Parker-Hannifin (PH) 10-Q 5 Nov 21 2022 Q1 Quarterly report Financial data

Cover Page

Cover Page	3 Months Ended
	Sep. 30, 2021shares
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2021
Document Transition Report	false
Entity File Number	1-4982
Entity Registrant Name	PARKER-HANNIFIN CORPORATION
Entity Incorporation, State or Country Code	OH
Entity Tax Identification Number	34-0451060
Entity Address, Address Line One	6035 Parkland Boulevard,
Entity Address, City or Town	Cleveland,
Entity Address, State or Province	OH
Entity Address, Postal Zip Code	44124-4141
City Area Code	216
Local Phone Number	896-3000
Title of 12(b) Security	Common Shares, $.50 par value
Trading Symbol	PH
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding	128,514,953
Entity Central Index Key	0000076334
Current Fiscal Year End Date	--06-30
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q1
Amendment Flag	false

Consolidated Statement of Incom

Consolidated Statement of Income - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Income Statement [Abstract]
Net sales	$ 3,762,809	$ 3,230,540	[1],[2],[3],[4],[5],[6]
Cost of sales	2,713,897	2,386,449	[1],[2],[3],[4],[5],[6]
Selling, general and administrative expenses	407,765	369,851	[1],[2],[3],[4],[5],[6]
Interest expense	59,350	65,958	[1],[2],[3],[4],[5],[6]
Other expense (income), net	10,052	(4,892)	[1],[2],[3],[4],[5],[6]
Income before income taxes	571,745	413,174	[1],[2],[3],[4],[5],[6]
Income taxes	120,282	93,063	[1],[2],[3],[4],[5],[6]
Net income	451,463	320,111	[1],[2],[3],[4],[5],[6]
Less: Noncontrolling interest in subsidiaries' earnings	306	308	[1],[2],[3],[4],[5],[6]
Net income attributable to common shareholders	$ 451,157	$ 319,803	[6]
Earnings per share attributable to common shareholders:
Basic (in USD per share)	$ 3.50	$ 2.48	[4]
Diluted (in USD per share)	$ 3.45	$ 2.45	[5]
[1]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[2]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[3]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[4]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[5]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[6]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Consolidated Statement of Compr

Consolidated Statement of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Statement of Comprehensive Income [Abstract]
Net income	$ 451,463	$ 320,111	[1],[2],[3],[4],[5],[6]
Less: Noncontrolling interests in subsidiaries' earnings	306	308	[1],[2],[3],[4],[5],[6]
Net income attributable to common shareholders	451,157	319,803	[6]
Other comprehensive (loss) income, net of tax
Foreign currency translation adjustment	(68,324)	130,682	[1],[2],[3],[4],[5],[6]
Retirement benefits plan activity	29,022	40,152	[1],[2],[3],[4],[5],[6]
Other comprehensive (loss) income	(39,302)	170,834	[4]
Less: Other comprehensive (loss) income for noncontrolling interests	(539)	431	[1],[2],[3],[4],[5],[6]
Other comprehensive (loss) income attributable to common shareholders	(38,763)	170,403	[1],[2],[3],[4],[5],[6]
Total comprehensive income attributable to common shareholders	$ 412,394	$ 490,206	[1],[2],[3],[4],[5],[6]
[1]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[2]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[3]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[4]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[5]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[6]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Consolidated Balance Sheet

Consolidated Balance Sheet - USD ($) $ in Thousands	Sep. 30, 2021	Jun. 30, 2021
Current assets:
Cash and cash equivalents	$ 478,582	$ 733,117
Marketable securities and other investments	40,160	39,116
Trade accounts receivable, net	2,109,648	2,183,594
Non-trade and notes receivable	315,571	326,315
Inventories	2,264,725	2,090,642
Prepaid expenses and other	422,588	243,966
Total current assets	5,631,274	5,616,750
Property, plant and equipment	6,019,237	6,040,220
Less: Accumulated depreciation	3,795,703	3,773,744
Property, plant and equipment, net	2,223,534	2,266,476
Deferred income taxes	145,972	104,251
Investments and other assets	800,211	774,239
Intangible assets, net	3,426,540	3,519,797
Goodwill	8,009,340	8,059,687
Total assets	20,236,871	20,341,200
Current liabilities:
Notes payable and long-term debt payable within one year	302,309	2,824
Accounts payable, trade	1,636,272	1,667,878
Accrued payrolls and other compensation	341,355	507,027
Accrued domestic and foreign taxes	279,173	236,384
Other accrued liabilities	724,134	682,390
Total current liabilities	3,283,243	3,096,503
Long-term debt	6,263,941	6,582,053
Pensions and other postretirement benefits	997,392	1,055,638
Deferred income taxes	568,369	553,981
Other liabilities	618,081	639,355
Total liabilities	11,731,026	11,927,530
Shareholders’ equity:
Serial preferred stock, $.50 par value; authorized 3,000,000 shares; none issued	0	0
Common stock, $.50 par value; authorized 600,000,000 shares; issued 181,046,128 shares at September 30 and June 30	90,523	90,523
Additional capital	358,677	329,619
Retained earnings	15,233,799	14,915,497
Accumulated other comprehensive (loss)	(1,605,490)	(1,566,727)
Treasury shares, at cost; 52,531,175 shares at September 30 and 51,900,460 shares at June 30	(5,586,728)	(5,370,605)
Total shareholders’ equity	8,490,781	8,398,307
Noncontrolling interests	15,064	15,363
Total equity	8,505,845	8,413,670
Total liabilities and equity	$ 20,236,871	$ 20,341,200

Consolidated Balance Sheet (Par

Consolidated Balance Sheet (Parenthetical) - $ / shares	Sep. 30, 2021	Jun. 30, 2021
Statement of Financial Position [Abstract]
Serial preferred stock, par value (in USD per share)	$ 0.50	$ 0.50
Serial preferred stock, authorized (in shares)	3,000,000	3,000,000
Serial preferred stock, issued (in shares)	0	0
Common stock, par value (in USD per share)	$ 0.50	$ 0.50
Common stock, authorized (in shares)	600,000,000	600,000,000
Common stock, issued (in shares)	181,046,128	181,046,128
Treasury shares (in shares)	52,531,175	51,900,460

Consolidated Statement of Cash

Consolidated Statement of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	[1],[2],[3],[4],[5],[6]
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 451,463	$ 320,111
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	65,751	66,739
Amortization	79,771	81,703
Share incentive plan compensation	57,666	58,461
Deferred income taxes	(40,027)	11,043
Foreign currency transaction gain	(9,470)	(4,855)
Gain on disposal of property, plant and equipment	(30)	(498)
Loss (gain) on marketable securities	804	(340)
Gain on investments	(200)	(970)
Other	42,823	5,302
Changes in assets and liabilities, net of effects from acquisitions:
Accounts receivable, net	74,070	15,532
Inventories	(190,779)	42,039
Prepaid expenses and other	37,763	53,129
Other assets	(27,553)	(9,693)
Accounts payable, trade	(20,365)	138,900
Accrued payrolls and other compensation	(161,560)	(98,186)
Accrued domestic and foreign taxes	46,592	(2,209)
Other accrued liabilities	36,288	34,457
Pensions and other postretirement benefits	(15,651)	17,652
Other liabilities	(2,997)	9,057
Net cash provided by operating activities	424,359	737,374
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures	(48,203)	(42,117)
Proceeds from sale of property, plant and equipment	7,751	6,590
Purchases of marketable securities and other investments	(7,456)	(10,726)
Maturities and sales of marketable securities and other investments	5,312	49,107
Other	649	1,054
Net cash (used in) provided by investing activities	(41,947)	3,908
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from exercise of stock options	1,089	989
Payments for common shares	(245,820)	(22,739)
(Payments for) proceeds from notes payable, net	(4)	114,400
Proceeds from long-term borrowings	1	0
Payments for long-term borrowings	(592)	(671,842)
Financing fees paid	(42,703)	0
Dividends paid	(132,921)	(113,542)
Net cash (used in) financing activities	(420,950)	(692,734)
Effect of exchange rate changes on cash	(997)	8,332
Net (decrease) increase in cash, cash equivalents and restricted cash	(39,535)	56,880
Cash, cash equivalents and restricted cash at beginning of year	733,117	685,514
Cash, cash equivalents and restricted cash at end of period	$ 693,582	$ 742,394
[1]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[2]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[3]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[4]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[5]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[6]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Business Segment Information

