Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Mar. 31, 2020 | Apr. 22, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Entity Registrant Name | Oshkosh Corporation | |
Amendment Flag | false | |
Entity Central Index Key | 0000775158 | |
Document Period End Date | Mar. 31, 2020 | |
Current Fiscal Year End Date | --09-30 | |
Document Fiscal Year Focus | 2020 | |
Entity Filer Category | Large Accelerated Filer | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | OSK | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 68,070,705 | |
Entity Current Reporting Status | Yes | |
Entity Shell Company | false | |
Entity File Number | 1-31371 | |
Entity Tax Identification Number | 39-0520270 | |
Entity Address, Address Line One | P.O. Box 2566 | |
Entity Address, City or Town | Oshkosh | |
Entity Address, State or Province | WI | |
Entity Address, Postal Zip Code | 54903-2566 | |
City Area Code | 920 | |
Local Phone Number | 502-3009 | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Common Stock $0.01 par value | |
Entity Incorporation, State or Country Code | WI | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Interactive Data Current | Yes |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Income Statement [Abstract] | ||||
Net sales | $ 1,796.7 | $ 1,990.2 | $ 3,491.8 | $ 3,793.6 |
Cost of sales | 1,504.3 | 1,632.3 | 2,909.9 | 3,107.4 |
Gross income | 292.4 | 357.9 | 581.9 | 686.2 |
Operating expenses: | ||||
Selling, general and administrative | 157.4 | 173 | 330.8 | 331.6 |
Amortization of purchased intangibles | 1.4 | 9.3 | 8.4 | 18.5 |
Total operating expenses | 158.8 | 182.3 | 339.2 | 350.1 |
Operating income | 133.6 | 175.6 | 242.7 | 336.1 |
Other income (expense): | ||||
Interest expense | (22.3) | (13.7) | (35.4) | (27.4) |
Interest income | 1.6 | 2 | 2.9 | 4.2 |
Miscellaneous, net | (5.8) | 1.2 | (6.2) | |
Income before income taxes and earnings (losses) of unconsolidated affiliates | 107.1 | 165.1 | 204 | 312.9 |
Provision for income taxes | 38.3 | 36.2 | 59 | 75.9 |
Income before earnings (losses) of unconsolidated affiliates | 68.8 | 128.9 | 145 | 237 |
Equity in earnings (losses) of unconsolidated affiliates | (0.2) | (0.4) | (0.7) | 0.5 |
Net income | $ 68.6 | $ 128.5 | $ 144.3 | $ 237.5 |
Earnings per share: | ||||
Basic | $ 1 | $ 1.84 | $ 2.12 | $ 3.37 |
Diluted | 0.99 | 1.82 | 2.09 | 3.33 |
Cash dividends declared per share on Common Stock | $ 0.30 | $ 0.27 | $ 0.60 | $ 0.54 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income | $ 68.6 | $ 128.5 | $ 144.3 | $ 237.5 |
Other comprehensive income (loss), net of tax: | ||||
Employee pension and postretirement benefits | 0.7 | (3.8) | 1.4 | (3.8) |
Currency translation adjustments | (28.4) | (6.9) | (8.9) | (15.7) |
Change in fair value of derivative instruments | 0.7 | (0.2) | 0.2 | (0.2) |
Total other comprehensive income (loss), net of tax | (27) | (10.9) | (7.3) | (19.7) |
Comprehensive income | $ 41.6 | $ 117.6 | $ 137 | $ 217.8 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Mar. 31, 2020 | Sep. 30, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 403.9 | $ 448.4 |
Receivables, net | 873.8 | 1,082.3 |
Unbilled receivables, net | 506.1 | 549.5 |
Inventories, net | 1,655.9 | 1,249.2 |
Other current assets | 93.9 | 78.9 |
Total current assets | 3,533.6 | 3,408.3 |
Property, plant and equipment, net | 551.7 | 573.6 |
Goodwill | 995.9 | 995.7 |
Purchased intangible assets, net | 423.9 | 432.3 |
Other long-term assets | 356.8 | 156.4 |
Total assets | 5,861.9 | 5,566.3 |
Current liabilities: | ||
Revolving credit facilities | 4.9 | |
Accounts payable | 726.1 | 795.5 |
Customer advances | 593 | 382 |
Payroll-related obligations | 121.9 | 183.6 |
Income taxes payable | 27 | 73.5 |
Other current liabilities | 332.1 | 307.3 |
Total current liabilities | 1,805 | 1,741.9 |
Long-term debt, less current maturities | 817.4 | 819 |
Other long-term liabilities | 550.5 | 405.6 |
Commitments and contingencies | ||
Shareholders’ equity: | ||
Preferred Stock ($0.01 par value; 2,000,000 shares authorized; none issued and outstanding) | ||
Common Stock ($0.01 par value; 300,000,000 shares authorized; 75,101,465 shares issued) | 0.7 | 0.7 |
Additional paid-in capital | 795 | 808.5 |
Retained earnings | 2,608.4 | 2,505 |
Accumulated other comprehensive loss | (208.9) | (201.6) |
Common Stock in treasury, at cost (7,030,760 and 7,114,349 shares, respectively) | (506.2) | (512.8) |
Total shareholders’ equity | 2,689 | 2,599.8 |
Total liabilities and shareholders’ equity | $ 5,861.9 | $ 5,566.3 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2020 | Sep. 30, 2019 |
Stockholders Equity Number Of Shares Par Value And Other Disclosures [Abstract] | ||
Preferred Stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred Stock, shares authorized | 2,000,000 | 2,000,000 |
Preferred Stock, shares issued | 0 | 0 |
Preferred Stock, shares outstanding | 0 | 0 |
Common Stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common Stock, shares authorized | 300,000,000 | 300,000,000 |
Common Stock, shares issued | 75,101,465 | 75,101,465 |
Common Stock in treasury, shares | 7,030,760 | 7,114,349 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Millions | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Common Stock in Treasury, at Cost |
Balance at Sep. 30, 2018 | $ 2,513.5 | $ 0.7 | $ 814.8 | $ 2,007.9 | $ (106.8) | $ (203.1) |
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | Accounting Standards Update 2014-09 | (60.4) | (60.4) | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | Accounting Standards Update 2016-16 | 44.5 | 44.5 | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | Accounting Standards Update 2018-02 | 9.1 | (9.1) | ||||
Balance at Oct. 01, 2018 | 2,497.6 | 0.7 | 814.8 | 2,001.1 | (115.9) | (203.1) |
Balance at Sep. 30, 2018 | 2,513.5 | 0.7 | 814.8 | 2,007.9 | (106.8) | (203.1) |
Net income | 237.5 | 237.5 | ||||
Employee pension and postretirement benefits | (3.8) | (3.8) | ||||
Currency translation adjustments | (15.7) | (15.7) | ||||
Cash dividends | (38.3) | (38.3) | ||||
Repurchases of Common Stock | (195) | (195) | ||||
Exercise of stock options | 8.6 | (7.4) | 16 | |||
Stock-based compensation expense | 15.3 | 15.3 | ||||
Payment of stock-based restricted and performance shares | (24.2) | 24.2 | ||||
Other | 0.8 | (0.4) | (0.2) | 1.4 | ||
Balance at Mar. 31, 2019 | 2,499.7 | 0.7 | 798.1 | 2,200.3 | (135.6) | (363.8) |
Shares tendered for taxes on stock-based compensation | (7.3) | (7.3) | ||||
Balance at Dec. 31, 2018 | 2,411.2 | 0.7 | 797.6 | 2,090.8 | (124.7) | (353.2) |
Net income | 128.5 | 128.5 | ||||
Employee pension and postretirement benefits | (3.8) | (3.8) | ||||
Currency translation adjustments | (6.9) | (6.9) | ||||
Cash dividends | (19) | (19) | ||||
Repurchases of Common Stock | (25) | (25) | ||||
Exercise of stock options | 6.9 | (5.6) | 12.5 | |||
Stock-based compensation expense | 7.4 | 7.4 | ||||
Payment of stock-based restricted and performance shares | (0.9) | 0.9 | ||||
Other | 0.8 | (0.4) | (0.2) | 1.4 | ||
Balance at Mar. 31, 2019 | 2,499.7 | 0.7 | 798.1 | 2,200.3 | (135.6) | (363.8) |
Shares tendered for taxes on stock-based compensation | (0.4) | (0.4) | ||||
Balance at Sep. 30, 2019 | 2,599.8 | 0.7 | 808.5 | 2,505 | (201.6) | (512.8) |
Net income | 144.3 | 144.3 | ||||
Employee pension and postretirement benefits | 1.4 | 1.4 | ||||
Currency translation adjustments | (8.9) | (8.9) | ||||
Cash dividends | (40.9) | (40.9) | ||||
Repurchases of Common Stock | (40.8) | (40.8) | ||||
Exercise of stock options | 23.6 | (10.7) | 34.3 | |||
Stock-based compensation expense | 17.7 | 17.7 | ||||
Payment of stock-based restricted and performance shares | (18.2) | 18.2 | ||||
Other | 1.3 | (2.3) | 0.2 | 3.4 | ||
Balance at Mar. 31, 2020 | 2,689 | 0.7 | 795 | 2,608.4 | (208.9) | (506.2) |
Shares tendered for taxes on stock-based compensation | (8.5) | (8.5) | ||||
Balance at Dec. 31, 2019 | 2,681.1 | 0.7 | 794.1 | 2,560.3 | (181.9) | (492.1) |
Net income | 68.6 | 68.6 | ||||
Employee pension and postretirement benefits | 0.7 | 0.7 | ||||
Currency translation adjustments | (28.4) | (28.4) | ||||
Cash dividends | (20.5) | (20.5) | ||||
Repurchases of Common Stock | (31.4) | (31.4) | ||||
Exercise of stock options | 8.8 | (4.8) | 13.6 | |||
Stock-based compensation expense | 8.3 | 8.3 | ||||
Payment of stock-based restricted and performance shares | (0.3) | 0.3 | ||||
Other | 1.8 | (2.3) | 0.7 | 3.4 | ||
Balance at Mar. 31, 2020 | $ 2,689 | $ 0.7 | $ 795 | $ 2,608.4 | $ (208.9) | $ (506.2) |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Statement Of Stockholders Equity [Abstract] | ||||
Employee pension and postretirement benefits, tax | $ 0.2 | $ 0.9 | $ 0.4 | $ 1 |
Cash dividends declared per share on common stock (in dollars per share) | $ 0.30 | $ 0.27 | $ 0.60 | $ 0.54 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 6 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Operating activities: | ||
Net income | $ 144.3 | $ 237.5 |
Depreciation and amortization | 50.6 | 57.1 |
Stock-based compensation expense | 17.7 | 15.3 |
Deferred income taxes | 11.4 | 3.4 |
(Gain) loss on sale of assets | (9.9) | 0.7 |
Foreign currency transaction (gains) losses | (1.5) | 1.7 |
Debt extinguishment expense | 8.5 | |
Other non-cash adjustments | 0.9 | (0.5) |
Changes in operating assets and liabilities | (157.2) | (162.2) |
Net cash provided by operating activities | 64.8 | 153 |
Investing activities: | ||
Additions to property, plant and equipment | (57.5) | (50.6) |
Additions to equipment held for rental | (10.9) | (12.2) |
Proceeds from sale of equipment held for rental | 32.5 | 6.6 |
Other investing activities | (1.2) | (0.1) |
Net cash used by investing activities | (37.1) | (56.3) |
Financing activities: | ||
Proceeds from issuance of debt (original maturities greater than three months) | 303.9 | |
Repayments of debt (original maturities greater than three months) | (300) | |
Debt extinguishment and issuance costs | (9.6) | |
Repurchases of Common Stock | (49.3) | (202.3) |
Dividends paid | (40.9) | (38.3) |
Proceeds from exercise of stock options | 23.6 | 8.6 |
Other financing activities | (0.8) | |
Net cash used by financing activities | (73.1) | (232) |
Effect of exchange rate changes on cash | 0.9 | 2.6 |
Decrease in cash and cash equivalents | (44.5) | (132.7) |
Cash and cash equivalents at beginning of period | 448.4 | 454.6 |
Cash and cash equivalents at end of period | 403.9 | 321.9 |
Supplemental disclosures: | ||
Cash paid for interest | 34 | 28.3 |
Cash paid for income taxes | 94.5 | $ 47.5 |
Cash paid for operating lease liabilities | 28.3 | |
Operating right-of-use assets obtained | $ 27.5 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Mar. 31, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation | 1. Basis of Presentation In the opinion of management, the accompanying unaudited Condensed Consolidated Financial Statements contain all adjustments (which include normal recurring adjustments, unless otherwise noted) necessary to present fairly the financial position, results of operations and cash flows for the periods presented. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles in the United States (U.S. GAAP) have been condensed or omitted pursuant to the rules and regulations of the U.S. Securities and Exchange Commission. These Condensed Consolidated Financial Statements should be read in conjunction with the audited financial statements and notes thereto included in the Annual Report on Form 10-K of Oshkosh Corporation for the year ended September 30, 2019. The interim results are not necessarily indicative of results for the full year. “Oshkosh” refers to Oshkosh Corporation not including its subsidiaries and “the Company” refers to Oshkosh Corporation and its subsidiaries. |
New Accounting Standards
New Accounting Standards | 6 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
New Accounting Standards | 2. New Accounting Standards In February 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-02, Leases (Topic 842) (Accounting Standards Codification (ASC) 840) The new standard provided a number of optional practical expedients for transition. The Company elected to adopt the standard using the package of practical expedients, which allowed the Company not to reassess prior conclusions about lease identification, lease classification and initial direct costs. In addition, the new guidance provides practical expedients for an entity’s ongoing lessee accounting. The Company has elected not to separate payments for lease components from payments for non-lease components for any classes of assets. The Company has elected the short-term lease recognition exemption for all leases that qualify, which means ROU assets and lease liabilities are not recognized for leases with an initial term of twelve months or less. The most significant quantitative effect of adoption relates to the recognition of ROU assets and lease liabilities on the balance sheet for operating leases. The adoption did not have a material impact on the Company’s results of operations or cash flows. The cumulative effect of initially applying the new leasing guidance to the Company’s Condensed Consolidated Financial Statements as of October 1, 2019 was as follows (in millions): Balance as of September 30, 2019 Cumulative Impact from Adopting New Lease Standard Balance as of October 1, 2019 Assets Other current assets $ 78.9 $ (0.5 ) $ 78.4 Total current assets 3,408.3 (0.5 ) 3,407.8 Other long-term assets 156.4 179.5 335.9 Total assets 5,566.3 179.0 5,745.3 Liabilities and Shareholders’ Equity Other current liabilities $ 307.3 $ 46.4 $ 353.7 Total current liabilities 1,741.9 46.4 1,788.3 Other long-term liabilities 405.6 132.6 538.2 Total liabilities and shareholders' equity 5,566.3 179.0 5,745.3 See Note 12 of the Notes to Condensed Consolidated Financial Statements for additional information regarding the Company’s accounting for leases. Standards not yet adopted In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350), Simplifying the Test for Goodwill Impairment In August 2018, the FASB issued ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740) , Simplifying the Accounting for Income Taxes . The standard simplifies the accounting for income taxes by removing certain exceptions to the general principles in ASC 740 such as recognizing deferred taxes for equity investments, the incremental approach to performing intraperiod tax allocation and calculating income taxes in interim periods . The standard also simplif ies accounting for income taxes under U.S. GAAP by clarifying and amending existing guidance , including the recognition of deferred taxes for goodwill , the a llocati on of taxes to members of a consolidated group and requiring that an entity reflect the effect of enacted changes in tax laws or rates in the annual effective tax rate computation in the interim period that includes the enactment date . The Company will be required to adopt ASU 2019-12 as of October 1, 2021. Early adoption is permitted. The Company is currently evaluating the impact of 2019-12 on the Company’s consolidated financial statements. |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Mar. 31, 2020 | |
Sales And Revenue Recognition [Abstract] | |
