Document and Entity Information
Document and Entity Information - DEI Document - shares | 6 Months Ended | |
Apr. 01, 2023 | Apr. 24, 2023 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Apr. 01, 2023 | |
Document Transition Report | false | |
Entity File Number | 1-05129 | |
Entity Registrant Name | MOOG Inc. | |
Entity Incorporation, State or Country Code | NY | |
Entity Tax Identification Number | 16-0757636 | |
Entity Address, Address Line One | 400 Jamison Road | |
Entity Address, City or Town | East Aurora, | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 14052-0018 | |
City Area Code | 716 | |
Local Phone Number | 652-2000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Central Index Key | 0000067887 | |
Current Fiscal Year End Date | --09-30 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Class A Common Stock | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Class A common stock | |
Trading Symbol | MOG.A | |
Security Exchange Name | NYSE | |
Entity Common Stock, Shares Outstanding | 28,718,571 | |
Class B Common Stock | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Class B common stock | |
Trading Symbol | MOG.B | |
Security Exchange Name | NYSE | |
Entity Common Stock, Shares Outstanding | 3,132,957 |
Consolidated Condensed Statemen
Consolidated Condensed Statements of Earnings - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Income Statement [Abstract] | ||||
Net sales | $ 836,792 | $ 770,787 | $ 1,596,895 | $ 1,494,873 |
Cost of sales | 615,477 | 556,070 | 1,171,894 | 1,085,776 |
Inventory write-down | 0 | 1,705 | 0 | 3,205 |
Gross profit | 221,315 | 213,012 | 425,001 | 405,892 |
Research and development | 26,743 | 30,720 | 50,605 | 58,428 |
Selling, general and administrative | 116,695 | 111,019 | 229,860 | 222,816 |
Interest | 14,963 | 8,263 | 28,095 | 16,245 |
Asset impairment | 1,219 | 15,236 | 1,219 | 15,236 |
Restructuring | 2,017 | 7,793 | 3,095 | 7,793 |
Gain on sale of business | 0 | 0 | 0 | (16,146) |
Gain on sale of buildings | (527) | 0 | (10,030) | 0 |
Other | 3,901 | 1,268 | 5,552 | 1,384 |
Earnings before income taxes | 56,304 | 38,713 | 116,605 | 100,136 |
Income taxes | 13,291 | 9,626 | 27,576 | 24,784 |
Net earnings | $ 43,013 | $ 29,087 | $ 89,029 | $ 75,352 |
Net earnings per share | ||||
Basic | $ 1.35 | $ 0.91 | $ 2.80 | $ 2.35 |
Diluted | $ 1.34 | $ 0.91 | $ 2.79 | $ 2.34 |
Average common shares outstanding | ||||
Basic | 31,848,140 | 31,984,674 | 31,797,071 | 32,021,036 |
Diluted | 32,043,910 | 32,120,726 | 31,959,315 | 32,154,442 |
Consolidated Condensed Statem_2
Consolidated Condensed Statement of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net earnings | $ 43,013 | $ 29,087 | $ 89,029 | $ 75,352 |
Other comprehensive income (loss) ("OCI"), net of tax: | ||||
Foreign currency translation adjustment | 11,544 | (18,283) | 62,279 | (24,843) |
Retirement liability adjustment | 2,032 | 4,538 | 3,231 | 8,628 |
Change in accumulated income on derivatives | 1,080 | (295) | 2,999 | (160) |
Other comprehensive income (loss), net of tax | 14,656 | (14,040) | 68,509 | (16,375) |
Comprehensive income | $ 57,669 | $ 15,047 | $ 157,538 | $ 58,977 |
Consolidated Condensed Balance
Consolidated Condensed Balance Sheets - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Current assets | ||
Cash and cash equivalents | $ 107,012 | $ 103,895 |
Restricted cash | 2,642 | 15,338 |
Receivables, net | 1,079,980 | 990,262 |
Inventories, net | 679,045 | 588,466 |
Prepaid expenses and other current assets | 64,501 | 60,349 |
Total current assets | 1,933,180 | 1,758,310 |
Property, plant and equipment, net | 737,599 | 668,908 |
Operating lease right-of-use assets | 62,569 | 69,072 |
Goodwill | 826,498 | 805,320 |
Intangible assets, net | 82,421 | 85,410 |
Deferred income taxes | 9,327 | 8,630 |
Other assets | 48,015 | 36,191 |
Total assets | 3,699,609 | 3,431,841 |
Current liabilities | ||
Current installments of long-term debt | 728 | 916 |
Accounts payable | 238,603 | 232,104 |
Accrued compensation | 73,999 | 93,141 |
Contract advances | 317,253 | 296,899 |
Accrued liabilities and other | 212,267 | 215,376 |
Total current liabilities | 842,850 | 838,436 |
Long-term debt, excluding current installments | 958,414 | 836,872 |
Long-term pension and retirement obligations | 148,693 | 140,602 |
Deferred income taxes | 58,080 | 63,527 |
Other long-term liabilities | 111,795 | 115,591 |
Total liabilities | 2,119,832 | 1,995,028 |
Shareholders' equity | ||
Additional paid-in capital | 576,506 | 516,123 |
Retained earnings | 2,432,225 | 2,360,055 |
Treasury shares | (1,056,187) | (1,047,012) |
Stock Employee Compensation Trust | (99,880) | (73,602) |
Supplemental Retirement Plan Trust | (81,634) | (58,989) |
Accumulated other comprehensive loss | (242,533) | (311,042) |
Total shareholders’ equity | 1,579,777 | 1,436,813 |
Total liabilities and shareholders’ equity | 3,699,609 | 3,431,841 |
Class A Common Stock | ||
Shareholders' equity | ||
Common stock | 43,807 | 43,807 |
Class B Common Stock | ||
Shareholders' equity | ||
Common stock | $ 7,473 | $ 7,473 |
Consolidated Condensed Statem_3
Consolidated Condensed Statements of Shareholders' Equity Statement - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Treasury Stock | Stock Employee Compensation Trust (SECT) | Supplemental Retirement Plan (SERP) Trust | Accumulated Other Comprehensive Loss | Class A Common Stock | Class A Common Stock Treasury Stock | Class A Common Stock Stock Employee Compensation Trust (SECT) | Class B Common Stock | Class B Common Stock Treasury Stock | Class B Common Stock Stock Employee Compensation Trust (SECT) | Class B Common Stock Supplemental Retirement Plan (SERP) Trust |
Beginning of period at Oct. 02, 2021 | $ 51,280 | $ 509,622 | $ 2,237,848 | $ (1,007,506) | $ (79,776) | $ (63,764) | $ (247,560) | ||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Issuance of shares | 7,609 | 5,573 | |||||||||||||
Equity-based compensation expense | 3,999 | ||||||||||||||
Adjustments to market - SECT and SERP | 22,062 | ||||||||||||||
Net earnings | $ 75,352 | 75,352 | |||||||||||||
Dividends | (16,351) | ||||||||||||||
Class A and B shares purchased | (26,481) | ||||||||||||||
Issuance of shares - SECT | 7,574 | ||||||||||||||
Purchase of shares - SECT | (10,396) | (10,396) | |||||||||||||
Adjustment to market | (11,950) | (10,112) | |||||||||||||
Other comprehensive income (loss) | (16,375) | (16,375) | |||||||||||||
End of period at Apr. 02, 2022 | $ 1,430,648 | 51,280 | 543,292 | 2,296,849 | (1,028,414) | (94,548) | (73,876) | (263,935) | |||||||
Beginning of period - Common Stock at Oct. 02, 2021 | 43,803,236 | 7,476,477 | |||||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Conversion of Class B to Class A | 625 | (625) | |||||||||||||
End of period - Common Stock at Apr. 02, 2022 | 43,803,861 | 7,475,852 | |||||||||||||
Beginning of period, Shares at Oct. 02, 2021 | (14,157,721) | (425,148) | (3,179,055) | (600,880) | (826,170) | ||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Class A and B shares issued related to equity compensation, shares | 29,029 | 199,172 | |||||||||||||
Class A and B shares purchased, shares | (248,382) | (102,384) | |||||||||||||
Issuance of shares - SECT | 93,763 | ||||||||||||||
Purchase of shares - SECT | (124,943) | ||||||||||||||
End of period, Shares at Apr. 02, 2022 | (14,377,074) | (425,148) | (3,082,267) | (632,060) | (826,170) | ||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Common Stock, Dividends, Per Share, Declared | $ 0.51 | ||||||||||||||
Beginning of period at Jan. 01, 2022 | 51,280 | 518,857 | 2,276,082 | (1,023,086) | (82,721) | (66,094) | (249,895) | ||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Issuance of shares | 5,854 | 4,496 | |||||||||||||
Equity-based compensation expense | 1,594 | ||||||||||||||
Adjustments to market - SECT and SERP | 16,987 | ||||||||||||||
Net earnings | $ 29,087 | 29,087 | |||||||||||||
Dividends | (8,320) | ||||||||||||||
Class A and B shares purchased | (9,824) | ||||||||||||||
Issuance of shares - SECT | 5,499 | ||||||||||||||
Purchase of shares - SECT | (8,121) | ||||||||||||||
Adjustment to market | (9,205) | (7,782) | |||||||||||||
Other comprehensive income (loss) | (14,040) | (14,040) | |||||||||||||
End of period at Apr. 02, 2022 | $ 1,430,648 | 51,280 | 543,292 | 2,296,849 | (1,028,414) | (94,548) | (73,876) | (263,935) | |||||||
Beginning of period - Common Stock at Jan. 01, 2022 | 43,803,236 | 7,476,477 | |||||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Conversion of Class B to Class A | 625 | (625) | |||||||||||||
End of period - Common Stock at Apr. 02, 2022 | 43,803,861 | 7,475,852 | |||||||||||||
Beginning of period, Shares at Jan. 01, 2022 | (14,326,118) | (425,148) | (3,154,267) | (603,707) | (826,170) | ||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Class A and B shares issued related to equity compensation, shares | 6,987 | 140,834 | |||||||||||||
Class A and B shares purchased, shares | (57,943) | (68,834) | |||||||||||||
Issuance of shares - SECT | 68,763 | ||||||||||||||
Purchase of shares - SECT | (97,116) | ||||||||||||||
End of period, Shares at Apr. 02, 2022 | (14,377,074) | (425,148) | (3,082,267) | (632,060) | (826,170) | ||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Common Stock, Dividends, Per Share, Declared | $ 0.26 | ||||||||||||||
Beginning of period at Oct. 01, 2022 | $ 1,436,813 | 51,280 | 516,123 | 2,360,055 | (1,047,012) | (73,602) | (58,989) | (311,042) | |||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Issuance of shares | 4,315 | 9,007 | |||||||||||||
Equity-based compensation expense | 4,571 | ||||||||||||||
Adjustments to market - SECT and SERP | 51,497 | ||||||||||||||
Net earnings | 89,029 | 89,029 | |||||||||||||
Dividends | (16,859) | ||||||||||||||
Class A and B shares purchased | (18,182) | ||||||||||||||
Issuance of shares - SECT | 9,795 | ||||||||||||||
Purchase of shares - SECT | (7,221) | (7,221) | |||||||||||||
Adjustment to market | (28,852) | (22,645) | |||||||||||||
Other comprehensive income (loss) | 68,509 | 68,509 | |||||||||||||
End of period at Apr. 01, 2023 | $ 1,579,777 | 51,280 | 576,506 | 2,432,225 | (1,056,187) | (99,880) | (81,634) | (242,533) | |||||||
Beginning of period - Common Stock at Oct. 01, 2022 | 43,806,835 | 7,472,878 | |||||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Conversion of Class B to Class A | 0 | 0 | |||||||||||||
End of period - Common Stock at Apr. 01, 2023 | 43,806,835 | 7,472,878 | |||||||||||||
Beginning of period, Shares at Oct. 01, 2022 | (14,614,444) | (425,148) | (3,020,291) | (611,942) | (826,170) | ||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Class A and B shares issued related to equity compensation, shares | 41,619 | 202,531 | |||||||||||||
Class A and B shares purchased, shares | (90,291) | (129,078) | |||||||||||||
Issuance of shares - SECT | 112,425 | ||||||||||||||
Purchase of shares - SECT | (77,810) | ||||||||||||||
End of period, Shares at Apr. 01, 2023 | (14,663,116) | (425,148) | (2,946,838) | (577,327) | (826,170) | ||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Common Stock, Dividends, Per Share, Declared | $ 0.53 | ||||||||||||||
Beginning of period at Dec. 31, 2022 | 51,280 | 550,511 | 2,397,814 | (1,055,735) | (89,689) | (71,811) | (257,189) | ||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Issuance of shares | 2,087 | 7,283 | |||||||||||||
Equity-based compensation expense | 2,128 | ||||||||||||||
Adjustments to market - SECT and SERP | 21,780 | ||||||||||||||
Net earnings | $ 43,013 | 43,013 | |||||||||||||
Dividends | (8,602) | ||||||||||||||
Class A and B shares purchased | (7,735) | ||||||||||||||
Issuance of shares - SECT | 7,234 | ||||||||||||||
Purchase of shares - SECT | (5,468) | ||||||||||||||
Adjustment to market | (11,957) | (9,823) | |||||||||||||
Other comprehensive income (loss) | 14,656 | 14,656 | |||||||||||||
End of period at Apr. 01, 2023 | $ 1,579,777 | $ 51,280 | $ 576,506 | $ 2,432,225 | $ (1,056,187) | $ (99,880) | $ (81,634) | $ (242,533) | |||||||
Beginning of period - Common Stock at Dec. 31, 2022 | 43,806,835 | 7,472,878 | |||||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Conversion of Class B to Class A | 0 | 0 | |||||||||||||
End of period - Common Stock at Apr. 01, 2023 | 43,806,835 | 7,472,878 | |||||||||||||
Beginning of period, Shares at Dec. 31, 2022 | (14,666,508) | (425,148) | (2,991,901) | (602,600) | (826,170) | ||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Class A and B shares issued related to equity compensation, shares | 6,069 | 129,791 | |||||||||||||
Class A and B shares purchased, shares | (2,677) | (84,728) | |||||||||||||
Issuance of shares - SECT | 82,356 | ||||||||||||||
Purchase of shares - SECT | (57,083) | ||||||||||||||
End of period, Shares at Apr. 01, 2023 | (14,663,116) | (425,148) | (2,946,838) | (577,327) | (826,170) | ||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||
Common Stock, Dividends, Per Share, Declared | $ 0.27 |
Consolidated Condensed Statem_4
Consolidated Condensed Statements Of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Apr. 01, 2023 | Apr. 02, 2022 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net earnings | $ 89,029 | $ 75,352 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation | 36,810 | 38,316 |
Amortization | 5,862 | 6,735 |
Deferred income taxes | (9,970) | 4,834 |
Equity-based compensation expense | 5,765 | 4,578 |
Gain on sale of business | 0 | (16,146) |
Gain on sale of buildings | (10,030) | 0 |
Asset impairment and inventory write-down | 1,219 | 18,441 |
Other | 3,292 | 2,692 |
Changes in assets and liabilities providing (using) cash: | ||
Receivables | (76,676) | (4,223) |
Inventories | (72,346) | 6,951 |
Accounts payable | 1,971 | 24,388 |
Contract advances | 17,067 | 60,392 |
Accrued expenses | (33,030) | (28,324) |
Accrued income taxes | 11,965 | 8,217 |
Net pension and post retirement liabilities | 7,119 | 8,927 |
Other assets and liabilities | (11,063) | (30,933) |
Net cash provided (used) by operating activities | (33,016) | 180,197 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Acquisitions of businesses, net of cash acquired | 0 | (11,837) |
Purchase of property, plant and equipment | (89,743) | (74,087) |
Net proceeds from businesses sold | 959 | 38,611 |
Net proceeds from buildings sold | 18,825 | 0 |
Other investing transactions | (4,241) | (835) |
Net cash used by investing activities | (74,200) | (48,148) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Proceeds from revolving lines of credit | 503,232 | 463,950 |
Payments on revolving lines of credit | (381,300) | (455,476) |
Payments on long-term debt | (188) | (80,181) |
Payments on finance lease obligations | (1,899) | (1,085) |
Payment of dividends | (16,859) | (16,351) |
Proceeds from sale of treasury stock | 9,148 | 8,701 |
Purchase of outstanding shares for treasury | (20,457) | (26,481) |
Proceeds from sale of stock held by SECT | 9,795 | 7,574 |
Purchase of stock held by SECT | (7,221) | (10,396) |
Other financing transactions | (2,024) | 0 |
Net cash provided (used) by financing activities | 92,227 | (109,745) |
Effect of exchange rate changes on cash | 5,410 | (1,087) |
Increase (decrease) in cash, cash equivalents and restricted cash | (9,579) | 21,217 |
Cash, cash equivalents and restricted cash at beginning of period | 119,233 | 100,914 |
Cash, cash equivalents and restricted cash at end of period | 109,654 | 122,131 |
SUPPLEMENTAL CASH FLOW INFORMATION | ||
Treasury shares issued as compensation | 4,174 | 4,482 |
Equipment and property acquired through lease financing | $ 11,007 | $ 17,648 |
Basis Of Presentation
Basis Of Presentation | 6 Months Ended |