Business Segment Information	3 Months Ended
	Sep. 30, 2021
Segment Reporting [Abstract]
Business Segment Information	The Company operates in two reportable business segments: Diversified Industrial and Aerospace Systems. Both segments utilize eight core technologies, including hydraulics, pneumatics, electromechanical, filtration, fluid and gas handling, process control, engineered materials and climate control, to drive superior customer problem solving and value creation. Diversified Industrial - This segment produces a broad range of motion-control and fluid systems and components used in all kinds of manufacturing, packaging, processing, transportation, mobile construction, refrigeration and air conditioning, agricultural, and military machinery and equipment and has significant international operations. Sales are made directly to major original equipment manufacturers ("OEMs") and through a broad distribution network to smaller OEMs and the aftermarket. Aerospace Systems - This segment designs and manufactures products and provides aftermarket support for commercial, business jet, military and general aviation aircraft, missile and spacecraft markets. The Aerospace Systems Segment provides a full range of systems and components for hydraulic, pneumatic and fuel applications. Three Months Ended September 30, 2021 2020* Net sales Diversified Industrial: North America $ 1,793,715 $ 1,528,111 International 1,376,436 1,129,251 Aerospace Systems 592,658 573,178 Total net sales $ 3,762,809 $ 3,230,540 Segment operating income Diversified Industrial: North America $ 333,702 $ 268,833 International 291,176 186,901 Aerospace Systems 118,251 86,766 Total segment operating income 743,129 542,500 Corporate general and administrative expenses 49,072 36,735 Income before interest expense and other expense 694,057 505,765 Interest expense 59,350 65,958 Other expense 62,962 26,633 Income before income taxes $ 571,745 $ 413,174 *Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Management representation

Management representation	3 Months Ended
	Sep. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Management representation	As used in this Quarterly Report on Form 10-Q, unless the context otherwise requires, the terms "Company", "Parker", "we" or "us" refer to Parker-Hannifin Corporation and its subsidiaries.Management representation In the opinion of the management of the Company, the accompanying unaudited consolidated financial statements contain all adjustments (consisting of only normal recurring adjustments) necessary to present fairly the Company's financial position as of September 30, 2021, the results of operations for the three months ended September 30, 2021 and 2020 and cash flows for the three months then ended. These financial statements should be read in conjunction with the consolidated financial statements and related notes included in the Company’s 2021 Annual Report on Form 10-K. The future impacts of the novel coronavirus ("COVID-19") pandemic and its residual effects, including economic uncertainty and disruption within the global supply chain, labor markets and aerospace industry, on our business remain uncertain. Therefore, accounting estimates and assumptions may change over time in response to the impacts of COVID-19. Interim period results are not necessarily indicative of the results to be expected for the full fiscal year. Subsequent Events The Company has evaluated subsequent events that occurred through the date these financial statements were issued. In connection with the proposed acquisition of Meggitt plc ("Meggitt"), the Company entered into deal-contingent forward contracts during October 2021 to mitigate the risk of appreciation in the GBP-denominated purchase price. The deal-contingent forward contracts have an aggregate notional amount of £6,415 million, and settlement is contingent upon closing the proposed acquisition. During October 2021, we issued $2,126 million of commercial paper. We used the net proceeds and cash on hand to deposit a total of $2,272 million into the escrow account designated for the proposed acquisition. As of October 31, 2021, the balance of the escrow account is $2,487 million. After consideration of the increase in funds designated for the proposed acquisition and the deal-contingent forward contracts, the aggregate principal amount of the bridge credit agreement, dated August 2, 2021 (the "Bridge Credit Agreement") was decreased to £3,200 million.

Revenue recognition

Revenue recognition	3 Months Ended
	Sep. 30, 2021
Revenue from Contract with Customer [Abstract]
Revenue recognition	Revenue recognition Revenue is derived primarily from the sale of products in a variety of mobile, industrial and aerospace markets. A majority of the Company’s revenues are recognized at a point in time. However, a portion of the Company’s revenues are recognized over time. Diversified Industrial Segment revenues by technology platform: Three Months Ended September 30, 2021 2020 Motion Systems $ 828,672 $ 657,141 Flow and Process Control 1,085,423 924,125 Filtration and Engineered Materials 1,256,056 1,076,096 Total $ 3,170,151 $ 2,657,362 Aerospace Systems Segment revenues by product platform: Three Months Ended September 30, 2021 2020 Flight Control Actuation $ 177,353 $ 158,102 Fuel, Inerting and Engine Motion Control 122,319 118,963 Hydraulics 73,341 75,918 Engine Components 141,608 149,037 Airframe and Engine Fluid Conveyance 54,033 47,362 Other 24,004 23,796 Total $ 592,658 $ 573,178 Total Company revenues by geographic region based on the Company's selling operation's location: Three Months Ended September 30, 2021 2020 North America $ 2,384,974 $ 2,096,165 Europe 761,970 615,572 Asia Pacific 568,134 485,148 Latin America 47,731 33,655 Total $ 3,762,809 $ 3,230,540 The majority of revenues from the Aerospace Systems Segment are generated from sales to customers within North America. Contract balances Contract assets and contract liabilities are reported on a contract-by-contract basis. Contract assets reflect revenue recognized and performance obligations satisfied in advance of customer billing. Contract liabilities relate to payments received in advance of the satisfaction of performance under the contract. Payments from customers are received based on the terms established in the contract with the customer. Total contract assets and contract liabilities are as follows: September 30, June 30, Contract assets, current (included within Prepaid expenses and other) $ 25,936 $ 34,190 Contract assets, noncurrent (included within Investments and other assets) 2,471 1,884 Total contract assets 28,407 36,074 Contract liabilities, current (included within Other accrued liabilities) (45,439) (51,211) Contract liabilities, noncurrent (included within Other liabilities) (2,250) (3,080) Total contract liabilities (47,689) (54,291) Net contract liabilities $ (19,282) $ (18,217) At September 30, 2021, the change in net contract liabilities was primarily due to timing differences between when revenue was recognized and the receipt of advance payments. During the three months ended September 30, 2021, approximately $21 million of revenue was recognized that was included in the contract liabilities at June 30, 2021. Remaining performance obligations Our backlog represents written firm orders from a customer to deliver products and, in the case of blanket purchase orders, only includes the portion of the order for which a schedule or release has been agreed to with the customer. We believe our backlog represents our unsatisfied or partially unsatisfied performance obligations. Backlog at September 30, 2021 was $6,783 million, of which approximately 85 percent is expected to be recognized as revenue within the next 12 months and the balance thereafter.

Proposed Acquisition

Proposed Acquisition	3 Months Ended
	Sep. 30, 2021
Business Combination and Asset Acquisition [Abstract]
Proposed Acquisition	Proposed Acquisition On August 2, 2021, the Company announced that it reached an agreement on the terms of a recommended cash acquisition of the entire issued and to be issued ordinary share capital of Meggitt for 800 pence per share (the "Acquisition"), which is approximately £6,255 million based on issued share capital at September 30, 2021. Meggitt is a leader in design, manufacturing and aftermarket support of technologically differentiated systems and equipment in aerospace, defense and selected energy markets with annual sales of approximately $2.3 billion for the year ended December 31, 2020. We intend to fund the proposed Acquisition with cash and new debt. Refer to Note 13 for further discussion. The proposed Acquisition remains subject to customary closing conditions, including regulatory clearances. Acquisition-related transaction costs totaled $13 million for the current-year quarter. These costs are included in selling, general and administrative expenses in the Consolidated Statement of Income. Restricted Cash

Earnings per share

Earnings per share	3 Months Ended
	Sep. 30, 2021
Earnings Per Share [Abstract]
Earnings per share	Earnings per share The following table presents a reconciliation of the numerator and denominator of basic and diluted earnings per share for the three months ended September 30, 2021 and 2020. Three Months Ended September 30, 2021 2020* Numerator: Net income attributable to common shareholders $ 451,157 $ 319,803 Denominator: Basic - weighted average common shares 128,726,721 128,707,745 Increase in weighted average common shares from dilutive effect of equity-based awards 2,101,250 1,586,478 Diluted - weighted average common shares, assuming exercise of equity-based awards 130,827,971 130,294,223 Basic earnings per share $ 3.50 $ 2.48 Diluted earnings per share $ 3.45 $ 2.45 *Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K. For the three months ended September 30, 2021 and 2020, 165,732 and 530,438 common shares subject to equity-based awards, respectively, were excluded from the computation of diluted earnings per share because the effect of their exercise would be anti-dilutive.

Share repurchase program

Share repurchase program	3 Months Ended
	Sep. 30, 2021
Equity [Abstract]
Share repurchase program	Share repurchase programThe Company has a program to repurchase its common shares. On October 22, 2014, the Board of Directors of the Company approved an increase in the overall number of shares authorized for repurchase under the program so that, beginning on such date, the aggregate number of shares authorized for repurchase was 35 million. There is no limitation on the number of shares that can be repurchased in a fiscal year. There is no expiration date for this program. Repurchases may be funded primarily from operating cash flows and commercial paper borrowings and the shares are initially held as treasury shares. During the three months ended September 30, 2021, we repurchased 767,600 shares at an average price, including commissions, of $300.07 per share.