Revenue Recognition | 3. Revenue Recognition The defense segment recognizes revenue on its performance obligations that are satisfied over time by measuring progress using the cost-to-cost method of percentage-of-completion because it best depicts the transfer of control to the customer. Under the cost-to-cost method of percentage-of-completion, the defense segment measures progress based on the ratio of costs incurred to date to total estimated costs for the performance obligation. The Company recognizes changes in estimated sales or costs and the resulting profit or loss on a cumulative basis. Cumulative estimate-at-completion adjustments represent the cumulative effect of the changes on prior periods. If a loss is expected on a performance obligation, the complete estimated loss is recorded in the period in which the loss is identified. There is significant judgment involved in estimating sales and costs within the defense segment. Each contract is evaluated at contract inception to identify risks and estimate revenue and costs. In performing this evaluation, the defense segment considers risks of contract performance such as technical requirements, schedule, duration and key contract dependencies. These considerations are then factored into the Company’s estimated revenue and costs. Preliminary contract estimates are subject to change throughout the duration of the contract as additional information becomes available that impacts risks and estimated revenue and costs. In addition, as contract modifications (e.g., new orders) are received, the additional units are factored into the overall contract estimate of costs and transaction price. Contract adjustments resulted in increases within the defense segment as follows (in millions, except for per share amounts): Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Net sales $ 15.6 $ 18.0 $ 24.8 $ 49.6 Operating income 10.6 11.3 14.6 41.6 Net income 7.6 8.7 10.4 31.9 Diluted earnings per share $ 0.11 $ 0.13 $ 0.15 $ 0.45 Disaggregation of Revenue The table below presents consolidated net sales disaggregated by segment and timing of revenue recognition (in millions): Three Months Ended March 31, 2020 Access equipment Defense Fire & emergency Commercial Corporate and intersegment eliminations Total Point in time $ 670.8 $ 0.4 $ 242.9 $ 118.1 $ (4.3 ) $ 1,027.9 Over time 22.2 614.6 12.7 118.6 0.7 768.8 $ 693.0 $ 615.0 $ 255.6 $ 236.7 $ (3.6 ) $ 1,796.7 Three Months Ended March 31, 2019 Access equipment Defense Fire & emergency Commercial Corporate and intersegment eliminations Total Point in time $ 968.9 $ 1.4 $ 274.3 $ 148.1 $ (5.2 ) $ 1,387.5 Over time 18.7 485.3 8.9 89.8 — 602.7 $ 987.6 $ 486.7 $ 283.2 $ 237.9 $ (5.2 ) $ 1,990.2 Six Months Ended March 31, 2020 Access equipment Defense Fire & emergency Commercial Corporate and intersegment eliminations Total Point in time $ 1,366.1 $ 0.9 $ 494.9 $ 237.5 $ (7.4 ) $ 2,092.0 Over time 44.8 1,107.2 23.1 223.4 1.3 1,399.8 $ 1,410.9 $ 1,108.1 $ 518.0 $ 460.9 $ (6.1 ) $ 3,491.8 Six Months Ended March 31, 2019 Access equipment Defense Fire & emergency Commercial Corporate and intersegment eliminations Total Point in time $ 1,776.7 $ 1.7 $ 565.2 $ 269.3 $ (10.1 ) $ 2,602.8 Over time 37.4 949.1 13.5 190.8 — 1,190.8 $ 1,814.1 $ 950.8 $ 578.7 $ 460.1 $ (10.1 ) $ 3,793.6 See Note 20 of the Notes to Condensed Consolidated Financial Statements for further disaggregated sales information. Contract Assets and Contract Liabilities The Company is generally entitled to bill its customers upon satisfaction of its performance obligations, with the exception of its long-term contracts in the defense segment which typically allow for billing upon acceptance of the finished good, advance payments from customers primarily within the fire & emergency segment and extended warranties that are usually billed in advance of the warranty coverage period. Customer payment is usually received shortly after billing and payment terms generally do not exceed one year. With the exception of the fire & emergency segment, the Company’s contracts typically do not contain a significant financing component. In the fire & emergency segment, customers earn interest on customer advances at a rate determined in a separate financing transaction between the fire & emergency segment and the customer at contract inception. Interest due on customer advances of $4.0 million and $7.2 million was recorded in “Interest expense” in the Condensed Consolidated Statements of Income for the three and six months ended March 31, 2020, respectively, and $3.7 million and $7.3 million for the three and six months ended March 31, 2019, respectively. The timing of billing does not always match the timing of revenue recognition. In instances where a customer pays consideration in advance or when the Company is entitled to bill a customer in advance of recognizing the related revenue, the Company records a contract liability within “Customer advances”, “Other current liabilities” or “Other long-term liabilities” in the Condensed Consolidated Balance Sheet. Total contract liabilities were $701.0 million as of March 31, 2020, of which $593.0 million, $56.7 million and $51.3 million was included in “Customer advances”, “Other current liabilities” and “Other long-term liabilities”, respectively. Total contract liabilities were $512.5 million as of September 30, 2019, of which $382.0 million, $78.2 million and $52.3 million was included in “Customer advances”, “Other current liabilities” and “Other long-term liabilities”, respectively. The Company reduces contract liabilities when revenue is recognized. The Company recognized $117.7 million and $290.6 million of revenue that was recorded as a contract liability as of the beginning of the period during the three and six months ended March 31, 2020. The Company recognized $237.4 million and $473.4 million of revenue that was recorded as a contract liability as of the beginning of the period during the three and six months ended March 31, 2019. In instances where the Company recognizes revenue prior to having an unconditional right to payment, the Company records a contract asset within “Unbilled receivables, net” in the Condensed Consolidated Balance Sheet. The Company reduces contract assets when the Company has an unconditional right to payment. The Company periodically assesses its contract assets for impairment. Contract assets and liabilities are determined on a net basis for each contract. The Company did not record any impairment losses on contracts from customers during the three and six months ended March 31, 2020 and 2019, respectively. See Note 8 of the Notes to Condensed Consolidated Financial Statements for additional information on the Company’s receivable balances. The Company offers a variety of service-type warranties, including optionally priced extended warranty programs. Outstanding balances related to service-type warranties are included within contract liabilities disclosed above. Revenue related to service warranties is deferred until after the expiration of the standard warranty period. The revenue is then recognized in income over the term of the extended warranty period in proportion to the costs that are expected to be incurred. Changes in the Company’s service-type warranties were as follows (in millions): Six Months Ended March 31, 2020 2019 Balance at beginning of period $ 68.2 $ 30.7 Adoption of ASC 606 — 35.7 Deferred revenue for new service warranties 11.8 12.8 Amortization of deferred revenue (14.2 ) (12.5 ) Changes in liability for pre-existing warranties, net — 0.1 Foreign currency translation 0.1 (0.3 ) Balance at end of period $ 65.9 $ 66.5 Classification of service-type warranties in the Condensed Consolidated Balance Sheets consisted of the following (in millions): March 31, September 30, 2020 2019 Other current liabilities $ 26.4 $ 27.8 Other long-term liabilities 39.5 40.4 $ 65.9 $ 68.2 Remaining Performance Obligations As of March 31, 2020, the Company had unsatisfied performance obligations for contracts with an original duration greater than one year totaling $4.96 billion, of which $1.87 billion is expected to be satisfied and revenue recognized in the remaining six months of fiscal 2020, $2.71 billion is expected to be satisfied and revenue recognized in fiscal 2021 and $380.1 million is expected to be satisfied and revenue recognized beyond fiscal 2021. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Mar. 31, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | 4. Stock-Based Compensation In February 2017, the Company’s shareholders approved the 2017 Incentive Stock and Awards Plan (the “2017 Stock Plan”). The 2017 Stock Plan replaced the 2009 Incentive Stock and Awards Plan (as amended, the “2009 Stock Plan”). While no new awards will be granted under the 2009 Stock Plan, awards previously made under that plan that were outstanding as of the approval date of the 2017 Stock Plan will remain outstanding and continue to be governed by the provisions of that plan. At March 31, 2020, the Company had reserved 5,810,640 shares of Common Stock available for issuance to provide for the exercise of outstanding stock options and the issuance of Common Stock under incentive compensation awards, including awards issued prior to the effective date of the 2017 Stock Plan. The Company recognizes stock-based compensation expense over the requisite service period for vesting of an award, or to an employee’s eligible retirement date, if earlier and applicable. Total stock-based compensation expense, including cash-based liability awards, for the three and six months ended March 31, 2020 was $7.2 million ($6.4 million net of tax) and $17.9 million ($15.7 million net of tax), respectively. Total stock-based compensation expense, including cash-based liability awards, for the three and six months ended March 31, 2019 was $8.3 million ($6.7 million net of tax) and $15.9 million ($13.2 million net of tax), respectively. |
Employee Benefit Plans
Employee Benefit Plans | 6 Months Ended |
Mar. 31, 2020 | |
Defined Benefit Pension Plans And Defined Benefit Postretirement Plans Disclosure [Abstract] | |
Employee Benefit Plans | 5. Employee Benefit Plans Components of net periodic pension benefit cost were as follows (in millions): Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Components of net periodic benefit cost Service cost $ 2.6 $ 2.4 $ 5.1 $ 4.8 Interest cost 4.3 4.7 8.6 9.4 Expected return on plan assets (5.2 ) (5.0 ) (10.3 ) (10.0 ) Amortization of prior service cost (benefit) 0.4 0.5 0.8 0.9 Curtailment — 1.2 — 1.2 Amortization of net actuarial loss (gain) 0.8 0.1 1.6 0.1 Expenses paid 1.0 0.6 2.0 1.2 Net periodic benefit cost $ 3.9 $ 4.5 $ 7.8 $ 7.6 Components of net periodic other post-employment benefit cost were as follows (in millions): Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Components of net periodic benefit cost Service cost $ 0.8 $ 0.7 $ 1.7 $ 1.5 Interest cost 0.4 0.5 0.8 1.0 Amortization of prior service cost (benefit) (0.3 ) (0.3 ) (0.5 ) (0.7 ) Amortization of net actuarial loss (gain) — — (0.1 ) (0.1 ) Net periodic benefit cost $ 0.9 $ 0.9 $ 1.9 $ 1.7 Components of net periodic benefit cost other than “Service cost” and “Expenses paid” are included in “Miscellaneous, net” in the Condensed Consolidated Statements of Income. Administrative expense for the three and six months ended March 31, 2019, which was previously included in “Service cost”, is now reported in “Expenses paid” to improve the comparability between the periods. |
Income Taxes
Income Taxes | 6 Months Ended |
Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 6. Income Taxes The Company recorded income tax expense of $38.3 million for the three months ended March 31, 2020, or 35.8% of pre-tax income, compared to $36.2 million, or 21.9% of pre-tax income, for the three months ended March 31, 2019. Results for the three months ended March 31, 2020 were unfavorably impacted by $11.1 million of net discrete tax charges, including an $11.4 million charge related to a valuation allowance recorded against certain foreign net deferred tax assets in Europe and a $1.2 million benefit related to employee stock-based compensation payments. Results for the three months ended March 31, 2019 were favorably impacted by $0.2 million of net discrete tax benefits, including a $1.5 million benefit related to receiving tax incentives in a foreign jurisdiction and a $1.3 million charge related to remeasuring deferred tax assets and liabilities in response to a corporate tax rate change in a foreign jurisdiction. The Company recorded income tax expense of $59.0 million for the six months ended March 31, 2020, or 28.9% of pre-tax income, compared to $75.9 million, or 24.3% of pre-tax income, for the six months ended March 31, 2019. Results for the six months ended March 31, 2020 were unfavorably impacted by $10.0 million of net discrete tax charges, including an $11.4 million charge related to a valuation allowance recorded against certain foreign net deferred tax assets in Europe and a $2.7 million benefit related to employee stock-based compensation payments. Results for the six months ended March 31, 2019 were unfavorably impacted by $7.1 million of net discrete tax charges, including $6.2 million of tax charges related to uncertain tax position reserves, a $1.5 million benefit related to receiving tax incentives in a foreign jurisdiction, a $1.3 million charge related to remeasuring deferred tax assets and liabilities in response to a corporate tax rate change in a foreign jurisdiction and a $0.8 million charge related to adjustments to the repatriation tax required under the U.S. Tax Cuts and Jobs Act. The Company’s liability for gross unrecognized tax benefits, excluding related interest and penalties, was $106.5 million and $97.3 million as of March 31, 2020 and September 30, 2019, respectively. As of March 31, 2020, net unrecognized tax benefits, excluding interest and penalties, of $21.7 million would affect the Company’s net income if recognized. The Company recognizes accrued interest and penalties, if any, related to unrecognized tax benefits in the “Provision for income taxes” in the Condensed Consolidated Statements of Income. During the six months ended March 31, 2020 and 2019, the Company recognized a benefit of $0.7 million and expense of $0.6 million, respectively, related to interest and penalties. At March 31, 2020, the Company had accruals for the payment of interest and penalties of $5.1 million. During the next twelve months, it is reasonably possible that federal, state and foreign tax audit resolutions could reduce net unrecognized tax benefits by approximately $7.3 million because the Company’s tax positions are sustained on audit, the Company agrees to their disallowance or the statutes of limitations close. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 7. Earnings Per Share The reconciliation of basic weighted-average shares outstanding to diluted weighted-average shares outstanding was as follows: Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Basic weighted-average common shares outstanding 68,281,213 70,042,761 68,189,216 70,761,437 Dilutive stock options and other equity-based compensation awards 590,811 714,033 717,059 675,685 Diluted weighted-average common shares outstanding 68,872,024 70,756,794 68,906,275 71,437,122 Options not included in the computation of diluted earnings per share attributable to common shareholders because they would have been anti-dilutive were as follows: Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Stock options 511,881 608,698 514,069 775,894 |
Receivables
Receivables | 6 Months Ended |
Mar. 31, 2020 | |
Receivables [Abstract] | |
Receivables | 8. Receivables Receivables consisted of the following (in millions): March 31, 2020 September 30, 2019 Trade receivables - U.S. government $ 129.9 $ 61.8 Trade receivables - other 717.2 997.7 Finance receivables 45.2 13.1 Notes receivable — 0.4 Other receivables 31.9 32.0 924.2 1,105.0 Less allowance for doubtful accounts (13.0 ) (11.3 ) $ 911.2 $ 1,093.7 Classification of receivables in the Condensed Consolidated Balance Sheets consisted of the following (in millions): March 31, 2020 September 30, 2019 Current receivables $ 873.8 $ 1,082.3 Long-term receivables 37.4 11.4 $ 911.2 $ 1,093.7 Changes in the Company’s allowance for doubtful accounts by type of receivable were as follows (in millions): Three Months Ended March 31, 2020 Three Months Ended March 31, 2019 Finance Receivables Notes Receivable Trade and Other Receivables Total Finance Receivables Notes Receivable Trade and Other Receivables Total Allowance at beginning of period $ 2.0 $ 0.4 $ 7.3 $ 9.7 $ 2.7 $ — $ 7.8 $ 10.5 Provision for doubtful accounts, net of recoveries 1.1 — 2.8 3.9 (0.3 ) — 1.1 0.8 Charge-off of accounts — (0.4 ) (0.2 ) (0.6 ) — — (0.1 ) (0.1 ) Allowance at end of period $ 3.1 $ — $ 9.9 $ 13.0 $ 2.4 $ — $ 8.8 $ 11.2 Six Months Ended March 31, 2020 Six Months Ended March 31, 2019 Finance Receivables Notes Receivable Trade and Other Receivables Total Finance Receivables Notes Receivable Trade and Other Receivables Total Allowance at beginning of period $ 2.2 $ 0.4 $ 8.7 $ 11.3 $ 2.8 $ — $ 7.1 $ 9.9 Provision for doubtful accounts, net of recoveries 0.9 — 1.4 2.3 (0.4 ) — 1.8 1.4 Charge-off of accounts — (0.4 ) (0.2 ) (0.6 ) — — (0.1 ) (0.1 ) Allowance at end of period $ 3.1 $ — $ 9.9 $ 13.0 $ 2.4 $ — $ 8.8 $ 11.2 |
Inventories
Inventories | 6 Months Ended |
Mar. 31, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | 9. Inventories Inventories consisted of the following (in millions): March 31, 2020 September 30, 2019 Raw materials $ 724.6 $ 676.0 Partially finished products 330.5 244.2 Finished products 708.0 433.0 Inventories at FIFO cost 1,763.1 1,353.2 Less: Excess of FIFO cost over LIFO cost (107.2 ) (104.0 ) $ 1,655.9 $ 1,249.2 |
Property, Plant and Equipment
Property, Plant and Equipment | 6 Months Ended |
Mar. 31, 2020 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment | 10. Property, Plant and Equipment Property, plant and equipment consisted of the following (in millions): March 31, 2020 September 30, 2019 Land and land improvements $ 62.8 $ 55.8 Buildings 363.5 325.8 Machinery and equipment 718.7 701.0 Software and related costs 165.8 181.2 Equipment on operating lease to others 20.0 39.5 Construction in progress 25.6 57.6 1,356.4 1,360.9 Less accumulated depreciation (804.7 ) (787.3 ) $ 551.7 $ 573.6 Depreciation expense was $20.4 million and $18.7 million for the three months ended March 31, 2020 and 2019, respectively. Depreciation expense was $40.7 million and $37.8 million for the six months ended March 31, 2020 and 2019, respectively. Capitalized interest was insignificant for all reported periods. Equipment on operating lease to others represents the cost of equipment shipped to customers for whom the Company has guaranteed the residual value and equipment on short-term leases. These transactions are accounted for as operating leases with the related assets capitalized and depreciated over their estimated economic lives of five to ten years. Cost less accumulated depreciation for equipment on operating lease at March 31, 2020 and September 30, 2019 was $17.9 million and $31.3 million, respectively. |
Goodwill and Purchased Intangib
Goodwill and Purchased Intangible Assets | 6 Months Ended |
