Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Sep. 30, 2021 | Nov. 30, 2021 | Mar. 31, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Sep. 30, 2021 | ||
Current Fiscal Year End Date | --09-30 | ||
Document Transition Report | false | ||
Entity File Number | 1-5978 | ||
Entity Registrant Name | SIFCO Industries, Inc. | ||
Entity Incorporation, State or Country Code | OH | ||
Entity Tax Identification Number | 34-0553950 | ||
Entity Address, Address Line One | 970 East 64th Street, | ||
Entity Address, City or Town | Cleveland | ||
Entity Address, State or Province | OH | ||
Entity Address, Postal Zip Code | 44103 | ||
City Area Code | (216) | ||
Local Phone Number | 881-8600 | ||
Title of 12(b) Security | Common Shares | ||
Trading Symbol | SIF | ||
Security Exchange Name | NYSEAMER | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Public Float | $ 37,289,960 | ||
Entity Common Stock, Shares Outstanding (in shares) | 6,016,970 | ||
Documents Incorporated by Reference | Portions of the definitive Proxy Statement for the Annual Meeting of Shareholders to be held on January 26, 2022 (Part III). | ||
Entity Central Index Key | 0000090168 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Income Statement [Abstract] | ||
Net sales | $ 99,591 | $ 113,573 |
Cost of goods sold | 88,386 | 93,611 |
Gross profit | 11,205 | 19,962 |
Selling, general and administrative expenses | 13,484 | 14,022 |
Amortization of intangible assets | 1,011 | 1,497 |
Loss on disposal or impairment of operating assets | 209 | 174 |
Gain on insurance recoveries | (2,397) | (5,874) |
Operating income (loss) | (1,102) | 10,143 |
Interest expense, net | 638 | 886 |
Foreign currency exchange loss, net | 23 | 51 |
Other expense, net | 202 | 226 |
Income (loss) before income tax benefit | (1,965) | 8,980 |
Income tax benefit | (1,222) | (211) |
Net income (loss) | $ (743) | $ 9,191 |
Net income (loss) per share: | ||
Basic (in dollars per share) | $ (0.13) | $ 1.62 |
Diluted (in dollars per share) | $ (0.13) | $ 1.59 |
Weighted-average number of common shares (basic) (in shares) | 5,759 | 5,661 |
Weighted-average common shares outstanding (diluted) (in shares) | 5,759 | 5,791 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||
Net income (loss) | $ (743) | $ 9,191 |
Other comprehensive income (loss), net of tax: | ||
Foreign currency translation adjustment, net of tax $0 and $0, respectively | (102) | 410 |
Retirement plan liability adjustment, net of tax $0 and $0, respectively | 4,491 | (569) |
Comprehensive income | $ 3,646 | $ 9,032 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||
Foreign currency translation adjustment, tax | $ 0 | $ 0 |
Retirement plan liability adjustment, tax | $ 0 | $ 0 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 346 | $ 427 |
Receivables, net of allowance for doubtful accounts of $167 and $249, respectively | 19,914 | 23,225 |
Other receivables | 0 | 1,547 |
Contract asset | 12,874 | 11,997 |
Inventories, net | 12,546 | 15,569 |
Refundable income taxes | 101 | 103 |
Prepaid expenses and other current assets | 1,792 | 2,338 |
Total current assets | 47,573 | 55,206 |
Property, plant and equipment, net | 42,708 | 44,201 |
Operating lease right-of-use assets, net | 15,943 | 17,021 |
Intangible assets, net | 874 | 1,890 |
Goodwill | 3,493 | 3,493 |
Other assets | 77 | 137 |
Total assets | 110,668 | 121,948 |
Current liabilities: | ||
Current maturities of long-term debt | 9,566 | 7,144 |
Revolver | 8,930 | 12,870 |
Short-term operating lease liabilities | 788 | 991 |
Accounts payable | 9,811 | 14,002 |
Accrued liabilities | 6,871 | 8,290 |
Total current liabilities | 35,966 | 43,297 |
Long-term debt, net of current maturities | 2,669 | 4,606 |
Long-term operating lease liabilities, net of short-term | 15,439 | 16,188 |
Deferred income taxes | 158 | 1,400 |
Pension liability | 6,073 | 10,165 |
Other long-term liabilities | 741 | 769 |
Shareholders’ equity: | ||
Serial preferred shares, no par value, authorized 1,000 shares | 0 | 0 |
Common shares, par value $1 per share, authorized 10,000 shares; issued and outstanding shares – 5,987 at September 30, 2021 and 5,916 at September 30, 2020 | 5,987 | 5,916 |
Additional paid-in capital | 11,118 | 10,736 |
Retained earnings | 41,596 | 42,339 |
Accumulated other comprehensive loss | (9,079) | (13,468) |
Total shareholders’ equity | 49,622 | 45,523 |
Total liabilities and shareholders’ equity | $ 110,668 | $ 121,948 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
Statement of Financial Position [Abstract] | ||
Doubtful accounts | $ 167 | $ 249 |
Serial preferred shares, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Common shares, par value (in dollars per share) | $ 1 | $ 1 |
Common shares, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Common shares, shares issued (in shares) | 5,987,000 | 5,916,000 |
Common shares, shares outstanding (in shares) | 5,987,000 | 5,916,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (743) | $ 9,191 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation and amortization | 7,662 | 7,380 |
Amortization of debt issuance costs | 72 | 129 |
Loss on disposal of operating assets or impairment of operating assets | 209 | 174 |
Gain on insurance proceeds received for damaged property | (2,397) | (5,874) |
Gain on extinguishment of debt | (287) | 0 |
LIFO effect | 924 | (10) |
Share transactions under employee stock plan | 453 | 390 |
Deferred income taxes | (1,288) | (422) |
Other long-term liabilities | 375 | 27 |
Changes in operating assets and liabilities: | ||
Receivables | 3,244 | 251 |
Contract assets | (877) | (1,648) |
Inventories | 2,044 | (4,653) |
Refundable income taxes | 2 | 38 |
Prepaid expenses and other current assets | 157 | (980) |
Other assets | 61 | 125 |
Accounts payable | (4,443) | (7,060) |
Accrued liabilities | (1,279) | 3,240 |
Accrued income tax and other | 3 | 151 |
Net cash provided by operating activities | 3,892 | 449 |
Cash flows from investing activities: | ||
Insurance proceeds received for damaged property | 4,101 | 7,828 |
Capital expenditures | (4,979) | (9,026) |
Net cash used for investing activities | (878) | (1,198) |
Cash flows from financing activities: | ||
Proceeds from long-term debt | 1,020 | 6,628 |
Repayments of long-term debt | (405) | (1,618) |
Proceeds from revolving credit agreement | 89,264 | 111,404 |
Repayments of revolving credit agreement | (93,204) | (114,076) |
Proceeds from short-term debt borrowings | 3,613 | 3,206 |
Repayments of short-term debt borrowings | (3,354) | (4,722) |
Payments for debt issuance costs | (45) | 0 |
Net cash provided by (used for) financing activities | (3,111) | 822 |
Increase (decrease) in cash and cash equivalents | (97) | 73 |
Cash and cash equivalents at beginning of year | 427 | 341 |
Effects of exchange rate changes on cash and cash equivalents | 16 | 13 |
Cash and cash equivalents at end of year | 346 | 427 |
Cash paid during the year: | ||
Cash paid for interest | (397) | (692) |
Cash paid for income tax, net | (62) | (52) |
Non-cash investing and financing activities: | ||
Additions to property, plant & equipment - incurred but not yet paid | $ 257 | $ 915 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Total | Common Shares | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss |
Beginning balance at Sep. 30, 2019 | $ 36,054 | $ 5,777 | $ 10,438 | $ 33,148 | $ (13,309) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Comprehensive income (loss) | 9,032 | 9,191 | (159) | ||
Shares retired | 47 | 47 | |||
Performance and restricted share expense | 398 | 398 | |||
Share transactions under employee stock plans | (8) | 139 | (147) | ||
Ending balance at Sep. 30, 2020 | 45,523 | 5,916 | 10,736 | 42,339 | (13,468) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Comprehensive income (loss) | 3,646 | (743) | 4,389 | ||
Performance and restricted share expense | 469 | 469 | |||
Share transactions under employee stock plans | (16) | 71 | (87) | ||
Ending balance at Sep. 30, 2021 | $ 49,622 | $ 5,987 | $ 11,118 | $ 41,596 | $ (9,079) |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Sep. 30, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies A. DESCRIPTION OF BUSINESS SIFCO Industries, Inc. and its subsidiaries are engaged in the production of forgings and machined components primarily in the Aerospace and Energy ("A&E") market. The Company’s operations are conducted in a single business segment, "SIFCO" or the "Company." Impact of COVID-19 Pandemic Since being recognized by the World Health Organization as a pandemic, the novel coronavirus ("COVID-19") continues to impact the United States and other countries in which we operate. As a result of the COVID-19 pandemic and related government mandated restrictions on the Company’s business as well as the businesses of its customers and suppliers, disruption to the Company’s business and the manufacture and sale of its products has occurred and is expected to continue into fiscal 2022. During fiscal 2021, the COVID-19 pandemic impacted the Company’s results of operations. Given the long lead times for certain of the Company's products, the Company saw a greater impact related to the effects of COVID-19 on orders and deliveries in fiscal 2021 than in fiscal 2020. In response to the uncertain environment created by the COVID-19 pandemic, the Company has taken measures to reduce costs by furloughing and laying off certain of its employees from one of its plant locations that has experienced reduced sales of commercial aerospace products. Such employees have since returned to work. The Company continues to actively monitor and find ways to mitigate the impact of the pandemic on its operations and consider its ability to pivot its operations and the industries served. B. PRINCIPLES OF CONSOLIDATION The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. The U.S. dollar is the functional currency for all the Company’s U.S. operations and its non-operating subsidiaries. For these operations, all gains and losses from completed currency transactions are included in income. The functional currency for the Company's other non-U.S. subsidiaries is the Euro. Assets and liabilities are translated into U.S. dollars at the rates of exchange at the end of the period, and revenues and expenses are translated using average rates of exchange. Foreign currency translation adjustments are reported as a component of accumulated other comprehensive loss in the consolidated statements of shareholders’ equity. C. CASH EQUIVALENTS The Company considers all highly liquid short-term investments with original maturities of three months or less to be cash equivalents. A substantial majority of the Company’s cash and cash equivalent bank balances exceed federally insured limits as of September 30, 2021. D. CONCENTRATIONS OF CREDIT RISK Receivables are presented net of allowance for doubtful accounts of $167 and $249 at September 30, 2021 and 2020, respectively. Accounts receivable outstanding longer than the contractual payment terms are considered past due. The Company writes off accounts receivable when they become uncollectible. During fiscal 2021 $9 of accounts receivable were recovered against the allowance for doubtful accounts while in fiscal 2020 $263 of accounts receivable were written off against the allowance for doubtful accounts. Bad debt benefit totaled $91 and $80 in fiscal 2021 and fiscal 2020, respectively. Most of the Company’s receivables represent trade receivables due from manufacturers of turbine engines and aircraft components as well as turbine engine overhaul companies located throughout the world, including a significant concentration of U.S. based companies. In fiscal 2021, 20% of the Company’s consolidated net sales were from two of its largest customers; and 38% of the Company's consolidated net sales were from the three largest customers and their direct subcontractors, which individually accounted for 17%, 11%, and 10%, of consolidated net sales, respectively. In fiscal 2020, 10% of the Company’s consolidated net sales were from one of its largest customers; and 49% of the Company's consolidated net sales were from four of the largest customers and their direct subcontractors which individually accounted for 16%, 13%, 10% and 10%, of consolidated net sales, respectively. Other than what has been disclosed, no other single customer or group represented greater than 10% of total net sales in fiscal 2021 and 2020. At September 30, 2021, none of the Company’s largest customers had outstanding net accounts receivable balances that were individually greater than 10% of the total net accounts receivable; and one of the largest customers and their direct subcontractors collectively had outstanding net accounts receivable which accounted for 17% of total net accounts receivable. At September 30, 2020, one of the Company’s largest customers had outstanding net accounts receivable which individually accounted for 11% of total net accounts receivable; and three of the largest customers and their direct subcontractors had outstanding net accounts receivable which accounted for 13%, 13%, and 12% of total net accounts receivable, respectively. The Company performs ongoing credit evaluations of its customers’ financial conditions. The Company believes its allowance for doubtful accounts is sufficient based on the credit exposures outstanding at September 30, 2021. E. INVENTORY VALUATION For a portion of the Company's inventory, cost is determined using the last-in, first-out (“LIFO”) method. For approximately 39% and 47% of the Company’s inventories at September 30, 2021 and 2020, respectively, the LIFO method is used to value the Company’s inventories. The first-in, first-out (“FIFO”) method is used to value the remainder of the Company’s inventories, which are stated at the lower cost or net realizable value. The Company maintains allowances for obsolete and excess inventory. The Company evaluates its allowances for obsolete and excess inventory each quarter and requires at a minimum that reserves be established based on an analysis of the age of the inventory. In addition, if the Company identifies specific obsolescence, other than that identified by the aging criteria, an additional reserve will be recognized. Specific obsolescence and excess reserve requirements may arise due to technological or market changes or based on cancellation of an order. The Company’s reserves for obsolete and excess inventory were $3,444 and $3,676 at September 30, 2021 and 2020, respectively. F. PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment are stated at cost. Depreciation is generally computed using the straight-line method. Depreciation is provided in amounts sufficient to amortize the cost of the assets over their estimated useful lives. Depreciation provisions are based on estimated useful lives: (i) buildings, including building improvements - 5 to 40 years; (ii) machinery and equipment, including office and computer equipment - 3 to 20 years; (iii) software - 3 to 7 years (included in machinery and equipment); and (iv) leasehold improvements - 6 to 15 years range represent the remaining life or length of the lease, whichever is less (included in buildings). The Company's property, plant and equipment assets by major asset class at September 30 consist of: 2021 2020 Property, plant and equipment: Land $ 994 $ 1,000 Buildings 16,931 15,564 Machinery and equipment 92,871 91,461 Total property, plant and equipment 110,796 108,025 Less: Accumulated depreciation 68,088 63,824 Property, plant and equipment, net $ 42,708 $ 44,201 The (gain) loss on disposal of operating assets is included as a separate line item in the accompanying consolidated statements of operations. Depreciation expense was $6,651 and $5,883 in fiscal 2021 and 2020, respectively. G. ASSET IMPAIRMENT The Company reviews the carrying value of its long-lived assets ("asset groups"), including property, plant and equipment, when events and circumstances indicate a triggering event has occurred. This review is performed using estimates of future undiscounted cash flows, which include proceeds from disposal of assets. Under the Accounting Standard Codification ("ASC") 360 ("Topic 360"), if the carrying value of a long-lived asset is greater than the estimated undiscounted future cash flows, then the long-lived asset is considered impaired and an impairment charge is recorded for the amount by which the carrying value of the long-lived asset exceeds its fair value. Fiscal 2021 The Company continuously monitors triggers to determine if further testing is necessary. In the fourth quarter, further assessment was necessary as certain qualitative factors, such as, operating results triggered a recoverability test on its Orange, California ("Orange") location. The results indicated that the long-lived assets, right-of-use assets and definite lived intangible assets were recoverable and did not require further review for impairment. Fiscal 2020 The Company continuously monitored and tested for recoverability at the Orange location. The result of management's analysis on the asset group's recoverability at September 30, 2020 did not require further review for impairment. H. GOODWILL AND INTANGIBLE ASSETS Goodwill represents the excess of the purchase price paid over the fair value of the net assets of an acquired business. Goodwill is subject to impairment testing if triggered in the interim, and if not, on an annual basis. The Company has selected July 31 as the annual impairment testing date. With the adoption of Accounting Standard Update ("ASU") 2017-04, Step 2 has been eliminated from the goodwill impairment test. The first step of the goodwill impairment test compares the fair value of a reporting unit (as defined) with its carrying amount, including goodwill. If the fair value of the reporting unit exceeds its carrying amount, goodwill is not considered impaired. However, if the carrying amount exceeds the fair value, the Company should recognize an impairment charge for the amount by which the carrying amount exceeds the fair value, not to exceed the total amount of goodwill allocated to that reporting unit. See Note 3, Goodwill and Intangibles Assets , of