Trade accounts receivable, net

Trade accounts receivable, net	3 Months Ended
	Sep. 30, 2021
Receivables [Abstract]
Trade accounts receivable, net	Trade accounts receivable, netTrade accounts receivable are initially recorded at their net collectible amount and are generally recorded at the time the revenue from the sales transaction is recorded. We evaluate the collectibility of our receivables based on historical experience and current and forecasted economic conditions based on management's judgment. Additionally, receivables are written off to bad debt when management makes a final determination of uncollectibility. Allowance for credit losses was $12 million at September 30, 2021 and June 30, 2021.Non-trade and notes receivable The non-trade and notes receivable caption in the Consolidated Balance Sheet is comprised of the following components: September 30, June 30, Notes receivable $ 128,414 $ 144,441 Accounts receivable, other 187,157 181,874 Total $ 315,571 $ 326,315

Non-trade and notes receivable

Non-trade and notes receivable	3 Months Ended
	Sep. 30, 2021
Receivables [Abstract]
Non-trade and notes receivable	Trade accounts receivable, netTrade accounts receivable are initially recorded at their net collectible amount and are generally recorded at the time the revenue from the sales transaction is recorded. We evaluate the collectibility of our receivables based on historical experience and current and forecasted economic conditions based on management's judgment. Additionally, receivables are written off to bad debt when management makes a final determination of uncollectibility. Allowance for credit losses was $12 million at September 30, 2021 and June 30, 2021.Non-trade and notes receivable The non-trade and notes receivable caption in the Consolidated Balance Sheet is comprised of the following components: September 30, June 30, Notes receivable $ 128,414 $ 144,441 Accounts receivable, other 187,157 181,874 Total $ 315,571 $ 326,315

Inventories

Inventories	3 Months Ended
	Sep. 30, 2021
Inventory, Net [Abstract]
Inventories	Inventories The inventories caption in the Consolidated Balance Sheet is comprised of the following components: September 30, June 30, Finished products $ 774,749 $ 733,744 Work in process 1,189,194 1,089,976 Raw materials 300,782 266,922 Total $ 2,264,725 $ 2,090,642

Business realignment and acquis

Business realignment and acquisition integration charges	3 Months Ended
	Sep. 30, 2021
Restructuring and Related Activities [Abstract]
Business realignment and acquisition integration charges	Business realignment and acquisition integration charges We incurred business realignment and acquisition integration charges in the first three months of fiscal 2022 and 2021. In both the first three months of fiscal 2022 and 2021, business realignment charges included severance costs related to actions taken under the Company's simplification initiative aimed at reducing organizational and process complexity, as well as plant closures. During fiscal 2021, business realignment charges primarily consisted of actions taken to address the impact of COVID-19 on our business. A majority of the business realignment charges were incurred in North America and Europe. We believe the realignment actions will positively impact future results of operations, but will not have a material effect on liquidity and sources and uses of capital. Business realignment charges presented in the Business Segment Information are as follows: Three Months Ended September 30, 2021 2020 Diversified Industrial $ 3,017 $ 10,572 Aerospace Systems (3) 3,951 Corporate general and administrative expenses — 614 Other expense — 564 Workforce reductions in connection with business realignment charges in the Business Segment Information are as follows: Three Months Ended September 30, 2021 2020 Diversified Industrial 35 384 Aerospace Systems — 240 Corporate general and administrative expenses — 13 The business realignment charges are presented in the Consolidated Statement of Income as follows: Three Months Ended September 30, 2021 2020 Cost of sales $ 1,001 $ 12,150 Selling, general and administrative expenses 2,013 2,987 Other expense (income), net — 564 During the first three months of fiscal 2022, approximately $9 million in payments were made relating to business realignment charges. Remaining payments related to business realignment actions of approximately $9 million, a majority of which are expected to be paid by June 30, 2022, are primarily reflected within the other accrued liabilities caption in the Consolidated Balance Sheet. Additional charges may be recognized in future periods related to the business realignment actions described above, the timing and amount of which are not known at this time. We also incurred the following acquisition integration charges related to the fiscal 2020 acquisitions of LORD Corporation ("Lord") and Exotic Metals Forming Company ("Exotic"): Three Months Ended September 30, 2021 2020 Diversified Industrial $ 1,202 $ 3,615 Aerospace Systems — 332 In the first three months of fiscal 2022, these charges are evenly split between cost of sales and selling, general and administrative expenses within the Consolidated Statement of Income. In fiscal 2021, these charges were primarily included in selling, general and administrative expenses within the Consolidated Statement of Income.

Equity

Equity	3 Months Ended
	Sep. 30, 2021
Equity [Abstract]
Equity	Equity Changes in equity for the three months ended September 30, 2021 and 2020 are as follows: Common Stock Additional Capital Retained Earnings Accumulated Other Comprehensive (Loss) Treasury Shares Noncontrolling Total Equity Balance at June 30, 2021 $ 90,523 $ 329,619 $ 14,915,497 $ (1,566,727) $ (5,370,605) $ 15,363 $ 8,413,670 Net income 451,157 306 451,463 Other comprehensive (loss) (38,763) (539) (39,302) Dividends paid ($1.03 per share) (132,855) (66) (132,921) Stock incentive plan activity 29,058 14,211 43,269 Shares purchased at cost (230,334) (230,334) Balance at September 30, 2021 $ 90,523 $ 358,677 $ 15,233,799 $ (1,605,490) $ (5,586,728) $ 15,064 $ 8,505,845 Common Stock Additional Capital Retained Earnings* Accumulated Other Comprehensive (Loss) Treasury Shares Noncontrolling Total Equity* Balance at June 30, 2020 $ 90,523 $ 416,585 $ 13,643,907 $ (2,558,875) $ (5,364,916) $ 14,546 $ 6,241,770 Net income 319,803 308 320,111 Other comprehensive income 170,403 431 170,834 Dividends paid ($0.88 per share) (113,542) (113,542) Stock incentive plan activity 11,744 24,967 36,711 Balance at September 30, 2020 $ 90,523 $ 428,329 $ 13,850,168 $ (2,388,472) $ (5,339,949) $ 15,285 $ 6,655,884 *Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K. Changes in accumulated other comprehensive (loss) in shareholders' equity by component for the three months ended September 30, 2021 and 2020 are as follows: Foreign Currency Translation Adjustment Retirement Benefit Plans Total Balance at June 30, 2021 $ (865,865) $ (700,862) $ (1,566,727) Other comprehensive (loss) before reclassifications (67,785) — (67,785) Amounts reclassified from accumulated other comprehensive (loss) — 29,022 29,022 Balance at September 30, 2021 $ (933,650) $ (671,840) $ (1,605,490) Foreign Currency Translation Adjustment Retirement Benefit Plans Total Balance at June 30, 2020 $ (1,193,937) $ (1,364,938) $ (2,558,875) Other comprehensive income before reclassifications 130,251 — 130,251 Amounts reclassified from accumulated other comprehensive (loss) — 40,152 40,152 Balance at September 30, 2020 $ (1,063,686) $ (1,324,786) $ (2,388,472) Significant reclassifications out of accumulated other comprehensive (loss) in shareholders' equity for the three months ended September 30, 2021 and 2020 are as follows: Details about Accumulated Other Comprehensive (Loss) Components Income (Expense) Reclassified from Accumulated Other Comprehensive (Loss) Consolidated Statement of Income Classification Three Months Ended September 30, 2021 Retirement benefit plans Amortization of prior service cost and initial net obligation $ (936) Other expense (income), net Recognized actuarial loss (37,503) Other expense (income), net Total before tax (38,439) Tax benefit 9,417 Net of tax $ (29,022) Details about Accumulated Other Comprehensive (Loss) Components Income (Expense) Reclassified from Accumulated Other Comprehensive (Loss) Consolidated Statement of Income Classification Three Months Ended September 30, 2020 Retirement benefit plans Amortization of prior service cost and initial net obligation $ (818) Other expense (income), net Recognized actuarial loss (52,265) Other expense (income), net Total before tax (53,083) Tax benefit 12,931 Net of tax $ (40,152)

Goodwill and intangible assets

Goodwill and intangible assets	3 Months Ended
	Sep. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and intangible assets	Goodwill and intangible assets The changes in the carrying amount of goodwill for the three months ended September 30, 2021 are as follows: Diversified Industrial Aerospace Total Balance at June 30, 2021 $ 7,457,309 $ 602,378 $ 8,059,687 Foreign currency translation and other (50,340) (7) (50,347) Balance at September 30, 2021 $ 7,406,969 $ 602,371 $ 8,009,340 Intangible assets are amortized using the straight-line method over their legal or estimated useful lives. The following summarizes the gross carrying value and accumulated amortization for each major category of intangible assets: September 30, 2021 June 30, 2021 Gross Carrying Accumulated Gross Carrying Accumulated Patents and technology $ 997,890 $ 227,415 $ 999,952 $ 216,314 Trademarks 757,627 338,001 762,130 331,905 Customer lists and other 3,847,159 1,610,720 3,869,772 1,563,838 Total $ 5,602,676 $ 2,176,136 $ 5,631,854 $ 2,112,057 Total intangible amortization expense for the three months ended September 30, 2021 and 2020 was $80 million and $82 million, respectively. The estimated amortization expense for the five years ending June 30, 2022 through 2026 is $320 million, $305 million, $298 million, $288 million and $282 million, respectively. Intangible assets are evaluated for impairment whenever events or circumstances indicate that the undiscounted net cash flows to be generated by their use over their expected useful lives and eventual disposition may be less than their net carrying value. No material intangible asset impairments occurred during the three months ended September 30, 2021 and 2020.