Apr. 01, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited consolidated condensed financial statements have been prepared by management in accordance with U.S. generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, all adjustments consisting of normal recurring adjustments considered necessary for the fair presentation of results for the interim period have been included. The results of operations for the three and six months ended April 1, 2023 are not necessarily indicative of the results expected for the full year. The accompanying unaudited consolidated condensed financial statements should be read in conjunction with the financial statements and notes thereto included in our Form 10-K for the fiscal year ended October 1, 2022. All references to years in these financial statements are to fiscal years. Impairment of Assets Long-lived assets, including acquired intangible assets, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of those assets may not be recoverable. We use undiscounted cash flows to determine whether impairment exists and measure any impairment loss using discounted cash flows, or another comparable method. In 2023, we recorded a $1,000 impairment charge on long-lived assets in our Aircraft Controls segment. These charges relate to equipment that experienced a decline in value due to the U.S. Air Force announcement to retire the KC-10 aerial refueling tanker. In addition, we have recorded a $219 impairment charge on receivables in our Space and Defense Controls segment associated with an expected cancellation of a contract.These charges are included in asset impairment in the Consolidated Condensed Statement of Earnings. In 2022, we recorded impairment charges on long-lived assets in our Aircraft Controls segment. These charges relate to equipment that experienced a significant decline in value due to a slower than expected recovery of our commercial aircraft business. In addition, we recorded impairment charges on receivables and inventories associated with Russian actions in Ukraine. These charges are included in asset impairment in the Consolidated Condensed Statement of Earnings. Reclassifications Certain prior year amounts have been reclassified to conform to current year's presentation, which management does not consider to be material. Recent Accounting Pronouncements Adopted There have been no accounting pronouncements adopted for the six months ended April 1, 2023. Recent Accounting Pronouncements Not Yet Adopted |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 6 Months Ended |
Apr. 01, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | Revenue from Contracts with Customers We recognize revenue from contracts with customers using the five-step model prescribed in ASC 606. The first step is identifying the contract. The identification of a contract with a customer requires an assessment of each party’s rights and obligations regarding the products or services to be transferred, including an evaluation of termination clauses and presently enforceable rights and obligations. Each party’s rights and obligations and the associated terms and conditions are typically determined in purchase orders. For sales that are governed by master supply agreements under which provisions define specific program requirements, purchase orders are issued under these agreements to reflect presently enforceable rights and obligations for the units of products and services being purchased. Contracts are sometimes modified to account for changes in contract specifications and requirements. When this occurs, we assess the modification as prescribed in ASC 606 and determine whether the existing contract needs to be modified (and revenue cumulatively caught up), whether the existing contract needs to be terminated and a new contract needs to be created, or whether the existing contract remains and a new contract needs to be created. This is determined based on the rights and obligations within the modification as well as the associated transaction price. The next step is identifying the performance obligations. A performance obligation is a promise to transfer goods or services to a customer that is distinct in the context of the contract, as defined by ASC 606. We identify a performance obligation for each promise in a contract to transfer a distinct good or service to the customer. As part of our assessment, we consider all goods and/or services promised in the contract, regardless of whether they are explicitly stated or implied by customary business practices. The products and services in our contracts are typically not distinct from one another due to their complexity and reliance on each other or, in many cases, we provide a significant integration service. Accordingly, many of our contracts are accounted for as one performance obligation. In limited cases, our contracts have more than one distinct performance obligation, which occurs when we perform activities that are not highly complex or interrelated or involve different product life cycles. Warranties are provided on certain contracts, but do not typically provide for services beyond standard assurances and are therefore not distinct performance obligations under ASC 606. The third step is determining the transaction price, which represents the amount of consideration we expect to be entitled to receive from a customer in exchange for providing the goods or services. There are times when this consideration is variable, for example a volume discount, and must be estimated. Sales, use, value-added, and excise taxes are excluded from the transaction price, where applicable. The fourth step is allocating the transaction price. The transaction price must be allocated to the performance obligations identified in the contract based on relative stand-alone selling prices when available, or an estimate for each distinct good or service in the contract when standalone prices are not available. Our contracts with customers generally require payment under normal commercial terms after delivery. Payment terms are typically within 30 to 60 days of delivery. The timing of satisfaction of our performance obligations does not significantly vary from the typical timing of payment. The final step is the recognition of revenue. We recognize revenue as the performance obligations are satisfied. ASC 606 provides guidance to help determine if we are satisfying the performance obligation at a point in time or over time. In determining when performance obligations are satisfied, we consider factors such as contract terms, payment terms and whether there is an alternative use of the product or service. In essence, we recognize revenue when, or as control of, the promised goods or services transfer to the customer. Revenue is recognized either over time using the cost-to-cost method, or point in time method. The over-time method of revenue recognition is predominantly used in Aircraft Controls and Space and Defense Controls. We use this method for U.S. Government contracts and repair and overhaul arrangements as we are creating or enhancing assets that the customer controls as the assets are being created or enhanced. In addition, many of our large commercial contracts qualify for over-time accounting as our performance does not create an asset with an alternative use and we have an enforceable right to payment for performance completed to date. Our over-time contracts are primarily firm fixed price. Revenue recognized at the point in time control is transferred to the customer is used most frequently in Industrial Systems. We use this method for commercial contracts in which the asset being created has an alternative use. We determine the point in time control transfers to the customer by weighing the five indicators provided by ASC 606 - the entity has a present right to payment; the customer has legal title; the customer has physical possession; the customer has significant risks and rewards of ownership; and the customer has accepted the asset. When control has transferred to the customer, profit is generated as cost of sales is recorded and as revenue is recognized. Inventory costs include all product manufacturing costs such as direct material, direct labor, other direct costs and indirect overhead cost allocations. Shipping and handling costs are considered costs to fulfill a contract and not considered performance obligations. They are included in cost of sales as incurred. Revenue is recognized on contracts using the cost-to-cost method of accounting as work progresses toward completion as determined by the ratio of cumulative costs incurred to date to estimated total contract costs at completion, multiplied by the total estimated contract revenue, less cumulative revenue recognized in prior periods. We believe that cumulative costs incurred to date as a percentage of estimated total contract costs at completion is an appropriate measure of progress toward satisfaction of performance obligations as this measure most accurately depicts the progress of our work and transfer of control to our customers. Changes in estimates affecting sales, costs and profits are recognized in the period in which the change becomes known using the cumulative catch-up method of accounting, resulting in the cumulative effect of changes reflected in the period. Estimates are reviewed and updated quarterly for substantially all contra cts. For the three and six months ended April 1, 2023 we recognized additional revenue of $2,233 and lower revenue of $2,066, respectively, for adjustments made to performance obligations satisfied (or partially satisfied) in previous periods. For the three and six months ended April 2, 2022 we recognized lower revenue of $2,238 and additional revenue of $8,740, respectively, for adjustments made to performance obligations satisfied (or partially satisfied) in previous periods. Contract costs include only allocable, allowable and reasonable costs which are included in cost of sales when incurred. For applicable U.S. Government contracts, contract costs are determined in accordance with the Federal Acquisition Regulations and the related Cost Accounting Standards. The nature of these costs includes development engineering costs and product manufacturing costs such as direct material, direct labor, other direct costs and indirect overhead costs. Contract profit is recorded as a result of the revenue recognized less costs incurred in any reporting period. Variable consideration and contract modifications, such as performance incentives, penalties, contract claims or change orders are considered in estimating revenues, costs and profits when they can be reliably estimated and realization is considered probable. Revenue recognized on contracts for unresolved claims or unapproved contract change orders was not material for the three and six months ended April 1, 2023. As of April 1, 2023, we had contract reserves of $45,602. For contracts with anticipated losses at completion, a provision for the entire amount of the estimated remaining loss is charged against income in the period in which the loss becomes known. Contract losses are determined considering all direct and indirect contract costs, exclusive of any selling, general or administrative cost allocations that are treated as period expenses. Loss reserves are more common on firm fixed-price contracts that involve, to varying degrees, the design and development of new and unique controls or control systems to meet the customers’ specifications. In accordance with ASC 606, we calculate contract losses at the contract level, versus the performance obligation level. Recall reserves are recorded when additional work is needed on completed products for them to meet contract specifications. Contract-related loss reserves are recorded for the additional work needed on completed and delivered products in order for them to meet contract specifications. Contract Assets and Liabilities Unbilled receivables (contract assets) primarily represent revenues recognized for performance obligations that have been satisfied but for which amounts have not been billed. These are included as Receivables on the Consolidated Condensed Balance Sheets. Contract advances (contract liabilities) relate to payments received from customers in advance of the satisfaction of performance obligations for a contract. We do not consider contract advances to be significant financing components as the intent of these payments in advance are for reasons other than providing a significant financing benefit and are customary in our industry. Total contract assets and contract liabilities are as follows: April 1, October 1, 2022 Unbilled receivables $ 685,398 $ 614,760 Contract advances 317,253 296,899 Net contract assets $ 368,145 $ 317,861 The increase in contract assets reflects the net impact of additional unbilled revenues recorded in excess of revenue recognized during the period. The increase in contract liabilities reflects the net impact of additional deferred revenues recorded in excess of revenue recognized during the period. For the three and six months ended April 1, 2023, we recognized $76,349 and $165,148 of revenue, that was included in the contract liability balance at the beginning of the year. Remaining Performance Obligations As of April 1, 2023, the aggregate amount of the transaction price allocated to the performance obligations that are unsatisfied (or partially unsatisfied) was $5,200,000. We expect to recognize approximately 44% of that amount as sales over the next twelve months and the balance thereafter. Disaggregation of Revenue See Note 20 - Segments, for disclosures related to disaggregation of revenue. |
Acquisitions and Divestitures
Acquisitions and Divestitures | 6 Months Ended |
Apr. 01, 2023 | |
Business Combinations [Abstract] | |
Acquisitions and Divestitures | Acquisitions and Divestitures Acquisitions On February 21, 202 2, we acquired TEAM Accessories Limited ("TEAM") based in Dublin, Ireland for a purchase price, net of acquired cash, of $14,394, consisting of $11,832 in cash and contingent consideration with an initial fair value of $2,562. TEAM specializes in Maintenance, Repair and Overhaul of engine and airframe components. This operation is included in our Aircraft Controls segment. Divestitures On September 30, 2022, we sold a sonar business based in the United Kingdom previously included in our Industrial Systems segment. We have cumulatively receive d net proceeds of $13,075 and recorded a loss of $15,246, net of transact ion costs. The transaction is subject to adjustments associated with amounts currently held in escrow. On September 20, 2022, we sold assets of a security business based in Northbrook, Illinois previously included in our Space and Defense Controls segment. We have cumulatively received net proceeds of $9,108 and recorded a loss of $4,324, net of transaction costs. The transaction is subject to adjustments associated with amounts currently held in escrow. On December 3, 2021, we sold the assets of our Navigation Aids ("NAVAIDS") business based in Salt Lake City, Utah previously included in our Aircraft Controls segment to Thales USA Inc. We have cumulatively received net proceeds of $36,550 and recorded a gain of $16,146, net of transaction costs. The transaction is subject to adjustments associated with amounts currently held in escrow. |
Receivables
Receivables | 6 Months Ended |
Apr. 01, 2023 | |
Receivables [Abstract] | |
Receivables | Receivables Receivables consist of: April 1, October 1, Accounts receivable $ 382,114 $ 363,137 Unbilled receivables 685,398 614,760 Other 16,547 16,973 Less allowance for credit losses (4,079) (4,608) Receivables, net $ 1,079,980 $ 990,262 Moog Receivables LLC (the "Receivables Subsidiary"), a wholly owned bankruptcy remote special purpose subsidiary of Moog Inc. (the "Company"), as seller, the Company, as master servicer, Wells Fargo Bank, N.A., as administrative agent (the "Agent") and certain purchasers (collectively, the "Purchasers") entered into an Amended and Restated Receivables Purchase Agreement (the "RPA"). The RPA matures on November 4, 2024 and is subject to customary termination events related to transactions of this type. Under the RPA, the Receivables Subsidiary may sell receivables to the Purchasers in amounts up to a $100,000 limit. The receivables will be sold to the Purchasers in consideration for the Purchasers making payments of cash, which is referred to as "capital" for purposes of the RPA, to the Receivables Subsidiary in accordance with the terms of the RPA. The Receivables Subsidiary may sell receivables to the Purchasers so long as certain conditions are satisfied, including that, at any date of determination, the aggregate capital paid to the Receivables Subsidiary does not exceed a "capital coverage amount", equal to an adjusted net receivables pool balance minus a required reserve. Each Purchaser's share of capital accrues yield at a variable rate plus an applicable margin. The parties intend that the conveyance of receivables to the Agent, for the ratable benefit of the Purchasers will constitute a purchase and sale of receivables and not a pledge for security. The Receivables Subsidiary has guaranteed to each Purchaser and Agent the prompt payment of sold receivables, and to secure the prompt payment and performance of such guaranteed obligations, the Receivables Subsidiary has granted a security interest to the Agent, for the benefit of the Purchasers, in all assets of the Receivables Subsidiary. The assets of the Receivables Subsidiary are not available to pay our creditors or any affiliate thereof. In our capacity as master servicer under the RPA, we are responsible for administering and collecting receivables and have made customary representations, warranties, covenants and indemnities. We also provided a performance guarantee for the benefit of the Purchaser. The proceeds of the RPA are classified as operating activities in our Consolidated Condensed Statement of Cash Flows and were used to pay off the outstanding balance of the Securitization Program. Cash received from collections of sold receivables is use d by the Receivables Subsidiary to fund additional purchases of receivables on a revolving basis or to return all or any portion of outstanding capital of the Purchaser. Subsequent collections on the pledged receivables, which have not been sold, will be classified as operating cash flows at the time of collection. Total receivables sold and cash collections under the RPA were $123,434 and $238,476 for the three and six months ended April 1, 2023, respectively. The fair value of the sold receivables approximated book value due to their credit quality and short-term nature, and as a result, no gain or loss on sale of receivables was recorded. As of April 1, 2023, the amount sold to the Purchasers was $100,000, which was derecognized from the Consolidated Condensed Balance Sheets. As collateral against sold receivables, the Receivables Subsidiary maintains a certain level of unsold receivables, which was $731,260 at April 1, 2023. The allowance for credit losses is based on our assessment of the collectability of customer accounts. The allowance is determined by considering factors such as historical experience, credit quality, age of the accounts receivable, current economic conditions and reasonable forecasted financial information that may affect a customer’s ability to pay. |