the consolidated financial statements for further discussion of the July 31, 2021 and 2020 annual impairment test results. Intangible assets consist of identifiable intangibles acquired or recognized in the accounting for the acquisition of a business and include such items as a trade name, a non-compete agreement, below market lease, customer relationships and order backlog. Intangible assets are amortized over their useful lives ranging from one year to ten years. Identifiable intangible assets assessment for impairment is evaluated when events and circumstances warrant such a review, as noted within Note 1, Summary of Significant Accounting Policies - Asset Impairment, of the consolidated financial statements. I. NET INCOME (LOSS) PER SHARE The Company’s net loss and income per basic share has been computed based on the weighted-average number of common shares outstanding. Due to the net loss in the reporting period, zero restricted shares and performance shares are included in the calculation of diluted earnings per share because the effect would be anti-dilutive. In the prior period, net income per diluted share reflects the effect of the Company's outstanding restricted shares and performance shares under the treasury method. The dilutive effect is as follows: September 30, 2021 2020 Net income (loss) $ (743) $ 9,191 Weighted-average common shares outstanding (basic) 5,759 5,661 Effect of dilutive securities: Restricted shares — 120 Performance shares — 10 Weighted-average common shares outstanding (diluted) 5,759 5,791 Net income (loss) per share – basic: $ (0.13) $ 1.62 Net income (loss) per share – diluted: $ (0.13) $ 1.59 Anti-dilutive weighted-average common shares excluded from calculation of diluted earnings per share 412 207 J. REVENUE RECOGNITION The Company recognizes revenue using the five-step revenue recognition model in which it depicts the transfer of goods to customers in an amount that reflects the consideration to which a company expects to be entitled in exchange for those goods or services. The revenue standard also requires disclosure sufficient to enable users to understand the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers, including qualitative and quantitative disclosures about contracts with customers, significant judgments and changes in judgments and assets recognized from the cost to obtain or fulfill a contract. Contract Balances Contract assets on the consolidated balance sheets are recognized when a good is transferred to the customer and the Company does not have the contractual right to bill for the related performance obligations. In these instances, revenue recognized exceeds the amount billed to the customer and the right to payment is not solely subject to the passage of time. Amounts do not exceed their net realizable value. Contract liabilities relate to payments received in advance of the satisfaction of performance under the contract. Payment from customers are received based on the terms established in the contract with the customer. K. LEASES The leasing standard requires lessees to recognize a Right-of-Use ("ROU") asset and a lease liability on the consolidated balance sheet, with the exception of short-term leases. The Company primarily leases its manufacturing buildings, specifically at its Orange location, as well as certain machinery and office equipment. The Company determines if a contract contains a lease based on whether the contract conveys the right to control the use of identified assets for a period in exchange for consideration. Upon identification and commencement of a lease, the Company establishes a ROU asset and a lease liability. Operating leases are included in ROU assets, short-term operating lease liabilities, and long-term operating lease liabilities on the consolidated balance sheets. Finance leases are included in property, plant, and equipment, current maturities of long-term debt and long-term debt on the consolidated balance sheets. ROU assets and liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of the leases do not provide an implicit rate, the Company uses the incremental borrowing rate based on the information available at commencement date and duration of the lease term in determining the present value of the future payments. Lease expense for operating leases is recognized on a straight-line basis over the lease term, while the expense for finance leases is recognized as depreciation expense and interest expense using the accelerated interest method of recognition. L. IMPACT OF RECENTLY ADOPTED ACCOUNTING STANDARDS In August 2018, the FASB issued ASU 2018-14, " Compensation—Retirement Benefits—Defined Benefit Plans—General (Subtopic 715-20) ," which adds the following disclosure requirements: (1) the weighted-average interest crediting rates used in the Company's cash balance pension plans and other similar plans; (2) a narrative description of the reasons for significant gains and losses affecting the benefit obligation for the period; and (3) an explanation of any other significant changes in the benefit obligation or plan assets that are not otherwise apparent in the other disclosures required by Accounting Standards Codification ("ASC") Topic 715, "Compensation - Retirement Benefits." The ASU also clarifies the guidance included in ASC 715-20-50-3 on defined benefit plans disclosure requirements. This ASU is effective for the Company and did not have a material impact to the pension disclosures. See Note 8, Retirement Benefit Plans , of the consolidated financial statements for further information. M. IMPACT OF NEWLY ISSUED ACCOUNTING STANDARDS In June 2016, the FASB issued ASU 2016-13, " Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments " and subsequent updates. ASU 2016-13 changes how entities will measure credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. The new guidance will replace the current incurred loss approach with an expected loss model. The new expected credit loss impairment model will apply to most financial assets measured at amortized cost and certain other instruments, including trade and other receivables, loans, held-to-maturity debt instruments, net investments in leases, loan commitments and standby letters of credit. Upon initial recognition of the exposure, the expected credit loss model requires entities to estimate the credit losses expected over the life of an exposure (or pool of exposures). The estimate of expected credit losses should consider historical information, current information and reasonable and supportable forecasts, including estimates of prepayments. Financial instruments with similar risk characteristics should be grouped together when estimating expected credit losses. ASU 2016-13 does not prescribe a specific method to make the estimate, so its application will require significant judgment. ASU 2016-13 is effective for public companies in fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. However, in November 2019, the FASB issued ASU 2019-10, "Financial Instruments - Credit Loss (Topic 326), Derivatives and Hedging (Topic 815) , and Leases (Topic 842) ," which defers the effective date for public filers that qualify as a smaller reporting company ("SRC"), as defined by the Securities and Exchange Commission, to fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Because SIFCO is considered a SRC, the Company does not need to implement this standard until October 1, 2023. The Company will continue to evaluate the effect of adopting ASU 2016-13 will have on the Company's results within the consolidated statements of operations and financial condition. In December 2019, ASU 2019-12, "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes" was issued to (i) reduce the complexity of the standard by removing certain exceptions to the general principles in Topic 740 and (ii) improve consistency and simplify other areas of Topic 740 by clarifying and amending existing guidance. This ASU is effective beginning October 1, 2021. The adoption of this ASU is not expected to have a material impact to the Company's results within the consolidated statements of operations and financial condition. In March 2020, the FASB issued ASU 2020-04, "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting," which is intended to provide temporary optional expedients and exceptions to the U.S. GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burden related to the expected market transition from the London Interbank Offered Rate ("LIBOR") and other interbank offered rates to alternative reference rates. This ASU, along with recently issued ASU 2021-01, which further clarifies the scope of Topic 848, is available immediately and may be implemented in any period prior to the guidance expiration on December 31, 2022. ASU 2020-04 was effective beginning on March 12, 2020, and the Company may elect to apply the amendments prospectively through December 31, 2022. The Company has not applied any optional expedients and exceptions to date, and will continue to evaluate the impact of the guidance and whether it will apply the optional expedients and exceptions. N. USE OF ESTIMATES Accounting principles generally accepted in the U.S. require management to make a number of estimates and assumptions relating to the reported amounts of assets and liabilities and the disclosure of contingent liabilities, at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the period in preparing these financial statements. Actual results could differ from those estimates. O. RESEARCH AND DEVELOPMENT Research and development costs are expensed as they are incurred. Research and development expenses were nominal in fiscal 2021 and 2020. P. DEBT ISSUANCE COSTS Debt issuance costs are capitalized and amortized over the life of the related debt. Amortization of debt issuance costs is included in interest expense in the consolidated statements of operations. Q. ACCUMULATED OTHER COMPREHENSIVE LOSS The components of accumulated other comprehensive loss as shown on the consolidated balance sheets at September 30 are as follows: 2021 2020 Foreign currency translation adjustment, net of income tax benefit of $0 and $0, respectively $ (5,359) $ (5,257) Net retirement plan liability adjustment, net of income tax benefit of $(3,758) and $(3,758), respectively (3,720) (8,211) Total accumulated other comprehensive loss $ (9,079) $ (13,468) The following table provides additional details of the amounts recognized into net earnings from accumulated other comprehensive loss, net of tax: Foreign Currency Translation Adjustment Retirement Plan Liability Adjustment Accumulated Other Comprehensive Loss Balance at September 30, 2019 $ (5,667) $ (7,642) $ (13,309) Other comprehensive income (loss) before reclassifications 410 (1,560) (1,150) Amounts reclassified from accumulated other comprehensive loss — 991 991 Net current-period other comprehensive income (loss) 410 (569) (159) Balance at September 30, 2020 (5,257) (8,211) (13,468) Other comprehensive income (loss) before reclassifications (102) 3,371 3,269 Amounts reclassified from accumulated other comprehensive loss — 1,120 1,120 Net current-period other comprehensive income (loss) (102) 4,491 4,389 Balance at September 30, 2021 $ (5,359) $ (3,720) $ (9,079) The following table reflects the changes in accumulated other comprehensive loss related to the Company for September 30, 2021 and 2020: Amount reclassified from accumulated other comprehensive loss Details about accumulated other comprehensive loss components 2021 2020 Affected line item in the Consolidated Statement of Operations Amortization of Retirement plan liability: Prior service costs $ — $ — (1) Net actuarial gain (loss) 4,217 (808) (1) Settlements/curtailments 274 239 (1) 4,491 (569) Total before taxes — — Income tax expense $ 4,491 $ (569) Net of taxes (1) These accumulated other comprehensive loss components are included in the computation of net periodic benefit cost. See Note 8, Retirement Benefit Plans , of the consolidated financial statements for further information. R. INCOME TAXES The Company files a consolidated U.S. federal income tax return and tax returns in various state and local jurisdictions. The Company’s Irish and Italian subsidiaries also file tax returns in their respective jurisdictions. The Company provides deferred income taxes for the temporary difference between the financial reporting basis and tax basis of the Company’s assets and liabilities. Such taxes are measured using the enacted tax rates that are assumed to be in effect when the differences reverse. Deductible temporary differences result principally from recording certain expenses in the financial statements in excess of amounts currently deductible for tax purposes. Taxable temporary differences result principally from tax depreciation in excess of book depreciation. The Company evaluates for uncertain tax positions taken at each balance sheet date. The Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the financial statements is the largest cumulative benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the relevant tax authority. The Company's policy for interest and/or penalties related to underpayments of income taxes is to include interest and penalties in tax expenses. The Company maintains a valuation allowance against its deferred tax assets when management believes it is more likely than not that all or a portion of a deferred tax asset may not be realized. Changes in valuation allowances are recorded in the period of change. In determining whether a valuation allowance is warranted, the Company evaluates factors such as prior earnings history, expected future earnings, carry-back and carry-forward periods and tax strategies that could potentially enhance the likelihood of the realization of a deferred tax asset. The Tax Cut and Jobs Act (the "Act") includes provisions for Global Intangible Low-Taxed Income (“GILTI”) wherein minimum taxes are imposed on foreign income in excess of a deemed return on the tangible assets of foreign corporations. This income will effectively be taxed at a 10.5% tax rate. GILTI was effective for the Company starting in fiscal 2019. The Company has elected to account for GILTI as a component of tax expense in the period in which the Company is subject to the rules. S. FAIR VALUE MEASUREMENTS Fair value is defined as the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. In determining fair value, the Company utilizes certain assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and/or the risks inherent in the inputs to the valuation technique. Based on the examination of the inputs used in the valuation techniques, the Company is required to provide the following information according to the fair value hierarchy. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values. Financial assets and liabilities carried at fair value will be classified and disclosed in one of the following three categories: Level 1 - Quoted market prices in active markets for identical assets or liabilities Level 2 - Observable market based inputs or unobservable inputs that are corroborated by market data Level 3 - Unobservable inputs that are not corroborated by market data A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The book value of cash equivalents, accounts receivable, and accounts payable are considered to be representative of their fair values because of their short maturities. The carrying value of debt is considered to approximate the fair value based on the borrowing rates currently available to us for loans with similar terms and maturities. Fair value measurements of non-financial assets and non-financial liabilities are primarily used in goodwill, other intangible assets and long-lived assets impairment analysis, the valuation of acquired intangibles and in the valuation of assets held for sale. Goodwill and intangible assets are valued using Level 3 inputs. T. SHARE-BASED COMPENSATION Share-based compensation is measured at the grant date, based on the calculated fair value of the award and the probability of meeting its performance condition, and is recognized as expense when it is probable that the performance conditions will be met over the requisite service period (generally the vesting period). Share-based expense includes expense related to restricted shares and performance shares issued under the Company's 2007 Plan Long-Term Incentive Plan (Amended and Restated as of November 16, 2016) (as further amended, the "2016 Plan"). The Company recognizes share-based expense within selling, general, and administrative expense and adjusts for any forfeitures as they occur. U. GOING CONCERN In accordance with ASU 2014-15, " Presentation of Financial Statements—Going Concern (Subtopic 205-40) ("ASC 205-40") ", the Company has the responsibility to evaluate whether conditions and/or events raise substantial doubt about its ability to meet its future financial obligations as they become due within one year after the date that the financial statements are issued. This evaluation requires management to perform two steps. First, management must evaluate whether there are conditions and events that raise substantial doubt about the entity’s ability to continue as a going concern. Second, if management concludes that |
Inventories
Inventories | 12 Months Ended |