Retirement benefits

Retirement benefits	3 Months Ended
	Sep. 30, 2021
Retirement Benefits [Abstract]
Retirement benefits	Retirement benefits Net pension benefit expense recognized included the following components: Three Months Ended September 30, 2021 2020 Service cost $ 20,662 $ 22,810 Interest cost 27,429 25,417 Expected return on plan assets (67,328) (66,402) Amortization of prior service cost 934 843 Amortization of net actuarial loss 37,531 52,331 Amortization of initial net obligation 2 5 Net pension benefit expense $ 19,230 $ 35,004 During the three months ended September 30, 2021 and 2020, we recognized $0.3 million and $0.4 million, respectively, in expense related to other postretirement benefits. Components of retirement benefits expense, other than service cost, are included in other expense (income), net in the Consolidated Statement of Income.

Debt

Debt	3 Months Ended
	Sep. 30, 2021
Debt Disclosure [Abstract]
Debt	Debt In connection with the proposed Acquisition of Meggitt, the Company entered into a Bridge Credit Agreement on August 2, 2021. Under the Bridge Credit Agreement, the lenders committed to provide senior, unsecured financing in the aggregate principal amount of £6,524 million at August 2, 2021. As permanent financing for the proposed Acquisition is secured, the principal amount of the Bridge Credit Agreement is reduced. At September 30, 2021, the aggregate principal amount was £5,100 million. Any borrowings made under the Bridge Credit Agreement would mature 364 days from the initial funding date. The commitments are intended to be drawn to finance the proposed Acquisition only to the extent that we do not arrange for alternative financing prior to closing. We incurred $39 million in financing fees related to the Bridge Credit Agreement, all of which was included in Other expense (income), net within the Consolidated Statement of Income. On August 27, 2021, the Company entered into a credit agreement, which provides for a senior, unsecured delayed-draw term loan facility in an aggregate principal amount of $2,000 million (the “Term Loan Facility”). The proceeds of the Term Loan Facility, if drawn, will be used solely by the Company to finance a portion of the consideration of its proposed Acquisition and would mature in its entirety three years after the initial draw. Additionally, the provisions of the Term Loan Facility allow for prepayments at the Company's discretion. During the first three months of fiscal 2022, we amended our existing multi-currency credit agreement, increasing its capacity to $3,000 million. There were no outstanding commercial paper notes as of September 30, 2021 and June 30, 2021. Based on the Company’s rating level at September 30, 2021, the most restrictive financial covenant provides that the ratio of debt to debt-shareholders' equity cannot exceed 0.65 to 1.0. At September 30, 2021, our debt to debt-shareholders' equity ratio was 0.44 to 1.0. We are in compliance, and expect to remain in compliance, with all covenants set forth in the credit agreements and indentures.

Income taxes

Income taxes	3 Months Ended
	Sep. 30, 2021
Income Tax Disclosure [Abstract]
Income taxes	Income taxes We file income tax returns in the United States and in various foreign jurisdictions. In the normal course of business, we are subject to examination by taxing authorities throughout the world. We are open to assessment on our U.S. federal income tax returns by the Internal Revenue Service for fiscal years after 2013, and our state and local returns for fiscal years after 2016. We are also open to assessment for significant foreign jurisdictions for fiscal years after 2011. Unrecognized tax benefits reflect the difference between positions taken or expected to be taken on income tax returns and the amounts reflected in the financial statements. As of September 30, 2021, we had gross unrecognized tax benefits of $99 million, all of which, if recognized, would impact the effective tax rate. The accrued interest related to the gross unrecognized tax benefits, excluded from the amount above, is $18 million. It is reasonably possible that within the next 12 months the amount of gross unrecognized tax benefits could be reduced by up to approximately $40 million as a result of the revaluation of existing uncertain tax positions arising from developments in the examination process or the closure of tax statutes. Any increase in the amount of gross unrecognized tax benefits within the next 12 months is expected to be insignificant.

Financial instruments

Financial instruments	3 Months Ended
	Sep. 30, 2021
Fair Value Disclosures [Abstract]
Financial instruments	Financial instruments Our financial instruments consist primarily of cash and cash equivalents, marketable securities and other investments, accounts receivable and long-term investments, as well as obligations under accounts payable, trade, notes payable and long-term debt. Due to their short-term nature, the carrying values for cash and cash equivalents, accounts receivable, accounts payable, trade and notes payable approximate fair value. Marketable securities and other investments include deposits and equity investments. Deposits are recorded at cost, and equity investments are recorded at fair value. Changes in fair value related to equity investments are recorded in net income. Unrealized gains and losses related to equity investments were not material as of September 30, 2021 and 2020. The carrying value of long-term debt, which excludes the impact of net unamortized debt issuance costs, and estimated fair value of long-term debt are as follows: September 30, June 30, Carrying value of long-term debt $ 6,625,692 $ 6,646,029 Estimated fair value of long-term debt 7,406,724 7,527,268 The fair value of long-term debt is classified within level 2 of the fair value hierarchy. We utilize derivative and non-derivative financial instruments, including forward exchange contracts, costless collar contracts, cross-currency swap contracts and certain foreign denominated debt designated as net investment hedges, to manage foreign currency transaction and translation risk. The derivative financial instrument contracts are with major investment grade financial institutions, and we do not anticipate any material non-performance by any of the counterparties. We do not hold or issue derivative financial instruments for trading purposes. The Company’s €700 million aggregate principal amount of Senior Notes due 2025 have been designated as a hedge of the Company’s net investment in certain foreign subsidiaries. The translation of the Senior Notes due 2025 into U.S. dollars is recorded in accumulated other comprehensive (loss) and remains there until the underlying net investment is sold or substantially liquidated. Derivative financial instruments are recognized on the Consolidated Balance Sheet as either assets or liabilities and are measured at fair value. The location and fair value of derivative financial instruments reported in the Consolidated Balance Sheet are as follows: Balance Sheet Caption September 30, June 30, Net investment hedges Cross-currency swap contracts Other liabilities $ 53,723 $ 71,798 Cash flow hedges Forward exchange contracts Non-trade and notes receivable 9,463 5,376 Forward exchange contracts Other accrued liabilities 6,364 9,435 Costless collar contracts Non-trade and notes receivable 807 110 Costless collar contracts Other accrued liabilities 3,308 901 The cross-currency swap, forward exchange, and costless collar contracts are reflected on a gross basis in the Consolidated Balance Sheet. We have not entered into any master netting arrangements. The cross-currency swap contracts have been designated as hedging instruments. The forward exchange and costless collar contracts have not been designated as hedging instruments and are considered to be economic hedges of forecasted transactions. Derivatives not designated as hedges are adjusted to fair value by recording gains and losses through the cost of sales caption in the Consolidated Statement of Income. Derivatives designated as hedges are adjusted to fair value by recording gains and losses through accumulated other comprehensive (loss) on the Consolidated Balance Sheet until the hedged item is recognized in earnings. We assess the effectiveness of the €69 million, €290 million and ¥2,149 million cross-currency swap hedging instruments using the spot method. Under this method, the periodic interest settlements are recognized directly in earnings through interest expense. Net gains of $4 million and $20 million relating to forward exchange contracts were recorded within cost of sales in the Consolidated Statement of Income for the three months ended September 30, 2021 and 2020, respectively. All other gains or losses on derivative financial instruments that were recorded in the Consolidated Statement of Income for the three months ended September 30, 2021 and 2020 were not material. Gains (losses) on derivative and non-derivative financial instruments that were recorded in accumulated other comprehensive (loss) on the Consolidated Balance Sheet are as follows: Three Months Ended September 30, 2021 2020 Cross-currency swap contracts $ 12,371 $ (17,134) Foreign denominated debt 14,864 (25,727) During the three months ended September 30, 2021 and 2020, the periodic interest settlements related to the cross-currency swaps were not material. A summary of financial assets and liabilities that were measured at fair value on a recurring basis at September 30, 2021 and June 30, 2021 are as follows: Quoted Prices Significant Other Significant Fair In Active Observable Unobservable Value at Markets Inputs Inputs September 30, 2021 (Level 1) (Level 2) (Level 3) Assets: Equity securities $ 19,169 $ 19,169 $ — $ — Derivatives 10,270 — 10,270 — Liabilities: Derivatives 63,395 — 63,395 — Quoted Prices Significant Other Significant Fair In Active Observable Unobservable Value at Markets Inputs Inputs June 30, 2021 (Level 1) (Level 2) (Level 3) Assets: Equity securities $ 20,517 $ 20,517 $ — $ — Derivatives 5,486 — 5,486 — Liabilities: Derivatives 82,134 — 82,134 — The fair values of the equity securities are determined using the closing market price reported in the active market in which the fund is traded. Derivatives consist of forward exchange, costless collar and cross-currency swap contracts, the fair values of which are calculated using market observable inputs including both spot and forward prices for the same underlying currencies. The calculation of the fair value of the cross-currency swap contracts also utilizes a present value cash flow model that has been adjusted to reflect the credit risk of either the Company or the counterparty. The primary investment objective for all investments is the preservation of principal and liquidity while earning income.

