. 31, 2021USD ($)
Forward foreign currency exchange contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Derivative instrument term (in months)	12 months
Forward foreign currency exchange contracts \| Net investment hedges
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Notional Amounts	$ 88.8	€ 80
Forward foreign currency exchange contracts \| Net investment hedges
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Notional Amounts	33
Fair Value, Inputs, Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Notional Amounts	294.5		$ 327.2
Fair Value, Inputs, Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Equity method investments	25.6		24.2
Fixed Interest Rate \| Fair Value, Inputs, Level 2 \| Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Debt instrument, fair value disclosure	395.4		297.4
Fixed Interest Rate \| Fair Value, Inputs, Level 2 \| Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Debt instrument, fair value disclosure	425		275
Variable Interest Rate \| Fair Value, Inputs, Level 2 \| Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Debt instrument, fair value disclosure	184.7		188.3
Variable Interest Rate \| Fair Value, Inputs, Level 2 \| Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Debt instrument, fair value disclosure	$ 184.7		$ 188.3

Fair Value Measurements (Deriva

Fair Value Measurements (Derivatives on the Balance Sheet) (Details) € in Millions, $ in Millions	Apr. 30, 2022EUR (€)	Apr. 30, 2022USD ($)	Jul. 31, 2021USD ($)
Forward foreign currency exchange contracts \| Net investment hedges
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Notional Amounts	€ 80	$ 88.8
Fair Value, Inputs, Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Notional Amounts		294.5	$ 327.2
Assets		7.2	2.6
Liabilities		3.8	3.6
Designated as hedging instruments \| Fair Value, Inputs, Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Notional Amounts		122.6	173
Assets		6	2.1
Liabilities		1.3	3.2
Designated as hedging instruments \| Fair Value, Inputs, Level 2 \| Net investment hedges
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Notional Amounts		88.8	55.8
Assets		4.8	1.1
Liabilities		0	2
Designated as hedging instruments \| Fair Value, Inputs, Level 2 \| Forward foreign currency exchange contracts
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Notional Amounts		33.8	117.2
Assets		1.2	1
Liabilities		1.3	1.2
Not designated as hedging instruments \| Fair Value, Inputs, Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Notional Amounts		171.9	154.2
Assets		1.2	0.5
Liabilities		2.5	0.4
Not designated as hedging instruments \| Fair Value, Inputs, Level 2 \| Forward foreign currency exchange contracts
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Notional Amounts		171.9	154.2
Assets		1.2	0.5
Liabilities		$ 2.5	$ 0.4

Guarantees (Details)

Guarantees (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
Guarantees (Details) - USD ($) $ in Millions	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021	Jul. 31, 2021
Guarantor Obligations
Contingent liability for standby letters of credit issued under the Company’s revolving credit facility	$ 7.5		$ 7.5		$ 7.7
Amounts drawn for letters of credit under the Company’s revolving credit facility	0		0		0
Investment earnings	3.2	$ 2.6	6.6	$ 6.4
Revolving credit facility
Guarantor Obligations
AFSI outstanding debt (the Company guarantees half)	63		63
Advanced Filtration Systems, Inc.
Guarantor Obligations
AFSI outstanding debt (the Company guarantees half)	$ 61.1		$ 61.1		$ 37.8

Segment Reporting (Summary of S

Segment Reporting (Summary of Segment Detail) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Segment Reporting Information
Net sales	$ 853.2	$ 765	$ 2,416.6	$ 2,080.8
Earnings before income taxes	111.3	110.9	309.8	267
Corporate and unallocated
Segment Reporting Information
Earnings before income taxes	(16.7)	(11.1)	(31.3)	(30)
Engine Products Segment \| Operating Segments
Segment Reporting Information
Net sales	601	531	1,682.3	1,429.6
Earnings before income taxes	89.2	84.4	226.5	206.1
Engine Products Segment \| Operating Segments \| Off-Road
Segment Reporting Information
Net sales	108.2	95.7	297.6	238.4
Engine Products Segment \| Operating Segments \| On-Road
Segment Reporting Information
Net sales	36.1	39.7	100.7	105
Engine Products Segment \| Operating Segments \| Aftermarket
Segment Reporting Information
Net sales	425.4	371.4	1,198.1	1,018.7
Engine Products Segment \| Operating Segments \| Aerospace and Defense
Segment Reporting Information
Net sales	31.3	24.2	85.9	67.5
Industrial Products Segment \| Operating Segments
Segment Reporting Information
Net sales	252.2	234	734.3	651.2
Earnings before income taxes	38.8	37.6	114.6	90.9
Industrial Products Segment \| Operating Segments \| Industrial Filtration Solutions
Segment Reporting Information
Net sales	178.5	163.7	515.2	449.3
Industrial Products Segment \| Operating Segments \| Gas Turbine Systems
Segment Reporting Information
Net sales	30.5	25.5	76.7	71.9
Industrial Products Segment \| Operating Segments \| Special Applications
Segment Reporting Information
Net sales	$ 43.2	$ 44.8	$ 142.4	$ 130

Restructuring (Details)

Restructuring (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
Restructuring (Details) - USD ($) $ in Millions	Jan. 31, 2021	Jul. 31, 2021
Cost of Sales
Restructuring Cost and Reserve
Restructuring charges		$ 5.8
Operating Expense
Restructuring Cost and Reserve
Restructuring charges		$ 9
Employee Severance
Restructuring Cost and Reserve
Restructuring charges	$ 14.8