Sep. 30, 2021 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories at September 30 consist of: 2021 2020 Raw materials and supplies $ 4,111 $ 6,548 Work-in-process 3,560 3,786 Finished goods 4,875 5,235 Total inventories $ 12,546 $ 15,569 If the FIFO method had been used for the entire Company, inventories would have been $9,210 and $8,286 higher than reported at September 30, 2021 and 2020, respectively. LIFO expense was $924 in fiscal 2021 and a LIFO benefit was $10 in fiscal 2020. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Sep. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The Company’s intangible assets by major asset class subject to amortization as of: September 30, 2021 Weighted Average Life at September 30, Original Accumulated Impairment Currency Translation Net Book Intangible assets: Trade name 8 years $ 1,876 $ 1,850 $ — $ — $ 26 Technology asset 5 years 1,869 1,869 — — — Customer relationships 10 years 13,589 12,736 — (5) 848 Total intangible assets $ 17,334 $ 16,455 $ — $ (5) $ 874 September 30, 2020 Intangible assets: Trade name 8 years $ 1,876 $ 1,729 $ — $ (12) $ 135 Technology asset 5 years 1,869 1,843 — (24) 2 Customer relationships 10 years 13,589 11,833 — (3) 1,753 Total intangible assets $ 17,334 $ 15,405 $ — $ (39) $ 1,890 The amortization expense on identifiable intangible assets for fiscal 2021 and 2020 was $1,011 and $1,497, respectively. Amortization expense associated with the identified intangible assets is expected to be as follows: Amortization Fiscal year 2022 $ 324 Fiscal year 2023 247 Fiscal year 2024 174 Fiscal year 2025 129 Fiscal year 2026 — Goodwill is not amortized, but is subject to an annual impairment test. The Company tests its goodwill for impairment in the fourth fiscal quarter, and in interim periods if certain events occur indicating that the carrying amount of goodwill may be impaired. The Company uses a fair value measurement approach which combines the income (discounted cash flow method) and market valuation (market comparable method) techniques for each of the Company’s reporting units that carry goodwill. These valuation techniques use estimates and assumptions including, but not limited to, the determination of appropriate market comparable, projected future cash flows (including timing and profitability), discount rate reflecting the risk inherent in future cash flows, perpetual growth rate, and projected future economic and market conditions (Level 3 inputs). Although the Company believes its assumptions are reasonable, actual results may vary significantly and may expose the Company to material impairment charges in the future. The methodology for determining fair values was consistent for the periods presented. 2021 and 2020 Annual Goodwill Impairment Tests SIFCO performed its annual impairment test as of July 31, 2021 and 2020, respectively, for the Cleveland, Ohio ("Cleveland") reporting unit. Results determined that the fair value of the reporting unit exceeded the carrying value at each assessment date. No impairment charge as of September 30, 2021 and 2020, respectively. Goodwill is expected to be deductible for tax purposes. Changes in the net carrying amount of goodwill were as follows: Balance at September 30, 2019 $ 3,493 Goodwill impairment adjustment — Currency translation — Balance at September 30, 2020 3,493 Goodwill impairment adjustment — Currency translation — Balance at September 30, 2021 $ 3,493 |
Accrued Liabilities
Accrued Liabilities | 12 Months Ended |
Sep. 30, 2021 | |
Payables and Accruals [Abstract] | |
Accrued Liabilities | Accrued Liabilities Accrued liabilities at September 30 consist of: 2021 2020 Accrued employee compensation and benefits $ 4,075 $ 5,476 Accrued workers’ compensation 888 546 Contract liabilities 236 636 Other accrued liabilities 1,672 1,632 Total accrued liabilities $ 6,871 $ 8,290 |
Debt
Debt | 12 Months Ended |
Sep. 30, 2021 | |
Debt Disclosure [Abstract] | |
Debt | Debt Debt at September 30 consists of: 2021 2020 Revolving credit agreement $ 8,930 $ 12,870 Foreign subsidiary borrowings 6,632 5,759 Capital lease obligations 22 80 Other, net of unamortized debt issuance cost $(32) and $(20) 5,581 5,911 Total debt 21,165 24,620 Less – current maturities (18,496) (20,014) Total long-term debt $ 2,669 $ 4,606 Credit Agreement and Security Agreement The Company's asset-based Credit Agreement (as amended, the "Credit Agreement"), Security Agreement (“Security Agreement”) and Export Credit Agreement (as amended, the "Export Credit Agreement") are secured by substantially all the assets of the Company and its U.S. subsidiaries and a pledge of 66.67% of the stock of its first-tier non-U.S. subsidiaries. The Credit Agreement (as amended by Fifth Amendment (the "Fifth Amendment") described below), consists of a senior secured revolving credit facility with a maximum borrowing of $28,000. The revolving commitment through the Export Credit Agreement, as amended, which lends amounts to the Company on foreign receivables is $7,000. The Credit Agreement also has an accordion feature, which allows the Company to increase maximum borrowings by up to $10,000 upon consent of the Lender (as defined below) or upon additional lenders joining the Credit Agreement. The Credit Agreement and the Export Agreement were amended on February 19, 2021, when the Company and certain of its subsidiaries (collectively, the "borrowers") entered into the Fifth Amendment to the Credit Agreement and the First Amendment (the "First Amendment") to the Export Credit Agreement, in each case, with JPMorgan Chase Bank, N.A., a national banking association, (the "Lender"). The combined maximum borrowings remain unchanged at $35,000; however the maximum borrowing under the Credit Agreement was decreased to $28,000 (from $30,000) and the revolving commitment through the Export Agreement was increased to $7,000 (from $5,000). The Fifth Amendment, among other things, extended the maturity date from August 6, 2021 to February 19, 2024. The Credit Agreement contains affirmative and negative covenants and events of defaults. Prior to the Fifth Amendment, the Credit Agreement required the Company to maintain a fixed charge coverage ratio ("FCCR") of 1.1:1.0 any time the availability is equal to or less than 12.5% of the revolving commitment. However, the Fifth Amendment provides that the Company will not permit the fixed charge coverage ratio to be less than 1.1 to 1.0 as of the last day of any calendar month; provided that the fixed charge coverage ratio will not be tested unless (i) a default has occurred and is continuing, (ii) when the combined availability was less than or equal to the greater of (x) 10% of the lesser of the combined commitments or (y) 10% of the combined borrowing base, and $2,000, for three or more business days in any consecutive 30 day period. In the event of a default, the Company may not be able to access the revolver, which could impact the ability to fund working capital needs, capital expenditures and invest in new business opportunities. The total collateral at September 30, 2021 and September 30, 2020 was $25,370 and $26,964, respectively and the revolving commitment was $35,000 for both periods. Total availability at September 30, 2021 and September 30, 2020 was $14,570 and $13,284, respectively, which exceeds both the collateral and total commitment threshold. Since the availability was greater than the 10.0% of the revolving commitment as of September 30, 2021 and 12.5% of the revolving commitment at September 30, 2020, the FCCR calculation was not required. Borrowings will bear interest at the Lender's established domestic rate or LIBOR, plus the applicable margin as set forth in the Fifth Amendment. The revolver has a rate based on LIBOR plus 1.75% spread, which was 1.84% at September 30, 2021 and a rate based on LIBOR plus 1.5% spread, which was 1.7% at September 30, 2020. The Export Credit Agreement has a rate based on LIBOR plus 1.25% spread, which was 1.3% at September 30, 2021 and a rate based on LIBOR plus 1.0% spread, which was 1.2% at September 30, 2020, respectively. The Company also has a commitment fee of 0.25% under the Credit Agreement as amended to be incurred on the unused balance of the revolver. Foreign subsidiary borrowings Foreign debt at September 30 consists of: 2021 2020 Term loan $ 3,127 $ 2,670 Short-term borrowings 1,867 2,620 Factor 1,638 469 Total debt $ 6,632 $ 5,759 Less – current maturities (4,551) (3,544) Total long-term debt $ 2,081 $ 2,215 Receivables pledged as collateral $ 485 $ 1,859 Interest rates are based on Euribor rates plus spread which range from 1.0% to 4.2%. In September 2020, Maniago entered into a long-term term debt agreement in the amount of $1,465, which was used to repay existing debt and for working capital purposes. The long-term loan repayment schedule is over a 72 month period and has a rate based on Euribor plus 3.20% spread, which was 2.7% at September 30, 2020. To assist with the preservation of liquidity and uncertainty of COVID-19, subsequent to September 30, 2020, Maniago finalized with certain lenders a deferment of payments ranging between 6 to 12 months which has been reflected within the future minimum payment schedule. The Company factors receivables from one of its customers. The factoring programs are uncommitted, whereby the Company offers receivables for sale to an unaffiliated financial institution, which are then subject to acceptance by the unaffiliated financial institution. Following the sale and transfer of the receivables to the unaffiliated financial institution, the receivables are not isolated from the Company, and effective control of the receivables is not passed to the unaffiliated financial institution, which does not have the right to pledge or sell the receivables. The Company accounts for the pledge of receivables under this agreement as short-term debt and continues to carry the receivables on its consolidated balance sheets. The Maniago, Italy ("Maniago") location obtained borrowings from two separate lenders in the third quarter of fiscal 2021. The first loan was for $717 with repayment terms of approximately seven years, of which $287 was forgiven in the same period and was recorded in other income within the consolidated statements of operations and treated as a gain on debt extinguishment. A second loan with a five year term was obtained in the amount of $303. The proceeds of these loans were used for working capital purposes. Payments on long-term debt under the foreign term debt and other debt (excluding finance lease obligations, see Note 10, Leases , of the consolidated financial statements) over the next 5 years are as follows: Minimum long-term debt payments 2022 $ 9,729 2023 658 2024 687 2025 550 2026 465 thereafter 156 Total Minimum long-term debt payments $ 12,245 Debt issuance costs The Company incurred debt issuance costs as it pertains to the Fifth Amendment in the amount of $45 and combined the amount with the remaining unamortized debt issuance costs prior to the amendment for a total of $86, which is included in the consolidated balance sheets as a deferred charge in other current assets, net of amortization of $17 and $205 at September 30, 2021 and 2020, respectively. Other On April 10, 2020, the Company entered into an unsecured promissory note under the Paycheck Protection Program (the “PPP Loan”). The PPP Loan to the Company was made through JPMorgan Chase Bank, N.A., a national banking association and the Company’s existing lender. The note has an aggregate principal amount of approximately $5,025, of which $261 was repaid in fiscal 2020 and has a two year term. The interest rate on the PPP Loan is 0.98%, which was deferred for the first six months of the term of the loan. The promissory note evidencing the PPP Loan contains customary events of default. The occurrence of an event of default may result in the repayment of all amounts outstanding, collection of all amounts owed from the Company, and/or filing suit and obtaining judgment against the Company. The loan proceeds were received on April 10, 2020 and were used for payroll payments. As of September 30, 2021 and 2020, the PPP loan balance was $4,764. PPP Loan recipients can apply for and potentially be granted forgiveness for all or a portion of loans granted under the Paycheck Protection Program. Such forgiveness will be determined, subject to limitations, based on the use of loan proceeds for payroll costs. As of September 30, 2021, the Company has applied for forgiveness of all of its PPP Loan to the Small Business Administration. While we expect to meet the standards for full forgiveness of the PPP Loan, there is no assurance that we will meet such standards. |
Revenue
Revenue | 12 Months Ended |
Sep. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue The Company produces forged components for (i) turbine engines that power commercial, business and regional aircraft as well as military aircraft and armored military vehicles; (ii) airframe applications for a variety of aircraft; (iii) industrial gas and steam turbine engines for power generation units; and (iv) other commercial applications. The following table represents a breakout of total revenue by customer type: Years Ended 2021 2020 Commercial revenue $ 36,587 $ 48,335 Military revenue 63,004 65,238 Total $ 99,591 $ 113,573 The following table represents revenue by the various components: Years Ended Net Sales 2021 2020 Aerospace components for: Fixed wing aircraft $ 38,474 $ 52,039 Rotorcraft 27,214 31,454 Energy components for power generation units 20,390 16,682 Commercial product and other revenue 13,513 13,398 Total $ 99,591 $ 113,573 The following table represents revenue by geographic region based on the Company's selling operation locations: Years Ended Net Sales 2021 2020 North America $ 81,719 $ 98,144 Europe 17,872 15,429 Total $ 99,591 $ 113,573 In addition to the disaggregating revenue information provided above, approximately 65% and 59% of total net sales as of September 30, 2021 and 2020, respectively, was recognized on an over-time basis because of the continuous transfer of control to the customer, with the remainder recognized as a point in time. Contract Balances Generally, payment is due shortly after the shipment of goods. For performance obligations recognized at a point in time, a contract asset is not established as the billing and revenue recognition occur at the same time. For performance obligations recognized over time, a contract asset is established as revenue that is recognized prior to billing and shipment. Upon shipment and billing, the value of the contract asset is reversed and accounts receivable is recorded. In circumstances where prepayments are required and payment is made prior to satisfaction of performance obligations, a contract liability is established. If the satisfaction of the performance obligation occurs over time, the contract liability is reversed over the course of production. If the satisfaction of the performance obligation is point in time, the contract liability reverses upon shipment. The following table contains a roll forward of contract assets and contract liabilities for the period ended September 30, 2021 and 2020: Contract assets - Ending balance, September 30, 2019 $ 10,349 Additional revenue recognized over-time 67,043 Less amounts billed to the customers (65,395) Contract assets - Ending balance, September 30, 2020 $ 11,997 Additional revenue recognized over-time 64,384 Less amounts billed to the customers (63,507) Contract assets - Ending balance, September 30, 2021 $ 12,874 Contract liabilities (included within Accrued liabilities) - Ending balance, September 30, 2019 $ (382) Payments received in advance of performance obligations (865) Performance obligations satisfied 611 Contract liabilities (included within Accrued liabilities) - Ending balance, September 30, 2020 $ (636) Payments received in advance of performance obligations (829) Performance obligations satisfied 1,229 Contract liabilities (included within Accrued liabilities) - Ending balance, September 30, 2021 $ (236) There were no impairment losses recorded on contract assets during the year ended September 30, 2021 and 2020, respectively. Remaining performance obligations As of September 30, 2021 and 2020, the Company has $77,198 and $91,135, respectively, of remaining performance obligations, the majority of which are anticipated to be completed within the next twelve months. |
Income Taxes
Income Taxes | 12 Months Ended |