Revenue recognition (Policies)

Revenue recognition (Policies)	3 Months Ended
	Sep. 30, 2021
Revenue from Contract with Customer [Abstract]
Revenue recognition	Revenue is derived primarily from the sale of products in a variety of mobile, industrial and aerospace markets. A majority of the Company’s revenues are recognized at a point in time. However, a portion of the Company’s revenues are recognized over time. Contract balances Contract assets and contract liabilities are reported on a contract-by-contract basis. Contract assets reflect revenue recognized and performance obligations satisfied in advance of customer billing. Contract liabilities relate to payments received in advance of the satisfaction of performance under the contract. Payments from customers are received based on the terms established in the contract with the customer.

Business Segment Information (T

Business Segment Information (Tables)	3 Months Ended
	Sep. 30, 2021
Segment Reporting [Abstract]
Segment reporting information	Three Months Ended September 30, 2021 2020* Net sales Diversified Industrial: North America $ 1,793,715 $ 1,528,111 International 1,376,436 1,129,251 Aerospace Systems 592,658 573,178 Total net sales $ 3,762,809 $ 3,230,540 Segment operating income Diversified Industrial: North America $ 333,702 $ 268,833 International 291,176 186,901 Aerospace Systems 118,251 86,766 Total segment operating income 743,129 542,500 Corporate general and administrative expenses 49,072 36,735 Income before interest expense and other expense 694,057 505,765 Interest expense 59,350 65,958 Other expense 62,962 26,633 Income before income taxes $ 571,745 $ 413,174 *Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Revenue recognition (Tables)

Revenue recognition (Tables)	3 Months Ended
	Sep. 30, 2021
Revenue from Contract with Customer [Abstract]
Disaggregation of revenue	Diversified Industrial Segment revenues by technology platform: Three Months Ended September 30, 2021 2020 Motion Systems $ 828,672 $ 657,141 Flow and Process Control 1,085,423 924,125 Filtration and Engineered Materials 1,256,056 1,076,096 Total $ 3,170,151 $ 2,657,362 Aerospace Systems Segment revenues by product platform: Three Months Ended September 30, 2021 2020 Flight Control Actuation $ 177,353 $ 158,102 Fuel, Inerting and Engine Motion Control 122,319 118,963 Hydraulics 73,341 75,918 Engine Components 141,608 149,037 Airframe and Engine Fluid Conveyance 54,033 47,362 Other 24,004 23,796 Total $ 592,658 $ 573,178 Total Company revenues by geographic region based on the Company's selling operation's location: Three Months Ended September 30, 2021 2020 North America $ 2,384,974 $ 2,096,165 Europe 761,970 615,572 Asia Pacific 568,134 485,148 Latin America 47,731 33,655 Total $ 3,762,809 $ 3,230,540
Contract assets and liabilities	Total contract assets and contract liabilities are as follows: September 30, June 30, Contract assets, current (included within Prepaid expenses and other) $ 25,936 $ 34,190 Contract assets, noncurrent (included within Investments and other assets) 2,471 1,884 Total contract assets 28,407 36,074 Contract liabilities, current (included within Other accrued liabilities) (45,439) (51,211) Contract liabilities, noncurrent (included within Other liabilities) (2,250) (3,080) Total contract liabilities (47,689) (54,291) Net contract liabilities $ (19,282) $ (18,217)

Earnings per share (Tables)

Earnings per share (Tables)	3 Months Ended
	Sep. 30, 2021
Earnings Per Share [Abstract]
Basic and diluted earnings per share	The following table presents a reconciliation of the numerator and denominator of basic and diluted earnings per share for the three months ended September 30, 2021 and 2020. Three Months Ended September 30, 2021 2020* Numerator: Net income attributable to common shareholders $ 451,157 $ 319,803 Denominator: Basic - weighted average common shares 128,726,721 128,707,745 Increase in weighted average common shares from dilutive effect of equity-based awards 2,101,250 1,586,478 Diluted - weighted average common shares, assuming exercise of equity-based awards 130,827,971 130,294,223 Basic earnings per share $ 3.50 $ 2.48 Diluted earnings per share $ 3.45 $ 2.45 *Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Non-trade and notes receivable

Non-trade and notes receivable (Tables)	3 Months Ended
	Sep. 30, 2021
Receivables [Abstract]
Non-trade and notes receivable	The non-trade and notes receivable caption in the Consolidated Balance Sheet is comprised of the following components: September 30, June 30, Notes receivable $ 128,414 $ 144,441 Accounts receivable, other 187,157 181,874 Total $ 315,571 $ 326,315

Inventories (Tables)

Inventories (Tables)	3 Months Ended
	Sep. 30, 2021
Inventory, Net [Abstract]
Inventories	The inventories caption in the Consolidated Balance Sheet is comprised of the following components: September 30, June 30, Finished products $ 774,749 $ 733,744 Work in process 1,189,194 1,089,976 Raw materials 300,782 266,922 Total $ 2,264,725 $ 2,090,642

Business realignment and acqu_2

Business realignment and acquisition integration charges (Tables)	3 Months Ended
	Sep. 30, 2021
Restructuring and Related Activities [Abstract]
Business realignment charges and acquisition integration charges	Business realignment charges presented in the Business Segment Information are as follows: Three Months Ended September 30, 2021 2020 Diversified Industrial $ 3,017 $ 10,572 Aerospace Systems (3) 3,951 Corporate general and administrative expenses — 614 Other expense — 564 Workforce reductions in connection with business realignment charges in the Business Segment Information are as follows: Three Months Ended September 30, 2021 2020 Diversified Industrial 35 384 Aerospace Systems — 240 Corporate general and administrative expenses — 13 The business realignment charges are presented in the Consolidated Statement of Income as follows: Three Months Ended September 30, 2021 2020 Cost of sales $ 1,001 $ 12,150 Selling, general and administrative expenses 2,013 2,987 Other expense (income), net — 564 We also incurred the following acquisition integration charges related to the fiscal 2020 acquisitions of LORD Corporation ("Lord") and Exotic Metals Forming Company ("Exotic"): Three Months Ended September 30, 2021 2020 Diversified Industrial $ 1,202 $ 3,615 Aerospace Systems — 332

Equity (Tables)

Equity (Tables)	3 Months Ended
	Sep. 30, 2021
Equity [Abstract]
Changes in equity	Changes in equity for the three months ended September 30, 2021 and 2020 are as follows: Common Stock Additional Capital Retained Earnings Accumulated Other Comprehensive (Loss) Treasury Shares Noncontrolling Total Equity Balance at June 30, 2021 $ 90,523 $ 329,619 $ 14,915,497 $ (1,566,727) $ (5,370,605) $ 15,363 $ 8,413,670 Net income 451,157 306 451,463 Other comprehensive (loss) (38,763) (539) (39,302) Dividends paid ($1.03 per share) (132,855) (66) (132,921) Stock incentive plan activity 29,058 14,211 43,269 Shares purchased at cost (230,334) (230,334) Balance at September 30, 2021 $ 90,523 $ 358,677 $ 15,233,799 $ (1,605,490) $ (5,586,728) $ 15,064 $ 8,505,845 Common Stock Additional Capital Retained Earnings* Accumulated Other Comprehensive (Loss) Treasury Shares Noncontrolling Total Equity* Balance at June 30, 2020 $ 90,523 $ 416,585 $ 13,643,907 $ (2,558,875) $ (5,364,916) $ 14,546 $ 6,241,770 Net income 319,803 308 320,111 Other comprehensive income 170,403 431 170,834 Dividends paid ($0.88 per share) (113,542) (113,542) Stock incentive plan activity 11,744 24,967 36,711 Balance at September 30, 2020 $ 90,523 $ 428,329 $ 13,850,168 $ (2,388,472) $ (5,339,949) $ 15,285 $ 6,655,884 *Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
Changes in accumulated other comprehensive income (loss) in shareholders' equity by component	Changes in accumulated other comprehensive (loss) in shareholders' equity by component for the three months ended September 30, 2021 and 2020 are as follows: Foreign Currency Translation Adjustment Retirement Benefit Plans Total Balance at June 30, 2021 $ (865,865) $ (700,862) $ (1,566,727) Other comprehensive (loss) before reclassifications (67,785) — (67,785) Amounts reclassified from accumulated other comprehensive (loss) — 29,022 29,022 Balance at September 30, 2021 $ (933,650) $ (671,840) $ (1,605,490) Foreign Currency Translation Adjustment Retirement Benefit Plans Total Balance at June 30, 2020 $ (1,193,937) $ (1,364,938) $ (2,558,875) Other comprehensive income before reclassifications 130,251 — 130,251 Amounts reclassified from accumulated other comprehensive (loss) — 40,152 40,152 Balance at September 30, 2020 $ (1,063,686) $ (1,324,786) $ (2,388,472)
Reclassifications out of accumulated other comprehensive income (loss) in shareholders' equity	Significant reclassifications out of accumulated other comprehensive (loss) in shareholders' equity for the three months ended September 30, 2021 and 2020 are as follows: Details about Accumulated Other Comprehensive (Loss) Components Income (Expense) Reclassified from Accumulated Other Comprehensive (Loss) Consolidated Statement of Income Classification Three Months Ended September 30, 2021 Retirement benefit plans Amortization of prior service cost and initial net obligation $ (936) Other expense (income), net Recognized actuarial loss (37,503) Other expense (income), net Total before tax (38,439) Tax benefit 9,417 Net of tax $ (29,022) Details about Accumulated Other Comprehensive (Loss) Components Income (Expense) Reclassified from Accumulated Other Comprehensive (Loss) Consolidated Statement of Income Classification Three Months Ended September 30, 2020 Retirement benefit plans Amortization of prior service cost and initial net obligation $ (818) Other expense (income), net Recognized actuarial loss (52,265) Other expense (income), net Total before tax (53,083) Tax benefit 12,931 Net of tax $ (40,152)