Inventories
Inventories | 6 Months Ended |
Apr. 01, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories, net of reserves, consist of: April 1, October 1, Raw materials and purchased parts $ 260,179 $ 219,893 Work in progress 339,540 305,328 Finished goods 79,326 63,245 Inventories, net $ 679,045 $ 588,466 There are no material inventoried costs relating to over-time contracts where revenue is accounted for using the cost-to-cost method of accounting as of April 1, 2023 and October 1, 2022. |
Property, Plant and Equipment
Property, Plant and Equipment | 6 Months Ended |
Apr. 01, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property, plant and equipment, net | Property, Plant and Equipment Property, plant and equipment consists of: April 1, October 1, Land $ 30,644 $ 32,164 Buildings and improvements 554,583 502,050 Machinery and equipment 832,321 786,562 Computer equipment and software 218,708 201,960 Property, plant and equipment, at cost 1,636,256 1,522,736 Less accumulated depreciation and amortization (898,657) (853,828) Property, plant and equipment, net $ 737,599 $ 668,908 |
Leases
Leases | 6 Months Ended |
Apr. 01, 2023 | |
Leases [Abstract] | |
Lessee, Operating Leases | Leases We lease certain manufacturing facilities, office space and machinery and equipment globally. At inception we evaluate whether a contractual arrangement contains a lease. Specifically, we consider whether we control the underlying asset and have the right to obtain substantially all the economic benefits or outputs from the asset. If the contractual arrangement contains a lease, we then determine the classification of the lease, operating or finance, using the classification criteria described in ASC 842. We then determine the term of the lease based on terms and conditions of the contractual arrangement, including whether the options to extend or terminate the lease are reasonably certain to be exercised. We have elected to not separate lease components from non-lease components, such as common area maintenance charges and instead, account for the lease and non-lease components as a single component. Our lease right-of-use ("ROU") assets represent our right to use an underlying asset for the lease term and our lease liabilities represent our obligation to make lease payments. Operating lease ROU assets are included in Operating lease right-of-use assets and operating lease liabilities are included in Accrued liabilities and other and Other long-term liabilities on the Consolidated Condensed Balance Sheets. Finance lease ROU assets are included in Property, plant and equipment and finance lease liabilities are included in Accrued liabilities and other and Other long-term liabilities on the Consolidated Condensed Balance Sheets. Operating lease cost is included in Cost of sales and Selling, general and administrative on the Consolidated Condensed Statements of Earnings. Finance lease cost is included in Cost of sales, Selling, general and administrative and Interest on the Consolidated Condensed Statements of Earnings. The ROU assets and lease liabilities for both operating and finance leases are recognized as of the commencement date at the net present value of the fixed minimum lease payments over the term of the lease, using the discount rate described below. Variable lease payments are recorded in the period in which the obligation for the payment is incurred. Variable lease payments based on an index or rate are initially measured using the index or rate as of the commencement date of the lease and included in the fixed minimum lease payments. For short-term leases that have a term of 12 months or less as of the commencement date, we do not recognize a ROU asset or lease liability on our balance sheet; we recognize expense as the lease payments are made over the lease term. The discount rate used to calculate the present value of our leases is the rate implicit in the lease. If the information necessary to determine the rate implicit in the lease is not available, we use our incremental borrowing rate for collateralized debt, which is determined using our credit rating and other information available as of the lease commencement date. The components of lease expense were as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Operating lease cost $ 7,560 $ 7,218 $ 14,955 $ 14,158 Finance lease cost: Amortization of right-of-use assets $ 1,146 $ 672 $ 2,118 $ 1,259 Interest on lease liabilities 427 247 791 464 Total finance lease cost $ 1,573 $ 919 $ 2,909 $ 1,723 Supplemental cash flow information related to leases was as follows: Six Months Ended April 1, April 2, Cash paid for amounts included in the measurement of lease liabilities: Operating cash flow for operating leases $ 15,094 $ 14,615 Operating cash flow for finance leases 791 464 Financing cash flow for finance leases 1,899 1,085 Assets obtained in exchange for lease obligations: Operating leases $ 1,393 $ 9,744 Finance leases 9,614 7,904 Supplemental balance sheet information related to leases was as follows: April 1, October 1, Operating Leases: Operating lease right-of-use assets $ 62,569 $ 69,072 Accrued liabilities and other $ 11,169 $ 13,002 Other long-term liabilities 61,180 66,167 Total operating lease liabilities $ 72,349 $ 79,169 Finance Leases: Property, plant, and equipment, at cost $ 40,842 $ 30,614 Accumulated depreciation (7,900) (5,606) Property, plant, and equipment, net $ 32,942 $ 25,008 Accrued liabilities and other $ 4,493 $ 3,244 Other long-term liabilities 30,441 23,529 Total finance lease liabilities $ 34,934 $ 26,773 Weighted average remaining lease term in years: Operating leases 7.8 7.7 Finance leases 14.5 16.7 Weighted average discount rates: Operating leases 5.1 % 5.0 % Finance leases 5.3 % 4.8 % Maturities of lease liabilities were as follows: April 1, 2023 Operating Leases Finance Leases 2023 $ 7,582 $ 3,108 2024 13,405 6,203 2025 11,467 6,021 2026 10,778 5,734 2027 9,680 4,978 Thereafter 36,690 31,361 Total lease payments 89,602 57,405 Less: imputed interest (17,253) (22,471) Total $ 72,349 $ 34,934 |
Lessee, Finance Leases | Leases We lease certain manufacturing facilities, office space and machinery and equipment globally. At inception we evaluate whether a contractual arrangement contains a lease. Specifically, we consider whether we control the underlying asset and have the right to obtain substantially all the economic benefits or outputs from the asset. If the contractual arrangement contains a lease, we then determine the classification of the lease, operating or finance, using the classification criteria described in ASC 842. We then determine the term of the lease based on terms and conditions of the contractual arrangement, including whether the options to extend or terminate the lease are reasonably certain to be exercised. We have elected to not separate lease components from non-lease components, such as common area maintenance charges and instead, account for the lease and non-lease components as a single component. Our lease right-of-use ("ROU") assets represent our right to use an underlying asset for the lease term and our lease liabilities represent our obligation to make lease payments. Operating lease ROU assets are included in Operating lease right-of-use assets and operating lease liabilities are included in Accrued liabilities and other and Other long-term liabilities on the Consolidated Condensed Balance Sheets. Finance lease ROU assets are included in Property, plant and equipment and finance lease liabilities are included in Accrued liabilities and other and Other long-term liabilities on the Consolidated Condensed Balance Sheets. Operating lease cost is included in Cost of sales and Selling, general and administrative on the Consolidated Condensed Statements of Earnings. Finance lease cost is included in Cost of sales, Selling, general and administrative and Interest on the Consolidated Condensed Statements of Earnings. The ROU assets and lease liabilities for both operating and finance leases are recognized as of the commencement date at the net present value of the fixed minimum lease payments over the term of the lease, using the discount rate described below. Variable lease payments are recorded in the period in which the obligation for the payment is incurred. Variable lease payments based on an index or rate are initially measured using the index or rate as of the commencement date of the lease and included in the fixed minimum lease payments. For short-term leases that have a term of 12 months or less as of the commencement date, we do not recognize a ROU asset or lease liability on our balance sheet; we recognize expense as the lease payments are made over the lease term. The discount rate used to calculate the present value of our leases is the rate implicit in the lease. If the information necessary to determine the rate implicit in the lease is not available, we use our incremental borrowing rate for collateralized debt, which is determined using our credit rating and other information available as of the lease commencement date. The components of lease expense were as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Operating lease cost $ 7,560 $ 7,218 $ 14,955 $ 14,158 Finance lease cost: Amortization of right-of-use assets $ 1,146 $ 672 $ 2,118 $ 1,259 Interest on lease liabilities 427 247 791 464 Total finance lease cost $ 1,573 $ 919 $ 2,909 $ 1,723 Supplemental cash flow information related to leases was as follows: Six Months Ended April 1, April 2, Cash paid for amounts included in the measurement of lease liabilities: Operating cash flow for operating leases $ 15,094 $ 14,615 Operating cash flow for finance leases 791 464 Financing cash flow for finance leases 1,899 1,085 Assets obtained in exchange for lease obligations: Operating leases $ 1,393 $ 9,744 Finance leases 9,614 7,904 Supplemental balance sheet information related to leases was as follows: April 1, October 1, Operating Leases: Operating lease right-of-use assets $ 62,569 $ 69,072 Accrued liabilities and other $ 11,169 $ 13,002 Other long-term liabilities 61,180 66,167 Total operating lease liabilities $ 72,349 $ 79,169 Finance Leases: Property, plant, and equipment, at cost $ 40,842 $ 30,614 Accumulated depreciation (7,900) (5,606) Property, plant, and equipment, net $ 32,942 $ 25,008 Accrued liabilities and other $ 4,493 $ 3,244 Other long-term liabilities 30,441 23,529 Total finance lease liabilities $ 34,934 $ 26,773 Weighted average remaining lease term in years: Operating leases 7.8 7.7 Finance leases 14.5 16.7 Weighted average discount rates: Operating leases 5.1 % 5.0 % Finance leases 5.3 % 4.8 % Maturities of lease liabilities were as follows: April 1, 2023 Operating Leases Finance Leases 2023 $ 7,582 $ 3,108 2024 13,405 6,203 2025 11,467 6,021 2026 10,778 5,734 2027 9,680 4,978 Thereafter 36,690 31,361 Total lease payments 89,602 57,405 Less: imputed interest (17,253) (22,471) Total $ 72,349 $ 34,934 |
Goodwill And Intangible Assets
Goodwill And Intangible Assets | 6 Months Ended |
Apr. 01, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill And Intangible Assets | Goodwill and Intangible Assets The changes in the carrying amount of goodwill are as follows: Aircraft Space and Industrial Total Balance at October 1, 2022 $ 199,519 $ 259,407 $ 346,394 $ 805,320 Adjustments to prior year acquisitions 122 — — 122 Foreign currency translation 4,754 76 16,226 21,056 Balance at April 1, 2023 $ 204,395 $ 259,483 $ 362,620 $ 826,498 Goodwill in our Space and Defense Controls segment is net of a $4,800 accumulated impairment loss at April 1, 2023. Goodwill in our Medical Devices reporting unit, included in our Industrial Systems segment, is net of a $38,200 accumulated impairment loss at April 1, 2023. The components of intangible assets are as follows: April 1, 2023 October 1, 2022 Weighted- Gross Carrying Accumulated Gross Carrying Accumulated Customer-related 11 $ 138,912 $ (92,925) $ 135,899 $ (88,179) Technology-related 9 71,567 (55,791) 69,856 (52,951) Program-related 23 37,723 (20,981) 35,305 (18,817) Marketing-related 8 22,395 (18,684) 21,925 (17,833) Other 10 1,837 (1,632) 1,693 (1,488) Intangible assets 12 $ 272,434 $ (190,013) $ 264,678 $ (179,268) All acquired intangible assets other than goodwill are being amortized. Customer-related intangible assets primarily consist of customer relationships. Technology-related intangible assets primarily consist of technology, patents, intellectual property and software. Program-related intangible assets consist of long-term programs represented by current contracts and probable follow on work. Marketing-related intangible assets primarily consist of trademarks, trade names and non-compete agreements. Amortization of acquired intangible assets is as follows: Three Months Ended Six Months Ended April 1, 2023 April 2, 2022 April 1, 2023 April 2, 2022 Acquired intangible asset amortization $ 2,865 $ 3,329 $ 5,852 $ 6,727 Based on acquired intangible assets recorded at April 1, 2023, amortization is estimated to be approximately: 2023 2024 2025 2026 2027 Estimated future amortization of acquired intangible assets $ 11,700 $ 10,900 $ 9,800 $ 9,600 $ 8,700 |
Equity Method Investments and J
Equity Method Investments and Joint Ventures | 6 Months Ended |
Apr. 01, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments and Joint Ventures | Equity Method Investments and Joint Ventures Investments and operating results in which we do not have a controlling interest, however we do have the ability to exercise significant influence over operations are accounted for using the equity method of accounting. Equity method investments and joint ventures consists of: April 1, 2023 Income (Loss) Net investment balance Three Months Ended Six Months Ended Moog Aircraft Service Asia $ 1,225 $ 51 $ (77) NOVI LLC 609 — — Suffolk Technologies Fund 1, L.P. 1,048 182 105 Total $ 2,882 $ 233 $ 28 Net investment balances are included as Other assets in the Consolidated Condensed Balance Sheets. Income (loss) from equity method investments and joint ventures is included in Other in the Consolidated Condensed Statements of Earnings. Moog Aircraft Services Asia ("MASA") is a joint venture included in our Aircraft Controls segment in which we currently hold a 51% ownership share. MASA is intended to provide maintenance, repair and overhaul services for our manufactured flight control systems. We hold a 42.5% ownership interest in NOVI LLC ("NOVI") that is included in our Space and Defense Controls segment. NOVI specializes in applying machine learning algorithms to space situational awareness. Suffolk Technologies Fund 1, L.P., is a limited partnership included in our Industrial Systems segment that invests in startups to transform the construction, real estate and property maintenance industries in the U.S. We have a remaining on-call capital commitment of up to $6,751. Hybrid Motion Solutions (“HMS”) is a joint venture in our Industrial Systems segment in which we hold a 50% ownership interest. HMS specializes in hydrostatic servo drives and leverages synergies to enter new markets. The joint venture focuses on research and development, design and assembly as well as service. Our share of cumulative losses to date has exceeded our initial investment, and as such, we had no net investment balance recorded as of April 1, 2023. In addition to the investment, we have also loaned HMS $2,985 that is included as Other assets in the Consolidated Condensed Balance Sheet. Investments in, and the operating results of, entities in which we do not have a controlling financial interest or the ability to exercise significant influence over the operations are accounted for using the cost method of accounting. As of April 1, 2023 we had cost method investments of $9,795, which are included as Other assets in the Consolidated Condensed Balance Sheets. |