Sep. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The components of income (loss) before income tax benefit are as follows: Years Ended 2021 2020 U.S. $ (1,523) $ 10,071 Non-U.S. (442) (1,091) Income (loss) before income tax benefit $ (1,965) $ 8,980 Income tax benefit consist of the following: Years Ended 2021 2020 Current income tax provision (benefit): U.S. federal $ (1) $ — U.S. state and local 8 19 Non-U.S. 59 192 Total current tax provision 66 211 Deferred income tax provision (benefit): U.S. federal 10 10 U.S. state and local (2) 1 Non-U.S. (1,296) (433) Total deferred tax benefit (1,288) (422) Income tax benefit $ (1,222) $ (211) The income tax benefit in the accompanying consolidated statements of operations differs from amounts determined by using the statutory rate as follows: Years Ended 2021 2020 Income (loss) before income tax benefit $ (1,965) $ 8,980 Income tax provision (benefit) at U.S. federal statutory rates $ (413) $ 1,886 Tax effect of: Foreign rate differential (193) — State and local income taxes 6 20 Federal tax credits (145) (135) Valuation allowance 601 (2,025) Prior year tax adjustments (1,115) — Other 37 43 Income tax benefit $ (1,222) $ (211) On December 27, 2020, the Consolidated Appropriations Act, 2021 (the "Appropriations Act") was enacted in response to the COVID-19 pandemic. The Appropriations Act, among other actions temporarily extends through December 31, 2025 certain expiring tax credits and other provisions. Additionally, the Appropriations Act enacts new provisions and extends certain provisions originated within the Coronavirus Aid, Relief and Economic Security Act (the "CARES Act"), enacted on March 27, 2020. The CARES Act included provisions relating to refundable payroll tax credits, deferral of certain payment requirements for the employer portion of Social Security taxes, net operating loss carryback periods and temporarily increasing the amount of net operating losses that corporations can use to offset income, alternative minimum tax ("AMT") credit refunds, modifications to the net interest deduction limitations, and technical corrections to tax depreciation methods for qualified improvement property. The Appropriations Act and CARES Act did not materially affect the Company’s income tax provision, deferred tax assets and liabilities, or related taxes payable for fiscal 2021. The Company will continue to assess the implications of these and any new relief provisions on its consolidated financial statements but does not expect the impact to be material. Deferred tax assets and liabilities at September 30 consist of the following: 2021 2020 Deferred tax assets: Net U.S. operating loss carryforwards $ 3,833 $ 3,543 Net non-U.S. operating loss carryforwards 637 789 Employee benefits 1,761 2,688 Inventory reserves 897 1,049 Allowance for doubtful accounts 45 73 Intangibles 1,621 2,197 Foreign tax credits 1,724 1,724 Other tax credits 1,514 1,359 Other 1,216 1,171 Total deferred tax assets $ 13,248 $ 14,593 Deferred tax liabilities: Depreciation (7,948) (8,653) Prepaid expenses (359) (376) Other (458) (1,635) Total deferred tax liabilities $ (8,765) $ (10,664) Net deferred tax assets 4,483 3,929 Valuation allowance (4,641) (5,329) Net deferred tax liabilities $ (158) $ (1,400) At September 30, 2021, the Company has a non-U.S. tax loss carryforward of approximately $5,585 related to the Company’s non-operating and Italian subsidiaries. The Company's non-operating subsidiary ceased operations in 2007 and therefore, a valuation allowance has been recorded against the deferred tax asset related to the Irish tax loss carryforward because it is unlikely that such operating loss can be utilized unless the Irish subsidiary resumes operations. Additionally, a valuation allowance has been recorded against the deferred tax asset related to the Italian tax loss carryforward as it is not more-likely-than-not that the deferred tax asset will be realizable. The non-operating and Italian tax loss carryforwards do not expire. The Company has $1,724 of foreign tax credit carryforwards that are subject to expiration in fiscal 2023-2028, $1,337 of U.S. general business tax credits that are subject to expiration in 2035-2041, and $14,588 of U.S. Federal tax loss carryforwards with $9,107 subject to expiration in fiscal 2037 and $5,481 that do not expire. A valuation allowance has been recorded against the deferred tax assets related to the foreign tax credit carryforwards, U.S. general business credits, and U.S. Federal tax loss carryforwards. In addition, the Company has $178 of U.S. state tax credit carryforwards subject to expiration in fiscal 2022-2024 and $21,763 of U.S. state and local tax loss carryforwards subject to expiration in fiscal 2022-2041. The U.S. state tax credit carryforwards and U.S. state and local tax loss carryforwards have been fully offset by a valuation allowance. The Company reported liabilities for uncertain tax positions, excluding any related interest and penalties, of $22 for both fiscal 2021 and 2020. If recognized, $22 of the fiscal 2021 uncertain tax positions would impact the effective tax rate. As of September 30, 2021, the Company had accrued interest of $15 and recognized $1 for interest and penalties in operations. The Company classifies interest and penalties on uncertain tax positions as income tax expense. A summary of activity related to the Company’s uncertain tax position is as follows: 2021 2020 Balance at beginning of year $ 22 $ 22 Decrease due to lapse of statute of limitations — — Balance at end of year $ 22 $ 22 The Company is subject to income taxes in the U.S. federal jurisdiction, Ireland, Italy and various states and local jurisdictions. The Company believes it has appropriate support for its federal income tax returns. The Company is no longer subject to U.S. federal income tax examinations by tax authorities for fiscal years prior to 2018, state and local income tax examinations for fiscal years prior to 2015, or non-U.S. income tax examinations by tax authorities for fiscal years prior to 2007. The Company does not record deferred taxes on the undistributed earnings of its non-U.S. subsidiaries as it does not expect the temporary differences related to those unremitted earnings to reverse in the foreseeable future. As of September 30, 2021, the Company's non-U.S. subsidiaries had accumulated deficits of approximately $500. Future distributions of accumulated earnings of the Company's non-U.S. subsidiaries may be subject to nominal withholding taxes. |
Retirement Benefit Plans
Retirement Benefit Plans | 12 Months Ended |
Sep. 30, 2021 | |
Retirement Benefits [Abstract] | |
Retirement Benefit Plans | Retirement Benefit Plans Defined Benefit Plans The Company and certain of its subsidiaries sponsor four defined benefit pension plans covering some of its employees. The Company’s funding policy for its defined benefit pension plans is based on an actuarially determined cost method allowable under Internal Revenue Service regulations. One of the defined benefit pension plans covers non-union employees of the Company’s U.S. operations who were hired prior to March 1, 2003. Benefit accruals ceased in March 2003. A second defined benefit plan covered employees at a business location that closed in December 2013, at which time benefits accruals ceased. The third defined pension plan covers one of the Company's union groups at the Cleveland location. See Notes 11 and 12, Commitment and Contingencies and Business information, for further discussion regarding its union status. Benefits accruals under this plan ceased in March 2020, when the then-current union disclaimed all interest in the bargaining unit. Curtailment occurred; however, there was no impact to consolidated financial statements. A new union has been certified and collective bargaining is underway. Such bargaining will determine whether benefit accruals under this plan will resume or whether retirement benefits will be provided through a defined contribution plan. The Company sponsors a fourth defined benefit plan for certain employees at its Maniago location. The plan is a severance entitlement payable to the Italian employees who qualified prior to December 27, 2006. The plan is considered an unfunded defined benefit plan and its liability is measured as the actuarial present value of the vested benefits to which the employees would be entitled if they separated at the consolidated balance sheet date. The Company uses a September 30 measurement date for its U.S. defined benefit pension plans. Net pension expense, benefit obligations and plan assets for the Company-sponsored defined benefit pension plans consists of the following: Years Ended 2021 2020 Service cost $ 131 $ 341 Interest cost 699 832 Expected return on plan assets (1,421) (1,453) Amortization of net loss 846 752 Settlement cost 274 239 Net pension expense for defined benefit plans $ 529 $ 711 The status of all defined benefit pension plans at September 30 is as follows: 2021 2020 Benefit obligations: Benefit obligations at beginning of year $ 31,793 $ 30,548 Service cost 131 341 Interest cost 699 832 Actuarial (gain) loss (967) 2,037 Benefits paid (2,349) (1,965) Currency translation 23 — Benefit obligations at end of year $ 29,330 $ 31,793 Plan assets: Plan assets at beginning of year $ 21,609 $ 20,970 Actual return on plan assets 3,825 1,930 Employer contributions 126 674 Benefits paid (2,349) (1,965) Plan assets at end of year $ 23,211 $ 21,609 As shown within the above table, there was a decrease in the benefit obligation of $2,463 to $29,330 at September 30, 2021 compared with $31,793 at September 30, 2020. The primary drivers that attributed to the change pertained to updates in the mortality scale and the discount rate used along with asset returns being better than expected. Plans in which 2021 2020 Reconciliation of funded status: Plan assets less than projected benefit obligations $ (6,119) $ (10,211) Amounts recognized in accumulated other comprehensive loss: Net loss 7,482 11,973 Net amount recognized in the consolidated balance sheets $ 1,363 $ 1,762 Amounts recognized in the consolidated balance sheets are: Accrued liabilities (46) (46) Pension liability (6,073) (10,165) Accumulated other comprehensive loss – pretax 7,482 11,973 Net amount recognized in the consolidated balance sheets $ 1,363 $ 1,762 Where applicable, the following weighted-average assumptions were used in developing the benefit obligation and the net pension expense for defined benefit pension plans: Years Ended 2021 2020 Discount rate for liabilities 2.6 % 2.3 % Discount rate for expenses 3.1 % 2.9 % Expected return on assets 7.0 % 7.2 % The Company holds investments in pooled separate accounts and common/collective trusts, in which the fair value of assets of the underlying funds are determined in the following ways: • U.S. equity securities are comprised of domestic equities that are priced using the closing price of the applicable nationally recognized stock exchange, as provided by industry standard vendors such as Interactive Data Corporation. • Non-U.S. equity securities are comprised of international equities. These securities are priced using the closing price from the applicable foreign stock exchange. • U.S. bond funds are comprised of domestic fixed income securities. Securities are priced by industry standards vendors, such as Interactive Data Corporation, using inputs such as benchmark yields, reported trades, broker/dealer quotes, or issuer spreads. ◦ Included as part of the U.S. bond funds, are private placement funds, for which fair market value is not always commercially available, the fair value of these investments is primarily determined using a discounted cash flow model, which utilizes a discount rate based upon the average of spread surveys collected from private-market intermediaries who are active in both primary and secondary transactions, and takes into account, among other factors, the credit quality and industry sector of the issuer and the reduced liquidity associated with private placements. • Non-U.S. bond funds are comprised of international fixed income securities. Securities are priced by Interactive Data Corporation, using inputs such as benchmark yields, reported trades, broker/dealer quotes, or issuer spreads. • Stable value fund is comprised of short-term securities and cash equivalent securities, which seek to provide high current income consistent with the preservation of principal and liquidity. As permitted under relevant securities laws, securities in this type of fund are valued initially at cost and thereafter adjusted for amortization of any discount or premium. The methods described above may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. However, while the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement result. The following tables set forth the asset allocation of the Company’s defined benefit pension plan assets and summarize the fair values and levels within the fair value hierarchy for such plan assets as of September 30, 2021 and 2020: September 30, 2021 Asset Level 2 Level 3 U.S. equity securities: Large value $ 514 $ 514 $ — Large blend 10,227 10,227 — Large growth 519 519 — Mid blend 223 223 — Small blend 697 697 — Non-U.S. equity securities: Foreign large blend 1,807 1,807 — Diversified emerging markets 86 86 — U.S. debt securities: Inflation protected bond 1,087 1,087 — Intermediate term bond 7,396 5,288 2,108 High inflation bond 189 189 — Non-U.S. debt securities: Emerging markets bonds 164 164 — Stable value: Short-term bonds 302 302 — Total plan assets at fair value $ 23,211 $ 21,103 $ 2,108 September 30, 2020 Asset Level 2 Level 3 U.S. equity securities: Large value $ 175 $ 175 $ — Large blend 9,334 9,334 — Large growth 1,109 1,109 — Mid blend 176 176 — Small blend 224 224 — Non-U.S. equity securities: Foreign large blend 1,603 1,603 — Diversified emerging markets 50 50 — U.S. debt securities: Inflation protected bond 1,028 1,028 — Intermediate term bond 7,479 5,381 2,098 High inflation bond 178 178 — Non-U.S. debt securities: Emerging markets bonds 106 106 — Stable value: Short-term bonds 147 147 — Total plan assets at fair value $ 21,609 $ 19,511 $ 2,098 Changes in the fair value of the Company’s Level 3 investments during the years ending September 30, 2021 and 2020 were as follows: 2021 2020 Balance at beginning of year $ 2,098 $ 2,005 Actual return on plan assets 52 128 Purchases and sales of plan assets, net (42) (35) Balance at end of year $ 2,108 $ 2,098 Investment objectives relative to the assets of the Company’s defined benefit pension plans are to (i) optimize the long-term return on the plans’ assets while assuming an acceptable level of investment risk; (ii) maintain an appropriate diversification across asset categories and among investment managers; and (iii) maintain a careful monitoring of the risk level within each asset category. Asset allocation objectives are established to promote optimal expected returns and volatility characteristics given the long-term time horizon for fulfilling the obligations of the Company’s defined benefit pension plans. Selection of the appropriate asset allocation for the plans’ assets was based upon a review of the expected return and risk characteristics of each asset category in relation to the anticipated timing of future plan benefit payment obligations. The Company has a long-term objective for the allocation of plan assets. However, the Company realizes that actual allocations at any point in time will likely vary from this objective due principally to (i) the impact of market conditions on plan asset values and (ii) required cash contributions to and distribution from the plans. The “Asset Allocation Range” listed below anticipates these potential scenarios and provides flexibility for the Plan’s investments to vary around the objective without triggering a reallocation of the assets, as noted by the following: Percent of Plan Assets at Asset Allocation Range 2021 2020 U.S. equities 53 % 51 % 30% to 70% Non-U.S. equities 8 % 8 % 0% to 20% U.S. debt securities 37 % 40 % 20% to 70% Non-U.S. debt securities 1 % — % 0% to10% Other securities 1 % 1 % 0% to 60% Total 100 % 100 % External consultants assist the Company with monitoring the appropriateness of the above investment strategy and the related asset mix and performance. To develop the expected long-term rate of return assumptions on plan assets, generally the Company uses long-term historical information for the target asset mix selected. Adjustments are made to the expected long-term rate of return assumptions when deemed necessary based upon revised expectations of future investment performance of the overall investments markets. The Company anticipates making approximately $83 in contributions to its defined benefit pension plans during fiscal 2022. The Company has carryover balances from previous periods that may be available for use as a credit to reduce the amount of contributions that the Company is required to make to certain of its defined benefit pension plans in fiscal 2022. The Company’s ability to elect to use such carryover balances will be determined based on the actual funded status of each defined benefit pension plan relative to the plan’s minimum regulatory funding requirements. The following defined benefit payment amounts are expected to be made in the future: Years Ending September 30, Projected 2022 $ 2,188 2023 1,813 2024 1,844 2025 1,924 2026 1,793 2027-2031 8,251 Multi-Employer Plan As noted within Note 12, Business Information, one of the bargaining units previously participated in a multi-employer plan; however, as part of the ratification of a new collective bargaining agreement in December 2019, there was a provision to withdraw from the existing multi-employer plan effective December 31, 2019. The withdrawal resulted in a liability of $739, which was recorded within the costs of goods sold line in fiscal 2020 of the consolidated statements of operations and is included in other long-term liabilities. The liability is payable in quarterly installments over the next 20 years. The next four quarterly installments are recorded in accrued liabilities of the consolidated balance sheet. The Company's withdrawal from the multi-employer plan was to mitigate the risks associated with such type of plan. Subsequent to the withdrawal, the remaining risk to the Company is the potential occurrence of a "mass withdrawal" of all participating employers within three years of the Company's withdrawal date, in which case the Company could be assessed additional withdrawal liability. Defined Contribution Plans Substantially all non-union U.S. employees of the Company and its U.S. subsidiaries are eligible to participate in the Company’s U.S. defined contribution plan. The Company makes non-discretionary, regular matching contributions to this plan equal to an amount that represents one hundred percent (100%) of a participant’s deferral contribution up to one percent (1%) of eligible compensation plus eighty percent (80%) of a participant’s deferral contribution between one percent (1%) and six percent (6%) of eligible compensation. The Company’s regular matching contribution expense for its U.S. defined contribution plan in fiscal 2021 and 2020 was $571 and $648, respectively. This defined contribution plan provides that the Company may also make an additional discretionary matching contribution during those periods in which the Company achieves certain performance levels. The Company did not provide additional discretionary matching contributions in either fiscal 2021 and 2020. Effective January 1, 2020, the Company sponsors a defined contribution plan for the Cleveland bargaining unit that withdrew from the multi-employer plan, as described above. The Company makes a non-elective contribution equal to $1.50 per work, vacation, or holiday hour, up to a maximum of 40 hours per week. The Company's non-elective contribution expense was $112 in fiscal 2021 and $56 in fiscal 2020. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Sep. 30, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation The Company has awarded performance and restricted shares under the Company's 2007 Long-Term Incentive Plan ("2007 Plan") and the Company's 2007 Long-Term Incentive Plan (Amended and Restated as of November 16, 2016) (as further amended, the "2016 Plan"). The aggregate number of shares that may be awarded by the Company under the 2016 Plan is 1,196 shares, less any shares previously awarded and subject to an adjustment for the forfeiture of any unvested shares. In addition, shares that may be awarded are subject to individual recipient award limitations. The shares awarded under the 2016 Plan may be made in multiple forms including stock options, stock appreciation rights, restricted or unrestricted stock, and performance related shares. Any such awards are exercisable no later than ten years from the date of grant. The performance shares that have been awarded under both plans generally provide for the vesting of the Company’s common shares upon the Company achieving certain defined financial performance objectives during a period up to three years following the granting of such award. The ultimate number of common shares of the Company that may be earned pursuant to an award ranges from a minimum of no shares to a maximum of 200% of the initial target number of performance shares awarded, depending on the level of the Company’s achievement of its financial performance objectives. Beginning in fiscal 2020, the maximum shares that may be achieved was reduced to 150% of target. With respect to such performance shares, compensation expense is being accrued based on the probability of meeting the performance target. The Company is currently recognizing compensation expense for one of its tranches of awards at 50% of target where it has concluded it is probable that the performance criteria for this award will be met, while the Company is not recognizing compensation expense for two tranches of awards as it has concluded it is not probable that the performance criteria for those awards will be met. During each future reporting period, such expense may be subject to adjustment based upon the Company's financial performance, which impacts the number of shares that it expects to vest upon the completion of a performance period. The performance shares were valued at the closing market price of the Company’s common shares on the date of grant. The vesting of such shares is determined at the end of the performance period. The Company has awarded restricted shares to certain of its directors, officers and other employees of the Company. The restricted shares were valued at the closing market price of the Company’s common shares on the date of grant, and such value was recorded as unearned compensation. The unearned compensation is being amortized ratably over the restricted stock vesting period of one three If all outstanding share awards are ultimately earned and vest at the target number of shares, there are approximately 447 shares that remain available for award at September 30, 2021. If any of the outstanding share awards are ultimately earned and vest at greater than the target number of shares, up to the maximum of 200% or 150% of such target, then a fewer number of shares would be available for award. Stock-based compensation under the 2016 Plan was expense of $469 and $398 for fiscal 2021 and 2020, respectively. As of September 30, 2021, there was $349 of total unrecognized compensation cost related to the performance and restricted shares awarded under the 2016 Plan. The Company expects to recognize this cost over the next 1.0 year. The following is a summary of activity related to performance and restricted shares: 2021 2020 Number of Weighted Average Number of Weighted Average Outstanding at beginning of year 371 $ 4.14 331 $ 5.33 Restricted shares awarded 79 5.76 145 3.25 Restricted shares earned (107) 5.47 (87) 4.42 Performance shares awarded 71 3.74 47 2.50 Performance shares earned — — — — Awards forfeited (8) 3.18 (65) 5.70 Outstanding at end of year 406 $ 4.05 371 $ 4.14 |
Leases
Leases | 12 Months Ended |
Sep. 30, 2021 | |
Leases [Abstract] | |
Leases | Leases The components of lease expense were as follows: Year Ended Year Ended Lease expense Finance lease expense: Amortization of right-of use assets on finance leases $ 55 $ 55 Interest on lease liabilities 2 5 Operating lease expense 1,952 2,173 Variable lease cost 138 157 Total lease expense $ 2,147 $ 2,390 The following table presents the impact of leasing on the consolidated balance sheet at September 30: Classification to the consolidated balance sheets 2021 2020 Assets: Finance lease assets Property, plant and equipment, net $ 34 $ 89 Operating lease assets Operating lease right-of-use assets, net 15,943 17,021 Total lease assets $ 15,977 $ 17,110 Current liabilities: Finance lease liabilities Current maturities of long-term debt $ 17 $ 58 Operating lease liabilities Short-term operating lease liabilities 788 991 Non-current liabilities: Finance lease liabilities Long-term debt, net of current maturities 5 22 Operating lease liabilities Long-term operating lease liabilities, net of short-term 15,439 16,188 Total lease liabilities $ 16,249 $ 17,259 Supplemental cash flow and other information related to leases were as follows: September 30, 2021 September 30, 2020 Other Information Cash paid for amounts included in measurement of liabilities: Operating cash flows from operating leases $ 1,952 $ 2,173 Operating cash flows from finance leases 2 5 Financing cash flows from finance leases 59 57 Right-of-use assets obtained in exchange for new lease liabilities: Operating leases $ 43 $ 278 September 30, 2021 September 30, 2020 Weighted-average remaining lease term (years): Finance leases 1.05 1.64 Operating leases 14.39 15.15 Weighted-average discount rate: Finance leases 2.83 % 4.84 % Operating leases 5.89 % 5.89 % Future minimum lease payments under non-cancellable leases as of September 30, 2021 were as follows: Year ending September 30, Finance Leases Operating 2022 $ 17 $ 1,694 2023 5 1,633 2024 — 1,647 2025 — 1,644 2026 — 1,620 Thereafter — 15,906 Total lease payments $ 22 $ 24,144 Less: Imputed interest — (7,917) Present value of lease liabilities $ 22 $ 16,227 |
Leases | Leases The components of lease expense were as follows: Year Ended Year Ended Lease expense Finance lease expense: Amortization of right-of use assets on finance leases $ 55 $ 55 Interest on lease liabilities 2 5 Operating lease expense 1,952 2,173 Variable lease cost 138 157 Total lease expense $ 2,147 $ 2,390 The following table presents the impact of leasing on the consolidated balance sheet at September 30: Classification to the consolidated balance sheets 2021 2020 Assets: Finance lease assets Property, plant and equipment, net $ 34 $ 89 Operating lease assets Operating lease right-of-use assets, net 15,943 17,021 Total lease assets $ 15,977 $ 17,110 Current liabilities: Finance lease liabilities Current maturities of long-term debt $ 17 $ 58 Operating lease liabilities Short-term operating lease liabilities 788 991 Non-current liabilities: Finance lease liabilities Long-term debt, net of current maturities 5 22 Operating lease liabilities Long-term operating lease liabilities, net of short-term 15,439 16,188 Total lease liabilities $ 16,249 $ 17,259 Supplemental cash flow and other information related to leases were as follows: September 30, 2021 September 30, 2020 Other Information Cash paid for amounts included in measurement of liabilities: Operating cash flows from operating leases $ 1,952 $ 2,173 Operating cash flows from finance leases 2 5 Financing cash flows from finance leases 59 57 Right-of-use assets obtained in exchange for new lease liabilities: Operating leases $ 43 $ 278 September 30, 2021 September 30, 2020 Weighted-average remaining lease term (years): Finance leases 1.05 1.64 Operating leases 14.39 15.15 Weighted-average discount rate: Finance leases 2.83 % 4.84 % Operating leases 5.89 % 5.89 % Future minimum lease payments under non-cancellable leases as of September 30, 2021 were as follows: Year ending September 30, Finance Leases Operating 2022 $ 17 $ 1,694 2023 5 1,633 2024 — 1,647 2025 — 1,644 2026 — 1,620 Thereafter — 15,906 Total lease payments $ 22 $ 24,144 Less: Imputed interest — (7,917) Present value of lease liabilities $ 22 $ 16,227 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Sep. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies In the normal course of business, the Company may be involved in ordinary, routine legal actions. The Company cannot reasonably estimate future costs, if any, related to these matters; however, it does not believe any such matters are material to its financial condition or results of operations. The Company maintains various liability insurance coverages to protect its assets from losses arising out of or involving activities associated with ongoing and normal business operations; however, it is possible that the Company’s future operating results could be affected by future costs of litigation. A subsidiary of the Company, Quality Aluminum Forge, LLC ("Orange"), was a defendant in a lawsuit filed by Avco Corporation (“Avco”) in the Pennsylvania State Court, which was filed in August 2019, alleging that certain forged pistons delivered by the Orange plant failed to meet material specifications required by Avco. Avco also sued Arconic, Inc. (“Arconic”), which was the raw material supplier. The lawsuit has been resolved in a manner satisfactory to all parties pursuant to a confidential settlement agreement for an immaterial amount, and the case was dismissed on October 14, 2021. The Company was a defendant in a purported class action lawsuit filed in the Superior Court of California, County of Orange, which was filed in August 2017, arising from employee wage-and-hour claims under California law for alleged meal period, rest break, hourly and overtime wage calculation, timely wage payment and necessary expenditure indemnification violations; failure to maintain required wage records and furnish accurate wage statements; and unfair competition. A settlement has been reached and the Company received preliminary court approval on July 13, 2020, following a brief delay caused by COVID-19 closures and restrictions. Class action notices were sent at the end of September and there were no objections to the settlement. On February 4, 2021, the court issued a tentative ruling to grant final approval. The final approval was granted and the previously recorded liability of $315 was paid on March 29, 2021. During fiscal 2020, the Company received notice from the International Association of Machinists and Aerospace Workers Union that they were disclaiming all interest in representing certain hourly employees at the Company’s Cleveland facility. Subsequently, the International Brotherhood of Boilermakers Union filed a petition to represent this same group of hourly employees. A mail ballot election took place in June 2020 and the National Labor Relations Board certified the International Brotherhood of Boilermakers as the elected representative of the Company’s hourly production employees. The Company’s obligations will be more fully understood following the ratification of a collective bargaining agreement. In fiscal 2021, the insurance claim related to the fire on December 26, 2018 at the Orange location was finalized with the Company's insurance carrier. The Company completed the restoration of the final two of the six presses damaged in the fire at the end of the third quarter of fiscal 2021. The restoration of the building structure was completed as of September 30, 2021. Having finalized the claim with its insurance carrier, cash proceeds of $4,548 were received in fiscal 2021. As noted in the table below, $3,001 was recognized within the consolidated statements of operations. The Company has business interruption insurance coverage, of which $546 of the amount received was reflected within the cost of goods line within the consolidated statement of operations. Balance sheet (Other receivables): September 30, 2019 $ 3,500 Cash received (10,927) Capital expenditures (equipment) 5,874 Other expenses 1,881 Business interruption 1,219 September 30, 2020 $ 1,547 Balance sheet (Other receivables): September 30, 2020 $ 1,547 Cash received (4,548) Capital expenditures (equipment) 2,397 Other expenses 58 Business interruption 546 September 30, 2021 $ — The following table reflects how the proceeds received impacted the consolidated statements of operations as of September 30, Year Ended Balance without insurance proceeds Insurance recoveries Balance with insurance proceeds Cost of goods sold $ 88,990 $ (604) $ 88,386 Gain on insurance recoveries $ — $ (2,397) $ (2,397) (Loss) before income tax benefit $ (4,966) $ (3,001) $ (1,965) Year Ended Balance without insurance proceeds Insurance recoveries Balance with insurance proceeds Cost of goods sold $ 96,711 $ (3,100) $ 93,611 Gain on insurance recoveries $ — $ (5,874) $ (5,874) Income before income tax benefit $ 6 $ (8,974) $ 8,980 The following table demonstrates the total settlement amount since December 26, 2018: Total Claim Property & damage ** $ 20,364 Extra expense & mitigation expense 4,404 Business interruption 2,932 $ 27,700 **$3,640 of total was directed to the landlord of the property for the restoration of the building in response to the fire damage that occurred in 2018 as prescribed by the lease arrangement. |
Business Information
Business Information | 12 Months Ended |
Sep. 30, 2021 | |
Segment Reporting [Abstract] | |
Business Information | Business Information The Company identifies itself as one reportable segment, SIFCO, which is a manufacturer of forgings and machined components for the A&E markets. Geographic net sales are based on location of customer. The United States of America is the single largest country for unaffiliated customer sales, accounting for 66% and 72% of consolidated net sales in fiscal 2021 and 2020, respectively. No other single country represents greater than 10% of consolidated net sales in fiscal 2021 and 2020 Net sales to unaffiliated customers located in various European countries accounted for 18% and 14% of consolidated net sales in fiscal 2021 and 2020, respectively. Net sales to unaffiliated customers located in various Asian countries accounted for 8% of consolidated net sales in fiscal 2021 and 2020, respectively. Substantially all of the Company's operations and identifiable assets are located within the United States with the exception of its non-U.S. subsidiary located in Maniago, Italy. The identifiable assets for the Company's foreign subsidiaries as of September 30, 2021 were $19,586 compared with $21,989 as of September 30, 2020. 2021 2020 Long-Lived Assets United States $ 54,109 56,134 Europe 8,986 10,607 $ 63,095 66,741 At September 30, 2021, approximately 177 of the hourly plant personnel are represented by three separate collective bargaining agreements. The table below shows the expiration dates of the collective bargaining agreements. Plant locations Expiration date Cleveland, Ohio (unit 1) May 15, 2025 Cleveland, Ohio (unit 2) May 31, 2020 Maniago, Italy June 30, 2024 |
Subsequent events
Subsequent events | 12 Months Ended |
Sep. 30, 2021 | |
Subsequent Events [Abstract] | |
Subsequent events | Subsequent eventsThe Company has evaluated subsequent events through the date the consolidated financial statements are issued. In October 2021, the Company's Maniago location obtained a new loan agreement with a lender in the amount of $1,200 (equivalent to 1,000 Euros) with repayment term of 6 years. The Company is not aware of any other subsequent events which would require recognition or disclosure in the consolidated financial statements |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts | 12 Months Ended |
Sep. 30, 2021 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Valuation and Qualifying Accounts | Schedule II SIFCO Industries, Inc. and Subsidiaries Valuation and Qualifying Accounts Years Ended September 30, 2021 and 2020 (Amounts in thousands) Balance at Additions Additions Deductions Balance at Year Ended September 30, 2021 Deducted from asset accounts Allowance for doubtful accounts $ 249 $ (91) $ — $ 9 (a) $ 167 Inventory obsolescence reserve 3,676 (50) (180) (2) (b) 3,444 Inventory LIFO reserve 8,286 924 9,210 Deferred tax valuation allowance 5,329 345 (1,033) — 4,641 Accrual for estimated liability Workers’ compensation reserve 546 1,241 (53) (846) (c) 888 Year Ended September 30, 2020 Deducted from asset accounts Allowance for doubtful accounts 592 (80) — (263) (a) 249 Inventory obsolescence reserve¹ 3,335 518 (151) (26) (b) 3,676 Inventory LIFO reserve¹ 8,296 (10) — — 8,286 Deferred tax valuation allowance 7,557 (2,362) 134 — 5,329 Accrual for estimated liability Workers’ compensation reserve 181 703 — (338) (c) 546 ¹ Due to the adoption of Topic 606, there was impact to the opening balance for these accounts. (a) Accounts determined to be uncollectible, net of recoveries (b) Inventory sold or otherwise disposed (c) Payment of workers’ compensation claims |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Sep. 30, 2021 | |
Accounting Policies [Abstract] | |
Description of Business | DESCRIPTION OF BUSINESSSIFCO Industries, Inc. and its subsidiaries are engaged in the production of forgings and machined components primarily in the Aerospace and Energy ("A&E") market. The Company’s operations are conducted in a single business segment, "SIFCO" or the "Company." |
Principles of Consolidation | PRINCIPLES OF CONSOLIDATIONThe accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. The U.S. dollar is the functional currency for all the Company’s U.S. operations and its non-operating subsidiaries. For these operations, all gains and losses from completed currency transactions are included in income. The functional currency for the Company's other non-U.S. subsidiaries is the Euro. Assets and liabilities are translated into U.S. dollars at the rates of exchange at the end of the period, and revenues and expenses are translated using average rates of exchange. Foreign currency translation adjustments are reported as a component of accumulated other comprehensive loss in the consolidated statements of shareholders’ equity. |
Cash Equivalents | CASH EQUIVALENTSThe Company considers all highly liquid short-term investments with original maturities of three months or less to be cash equivalents. |