Mar. 31, 2020 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Purchased Intangible Assets | 11. Goodwill and Purchased Intangible Assets Goodwill and other indefinite-lived intangible assets are not amortized but are reviewed for impairment annually or more frequently if potential interim indicators exist that could result in impairment. The Company performs its annual impairment test in the fourth quarter of its fiscal year. The following table presents changes in goodwill during the six months ended March 31, 2020 (in millions): Access equipment Fire & emergency Commercial Total Net goodwill at September 30, 2019 $ 868.8 $ 106.1 $ 20.8 $ 995.7 Foreign currency translation 0.3 — (0.1 ) 0.2 Net goodwill at March 31, 2020 $ 869.1 $ 106.1 $ 20.7 $ 995.9 The following table presents details of the Company’s goodwill allocated to the reportable segments (in millions): March 31, 2020 September 30, 2019 Gross Accumulated Impairment Net Gross Accumulated Impairment Net Access equipment $ 1,801.2 $ (932.1 ) $ 869.1 $ 1,800.9 $ (932.1 ) $ 868.8 Fire & emergency 108.1 (2.0 ) 106.1 108.1 (2.0 ) 106.1 Commercial 196.6 (175.9 ) 20.7 196.7 (175.9 ) 20.8 $ 2,105.9 $ (1,110.0 ) $ 995.9 $ 2,105.7 $ (1,110.0 ) $ 995.7 Details of the Company’s total purchased intangible assets are as follows (in millions): March 31, 2020 Weighted- Average Life (in years) Gross Accumulated Amortization Net Amortizable intangible assets: Distribution network 39.1 $ 55.4 $ (33.1 ) $ 22.3 Technology-related 11.9 104.7 (102.9 ) 1.8 Customer relationships 12.8 554.8 (544.0 ) 10.8 Other 16.1 16.4 (15.0 ) 1.4 14.7 731.3 (695.0 ) 36.3 Non-amortizable trade names 387.6 — 387.6 $ 1,118.9 $ (695.0 ) $ 423.9 September 30, 2019 Weighted- Average Life (in years) Gross Accumulated Amortization Net Amortizable intangible assets: Distribution network 39.1 $ 55.4 $ (32.3 ) $ 23.1 Technology-related 11.9 104.7 (102.6 ) 2.1 Customer relationships 12.8 554.8 (536.8 ) 18.0 Other 16.1 16.3 (14.9 ) 1.4 14.7 731.2 (686.6 ) 44.6 Non-amortizable trade names 387.7 — 387.7 $ 1,118.9 $ (686.6 ) $ 432.3 The estimated future amortization expense of purchased intangible assets for the remainder of fiscal 2020 and the five years succeeding September 30, 2020 are as follows: 2020 (remaining six months) - $2.7 million; 2021 - $5.3 million; 2022 - $4.9 million; 2023 - $3.5 million; 2024 - $1.7 million; and 2025 - $1.5 million. |
Leases
Leases | 6 Months Ended |
Mar. 31, 2020 | |
Leases [Abstract] | |
Leases | 1 2 . Leases The Company leases certain real estate, information technology equipment, warehouse equipment, vehicles and other equipment almost exclusively through operating leases. The Company determines whether an arrangement contains a lease at inception. A lease liability and corresponding ROU asset are recognized for qualifying leased assets based on the present value of fixed and certain index based lease payments at lease commencement. Variable payments, which are generally determined based on the usage rate of the underlying asset, are excluded from the present value of lease payments and are recognized in the period in which the payment is made. To determine the present value of lease payments, the Company uses the stated interest rate in the lease, when available, or more commonly a secured incremental borrowing rate that reflects risk, term and economic environment in which the lease is denominated. The incremental borrowing rate is determined using a portfolio approach based on the current rate of interest that the Company would have to pay to borrow an amount equal to the lease payments on a collateralized basis over a similar term. The Company has elected not to separate payments for lease components from payments for non-lease components in contracts that contain both components. Lease agreements may include options to extend or terminate the lease. Those options that are reasonably certain of exercise at lease commencement have been included in the term of the lease used to recognize the ROU assets and lease liabilities. The lease term of the Company’s real estate and equipment leases extend up to 29 years and 16 years, respectively. The Company has elected not to recognize ROU assets or lease liabilities for leases with a term of twelve months or less. Expense is recognized on a straight-line basis over the lease term for operating leases. The Company’s finance leases are not significant. The components of lease costs were as follows (in millions): Three Months Ended March 31, 2020 Six Months Ended March 31, 2020 Operating lease cost $ 15.0 $ 28.8 Variable lease cost 4.7 8.5 Short-term lease cost 0.7 1.8 Supplemental information related to operating leases was as follows (in millions): Balance Sheet Classification March 31, 2020 Operating leases Lease ROU assets Other long-term assets $ 177.3 Current lease liabilities Other current liabilities 48.9 Long-term lease liabilities Other long-term liabilities 131.2 Weighted average remaining lease term 6 years Weighted average discount rates 3.0 % The table below presents the ROU asset balance for operating leases disaggregated by segment and type of lease (in millions): March 31, 2020 Access equipment Defense Fire & emergency Commercial Corporate and intersegment eliminations Total Real estate leases $ 76.1 $ 29.8 $ 7.7 $ 20.2 $ 8.5 $ 142.3 Equipment leases 9.0 5.4 2.9 2.7 15.0 35.0 $ 85.1 $ 35.2 $ 10.6 $ 22.9 $ 23.5 $ 177.3 Maturities of operating lease liabilities at March 31, 2020 and minimum payments for operating leases (under ASC 842) having initial or remaining non-cancelable terms in excess of one year were as follows (in millions): Amounts due in Remaining six months of 2020 $ 27.2 2021 46.5 2022 33.1 2023 24.8 2024 16.6 2025 12.5 Thereafter 35.3 Total lease payments 196.0 Less: imputed interest (15.9 ) Present value of lease liability $ 180.1 At September 30, 2019, future minimum operating lease payments (under ASC 840) were as follows (in millions): Amounts due in 2020 $ 34.0 2021 26.7 2022 15.9 2023 11.3 2024 7.1 Thereafter 11.7 |
Credit Agreements
Credit Agreements | 6 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Credit Agreements | 13. The Company was obligated under the following debt instruments (in millions): March 31, 2020 Principal Debt Issuance Costs Debt, Net Senior Term Loan $ 225.0 $ (0.4 ) $ 224.6 4.600% Senior Notes due May 2028 300.0 (3.2 ) 296.8 3.100% Senior Notes due March 2030 300.0 (4.0 ) 296.0 $ 825.0 $ (7.6 ) $ 817.4 Other short-term debt $ 4.9 September 30, 2019 Principal Debt Issuance Costs Debt, Net Senior Term Loan $ 275.0 $ (0.6 ) $ 274.4 5.375% Senior Notes due March 2025 250.0 (2.0 ) 248.0 4.600% Senior Notes due May 2028 300.0 (3.4 ) 296.6 $ 825.0 $ (6.0 ) $ 819.0 On April 3, 2018, the Company entered into a Second Amended and Restated Credit Agreement with various lenders (the “Credit Agreement”). The Credit Agreement provides for (i) an unsecured revolving credit facility (the “Revolving Credit Facility”) that matures in April 2023 with an initial maximum aggregate amount of availability of $850 million and (ii) an unsecured $325 million term loan (the “Term Loan”) due in quarterly principal installments of $4.1 million commencing September 30, 2019 with a balloon payment of $264.1 million due at maturity in April 2023. The Company has prepaid all required quarterly principal installments and $39.1 million of the balloon payment on the Term Loan. At March 31, 2020, outstanding letters of credit of $62.2 million reduced available capacity under the Revolving Credit Facility to $787.8 million. Under the Credit Agreement, the Company is obligated to pay (i) an unused commitment fee ranging from 0.125% to 0.275% per annum of the average daily unused portion of the aggregate revolving credit commitments under the Credit Agreement and (ii) a fee ranging from 0.563% to 1.75% per annum of the maximum amount available to be drawn for each letter of credit issued and outstanding under the Credit Agreement. Borrowings under the Credit Agreement bear interest at a variable rate equal to (i) LIBOR plus a specified margin, which may be adjusted upward or downward depending on whether certain criteria are satisfied, or (ii) for dollar-denominated loans only, the base rate (which is the highest of (a) the administrative agent’s prime rate, (b) the federal funds rate plus 0.50% or (c) the sum of 1% plus one-month LIBOR) plus a specified margin, which may be adjusted upward or downward depending on whether certain criteria are satisfied. At March 31, 2020, the interest spread on the Revolving Credit Facility and Term Loan was 125 basis points. The weighted-average interest rate on borrowings outstanding under the Term Loan at March 31, 2020 was 2.24%. The Credit Agreement contains various restrictions and covenants, including requirements that the Company maintain certain financial ratios at prescribed levels and restrictions, subject to certain exceptions, on the ability of the Company and certain of its subsidiaries to consolidate or merge, create liens, incur additional indebtedness, and dispose of substantially all assets. The Credit Agreement contains the following financial covenants: • Leverage Ratio: A maximum leverage ratio (defined as, with certain adjustments, the ratio of the Company’s consolidated indebtedness to consolidated net income before interest, taxes, depreciation, amortization, non-cash charges and certain other items (EBITDA)) as of the last day of any fiscal quarter of 3.75 to 1.00. • Interest Coverage Ratio: A minimum interest coverage ratio (defined as, with certain adjustments, the ratio of the Company’s consolidated EBITDA to the Company’s consolidated cash interest expense) as of the last day of any fiscal quarter of 2.50 to 1.00. The Company was in compliance with the financial covenants contained in the Credit Agreement as of March 31, 2020. In March 2015, the Company issued $250.0 million of 5.375% unsecured senior notes due March 1, 2025 (the “2025 Senior Notes”). In May 2018, the Company issued $300.0 million of 4.600% unsecured senior notes due May 15, 2028 (the “2028 Senior Notes”). The Company used the net proceeds from the sale of the 2028 Senior Notes to repay certain outstanding notes of the Company and to pre-pay $49.2 million of quarterly principal installment payments under the Term Loan. On February 26, 2020, the Company issued $300.0 million of 3.100% unsecured senior notes due March 1, 2030 (the “2030 Senior Notes”) at a discount of $1.2 million. The Company used a portion of the net proceeds from the sale of the 2030 Senior Notes to redeem all of the outstanding 2025 Senior Notes. The Company used the remaining net proceeds to pre-pay all outstanding future quarterly principal installments, as well as pay down a portion of the balloon payment due at maturity on the Term Loan. The Company recognized approximately $8.5 million of expense associated with the Senior Notes transaction, comprised of unamortized debt issuance costs and call premium costs on the 2025 Senior Notes. Expenses related to the transaction are included in interest expense. Additionally, approximately $2.9 million of debt issuance costs were capitalized to long-term debt in connection with the transaction. The 2028 Senior Notes and the 2030 Senior Notes were issued pursuant to an indenture (the “Indenture”) between the Company and a trustee. The Indenture contains customary affirmative and negative covenants. The Company has the option to redeem the 2028 and 2030 Senior Notes at any time for a premium. In September 2019, the Company entered into a 220.0 million Chinese renminbi uncommitted line of credit to provide short-term finance support to operations in China. There was 35.0 million Chinese renminbi ($4.9 million) outstanding on the uncommitted line of credit at March 31, 2020. The line of credit carries a variable interest rate that is set by the lender, which was 3.5% at March 31, 2020. The fair value of the long-term debt is estimated based upon Level 2 inputs to reflect market rate of the Company’s debt. At March 31, 2020, the fair value of the 2028 Senior Notes and the 2030 Senior Notes was estimated to be $288 million ($322 million at September 30, 2019) and $295 million, respectively. The fair value of the Term Loan approximated book value at both March 31, 2020 and September 30, 2019. See Note 19 of the Notes to Condensed Consolidated Financial Statements for the definition of a Level 2 input. |
Warranties
Warranties | 6 Months Ended |
Mar. 31, 2020 | |
Product Warranties Disclosures [Abstract] | |
Warranties | 1 4 . Warranties The Company’s products generally carry explicit warranties that extend from six months to five years, based on terms that are generally accepted in the marketplace. Selected components (such as engines, transmissions, tires, etc.) included in the Company’s end products may include manufacturers’ warranties. These manufacturers’ warranties are generally passed on to the end customer of the Company’s products, and the customer would generally deal directly with the component manufacturer. Provisions for estimated warranty and other related costs are recorded at the time of sale and are periodically adjusted to reflect actual experience. Certain warranty and other related claims involve matters of dispute that ultimately are resolved by negotiation, arbitration or litigation. At times, warranty issues arise that are beyond the scope of the Company’s historical experience. It is reasonably possible that additional warranty and other related claims could arise from disputes or other matters in excess of amounts accrued; however, the Company does not expect that any such amounts, while not determinable, would have a material effect on the Company’s consolidated financial condition, results of operations or cash flows. Changes in the Company’s assurance-type warranty liability were as follows (in millions): Six Months Ended March 31, 2020 2019 Balance at beginning of period $ 65.1 $ 75.3 Adoption of ASC 606 — (14.3 ) Warranty provisions 21.0 21.2 Settlements made (26.1 ) (22.8 ) Changes in liability for pre-existing warranties, net 5.2 (0.3 ) Foreign currency translation — (0.2 ) Balance at end of period $ 65.2 $ 58.9 Due to the adoption of ASC 606, the Company determined that certain warranties previously classified as assurance-type warranties are service-type warranties. The liabilities associated with service-type warranties are disclosed in Note 3 of the Notes to Condensed Consolidated Financial Statements. |
Guarantee Arrangements
Guarantee Arrangements | 6 Months Ended |
Mar. 31, 2020 | |
Guarantees [Abstract] | |
Guarantee Arrangements | 1 5 . Guarantee Arrangements Customers of the Company, from time to time, may fund purchases of the Company’s equipment through third-party finance companies. In certain instances, the Company may be requested to provide support for these arrangements through credit or residual value guarantees, by which the Company agrees to make payments to the finance companies in certain circumstances as further described below. Credit Guarantees: The Company is party to multiple agreements whereby at March 31, 2020 the Company guaranteed an aggregate of $775.5 million in indebtedness of customers. The Company estimated that its maximum loss exposure under these contracts at March 31, 2020 was $152.5 million. Terms of these guarantees coincide with the financing arranged by the customer and generally do not exceed five years. Under the terms of these agreements and upon the occurrence of certain events, the Company generally has the ability to, among other things, take possession of the underlying collateral. If the financial condition of the customers were to deteriorate and result in their inability to make payments, then loss provisions in excess of amounts provided for at inception may be required. Given the Company’s position as original equipment manufacturer and its knowledge of end markets, the Company, when called upon to fulfill a guarantee, generally has been able to liquidate the financed equipment at a minimal loss, if any, to the Company. While the Company does not expect to experience losses under these agreements that are materially in excess of the amounts reserved, it cannot provide any assurance that the financial condition of the third parties will not deteriorate resulting in the third parties’ inability to meet their obligations. In the event that this occurs, the Company cannot guarantee that the collateral underlying the agreements will be sufficient to avoid losses materially in excess of the amounts reserved. Any losses under these guarantees would generally be mitigated by the value of any underlying collateral, including financed equipment. During periods of economic weakness, collateral values generally decline and can contribute to higher exposure to losses. Residual Value Guarantees: The Company is party to multiple agreements whereby at March 31, 2020 the Company guaranteed to support an aggregate of $92.3 million of customer equipment value. The Company estimated that its maximum loss exposure under these contracts at March 31, 2020 was $12.1 million. Terms of these guarantees coincide with the financing arranged by the customer and generally do not exceed five years. Under the terms of these agreements, the Company guarantees that a piece of equipment will have a minimum residual value at a future date. If the counterparty is not able to recover the agreed upon residual value through sale, or alternative disposition, the Company is responsible for a portion of the shortfall. The Company is generally able to mitigate a portion of the risk associated with these guarantees by staggering the maturity terms of the guarantees, diversification of the portfolio and leveraging knowledge gained through the Company’s own experience in the used equipment markets. There can be no assurance the Company’s historical experience in used equipment markets will be indicative of future results. The Company’s ability to recover losses experienced from its guarantees may be affected by economic conditions in used equipment markets at the time of loss. During periods of economic weakness, residual values generally decline and can contribute to higher exposure to losses. Changes in the Company’s guarantee liabilities were as follows (in millions): Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Balance at beginning of period $ 16.0 $ 10.1 $ 15.8 $ 10.4 Provision for new credit guarantees 1.7 3.1 3.2 4.4 Changes for pre-existing guarantees, net 1.4 1.0 1.4 0.1 Amortization of previous guarantees (2.8 ) (1.3 ) (4.2 ) (2.0 ) Foreign currency translation (0.1 ) — — — Balance at end of period $ 16.2 $ 12.9 $ 16.2 $ 12.9 |