Indebtedness
Indebtedness | 6 Months Ended |
Apr. 01, 2023 | |
Debt Disclosure [Abstract] | |
Indebtedness | Indebtedness We maintain short-term line of credit facilities with banks throughout the world that are principally demand lines subject to revision by the banks. Long-term debt consists of: April 1, October 1, U.S. revolving credit facility $ 435,846 $ 321,300 SECT revolving credit facility 28,000 20,000 Senior notes 4.25% 500,000 500,000 Other long-term debt 728 916 Senior debt 964,574 842,216 Less deferred debt issuance cost (5,432) (4,428) Less current installments (728) (916) Long-term debt $ 958,414 $ 836,872 On October 27, 2022, we amended our U.S. revolving credit facility, which extended the maturity date of the credit facility from October 15, 2024 to October 27, 2027. The credit facility has a capacity of $1,100,000 and provides an expansion option, which permits us to request an increase of up to $400,000 to the credit facility upon satisfaction of certain conditions. Interest on the majority of our outstanding borrowings is principally based on SOFR plus the applicable margin. The credit facility is secured by substantially all of our U.S. assets. The loan agreement contains various covenants which, among others, specify interest coverage and maximum leverage. We are in compliance with all covenants. The SECT has a revolving credit facility with a borrowing capacity of $35,000, maturing on July 26, 2024. Interest is based on LIBOR plus an applicable margin. A commitment fee is also charged based on a percentage of the unused amounts available and is not material. We have $500,000 aggregate principal amount of 4.25% senior notes due December 15, 2027 with interest paid semiannually on June 15 and December 15 of each year. The senior notes are unsecured obligations, guaranteed on a senior unsecured basis by certain subsidiaries and contain normal incurrence-based covenants and limitations such as the ability to incur additional indebtedness, pay dividends, make other restricted payments and investments, create liens and certain corporate acts such as mergers and consolidations. We are in compliance with all covenants. |
Other Accrued Liabilities
Other Accrued Liabilities | 6 Months Ended |
Apr. 01, 2023 | |
Accounts Payable and Accrued Liabilities, Current [Abstract] | |
Other Accrued Liabilities | Other Accrued Liabilities Other accrued liabilities consists of: April 1, October 1, 2022 Employee benefits $ 47,043 $ 56,136 Contract reserves 45,602 46,547 Warranty accrual 22,062 23,072 Accrued income taxes 24,778 17,776 Other 72,782 71,845 Other accrued liabilities $ 212,267 $ 215,376 In the ordinary course of business, we warrant our products against defects in design, materials and workmanship typically over periods ranging from twelve to sixty months. We determine warranty reserves needed by product line based on historical experience and current facts and circumstances. Activity in the warranty accrual is summarized as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Warranty accrual at beginning of period $ 22,429 $ 25,026 $ 23,072 $ 26,602 Warranties issued during current period 2,994 2,835 4,952 3,400 Adjustments to pre-existing warranties (229) (42) (443) (66) Reductions for settling warranties (3,179) (3,139) (5,984) (4,854) Divestiture adjustment — (38) — (368) Foreign currency translation 47 (171) 465 (243) Warranty accrual at end of period $ 22,062 $ 24,471 $ 22,062 $ 24,471 |
Derivative Financial Instrument
Derivative Financial Instruments | 6 Months Ended |
Apr. 01, 2023 | |
Derivative Instruments and Hedges, Assets [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments We principally use derivative financial instruments to manage foreign exchange risk related to foreign operations and foreign currency transactions an d interest rate risk associated with long-term debt. We enter into derivative financial instruments with a number of major financial institutions to minimize counterparty credit risk. Derivatives designated as hedging instruments We use foreign currency contracts as cash flow hedges to effectively fix the exchange rates on future payments and revenue. To mitigate exposure in movements between various currencies, including the Philippine peso, we had outstanding foreign currency contracts with notional amounts of $14,124 at April 1, 2023. These contracts mature at various times through March 1, 2024. We use forward currency contracts to hedge our net investment in certain foreign subsidiaries. As of April 1, 2023, we had no outstanding net investment hedges. Interest rate swaps are used to adjust the proportion of total debt that is subject to variable and fixed interest rates. The interest rate swaps are designated as hedges of the amount of future cash flows related to interest payments on variable-rate debt that, in combination with the interest payments on the debt, convert a portion of the variable-rate debt to fixed-rate debt. At April 1, 2023, we had no outstanding interest rate swaps. Foreign currency contracts, net investment hedges and interest rate swaps are recorded in the Consolidated Condensed Balance Sheets at fair value and the related gains or losses are deferred in Shareholders’ Equity as a component of Accumulated Other Comprehensive Income (Loss) ("AOCIL"). These deferred gains and losses are reclassified into the Consolidated Condensed Statements of Earnings, as necessary, during the periods in which the related payments or receipts affect earnings. However, to the extent the foreign currency contracts and interest rate swaps are not perfectly effective in offsetting the change in the value of the payments and revenue being hedged, the ineffective portion of these contracts is recognized in earnings immediately. Ineffectiveness was not material in the first six months of 2023 or 2022. Derivatives not designated as hedging instruments We also have foreign currency exposure on balances, primarily intercompany, that are denominated in a foreign currency and are adjusted to current values using period-end exchange rates. The resulting gains or losses are recorded in the Consolidated Condensed Statements of Earnings. To minimize foreign currency exposure, we have foreign currency contracts with notional amounts of $122,789 at April 1, 2023. The foreign currency contracts are recorded in the Consolidated Condensed Balance Sheets at fair value and resulting gains or losses are recorded in the Consolidated Condensed Statements of Earnings. We recorded the following gains and losses on foreign currency contracts which are included in other income or expense and generally offset the gains or losses from the foreign currency adjustments on the intercompany balances that are also included in other income or expense: Three Months Ended Six Months Ended Statements of Earnings location April 1, April 2, April 1, April 2, Net gain (loss) Foreign currency contracts Other $ (890) $ (2,134) $ 3,105 $ (4,038) Summary of derivatives The fair value and classification of derivatives is summarized as follows: Balance Sheets location April 1, October 1, Derivatives designated as hedging instruments: Foreign currency contracts Other current assets $ 549 $ 562 Foreign currency contracts Other assets — 165 Total asset derivatives $ 549 $ 727 Foreign currency contracts Accrued liabilities and other $ 878 $ 3,877 Foreign currency contracts Other long-term liabilities — 751 Total liability derivatives $ 878 $ 4,628 Derivatives not designated as hedging instruments: Foreign currency contracts Other current assets $ 28 $ 679 Foreign currency contracts Accrued liabilities and other $ 130 $ 738 |
Fair Value
Fair Value | 6 Months Ended |
Apr. 01, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Fair Value Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Depending on the nature of the asset or liability, various techniques and assumptions can be used to estimate fair value. The definition of the fair value hierarchy is as follows: Level 1 – Quoted prices in active markets for identical assets and liabilities. Level 2 – Observable inputs other than quoted prices in active markets for similar assets and liabilities. Level 3 – Inputs for which significant valuation assumptions are unobservable in a market and therefore value is based on the best available data, some of which is internally developed and considers risk premiums that a market participant would require. Our derivatives are valued using various pricing models or discounted cash flow analyses that incorporate observable market data, such as interest rate yield curves and currency rates, and are classified as Level 2 within the valuation hierarchy. The following table presents the fair values and classification of our financial assets and liabilities measured on a recurring basis, all of which are classified as Level 2, except for the acquisition contingent consideration, which is classified as Level 3: Balance Sheets location April 1, October 1, Foreign currency contracts Other current assets $ 577 $ 1,241 Foreign currency contracts Other assets — 165 Total assets $ 577 $ 1,406 Foreign currency contracts Accrued liabilities and other $ 1,008 $ 4,615 Foreign currency contracts Other long-term liabilities — 751 Acquisition contingent consideration Other long-term liabilities 2,954 3,272 Total liabilities $ 3,962 $ 8,638 The changes in financial liabilities classified as Level 3 within the fair value hierarchy are as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Balance at beginning of period $ 3,365 $ — $ 3,272 $ — Additions from acquisition (491) 3,053 (491) 3,053 Increase in discounted future cash flows recorded as interest expense 80 31 173 31 Balance at end of period $ 2,954 $ 3,084 $ 2,954 $ 3,084 |
Restructuring
Restructuring | 6 Months Ended |
Apr. 01, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring Restructuring activity for severance and other costs by segment and reconciliation to consolidated amounts is as follows: Aircraft Controls Space and Defense Controls Industrial Systems Total Balance at October 1, 2022 $ 229 $ 228 $ 6,678 $ 7,135 Charged to expense - 2022 plan — 687 2,408 3,095 Adjustments to provision (16) 37 — 21 Cash payments - 2022 plan (213) (448) (300) (961) Cash payments - 2020 plan — — (180) (180) Cash payments - 2018 plan — — (286) (286) Foreign currency translation — — 447 447 Balance at April 1, 2023 $ — $ 504 $ 8,767 $ 9,271 As of April 1, 2023, the restructuring accrual consists of $5,263 for the 2022 plan, $2,707 for the 2020 plan and $1,301 for the 2018 plan. Restructuring is expected to be paid within a year, except portions classified as long-term liabilities based on the nature of the reserve. |
Employee Benefit Plans
Employee Benefit Plans | 6 Months Ended |
Apr. 01, 2023 | |
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans Pension expense for our defined contribution plans consists of: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, U.S. defined contribution plans $ 12,003 $ 11,169 $ 22,188 $ 21,714 Non-U.S. defined contribution plans 2,047 2,386 4,112 4,538 Total expense for defined contribution plans $ 14,050 $ 13,555 $ 26,300 $ 26,252 Net periodic benefit costs for our defined benefit pension plans are as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, U.S. Plans Service cost $ 3,228 $ 4,956 $ 6,456 $ 9,913 Interest cost 7,028 4,561 14,056 9,123 Expected return on plan assets (7,147) (7,450) (14,294) (14,901) Amortization of actuarial loss 3,362 3,897 6,724 7,793 Expense for U.S. defined benefit plans $ 6,471 $ 5,964 $ 12,942 $ 11,928 Non-U.S. Plans Service cost $ 666 $ 1,107 $ 1,308 $ 2,229 Interest cost 1,354 627 2,657 1,261 Expected return on plan assets (1,057) (886) (2,074) (1,783) Amortization of prior service cost 14 15 27 30 Amortization of actuarial loss 99 1,004 195 2,026 Expense for non-U.S. defined benefit plans $ 1,076 $ 1,867 $ 2,113 $ 3,763 |
Income Taxes
Income Taxes | 6 Months Ended |
Apr. 01, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income TaxesThe effective tax rate for the three and six months ended April 1, 2023 was 23.6%. The effective tax rate for the three and six months ended April 2, 2022 was 24.9% and 24.8%, respectively. The effective tax rates for the three and six months ended April 1, 2023 and April 2, 2022 are higher than expected from applying the U.S. federal statutory tax rate of 21% to earnings before income taxes due to tax on earnings generated outside the U.S. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 6 Months Ended |
Apr. 01, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) The changes in AOCIL, net of tax, by component for the six months ended April 1, 2023 are as follows: Accumulated foreign currency translation Accumulated retirement liability Accumulated gain (loss) on derivatives Total AOCIL at October 1, 2022 $ (182,024) $ (125,231) $ (3,787) $ (311,042) OCI before reclassifications 61,952 (1,198) 1,302 62,056 Amounts reclassified from AOCIL 327 4,429 1,697 6,453 OCI, net of tax 62,279 3,231 2,999 68,509 AOCIL at April 1, 2023 $ (119,745) $ (122,000) $ (788) $ (242,533) Net gains and losses on net investment hedges are recorded in Accumulated foreign currency translation to the extent that the instruments are effective in hedging the designated risk. The amounts reclassified from AOCIL into earnings are as follows: Three Months Ended Six Months Ended Statements of Earnings location April 1, April 2, April 1, April 2, Retirement liability: Prior service cost $ 14 $ 15 $ 27 $ 30 Actuarial losses 2,882 4,583 5,759 9,183 Reclassification from AOCIL into earnings 2,896 4,598 5,786 9,213 Tax effect (679) (1,090) (1,357) (2,183) Net reclassification from AOCIL into earnings $ 2,217 $ 3,508 $ 4,429 $ 7,030 Derivatives: Foreign currency contracts Sales $ 211 $ 176 $ 517 $ 244 Foreign currency contracts Cost of sales 701 299 1,673 349 Reclassification from AOCIL into earnings 912 475 2,190 593 Tax effect (206) (105) (493) (129) Net reclassification from AOCIL into earnings $ 706 $ 370 $ 1,697 $ 464 Reclassification from AOCIL into earnings for the Retirement liability are included in the computation of non-service pension expense, which is included in Other on the Consolidated Condensed Statement of Earnings. The effective portion of amounts deferred in AOCIL are as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Foreign currency contracts $ 489 $ (857) $ 1,687 $ (802) Net gain (loss) 489 (857) 1,687 (802) Tax effect (115) 192 (385) 178 Net deferral in AOCIL of derivatives $ 374 $ (665) $ 1,302 $ (624) |
Stock Employee Compensation Tru
Stock Employee Compensation Trust and Supplemental Retirement Plan Trust | 6 Months Ended |
Apr. 01, 2023 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | |
Stock Employee Compensation Trust and Supplemental Retirement Plan Trust | Stock Employee Compensation Trust and Supplemental Retirement Plan TrustThe SECT assists in administering and provides funding for equity-based compensation plans and benefit programs, including the Moog Inc. Retirement Savings Plan ("RSP"), RSP(+) and the Employee Stock Purchase Plan ("ESPP"). The SERP Trust provides funding for benefits under the SERP provisions of the Moog Inc. Plan to Equalize Retirement Income and Supplemental Retirement Income. Both the SECT and the SERP Trust hold Moog shares as investments. The shares in the SECT and SERP Trust are not considered outstanding for purposes of calculating earnings per share. However, in accordance with the trust agreements governing the SECT and SERP Trust, the trustees vote all shares held by the SECT and SERP Trust on all matters submitted to shareholders. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Apr. 01, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings per Share Basic and diluted weighted-average shares outstanding, as well as shares considered to be anti-dilutive, are as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Basic weighted-average shares outstanding 31,848,140 31,984,674 31,797,071 32,021,036 Dilutive effect of equity-based awards 195,770 136,052 162,244 133,406 Diluted weighted-average shares outstanding 32,043,910 32,120,726 31,959,315 32,154,442 Anti-dilutive shares from equity-based awards 3,425 54,057 12,576 58,204 |