Concentrations of Credit Risk | CONCENTRATIONS OF CREDIT RISK Receivables are presented net of allowance for doubtful accounts of $167 and $249 at September 30, 2021 and 2020, respectively. Accounts receivable outstanding longer than the contractual payment terms are considered past due. The Company writes off accounts receivable when they become uncollectible. During fiscal 2021 $9 of accounts receivable were recovered against the allowance for doubtful accounts while in fiscal 2020 $263 of accounts receivable were written off against the allowance for doubtful accounts. Bad debt benefit totaled $91 and $80 in fiscal 2021 and fiscal 2020, respectively. Most of the Company’s receivables represent trade receivables due from manufacturers of turbine engines and aircraft components as well as turbine engine overhaul companies located throughout the world, including a significant concentration of U.S. based companies. In fiscal 2021, 20% of the Company’s consolidated net sales were from two of its largest customers; and 38% of the Company's consolidated net sales were from the three largest customers and their direct subcontractors, which individually accounted for 17%, 11%, and 10%, of consolidated net sales, respectively. In fiscal 2020, 10% of the Company’s consolidated net sales were from one of its largest customers; and 49% of the Company's consolidated net sales were from four of the largest customers and their direct subcontractors which individually accounted for 16%, 13%, 10% and 10%, of consolidated net sales, respectively. Other than what has been disclosed, no other single customer or group represented greater than 10% of total net sales in fiscal 2021 and 2020. |
Inventory Valuation | INVENTORY VALUATIONFor a portion of the Company's inventory, cost is determined using the last-in, first-out (“LIFO”) method. For approximately 39% and 47% of the Company’s inventories at September 30, 2021 and 2020, respectively, the LIFO method is used to value the Company’s inventories. The first-in, first-out (“FIFO”) method is used to value the remainder of the Company’s inventories, which are stated at the lower cost or net realizable value.The Company maintains allowances for obsolete and excess inventory. The Company evaluates its allowances for obsolete and excess inventory each quarter and requires at a minimum that reserves be established based on an analysis of the age of the inventory. In addition, if the Company identifies specific obsolescence, other than that identified by the aging criteria, an additional reserve will be recognized. Specific obsolescence and excess reserve requirements may arise due to technological or market changes or based on cancellation of an order. |
Property, Plant and Equipment | PROPERTY, PLANT AND EQUIPMENTProperty, plant and equipment are stated at cost. Depreciation is generally computed using the straight-line method. Depreciation is provided in amounts sufficient to amortize the cost of the assets over their estimated useful lives. Depreciation provisions are based on estimated useful lives: (i) buildings, including building improvements - 5 to 40 years; (ii) machinery and equipment, including office and computer equipment - 3 to 20 years; (iii) software - 3 to 7 years (included in machinery and equipment); and (iv) leasehold improvements - 6 to 15 years range represent the remaining life or length of the lease, whichever is less (included in buildings).The (gain) loss on disposal of operating assets is included as a separate line item in the accompanying consolidated statements of operations. |
Asset Impairment | ASSET IMPAIRMENTThe Company reviews the carrying value of its long-lived assets ("asset groups"), including property, plant and equipment, when events and circumstances indicate a triggering event has occurred. This review is performed using estimates of future undiscounted cash flows, which include proceeds from disposal of assets. Under the Accounting Standard Codification ("ASC") 360 ("Topic 360"), if the carrying value of a long-lived asset is greater than the estimated undiscounted future cash flows, then the long-lived asset is considered impaired and an impairment charge is recorded for the amount by which the carrying value of the long-lived asset exceeds its fair value. |
Goodwill and Intangible Assets | GOODWILL AND INTANGIBLE ASSETS Goodwill represents the excess of the purchase price paid over the fair value of the net assets of an acquired business. Goodwill is subject to impairment testing if triggered in the interim, and if not, on an annual basis. The Company has selected July 31 as the annual impairment testing date. With the adoption of Accounting Standard Update ("ASU") 2017-04, Step 2 has been eliminated from the goodwill impairment test. The first step of the goodwill impairment test compares the fair value of a reporting unit (as defined) with its carrying amount, including goodwill. If the fair value of the reporting unit exceeds its carrying amount, goodwill is not considered impaired. However, if the carrying amount exceeds the fair value, the Company should recognize an impairment charge for the amount by which the carrying amount exceeds the fair value, not to exceed the total amount of goodwill allocated to that reporting unit. See Note 3, Goodwill and Intangibles Assets , of the consolidated financial statements for further discussion of the July 31, 2021 and 2020 annual impairment test results. Intangible assets consist of identifiable intangibles acquired or recognized in the accounting for the acquisition of a business and include such items as a trade name, a non-compete agreement, below market lease, customer relationships and order backlog. Intangible assets are amortized over their useful lives ranging from one year to ten years. Identifiable intangible assets assessment for impairment is evaluated when events and circumstances warrant such a review, as noted within Note 1, Summary of Significant Accounting Policies - Asset Impairment, of the consolidated financial statements. |
Net Income (Loss) Per Share | NET INCOME (LOSS) PER SHAREThe Company’s net loss and income per basic share has been computed based on the weighted-average number of common shares outstanding. |
Revenue Recognition | REVENUE RECOGNITION The Company recognizes revenue using the five-step revenue recognition model in which it depicts the transfer of goods to customers in an amount that reflects the consideration to which a company expects to be entitled in exchange for those goods or services. The revenue standard also requires disclosure sufficient to enable users to understand the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers, including qualitative and quantitative disclosures about contracts with customers, significant judgments and changes in judgments and assets recognized from the cost to obtain or fulfill a contract. Contract Balances Contract assets on the consolidated balance sheets are recognized when a good is transferred to the customer and the Company does not have the contractual right to bill for the related performance obligations. In these instances, revenue recognized exceeds the amount billed to the customer and the right to payment is not solely subject to the passage of time. Amounts do not exceed their net realizable value. Contract liabilities relate to payments received in advance of the satisfaction of performance under the contract. Payment from customers are received based on the terms established in the contract with the customer. |
Leases | LEASES The leasing standard requires lessees to recognize a Right-of-Use ("ROU") asset and a lease liability on the consolidated balance sheet, with the exception of short-term leases. The Company primarily leases its manufacturing buildings, specifically at its Orange location, as well as certain machinery and office equipment. The Company determines if a contract contains a lease based on whether the contract conveys the right to control the use of identified assets for a period in exchange for consideration. Upon identification and commencement of a lease, the Company establishes a ROU asset and a lease liability. Operating leases are included in ROU assets, short-term operating lease liabilities, and long-term operating lease liabilities on the consolidated balance sheets. Finance leases are included in property, plant, and equipment, current maturities of long-term debt and long-term debt on the consolidated balance sheets. ROU assets and liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of the leases do not provide an implicit rate, the Company uses the incremental borrowing rate based on the information available at commencement date and duration of the lease term in determining the present value of the future payments. Lease expense for operating leases is recognized on a straight-line basis over the lease term, while the expense for finance leases is recognized as depreciation expense and interest expense using the accelerated interest method of recognition. |
Impact of Recently Adopted and Newly Issued Accounting Standards | IMPACT OF RECENTLY ADOPTED ACCOUNTING STANDARDS In August 2018, the FASB issued ASU 2018-14, " Compensation—Retirement Benefits—Defined Benefit Plans—General (Subtopic 715-20) ," which adds the following disclosure requirements: (1) the weighted-average interest crediting rates used in the Company's cash balance pension plans and other similar plans; (2) a narrative description of the reasons for significant gains and losses affecting the benefit obligation for the period; and (3) an explanation of any other significant changes in the benefit obligation or plan assets that are not otherwise apparent in the other disclosures required by Accounting Standards Codification ("ASC") Topic 715, "Compensation - Retirement Benefits." The ASU also clarifies the guidance included in ASC 715-20-50-3 on defined benefit plans disclosure requirements. This ASU is effective for the Company and did not have a material impact to the pension disclosures. See Note 8, Retirement Benefit Plans , of the consolidated financial statements for further information. M. IMPACT OF NEWLY ISSUED ACCOUNTING STANDARDS In June 2016, the FASB issued ASU 2016-13, " Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments " and subsequent updates. ASU 2016-13 changes how entities will measure credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. The new guidance will replace the current incurred loss approach with an expected loss model. The new expected credit loss impairment model will apply to most financial assets measured at amortized cost and certain other instruments, including trade and other receivables, loans, held-to-maturity debt instruments, net investments in leases, loan commitments and standby letters of credit. Upon initial recognition of the exposure, the expected credit loss model requires entities to estimate the credit losses expected over the life of an exposure (or pool of exposures). The estimate of expected credit losses should consider historical information, current information and reasonable and supportable forecasts, including estimates of prepayments. Financial instruments with similar risk characteristics should be grouped together when estimating expected credit losses. ASU 2016-13 does not prescribe a specific method to make the estimate, so its application will require significant judgment. ASU 2016-13 is effective for public companies in fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. However, in November 2019, the FASB issued ASU 2019-10, "Financial Instruments - Credit Loss (Topic 326), Derivatives and Hedging (Topic 815) , and Leases (Topic 842) ," which defers the effective date for public filers that qualify as a smaller reporting company ("SRC"), as defined by the Securities and Exchange Commission, to fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Because SIFCO is considered a SRC, the Company does not need to implement this standard until October 1, 2023. The Company will continue to evaluate the effect of adopting ASU 2016-13 will have on the Company's results within the consolidated statements of operations and financial condition. In December 2019, ASU 2019-12, "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes" was issued to (i) reduce the complexity of the standard by removing certain exceptions to the general principles in Topic 740 and (ii) improve consistency and simplify other areas of Topic 740 by clarifying and amending existing guidance. This ASU is effective beginning October 1, 2021. The adoption of this ASU is not expected to have a material impact to the Company's results within the consolidated statements of operations and financial condition. In March 2020, the FASB issued ASU 2020-04, "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting," |
Use of Estimates | USE OF ESTIMATESAccounting principles generally accepted in the U.S. require management to make a number of estimates and assumptions relating to the reported amounts of assets and liabilities and the disclosure of contingent liabilities, at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the period in preparing these financial statements. Actual results could differ from those estimates. |
Research and Development | RESEARCH AND DEVELOPMENTResearch and development costs are expensed as they are incurred. Research and development expenses were nominal in fiscal 2021 and 2020. |
Debt Issuance Costs | DEBT ISSUANCE COSTSDebt issuance costs are capitalized and amortized over the life of the related debt. Amortization of debt issuance costs is included in interest expense in the consolidated statements of operations. |
Income Taxes | INCOME TAXES The Company files a consolidated U.S. federal income tax return and tax returns in various state and local jurisdictions. The Company’s Irish and Italian subsidiaries also file tax returns in their respective jurisdictions. The Company provides deferred income taxes for the temporary difference between the financial reporting basis and tax basis of the Company’s assets and liabilities. Such taxes are measured using the enacted tax rates that are assumed to be in effect when the differences reverse. Deductible temporary differences result principally from recording certain expenses in the financial statements in excess of amounts currently deductible for tax purposes. Taxable temporary differences result principally from tax depreciation in excess of book depreciation. The Company evaluates for uncertain tax positions taken at each balance sheet date. The Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the financial statements is the largest cumulative benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the relevant tax authority. The Company's policy for interest and/or penalties related to underpayments of income taxes is to include interest and penalties in tax expenses. The Company maintains a valuation allowance against its deferred tax assets when management believes it is more likely than not that all or a portion of a deferred tax asset may not be realized. Changes in valuation allowances are recorded in the period of change. In determining whether a valuation allowance is warranted, the Company evaluates factors such as prior earnings history, expected future earnings, carry-back and carry-forward periods and tax strategies that could potentially enhance the likelihood of the realization of a deferred tax asset. |
Fair Value Measurements | FAIR VALUE MEASUREMENTS Fair value is defined as the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. In determining fair value, the Company utilizes certain assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and/or the risks inherent in the inputs to the valuation technique. Based on the examination of the inputs used in the valuation techniques, the Company is required to provide the following information according to the fair value hierarchy. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values. Financial assets and liabilities carried at fair value will be classified and disclosed in one of the following three categories: Level 1 - Quoted market prices in active markets for identical assets or liabilities Level 2 - Observable market based inputs or unobservable inputs that are corroborated by market data Level 3 - Unobservable inputs that are not corroborated by market data A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The book value of cash equivalents, accounts receivable, and accounts payable are considered to be representative of their fair values because of their short maturities. The carrying value of debt is considered to approximate the fair value based on the borrowing rates currently available to us for loans with similar terms and maturities. Fair value measurements of non-financial assets and non-financial liabilities are primarily used in goodwill, other intangible assets and long-lived assets impairment analysis, the valuation of acquired intangibles and in the valuation of assets held for sale. Goodwill and intangible assets are valued using Level 3 inputs. |
Share-based Compensation | SHARE-BASED COMPENSATIONShare-based compensation is measured at the grant date, based on the calculated fair value of the award and the probability of meeting its performance condition, and is recognized as expense when it is probable that the performance conditions will be met over the requisite service period (generally the vesting period). Share-based expense includes expense related to restricted shares and performance shares issued under the Company's 2007 Plan Long-Term Incentive Plan (Amended and Restated as of November 16, 2016) (as further amended, the "2016 Plan"). The Company recognizes share-based expense within selling, general, and administrative expense and adjusts for any forfeitures as they occur. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Accounting Policies [Abstract] | |
Schedule of Property, Plant and Equipment by Major Asset Class | The Company's property, plant and equipment assets by major asset class at September 30 consist of: 2021 2020 Property, plant and equipment: Land $ 994 $ 1,000 Buildings 16,931 15,564 Machinery and equipment 92,871 91,461 Total property, plant and equipment 110,796 108,025 Less: Accumulated depreciation 68,088 63,824 Property, plant and equipment, net $ 42,708 $ 44,201 |