Contingencies, Significant Esti
Contingencies, Significant Estimates and Concentrations | 6 Months Ended |
Mar. 31, 2020 | |
Commitments And Contingencies Disclosure [Abstract] | |
Contingencies, Significant Estimates and Concentrations | 1 6 . Contingencies, Significant Estimates and Concentrations Personal Injury Actions and Other - Product and general liability claims are made against the Company from time to time in the ordinary course of business. The Company is generally self-insured for future claims up to $5.0 million per claim. Accordingly, a reserve is maintained for the estimated costs of such claims. At March 31, 2020 and September 30, 2019, the estimated net liabilities for product and general liability claims totaled $40.0 million and $36.2 million, respectively. There is inherent uncertainty as to the eventual resolution of unsettled claims. Management, however, believes that any losses in excess of established reserves will not have a material effect on the Company’s financial condition, results of operations or cash flows. Market Risks - The Company was contingently liable under bid, performance and specialty bonds totaling $795.2 million and $552.2 million at March 31, 2020 and September 30, 2019, respectively. Open standby letters of credit issued by the Company’s banks in favor of third parties totaled $66.4 million and $63.7 million at March 31, 2020 and September 30, 2019, respectively. Other Matters - The Company is subject to environmental matters and legal proceedings and claims, including patent, antitrust, product liability, warranty and state dealership regulation compliance proceedings, that arise in the ordinary course of business. Although the final results of all such matters and claims cannot be predicted with certainty, management believes that the ultimate resolution of all such matters and claims will not have a material effect on the Company’s financial condition, results of operations or cash flows. Actual results could vary, among other things, due to the uncertainties involved in litigation. Major contracts for military systems are performed over extended periods of time and are subject to changes in scope of work and delivery schedules. Pricing negotiations on changes and settlement of claims often extend over prolonged periods of time. The Company’s ultimate profitability on such contracts may depend on the eventual outcome of an equitable settlement of contractual issues with the Company’s customers. |
Shareholders' Equity
Shareholders' Equity | 6 Months Ended |
Mar. 31, 2020 | |
Stockholders Equity Note [Abstract] | |
Shareholders' Equity | 1 7 . Shareholders ’ In August 2015, the Company’s Board of Directors approved a stock repurchase authorization for which there was as of May 7, 2019 a remaining authority to repurchase 1,362,821 shares of Common Stock. On May 7, 2019, the Company’s Board of Directors increased the Company’s Common Stock repurchase authorization by 8,637,179 shares to 10,000,000 shares as of that date. The Company repurchased 550,853 shares of its Common Stock under this authorization during the six months ended March 31, 2020 at a cost of $40.8 million. The Company repurchased 2,876,713 shares of Common Stock under this authorization during the six months ended March 31, 2019 at a cost of $195.0 million. As of March 31, 2020, the Company had repurchased 2,540,672 shares under this authorization, resulting in remaining authority to repurchase 7,459,328 shares of Common Stock. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 6 Months Ended |
Mar. 31, 2020 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | 1 8 . Accumulated Other Comprehensive Income (Loss) Changes in accumulated other comprehensive income (loss) by component were as follows (in millions): Three Months Ended March 31, 2020 Employee Pension and Postretirement Benefits, Net of Tax Cumulative Translation Adjustments Derivative Instruments, Net of Tax Accumulated Other Comprehensive Income (Loss) Balance at beginning of period $ (68.7 ) $ (113.0 ) $ (0.2 ) $ (181.9 ) Other comprehensive income (loss) before reclassifications — (28.4 ) 0.7 (27.7 ) Amounts reclassified from accumulated other comprehensive income (loss) 0.7 — — 0.7 Net current period other comprehensive income (loss) 0.7 (28.4 ) 0.7 (27.0 ) Balance at end of period $ (68.0 ) $ (141.4 ) $ 0.5 $ (208.9 ) Three Months Ended March 31, 2019 Employee Pension and Postretirement Benefits, Net of Tax Cumulative Translation Adjustments Derivative Instruments, Net of Tax Accumulated Other Comprehensive Income (Loss) Balance at beginning of period $ (20.0 ) $ (105.0 ) $ 0.3 $ (124.7 ) Other comprehensive income (loss) before reclassifications (3.9 ) (6.9 ) (0.2 ) (11.0 ) Amounts reclassified from accumulated other comprehensive income (loss) 0.1 — — 0.1 Net current period other comprehensive income (loss) (3.8 ) (6.9 ) (0.2 ) (10.9 ) Balance at end of period $ (23.8 ) $ (111.9 ) $ 0.1 $ (135.6 ) Six Months Ended March 31, 2020 Employee Pension and Postretirement Benefits, Net of Tax Cumulative Translation Adjustments Derivative Instruments, Net of Tax Accumulated Other Comprehensive Income (Loss) Balance at beginning of period $ (69.4 ) $ (132.5 ) $ 0.3 $ (201.6 ) Other comprehensive income (loss) before reclassifications — (8.9 ) 0.2 (8.7 ) Amounts reclassified from accumulated other comprehensive income (loss) 1.4 — — 1.4 Net current period other comprehensive income (loss) 1.4 (8.9 ) 0.2 (7.3 ) Balance at end of period $ (68.0 ) $ (141.4 ) $ 0.5 $ (208.9 ) Six Months Ended March 31, 2019 Employee Pension and Postretirement Benefits, Net of Tax Cumulative Translation Adjustments Derivative Instruments, Net of Tax Accumulated Other Comprehensive Income (Loss) Balance at September 30, 2018 $ (10.9 ) $ (96.2 ) $ 0.3 $ (106.8 ) Tax impact of U.S. tax reform on Accumulated Other Comprehensive Income (ASU 2018-02) (9.1 ) — — (9.1 ) Balance at beginning of period (20.0 ) (96.2 ) 0.3 (115.9 ) Other comprehensive income (loss) before reclassifications (3.9 ) (15.7 ) (0.2 ) (19.8 ) Amounts reclassified from accumulated other comprehensive income (loss) 0.1 — — 0.1 Net current period other comprehensive income (loss) (3.8 ) (15.7 ) (0.2 ) (19.7 ) Balance at end of period $ (23.8 ) $ (111.9 ) $ 0.1 $ (135.6 ) The effects of the reclassifications out of Accumulated other comprehensive income (loss) on the Condensed Consolidated Statements of Income were as follows (in millions): Classification of income (expense) Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Amortization of employee pension and postretirement benefits items Prior service costs Miscellaneous, net $ 0.1 $ 0.2 $ 0.3 $ 0.2 Actuarial (gains) losses Miscellaneous, net 0.8 0.1 1.5 — Total before tax 0.9 0.3 1.8 0.2 Tax provision (benefit) (0.2 ) (0.2 ) (0.4 ) (0.1 ) Net of tax $ 0.7 $ 0.1 $ 1.4 $ 0.1 |
Fair Value Measurement
Fair Value Measurement | 6 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | 1 9 . Fair Value Measurement FASB ASC Topic 820, Fair Value Measurements and Disclosures The three levels are defined as follows: Level 1: Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2: Observable inputs other than quoted prices in active markets for identical assets or liabilities, such as quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets. Level 3: Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability. There were no transfers of assets between levels during the three and six months ended March 31, 2020. The fair values of the Company’s financial assets and liabilities were as follows (in millions): Level 1 Level 2 Level 3 Total March 31, 2020 Assets: SERP plan assets (a) $ 18.7 $ — $ — $ 18.7 Foreign currency exchange derivatives (b) — 1.2 — 1.2 Liabilities: Foreign currency exchange derivatives (b) $ — $ 0.8 $ — $ 0.8 Level 1 Level 2 Level 3 Total September 30, 2019 Assets: SERP plan assets (a) $ 21.4 $ — $ — $ 21.4 Foreign currency exchange derivatives (b) — 0.8 — 0.8 Liabilities: Foreign currency exchange derivatives (b) $ — $ 0.4 $ — $ 0.4 (a) Represents investments held in a rabbi trust for the Company’s non-qualified supplemental executive retirement plan (SERP). The fair values of these investments are determined using a market approach. Investments include mutual funds for which quoted prices in active markets are available. The Company records changes in the fair value of investments in “Miscellaneous, net” in the Condensed Consolidated Statements of Income. (b) Based on observable market transactions of forward currency prices. |
Business Segment Information
Business Segment Information | 6 Months Ended |
Mar. 31, 2020 | |
Segment Reporting [Abstract] | |
Business Segment Information | 20 . Business Segment Information The Company is organized into four reportable segments based on the internal organization used by the President and Chief Executive Officer for making operating decisions and measuring performance and based on the similarity of customers served, common management, common use of facilities and economic results attained. In accordance with FASB ASC Topic 280, Segment Reporting Selected financial information concerning the Company’s reportable segments and product lines is as follows (in millions): Three Months Ended March 31, 2020 2019 External Customers Inter- segment Net Sales External Customers Inter- segment Net Sales Access equipment Aerial work platforms $ 273.7 $ — $ 273.7 $ 463.5 $ — $ 463.5 Telehandlers 217.6 — 217.6 319.5 — 319.5 Other 201.7 — 201.7 204.6 — 204.6 Total access equipment 693.0 — 693.0 987.6 — 987.6 Defense 614.6 0.4 615.0 486.2 0.5 486.7 Fire & emergency 253.4 2.2 255.6 279.0 4.2 283.2 Commercial Concrete placement 89.7 — 89.7 115.3 — 115.3 Refuse collection 115.2 — 115.2 92.0 — 92.0 Other 30.1 1.7 31.8 29.8 0.8 30.6 Total commercial 235.0 1.7 236.7 237.1 0.8 237.9 Corporate and intersegment eliminations 0.7 (4.3 ) (3.6 ) 0.3 (5.5 ) (5.2 ) Consolidated $ 1,796.7 $ — $ 1,796.7 $ 1,990.2 $ — $ 1,990.2 Six Months Ended March 31, 2020 2019 External Customers Inter- segment Net Sales External Customers Inter- segment Net Sales Access equipment Aerial work platforms $ 579.7 $ — $ 579.7 $ 801.2 $ — $ 801.2 Telehandlers 419.0 — 419.0 589.0 — 589.0 Other 412.2 — 412.2 423.9 — 423.9 Total access equipment 1,410.9 — 1,410.9 1,814.1 — 1,814.1 Defense 1,107.2 0.9 1,108.1 950.0 0.8 950.8 Fire & emergency 513.4 4.6 518.0 570.2 8.5 578.7 Commercial Concrete placement 165.4 — 165.4 197.0 — 197.0 Refuse collection 231.1 — 231.1 201.2 — 201.2 Other 62.4 2.0 64.4 60.5 1.4 61.9 Total commercial 458.9 2.0 460.9 458.7 1.4 460.1 Corporate and intersegment eliminations 1.4 (7.5 ) (6.1 ) 0.6 (10.7 ) (10.1 ) Consolidated $ 3,491.8 $ — $ 3,491.8 $ 3,793.6 $ — $ 3,793.6 Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Operating income (loss): Access equipment $ 70.8 $ 119.8 $ 139.8 $ 186.2 Defense 58.2 52.2 89.1 123.3 Fire & emergency 20.5 36.6 51.5 76.5 Commercial 8.1 7.8 25.9 26.5 Corporate (24.0 ) (40.8 ) (63.6 ) (76.4 ) Consolidated 133.6 175.6 242.7 336.1 Interest expense, net of interest income (20.7 ) (11.7 ) (32.5 ) (23.2 ) Miscellaneous other (expense) income (5.8 ) 1.2 (6.2 ) — Income before income taxes and earnings (losses) of unconsolidated affiliates $ 107.1 $ 165.1 $ 204.0 $ 312.9 March 31, 2020 September 30, 2019 Identifiable assets: Access equipment: U.S. $ 2,320.1 $ 2,317.2 Europe, Africa and Middle East 383.6 403.4 Rest of the World (b) 344.4 252.6 Total access equipment 3,048.1 2,973.2 Defense: U.S. 1,015.4 883.0 Rest of the World 6.0 6.7 Total defense 1,021.4 889.7 Fire & emergency - U.S. 610.3 587.9 Commercial: U.S. 436.9 383.6 Rest of the World 40.8 48.9 Total commercial 477.7 432.5 Corporate: U.S. (a) 704.4 597.6 Rest of the World (b) — 85.4 Total corporate 704.4 683.0 Consolidated $ 5,861.9 $ 5,566.3 (a) Primarily includes cash and short-term investments and the Company’s new global headquarters. (b) Control of a shared manufacturing facility in Mexico transferred to the access equipment segment effective October 1, 2019. The following table presents net sales by geographic region based on product shipment destination (in millions): Three Months Ended March 31, 2020 Access equipment Defense Fire & emergency Commercial Eliminations Total Net sales: North America $ 553.9 $ 596.0 $ 247.6 $ 234.0 $ (3.6 ) $ 1,627.9 Europe, Africa and Middle East 84.7 17.7 0.3 0.6 — 103.3 Rest of the World 54.4 1.3 7.7 2.1 — 65.5 $ 693.0 $ 615.0 $ 255.6 $ 236.7 $ (3.6 ) $ 1,796.7 Three Months Ended March 31, 2019 Access equipment Defense Fire & emergency Commercial Eliminations Total Net sales: North America $ 724.0 $ 465.6 $ 274.0 $ 230.1 $ (5.3 ) $ 1,688.4 Europe, Africa and Middle East 163.2 21.0 0.9 0.3 — 185.4 Rest of the World 100.4 0.1 8.3 7.5 0.1 116.4 $ 987.6 $ 486.7 $ 283.2 $ 237.9 $ (5.2 ) $ 1,990.2 Six Months Ended March 31, 2020 Access equipment Defense Fire & emergency Commercial Eliminations Total Net sales: North America $ 1,101.0 $ 1,081.5 $ 491.5 $ 452.8 $ (6.1 ) $ 3,120.7 Europe, Africa and Middle East 158.9 23.8 0.7 0.9 — 184.3 Rest of the World 151.0 2.8 25.8 7.2 — 186.8 $ 1,410.9 $ 1,108.1 $ 518.0 $ 460.9 $ (6.1 ) $ 3,491.8 Six Months Ended March 31, 2019 Access equipment Defense Fire & emergency Commercial Eliminations Total Net sales: North America $ 1,370.2 $ 913.8 $ 547.0 $ 447.7 $ (10.1 ) $ 3,268.6 Europe, Africa and Middle East 276.9 36.9 11.9 2.2 — 327.9 Rest of the World 167.0 0.1 19.8 10.2 — 197.1 $ 1,814.1 $ 950.8 $ 578.7 $ 460.1 $ (10.1 ) $ 3,793.6 |
New Accounting Standards (Polic
New Accounting Standards (Policies) | 6 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
New Accounting Standards | New Accounting Standards In February 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-02, Leases (Topic 842) (Accounting Standards Codification (ASC) 840) The new standard provided a number of optional practical expedients for transition. The Company elected to adopt the standard using the package of practical expedients, which allowed the Company not to reassess prior conclusions about lease identification, lease classification and initial direct costs. In addition, the new guidance provides practical expedients for an entity’s ongoing lessee accounting. The Company has elected not to separate payments for lease components from payments for non-lease components for any classes of assets. The Company has elected the short-term lease recognition exemption for all leases that qualify, which means ROU assets and lease liabilities are not recognized for leases with an initial term of twelve months or less. The most significant quantitative effect of adoption relates to the recognition of ROU assets and lease liabilities on the balance sheet for operating leases. The adoption did not have a material impact on the Company’s results of operations or cash flows. The cumulative effect of initially applying the new leasing guidance to the Company’s Condensed Consolidated Financial Statements as of October 1, 2019 was as follows (in millions): Balance as of September 30, 2019 Cumulative Impact from Adopting New Lease Standard Balance as of October 1, 2019 Assets Other current assets $ 78.9 $ (0.5 ) $ 78.4 Total current assets 3,408.3 (0.5 ) 3,407.8 Other long-term assets 156.4 179.5 335.9 Total assets 5,566.3 179.0 5,745.3 Liabilities and Shareholders’ Equity Other current liabilities $ 307.3 $ 46.4 $ 353.7 Total current liabilities 1,741.9 46.4 1,788.3 Other long-term liabilities 405.6 132.6 538.2 Total liabilities and shareholders' equity 5,566.3 179.0 5,745.3 See Note 12 of the Notes to Condensed Consolidated Financial Statements for additional information regarding the Company’s accounting for leases. Standards not yet adopted In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350), Simplifying the Test for Goodwill Impairment In August 2018, the FASB issued ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740) , Simplifying the Accounting for Income Taxes . The standard simplifies the accounting for income taxes by removing certain exceptions to the general principles in ASC 740 such as recognizing deferred taxes for equity investments, the incremental approach to performing intraperiod tax allocation and calculating income taxes in interim periods . The standard also simplif ies accounting for income taxes under U.S. GAAP by clarifying and amending existing guidance , including the recognition of deferred taxes for goodwill , the a llocati on of taxes to members of a consolidated group and requiring that an entity reflect the effect of enacted changes in tax laws or rates in the annual effective tax rate computation in the interim period that includes the enactment date . The Company will be required to adopt ASU 2019-12 as of October 1, 2021. Early adoption is permitted. The Company is currently evaluating the impact of 2019-12 on the Company’s consolidated financial statements. |
New Accounting Standards (Table
New Accounting Standards (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Accounting Standards Update 2016-02 | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |
Schedule of Effect of New Leasing Guidance to Condensed Consolidated Financial Statements | The cumulative effect of initially applying the new leasing guidance to the Company’s Condensed Consolidated Financial Statements as of October 1, 2019 was as follows (in millions): Balance as of September 30, 2019 Cumulative Impact from Adopting New Lease Standard Balance as of October 1, 2019 Assets Other current assets $ 78.9 $ (0.5 ) $ 78.4 Total current assets 3,408.3 (0.5 ) 3,407.8 Other long-term assets 156.4 179.5 335.9 Total assets 5,566.3 179.0 5,745.3 Liabilities and Shareholders’ Equity Other current liabilities $ 307.3 $ 46.4 $ 353.7 Total current liabilities 1,741.9 46.4 1,788.3 Other long-term liabilities 405.6 132.6 538.2 Total liabilities and shareholders' equity 5,566.3 179.0 5,745.3 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Sales And Revenue Recognition [Abstract] | |