Segment Information
Segment Information | 6 Months Ended |
Apr. 01, 2023 | |
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract] | |
Segment Information | Segments Disaggregation of net sales by segment for the three and six months ended April 1, 2023 and April 2, 2022 are as follows: Three Months Ended Six Months Ended Market Type April 1, April 2, April 1, April 2, Net sales: Military $ 175,701 $ 192,089 $ 347,419 $ 378,038 Commercial 171,303 119,179 309,844 236,547 Aircraft Controls 347,004 311,268 657,263 614,585 Space 111,873 87,074 207,758 174,657 Defense 133,980 136,275 255,880 256,548 Space and Defense Controls 245,853 223,349 463,638 431,205 Energy 28,980 32,316 60,550 63,782 Industrial Automation 125,538 110,411 236,656 212,554 Simulation and Test 24,765 29,625 53,090 51,800 Medical 64,652 63,818 125,698 120,947 Industrial Systems 243,935 236,170 475,994 449,083 Net sales $ 836,792 $ 770,787 $ 1,596,895 $ 1,494,873 Three Months Ended Six Months Ended Customer Type April 1, April 2, April 1, April 2, Net sales: Commercial $ 171,303 $ 119,179 $ 309,844 $ 236,547 U.S. Government (including OEM) 134,062 138,026 263,845 281,905 Other 41,639 54,063 83,574 96,133 Aircraft Controls 347,004 311,268 657,263 614,585 Commercial 29,216 28,554 53,789 52,877 U.S. Government (including OEM) 202,579 180,109 382,017 350,124 Other 14,058 14,686 27,832 28,204 Space and Defense Controls 245,853 223,349 463,638 431,205 Commercial 240,190 235,165 466,029 442,400 U.S. Government (including OEM) 838 153 2,118 3,939 Other 2,907 852 7,847 2,744 Industrial Systems 243,935 236,170 475,994 449,083 Commercial 440,709 382,898 829,662 731,824 U.S. Government (including OEM) 337,479 318,288 647,980 635,968 Other 58,604 69,601 119,253 127,081 Net sales $ 836,792 $ 770,787 $ 1,596,895 $ 1,494,873 Three Months Ended Six Months Ended Revenue Recognition Method April 1, April 2, April 1, April 2, Net sales: Over-time $ 276,638 $ 239,720 $ 523,533 $ 486,369 Point in time 70,366 71,548 133,730 128,216 Aircraft Controls 347,004 311,268 657,263 614,585 Over-time 229,073 207,309 431,163 399,755 Point in time 16,780 16,040 32,475 31,450 Space and Defense Controls 245,853 223,349 463,638 431,205 Over-time 27,862 40,287 60,918 69,312 Point in time 216,073 195,883 415,076 379,771 Industrial Systems 243,935 236,170 475,994 449,083 Over-time 533,573 487,316 1,015,614 955,436 Point in time 303,219 283,471 581,281 539,437 Net sales $ 836,792 $ 770,787 $ 1,596,895 $ 1,494,873 Operating profit is net sales less cost of sales and other operating expenses, excluding interest expense, equity-based compensation expense, non-service pension expense and other corporate expenses. Cost of sales and other operating expenses are directly identifiable to the respective segment or allocated on the basis of sales, manpower or profit. Operating profit by segment for the three and six months ended April 1, 2023 and April 2, 2022 and a reconciliation of segment operating profit to earnings before income taxes are as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Operating profit: Aircraft Controls $ 31,862 $ 12,441 $ 61,580 $ 54,356 Space and Defense Controls 27,507 24,075 47,801 45,374 Industrial Systems 24,397 20,723 61,148 37,914 Total operating profit 83,766 57,239 170,529 137,644 Deductions from operating profit: Interest expense 14,963 8,263 28,095 16,245 Equity-based compensation expense 2,791 1,920 5,765 4,578 Non-service pension expense 3,115 1,472 6,214 2,957 Corporate and other expenses, net 6,593 6,871 13,850 13,728 Earnings before income taxes $ 56,304 $ 38,713 $ 116,605 $ 100,136 |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Apr. 01, 2023 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions John Scannell, Moog's Non-Executive Chairman of the Board of Directors, is a member of the Board of Directors of M&T Bank Corporation and M&T Bank. We currently engage with M&T Bank in the ordinary course of business for various financing activities, all of which were initiated prior to the election of Mr. Scannell to the Board. M&T Bank provides credit extension for routine purchases, which for the three and six months ended April 1, 2023 totaled $3,637 and $7,054, respectively. Credit extension for the three and six months ended April 2, 2022 totaled $4,220 and $7,863, respectively. At April 1, 2023, we held outstanding leases with a total original cost of $14,245. At April 1, 2023, outstanding deposits on our behalf for future equipment leases totaled $2,950. M&T Bank also maintains an interest of approximately 12% in our U.S. revolving credit facility. Further details of the U.S. revolving credit facility can be found in Note 10 - Indebtedness. Wilmington Trust, a subsidiary of M&T Bank, is the trustee of the pension assets for our qualified U.S. defined benefit plan. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Apr. 01, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies From time to time, we are involved in legal proceedings. We are not a party to any pending legal proceedings which management believes will result in a material adverse effect on our financial condition, results of operations or cash flows. We are engaged in administrative proceedings with governmental agencies and legal proceedings with governmental agencies and other third parties in the normal course of our business, including litigation under Superfund laws, regarding environmental matters. We believe that adequate reserves have been established for our share of the estimated cost for all currently pending environmental administrative or legal proceedings and do not expect that these environmental matters will have a material adverse effect on our financial condition, results of operations or cash flows. In the ordinary course of business we could be subject to ongoing claims or disputes from our customers, the ultimate settlement of which could have a material adverse impact on our consolidated results of operations. While the receivables and any loss provisions recorded to date reflect management's best estimate of the projected costs to complete a given project, there is still significant effort required to complete the ultimate deliverable. Future variability in internal cost and future profitability is dependent upon a number of factors including deliveries, performance and government budgetary pressures. The inability to achieve a satisfactory contractual solution, further unplanned delays, additional developmental cost growth or variations in any of the estimates used in the existing contract analysis could lead to further loss provisions. Additional losses could have a material adverse impact on our financial condition, results of operations or cash flows in the period in which the loss may be recognized. We are contingently liab le f or $22,027 related to standby letters of credit issued by a bank to third parties on our behalf at April 1, 2023. |
Subsequent Event
Subsequent Event | 6 Months Ended |
Apr. 01, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Event | Subsequent EventOn April 27, 2023, we declared a $0.27 per share quarterly dividend payable on issued and outstanding shares of our Class A and Class B common stock on May 30, 2023 to shareholders of record at the close of business on May 12, 2023. |
Basis Of Presentation (Policies
Basis Of Presentation (Policies) | 6 Months Ended |
Apr. 01, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Accounting | The accompanying unaudited consolidated condensed financial statements have been prepared by management in accordance with U.S. generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, all adjustments consisting of normal recurring adjustments considered necessary for the fair presentation of results for the interim period have been included. The results of operations for the three and six months ended April 1, 2023 are not necessarily indicative of the results expected for the full year. The accompanying unaudited consolidated condensed financial statements should be read in conjunction with the financial statements and notes thereto included in our Form 10-K for the fiscal year ended October 1, 2022. All references to years in these financial statements are to fiscal years. |
Impairment of Assets | Impairment of Assets Long-lived assets, including acquired intangible assets, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of those assets may not be recoverable. We use undiscounted cash flows to determine whether impairment exists and measure any impairment loss using discounted cash flows, or another comparable method. In 2023, we recorded a $1,000 impairment charge on long-lived assets in our Aircraft Controls segment. These charges relate to equipment that experienced a decline in value due to the U.S. Air Force announcement to retire the KC-10 aerial refueling tanker. In addition, we have recorded a $219 impairment charge on receivables in our Space and Defense Controls segment associated with an expected cancellation of a contract.These charges are included in asset impairment in the Consolidated Condensed Statement of Earnings. In 2022, we recorded impairment charges on long-lived assets in our Aircraft Controls segment. These charges relate to equipment that experienced a significant decline in value due to a slower than expected recovery of our commercial aircraft business. In addition, we recorded impairment charges on receivables and inventories associated with Russian actions in Ukraine. These charges are included in asset impairment in the Consolidated Condensed Statement of Earnings. |
Reclassifications | Reclassifications Certain prior year amounts have been reclassified to conform to current year's presentation, which management does not consider to be material. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Adopted There have been no accounting pronouncements adopted for the six months ended April 1, 2023. Recent Accounting Pronouncements Not Yet Adopted |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Contract Assets and Liabilities | Total contract assets and contract liabilities are as follows: April 1, October 1, 2022 Unbilled receivables $ 685,398 $ 614,760 Contract advances 317,253 296,899 Net contract assets $ 368,145 $ 317,861 |
Receivables (Tables)
Receivables (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | Receivables consist of: April 1, October 1, Accounts receivable $ 382,114 $ 363,137 Unbilled receivables 685,398 614,760 Other 16,547 16,973 Less allowance for credit losses (4,079) (4,608) Receivables, net $ 1,079,980 $ 990,262 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, net of reserves | Inventories, net of reserves, consist of: April 1, October 1, Raw materials and purchased parts $ 260,179 $ 219,893 Work in progress 339,540 305,328 Finished goods 79,326 63,245 Inventories, net $ 679,045 $ 588,466 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | Property, plant and equipment consists of: April 1, October 1, Land $ 30,644 $ 32,164 Buildings and improvements 554,583 502,050 Machinery and equipment 832,321 786,562 Computer equipment and software 218,708 201,960 Property, plant and equipment, at cost 1,636,256 1,522,736 Less accumulated depreciation and amortization (898,657) (853,828) Property, plant and equipment, net $ 737,599 $ 668,908 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Leases [Abstract] | |
Components of Lease Expense | The components of lease expense were as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Operating lease cost $ 7,560 $ 7,218 $ 14,955 $ 14,158 Finance lease cost: Amortization of right-of-use assets $ 1,146 $ 672 $ 2,118 $ 1,259 Interest on lease liabilities 427 247 791 464 Total finance lease cost $ 1,573 $ 919 $ 2,909 $ 1,723 |
Supplemental Cash Flow Lease Information | Supplemental cash flow information related to leases was as follows: Six Months Ended April 1, April 2, Cash paid for amounts included in the measurement of lease liabilities: Operating cash flow for operating leases $ 15,094 $ 14,615 Operating cash flow for finance leases 791 464 Financing cash flow for finance leases 1,899 1,085 Assets obtained in exchange for lease obligations: Operating leases $ 1,393 $ 9,744 Finance leases 9,614 7,904 |
Supplemental Balance Sheet Lease Information | Supplemental balance sheet information related to leases was as follows: April 1, October 1, Operating Leases: Operating lease right-of-use assets $ 62,569 $ 69,072 Accrued liabilities and other $ 11,169 $ 13,002 Other long-term liabilities 61,180 66,167 Total operating lease liabilities $ 72,349 $ 79,169 Finance Leases: Property, plant, and equipment, at cost $ 40,842 $ 30,614 Accumulated depreciation (7,900) (5,606) Property, plant, and equipment, net $ 32,942 $ 25,008 Accrued liabilities and other $ 4,493 $ 3,244 Other long-term liabilities 30,441 23,529 Total finance lease liabilities $ 34,934 $ 26,773 Weighted average remaining lease term in years: Operating leases 7.8 7.7 Finance leases 14.5 16.7 Weighted average discount rates: Operating leases 5.1 % 5.0 % Finance leases 5.3 % 4.8 % |
Finance Lease Maturity Schedule | Maturities of lease liabilities were as follows: April 1, 2023 Operating Leases Finance Leases 2023 $ 7,582 $ 3,108 2024 13,405 6,203 2025 11,467 6,021 2026 10,778 5,734 2027 9,680 4,978 Thereafter 36,690 31,361 Total lease payments 89,602 57,405 Less: imputed interest (17,253) (22,471) Total $ 72,349 $ 34,934 |
Operating Lease Maturity Schedule | Maturities of lease liabilities were as follows: April 1, 2023 Operating Leases Finance Leases 2023 $ 7,582 $ 3,108 2024 13,405 6,203 2025 11,467 6,021 2026 10,778 5,734 2027 9,680 4,978 Thereafter 36,690 31,361 Total lease payments 89,602 57,405 Less: imputed interest (17,253) (22,471) Total $ 72,349 $ 34,934 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Changes in Carry Amount of Goodwill | The changes in the carrying amount of goodwill are as follows: Aircraft Space and Industrial Total Balance at October 1, 2022 $ 199,519 $ 259,407 $ 346,394 $ 805,320 Adjustments to prior year acquisitions 122 — — 122 Foreign currency translation 4,754 76 16,226 21,056 Balance at April 1, 2023 $ 204,395 $ 259,483 $ 362,620 $ 826,498 |
Components of Intangible Assets | The components of intangible assets are as follows: April 1, 2023 October 1, 2022 Weighted- Gross Carrying Accumulated Gross Carrying Accumulated Customer-related 11 $ 138,912 $ (92,925) $ 135,899 $ (88,179) Technology-related 9 71,567 (55,791) 69,856 (52,951) Program-related 23 37,723 (20,981) 35,305 (18,817) Marketing-related 8 22,395 (18,684) 21,925 (17,833) Other 10 1,837 (1,632) 1,693 (1,488) Intangible assets 12 $ 272,434 $ (190,013) $ 264,678 $ (179,268) |
Finite-lived Intangible Assets Amortization Expense | Amortization of acquired intangible assets is as follows: Three Months Ended Six Months Ended April 1, 2023 April 2, 2022 April 1, 2023 April 2, 2022 Acquired intangible asset amortization $ 2,865 $ 3,329 $ 5,852 $ 6,727 |
Estimated Future Amortization of Acquired Intangible Assets | Based on acquired intangible assets recorded at April 1, 2023, amortization is estimated to be approximately: 2023 2024 2025 2026 2027 Estimated future amortization of acquired intangible assets $ 11,700 $ 10,900 $ 9,800 $ 9,600 $ 8,700 |
Equity Method Investments and_2
Equity Method Investments and Joint Ventures (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments and Joint Ventures Net Investment Balance and Income Loss | Equity method investments and joint ventures consists of: April 1, 2023 Income (Loss) Net investment balance Three Months Ended Six Months Ended Moog Aircraft Service Asia $ 1,225 $ 51 $ (77) NOVI LLC 609 — — Suffolk Technologies Fund 1, L.P. 1,048 182 105 Total $ 2,882 $ 233 $ 28 |
Indebtedness (Tables)
Indebtedness (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Debt Disclosure [Abstract] | |
Components of Long-term debt | Long-term debt consists of: April 1, October 1, U.S. revolving credit facility $ 435,846 $ 321,300 SECT revolving credit facility 28,000 20,000 Senior notes 4.25% 500,000 500,000 Other long-term debt 728 916 Senior debt 964,574 842,216 Less deferred debt issuance cost (5,432) (4,428) Less current installments (728) (916) Long-term debt $ 958,414 $ 836,872 |