Schedule of Dilutive Effect of Company's Restricted Shares and Performance Shares | The dilutive effect is as follows: September 30, 2021 2020 Net income (loss) $ (743) $ 9,191 Weighted-average common shares outstanding (basic) 5,759 5,661 Effect of dilutive securities: Restricted shares — 120 Performance shares — 10 Weighted-average common shares outstanding (diluted) 5,759 5,791 Net income (loss) per share – basic: $ (0.13) $ 1.62 Net income (loss) per share – diluted: $ (0.13) $ 1.59 Anti-dilutive weighted-average common shares excluded from calculation of diluted earnings per share 412 207 |
Schedule of Accumulated Other Comprehensive Loss | The components of accumulated other comprehensive loss as shown on the consolidated balance sheets at September 30 are as follows: 2021 2020 Foreign currency translation adjustment, net of income tax benefit of $0 and $0, respectively $ (5,359) $ (5,257) Net retirement plan liability adjustment, net of income tax benefit of $(3,758) and $(3,758), respectively (3,720) (8,211) Total accumulated other comprehensive loss $ (9,079) $ (13,468) The following table provides additional details of the amounts recognized into net earnings from accumulated other comprehensive loss, net of tax: Foreign Currency Translation Adjustment Retirement Plan Liability Adjustment Accumulated Other Comprehensive Loss Balance at September 30, 2019 $ (5,667) $ (7,642) $ (13,309) Other comprehensive income (loss) before reclassifications 410 (1,560) (1,150) Amounts reclassified from accumulated other comprehensive loss — 991 991 Net current-period other comprehensive income (loss) 410 (569) (159) Balance at September 30, 2020 (5,257) (8,211) (13,468) Other comprehensive income (loss) before reclassifications (102) 3,371 3,269 Amounts reclassified from accumulated other comprehensive loss — 1,120 1,120 Net current-period other comprehensive income (loss) (102) 4,491 4,389 Balance at September 30, 2021 $ (5,359) $ (3,720) $ (9,079) |
Schedule of Reclassification Out of Accumulated Other Comprehensive Loss | The following table reflects the changes in accumulated other comprehensive loss related to the Company for September 30, 2021 and 2020: Amount reclassified from accumulated other comprehensive loss Details about accumulated other comprehensive loss components 2021 2020 Affected line item in the Consolidated Statement of Operations Amortization of Retirement plan liability: Prior service costs $ — $ — (1) Net actuarial gain (loss) 4,217 (808) (1) Settlements/curtailments 274 239 (1) 4,491 (569) Total before taxes — — Income tax expense $ 4,491 $ (569) Net of taxes (1) These accumulated other comprehensive loss components are included in the computation of net periodic benefit cost. See Note 8, Retirement Benefit Plans , of the consolidated financial statements for further information. |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories at September 30 consist of: 2021 2020 Raw materials and supplies $ 4,111 $ 6,548 Work-in-process 3,560 3,786 Finished goods 4,875 5,235 Total inventories $ 12,546 $ 15,569 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets by Major Class Subject to Amortization | The Company’s intangible assets by major asset class subject to amortization as of: September 30, 2021 Weighted Average Life at September 30, Original Accumulated Impairment Currency Translation Net Book Intangible assets: Trade name 8 years $ 1,876 $ 1,850 $ — $ — $ 26 Technology asset 5 years 1,869 1,869 — — — Customer relationships 10 years 13,589 12,736 — (5) 848 Total intangible assets $ 17,334 $ 16,455 $ — $ (5) $ 874 September 30, 2020 Intangible assets: Trade name 8 years $ 1,876 $ 1,729 $ — $ (12) $ 135 Technology asset 5 years 1,869 1,843 — (24) 2 Customer relationships 10 years 13,589 11,833 — (3) 1,753 Total intangible assets $ 17,334 $ 15,405 $ — $ (39) $ 1,890 |
Schedule of Expected Future Amortization Expense | Amortization expense associated with the identified intangible assets is expected to be as follows: Amortization Fiscal year 2022 $ 324 Fiscal year 2023 247 Fiscal year 2024 174 Fiscal year 2025 129 Fiscal year 2026 — |
Schedule of Changes in Net Carrying Amount of Goodwill | Changes in the net carrying amount of goodwill were as follows: Balance at September 30, 2019 $ 3,493 Goodwill impairment adjustment — Currency translation — Balance at September 30, 2020 3,493 Goodwill impairment adjustment — Currency translation — Balance at September 30, 2021 $ 3,493 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Liabilities | Accrued liabilities at September 30 consist of: 2021 2020 Accrued employee compensation and benefits $ 4,075 $ 5,476 Accrued workers’ compensation 888 546 Contract liabilities 236 636 Other accrued liabilities 1,672 1,632 Total accrued liabilities $ 6,871 $ 8,290 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | Debt at September 30 consists of: 2021 2020 Revolving credit agreement $ 8,930 $ 12,870 Foreign subsidiary borrowings 6,632 5,759 Capital lease obligations 22 80 Other, net of unamortized debt issuance cost $(32) and $(20) 5,581 5,911 Total debt 21,165 24,620 Less – current maturities (18,496) (20,014) Total long-term debt $ 2,669 $ 4,606 |
Schedule of Foreign Debt | Foreign debt at September 30 consists of: 2021 2020 Term loan $ 3,127 $ 2,670 Short-term borrowings 1,867 2,620 Factor 1,638 469 Total debt $ 6,632 $ 5,759 Less – current maturities (4,551) (3,544) Total long-term debt $ 2,081 $ 2,215 Receivables pledged as collateral $ 485 $ 1,859 |
Schedule of Maturities of Long-Term Debt | Payments on long-term debt under the foreign term debt and other debt (excluding finance lease obligations, see Note 10, Leases , of the consolidated financial statements) over the next 5 years are as follows: Minimum long-term debt payments 2022 $ 9,729 2023 658 2024 687 2025 550 2026 465 thereafter 156 Total Minimum long-term debt payments $ 12,245 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following table represents a breakout of total revenue by customer type: Years Ended 2021 2020 Commercial revenue $ 36,587 $ 48,335 Military revenue 63,004 65,238 Total $ 99,591 $ 113,573 The following table represents revenue by the various components: Years Ended Net Sales 2021 2020 Aerospace components for: Fixed wing aircraft $ 38,474 $ 52,039 Rotorcraft 27,214 31,454 Energy components for power generation units 20,390 16,682 Commercial product and other revenue 13,513 13,398 Total $ 99,591 $ 113,573 The following table represents revenue by geographic region based on the Company's selling operation locations: Years Ended Net Sales 2021 2020 North America $ 81,719 $ 98,144 Europe 17,872 15,429 Total $ 99,591 $ 113,573 |
Schedule of Contract Assets and Liabilities | The following table contains a roll forward of contract assets and contract liabilities for the period ended September 30, 2021 and 2020: Contract assets - Ending balance, September 30, 2019 $ 10,349 Additional revenue recognized over-time 67,043 Less amounts billed to the customers (65,395) Contract assets - Ending balance, September 30, 2020 $ 11,997 Additional revenue recognized over-time 64,384 Less amounts billed to the customers (63,507) Contract assets - Ending balance, September 30, 2021 $ 12,874 Contract liabilities (included within Accrued liabilities) - Ending balance, September 30, 2019 $ (382) Payments received in advance of performance obligations (865) Performance obligations satisfied 611 Contract liabilities (included within Accrued liabilities) - Ending balance, September 30, 2020 $ (636) Payments received in advance of performance obligations (829) Performance obligations satisfied 1,229 Contract liabilities (included within Accrued liabilities) - Ending balance, September 30, 2021 $ (236) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income (Loss) from Continuing Operations Before Income Tax Benefit | The components of income (loss) before income tax benefit are as follows: Years Ended 2021 2020 U.S. $ (1,523) $ 10,071 Non-U.S. (442) (1,091) Income (loss) before income tax benefit $ (1,965) $ 8,980 |
Schedule of Income Taxes from Continuing Operations Before Income Tax Benefit | Income tax benefit consist of the following: Years Ended 2021 2020 Current income tax provision (benefit): U.S. federal $ (1) $ — U.S. state and local 8 19 Non-U.S. 59 192 Total current tax provision 66 211 Deferred income tax provision (benefit): U.S. federal 10 10 U.S. state and local (2) 1 Non-U.S. (1,296) (433) Total deferred tax benefit (1,288) (422) Income tax benefit $ (1,222) $ (211) |
Income Tax Benefit from Continuing Operations | The income tax benefit in the accompanying consolidated statements of operations differs from amounts determined by using the statutory rate as follows: Years Ended 2021 2020 Income (loss) before income tax benefit $ (1,965) $ 8,980 Income tax provision (benefit) at U.S. federal statutory rates $ (413) $ 1,886 Tax effect of: Foreign rate differential (193) — State and local income taxes 6 20 Federal tax credits (145) (135) Valuation allowance 601 (2,025) Prior year tax adjustments (1,115) — Other 37 43 Income tax benefit $ (1,222) $ (211) |
Summary of Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities at September 30 consist of the following: 2021 2020 Deferred tax assets: Net U.S. operating loss carryforwards $ 3,833 $ 3,543 Net non-U.S. operating loss carryforwards 637 789 Employee benefits 1,761 2,688 Inventory reserves 897 1,049 Allowance for doubtful accounts 45 73 Intangibles 1,621 2,197 Foreign tax credits 1,724 1,724 Other tax credits 1,514 1,359 Other 1,216 1,171 Total deferred tax assets $ 13,248 $ 14,593 Deferred tax liabilities: Depreciation (7,948) (8,653) Prepaid expenses (359) (376) Other (458) (1,635) Total deferred tax liabilities $ (8,765) $ (10,664) Net deferred tax assets 4,483 3,929 Valuation allowance (4,641) (5,329) Net deferred tax liabilities $ (158) $ (1,400) |
Summary of Activity Related to Uncertain Tax Position | A summary of activity related to the Company’s uncertain tax position is as follows: 2021 2020 Balance at beginning of year $ 22 $ 22 Decrease due to lapse of statute of limitations — — Balance at end of year $ 22 $ 22 |
Retirement Benefit Plans (Table
Retirement Benefit Plans (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Retirement Benefits [Abstract] | |
Net Pension Expense for Defined Benefit Plans | Net pension expense, benefit obligations and plan assets for the Company-sponsored defined benefit pension plans consists of the following: Years Ended 2021 2020 Service cost $ 131 $ 341 Interest cost 699 832 Expected return on plan assets (1,421) (1,453) Amortization of net loss 846 752 Settlement cost 274 239 Net pension expense for defined benefit plans $ 529 $ 711 |
Roll Forward of Defined Benefit Pension Plan Obligations and Assets | The status of all defined benefit pension plans at September 30 is as follows: 2021 2020 Benefit obligations: Benefit obligations at beginning of year $ 31,793 $ 30,548 Service cost 131 341 Interest cost 699 832 Actuarial (gain) loss (967) 2,037 Benefits paid (2,349) (1,965) Currency translation 23 — Benefit obligations at end of year $ 29,330 $ 31,793 Plan assets: Plan assets at beginning of year $ 21,609 $ 20,970 Actual return on plan assets 3,825 1,930 Employer contributions 126 674 Benefits paid (2,349) (1,965) Plan assets at end of year $ 23,211 $ 21,609 |
Net Plan Assets Recognized in the Consolidated Balance Sheets | Plans in which 2021 2020 Reconciliation of funded status: Plan assets less than projected benefit obligations $ (6,119) $ (10,211) Amounts recognized in accumulated other comprehensive loss: Net loss 7,482 11,973 Net amount recognized in the consolidated balance sheets $ 1,363 $ 1,762 Amounts recognized in the consolidated balance sheets are: Accrued liabilities (46) (46) Pension liability (6,073) (10,165) Accumulated other comprehensive loss – pretax 7,482 11,973 Net amount recognized in the consolidated balance sheets $ 1,363 $ 1,762 |
Weighted-Average Assumptions Used in Developing Benefit Obligation and Net Pension Expense | Where applicable, the following weighted-average assumptions were used in developing the benefit obligation and the net pension expense for defined benefit pension plans: Years Ended 2021 2020 Discount rate for liabilities 2.6 % 2.3 % Discount rate for expenses 3.1 % 2.9 % Expected return on assets 7.0 % 7.2 % |
Fair Values and Asset Allocation Ranges of Defined Benefit Plan Investments | The following tables set forth the asset allocation of the Company’s defined benefit pension plan assets and summarize the fair values and levels within the fair value hierarchy for such plan assets as of September 30, 2021 and 2020: September 30, 2021 Asset Level 2 Level 3 U.S. equity securities: Large value $ 514 $ 514 $ — Large blend 10,227 10,227 — Large growth 519 519 — Mid blend 223 223 — Small blend 697 697 — Non-U.S. equity securities: Foreign large blend 1,807 1,807 — Diversified emerging markets 86 86 — U.S. debt securities: Inflation protected bond 1,087 1,087 — Intermediate term bond 7,396 5,288 2,108 High inflation bond 189 189 — Non-U.S. debt securities: Emerging markets bonds 164 164 — Stable value: Short-term bonds 302 302 — Total plan assets at fair value $ 23,211 $ 21,103 $ 2,108 September 30, 2020 Asset Level 2 Level 3 U.S. equity securities: Large value $ 175 $ 175 $ — Large blend 9,334 9,334 — Large growth 1,109 1,109 — Mid blend 176 176 — Small blend 224 224 — Non-U.S. equity securities: Foreign large blend 1,603 1,603 — Diversified emerging markets 50 50 — U.S. debt securities: Inflation protected bond 1,028 1,028 — Intermediate term bond 7,479 5,381 2,098 High inflation bond 178 178 — Non-U.S. debt securities: Emerging markets bonds 106 106 — Stable value: Short-term bonds 147 147 — Total plan assets at fair value $ 21,609 $ 19,511 $ 2,098 Percent of Plan Assets at Asset Allocation Range 2021 2020 U.S. equities 53 % 51 % 30% to 70% Non-U.S. equities 8 % 8 % 0% to 20% U.S. debt securities 37 % 40 % 20% to 70% Non-U.S. debt securities 1 % — % 0% to10% Other securities 1 % 1 % 0% to 60% Total 100 % 100 % |
Changes in the Fair Value of Level 3 Defined Benefit Plan Investments | Changes in the fair value of the Company’s Level 3 investments during the years ending September 30, 2021 and 2020 were as follows: 2021 2020 Balance at beginning of year $ 2,098 $ 2,005 Actual return on plan assets 52 128 Purchases and sales of plan assets, net (42) (35) Balance at end of year $ 2,108 $ 2,098 |
Schedule of Projected Future Defined Benefit Plan Payments | The following defined benefit payment amounts are expected to be made in the future: Years Ending September 30, Projected 2022 $ 2,188 2023 1,813 2024 1,844 2025 1,924 2026 1,793 2027-2031 8,251 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Activity Related to Performance Shares | The following is a summary of activity related to performance and restricted shares: 2021 2020 Number of Weighted Average Number of Weighted Average Outstanding at beginning of year 371 $ 4.14 331 $ 5.33 Restricted shares awarded 79 5.76 145 3.25 Restricted shares earned (107) 5.47 (87) 4.42 Performance shares awarded 71 3.74 47 2.50 Performance shares earned — — — — Awards forfeited (8) 3.18 (65) 5.70 Outstanding at end of year 406 $ 4.05 371 $ 4.14 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Leases [Abstract] | |
Lease Cost Components, Supplemental Cash Flow and Other information, and Weighted-Average Remaining Lease Term Schedules | The components of lease expense were as follows: Year Ended Year Ended Lease expense Finance lease expense: Amortization of right-of use assets on finance leases $ 55 $ 55 Interest on lease liabilities 2 5 Operating lease expense 1,952 2,173 Variable lease cost 138 157 Total lease expense $ 2,147 $ 2,390 Supplemental cash flow and other information related to leases were as follows: September 30, 2021 September 30, 2020 Other Information Cash paid for amounts included in measurement of liabilities: Operating cash flows from operating leases $ 1,952 $ 2,173 Operating cash flows from finance leases 2 5 Financing cash flows from finance leases 59 57 Right-of-use assets obtained in exchange for new lease liabilities: Operating leases $ 43 $ 278 September 30, 2021 September 30, 2020 Weighted-average remaining lease term (years): Finance leases 1.05 1.64 Operating leases 14.39 15.15 Weighted-average discount rate: Finance leases 2.83 % 4.84 % Operating leases 5.89 % 5.89 % |
Supplemental Balance Sheet Information Schedule | The following table presents the impact of leasing on the consolidated balance sheet at September 30: Classification to the consolidated balance sheets 2021 2020 Assets: Finance lease assets Property, plant and equipment, net $ 34 $ 89 Operating lease assets Operating lease right-of-use assets, net 15,943 17,021 Total lease assets $ 15,977 $ 17,110 Current liabilities: Finance lease liabilities Current maturities of long-term debt $ 17 $ 58 Operating lease liabilities Short-term operating lease liabilities 788 991 Non-current liabilities: Finance lease liabilities Long-term debt, net of current maturities 5 22 Operating lease liabilities Long-term operating lease liabilities, net of short-term 15,439 16,188 Total lease liabilities $ 16,249 $ 17,259 |
Maturities of Finance Lease Liabilities by Fiscal Year Schedule | Future minimum lease payments under non-cancellable leases as of September 30, 2021 were as follows: Year ending September 30, Finance Leases Operating 2022 $ 17 $ 1,694 2023 5 1,633 2024 — 1,647 2025 — 1,644 2026 — 1,620 Thereafter — 15,906 Total lease payments $ 22 $ 24,144 Less: Imputed interest — (7,917) Present value of lease liabilities $ 22 $ 16,227 |