Goodwill and intangible assets

Goodwill and intangible assets (Tables)	3 Months Ended
	Sep. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Changes in carrying amount of goodwill	The changes in the carrying amount of goodwill for the three months ended September 30, 2021 are as follows: Diversified Industrial Aerospace Total Balance at June 30, 2021 $ 7,457,309 $ 602,378 $ 8,059,687 Foreign currency translation and other (50,340) (7) (50,347) Balance at September 30, 2021 $ 7,406,969 $ 602,371 $ 8,009,340
Intangible assets by major category	The following summarizes the gross carrying value and accumulated amortization for each major category of intangible assets: September 30, 2021 June 30, 2021 Gross Carrying Accumulated Gross Carrying Accumulated Patents and technology $ 997,890 $ 227,415 $ 999,952 $ 216,314 Trademarks 757,627 338,001 762,130 331,905 Customer lists and other 3,847,159 1,610,720 3,869,772 1,563,838 Total $ 5,602,676 $ 2,176,136 $ 5,631,854 $ 2,112,057

Retirement benefits (Tables)

Retirement benefits (Tables)	3 Months Ended
	Sep. 30, 2021
Retirement Benefits [Abstract]
Net pension benefit expense	Net pension benefit expense recognized included the following components: Three Months Ended September 30, 2021 2020 Service cost $ 20,662 $ 22,810 Interest cost 27,429 25,417 Expected return on plan assets (67,328) (66,402) Amortization of prior service cost 934 843 Amortization of net actuarial loss 37,531 52,331 Amortization of initial net obligation 2 5 Net pension benefit expense $ 19,230 $ 35,004

Financial instruments (Tables)

Financial instruments (Tables)	3 Months Ended
	Sep. 30, 2021
Fair Value Disclosures [Abstract]
Carrying values and estimated fair values of long-term debt	The carrying value of long-term debt, which excludes the impact of net unamortized debt issuance costs, and estimated fair value of long-term debt are as follows: September 30, June 30, Carrying value of long-term debt $ 6,625,692 $ 6,646,029 Estimated fair value of long-term debt 7,406,724 7,527,268
Fair value derivative instruments reported in consolidated balance sheet	The location and fair value of derivative financial instruments reported in the Consolidated Balance Sheet are as follows: Balance Sheet Caption September 30, June 30, Net investment hedges Cross-currency swap contracts Other liabilities $ 53,723 $ 71,798 Cash flow hedges Forward exchange contracts Non-trade and notes receivable 9,463 5,376 Forward exchange contracts Other accrued liabilities 6,364 9,435 Costless collar contracts Non-trade and notes receivable 807 110 Costless collar contracts Other accrued liabilities 3,308 901
Derivative and non-derivative financial instruments, gain (losses) recorded in accumulated other comprehensive (loss)	Gains (losses) on derivative and non-derivative financial instruments that were recorded in accumulated other comprehensive (loss) on the Consolidated Balance Sheet are as follows: Three Months Ended September 30, 2021 2020 Cross-currency swap contracts $ 12,371 $ (17,134) Foreign denominated debt 14,864 (25,727)
Financial assets and liabilities measured at fair value on a recurring basis	A summary of financial assets and liabilities that were measured at fair value on a recurring basis at September 30, 2021 and June 30, 2021 are as follows: Quoted Prices Significant Other Significant Fair In Active Observable Unobservable Value at Markets Inputs Inputs September 30, 2021 (Level 1) (Level 2) (Level 3) Assets: Equity securities $ 19,169 $ 19,169 $ — $ — Derivatives 10,270 — 10,270 — Liabilities: Derivatives 63,395 — 63,395 — Quoted Prices Significant Other Significant Fair In Active Observable Unobservable Value at Markets Inputs Inputs June 30, 2021 (Level 1) (Level 2) (Level 3) Assets: Equity securities $ 20,517 $ 20,517 $ — $ — Derivatives 5,486 — 5,486 — Liabilities: Derivatives 82,134 — 82,134 —

Business Segment Information (D

Business Segment Information (Details) $ in Thousands	3 Months Ended
	Sep. 30, 2021USD ($)segment	Sep. 30, 2020USD ($)
Segment Reporting [Abstract]
Number of reportable business segments | segment	2
Segment Reporting Information [Line Items]
Net sales	$ 3,762,809	$ 3,230,540	[1],[2],[3],[4],[5],[6]
Operating income	694,057	505,765	[1],[2],[3],[4],[5],[6]
Corporate general and administrative expenses	407,765	369,851	[1],[2],[3],[4],[5],[6]
Interest expense	59,350	65,958	[1],[2],[3],[4],[5],[6]
Other expense	62,962	26,633	[1],[2],[3],[4],[5],[6]
Income before income taxes	571,745	413,174	[1],[2],[3],[4],[5],[6]
North America
Segment Reporting Information [Line Items]
Net sales	2,384,974	2,096,165
Diversified Industrial
Segment Reporting Information [Line Items]
Net sales	3,170,151	2,657,362
Aerospace Systems
Segment Reporting Information [Line Items]
Net sales	592,658	573,178
Operating Segments
Segment Reporting Information [Line Items]
Net sales	3,762,809	3,230,540	[1],[2],[3],[4],[5],[6]
Operating income	743,129	542,500	[1],[2],[3],[4],[5],[6]
Operating Segments | Diversified Industrial | North America
Segment Reporting Information [Line Items]
Net sales	1,793,715	1,528,111	[1],[2],[3],[4],[5],[6]
Operating income	333,702	268,833	[1],[2],[3],[4],[5],[6]
Operating Segments | Diversified Industrial | International
Segment Reporting Information [Line Items]
Net sales	1,376,436	1,129,251	[1],[2],[3],[4],[5],[6]
Operating income	291,176	186,901	[1],[2],[3],[4],[5],[6]
Operating Segments | Aerospace Systems
Segment Reporting Information [Line Items]
Net sales	592,658	573,178	[1],[2],[3],[4],[5],[6]
Operating income	118,251	86,766	[1],[2],[3],[4],[5],[6]
Corporate, Non-Segment
Segment Reporting Information [Line Items]
Corporate general and administrative expenses	$ 49,072	$ 36,735	[1],[2],[3],[4],[5],[6]
[1]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[2]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[3]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[4]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[5]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[6]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Management representation (Deta

Management representation (Details) £ in Millions, $ in Millions	Dec. 31, 2021GBP (£)	Oct. 31, 2021GBP (£)	Oct. 31, 2021USD ($)	Oct. 30, 2021USD ($)	Sep. 30, 2021GBP (£)	Aug. 02, 2021GBP (£)
Subsequent Event
Short-term Debt [Line Items]
Escrow deposit | $			$ 2,487	$ 2,272
Subsequent Event | Foreign Exchange Forward | Forecast
Short-term Debt [Line Items]
Notional amount of derivative	£ 6,415
Commercial Paper | Subsequent Event
Short-term Debt [Line Items]
Short-term debt | $			$ 2,126
Bridge Loan | Line of Credit | Bridge Credit Agreement
Short-term Debt [Line Items]
Aggregate principal amount					£ 5,100	£ 6,524
Bridge Loan | Subsequent Event | Line of Credit | Bridge Credit Agreement
Short-term Debt [Line Items]
Aggregate principal amount		£ 3,200

Revenue recognition - Revenues

Revenue recognition - Revenues by segment and by platform (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Disaggregation of Revenue [Line Items]
Revenues from contracts	$ 3,762,809	$ 3,230,540	[1],[2],[3],[4],[5],[6]
Diversified Industrial Segment
Disaggregation of Revenue [Line Items]
Revenues from contracts	3,170,151	2,657,362
Diversified Industrial Segment | Motion Systems
Disaggregation of Revenue [Line Items]
Revenues from contracts	828,672	657,141
Diversified Industrial Segment | Flow and Process Control
Disaggregation of Revenue [Line Items]
Revenues from contracts	1,085,423	924,125
Diversified Industrial Segment | Filtration and Engineered Materials
Disaggregation of Revenue [Line Items]
Revenues from contracts	1,256,056	1,076,096
Aerospace Systems Segment
Disaggregation of Revenue [Line Items]
Revenues from contracts	592,658	573,178
Aerospace Systems Segment | Flight Control Actuation
Disaggregation of Revenue [Line Items]
Revenues from contracts	177,353	158,102
Aerospace Systems Segment | Fuel, Inerting and Engine Motion Control
Disaggregation of Revenue [Line Items]
Revenues from contracts	122,319	118,963
Aerospace Systems Segment | Hydraulics
Disaggregation of Revenue [Line Items]
Revenues from contracts	73,341	75,918
Aerospace Systems Segment | Engine Components
Disaggregation of Revenue [Line Items]
Revenues from contracts	141,608	149,037
Aerospace Systems Segment | Airframe and Engine Fluid Conveyance
Disaggregation of Revenue [Line Items]
Revenues from contracts	54,033	47,362
Aerospace Systems Segment | Other
Disaggregation of Revenue [Line Items]
Revenues from contracts	$ 24,004	$ 23,796
[1]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[2]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[3]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[4]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[5]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[6]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Revenue recognition - Revenue b