Schedule of Increase Within Defense Segment Due to Contract Adjustments | Contract adjustments resulted in increases within the defense segment as follows (in millions, except for per share amounts): |
Disaggregation of Revenue | The table below presents consolidated net sales disaggregated by segment and timing of revenue recognition (in millions): Three Months Ended March 31, 2020 Access equipment Defense Fire & emergency Commercial Corporate and intersegment eliminations Total Point in time $ 670.8 $ 0.4 $ 242.9 $ 118.1 $ (4.3 ) $ 1,027.9 Over time 22.2 614.6 12.7 118.6 0.7 768.8 $ 693.0 $ 615.0 $ 255.6 $ 236.7 $ (3.6 ) $ 1,796.7 Three Months Ended March 31, 2019 Access equipment Defense Fire & emergency Commercial Corporate and intersegment eliminations Total Point in time $ 968.9 $ 1.4 $ 274.3 $ 148.1 $ (5.2 ) $ 1,387.5 Over time 18.7 485.3 8.9 89.8 — 602.7 $ 987.6 $ 486.7 $ 283.2 $ 237.9 $ (5.2 ) $ 1,990.2 Six Months Ended March 31, 2020 Access equipment Defense Fire & emergency Commercial Corporate and intersegment eliminations Total Point in time $ 1,366.1 $ 0.9 $ 494.9 $ 237.5 $ (7.4 ) $ 2,092.0 Over time 44.8 1,107.2 23.1 223.4 1.3 1,399.8 $ 1,410.9 $ 1,108.1 $ 518.0 $ 460.9 $ (6.1 ) $ 3,491.8 Six Months Ended March 31, 2019 Access equipment Defense Fire & emergency Commercial Corporate and intersegment eliminations Total Point in time $ 1,776.7 $ 1.7 $ 565.2 $ 269.3 $ (10.1 ) $ 2,602.8 Over time 37.4 949.1 13.5 190.8 — 1,190.8 $ 1,814.1 $ 950.8 $ 578.7 $ 460.1 $ (10.1 ) $ 3,793.6 |
Schedule of Changes in Warranty Liability and Unearned Extended Warranty Premiums | Changes in the Company’s service-type warranties were as follows (in millions): Six Months Ended March 31, 2020 2019 Balance at beginning of period $ 68.2 $ 30.7 Adoption of ASC 606 — 35.7 Deferred revenue for new service warranties 11.8 12.8 Amortization of deferred revenue (14.2 ) (12.5 ) Changes in liability for pre-existing warranties, net — 0.1 Foreign currency translation 0.1 (0.3 ) Balance at end of period $ 65.9 $ 66.5 Changes in the Company’s assurance-type warranty liability were as follows (in millions): Six Months Ended March 31, 2020 2019 Balance at beginning of period $ 65.1 $ 75.3 Adoption of ASC 606 — (14.3 ) Warranty provisions 21.0 21.2 Settlements made (26.1 ) (22.8 ) Changes in liability for pre-existing warranties, net 5.2 (0.3 ) Foreign currency translation — (0.2 ) Balance at end of period $ 65.2 $ 58.9 |
Schedule of Classification of Service-type Warranties in Consolidated Balance Sheets | Classification of service-type warranties in the Condensed Consolidated Balance Sheets consisted of the following (in millions): March 31, September 30, 2020 2019 Other current liabilities $ 26.4 $ 27.8 Other long-term liabilities 39.5 40.4 $ 65.9 $ 68.2 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Defined Benefit Pension Plans And Defined Benefit Postretirement Plans Disclosure [Abstract] | |
Schedule of Net Periodic Benefit Cost | Components of net periodic pension benefit cost were as follows (in millions): Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Components of net periodic benefit cost Service cost $ 2.6 $ 2.4 $ 5.1 $ 4.8 Interest cost 4.3 4.7 8.6 9.4 Expected return on plan assets (5.2 ) (5.0 ) (10.3 ) (10.0 ) Amortization of prior service cost (benefit) 0.4 0.5 0.8 0.9 Curtailment — 1.2 — 1.2 Amortization of net actuarial loss (gain) 0.8 0.1 1.6 0.1 Expenses paid 1.0 0.6 2.0 1.2 Net periodic benefit cost $ 3.9 $ 4.5 $ 7.8 $ 7.6 Components of net periodic other post-employment benefit cost were as follows (in millions): Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Components of net periodic benefit cost Service cost $ 0.8 $ 0.7 $ 1.7 $ 1.5 Interest cost 0.4 0.5 0.8 1.0 Amortization of prior service cost (benefit) (0.3 ) (0.3 ) (0.5 ) (0.7 ) Amortization of net actuarial loss (gain) — — (0.1 ) (0.1 ) Net periodic benefit cost $ 0.9 $ 0.9 $ 1.9 $ 1.7 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The reconciliation of basic weighted-average shares outstanding to diluted weighted-average shares outstanding was as follows: Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Basic weighted-average common shares outstanding 68,281,213 70,042,761 68,189,216 70,761,437 Dilutive stock options and other equity-based compensation awards 590,811 714,033 717,059 675,685 Diluted weighted-average common shares outstanding 68,872,024 70,756,794 68,906,275 71,437,122 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | Options not included in the computation of diluted earnings per share attributable to common shareholders because they would have been anti-dilutive were as follows: Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Stock options 511,881 608,698 514,069 775,894 |
Receivables (Tables)
Receivables (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Receivables [Abstract] | |
Schedule of Receivables | Receivables consisted of the following (in millions): March 31, 2020 September 30, 2019 Trade receivables - U.S. government $ 129.9 $ 61.8 Trade receivables - other 717.2 997.7 Finance receivables 45.2 13.1 Notes receivable — 0.4 Other receivables 31.9 32.0 924.2 1,105.0 Less allowance for doubtful accounts (13.0 ) (11.3 ) $ 911.2 $ 1,093.7 |
Classification of Receivables in the Condensed Consolidated Balance Sheets | Classification of receivables in the Condensed Consolidated Balance Sheets consisted of the following (in millions): March 31, 2020 September 30, 2019 Current receivables $ 873.8 $ 1,082.3 Long-term receivables 37.4 11.4 $ 911.2 $ 1,093.7 |
Schedule of Allowance for Doubtful Accounts | Changes in the Company’s allowance for doubtful accounts by type of receivable were as follows (in millions): Three Months Ended March 31, 2020 Three Months Ended March 31, 2019 Finance Receivables Notes Receivable Trade and Other Receivables Total Finance Receivables Notes Receivable Trade and Other Receivables Total Allowance at beginning of period $ 2.0 $ 0.4 $ 7.3 $ 9.7 $ 2.7 $ — $ 7.8 $ 10.5 Provision for doubtful accounts, net of recoveries 1.1 — 2.8 3.9 (0.3 ) — 1.1 0.8 Charge-off of accounts — (0.4 ) (0.2 ) (0.6 ) — — (0.1 ) (0.1 ) Allowance at end of period $ 3.1 $ — $ 9.9 $ 13.0 $ 2.4 $ — $ 8.8 $ 11.2 Six Months Ended March 31, 2020 Six Months Ended March 31, 2019 Finance Receivables Notes Receivable Trade and Other Receivables Total Finance Receivables Notes Receivable Trade and Other Receivables Total Allowance at beginning of period $ 2.2 $ 0.4 $ 8.7 $ 11.3 $ 2.8 $ — $ 7.1 $ 9.9 Provision for doubtful accounts, net of recoveries 0.9 — 1.4 2.3 (0.4 ) — 1.8 1.4 Charge-off of accounts — (0.4 ) (0.2 ) (0.6 ) — — (0.1 ) (0.1 ) Allowance at end of period $ 3.1 $ — $ 9.9 $ 13.0 $ 2.4 $ — $ 8.8 $ 11.2 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories consisted of the following (in millions): March 31, 2020 September 30, 2019 Raw materials $ 724.6 $ 676.0 Partially finished products 330.5 244.2 Finished products 708.0 433.0 Inventories at FIFO cost 1,763.1 1,353.2 Less: Excess of FIFO cost over LIFO cost (107.2 ) (104.0 ) $ 1,655.9 $ 1,249.2 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Property Plant And Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | Property, plant and equipment consisted of the following (in millions): March 31, 2020 September 30, 2019 Land and land improvements $ 62.8 $ 55.8 Buildings 363.5 325.8 Machinery and equipment 718.7 701.0 Software and related costs 165.8 181.2 Equipment on operating lease to others 20.0 39.5 Construction in progress 25.6 57.6 1,356.4 1,360.9 Less accumulated depreciation (804.7 ) (787.3 ) $ 551.7 $ 573.6 |
Goodwill and Purchased Intang_2
Goodwill and Purchased Intangible Assets (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Schedule of Changes in Goodwill | The following table presents changes in goodwill during the six months ended March 31, 2020 (in millions): Access equipment Fire & emergency Commercial Total Net goodwill at September 30, 2019 $ 868.8 $ 106.1 $ 20.8 $ 995.7 Foreign currency translation 0.3 — (0.1 ) 0.2 Net goodwill at March 31, 2020 $ 869.1 $ 106.1 $ 20.7 $ 995.9 |
Schedule of Company's Goodwill Allocated to the Reportable Segments | The following table presents details of the Company’s goodwill allocated to the reportable segments (in millions): March 31, 2020 September 30, 2019 Gross Accumulated Impairment Net Gross Accumulated Impairment Net Access equipment $ 1,801.2 $ (932.1 ) $ 869.1 $ 1,800.9 $ (932.1 ) $ 868.8 Fire & emergency 108.1 (2.0 ) 106.1 108.1 (2.0 ) 106.1 Commercial 196.6 (175.9 ) 20.7 196.7 (175.9 ) 20.8 $ 2,105.9 $ (1,110.0 ) $ 995.9 $ 2,105.7 $ (1,110.0 ) $ 995.7 |
Schedule of Purchased Intangible Assets | Details of the Company’s total purchased intangible assets are as follows (in millions): March 31, 2020 Weighted- Average Life (in years) Gross Accumulated Amortization Net Amortizable intangible assets: Distribution network 39.1 $ 55.4 $ (33.1 ) $ 22.3 Technology-related 11.9 104.7 (102.9 ) 1.8 Customer relationships 12.8 554.8 (544.0 ) 10.8 Other 16.1 16.4 (15.0 ) 1.4 14.7 731.3 (695.0 ) 36.3 Non-amortizable trade names 387.6 — 387.6 $ 1,118.9 $ (695.0 ) $ 423.9 September 30, 2019 Weighted- Average Life (in years) Gross Accumulated Amortization Net Amortizable intangible assets: Distribution network 39.1 $ 55.4 $ (32.3 ) $ 23.1 Technology-related 11.9 104.7 (102.6 ) 2.1 Customer relationships 12.8 554.8 (536.8 ) 18.0 Other 16.1 16.3 (14.9 ) 1.4 14.7 731.2 (686.6 ) 44.6 Non-amortizable trade names 387.7 — 387.7 $ 1,118.9 $ (686.6 ) $ 432.3 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Leases [Abstract] | |
Components of Lease Costs | The components of lease costs were as follows (in millions): Three Months Ended March 31, 2020 Six Months Ended March 31, 2020 Operating lease cost $ 15.0 $ 28.8 Variable lease cost 4.7 8.5 Short-term lease cost 0.7 1.8 |
Summary of Supplemental Information Related to Operating Leases | Supplemental information related to operating leases was as follows (in millions): Balance Sheet Classification March 31, 2020 Operating leases Lease ROU assets Other long-term assets $ 177.3 Current lease liabilities Other current liabilities 48.9 Long-term lease liabilities Other long-term liabilities 131.2 Weighted average remaining lease term 6 years Weighted average discount rates 3.0 % |
Summary Right of Use Assets Balance for Operating Leases by Segment | The table below presents the ROU asset balance for operating leases disaggregated by segment and type of lease (in millions): March 31, 2020 Access equipment Defense Fire & emergency Commercial Corporate and intersegment eliminations Total Real estate leases $ 76.1 $ 29.8 $ 7.7 $ 20.2 $ 8.5 $ 142.3 Equipment leases 9.0 5.4 2.9 2.7 15.0 35.0 $ 85.1 $ 35.2 $ 10.6 $ 22.9 $ 23.5 $ 177.3 |
Schedule of Maturities and Minimum Payments of Operating Lease Liabilities | Maturities of operating lease liabilities at March 31, 2020 and minimum payments for operating leases (under ASC 842) having initial or remaining non-cancelable terms in excess of one year were as follows (in millions): Amounts due in Remaining six months of 2020 $ 27.2 2021 46.5 2022 33.1 2023 24.8 2024 16.6 2025 12.5 Thereafter 35.3 Total lease payments 196.0 Less: imputed interest (15.9 ) Present value of lease liability $ 180.1 |
Schedule of Operating Leases Future Minimum Payments | At September 30, 2019, future minimum operating lease payments (under ASC 840) were as follows (in millions): Amounts due in 2020 $ 34.0 2021 26.7 2022 15.9 2023 11.3 2024 7.1 Thereafter 11.7 |
Credit Agreements (Tables)
Credit Agreements (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Debt Instruments | The Company was obligated under the following debt instruments (in millions): March 31, 2020 Principal Debt Issuance Costs Debt, Net Senior Term Loan $ 225.0 $ (0.4 ) $ 224.6 4.600% Senior Notes due May 2028 300.0 (3.2 ) 296.8 3.100% Senior Notes due March 2030 300.0 (4.0 ) 296.0 $ 825.0 $ (7.6 ) $ 817.4 Other short-term debt $ 4.9 September 30, 2019 Principal Debt Issuance Costs Debt, Net Senior Term Loan $ 275.0 $ (0.6 ) $ 274.4 5.375% Senior Notes due March 2025 250.0 (2.0 ) 248.0 4.600% Senior Notes due May 2028 300.0 (3.4 ) 296.6 $ 825.0 $ (6.0 ) $ 819.0 |
Warranties (Tables)
Warranties (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Product Warranties Disclosures [Abstract] | |
Schedule of Changes in Warranty Liability and Unearned Extended Warranty Premiums | Changes in the Company’s service-type warranties were as follows (in millions): Six Months Ended March 31, 2020 2019 Balance at beginning of period $ 68.2 $ 30.7 Adoption of ASC 606 — 35.7 Deferred revenue for new service warranties 11.8 12.8 Amortization of deferred revenue (14.2 ) (12.5 ) Changes in liability for pre-existing warranties, net — 0.1 Foreign currency translation 0.1 (0.3 ) Balance at end of period $ 65.9 $ 66.5 Changes in the Company’s assurance-type warranty liability were as follows (in millions): Six Months Ended March 31, 2020 2019 Balance at beginning of period $ 65.1 $ 75.3 Adoption of ASC 606 — (14.3 ) Warranty provisions 21.0 21.2 Settlements made (26.1 ) (22.8 ) Changes in liability for pre-existing warranties, net 5.2 (0.3 ) Foreign currency translation — (0.2 ) Balance at end of period $ 65.2 $ 58.9 |
Guarantee Arrangements (Tables)
Guarantee Arrangements (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Guarantees [Abstract] | |
Schedule of Provision for Losses on Customer Guarantees | Changes in the Company’s guarantee liabilities were as follows (in millions): Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Balance at beginning of period $ 16.0 $ 10.1 $ 15.8 $ 10.4 Provision for new credit guarantees 1.7 3.1 3.2 4.4 Changes for pre-existing guarantees, net 1.4 1.0 1.4 0.1 Amortization of previous guarantees (2.8 ) (1.3 ) (4.2 ) (2.0 ) Foreign currency translation (0.1 ) — — — Balance at end of period $ 16.2 $ 12.9 $ 16.2 $ 12.9 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Schedule of Changes in Accumulated Other Comprehensive Income (Loss) by Component | Changes in accumulated other comprehensive income (loss) by component were as follows (in millions): Three Months Ended March 31, 2020 Employee Pension and Postretirement Benefits, Net of Tax Cumulative Translation Adjustments Derivative Instruments, Net of Tax Accumulated Other Comprehensive Income (Loss) Balance at beginning of period $ (68.7 ) $ (113.0 ) $ (0.2 ) $ (181.9 ) Other comprehensive income (loss) before reclassifications — (28.4 ) 0.7 (27.7 ) Amounts reclassified from accumulated other comprehensive income (loss) 0.7 — — 0.7 Net current period other comprehensive income (loss) 0.7 (28.4 ) 0.7 (27.0 ) Balance at end of period $ (68.0 ) $ (141.4 ) $ 0.5 $ (208.9 ) Three Months Ended March 31, 2019 Employee Pension and Postretirement Benefits, Net of Tax Cumulative Translation Adjustments Derivative Instruments, Net of Tax Accumulated Other Comprehensive Income (Loss) Balance at beginning of period $ (20.0 ) $ (105.0 ) $ 0.3 $ (124.7 ) Other comprehensive income (loss) before reclassifications (3.9 ) (6.9 ) (0.2 ) (11.0 ) Amounts reclassified from accumulated other comprehensive income (loss) 0.1 — — 0.1 Net current period other comprehensive income (loss) (3.8 ) (6.9 ) (0.2 ) (10.9 ) Balance at end of period $ (23.8 ) $ (111.9 ) $ 0.1 $ (135.6 ) Six Months Ended March 31, 2020 Employee Pension and Postretirement Benefits, Net of Tax Cumulative Translation Adjustments Derivative Instruments, Net of Tax Accumulated Other Comprehensive Income (Loss) Balance at beginning of period $ (69.4 ) $ (132.5 ) $ 0.3 $ (201.6 ) Other comprehensive income (loss) before reclassifications — (8.9 ) 0.2 (8.7 ) Amounts reclassified from accumulated other comprehensive income (loss) 1.4 — — 1.4 Net current period other comprehensive income (loss) 1.4 (8.9 ) 0.2 (7.3 ) Balance at end of period $ (68.0 ) $ (141.4 ) $ 0.5 $ (208.9 ) Six Months Ended March 31, 2019 Employee Pension and Postretirement Benefits, Net of Tax Cumulative Translation Adjustments Derivative Instruments, Net of Tax Accumulated Other Comprehensive Income (Loss) Balance at September 30, 2018 $ (10.9 ) $ (96.2 ) $ 0.3 $ (106.8 ) Tax impact of U.S. tax reform on Accumulated Other Comprehensive Income (ASU 2018-02) (9.1 ) — — (9.1 ) Balance at beginning of period (20.0 ) (96.2 ) 0.3 (115.9 ) Other comprehensive income (loss) before reclassifications (3.9 ) (15.7 ) (0.2 ) (19.8 ) Amounts reclassified from accumulated other comprehensive income (loss) 0.1 — — 0.1 Net current period other comprehensive income (loss) (3.8 ) (15.7 ) (0.2 ) (19.7 ) Balance at end of period $ (23.8 ) $ (111.9 ) $ 0.1 $ (135.6 ) |