Other Accrued Liabilities (Tabl
Other Accrued Liabilities (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Accounts Payable and Accrued Liabilities, Current [Abstract] | |
Schedule of Accrued Liabilities | Other accrued liabilities consists of: April 1, October 1, 2022 Employee benefits $ 47,043 $ 56,136 Contract reserves 45,602 46,547 Warranty accrual 22,062 23,072 Accrued income taxes 24,778 17,776 Other 72,782 71,845 Other accrued liabilities $ 212,267 $ 215,376 |
Schedule of Product Warranty Liability | Activity in the warranty accrual is summarized as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Warranty accrual at beginning of period $ 22,429 $ 25,026 $ 23,072 $ 26,602 Warranties issued during current period 2,994 2,835 4,952 3,400 Adjustments to pre-existing warranties (229) (42) (443) (66) Reductions for settling warranties (3,179) (3,139) (5,984) (4,854) Divestiture adjustment — (38) — (368) Foreign currency translation 47 (171) 465 (243) Warranty accrual at end of period $ 22,062 $ 24,471 $ 22,062 $ 24,471 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Derivative Instruments and Hedges, Assets [Abstract] | |
Gains And Losses On Foreign Currency Forwards Included In Other Income Or Expense | We recorded the following gains and losses on foreign currency contracts which are included in other income or expense and generally offset the gains or losses from the foreign currency adjustments on the intercompany balances that are also included in other income or expense: Three Months Ended Six Months Ended Statements of Earnings location April 1, April 2, April 1, April 2, Net gain (loss) Foreign currency contracts Other $ (890) $ (2,134) $ 3,105 $ (4,038) |
Fair Value And Classification Of Derivatives On The Consolidated Balance Sheets | The fair value and classification of derivatives is summarized as follows: Balance Sheets location April 1, October 1, Derivatives designated as hedging instruments: Foreign currency contracts Other current assets $ 549 $ 562 Foreign currency contracts Other assets — 165 Total asset derivatives $ 549 $ 727 Foreign currency contracts Accrued liabilities and other $ 878 $ 3,877 Foreign currency contracts Other long-term liabilities — 751 Total liability derivatives $ 878 $ 4,628 Derivatives not designated as hedging instruments: Foreign currency contracts Other current assets $ 28 $ 679 Foreign currency contracts Accrued liabilities and other $ 130 $ 738 |
Fair Value (Tables)
Fair Value (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Values And Classification Of Financial Assets And Liabilities Measured On A Recurring Basis | The following table presents the fair values and classification of our financial assets and liabilities measured on a recurring basis, all of which are classified as Level 2, except for the acquisition contingent consideration, which is classified as Level 3: Balance Sheets location April 1, October 1, Foreign currency contracts Other current assets $ 577 $ 1,241 Foreign currency contracts Other assets — 165 Total assets $ 577 $ 1,406 Foreign currency contracts Accrued liabilities and other $ 1,008 $ 4,615 Foreign currency contracts Other long-term liabilities — 751 Acquisition contingent consideration Other long-term liabilities 2,954 3,272 Total liabilities $ 3,962 $ 8,638 |
Financial Liabilities Classified as Level 3 Within the Fair Value Hierarchy | The changes in financial liabilities classified as Level 3 within the fair value hierarchy are as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Balance at beginning of period $ 3,365 $ — $ 3,272 $ — Additions from acquisition (491) 3,053 (491) 3,053 Increase in discounted future cash flows recorded as interest expense 80 31 173 31 Balance at end of period $ 2,954 $ 3,084 $ 2,954 $ 3,084 |
Restructuring (Tables)
Restructuring (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring Reserve Activity | Restructuring activity for severance and other costs by segment and reconciliation to consolidated amounts is as follows: Aircraft Controls Space and Defense Controls Industrial Systems Total Balance at October 1, 2022 $ 229 $ 228 $ 6,678 $ 7,135 Charged to expense - 2022 plan — 687 2,408 3,095 Adjustments to provision (16) 37 — 21 Cash payments - 2022 plan (213) (448) (300) (961) Cash payments - 2020 plan — — (180) (180) Cash payments - 2018 plan — — (286) (286) Foreign currency translation — — 447 447 Balance at April 1, 2023 $ — $ 504 $ 8,767 $ 9,271 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |
Defined Contribution Plan Disclosures | Pension expense for our defined contribution plans consists of: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, U.S. defined contribution plans $ 12,003 $ 11,169 $ 22,188 $ 21,714 Non-U.S. defined contribution plans 2,047 2,386 4,112 4,538 Total expense for defined contribution plans $ 14,050 $ 13,555 $ 26,300 $ 26,252 |
Net Periodic Benefit Costs | Net periodic benefit costs for our defined benefit pension plans are as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, U.S. Plans Service cost $ 3,228 $ 4,956 $ 6,456 $ 9,913 Interest cost 7,028 4,561 14,056 9,123 Expected return on plan assets (7,147) (7,450) (14,294) (14,901) Amortization of actuarial loss 3,362 3,897 6,724 7,793 Expense for U.S. defined benefit plans $ 6,471 $ 5,964 $ 12,942 $ 11,928 Non-U.S. Plans Service cost $ 666 $ 1,107 $ 1,308 $ 2,229 Interest cost 1,354 627 2,657 1,261 Expected return on plan assets (1,057) (886) (2,074) (1,783) Amortization of prior service cost 14 15 27 30 Amortization of actuarial loss 99 1,004 195 2,026 Expense for non-U.S. defined benefit plans $ 1,076 $ 1,867 $ 2,113 $ 3,763 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Components of AOCIL | The changes in AOCIL, net of tax, by component for the six months ended April 1, 2023 are as follows: Accumulated foreign currency translation Accumulated retirement liability Accumulated gain (loss) on derivatives Total AOCIL at October 1, 2022 $ (182,024) $ (125,231) $ (3,787) $ (311,042) OCI before reclassifications 61,952 (1,198) 1,302 62,056 Amounts reclassified from AOCIL 327 4,429 1,697 6,453 OCI, net of tax 62,279 3,231 2,999 68,509 AOCIL at April 1, 2023 $ (119,745) $ (122,000) $ (788) $ (242,533) |
Reclassification from AOCIL | The amounts reclassified from AOCIL into earnings are as follows: Three Months Ended Six Months Ended Statements of Earnings location April 1, April 2, April 1, April 2, Retirement liability: Prior service cost $ 14 $ 15 $ 27 $ 30 Actuarial losses 2,882 4,583 5,759 9,183 Reclassification from AOCIL into earnings 2,896 4,598 5,786 9,213 Tax effect (679) (1,090) (1,357) (2,183) Net reclassification from AOCIL into earnings $ 2,217 $ 3,508 $ 4,429 $ 7,030 Derivatives: Foreign currency contracts Sales $ 211 $ 176 $ 517 $ 244 Foreign currency contracts Cost of sales 701 299 1,673 349 Reclassification from AOCIL into earnings 912 475 2,190 593 Tax effect (206) (105) (493) (129) Net reclassification from AOCIL into earnings $ 706 $ 370 $ 1,697 $ 464 |
Activity and Classification of Derivative Deferral in AOCIL | The effective portion of amounts deferred in AOCIL are as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Foreign currency contracts $ 489 $ (857) $ 1,687 $ (802) Net gain (loss) 489 (857) 1,687 (802) Tax effect (115) 192 (385) 178 Net deferral in AOCIL of derivatives $ 374 $ (665) $ 1,302 $ (624) |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Earnings Per Share [Abstract] | |
Basic And Diluted Weighted-Average Shares Outstanding | Basic and diluted weighted-average shares outstanding, as well as shares considered to be anti-dilutive, are as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Basic weighted-average shares outstanding 31,848,140 31,984,674 31,797,071 32,021,036 Dilutive effect of equity-based awards 195,770 136,052 162,244 133,406 Diluted weighted-average shares outstanding 32,043,910 32,120,726 31,959,315 32,154,442 |
Antidilutive Shares Excluded from Computation of Earnings Per Share | Anti-dilutive shares from equity-based awards 3,425 54,057 12,576 58,204 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Apr. 01, 2023 | |
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract] | |
Sales And Operating Profit By Segment And Reconciliation Of Segment Operating Profit To Earnings Before Income Taxes | Disaggregation of net sales by segment for the three and six months ended April 1, 2023 and April 2, 2022 are as follows: Three Months Ended Six Months Ended Market Type April 1, April 2, April 1, April 2, Net sales: Military $ 175,701 $ 192,089 $ 347,419 $ 378,038 Commercial 171,303 119,179 309,844 236,547 Aircraft Controls 347,004 311,268 657,263 614,585 Space 111,873 87,074 207,758 174,657 Defense 133,980 136,275 255,880 256,548 Space and Defense Controls 245,853 223,349 463,638 431,205 Energy 28,980 32,316 60,550 63,782 Industrial Automation 125,538 110,411 236,656 212,554 Simulation and Test 24,765 29,625 53,090 51,800 Medical 64,652 63,818 125,698 120,947 Industrial Systems 243,935 236,170 475,994 449,083 Net sales $ 836,792 $ 770,787 $ 1,596,895 $ 1,494,873 Operating profit is net sales less cost of sales and other operating expenses, excluding interest expense, equity-based compensation expense, non-service pension expense and other corporate expenses. Cost of sales and other operating expenses are directly identifiable to the respective segment or allocated on the basis of sales, manpower or profit. Operating profit by segment for the three and six months ended April 1, 2023 and April 2, 2022 and a reconciliation of segment operating profit to earnings before income taxes are as follows: Three Months Ended Six Months Ended April 1, April 2, April 1, April 2, Operating profit: Aircraft Controls $ 31,862 $ 12,441 $ 61,580 $ 54,356 Space and Defense Controls 27,507 24,075 47,801 45,374 Industrial Systems 24,397 20,723 61,148 37,914 Total operating profit 83,766 57,239 170,529 137,644 Deductions from operating profit: Interest expense 14,963 8,263 28,095 16,245 Equity-based compensation expense 2,791 1,920 5,765 4,578 Non-service pension expense 3,115 1,472 6,214 2,957 Corporate and other expenses, net 6,593 6,871 13,850 13,728 Earnings before income taxes $ 56,304 $ 38,713 $ 116,605 $ 100,136 |
Sales by Major Customer Type | Three Months Ended Six Months Ended Customer Type April 1, April 2, April 1, April 2, Net sales: Commercial $ 171,303 $ 119,179 $ 309,844 $ 236,547 U.S. Government (including OEM) 134,062 138,026 263,845 281,905 Other 41,639 54,063 83,574 96,133 Aircraft Controls 347,004 311,268 657,263 614,585 Commercial 29,216 28,554 53,789 52,877 U.S. Government (including OEM) 202,579 180,109 382,017 350,124 Other 14,058 14,686 27,832 28,204 Space and Defense Controls 245,853 223,349 463,638 431,205 Commercial 240,190 235,165 466,029 442,400 U.S. Government (including OEM) 838 153 2,118 3,939 Other 2,907 852 7,847 2,744 Industrial Systems 243,935 236,170 475,994 449,083 Commercial 440,709 382,898 829,662 731,824 U.S. Government (including OEM) 337,479 318,288 647,980 635,968 Other 58,604 69,601 119,253 127,081 Net sales $ 836,792 $ 770,787 $ 1,596,895 $ 1,494,873 |
Revenue Recognition Method | Three Months Ended Six Months Ended Revenue Recognition Method April 1, April 2, April 1, April 2, Net sales: Over-time $ 276,638 $ 239,720 $ 523,533 $ 486,369 Point in time 70,366 71,548 133,730 128,216 Aircraft Controls 347,004 311,268 657,263 614,585 Over-time 229,073 207,309 431,163 399,755 Point in time 16,780 16,040 32,475 31,450 Space and Defense Controls 245,853 223,349 463,638 431,205 Over-time 27,862 40,287 60,918 69,312 Point in time 216,073 195,883 415,076 379,771 Industrial Systems 243,935 236,170 475,994 449,083 Over-time 533,573 487,316 1,015,614 955,436 Point in time 303,219 283,471 581,281 539,437 Net sales $ 836,792 $ 770,787 $ 1,596,895 $ 1,494,873 |
Basis Of Presentation (Narrativ
Basis Of Presentation (Narrative) (Details) $ in Thousands | 6 Months Ended |
Apr. 01, 2023 USD ($) | |
Aircraft Controls | |
Basis of Presentation | |
Impairment charged on long-lived assets | $ 1,000 |
Space And Defense Controls | |
Basis of Presentation | |
Impairment charges on receivables | $ 219 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers Revenue from Contracts with Customers (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | Oct. 01, 2022 | |
Disaggregation of Revenue [Line Items] | |||||
Revenue for adjustments made to performance obligations satisfied in previous periods | $ 2,233 | $ (2,238) | $ (2,066) | $ 8,740 | |
Contract loss and contract-related loss reserves | 45,602 | 45,602 | $ 46,547 | ||
Revenue recognized due to contract liabilities | 76,349 | 165,148 | |||
Remaining performance obligation, amount | $ 5,200,000 | $ 5,200,000 | |||
Remaining performance obligation, percentage | 44% | 44% | |||
Minimum | |||||
Disaggregation of Revenue [Line Items] | |||||
Payment terms - days | 30 | ||||
Maximum | |||||
Disaggregation of Revenue [Line Items] | |||||
Payment terms - days | 60 days | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2023-04-01 | |||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||||
Remaining performance obligation, expected timing of satisfaction | 12 months | 12 months |
Revenue from Contracts with C_4
Revenue from Contracts with Customers (Contract Assets and Liabilities) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Revenue from Contract with Customer [Abstract] | ||
Unbilled receivables | $ 685,398 | $ 614,760 |
Contract advances | 317,253 | 296,899 |
Net contract assets | $ 368,145 | $ 317,861 |
Acquisitions and Divestitures (
Acquisitions and Divestitures (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||||
Sep. 30, 2022 | Sep. 20, 2022 | Feb. 21, 2022 | Dec. 03, 2021 | Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Acquisitions and Divestitures | ||||||||
Net proceeds from businesses sold | $ 959 | $ 38,611 | ||||||
(Gain) Loss on Disposition of Business | $ 0 | $ 0 | $ 0 | $ (16,146) | ||||
TEAM | Aircraft Controls | ||||||||
Acquisitions and Divestitures | ||||||||
Purchase price, net of acquired cash | $ 14,394 | |||||||
Total cash consideration, net of acquired cash | 11,832 | |||||||
Fair value, Contingent consideration, Liability | $ 2,562 | |||||||
TriTech | Industrial Systems | ||||||||
Acquisitions and Divestitures | ||||||||
Net proceeds from businesses sold | $ 13,075 | |||||||
(Gain) Loss on Disposition of Business | $ 15,246 | |||||||
QuickSet | Space And Defense Controls | ||||||||
Acquisitions and Divestitures | ||||||||
Net proceeds from businesses sold | $ 9,108 | |||||||
(Gain) Loss on Disposition of Business | $ 4,324 | |||||||
Nav Aids Sale | Aircraft Controls | ||||||||
Acquisitions and Divestitures | ||||||||
Net proceeds from businesses sold | $ 36,550 | |||||||
(Gain) Loss on Disposition of Business | $ (16,146) |
Receivables (Schedule of Receiv
Receivables (Schedule of Receivables) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Receivables [Abstract] | ||
Accounts receivable | $ 382,114 | $ 363,137 |
Unbilled receivables | 685,398 | 614,760 |
Other | 16,547 | 16,973 |
Less allowance for credit losses | (4,079) | (4,608) |
Receivables, net | $ 1,079,980 | $ 990,262 |
Receivables (Narrative) (Detail
Receivables (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 01, 2023 | Oct. 01, 2022 | Nov. 04, 2021 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Maximum Amount of Receivables That May Be Sold to Purchasers | $ 100,000 | |||
Total Receivables Sold Under RPA | $ 123,434 | $ 238,476 | ||
Total Cash Collections Under RPA | 123,434 | 238,476 | ||
Gain Loss on Sale of Receivables | 0 | |||
Amount of Receivables Sold to Purchasers | 100,000 | 100,000 | ||
Receivables, net | 1,079,980 | 1,079,980 | $ 990,262 | |
Asset Pledged as Collateral | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Receivables, net | $ 731,260 | $ 731,260 |
Inventories (Schedule of Invent
Inventories (Schedule of Inventory) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Inventory Disclosure [Abstract] | ||
Raw materials and purchased parts | $ 260,179 | $ 219,893 |
Work in progress | 339,540 | 305,328 |
Finished goods | 79,326 | 63,245 |
Inventories, net | $ 679,045 | $ 588,466 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Schedule of Property, Plant and Equipment) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Property, Plant and Equipment [Abstract] | ||
Land | $ 30,644 | $ 32,164 |
Buildings and improvements | 554,583 | 502,050 |
Machinery and equipment | 832,321 | 786,562 |
Computer equipment and software | 218,708 | 201,960 |