Revenue recognition - Revenue by geographic region (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Disaggregation of Revenue [Line Items]
Revenues from contracts	$ 3,762,809	$ 3,230,540	[1],[2],[3],[4],[5],[6]
North America
Disaggregation of Revenue [Line Items]
Revenues from contracts	2,384,974	2,096,165
Europe
Disaggregation of Revenue [Line Items]
Revenues from contracts	761,970	615,572
Asia Pacific
Disaggregation of Revenue [Line Items]
Revenues from contracts	568,134	485,148
Latin America
Disaggregation of Revenue [Line Items]
Revenues from contracts	$ 47,731	$ 33,655
[1]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[2]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[3]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[4]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[5]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[6]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Revenue recognition - Contract

Revenue recognition - Contract assets and liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Jun. 30, 2021
Revenue from Contract with Customer [Abstract]
Contract assets, current (included within Prepaid expenses and other)	$ 25,936	$ 34,190
Contract assets, noncurrent (included within Investments and other assets)	2,471	1,884
Total contract assets	28,407	36,074
Contract liabilities, current (included within Other accrued liabilities)	(45,439)	(51,211)
Contract liabilities, noncurrent (included within Other liabilities)	(2,250)	(3,080)
Total contract liabilities	(47,689)	(54,291)
Net contract liabilities	$ (19,282)	$ (18,217)

Revenue recognition - Narrative

Revenue recognition - Narrative (Details) $ in Millions	3 Months Ended
	Sep. 30, 2021USD ($)
Revenue from Contract with Customer [Abstract]
Revenue recognized	$ 21
Remaining performance obligation, amount	$ 6,783
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-10-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, percentage	85.00%
Remaining performance obligation, period	12 months

Proposed Acquisition (Details)

Proposed Acquisition (Details) - Meggitt £ / shares in Units, £ in Millions, $ in Millions	3 Months Ended
	Dec. 31, 2021GBP (£)	Dec. 31, 2021USD ($)	Sep. 30, 2021USD ($)	Jun. 30, 2022£ / shares
Business Acquisition [Line Items]
Acquisition-related transaction costs			$ 13
Restricted cash			$ 215
Forecast
Business Acquisition [Line Items]
Price per share of stock acquired (in pounds per share) | £ / shares				£ 8
Forecast | Subsequent Event
Business Acquisition [Line Items]
Purchase price to acquire business | £	£ 6,255
Aggregate annual sales for business, to be acquired, for their most recent fiscal year prior to acquisition		$ 2,300

Earnings per share - Computatio

Earnings per share - Computation of basic and diluted earnings per share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Numerator:
Net income attributable to common shareholders	$ 451,157	$ 319,803	[1]
Denominator:
Basic - weighted average common shares (in shares)	128,726,721	128,707,745
Increase in weighted average common shares from dilutive effect of equity-based awards (in shares)	2,101,250	1,586,478
Diluted - weighted average common shares, assuming exercise of equity-based awards (in shares)	130,827,971	130,294,223
Basic earnings per share (in USD per share)	$ 3.50	$ 2.48	[2]
Diluted earnings per share (in USD per share)	$ 3.45	$ 2.45	[3]
[1]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[2]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[3]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Earnings per share - Narrative

Earnings per share - Narrative (Details) - shares	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Earnings Per Share [Abstract]
Excluded from the computation of diluted earnings per share since anti-dilutive (in shares)	165,732	530,438

Share repurchase program (Detai

Share repurchase program (Details) - $ / shares	3 Months Ended
	Sep. 30, 2021	Oct. 22, 2014
Equity [Abstract]
Authorized to be repurchased (in shares)		35,000,000
Repurchased (in shares)	767,600
Repurchased, average price (in USD per share)	$ 300.07

Trade accounts receivable, net

Trade accounts receivable, net (Details) - USD ($) $ in Millions	Sep. 30, 2021	Jun. 30, 2021
Receivables [Abstract]
Allowance for credit losses	$ 12	$ 12

Non-trade and notes receivabl_2

Non-trade and notes receivable (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Jun. 30, 2021
Receivables [Abstract]
Notes receivable	$ 128,414	$ 144,441
Accounts receivable, other	187,157	181,874
Total	$ 315,571	$ 326,315

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Jun. 30, 2021
Inventory, Net [Abstract]
Finished products	$ 774,749	$ 733,744
Work in process	1,189,194	1,089,976
Raw materials	300,782	266,922
Total	$ 2,264,725	$ 2,090,642

Business realignment and acqu_3

Business realignment and acquisition integration charges - Business segment information (Details) $ in Thousands	3 Months Ended
	Sep. 30, 2021USD ($)employee	Sep. 30, 2020USD ($)employee
Corporate, Non-Segment
Restructuring Cost and Reserve [Line Items]
Business realignment charges	$ 0	$ 614
Number of positions eliminated (employees) | employee	0	13
Segment Reconciling Items
Restructuring Cost and Reserve [Line Items]
Business realignment charges	$ 0	$ 564
Diversified Industrial | Operating Segments
Restructuring Cost and Reserve [Line Items]
Business realignment charges	$ 3,017	$ 10,572
Number of positions eliminated (employees) | employee	35	384
Aerospace Systems | Operating Segments
Restructuring Cost and Reserve [Line Items]
Business realignment charges	$ (3)	$ 3,951
Number of positions eliminated (employees) | employee	0	240

Business realignment and acqu_4

Business realignment and acquisition integration charges - Income statement location (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Cost of sales
Restructuring Cost and Reserve [Line Items]
Business realignment charges	$ 1,001	$ 12,150
Selling, general and administrative expenses
Restructuring Cost and Reserve [Line Items]
Business realignment charges	2,013	2,987
Other expense (income), net
Restructuring Cost and Reserve [Line Items]
Business realignment charges	$ 0	$ 564

Business realignment and acqu_5

Business realignment and acquisition integration charges - Narrative (Details) - Employee severance $ in Millions	3 Months Ended
	Sep. 30, 2021USD ($)
Restructuring Cost and Reserve [Line Items]
Payments made relating to business realignment charges	$ 9
Remaining payments related to business realignment actions	$ 9

Business realignment and acqu_6

Business realignment and acquisition integration charges - Acquisition integration charges related to the Lord and Exotic acquisitions (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Diversified Industrial
Restructuring Cost and Reserve [Line Items]
Acquisition integration charges	$ 1,202	$ 3,615
Aerospace Systems
Restructuring Cost and Reserve [Line Items]
Acquisition integration charges	$ 0	$ 332

Equity - Changes in equity (Det

Equity - Changes in equity (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance	$ 8,413,670	$ 6,241,770
Net income	451,463	320,111	[1],[2],[3],[4],[5],[6]
Other comprehensive income (loss)	(39,302)	170,834	[4]
Dividends paid	$ (132,921)	$ (113,542)
Dividends paid (in USD per share)	$ 1.03	$ 0.88
Stock incentive plan activity	$ 43,269	$ 36,711
Shares purchased at cost	(230,334)
Ending balance	8,505,845	6,655,884
Common Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance	90,523	90,523
Ending balance	90,523	90,523
Additional Capital
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance	329,619	416,585
Stock incentive plan activity	29,058	11,744
Ending balance	358,677	428,329
Retained Earnings
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance	14,915,497	13,643,907
Net income	451,157	319,803
Dividends paid	(132,855)	(113,542)
Ending balance	15,233,799	13,850,168
Accumulated Other Comprehensive (Loss)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance	(1,566,727)	(2,558,875)
Other comprehensive income (loss)	(38,763)	170,403
Ending balance	(1,605,490)	(2,388,472)
Treasury Shares
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance	(5,370,605)	(5,364,916)
Stock incentive plan activity	14,211	24,967
Shares purchased at cost	(230,334)
Ending balance	(5,586,728)	(5,339,949)
Noncontrolling Interests
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance	15,363	14,546
Net income	306	308
Other comprehensive income (loss)	(539)	431
Dividends paid	(66)
Ending balance	$ 15,064	$ 15,285
[1]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[2]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[3]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[4]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[5]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[6]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Equity - Changes in accumulated