Schedule of Reclassifications Out of Accumulated Other Comprehensive Income (Loss) on Condensed Consolidated Statements of Income | The effects of the reclassifications out of Accumulated other comprehensive income (loss) on the Condensed Consolidated Statements of Income were as follows (in millions): Classification of income (expense) Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Amortization of employee pension and postretirement benefits items Prior service costs Miscellaneous, net $ 0.1 $ 0.2 $ 0.3 $ 0.2 Actuarial (gains) losses Miscellaneous, net 0.8 0.1 1.5 — Total before tax 0.9 0.3 1.8 0.2 Tax provision (benefit) (0.2 ) (0.2 ) (0.4 ) (0.1 ) Net of tax $ 0.7 $ 0.1 $ 1.4 $ 0.1 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Values of Financial Assets and Liabilities | The fair values of the Company’s financial assets and liabilities were as follows (in millions): Level 1 Level 2 Level 3 Total March 31, 2020 Assets: SERP plan assets (a) $ 18.7 $ — $ — $ 18.7 Foreign currency exchange derivatives (b) — 1.2 — 1.2 Liabilities: Foreign currency exchange derivatives (b) $ — $ 0.8 $ — $ 0.8 Level 1 Level 2 Level 3 Total September 30, 2019 Assets: SERP plan assets (a) $ 21.4 $ — $ — $ 21.4 Foreign currency exchange derivatives (b) — 0.8 — 0.8 Liabilities: Foreign currency exchange derivatives (b) $ — $ 0.4 $ — $ 0.4 (a) Represents investments held in a rabbi trust for the Company’s non-qualified supplemental executive retirement plan (SERP). The fair values of these investments are determined using a market approach. Investments include mutual funds for which quoted prices in active markets are available. The Company records changes in the fair value of investments in “Miscellaneous, net” in the Condensed Consolidated Statements of Income. (b) Based on observable market transactions of forward currency prices. |
Business Segment Information (T
Business Segment Information (Tables) | 6 Months Ended |
Mar. 31, 2020 | |
Segment Reporting [Abstract] | |
Schedule of Net Sales by Product Lines and Reportable Segments | Selected financial information concerning the Company’s reportable segments and product lines is as follows (in millions): Three Months Ended March 31, 2020 2019 External Customers Inter- segment Net Sales External Customers Inter- segment Net Sales Access equipment Aerial work platforms $ 273.7 $ — $ 273.7 $ 463.5 $ — $ 463.5 Telehandlers 217.6 — 217.6 319.5 — 319.5 Other 201.7 — 201.7 204.6 — 204.6 Total access equipment 693.0 — 693.0 987.6 — 987.6 Defense 614.6 0.4 615.0 486.2 0.5 486.7 Fire & emergency 253.4 2.2 255.6 279.0 4.2 283.2 Commercial Concrete placement 89.7 — 89.7 115.3 — 115.3 Refuse collection 115.2 — 115.2 92.0 — 92.0 Other 30.1 1.7 31.8 29.8 0.8 30.6 Total commercial 235.0 1.7 236.7 237.1 0.8 237.9 Corporate and intersegment eliminations 0.7 (4.3 ) (3.6 ) 0.3 (5.5 ) (5.2 ) Consolidated $ 1,796.7 $ — $ 1,796.7 $ 1,990.2 $ — $ 1,990.2 Six Months Ended March 31, 2020 2019 External Customers Inter- segment Net Sales External Customers Inter- segment Net Sales Access equipment Aerial work platforms $ 579.7 $ — $ 579.7 $ 801.2 $ — $ 801.2 Telehandlers 419.0 — 419.0 589.0 — 589.0 Other 412.2 — 412.2 423.9 — 423.9 Total access equipment 1,410.9 — 1,410.9 1,814.1 — 1,814.1 Defense 1,107.2 0.9 1,108.1 950.0 0.8 950.8 Fire & emergency 513.4 4.6 518.0 570.2 8.5 578.7 Commercial Concrete placement 165.4 — 165.4 197.0 — 197.0 Refuse collection 231.1 — 231.1 201.2 — 201.2 Other 62.4 2.0 64.4 60.5 1.4 61.9 Total commercial 458.9 2.0 460.9 458.7 1.4 460.1 Corporate and intersegment eliminations 1.4 (7.5 ) (6.1 ) 0.6 (10.7 ) (10.1 ) Consolidated $ 3,491.8 $ — $ 3,491.8 $ 3,793.6 $ — $ 3,793.6 |
Schedule of Income (Loss) from Continuing Operations by Product Lines and Reportable Segments | Three Months Ended March 31, Six Months Ended March 31, 2020 2019 2020 2019 Operating income (loss): Access equipment $ 70.8 $ 119.8 $ 139.8 $ 186.2 Defense 58.2 52.2 89.1 123.3 Fire & emergency 20.5 36.6 51.5 76.5 Commercial 8.1 7.8 25.9 26.5 Corporate (24.0 ) (40.8 ) (63.6 ) (76.4 ) Consolidated 133.6 175.6 242.7 336.1 Interest expense, net of interest income (20.7 ) (11.7 ) (32.5 ) (23.2 ) Miscellaneous other (expense) income (5.8 ) 1.2 (6.2 ) — Income before income taxes and earnings (losses) of unconsolidated affiliates $ 107.1 $ 165.1 $ 204.0 $ 312.9 |
Schedule of Identifiable Assets by Business Segments and by Geographical Areas | March 31, 2020 September 30, 2019 Identifiable assets: Access equipment: U.S. $ 2,320.1 $ 2,317.2 Europe, Africa and Middle East 383.6 403.4 Rest of the World (b) 344.4 252.6 Total access equipment 3,048.1 2,973.2 Defense: U.S. 1,015.4 883.0 Rest of the World 6.0 6.7 Total defense 1,021.4 889.7 Fire & emergency - U.S. 610.3 587.9 Commercial: U.S. 436.9 383.6 Rest of the World 40.8 48.9 Total commercial 477.7 432.5 Corporate: U.S. (a) 704.4 597.6 Rest of the World (b) — 85.4 Total corporate 704.4 683.0 Consolidated $ 5,861.9 $ 5,566.3 (a) Primarily includes cash and short-term investments and the Company’s new global headquarters. (b) Control of a shared manufacturing facility in Mexico transferred to the access equipment segment effective October 1, 2019. |
Schedule of Net Sales by Geographical Areas | The following table presents net sales by geographic region based on product shipment destination (in millions): Three Months Ended March 31, 2020 Access equipment Defense Fire & emergency Commercial Eliminations Total Net sales: North America $ 553.9 $ 596.0 $ 247.6 $ 234.0 $ (3.6 ) $ 1,627.9 Europe, Africa and Middle East 84.7 17.7 0.3 0.6 — 103.3 Rest of the World 54.4 1.3 7.7 2.1 — 65.5 $ 693.0 $ 615.0 $ 255.6 $ 236.7 $ (3.6 ) $ 1,796.7 Three Months Ended March 31, 2019 Access equipment Defense Fire & emergency Commercial Eliminations Total Net sales: North America $ 724.0 $ 465.6 $ 274.0 $ 230.1 $ (5.3 ) $ 1,688.4 Europe, Africa and Middle East 163.2 21.0 0.9 0.3 — 185.4 Rest of the World 100.4 0.1 8.3 7.5 0.1 116.4 $ 987.6 $ 486.7 $ 283.2 $ 237.9 $ (5.2 ) $ 1,990.2 Six Months Ended March 31, 2020 Access equipment Defense Fire & emergency Commercial Eliminations Total Net sales: North America $ 1,101.0 $ 1,081.5 $ 491.5 $ 452.8 $ (6.1 ) $ 3,120.7 Europe, Africa and Middle East 158.9 23.8 0.7 0.9 — 184.3 Rest of the World 151.0 2.8 25.8 7.2 — 186.8 $ 1,410.9 $ 1,108.1 $ 518.0 $ 460.9 $ (6.1 ) $ 3,491.8 Six Months Ended March 31, 2019 Access equipment Defense Fire & emergency Commercial Eliminations Total Net sales: North America $ 1,370.2 $ 913.8 $ 547.0 $ 447.7 $ (10.1 ) $ 3,268.6 Europe, Africa and Middle East 276.9 36.9 11.9 2.2 — 327.9 Rest of the World 167.0 0.1 19.8 10.2 — 197.1 $ 1,814.1 $ 950.8 $ 578.7 $ 460.1 $ (10.1 ) $ 3,793.6 |
New Accounting Standards - Sche
New Accounting Standards - Schedule of Effect of New Leasing Guidance to Condensed Consolidated Financial Statements (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Oct. 01, 2019 | Sep. 30, 2019 |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Other current assets | $ 93.9 | $ 78.9 | |
Total current assets | 3,533.6 | 3,408.3 | |
Other long-term assets | 356.8 | 156.4 | |
Total assets | 5,861.9 | 5,566.3 | |
Other current liabilities | 332.1 | 307.3 | |
Total current liabilities | 1,805 | 1,741.9 | |
Other long-term liabilities | 550.5 | 405.6 | |
Total liabilities and shareholders' equity | $ 5,861.9 | $ 5,566.3 | |
Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Other current assets | $ 78.4 | ||
Total current assets | 3,407.8 | ||
Other long-term assets | 335.9 | ||
Total assets | 5,745.3 | ||
Other current liabilities | 353.7 | ||
Total current liabilities | 1,788.3 | ||
Other long-term liabilities | 538.2 | ||
Total liabilities and shareholders' equity | 5,745.3 | ||
Accounting Standards Update 2016-02 | Impact of New Lease Standard | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Other current assets | (0.5) | ||
Total current assets | (0.5) | ||
Other long-term assets | 179.5 | ||
Total assets | 179 | ||
Other current liabilities | 46.4 | ||
Total current liabilities | 46.4 | ||
Other long-term liabilities | 132.6 | ||
Total liabilities and shareholders' equity | $ 179 |
Revenue Recognition - Schedule
Revenue Recognition - Schedule of Increase Within Defense Segment Due to Contract Adjustments (Details) - Defense - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ 15.6 | $ 18 | $ 24.8 | $ 49.6 |
Operating income | 10.6 | 11.3 | 14.6 | 41.6 |
Net income | $ 7.6 | $ 8.7 | $ 10.4 | $ 31.9 |
Diluted earnings per share | $ 0.11 | $ 0.13 | $ 0.15 | $ 0.45 |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ 1,796.7 | $ 1,990.2 | $ 3,491.8 | $ 3,793.6 |
Intersegment Eliminations | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | (3.6) | (5.2) | (6.1) | (10.1) |
Transferred at Point in Time | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 1,027.9 | 1,387.5 | 2,092 | 2,602.8 |
Transferred at Point in Time | Intersegment Eliminations | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | (4.3) | (5.2) | (7.4) | (10.1) |
Transferred over Time | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 768.8 | 602.7 | 1,399.8 | 1,190.8 |
Transferred over Time | Intersegment Eliminations | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 0.7 | 1.3 | ||
Access Equipment | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 693 | 987.6 | 1,410.9 | 1,814.1 |
Access Equipment | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 693 | 987.6 | 1,410.9 | 1,814.1 |
Access Equipment | Transferred at Point in Time | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 670.8 | 968.9 | 1,366.1 | 1,776.7 |
Access Equipment | Transferred over Time | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 22.2 | 18.7 | 44.8 | 37.4 |
Defense | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 614.6 | 486.2 | 1,107.2 | 950 |
Defense | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 615 | 486.7 | 1,108.1 | 950.8 |
Defense | Intersegment Eliminations | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 0.4 | 0.5 | 0.9 | 0.8 |
Defense | Transferred at Point in Time | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 0.4 | 1.4 | 0.9 | 1.7 |
Defense | Transferred over Time | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 614.6 | 485.3 | 1,107.2 | 949.1 |
Fire and Emergency | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 253.4 | 279 | 513.4 | 570.2 |
Fire and Emergency | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 255.6 | 283.2 | 518 | 578.7 |
Fire and Emergency | Intersegment Eliminations | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 2.2 | 4.2 | 4.6 | 8.5 |
Fire and Emergency | Transferred at Point in Time | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 242.9 | 274.3 | 494.9 | 565.2 |
Fire and Emergency | Transferred over Time | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 12.7 | 8.9 | 23.1 | 13.5 |
Commercial | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 235 | 237.1 | 458.9 | 458.7 |
Commercial | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 236.7 | 237.9 | 460.9 | 460.1 |
Commercial | Intersegment Eliminations | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 1.7 | 0.8 | 2 | 1.4 |
Commercial | Transferred at Point in Time | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 118.1 | 148.1 | 237.5 | 269.3 |
Commercial | Transferred over Time | Operating Segments | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ 118.6 | $ 89.8 | $ 223.4 | $ 190.8 |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Sep. 30, 2019 | |
Disaggregation Of Revenue [Line Items] | |||||
Contract with Customer, Liability | $ 701 | $ 701 | $ 512.5 | ||
Customer advances | 593 | 593 | 382 | ||
Contract with customer other current liability | 56.7 | 56.7 | 78.2 | ||
Contract with Customer, Liability, Noncurrent | 51.3 | 51.3 | $ 52.3 | ||
Contract with Customer, Liability, Revenue Recognized | 117.7 | $ 237.4 | 290.6 | $ 473.4 | |
Fire and Emergency | |||||
Disaggregation Of Revenue [Line Items] | |||||
Interest Expense, Customer Deposits | $ 4 | $ 3.7 | $ 7.2 | $ 7.3 |
Revenue Recognition - Schedul_2
Revenue Recognition - Schedule of Changes in Warranty Liability and Unearned Extended Warranty Premiums (Details) - USD ($) $ in Millions | 6 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Disaggregation Of Revenue [Abstract] | ||
Balance at beginning of period | $ 68.2 | $ 30.7 |
Adoption of ASC 606 | 35.7 | |
Deferred revenue for new service warranties | 11.8 | 12.8 |
Amortization of deferred revenue | (14.2) | (12.5) |
Changes in liability for pre-existing warranties, net | 0.1 | |
Foreign currency translation | 0.1 | (0.3) |
Balance at end of period | $ 65.9 | $ 66.5 |
Revenue Recognition - Schedul_3
Revenue Recognition - Schedule of Classification of Service-type Warranties in Consolidated Balance Sheets (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Sep. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2018 |
Extended Product Warranty Accrual Balance Sheet Classification [Abstract] | ||||
Service-type warranties, other current liabilities | $ 26.4 | $ 27.8 | ||
Service-type warranties, other long-term liabilities | 39.5 | 40.4 | ||
Service-type warranties | $ 65.9 | $ 68.2 | $ 66.5 | $ 30.7 |
Revenue Recognition - Additio_2
Revenue Recognition - Additional Information (Details 1) $ in Millions | Mar. 31, 2020USD ($) |
Disaggregation Of Revenue [Abstract] | |
Revenue, Remaining Performance Obligation, Amount | $ 4,960 |
Transaction price allocated to performance obligations to be satisfied during current fiscal year | 1,870 |
Transaction price allocated to performance obligations to be satisfied during fiscal 2021 | 2,710 |
Transaction price allocated to performance obligations to be satisfied beyond fiscal 2021 | $ 380.1 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ||||
Common stock reserved for issuance stock awards (in shares) | 5,810,640 | 5,810,640 | ||
Stock-based compensation expense | $ 7.2 | $ 8.3 | $ 17.9 | $ 15.9 |
Stock-based compensation expense, net of tax | $ 6.4 | $ 6.7 | $ 15.7 | $ 13.2 |
Employee Benefit Plans - Schedu
Employee Benefit Plans - Schedule of Net Periodic Benefit Cost (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Pension benefit | ||||
Components of net periodic benefit cost | ||||
Service cost | $ 2.6 | $ 2.4 | $ 5.1 | $ 4.8 |
Interest cost | 4.3 | 4.7 | 8.6 | 9.4 |
Expected return on plan assets | (5.2) | (5) | (10.3) | (10) |
Amortization of prior service cost (benefit) | 0.4 | 0.5 | 0.8 | 0.9 |
Curtailment | 1.2 | 1.2 | ||
Amortization of net actuarial loss (gain) | 0.8 | 0.1 | 1.6 | 0.1 |
Expenses paid | 1 | 0.6 | 2 | 1.2 |
Net periodic benefit cost | 3.9 | 4.5 | 7.8 | 7.6 |
Other post-employment benefit | ||||
Components of net periodic benefit cost | ||||
Service cost | 0.8 | 0.7 | 1.7 | 1.5 |
Interest cost | 0.4 | 0.5 | 0.8 | 1 |
Amortization of prior service cost (benefit) | (0.3) | (0.3) | (0.5) | (0.7) |
Amortization of net actuarial loss (gain) | (0.1) | (0.1) | ||
Net periodic benefit cost | $ 0.9 | $ 0.9 | $ 1.9 | $ 1.7 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2021 | Sep. 30, 2019 | |
Income tax expense | $ 38.3 | $ 36.2 | $ 59 | $ 75.9 | ||
Effective income tax rate (as a percent) | 35.80% | 21.90% | 28.90% | 24.30% | ||
Income tax expense (benefits), tax credit, discrete items | $ 11.1 | $ (0.2) | $ 10 | $ 7.1 | ||
Employee share-based payments, benefit | 1.2 | 2.7 | ||||
Effective income tax rate reconciliation, other reconciling items, amount | (1.5) | (1.5) | ||||
Effective income tax rate reconciliation, change in enacted tax rate, amount | $ 1.3 | 1.3 | ||||
Income tax expense (benefit) related to uncertain tax position reserve | 6.2 | |||||
Tax cuts and jobs act, incomplete accounting, transition tax for accumulated foreign earnings, provisional income tax expense | 0.8 | |||||
Unrecognized tax benefits | 106.5 | 106.5 | $ 97.3 | |||
Net unrecognized tax benefits, excluding interest and penalties that would affect the company's net income if recognized | 21.7 | 21.7 | ||||
Interest and penalties | (0.7) | $ 0.6 | ||||
Accruals for payment of interest and penalties | 5.1 | 5.1 | ||||
Scenario Forecast | ||||||
Significant change in unrecognized tax benefits is reasonably possible, amount of unrecorded benefit | $ 7.3 | |||||
Europe | ||||||
Valuation allowance on foreign net deferred tax assets | $ 11.4 | $ 11.4 |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Earnings Per Share, Basic and Diluted (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Weighted-Average Common Shares Outstanding | ||||
Basic weighted-average common shares outstanding | 68,281,213 | 70,042,761 | 68,189,216 | 70,761,437 |
Dilutive stock options and other equity-based compensation awards | 590,811 | 714,033 | 717,059 | 675,685 |
Diluted weighted-average common shares outstanding | 68,872,024 | 70,756,794 | 68,906,275 | 71,437,122 |
Earnings Per Share - Schedule_2
Earnings Per Share - Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Earnings Per Share [Abstract] | ||||
Stock options | 511,881 | 608,698 | 514,069 | 775,894 |
Receivables - Schedule of Recei
Receivables - Schedule of Receivables (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 |
Receivables [Abstract] | ||||||
Trade receivables - U.S. government | $ 129.9 | $ 61.8 | ||||
Trade receivables - other | 717.2 | 997.7 | ||||
Finance receivables | 45.2 | 13.1 | ||||
Notes receivable | 0.4 | |||||
Other receivables | 31.9 | 32 | ||||
Receivables, gross | 924.2 | 1,105 | ||||
Less allowance for doubtful accounts | (13) | $ (9.7) | (11.3) | $ (11.2) | $ (10.5) | $ (9.9) |
Receivables, net | $ 911.2 | $ 1,093.7 |
Receivables - Schedule of Class
Receivables - Schedule of Classification of Receivables in the Condensed Consolidated Balance Sheets (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Sep. 30, 2019 |
Classification of receivables | ||
Current receivables | $ 873.8 | $ 1,082.3 |
Long-term receivables | 37.4 | 11.4 |
Receivables, net | $ 911.2 | $ 1,093.7 |
Receivables - Schedule of Allow
Receivables - Schedule of Allowance for Doubtful Accounts (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Accounts Notes And Loans Receivable [Line Items] | ||||
Allowance at beginning of period | $ 9.7 | $ 10.5 | $ 11.3 | $ 9.9 |
Provision for doubtful accounts, net of recoveries | 3.9 | 0.8 | 2.3 | 1.4 |
Charge-off of accounts | (0.6) | (0.1) | (0.6) | (0.1) |
Allowance at end of period | 13 | 11.2 | 13 | 11.2 |
Finance Receivable | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Allowance at beginning of period | 2 | 2.7 | 2.2 | 2.8 |