Property, plant and equipment, at cost | 1,636,256 | 1,522,736 |
Less accumulated depreciation and amortization | (898,657) | (853,828) |
Property, plant and equipment, net | $ 737,599 | $ 668,908 |
Leases (Components of Lease Exp
Leases (Components of Lease Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Leases [Abstract] | ||||
Operating lease cost | $ 7,560 | $ 7,218 | $ 14,955 | $ 14,158 |
Finance lease cost - Amortization of right-of-use assets | 1,146 | 672 | 2,118 | 1,259 |
Finance lease cost - Interest on lease liabilities | 427 | 247 | 791 | 464 |
Total finance lease cost | $ 1,573 | $ 919 | $ 2,909 | $ 1,723 |
Leases (Supplemental Cash Flow
Leases (Supplemental Cash Flow Lease Information) (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Apr. 01, 2023 | Apr. 02, 2022 | |
Leases [Abstract] | ||
Operating cash flow for operating leases | $ 15,094 | $ 14,615 |
Operating cash flow for finance leases | 791 | 464 |
Financing cash flow for finance leases | 1,899 | 1,085 |
Assets obtained in exchange for lease obligations - Operating leases | 1,393 | 9,744 |
Assets obtained in exchanged for lease obligations - Finance leases | $ 9,614 | $ 7,904 |
Leases (Supplemental Balance Sh
Leases (Supplemental Balance Sheet Lease Information) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 62,569 | $ 69,072 |
Operating lease - Accrued liabilities and other | 11,169 | 13,002 |
Operating lease - Other long-term liabilities | 61,180 | 66,167 |
Total operating lease liabilities | $ 72,349 | 79,169 |
Operating leases - Accrued liabilities and other | Accrued Liabilities, Current | |
Operating leases - Other long-term liabilities | Other Liabilities, Noncurrent | |
Total operating lease liabilities | Liabilities | |
Finance leases - Property, plant and equipment, at cost | $ 40,842 | 30,614 |
Finance leases - Accumulated depreciation | (7,900) | (5,606) |
Finance leases - Property, plant, and equipment, net | $ 32,942 | 25,008 |
Finance Lease - Property, plant and equipment, net | Property, plant and equipment, net | |
Finance leases - Accrued liabilities and other | $ 4,493 | 3,244 |
Finance leases - Other long-term liabilities | 30,441 | 23,529 |
Total finance lease liabilities | $ 34,934 | $ 26,773 |
Finance leases - Accrued liabilities and other | Accrued Liabilities, Current | |
Finance leases - Other long-term liabilities | Other Liabilities, Noncurrent | |
Total finance lease liabilities | Liabilities | |
Weighted average remaining lease term - Operating leases | 7 years 9 months 18 days | 7 years 8 months 12 days |
Weighted average remaining lease term - Financing leases | 14 years 6 months | 16 years 8 months 12 days |
Weighted average discount rate - Operating leases | 5.10% | 5% |
Weighted average discount rate - Finance leases | 5.30% | 4.80% |
Leases (Schedule of Maturities
Leases (Schedule of Maturities of Lease Liabilities) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Operating Leases | ||
Operating leases maturity - 2023 | $ 7,582 | |
Operating leases maturity - 2024 | 13,405 | |
Operating leases maturity - 2025 | 11,467 | |
Operating leases maturity - 2026 | 10,778 | |
Operating leases maturity - 2027 | 9,680 | |
Operating leases maturity - Thereafter | 36,690 | |
Operating leases - Total lease payments | 89,602 | |
Operating leases - imputed interest | (17,253) | |
Operating leases - Total | 72,349 | $ 79,169 |
Finance Leases | ||
Finance leases maturity - 2023 | 3,108 | |
Finance leases maturity - 2024 | 6,203 | |
Finance leases maturity - 2025 | 6,021 | |
Finance leases maturity - 2026 | 5,734 | |
Finance leases maturity - 2027 | 4,978 | |
Finance leases maturity - Thereafter | 31,361 | |
Finance leases - Total lease payments | 57,405 | |
Finance leases - imputed interest | (22,471) | |
Finance leases - Total | $ 34,934 | $ 26,773 |
Goodwill And Intangible Asset_2
Goodwill And Intangible Assets (Changes In Carrying Amount Of Goodwill) (Details) $ in Thousands | 6 Months Ended |
Apr. 01, 2023 USD ($) | |
Goodwill | |
Beginning balance | $ 805,320 |
Adjustments to prior year acquisitions | 122 |
Foreign currency translation | 21,056 |
Ending balance | 826,498 |
Aircraft Controls | |
Goodwill | |
Beginning balance | 199,519 |
Adjustments to prior year acquisitions | 122 |
Foreign currency translation | 4,754 |
Ending balance | 204,395 |
Space And Defense Controls | |
Goodwill | |
Beginning balance | 259,407 |
Adjustments to prior year acquisitions | 0 |
Foreign currency translation | 76 |
Ending balance | 259,483 |
Industrial Systems | |
Goodwill | |
Beginning balance | 346,394 |
Adjustments to prior year acquisitions | 0 |
Foreign currency translation | 16,226 |
Ending balance | $ 362,620 |
Goodwill And Intangible Asset_3
Goodwill And Intangible Assets (Goodwill Narrative) (Details) $ in Thousands | Apr. 01, 2023 USD ($) |
Space And Defense Controls | |
Goodwill | |
Goodwill, accumulated impairment loss | $ 4,800 |
Industrial Systems | |
Goodwill | |
Goodwill, accumulated impairment loss | $ 38,200 |
Goodwill And Intangible Asset_4
Goodwill And Intangible Assets (Components Of Intangible Assets) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Finite-Lived Intangible Assets | ||
Weighted- Average Life (years) | 12 years | |
Gross Carrying Amount | $ 272,434 | $ 264,678 |
Accumulated Amortization | $ (190,013) | (179,268) |
Customer-related | ||
Finite-Lived Intangible Assets | ||
Weighted- Average Life (years) | 11 years | |
Gross Carrying Amount | $ 138,912 | 135,899 |
Accumulated Amortization | $ (92,925) | (88,179) |
Technology-related | ||
Finite-Lived Intangible Assets | ||
Weighted- Average Life (years) | 9 years | |
Gross Carrying Amount | $ 71,567 | 69,856 |
Accumulated Amortization | $ (55,791) | (52,951) |
Program-related | ||
Finite-Lived Intangible Assets | ||
Weighted- Average Life (years) | 23 years | |
Gross Carrying Amount | $ 37,723 | 35,305 |
Accumulated Amortization | $ (20,981) | (18,817) |
Marketing-related | ||
Finite-Lived Intangible Assets | ||
Weighted- Average Life (years) | 8 years | |
Gross Carrying Amount | $ 22,395 | 21,925 |
Accumulated Amortization | $ (18,684) | (17,833) |
Other Intangible Assets | ||
Finite-Lived Intangible Assets | ||
Weighted- Average Life (years) | 10 years | |
Gross Carrying Amount | $ 1,837 | 1,693 |
Accumulated Amortization | $ (1,632) | $ (1,488) |
Goodwill And Intangible Asset_5
Goodwill And Intangible Assets Amortization of Acquired Intangibles (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Acquired intangible asset amortization | $ 2,865 | $ 3,329 | $ 5,852 | $ 6,727 |
Goodwill And Intangible Asset_6
Goodwill And Intangible Assets Estimated Future Amortization of Acquired Intangibles (Details) $ in Thousands | Apr. 01, 2023 USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Future amortization expenses, 2023 | $ 11,700 |
Future amortization expenses, 2024 | 10,900 |
Future amortization expenses, 2025 | 9,800 |
Future amortization expenses, 2026 | 9,600 |
Future amortization expenses, 2027 | $ 8,700 |
Equity Method Investments and_3
Equity Method Investments and Joint Ventures (Net Investment Balance and Income Loss) (Details) $ in Thousands | 3 Months Ended | 6 Months Ended |
Apr. 01, 2023 USD ($) | Apr. 01, 2023 USD ($) | |
Other assets | ||
Schedule of Equity Method Investments [Line Items] | ||
Net investment balance | $ 2,882 | $ 2,882 |
Other Income (Expense) | ||
Schedule of Equity Method Investments [Line Items] | ||
Income (loss) | 233 | 28 |
Moog Aircraft Services Asia | Other assets | ||
Schedule of Equity Method Investments [Line Items] | ||
Net investment balance | 1,225 | 1,225 |
Moog Aircraft Services Asia | Other Income (Expense) | ||
Schedule of Equity Method Investments [Line Items] | ||
Income (loss) | 51 | (77) |
NOVI LLC | Other assets | ||
Schedule of Equity Method Investments [Line Items] | ||
Net investment balance | 609 | 609 |
NOVI LLC | Other Income (Expense) | ||
Schedule of Equity Method Investments [Line Items] | ||
Income (loss) | 0 | 0 |
Suffolk Technologies Fund 1, L.P. | Other assets | ||
Schedule of Equity Method Investments [Line Items] | ||
Net investment balance | 1,048 | 1,048 |
Suffolk Technologies Fund 1, L.P. | Other Income (Expense) | ||
Schedule of Equity Method Investments [Line Items] | ||
Income (loss) | $ 182 | $ 105 |
Equity Method Investments and_4
Equity Method Investments and Joint Ventures (Narrative) (Details) $ in Thousands | 6 Months Ended |
Apr. 01, 2023 USD ($) | |
Other assets | |
Schedule of Equity Method Investments [Line Items] | |
Net investment balance | $ 2,882 |
Cost method investments | 9,795 |
Moog Aircraft Services Asia | Other assets | |
Schedule of Equity Method Investments [Line Items] | |
Net investment balance | $ 1,225 |
Moog Aircraft Services Asia | Aircraft Controls | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investment, Ownership Percentage | 51% |
NOVI LLC | Other assets | |
Schedule of Equity Method Investments [Line Items] | |
Net investment balance | $ 609 |
NOVI LLC | Space And Defense Controls | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investment, Ownership Percentage | 42.50% |
Suffolk Technologies Fund 1, L.P. | Other assets | |
Schedule of Equity Method Investments [Line Items] | |
Net investment balance | $ 1,048 |
Suffolk Technologies Fund 1, L.P. | Industrial Systems | |
Schedule of Equity Method Investments [Line Items] | |
Investment Company, Committed Capital | $ 6,751 |
Hybrid Motion Solutions | Industrial Systems | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investment, Ownership Percentage | 50% |
Hybrid Motion Solutions | Industrial Systems | Other assets | |
Schedule of Equity Method Investments [Line Items] | |
Net investment balance | $ 0 |
Loans to joint venture | $ 2,985 |
Indebtedness (Components of Lon
Indebtedness (Components of Long-term debt) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Debt Instrument | ||
Senior notes 4.25% | $ 500,000 | $ 500,000 |
Other long-term debt | 728 | 916 |
Senior debt | 964,574 | 842,216 |
Less deferred debt issuance cost | (5,432) | (4,428) |
Less current installments | (728) | (916) |
Long-term debt | 958,414 | 836,872 |
U.S. revolving credit facility | ||
Debt Instrument | ||
Revolving credit facility | 435,846 | 321,300 |
SECT revolving credit facility | ||
Debt Instrument | ||
Revolving credit facility | $ 28,000 | $ 20,000 |
Indebtedness (Narrative) (Detai
Indebtedness (Narrative) (Details) - USD ($) $ in Thousands | Oct. 27, 2022 | Apr. 01, 2023 | Jul. 15, 2021 |
Line of Credit | U.S. revolving credit facility | |||
Debt Instrument | |||
Line of Credit Facility, Current Borrowing Capacity | $ 1,100,000 | ||
Expansion option to increase credit facility | $ 400,000 | ||
Line of Credit | SECT revolving credit facility | |||
Debt Instrument | |||
Line of Credit Facility, Current Borrowing Capacity | $ 35,000 | ||
Senior Notes | |||
Debt Instrument | |||
Debt Instrument, Face Amount | $ 500,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.25% |
Other Accrued Liabilities (Sche
Other Accrued Liabilities (Schedule of Other Accrued Liabilities) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Accounts Payable and Accrued Liabilities, Current [Abstract] | ||
Employee benefits | $ 47,043 | $ 56,136 |
Contract reserves | 45,602 | 46,547 |
Warranty accrual | 22,062 | 23,072 |
Accrued income taxes | 24,778 | 17,776 |
Other | 72,782 | 71,845 |
Other accrued liabilities | $ 212,267 | $ 215,376 |
Other Accrued Liabilities (Narr
Other Accrued Liabilities (Narrative) (Details) | 6 Months Ended |
Apr. 01, 2023 | |
Minimum | |
Product Warranty Liability | |
Warranty period - months | twelve |
Maximum | |
Product Warranty Liability | |
Warranty period - months | sixty |
Other Accrued Liabilities (Summ
Other Accrued Liabilities (Summary of Activity in Warranty Accrual) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Accounts Payable and Accrued Liabilities, Current [Abstract] | ||||
Warranty accrual at beginning of period | $ 22,429 | $ 25,026 | $ 23,072 | $ 26,602 |
Warranties issued during current period | 2,994 | 2,835 | 4,952 | 3,400 |
Adjustments to pre-existing warranties | (229) | (42) | (443) | (66) |
Reductions for settling warranties | (3,179) | (3,139) | (5,984) | (4,854) |
Divestiture adjustment | 0 | (38) | 0 | (368) |
Foreign currency translation | 47 | (171) | 465 | (243) |
Warranty accrual at end of period | $ 22,062 | $ 24,471 | $ 22,062 | $ 24,471 |
Derivative Financial Instrume_3
Derivative Financial Instruments (Narrative) (Details) $ in Thousands | Apr. 01, 2023 USD ($) |
Designated as Hedging Instrument | Foreign currency contracts | |
Derivative | |
Derivative, Notional Amount | $ 14,124 |
Designated as Hedging Instrument | Net Investment Hedge | |
Derivative | |
Derivative, Notional Amount | 0 |
Designated as Hedging Instrument | Interest Rate Swaps | |
Derivative | |
Derivative, Notional Amount | 0 |
Not Designated as Hedging Instrument | Foreign currency contracts | |
Derivative | |
Derivative, Notional Amount | $ 122,789 |
Derivative Financial Instrume_4
Derivative Financial Instruments (Gains And Losses On Foreign Currency Forwards Included In Other Income Or Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Foreign currency contracts | Other Income (Expense) | ||||
Derivative | ||||
Net gain (loss) | $ (890) | $ (2,134) | $ 3,105 | $ (4,038) |
Derivative Financial Instrume_5
Derivative Financial Instruments (Fair Value And Classification Of Derivatives On The Consolidated Balance Sheets) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Other current assets | Foreign currency contracts | ||
Derivative Instruments, Fair Value | ||
Cash Flow Hedge Derivative Instrument Assets at Fair Value | $ 549 | $ 562 |
Derivative Instruments Not Designated as Hedging Instruments, Asset, at Fair Value | 28 | 679 |
Other assets | Foreign currency contracts | ||
Derivative Instruments, Fair Value | ||
Cash Flow Hedge Derivative Instrument Assets at Fair Value | 0 | 165 |
Total asset derivatives | ||
Derivative Instruments, Fair Value | ||
Cash Flow Hedge Derivative Instrument Assets at Fair Value | 549 | 727 |
Accrued liabilities and other | Foreign currency contracts | ||
Derivative Instruments, Fair Value | ||
Cash Flow Hedge Derivative Instrument Liabilities at Fair Value | 878 | 3,877 |
Derivatives Instruments Not Designated as Hedging Instruments, Liability, at Fair Value | 130 | 738 |
Other long-term liabilities | Foreign currency contracts | ||
Derivative Instruments, Fair Value | ||
Cash Flow Hedge Derivative Instrument Liabilities at Fair Value | 0 | 751 |
Total liability derivatives | ||
Derivative Instruments, Fair Value | ||
Cash Flow Hedge Derivative Instrument Liabilities at Fair Value | $ 878 | $ 4,628 |
Fair Value (Fair Values And Cla
Fair Value (Fair Values And Classification Of Financial Assets And Liabilities Measured On A Recurring Basis) (Details) - Fair Value, Recurring - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Other current assets | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Foreign currency forwards, fair value assets | $ 577 | $ 1,241 |
Other assets | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Foreign currency forwards, fair value assets | 0 | 165 |
Total assets | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Total fair value assets | 577 | 1,406 |
Accrued liabilities and other | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Foreign currency forwards, fair value liabilities | 1,008 | 4,615 |
Other long-term liabilities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Foreign currency forwards, fair value liabilities | 0 | 751 |
Other long-term liabilities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Acquisition contingent consideration, fair value liabilities | 2,954 | 3,272 |
Total liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Total fair value liabilities | $ 3,962 | $ 8,638 |
Fair Value (Financial Liabiliti
Fair Value (Financial Liabilities Classified as Level 3 Within Fair Value Hierarchy( (Details) - Level 3 - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Balance at beginning of period | $ 3,365 | $ 0 | $ 3,272 | $ 0 |
Additions from acquisition | (491) | 3,053 | (491) | 3,053 |
Increase in discounted future cash flows recorded as interest expense | 80 | 31 | 173 | 31 |
Balance at end of period | $ 2,954 | $ 3,084 | $ 2,954 | $ 3,084 |
Fair Value Fair Value (Narrativ
Fair Value Fair Value (Narrative) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Carrying value of long-term debt | $ 964,574 | $ 842,216 |
Fair Value, Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Fair value of long-term debt | $ 920,817 |
Restructuring (Schedule of Rest