Equity - Changes in accumulated other comprehensive income (loss) in shareholders' equity by component (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	$ 8,413,670	$ 6,241,770
Ending balance	8,505,845	6,655,884
Foreign Currency Translation Adjustment
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	(865,865)	(1,193,937)
Other comprehensive income (loss) before reclassifications	(67,785)	130,251
Amounts reclassified from accumulated other comprehensive (loss)	0	0
Ending balance	(933,650)	(1,063,686)
Retirement Benefit Plans
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	(700,862)	(1,364,938)
Other comprehensive income (loss) before reclassifications	0	0
Amounts reclassified from accumulated other comprehensive (loss)	29,022	40,152
Ending balance	(671,840)	(1,324,786)
Accumulated Other Comprehensive (Loss)
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	(1,566,727)	(2,558,875)
Other comprehensive income (loss) before reclassifications	(67,785)	130,251
Amounts reclassified from accumulated other comprehensive (loss)	29,022	40,152
Ending balance	$ (1,605,490)	$ (2,388,472)

Equity - Reclassifications out

Equity - Reclassifications out of accumulated other comprehensive income (loss) in shareholders' equity (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Accumulated Other Comprehensive Income (Loss) [Line Items]
Other expense (income), net	$ (10,052)	$ 4,892	[1],[2],[3],[4],[5],[6]
Income before income taxes	571,745	413,174	[1],[2],[3],[4],[5],[6]
Tax benefit	(120,282)	(93,063)	[1],[2],[3],[4],[5],[6]
Net income	451,463	320,111	[1],[2],[3],[4],[5],[6]
Income (Expense) Reclassified from Accumulated Other Comprehensive (Loss) | Amortization of prior service cost and initial net obligation
Accumulated Other Comprehensive Income (Loss) [Line Items]
Other expense (income), net	(936)	(818)
Income (Expense) Reclassified from Accumulated Other Comprehensive (Loss) | Recognized actuarial loss
Accumulated Other Comprehensive Income (Loss) [Line Items]
Other expense (income), net	(37,503)	(52,265)
Income (Expense) Reclassified from Accumulated Other Comprehensive (Loss) | Retirement benefit plans
Accumulated Other Comprehensive Income (Loss) [Line Items]
Income before income taxes	(38,439)	(53,083)
Tax benefit	9,417	12,931
Net income	$ (29,022)	$ (40,152)
[1]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[2]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[3]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[4]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[5]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.
[6]	*Prior period has been adjusted to reflect the change in inventory accounting method, as described in the Company's fiscal 2021 Annual Report on Form 10-K.

Goodwill and intangible asset_2

Goodwill and intangible assets - Changes in carrying amount of goodwill (Details) $ in Thousands	3 Months Ended
	Sep. 30, 2021USD ($)
Goodwill [Roll Forward]
Beginning balance	$ 8,059,687
Foreign currency translation and other	(50,347)
Ending balance	8,009,340
Diversified Industrial Segment
Goodwill [Roll Forward]
Beginning balance	7,457,309
Foreign currency translation and other	(50,340)
Ending balance	7,406,969
Aerospace Systems Segment
Goodwill [Roll Forward]
Beginning balance	602,378
Foreign currency translation and other	(7)
Ending balance	$ 602,371

Goodwill and intangible asset_3

Goodwill and intangible assets - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible amortization expense	$ 80	$ 82
Estimated amortization expense, year ending June 30, 2022	320
Estimated amortization expense, year ending June 30, 2023	305
Estimated amortization expense, year ending June 30, 2024	298
Estimated amortization expense, year ending June 30, 2025	288
Estimated amortization expense, year ending June 30, 2026	$ 282

Goodwill and intangible asset_4

Goodwill and intangible assets - Intangible assets by major category (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Jun. 30, 2021
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 5,602,676	$ 5,631,854
Accumulated Amortization	2,176,136	2,112,057
Patents and technology
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	997,890	999,952
Accumulated Amortization	227,415	216,314
Trademarks
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	757,627	762,130
Accumulated Amortization	338,001	331,905
Customer lists and other
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	3,847,159	3,869,772
Accumulated Amortization	$ 1,610,720	$ 1,563,838

Retirement benefits - Net pensi

Retirement benefits - Net pension benefit expense (Details) - Pension Plans - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service cost	$ 20,662	$ 22,810
Interest cost	27,429	25,417
Expected return on plan assets	(67,328)	(66,402)
Amortization of prior service cost	934	843
Amortization of net actuarial loss	37,531	52,331
Amortization of initial net obligation	2	5
Net pension benefit expense	$ 19,230	$ 35,004

Retirement benefits - Narrative

Retirement benefits - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Other Postretirement Benefit Plans
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Other postretirement benefits expense	$ 0.3	$ 0.4

Debt (Details)

Debt (Details) £ in Millions	Aug. 27, 2021USD ($)	Aug. 02, 2021GBP (£)	Sep. 30, 2021GBP (£)	Sep. 30, 2021USD ($)	Jun. 30, 2021USD ($)
Line of Credit Facility [Line Items]
Commercial paper				$ 0	$ 0
Debt to debt-shareholders' equity ratio			0.44
Maximum
Line of Credit Facility [Line Items]
Debt to debt-shareholders' equity ratio, covenant, maximum			0.65
Multi-Currency Credit Agreement | Line of Credit
Line of Credit Facility [Line Items]
Aggregate principal amount				3,000,000,000
Line of Credit | Bridge Credit Agreement | Bridge Loan
Line of Credit Facility [Line Items]
Aggregate principal amount | £		£ 6,524	£ 5,100
Expiration period		364 days
Financing fee				$ 39,000,000
Line of Credit | Term Loan Facility | Senior Notes
Line of Credit Facility [Line Items]
Aggregate principal amount	$ 2,000,000,000
Debt term	3 years

Income taxes (Details)

Income taxes (Details) $ in Millions	Sep. 30, 2021USD ($)
Income Tax Disclosure [Abstract]
Unrecognized tax benefits	$ 99
Unrecognized tax benefits that would impact effective tax rate if recognized	99
Accrued interest related to the gross unrecognized tax benefits excluded from the unrecognized tax benefits	18
Decrease in unrecognized tax benefits that is reasonably possible (up to)	$ 40

Financial instruments - Carryin

Financial instruments - Carrying values and estimated fair values of long-term debt (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Jun. 30, 2021
Carrying value of long-term debt
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt	$ 6,625,692	$ 6,646,029
Estimated fair value of long-term debt
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt	$ 7,406,724	$ 7,527,268

Financial instruments - Narrati

Financial instruments - Narrative (Details) € in Millions, ¥ in Millions, $ in Millions	3 Months Ended
	Sep. 30, 2021USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2021EUR (€)	Sep. 30, 2021JPY (¥)
Debt Instrument [Line Items]
Net gains relating to forward exchange contracts | $	$ 4	$ 20
Currency Swap, Due November 2034
Debt Instrument [Line Items]
Notional amount of derivative			€ 69	¥ 2,149
Currency Swap, Due May 2038
Debt Instrument [Line Items]
Notional amount of derivative			290
Senior Notes | Senior Notes Due 2025
Debt Instrument [Line Items]
Aggregate principal amount (in EUR)			€ 700

Financial instruments - Fair va

Financial instruments - Fair value of derivative instruments reported in consolidated balance sheet (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Jun. 30, 2021
Cross-currency swap contracts | Other liabilities
Net investment hedges
Cross-currency swap contracts	$ 53,723	$ 71,798
Forward exchange contracts | Non-trade and notes receivable
Cash flow hedges
Cash flow hedge, assets	9,463	5,376
Forward exchange contracts | Other accrued liabilities
Cash flow hedges
Cash flow hedge, liability	6,364	9,435
Costless collar contracts | Non-trade and notes receivable
Cash flow hedges
Cash flow hedge, assets	807	110
Costless collar contracts | Other accrued liabilities
Cash flow hedges
Cash flow hedge, liability	$ 3,308	$ 901

Financial instruments - Gain (l

Financial instruments - Gain (losses) on derivative and non-derivative financial instruments recorded in accumulated other comprehensive (loss) (Details) - Designated as Hedging Instrument - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Cross-currency swap contracts
Derivative Instruments, Gain (Loss) [Line Items]
Derivative and non-derivative instruments gain (loss) recognized in accumulated other comprehensive income (loss)	$ 12,371	$ (17,134)
Foreign denominated debt
Derivative Instruments, Gain (Loss) [Line Items]
Derivative and non-derivative instruments gain (loss) recognized in accumulated other comprehensive income (loss)	$ 14,864	$ (25,727)

Financial instruments - Financi

Financial instruments - Financial assets and liabilities measured at fair value (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Jun. 30, 2021
Assets:
Equity securities	$ 19,169	$ 20,517
Derivatives	10,270	5,486
Liabilities:
Derivatives	63,395	82,134
Quoted Prices In Active Markets (Level 1)
Assets:
Equity securities	19,169	20,517
Derivatives	0	0
Liabilities:
Derivatives	0	0
Significant Other Observable Inputs (Level 2)
Assets:
Equity securities	0	0
Derivatives	10,270	5,486
Liabilities:
Derivatives	63,395	82,134
Significant Unobservable Inputs (Level 3)
Assets:
Equity securities	0	0
Derivatives	0	0
Liabilities:
Derivatives	$ 0	$ 0