Provision for doubtful accounts, net of recoveries | 1.1 | (0.3) | 0.9 | (0.4) |
Allowance at end of period | 3.1 | 2.4 | 3.1 | 2.4 |
Notes Receivable | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Allowance at beginning of period | 0.4 | 0.4 | ||
Charge-off of accounts | (0.4) | (0.4) | ||
Trade and Other Receivable | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Allowance at beginning of period | 7.3 | 7.8 | 8.7 | 7.1 |
Provision for doubtful accounts, net of recoveries | 2.8 | 1.1 | 1.4 | 1.8 |
Charge-off of accounts | (0.2) | (0.1) | (0.2) | (0.1) |
Allowance at end of period | $ 9.9 | $ 8.8 | $ 9.9 | $ 8.8 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Sep. 30, 2019 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 724.6 | $ 676 |
Partially finished products | 330.5 | 244.2 |
Finished products | 708 | 433 |
Inventories at FIFO cost | 1,763.1 | 1,353.2 |
Less: Excess of FIFO cost over LIFO cost | (107.2) | (104) |
Inventory net | $ 1,655.9 | $ 1,249.2 |
Property, Plant and Equipment -
Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Sep. 30, 2019 |
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 1,356.4 | $ 1,360.9 |
Less accumulated depreciation | (804.7) | (787.3) |
Property, plant and equipment, net | 551.7 | 573.6 |
Land and Land Improvements | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 62.8 | 55.8 |
Buildings | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 363.5 | 325.8 |
Machinery and Equipment | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 718.7 | 701 |
Software and Related Costs | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 165.8 | 181.2 |
Equipment on Operating Lease to Others | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 20 | 39.5 |
Construction in Progress | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 25.6 | $ 57.6 |
Property, Plant and Equipment_2
Property, Plant and Equipment - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Sep. 30, 2019 | |
Property Plant And Equipment [Line Items] | |||||
Depreciation expenses | $ 20.4 | $ 18.7 | $ 40.7 | $ 37.8 | |
Equipment on Operating Lease to Others | |||||
Property Plant And Equipment [Line Items] | |||||
Equipment on operating lease, net | $ 17.9 | $ 17.9 | $ 31.3 | ||
Equipment on Operating Lease to Others | Minimum | |||||
Property Plant And Equipment [Line Items] | |||||
Estimated useful life (in years) | 5 years | ||||
Equipment on Operating Lease to Others | Maximum | |||||
Property Plant And Equipment [Line Items] | |||||
Estimated useful life (in years) | 10 years |
Goodwill and Purchased Intang_3
Goodwill and Purchased Intangible Assets - Schedule of Changes in Goodwill (Details) $ in Millions | 6 Months Ended |
Mar. 31, 2020USD ($) | |
Changes in goodwill | |
Net goodwill at the beginning of the period | $ 995.7 |
Foreign currency translation | 0.2 |
Net goodwill at the end of the period | 995.9 |
Access Equipment | |
Changes in goodwill | |
Net goodwill at the beginning of the period | 868.8 |
Foreign currency translation | 0.3 |
Net goodwill at the end of the period | 869.1 |
Fire and Emergency | |
Changes in goodwill | |
Net goodwill at the beginning of the period | 106.1 |
Net goodwill at the end of the period | 106.1 |
Commercial | |
Changes in goodwill | |
Net goodwill at the beginning of the period | 20.8 |
Foreign currency translation | (0.1) |
Net goodwill at the end of the period | $ 20.7 |
Goodwill and Purchased Intang_4
Goodwill and Purchased Intangible Assets - Goodwill Allocated to Reportable Segments (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Sep. 30, 2019 |
Goodwill [Line Items] | ||
Gross | $ 2,105.9 | $ 2,105.7 |
Accumulated Impairment | (1,110) | (1,110) |
Net | 995.9 | 995.7 |
Access Equipment | ||
Goodwill [Line Items] | ||
Gross | 1,801.2 | 1,800.9 |
Accumulated Impairment | (932.1) | (932.1) |
Net | 869.1 | 868.8 |
Fire and Emergency | ||
Goodwill [Line Items] | ||
Gross | 108.1 | 108.1 |
Accumulated Impairment | (2) | (2) |
Net | 106.1 | 106.1 |
Commercial | ||
Goodwill [Line Items] | ||
Gross | 196.6 | 196.7 |
Accumulated Impairment | (175.9) | (175.9) |
Net | $ 20.7 | $ 20.8 |
Goodwill and Purchased Intang_5
Goodwill and Purchased Intangible Assets - Schedule of Purchased Intangible Assets (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Mar. 31, 2020 | Sep. 30, 2019 | |
Acquired Finite Lived Intangible Assets [Line Items] | ||
Weighted- Average Life (in years) | 14 years 8 months 12 days | 14 years 8 months 12 days |
Gross | $ 731.3 | $ 731.2 |
Accumulated Amortization | (695) | (686.6) |
Net | 36.3 | 44.6 |
Non-amortizable trade names | 387.6 | 387.7 |
Intangible assets excluding goodwill, gross | 1,118.9 | 1,118.9 |
Purchased intangible assets, net | $ 423.9 | $ 432.3 |
Distribution network | ||
Acquired Finite Lived Intangible Assets [Line Items] | ||
Weighted- Average Life (in years) | 39 years 1 month 6 days | 39 years 1 month 6 days |
Gross | $ 55.4 | $ 55.4 |
Accumulated Amortization | (33.1) | (32.3) |
Net | $ 22.3 | $ 23.1 |
Technology-related | ||
Acquired Finite Lived Intangible Assets [Line Items] | ||
Weighted- Average Life (in years) | 11 years 10 months 24 days | 11 years 10 months 24 days |
Gross | $ 104.7 | $ 104.7 |
Accumulated Amortization | (102.9) | (102.6) |
Net | $ 1.8 | $ 2.1 |
Customer relationships | ||
Acquired Finite Lived Intangible Assets [Line Items] | ||
Weighted- Average Life (in years) | 12 years 9 months 18 days | 12 years 9 months 18 days |
Gross | $ 554.8 | $ 554.8 |
Accumulated Amortization | (544) | (536.8) |
Net | $ 10.8 | $ 18 |
Other | ||
Acquired Finite Lived Intangible Assets [Line Items] | ||
Weighted- Average Life (in years) | 16 years 1 month 6 days | 16 years 1 month 6 days |
Gross | $ 16.4 | $ 16.3 |
Accumulated Amortization | (15) | (14.9) |
Net | $ 1.4 | $ 1.4 |
Goodwill and Purchased Intang_6
Goodwill and Purchased Intangible Assets - Additional Information (Details) $ in Millions | Mar. 31, 2020USD ($) |
Goodwill And Intangible Assets Disclosure [Abstract] | |
2020 (remaining six months) | $ 2.7 |
2021 | 5.3 |
2022 | 4.9 |
2023 | 3.5 |
2024 | 1.7 |
2025 | $ 1.5 |
Leases - Additional Information
Leases - Additional Information (Details) | 6 Months Ended |
Mar. 31, 2020 | |
Lessee Lease Description [Line Items] | |
Operating Lease, existence of option to extend | true |
Real Estate Leases | Maximum | |
Lessee Lease Description [Line Items] | |
Operating lease, term of leases | 29 years |
Equipment Leases | Maximum | |
Lessee Lease Description [Line Items] | |
Operating lease, term of leases | 16 years |
Leases - Components of Lease Co
Leases - Components of Lease Costs (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Mar. 31, 2020 | Mar. 31, 2020 | |
Lease Cost [Abstract] | ||
Operating lease cost | $ 15 | $ 28.8 |
Variable lease cost | 4.7 | 8.5 |
Short-term lease cost | $ 0.7 | $ 1.8 |
Leases - Summary of Supplementa
Leases - Summary of Supplemental Information Related to Operating Leases (Details) $ in Millions | Mar. 31, 2020USD ($) |
Assets And Liabilities Lessee [Abstract] | |
Lease ROU assets | $ 177.3 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssetsNoncurrent |
Current lease liabilities | $ 48.9 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesCurrent |
Long-term lease liabilities | $ 131.2 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesNoncurrent |
Weighted average remaining lease term | 6 years |
Weighted average discount rates | 3.00% |
Leases - ROU Asset Balance for
Leases - ROU Asset Balance for Operating Leases Disaggregated by Segment and Type of Lease (Details) $ in Millions | Mar. 31, 2020USD ($) |
Lessee Lease Description [Line Items] | |
Right of use asset balance | $ 177.3 |
Operating Segments | Access Equipment | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 85.1 |
Operating Segments | Defense | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 35.2 |
Operating Segments | Fire and Emergency | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 10.6 |
Operating Segments | Commercial | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 22.9 |
Corporate and Intersegment Eliminations | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 23.5 |
Real Estate Leases | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 142.3 |
Real Estate Leases | Operating Segments | Access Equipment | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 76.1 |
Real Estate Leases | Operating Segments | Defense | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 29.8 |
Real Estate Leases | Operating Segments | Fire and Emergency | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 7.7 |
Real Estate Leases | Operating Segments | Commercial | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 20.2 |
Real Estate Leases | Corporate and Intersegment Eliminations | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 8.5 |
Equipment Leases | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 35 |
Equipment Leases | Operating Segments | Access Equipment | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 9 |
Equipment Leases | Operating Segments | Defense | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 5.4 |
Equipment Leases | Operating Segments | Fire and Emergency | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 2.9 |
Equipment Leases | Operating Segments | Commercial | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | 2.7 |
Equipment Leases | Corporate and Intersegment Eliminations | |
Lessee Lease Description [Line Items] | |
Right of use asset balance | $ 15 |
Leases - Maturities of Operatin
Leases - Maturities of Operating Lease Liabilities and Minimum Payments for Operating Leases (Details) $ in Millions | Mar. 31, 2020USD ($) |
Operating Lease Liabilities Payments Due [Abstract] | |
Remaining six months of 2020 | $ 27.2 |
2021 | 46.5 |
2022 | 33.1 |
2023 | 24.8 |
2024 | 16.6 |
2025 | 12.5 |
Thereafter | 35.3 |
Total lease payments | 196 |
Less: imputed interest | (15.9) |
Present value of lease liability | $ 180.1 |
Leases - Schedule of Operating
Leases - Schedule of Operating Leases Future Minimum Payments (Details) $ in Millions | Sep. 30, 2019USD ($) |
Operating Leases Future Minimum Payments Due [Abstract] | |
2020 | $ 34 |
2021 | 26.7 |
2022 | 15.9 |
2023 | 11.3 |
2024 | 7.1 |
Thereafter | $ 11.7 |
Credit Agreements - Schedule of
Credit Agreements - Schedule of Debt Instruments (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Sep. 30, 2019 | Apr. 03, 2018 |
Debt Instrument [Line Items] | |||
Principal | $ 825 | $ 825 | |
Debt Issuance Costs, Net | (7.6) | (6) | |
Debt, Net | 817.4 | 819 | |
Other short-term debt | 4.9 | ||
Senior Term Loan | |||
Debt Instrument [Line Items] | |||
Principal | 225 | 275 | |
Debt Issuance Costs, Net | (0.4) | (0.6) | |
Debt, Net | 224.6 | 274.4 | $ 325 |
4.600% Senior Notes Due May 2028 | |||
Debt Instrument [Line Items] | |||
Principal | 300 | 300 | |
Debt Issuance Costs, Net | (3.2) | (3.4) | |
Debt, Net | 296.8 | 296.6 | |
3.100% Senior Notes due March 2030 | |||
Debt Instrument [Line Items] | |||
Principal | 300 | ||
Debt Issuance Costs, Net | (4) | ||
Debt, Net | $ 296 | ||
5.375% Senior Notes due March 2025 | |||
Debt Instrument [Line Items] | |||
Principal | 250 | ||
Debt Issuance Costs, Net | (2) | ||
Debt, Net | $ 248 |
Credit Agreements - Schedule _2
Credit Agreements - Schedule of Debt Instruments (Parenthetical) (Details) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2020 | Sep. 30, 2019 | May 31, 2018 | Mar. 31, 2015 | |
4.600% Senior Notes Due May 2028 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument interest rate, stated percentage | 4.60% | 4.60% | 4.60% | |
Maturity month and year | 2028-05 | 2028-05 | ||
3.100% Senior Notes due March 2030 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument interest rate, stated percentage | 3.10% | 3.10% | ||
Maturity month and year | 2030-03 | |||
5.375% Senior Notes due March 2025 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument interest rate, stated percentage | 5.375% | 5.375% | 5.375% | |
Maturity month and year | 2025-03 |
Credit Agreements - Additional
Credit Agreements - Additional Information (Details) ¥ in Millions | Feb. 26, 2020USD ($) | Apr. 03, 2018USD ($) | May 31, 2018USD ($) | Mar. 31, 2015USD ($) | Mar. 31, 2020USD ($) | Mar. 31, 2020USD ($) | Sep. 30, 2019USD ($) | Mar. 31, 2020CNY (¥) | Sep. 30, 2019CNY (¥) |
Debt Instrument [Line Items] | |||||||||
Debt, net | $ 817,400,000 | $ 817,400,000 | $ 819,000,000 | ||||||
Letters of credit outstanding | 62,200,000 | 62,200,000 | |||||||
Long term debt | |||||||||
Debt issuance costs | 7,600,000 | 7,600,000 | 6,000,000 | ||||||
Debt issuance costs capitalized | $ 2,900,000 | ||||||||
Uncommitted Line of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Available borrowing capacity | ¥ | ¥ 220 | ||||||||
Long term debt | |||||||||
Line of credit outstanding | 4,900,000 | $ 4,900,000 | ¥ 35 | ||||||
Line of credit variable interest rate | 3.50% | ||||||||
Revolving Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | $ 850,000,000 | ||||||||
Maturity month and year | 2023-04 | ||||||||
Available borrowing capacity | 787,800,000 | $ 787,800,000 | |||||||
Letter of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Letter of credit fees percentage on available borrowing capacity, low end of range (as a percent) | 0.563% | ||||||||
Letter of credit fees percentage on available borrowing capacity, high end of range (as a percent) | 1.75% | ||||||||
Senior Term Loan | |||||||||
Debt Instrument [Line Items] | |||||||||
Maturity month and year | 2023-04 | ||||||||
Debt, net | $ 325,000,000 | 224,600,000 | $ 224,600,000 | 274,400,000 | |||||
Quarterly principal installment, at commencement | 4,100,000 | ||||||||
Payment due at maturity | $ 264,100,000 | ||||||||
Amount of balloon payment paid | $ 39,100,000 | ||||||||
Weighted-average interest rate (as a percent) | 2.24% | 2.24% | 2.24% | ||||||
Long term debt | |||||||||
Repayments of Debt | $ 49,200,000 | ||||||||
Debt issuance costs | $ 400,000 | $ 400,000 | $ 600,000 | ||||||
Senior Credit Agreement | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest spread in basis points (as a percent) | 1.25% | ||||||||
Maximum leverage ratio | 3.75 | 3.75 | 3.75 | ||||||
Minimum interest coverage ratio | 2.50 | 2.50 | 2.50 | ||||||
Senior Credit Agreement | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Revolving credit facility, unused commitment fee rate (as a percent) | 0.125% | ||||||||
Senior Credit Agreement | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Revolving credit facility, unused commitment fee rate (as a percent) | 0.275% | ||||||||
Senior Credit Agreement | Federal Funds Rate | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest spread in basis points (as a percent) | 0.50% | ||||||||
Senior Credit Agreement | LIBOR | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest spread in basis points (as a percent) | 1.00% | ||||||||
5.375% Senior Notes due March 2025 | |||||||||
Debt Instrument [Line Items] | |||||||||
Maturity month and year | 2025-03 | ||||||||
Debt, net | $ 248,000,000 | ||||||||
Long term debt | |||||||||
Debt issued | $ 250,000,000 | ||||||||
Debt instrument interest rate, stated percentage | 5.375% | 5.375% | 5.375% | 5.375% | |||||
Maturity date | Mar. 1, 2025 | ||||||||
Debt issuance costs | $ 2,000,000 | ||||||||
5.375% Senior Notes due March 2025 | Interest Expense | |||||||||
Long term debt | |||||||||
Debt issuance costs | 8,500,000 | ||||||||
4.600% Senior Notes Due May 2028 | |||||||||
Debt Instrument [Line Items] | |||||||||
Maturity month and year | 2028-05 | 2028-05 | |||||||
Debt, net | $ 296,800,000 | $ 296,800,000 | $ 296,600,000 | ||||||
Long term debt | |||||||||
Debt issued | $ 300,000,000 | ||||||||
Debt instrument interest rate, stated percentage | 4.60% | 4.60% | 4.60% | 4.60% | 4.60% | 4.60% | |||
Maturity date | May 15, 2028 | ||||||||
Debt issuance costs | $ 3,200,000 | $ 3,200,000 | $ 3,400,000 | ||||||
Debt instruments | |||||||||
Debt instrument, fair value | $ 288,000,000 | 288,000,000 | $ 322,000,000 | ||||||
3.100% Senior Notes due March 2030 | |||||||||
Debt Instrument [Line Items] | |||||||||
Maturity month and year | 2030-03 | ||||||||
Debt, net | $ 296,000,000 | $ 296,000,000 | |||||||
Long term debt | |||||||||
Debt issued | $ 300,000,000 | ||||||||
Debt instrument interest rate, stated percentage | 3.10% | 3.10% | 3.10% | 3.10% | |||||
Maturity date | Mar. 1, 2030 | ||||||||
Debt instrument, redemption discount | $ 1,200,000 | ||||||||
Debt issuance costs | $ 4,000,000 | $ 4,000,000 | |||||||
Debt instruments | |||||||||
Debt instrument, fair value | $ 295,000,000 | $ 295,000,000 |
Warranties - Additional Informa
Warranties - Additional Information (Details) | 6 Months Ended |
Mar. 31, 2020 | |
Minimum | |
Product Warranty Liability [Line Items] | |
Product warranty term | 6 months |
Maximum | |
Product Warranty Liability [Line Items] | |
Product warranty term | 5 years |
Warranties -Schedule of Changes
Warranties -Schedule of Changes in Assurance-type Warranty Liability (Details) - USD ($) $ in Millions | 6 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Product Warranties Disclosures [Abstract] | ||
Balance at beginning of period | $ 65.1 | $ 75.3 |
Adoption of ASC 606 | (14.3) | |
Warranty provisions | 21 | 21.2 |
Settlements made | (26.1) | (22.8) |
Changes in liability for pre-existing warranties, net | 5.2 | (0.3) |
Foreign currency translation | (0.2) | |
Balance at end of period | $ 65.2 | $ 58.9 |
Guarantee Arrangements - Additi
Guarantee Arrangements - Additional Information (Details) $ in Millions | Mar. 31, 2020USD ($) |
Indirect Guarantee of Deferred Payment and Lease Payment Agreements | |