Restructuring (Schedule of Restructuring Reserve Activity) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Restructuring Reserve | ||||
Restructuring accrual at beginning of period | $ 7,135 | |||
Charged to expense | $ 2,017 | $ 7,793 | 3,095 | $ 7,793 |
Adjustments to provision | 21 | |||
Foreign currency translation | 447 | |||
Restructuring accrual at end of period | 9,271 | 9,271 | ||
2022 Plan | ||||
Restructuring Reserve | ||||
Charged to expense | 3,095 | |||
Cash payments | (961) | |||
Restructuring accrual at end of period | 5,263 | 5,263 | ||
2020 Plan | ||||
Restructuring Reserve | ||||
Cash payments | (180) | |||
Restructuring accrual at end of period | 2,707 | 2,707 | ||
2018 Plan | ||||
Restructuring Reserve | ||||
Cash payments | (286) | |||
Restructuring accrual at end of period | 1,301 | 1,301 | ||
Aircraft Controls | ||||
Restructuring Reserve | ||||
Restructuring accrual at beginning of period | 229 | |||
Adjustments to provision | (16) | |||
Foreign currency translation | 0 | |||
Restructuring accrual at end of period | 0 | 0 | ||
Aircraft Controls | 2022 Plan | ||||
Restructuring Reserve | ||||
Charged to expense | 0 | |||
Cash payments | (213) | |||
Aircraft Controls | 2020 Plan | ||||
Restructuring Reserve | ||||
Cash payments | 0 | |||
Aircraft Controls | 2018 Plan | ||||
Restructuring Reserve | ||||
Cash payments | 0 | |||
Space And Defense Controls | ||||
Restructuring Reserve | ||||
Restructuring accrual at beginning of period | 228 | |||
Adjustments to provision | 37 | |||
Foreign currency translation | 0 | |||
Restructuring accrual at end of period | 504 | 504 | ||
Space And Defense Controls | 2022 Plan | ||||
Restructuring Reserve | ||||
Charged to expense | 687 | |||
Cash payments | (448) | |||
Space And Defense Controls | 2020 Plan | ||||
Restructuring Reserve | ||||
Cash payments | 0 | |||
Space And Defense Controls | 2018 Plan | ||||
Restructuring Reserve | ||||
Cash payments | 0 | |||
Industrial Systems | ||||
Restructuring Reserve | ||||
Restructuring accrual at beginning of period | 6,678 | |||
Adjustments to provision | 0 | |||
Foreign currency translation | 447 | |||
Restructuring accrual at end of period | $ 8,767 | 8,767 | ||
Industrial Systems | 2022 Plan | ||||
Restructuring Reserve | ||||
Charged to expense | 2,408 | |||
Cash payments | (300) | |||
Industrial Systems | 2020 Plan | ||||
Restructuring Reserve | ||||
Cash payments | (180) | |||
Industrial Systems | 2018 Plan | ||||
Restructuring Reserve | ||||
Cash payments | $ (286) |
Restructuring Restructuring (Na
Restructuring Restructuring (Narrative) (Details) - USD ($) $ in Thousands | Apr. 01, 2023 | Oct. 01, 2022 |
Restructuring Cost and Reserve | ||
Restructuring reserve | $ 9,271 | $ 7,135 |
2022 Plan | ||
Restructuring Cost and Reserve | ||
Restructuring reserve | 5,263 | |
2020 Plan | ||
Restructuring Cost and Reserve | ||
Restructuring reserve | 2,707 | |
2018 Plan | ||
Restructuring Cost and Reserve | ||
Restructuring reserve | $ 1,301 |
Employee Benefit Plans (Defined
Employee Benefit Plans (Defined Contribution Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
U.S. Plans | ||||
Defined Contribution Plan Disclosure | ||||
Total expense for defined contribution plans | $ 12,003 | $ 11,169 | $ 22,188 | $ 21,714 |
Non-U.S. Plans | ||||
Defined Contribution Plan Disclosure | ||||
Total expense for defined contribution plans | 2,047 | 2,386 | 4,112 | 4,538 |
Defined Contribution Pension Plans | ||||
Defined Contribution Plan Disclosure | ||||
Total expense for defined contribution plans | $ 14,050 | $ 13,555 | $ 26,300 | $ 26,252 |
Employee Benefit Plans (Net Per
Employee Benefit Plans (Net Periodic Benefit Costs) (Details) - Defined Benefit Pension Plans - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
U.S. Plans | ||||
Defined Benefit Plan Disclosure | ||||
Service cost | $ 3,228 | $ 4,956 | $ 6,456 | $ 9,913 |
Interest cost | 7,028 | 4,561 | 14,056 | 9,123 |
Expected return on plan assets | (7,147) | (7,450) | (14,294) | (14,901) |
Amortization of actuarial loss | 3,362 | 3,897 | 6,724 | 7,793 |
Expense for defined benefit plans | 6,471 | 5,964 | 12,942 | 11,928 |
Non-U.S. Plans | ||||
Defined Benefit Plan Disclosure | ||||
Service cost | 666 | 1,107 | 1,308 | 2,229 |
Interest cost | 1,354 | 627 | 2,657 | 1,261 |
Expected return on plan assets | (1,057) | (886) | (2,074) | (1,783) |
Amortization of prior service cost | 14 | 15 | 27 | 30 |
Amortization of actuarial loss | 99 | 1,004 | 195 | 2,026 |
Expense for defined benefit plans | $ 1,076 | $ 1,867 | $ 2,113 | $ 3,763 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Effective income tax rate | 23.60% | 24.90% | 23.60% | 24.80% |
U.S. federal corporate tax rate | 21% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) (Changes in AOCI by Component) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning of period | $ 1,436,813 | |||
Other comprehensive income (loss), net of tax | $ 14,656 | $ (14,040) | 68,509 | $ (16,375) |
End of period | 1,579,777 | 1,430,648 | 1,579,777 | 1,430,648 |
Accumulated foreign currency translation | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning of period | (182,024) | |||
OCI before reclassifications | 61,952 | |||
Amounts reclassified from AOCIL | 327 | |||
Other comprehensive income (loss), net of tax | 62,279 | |||
End of period | (119,745) | (119,745) | ||
Accumulated retirement liability | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning of period | (125,231) | |||
OCI before reclassifications | (1,198) | |||
Amounts reclassified from AOCIL | 4,429 | |||
Other comprehensive income (loss), net of tax | 3,231 | |||
End of period | (122,000) | (122,000) | ||
Accumulated gain (loss) on derivatives | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning of period | (3,787) | |||
OCI before reclassifications | 1,302 | |||
Amounts reclassified from AOCIL | 1,697 | |||
Other comprehensive income (loss), net of tax | 2,999 | |||
End of period | (788) | (788) | ||
Total | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning of period | (257,189) | (249,895) | (311,042) | (247,560) |
OCI before reclassifications | 62,056 | |||
Amounts reclassified from AOCIL | 6,453 | |||
Other comprehensive income (loss), net of tax | 14,656 | (14,040) | 68,509 | (16,375) |
End of period | $ (242,533) | $ (263,935) | $ (242,533) | $ (263,935) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) (Reclassification from AOCI) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income | ||||
Reclassification from AOCIL into earnings - Retirement liability | $ 2,896 | $ 4,598 | $ 5,786 | $ 9,213 |
Tax effect - Retirement liability | (679) | (1,090) | (1,357) | (2,183) |
Net reclassification from AOCIL into earnings - Retirement liability | 2,217 | 3,508 | 4,429 | 7,030 |
Reclassification from AOCIL into earnings - Derivatives | 912 | 475 | 2,190 | 593 |
Tax effect - Derivatives | (206) | (105) | (493) | (129) |
Net reclassification from AOCIL into earnings - Derivatives | 706 | 370 | 1,697 | 464 |
Other Income (Expense) | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income | ||||
Prior service cost | 14 | 15 | 27 | 30 |
Actuarial losses | 2,882 | 4,583 | 5,759 | 9,183 |
Foreign currency contracts | Sales | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income | ||||
Reclassification from AOCIL into earnings - Derivatives | 211 | 176 | 517 | 244 |
Foreign currency contracts | Cost of sales | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income | ||||
Reclassification from AOCIL into earnings - Derivatives | $ 701 | $ 299 | $ 1,673 | $ 349 |
Accumulated Other Comprehensi_5
Accumulated Other Comprehensive Income (Loss) (Activity and Classification of Derivative Deferral in AOCI) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Derivative Instruments, Gain (Loss) | ||||
Net deferral in AOCIL of derivatives (effective portion) | $ 489 | $ (857) | $ 1,687 | $ (802) |
Tax effect | (115) | 192 | (385) | 178 |
Net deferral in AOCIL of derivatives | 374 | (665) | 1,302 | (624) |
Foreign currency contracts | ||||
Derivative Instruments, Gain (Loss) | ||||
Net deferral in AOCIL of derivatives (effective portion) | $ 489 | $ (857) | $ 1,687 | $ (802) |
Earnings Per Share (Basic And D
Earnings Per Share (Basic And Diluted Weighted-Average Shares Outstanding) (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Earnings Per Share [Abstract] | ||||
Basic weighted-average shares outstanding | 31,848,140 | 31,984,674 | 31,797,071 | 32,021,036 |
Dilutive effect of equity-based awards | 195,770 | 136,052 | 162,244 | 133,406 |
Diluted weighted-average shares outstanding | 32,043,910 | 32,120,726 | 31,959,315 | 32,154,442 |
Earnings Per Share (Antidilutiv
Earnings Per Share (Antidilutive Shares Excluded from Computation of Earnings Per Share) (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Earnings Per Share [Abstract] | ||||
Anti-dilutive shares from equity-based awards | 3,425 | 54,057 | 12,576 | 58,204 |
Segment Information (Segment Sa
Segment Information (Segment Sales By Market Type) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Segment Reporting Information | ||||
Net sales | $ 836,792 | $ 770,787 | $ 1,596,895 | $ 1,494,873 |
Aircraft Controls | ||||
Segment Reporting Information | ||||
Net sales | 347,004 | 311,268 | 657,263 | 614,585 |
Aircraft Controls | Military | ||||
Segment Reporting Information | ||||
Net sales | 175,701 | 192,089 | 347,419 | 378,038 |
Aircraft Controls | Commercial | ||||
Segment Reporting Information | ||||
Net sales | 171,303 | 119,179 | 309,844 | 236,547 |
Space And Defense Controls | ||||
Segment Reporting Information | ||||
Net sales | 245,853 | 223,349 | 463,638 | 431,205 |
Space And Defense Controls | Space | ||||
Segment Reporting Information | ||||
Net sales | 111,873 | 87,074 | 207,758 | 174,657 |
Space And Defense Controls | Defense | ||||
Segment Reporting Information | ||||
Net sales | 133,980 | 136,275 | 255,880 | 256,548 |
Industrial Systems | ||||
Segment Reporting Information | ||||
Net sales | 243,935 | 236,170 | 475,994 | 449,083 |
Industrial Systems | Energy | ||||
Segment Reporting Information | ||||
Net sales | 28,980 | 32,316 | 60,550 | 63,782 |
Industrial Systems | Industrial Automation | ||||
Segment Reporting Information | ||||
Net sales | 125,538 | 110,411 | 236,656 | 212,554 |
Industrial Systems | Simulation and Test | ||||
Segment Reporting Information | ||||
Net sales | 24,765 | 29,625 | 53,090 | 51,800 |
Industrial Systems | Medical | ||||
Segment Reporting Information | ||||
Net sales | $ 64,652 | $ 63,818 | $ 125,698 | $ 120,947 |
Segment Information (Segment _2
Segment Information (Segment Sales by Customer) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Segment Reporting Information | ||||
Net sales | $ 836,792 | $ 770,787 | $ 1,596,895 | $ 1,494,873 |
Commercial customer | ||||
Segment Reporting Information | ||||
Net sales | 440,709 | 382,898 | 829,662 | 731,824 |
U.S. Government customer (including OEM) | ||||
Segment Reporting Information | ||||
Net sales | 337,479 | 318,288 | 647,980 | 635,968 |
Other Customer | ||||
Segment Reporting Information | ||||
Net sales | 58,604 | 69,601 | 119,253 | 127,081 |
Aircraft Controls | ||||
Segment Reporting Information | ||||
Net sales | 347,004 | 311,268 | 657,263 | 614,585 |
Aircraft Controls | Commercial customer | ||||
Segment Reporting Information | ||||
Net sales | 171,303 | 119,179 | 309,844 | 236,547 |
Aircraft Controls | U.S. Government customer (including OEM) | ||||
Segment Reporting Information | ||||
Net sales | 134,062 | 138,026 | 263,845 | 281,905 |
Aircraft Controls | Other Customer | ||||
Segment Reporting Information | ||||
Net sales | 41,639 | 54,063 | 83,574 | 96,133 |
Space And Defense Controls | ||||
Segment Reporting Information | ||||
Net sales | 245,853 | 223,349 | 463,638 | 431,205 |
Space And Defense Controls | Commercial customer | ||||
Segment Reporting Information | ||||
Net sales | 29,216 | 28,554 | 53,789 | 52,877 |
Space And Defense Controls | U.S. Government customer (including OEM) | ||||
Segment Reporting Information | ||||
Net sales | 202,579 | 180,109 | 382,017 | 350,124 |
Space And Defense Controls | Other Customer | ||||
Segment Reporting Information | ||||
Net sales | 14,058 | 14,686 | 27,832 | 28,204 |
Industrial Systems | ||||
Segment Reporting Information | ||||
Net sales | 243,935 | 236,170 | 475,994 | 449,083 |
Industrial Systems | Commercial customer | ||||
Segment Reporting Information | ||||
Net sales | 240,190 | 235,165 | 466,029 | 442,400 |
Industrial Systems | U.S. Government customer (including OEM) | ||||
Segment Reporting Information | ||||
Net sales | 838 | 153 | 2,118 | 3,939 |
Industrial Systems | Other Customer | ||||
Segment Reporting Information | ||||
Net sales | $ 2,907 | $ 852 | $ 7,847 | $ 2,744 |
Segment Information (Sales by R
Segment Information (Sales by Revenue Recognition Method) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Segment Reporting Information | ||||
Net sales | $ 836,792 | $ 770,787 | $ 1,596,895 | $ 1,494,873 |
Transferred over time | ||||
Segment Reporting Information | ||||
Net sales | 533,573 | 487,316 | 1,015,614 | 955,436 |
Transferred at point in time | ||||
Segment Reporting Information | ||||
Net sales | 303,219 | 283,471 | 581,281 | 539,437 |
Aircraft Controls | ||||
Segment Reporting Information | ||||
Net sales | 347,004 | 311,268 | 657,263 | 614,585 |
Aircraft Controls | Transferred over time | ||||
Segment Reporting Information | ||||
Net sales | 276,638 | 239,720 | 523,533 | 486,369 |
Aircraft Controls | Transferred at point in time | ||||
Segment Reporting Information | ||||
Net sales | 70,366 | 71,548 | 133,730 | 128,216 |
Space And Defense Controls | ||||
Segment Reporting Information | ||||
Net sales | 245,853 | 223,349 | 463,638 | 431,205 |
Space And Defense Controls | Transferred over time | ||||
Segment Reporting Information | ||||
Net sales | 229,073 | 207,309 | 431,163 | 399,755 |
Space And Defense Controls | Transferred at point in time | ||||
Segment Reporting Information | ||||
Net sales | 16,780 | 16,040 | 32,475 | 31,450 |
Industrial Systems | ||||
Segment Reporting Information | ||||
Net sales | 243,935 | 236,170 | 475,994 | 449,083 |
Industrial Systems | Transferred over time | ||||
Segment Reporting Information | ||||
Net sales | 27,862 | 40,287 | 60,918 | 69,312 |
Industrial Systems | Transferred at point in time | ||||
Segment Reporting Information | ||||
Net sales | $ 216,073 | $ 195,883 | $ 415,076 | $ 379,771 |
Segment Information (Operating
Segment Information (Operating Profit By Segment And Reconciliation Of Segment Operating Profit To Earnings Before Income Taxes) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Segment Reporting Information | ||||
Operating profit | $ 83,766 | $ 57,239 | $ 170,529 | $ 137,644 |
Deductions from operating profit: | ||||
Interest expense | 14,963 | 8,263 | 28,095 | 16,245 |
Equity-based compensation expense | 2,791 | 1,920 | 5,765 | 4,578 |
Non-service pension expense | 3,115 | 1,472 | 6,214 | 2,957 |
Corporate and other expenses, net | 6,593 | 6,871 | 13,850 | 13,728 |
Earnings before income taxes | 56,304 | 38,713 | $ 116,605 | 100,136 |
Non-service pension expense | Other Nonoperating Income (Expense) | |||
Aircraft Controls | ||||
Segment Reporting Information | ||||
Operating profit | 31,862 | 12,441 | $ 61,580 | 54,356 |
Space And Defense Controls | ||||
Segment Reporting Information | ||||
Operating profit | 27,507 | 24,075 | 47,801 | 45,374 |
Industrial Systems | ||||
Segment Reporting Information | ||||
Operating profit | $ 24,397 | $ 20,723 | $ 61,148 | $ 37,914 |
Related Party Transactions (Nar
Related Party Transactions (Narrative) (Details) - Banking - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2023 | Apr. 02, 2022 | |
Related Party Transaction | ||||
Related Party US Revolving Credit Facility Interest Percentage | 12% | 12% | ||
Credit Card Intermediary | ||||
Related Party Transaction | ||||
Related Party Transaction, Amounts of Transaction | $ 3,637 | $ 4,220 | $ 7,054 | $ 7,863 |
Lease Agreements | ||||
Related Party Transaction | ||||
Related Party Transaction, Amounts of Transaction | 14,245 | |||
Deposits | ||||
Related Party Transaction | ||||
Related Party Transaction, Amounts of Transaction | $ 2,950 |
Commitments and Contingencies (
Commitments and Contingencies (Narrative) (Details) $ in Thousands | Apr. 01, 2023 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Standby letters of credit | $ 22,027 |
Subsequent Event (Narrative) (D
Subsequent Event (Narrative) (Details) - Subsequent Event | Apr. 27, 2023 $ / shares |
Subsequent Event | |
Dividends Payable, Amount Per Share, Declared | $ 0.27 |
Subsequent Event, Date | Apr. 27, 2023 |