Guarantee Obligations [Line Items] | |
Aggregate indebtedness to customers under credit guarantees | $ 775.5 |
Estimated maximum loss exposure under contracts | 152.5 |
Residual Value Guarantee | |
Guarantee Obligations [Line Items] | |
Estimated maximum loss exposure under contracts | 12.1 |
Customer equipment value including a residual value guarantee | $ 92.3 |
Guarantee Arrangements - Schedu
Guarantee Arrangements - Schedule of Provision for Losses on Customer Guarantees (Details1) - Indirect Guarantee of Deferred Payment and Lease Payment Agreements - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Guarantee Obligations [Line Items] | ||||
Balance at beginning of period | $ 16 | $ 10.1 | $ 15.8 | $ 10.4 |
Provision for new credit guarantees | 1.7 | 3.1 | 3.2 | 4.4 |
Changes for pre-existing guarantees, net | 1.4 | 1 | 1.4 | 0.1 |
Amortization of previous guarantees | (2.8) | (1.3) | (4.2) | (2) |
Foreign currency translation | (0.1) | |||
Balance at end of period | $ 16.2 | $ 12.9 | $ 16.2 | $ 12.9 |
Contingencies, Significant Es_2
Contingencies, Significant Estimates and Concentrations - Additional Information (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Sep. 30, 2019 | |
Personal Injury Actions and Other | ||
Loss Contingencies [Line Items] | ||
Maximum self-insurance available per claim | $ 5,000,000 | |
Reserve for loss contingencies | 40,000,000 | $ 36,200,000 |
Performance and Specialty Bonds | ||
Loss Contingencies [Line Items] | ||
Commitments and contingencies | 795,200,000 | 552,200,000 |
Standby Letters of Credit | ||
Loss Contingencies [Line Items] | ||
Commitments and contingencies | $ 66,400,000 | $ 63,700,000 |
Shareholders' Equity - Addition
Shareholders' Equity - Additional information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 11 Months Ended | |||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | May 07, 2019 | |
Stockholders Equity Note [Abstract] | ||||||
Number of shares of common stock authorized for buyback (in shares) | 10,000,000 | |||||
Number of additional shares of common stock authorized for buyback (in shares) | 8,637,179 | |||||
Remaining number of shares authorized to be repurchased (in shares) | 7,459,328 | 7,459,328 | 7,459,328 | 1,362,821 | ||
Treasury stock, shares, acquired (in shares) | 550,853 | 2,876,713 | 2,540,672 | |||
Treasury stock, value, acquired, cost method | $ 31.4 | $ 25 | $ 40.8 | $ 195 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Schedule of Changes in Accumulated Other Comprehensive Income (Loss) by Component (Details) - USD ($) $ in Millions | Oct. 01, 2019 | Oct. 01, 2018 | Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||||
Balance at beginning of period | $ 2,599.8 | $ 2,599.8 | ||||
Total other comprehensive income (loss), net of tax | $ (27) | $ (10.9) | (7.3) | $ (19.7) | ||
Balance at end of period | 2,689 | 2,689 | ||||
Employee Pension and Postretirement Benefits, Net of Tax | ||||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||||
Balance at beginning of period | (69.4) | $ (10.9) | (68.7) | (20) | (69.4) | (10.9) |
Other comprehensive income (loss) before reclassifications | (3.9) | (3.9) | ||||
Amounts reclassified from accumulated other comprehensive income (loss) | 0.7 | 0.1 | 1.4 | 0.1 | ||
Total other comprehensive income (loss), net of tax | 0.7 | (3.8) | 1.4 | (3.8) | ||
Balance at end of period | (20) | (68) | (23.8) | (68) | (23.8) | |
Employee Pension and Postretirement Benefits, Net of Tax | Accounting Standards Update 2018-02 | ||||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | (9.1) | |||||
Cumulative Translation Adjustments | ||||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||||
Balance at beginning of period | (132.5) | (96.2) | (113) | (105) | (132.5) | (96.2) |
Other comprehensive income (loss) before reclassifications | (28.4) | (6.9) | (8.9) | (15.7) | ||
Total other comprehensive income (loss), net of tax | (28.4) | (6.9) | (8.9) | (15.7) | ||
Balance at end of period | (96.2) | (141.4) | (111.9) | (141.4) | (111.9) | |
Derivative Instruments | ||||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||||
Balance at beginning of period | 0.3 | 0.3 | (0.2) | 0.3 | 0.3 | 0.3 |
Other comprehensive income (loss) before reclassifications | 0.7 | (0.2) | 0.2 | (0.2) | ||
Total other comprehensive income (loss), net of tax | 0.7 | (0.2) | 0.2 | (0.2) | ||
Balance at end of period | 0.3 | 0.5 | 0.1 | 0.5 | 0.1 | |
Accumulated Other Comprehensive Income (Loss) | ||||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||||
Balance at beginning of period | (201.6) | (106.8) | (181.9) | (124.7) | (201.6) | (106.8) |
Other comprehensive income (loss) before reclassifications | (27.7) | (11) | (8.7) | (19.8) | ||
Amounts reclassified from accumulated other comprehensive income (loss) | 0.7 | 0.1 | 1.4 | 0.1 | ||
Total other comprehensive income (loss), net of tax | (27) | (10.9) | (7.3) | (19.7) | ||
Balance at end of period | (115.9) | $ (208.9) | $ (135.6) | $ (208.9) | $ (135.6) | |
Accumulated Other Comprehensive Income (Loss) | Accounting Standards Update 2018-02 | ||||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ (9.1) | $ (9.1) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) - Schedule of Reclassifications Out of Accumulated Other Comprehensive Income (Loss) on Condensed Consolidated Statements of Income (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Prior Service Costs | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ||||
Total before tax | $ 0.1 | $ 0.2 | $ 0.3 | $ 0.2 |
Actuarial (Gains) Losses | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ||||
Total before tax | 0.8 | 0.1 | 1.5 | |
Employee Pension and Postretirement Benefits, Net of Tax | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ||||
Total before tax | 0.9 | 0.3 | 1.8 | 0.2 |
Tax provision (benefit) | (0.2) | (0.2) | (0.4) | (0.1) |
Net of tax | $ 0.7 | $ 0.1 | $ 1.4 | $ 0.1 |
Fair Value Measurement - Schedu
Fair Value Measurement - Schedule of Fair Values of Financial Assets and Liabilities (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Sep. 30, 2019 | |
Assets: | |||
Foreign currency exchange derivatives | [1] | $ 1.2 | $ 0.8 |
Liabilities: | |||
Foreign currency exchange derivatives | [1] | 0.8 | 0.4 |
SERP Plan [Member] | |||
Assets: | |||
SERP plan assets | [2] | 18.7 | 21.4 |
Level 1 | SERP Plan [Member] | |||
Assets: | |||
SERP plan assets | [2] | 18.7 | 21.4 |
Level 2 | |||
Assets: | |||
Foreign currency exchange derivatives | [1] | 1.2 | 0.8 |
Liabilities: | |||
Foreign currency exchange derivatives | [1] | $ 0.8 | $ 0.4 |
[1] | Based on observable market transactions of forward currency prices. | ||
[2] | Represents investments held in a rabbi trust for the Company’s non-qualified supplemental executive retirement plan (SERP). The fair values of these investments are determined using a market approach. Investments include mutual funds for which quoted prices in active markets are available. The Company records changes in the fair value of investments in “Miscellaneous, net” in the Condensed Consolidated Statements of Income. |
Business Segment Information -
Business Segment Information - Additional Information (Details) | 6 Months Ended |
Mar. 31, 2020Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments of entity (in segments) | 4 |
Business Segment Information _2
Business Segment Information - Schedule of Net Sales by Product Lines and Reportable Segments (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Segment Reporting Information [Line Items] | ||||
Revenues | $ 1,796.7 | $ 1,990.2 | $ 3,491.8 | $ 3,793.6 |
Access Equipment | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 693 | 987.6 | 1,410.9 | 1,814.1 |
Access Equipment | Aerial Work Platforms | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 273.7 | 463.5 | 579.7 | 801.2 |
Access Equipment | Telehandlers | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 217.6 | 319.5 | 419 | 589 |
Access Equipment | Other | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 201.7 | 204.6 | 412.2 | 423.9 |
Defense | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 614.6 | 486.2 | 1,107.2 | 950 |
Fire and Emergency | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 253.4 | 279 | 513.4 | 570.2 |
Commercial | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 235 | 237.1 | 458.9 | 458.7 |
Commercial | Concrete Placement | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 89.7 | 115.3 | 165.4 | 197 |
Commercial | Refuse Collection | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 115.2 | 92 | 231.1 | 201.2 |
Commercial | Other | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 30.1 | 29.8 | 62.4 | 60.5 |
Corporate and Intersegment Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 0.7 | 0.3 | 1.4 | 0.6 |
Operating Segments | Access Equipment | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 693 | 987.6 | 1,410.9 | 1,814.1 |
Operating Segments | Access Equipment | Aerial Work Platforms | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 273.7 | 463.5 | 579.7 | 801.2 |
Operating Segments | Access Equipment | Telehandlers | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 217.6 | 319.5 | 419 | 589 |
Operating Segments | Access Equipment | Other | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 201.7 | 204.6 | 412.2 | 423.9 |
Operating Segments | Defense | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 615 | 486.7 | 1,108.1 | 950.8 |
Operating Segments | Fire and Emergency | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 255.6 | 283.2 | 518 | 578.7 |
Operating Segments | Commercial | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 236.7 | 237.9 | 460.9 | 460.1 |
Operating Segments | Commercial | Concrete Placement | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 89.7 | 115.3 | 165.4 | 197 |
Operating Segments | Commercial | Refuse Collection | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 115.2 | 92 | 231.1 | 201.2 |
Operating Segments | Commercial | Other | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 31.8 | 30.6 | 64.4 | 61.9 |
Corporate, Non-segment | Corporate and Intersegment Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | (3.6) | (5.2) | (6.1) | (10.1) |
Intersegment Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | (3.6) | (5.2) | (6.1) | (10.1) |
Intersegment Eliminations | Defense | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 0.4 | 0.5 | 0.9 | 0.8 |
Intersegment Eliminations | Fire and Emergency | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 2.2 | 4.2 | 4.6 | 8.5 |
Intersegment Eliminations | Commercial | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 1.7 | 0.8 | 2 | 1.4 |
Intersegment Eliminations | Commercial | Other | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 1.7 | 0.8 | 2 | 1.4 |
Intersegment Eliminations | Corporate and Intersegment Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | $ (4.3) | $ (5.5) | $ (7.5) | $ (10.7) |
Business Segment Information _3
Business Segment Information - Schedule of Income (Loss) from Continuing operations by Product Lines and Reportable Segments (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Operating income (loss): | ||||
Operating income (loss) | $ 133.6 | $ 175.6 | $ 242.7 | $ 336.1 |
Interest expense, net of interest income | (20.7) | (11.7) | (32.5) | (23.2) |
Miscellaneous other (expense) income | (5.8) | 1.2 | (6.2) | |
Income before income taxes and earnings (losses) of unconsolidated affiliates | 107.1 | 165.1 | 204 | 312.9 |
Operating Segments | Access Equipment | ||||
Operating income (loss): | ||||
Operating income (loss) | 70.8 | 119.8 | 139.8 | 186.2 |
Operating Segments | Defense | ||||
Operating income (loss): | ||||
Operating income (loss) | 58.2 | 52.2 | 89.1 | 123.3 |
Operating Segments | Fire and Emergency | ||||
Operating income (loss): | ||||
Operating income (loss) | 20.5 | 36.6 | 51.5 | 76.5 |
Operating Segments | Commercial | ||||
Operating income (loss): | ||||
Operating income (loss) | 8.1 | 7.8 | 25.9 | 26.5 |
Corporate, Non-segment | ||||
Operating income (loss): | ||||
Operating income (loss) | $ (24) | $ (40.8) | $ (63.6) | $ (76.4) |
Business Segment Information _4
Business Segment Information - Schedule of Identifiable Assets by Business Segments and by Geographical Segments (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Sep. 30, 2019 | |
Assets | |||
Assets | $ 5,861.9 | $ 5,566.3 | |
Operating Segments | Access Equipment | |||
Assets | |||
Assets | 3,048.1 | 2,973.2 | |
Operating Segments | Access Equipment | United States | |||
Assets | |||
Assets | 2,320.1 | 2,317.2 | |
Operating Segments | Access Equipment | Europe, Africa and Middle East | |||
Assets | |||
Assets | 383.6 | 403.4 | |
Operating Segments | Access Equipment | Rest of the World | |||
Assets | |||
Assets | [1] | 344.4 | 252.6 |
Operating Segments | Defense | |||
Assets | |||
Assets | 1,021.4 | 889.7 | |
Operating Segments | Defense | United States | |||
Assets | |||
Assets | 1,015.4 | 883 | |
Operating Segments | Defense | Rest of the World | |||
Assets | |||
Assets | 6 | 6.7 | |
Operating Segments | Fire and Emergency | United States | |||
Assets | |||
Assets | 610.3 | 587.9 | |
Operating Segments | Commercial | |||
Assets | |||
Assets | 477.7 | 432.5 | |
Operating Segments | Commercial | United States | |||
Assets | |||
Assets | 436.9 | 383.6 | |
Operating Segments | Commercial | Rest of the World | |||
Assets | |||
Assets | 40.8 | 48.9 | |
Corporate, Non-segment | |||
Assets | |||
Assets | 704.4 | 683 | |
Corporate, Non-segment | United States | |||
Assets | |||
Assets | [2] | $ 704.4 | 597.6 |
Corporate, Non-segment | Rest of the World | |||
Assets | |||
Assets | [1] | $ 85.4 | |
[1] | Control of a shared manufacturing facility in Mexico transferred to the access equipment segment effective October 1, 2019. | ||
[2] | Primarily includes cash and short-term investments and the Company’s new global headquarters. |
Business Segment Information _5
Business Segment Information - Schedule of Net Sales by Geographical Segments (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | $ 1,796.7 | $ 1,990.2 | $ 3,491.8 | $ 3,793.6 |
North America | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 1,627.9 | 1,688.4 | 3,120.7 | 3,268.6 |
Europe, Africa and Middle East | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 103.3 | 185.4 | 184.3 | 327.9 |
Rest of the World | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 65.5 | 116.4 | 186.8 | 197.1 |
Intersegment Eliminations | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | (3.6) | (5.2) | (6.1) | (10.1) |
Intersegment Eliminations | North America | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | (3.6) | (5.3) | (6.1) | (10.1) |
Intersegment Eliminations | Rest of the World | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 0.1 | |||
Access Equipment | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 693 | 987.6 | 1,410.9 | 1,814.1 |
Access Equipment | Operating Segments | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 693 | 987.6 | 1,410.9 | 1,814.1 |
Access Equipment | Operating Segments | North America | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 553.9 | 724 | 1,101 | 1,370.2 |
Access Equipment | Operating Segments | Europe, Africa and Middle East | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 84.7 | 163.2 | 158.9 | 276.9 |
Access Equipment | Operating Segments | Rest of the World | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 54.4 | 100.4 | 151 | 167 |
Defense | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 614.6 | 486.2 | 1,107.2 | 950 |
Defense | Operating Segments | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 615 | 486.7 | 1,108.1 | 950.8 |
Defense | Operating Segments | North America | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 596 | 465.6 | 1,081.5 | 913.8 |
Defense | Operating Segments | Europe, Africa and Middle East | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 17.7 | 21 | 23.8 | 36.9 |
Defense | Operating Segments | Rest of the World | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 1.3 | 0.1 | 2.8 | 0.1 |
Defense | Intersegment Eliminations | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 0.4 | 0.5 | 0.9 | 0.8 |
Fire and Emergency | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 253.4 | 279 | 513.4 | 570.2 |
Fire and Emergency | Operating Segments | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 255.6 | 283.2 | 518 | 578.7 |
Fire and Emergency | Operating Segments | North America | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 247.6 | 274 | 491.5 | 547 |
Fire and Emergency | Operating Segments | Europe, Africa and Middle East | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 0.3 | 0.9 | 0.7 | 11.9 |
Fire and Emergency | Operating Segments | Rest of the World | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 7.7 | 8.3 | 25.8 | 19.8 |
Fire and Emergency | Intersegment Eliminations | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 2.2 | 4.2 | 4.6 | 8.5 |
Commercial | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 235 | 237.1 | 458.9 | 458.7 |
Commercial | Operating Segments | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 236.7 | 237.9 | 460.9 | 460.1 |
Commercial | Operating Segments | North America | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 234 | 230.1 | 452.8 | 447.7 |
Commercial | Operating Segments | Europe, Africa and Middle East | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 0.6 | 0.3 | 0.9 | 2.2 |
Commercial | Operating Segments | Rest of the World | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | 2.1 | 7.5 | 7.2 | 10.2 |
Commercial | Intersegment Eliminations | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenues | $ 1.7 | $ 0.8 | $ 2 | $ 1.4 |