Maturities of Operating Lease Liabilities by Fiscal Year Schedule | Future minimum lease payments under non-cancellable leases as of September 30, 2021 were as follows: Year ending September 30, Finance Leases Operating 2022 $ 17 $ 1,694 2023 5 1,633 2024 — 1,647 2025 — 1,644 2026 — 1,620 Thereafter — 15,906 Total lease payments $ 22 $ 24,144 Less: Imputed interest — (7,917) Present value of lease liabilities $ 22 $ 16,227 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Insurance Recoveries Within Consolidated Condensed Financial Statements | Balance sheet (Other receivables): September 30, 2019 $ 3,500 Cash received (10,927) Capital expenditures (equipment) 5,874 Other expenses 1,881 Business interruption 1,219 September 30, 2020 $ 1,547 Balance sheet (Other receivables): September 30, 2020 $ 1,547 Cash received (4,548) Capital expenditures (equipment) 2,397 Other expenses 58 Business interruption 546 September 30, 2021 $ — The following table reflects how the proceeds received impacted the consolidated statements of operations as of September 30, Year Ended Balance without insurance proceeds Insurance recoveries Balance with insurance proceeds Cost of goods sold $ 88,990 $ (604) $ 88,386 Gain on insurance recoveries $ — $ (2,397) $ (2,397) (Loss) before income tax benefit $ (4,966) $ (3,001) $ (1,965) Year Ended Balance without insurance proceeds Insurance recoveries Balance with insurance proceeds Cost of goods sold $ 96,711 $ (3,100) $ 93,611 Gain on insurance recoveries $ — $ (5,874) $ (5,874) Income before income tax benefit $ 6 $ (8,974) $ 8,980 |
Schedule of Total Settlement Amount | The following table demonstrates the total settlement amount since December 26, 2018: Total Claim Property & damage ** $ 20,364 Extra expense & mitigation expense 4,404 Business interruption 2,932 $ 27,700 **$3,640 of total was directed to the landlord of the property for the restoration of the building in response to the fire damage that occurred in 2018 as prescribed by the lease arrangement. |
Business Information (Tables)
Business Information (Tables) | 12 Months Ended |
Sep. 30, 2021 | |
Segment Reporting [Abstract] | |
Long-lived Assets by Geographic Areas | 2021 2020 Long-Lived Assets United States $ 54,109 56,134 Europe 8,986 10,607 $ 63,095 66,741 |
Schedule of Maturities of Bargaining Agreements | The table below shows the expiration dates of the collective bargaining agreements. Plant locations Expiration date Cleveland, Ohio (unit 1) May 15, 2025 Cleveland, Ohio (unit 2) May 31, 2020 Maniago, Italy June 30, 2024 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Narrative (Details) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021USD ($)customershares | Sep. 30, 2020USD ($)customershares | |
Accounting Policies [Line Items] | ||
Allowance for doubtful accounts | $ 167 | $ 249 |
Accounts receivable, allowance for credit loss, recovery | 9 | |
Accounts receivable, written off | 263 | |
Bad debt benefit | $ 91 | $ 80 |
Percentage of inventory estimated using LIFO method | 39.00% | 47.00% |
Reserve for obsolete and excess inventory | $ 3,444 | $ 3,676 |
Depreciation expense | $ 6,651 | $ 5,883 |
Anti-dilutive weighted-average common shares excluded from calculation of diluted earnings per share (in shares) | shares | 412,000 | 207,000 |
Restricted shares | ||
Accounting Policies [Line Items] | ||
Anti-dilutive weighted-average common shares excluded from calculation of diluted earnings per share (in shares) | shares | 0 | 0 |
Minimum | ||
Accounting Policies [Line Items] | ||
Finite-lived intangible asset, useful life (in years) | 1 year | |
Maximum | ||
Accounting Policies [Line Items] | ||
Finite-lived intangible asset, useful life (in years) | 10 years | |
Building and Building Improvements | Minimum | ||
Accounting Policies [Line Items] | ||
Property, plant and equipment, useful life (in years) | 5 years | |
Building and Building Improvements | Maximum | ||
Accounting Policies [Line Items] | ||
Property, plant and equipment, useful life (in years) | 40 years | |
Machinery and Equipment | Minimum | ||
Accounting Policies [Line Items] | ||
Property, plant and equipment, useful life (in years) | 3 years | |
Machinery and Equipment | Maximum | ||
Accounting Policies [Line Items] | ||
Property, plant and equipment, useful life (in years) | 20 years | |
Computer Software | Minimum | ||
Accounting Policies [Line Items] | ||
Property, plant and equipment, useful life (in years) | 3 years | |
Computer Software | Maximum | ||
Accounting Policies [Line Items] | ||
Property, plant and equipment, useful life (in years) | 7 years | |
Leasehold Improvements | Minimum | ||
Accounting Policies [Line Items] | ||
Property, plant and equipment, useful life (in years) | 6 years | |
Leasehold Improvements | Maximum | ||
Accounting Policies [Line Items] | ||
Property, plant and equipment, useful life (in years) | 15 years | |
Customer Concentration Risk | Sales Revenue, Net | ||
Accounting Policies [Line Items] | ||
Number of major customers | customer | 2 | 1 |
Customer Concentration Risk | Sales Revenue, Net | Total Customers and Their Subcontractors | ||
Accounting Policies [Line Items] | ||
Percentage of concentration risk | 38.00% | 49.00% |
Number of major customers | customer | 3 | 4 |
Customer Concentration Risk | Sales Revenue, Net | Major Customer One and Their Subcontractors | ||
Accounting Policies [Line Items] | ||
Percentage of concentration risk | 17.00% | 16.00% |
Customer Concentration Risk | Sales Revenue, Net | Major Customer Two and Their Subcontractors | ||
Accounting Policies [Line Items] | ||
Percentage of concentration risk | 11.00% | 13.00% |
Customer Concentration Risk | Sales Revenue, Net | Major Customer Three and Their Subcontractors | ||
Accounting Policies [Line Items] | ||
Percentage of concentration risk | 10.00% | 10.00% |
Customer Concentration Risk | Sales Revenue, Net | Major Customer Four and Their Subcontractors | ||
Accounting Policies [Line Items] | ||
Percentage of concentration risk | 10.00% | |
Customer Concentration Risk | Sales Revenue, Net | Customer One | ||
Accounting Policies [Line Items] | ||
Percentage of concentration risk | 10.00% | |
Customer Concentration Risk | Sales Revenue, Net | Two Largest Customers | ||
Accounting Policies [Line Items] | ||
Percentage of concentration risk | 20.00% | |
Customer Concentration Risk | Accounts Receivable | ||
Accounting Policies [Line Items] | ||
Number of major customers | customer | 1 | |
Customer Concentration Risk | Accounts Receivable | Total Customers and Their Subcontractors | ||
Accounting Policies [Line Items] | ||
Number of major customers | customer | 1 | 3 |
Customer Concentration Risk | Accounts Receivable | Major Customer One and Their Subcontractors | ||
Accounting Policies [Line Items] | ||
Percentage of concentration risk | 17.00% | 13.00% |
Customer Concentration Risk | Accounts Receivable | Major Customer Two and Their Subcontractors | ||
Accounting Policies [Line Items] | ||
Percentage of concentration risk | 13.00% | |
Customer Concentration Risk | Accounts Receivable | Major Customer Three and Their Subcontractors | ||
Accounting Policies [Line Items] | ||
Percentage of concentration risk | 12.00% | |
Customer Concentration Risk | Accounts Receivable | Customer One | ||
Accounting Policies [Line Items] | ||
Percentage of concentration risk | 11.00% |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Schedule of Property, Plant and Equipment by Major Asset Class (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | $ 110,796 | $ 108,025 |
Less: Accumulated depreciation | 68,088 | 63,824 |
Property, plant and equipment, net | 42,708 | 44,201 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | 994 | 1,000 |
Buildings | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | 16,931 | 15,564 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | $ 92,871 | $ 91,461 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Dilutive Effect of The Company's Stock Options, Restricted Shares, and Performance Shares (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Net income (loss) | $ (743) | $ 9,191 |
Weighted-average common shares outstanding (basic) (in shares) | 5,759,000 | 5,661,000 |
Effect of dilutive securities: | ||
Weighted-average common shares outstanding (diluted) (in shares) | 5,759,000 | 5,791,000 |
Net income (loss) per share | ||
Net income (loss) per share – basic (in dollars per share) | $ (0.13) | $ 1.62 |
Net income (loss) per share – diluted (in dollars per share) | $ (0.13) | $ 1.59 |
Anti-dilutive weighted-average common shares excluded from calculation of diluted earnings per share (in shares) | 412,000 | 207,000 |
Restricted shares | ||
Effect of dilutive securities: | ||
Restricted and performance shares (in shares) | 0 | 120,000 |
Net income (loss) per share | ||
Anti-dilutive weighted-average common shares excluded from calculation of diluted earnings per share (in shares) | 0 | 0 |
Performance shares | ||
Effect of dilutive securities: | ||
Restricted and performance shares (in shares) | 0 | 10,000 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Components of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Total accumulated other comprehensive loss | $ 49,622 | $ 45,523 |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | 45,523 | 36,054 |
Other comprehensive income (loss) before reclassifications | 3,269 | (1,150) |
Amounts reclassified from accumulated other comprehensive loss | 1,120 | 991 |
Net current-period other comprehensive income (loss) | 4,389 | (159) |
Ending balance | 49,622 | 45,523 |
Foreign Currency Translation Adjustment | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Total accumulated other comprehensive loss | (5,359) | (5,257) |
AOCI tax benefit | 0 | 0 |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (5,257) | (5,667) |
Other comprehensive income (loss) before reclassifications | (102) | 410 |
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 |
Net current-period other comprehensive income (loss) | (102) | 410 |
Ending balance | (5,359) | (5,257) |
Retirement Plan Liability Adjustment | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Total accumulated other comprehensive loss | (3,720) | (8,211) |
AOCI tax benefit | (3,758) | (3,758) |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (8,211) | (7,642) |
Other comprehensive income (loss) before reclassifications | 3,371 | (1,560) |
Amounts reclassified from accumulated other comprehensive loss | 1,120 | 991 |
Net current-period other comprehensive income (loss) | 4,491 | (569) |
Ending balance | (3,720) | (8,211) |
Accumulated Other Comprehensive Loss | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Total accumulated other comprehensive loss | (9,079) | (13,468) |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (13,468) | (13,309) |
Ending balance | $ (9,079) | $ (13,468) |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Reclassification Out of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Income tax expense | $ (1,222) | $ (211) |
Net income (loss) | (743) | 9,191 |
Amount reclassified from accumulated other comprehensive loss | Prior service costs | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Total before taxes | 0 | 0 |
Amount reclassified from accumulated other comprehensive loss | Net actuarial gain (loss) | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Total before taxes | 4,217 | (808) |
Amount reclassified from accumulated other comprehensive loss | Settlements/curtailments | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Total before taxes | 274 | 239 |
Amount reclassified from accumulated other comprehensive loss | Retirement Plan Liability Adjustment | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Total before taxes | 4,491 | (569) |
Income tax expense | 0 | 0 |
Net income (loss) | $ 4,491 | $ (569) |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
Components of inventories | ||
Raw materials and supplies | $ 4,111 | $ 6,548 |
Work-in-process | 3,560 | 3,786 |
Finished goods | 4,875 | 5,235 |
Total inventories | $ 12,546 | $ 15,569 |
Inventories - Narrative (Detail
Inventories - Narrative (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Inventory Disclosure [Abstract] | ||
Additional amount that would have been reported in inventory if FIFO method had been used | $ 9,210,000 | $ 8,286,000 |
LIFO expense (benefit) | 924,000 | (10,000) |
Cost of goods sold | $ 156,000 | $ 0 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Intangible Assets by Major Class Subject to Amortization (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Intangible assets: | ||
Original Cost | $ 17,334 | $ 17,334 |
Accumulated Amortization | 16,455 | 15,405 |
Impairment | 0 | 0 |
Currency Translation | (5) | (39) |
Net Book Value | $ 874 | $ 1,890 |
Trade name | ||
Intangible assets: | ||
Weighted average life | 8 years | 8 years |
Original Cost | $ 1,876 | $ 1,876 |
Accumulated Amortization | 1,850 | 1,729 |
Impairment | 0 | 0 |
Currency Translation | 0 | (12) |
Net Book Value | $ 26 | $ 135 |
Technology asset | ||
Intangible assets: | ||
Weighted average life | 5 years | 5 years |
Original Cost | $ 1,869 | $ 1,869 |
Accumulated Amortization | 1,869 | 1,843 |
Impairment | 0 | 0 |
Currency Translation | 0 | (24) |
Net Book Value | $ 0 | $ 2 |
Customer relationships | ||
Intangible assets: | ||
Weighted average life | 10 years | 10 years |
Original Cost | $ 13,589 | $ 13,589 |
Accumulated Amortization | 12,736 | 11,833 |
Impairment | 0 | 0 |
Currency Translation | (5) | (3) |
Net Book Value | $ 848 | $ 1,753 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Narrative (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Goodwill [Line Items] | ||
Amortization of intangible assets | $ 1,011,000 | $ 1,497,000 |
Goodwill impairment | 0 | 0 |
Cleveland Reporting Unit | ||
Goodwill [Line Items] | ||
Goodwill impairment | $ 0 | $ 0 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Expected Future Amortization Expense (Details) $ in Thousands | Sep. 30, 2021USD ($) |
Amortization Expense | |
Fiscal year 2022 | $ 324 |
Fiscal year 2023 | 247 |
Fiscal year 2024 | 174 |
Fiscal year 2025 | 129 |
Fiscal year 2026 | $ 0 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Changes in Net Carrying Amount of Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Goodwill [Roll Forward] | ||
Balance at beginning of period | $ 3,493 | $ 3,493 |
Goodwill impairment adjustment | 0 | 0 |
Currency translation | 0 | 0 |
Balance at end of period | $ 3,493 | $ 3,493 |
Accrued Liabilities (Details)
Accrued Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2019 |
Components of Accrued liabilities | |||
Accrued employee compensation and benefits | $ 4,075 | $ 5,476 | |
Accrued workers’ compensation | 888 | 546 | |
Contract liabilities | 236 | 636 | $ 382 |
Other accrued liabilities | 1,672 | 1,632 | |
Total accrued liabilities | $ 6,871 | $ 8,290 |
Debt - Schedule of Debt (Detail
Debt - Schedule of Debt (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
Debt Instrument [Line Items] | ||
Capital lease obligations | $ 22 | $ 80 |
Total debt | 21,165 | 24,620 |
Less – current maturities | (18,496) | (20,014) |
Total long-term debt | 2,669 | 4,606 |
Unamortized debt issuance expense | (32) | (20) |
Other debt | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 5,581 | 5,911 |
Revolving credit agreement | Revolving credit agreement | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 8,930 | 12,870 |
Foreign subsidiary borrowings | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 6,632 | $ 5,759 |
Debt - Narrative (Details)
Debt - Narrative (Details) | Feb. 19, 2021USD ($) | Feb. 18, 2021 | Apr. 10, 2020USD ($) | Dec. 31, 2020 | Jun. 30, 2021USD ($)lender | Sep. 30, 2021USD ($)customer | Sep. 30, 2020USD ($) | Dec. 17, 2018USD ($) | Aug. 08, 2018USD ($) |
Line of Credit Facility [Line Items] | |||||||||
Number of customer invoices factored | customer | 1 | ||||||||
Revolving credit agreement | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Percentage of stock pledged on credit agreement | 66.67% | ||||||||
Notes Payable to Banks | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Weighted average interest rate, revolving credit facility | 2.70% | ||||||||
Debt face amount | $ 1,465,000 | ||||||||
Long-term loan repayment schedule period | 72 months | ||||||||
Notes Payable to Banks | Minimum | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, term | 6 months | ||||||||
Notes Payable to Banks | Maximum | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, term | 12 months | ||||||||
Notes Payable to Banks | Euro Interbank Offered Rate (Euribor) | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Basis spread on LIBOR | 3.20% | ||||||||
Foreign subsidiary borrowings | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Receivables pledged as collateral | $ 485,000 | $ 1,859,000 | |||||||
Long-term debt | $ 6,632,000 | $ 5,759,000 | |||||||
Foreign subsidiary borrowings | Euro Interbank Offered Rate (Euribor) | Minimum | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Euribor variable interest rates | 1.00% | ||||||||
Foreign subsidiary borrowings | Euro Interbank Offered Rate (Euribor) | Maximum | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Euribor variable interest rates | 4.20% | ||||||||
2018 Credit Agreement | Revolving credit agreement | Revolving credit agreement | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Revolving credit facility, maximum borrowing capacity | $ 30,000 | ||||||||
Weighted average interest rate, revolving credit facility | 1.70% | ||||||||
Debt issuance costs incurred | $ 45,000 | ||||||||
Debt instrument, unamortized discount premium | 86,000 | ||||||||
Revolving line of credit, accumulated amortization of debt issuance costs | $ 17,000 | $ 205,000 | |||||||
2018 Credit Agreement | Revolving credit agreement | Revolving credit agreement | London Interbank Offered Rate (LIBOR) | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Basis spread on LIBOR | 1.50% | ||||||||
Export Credit Facility | Revolving credit agreement | Revolving credit agreement | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Revolving credit facility, maximum borrowing capacity | $ 7,000 | $ 5,000 | |||||||
Weighted average interest rate, revolving credit facility | 1.30% | 1.20% | |||||||
Export Credit Facility | Revolving credit agreement | Revolving credit agreement | London Interbank Offered Rate (LIBOR) | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Basis spread on LIBOR | 1.00% | 1.25% | |||||||
Paycheck Protection Program Loan | Unsecured Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, term | 2 years | ||||||||
Debt face amount | $ 5,025,000 | ||||||||
Interest rate, fixed percentage | 0.98% | ||||||||
Deferral term | 6 months | ||||||||
Paycheck Protection Program Loan | Unsecured Debt | JPMORGAN CHASE BANK N.A. | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Repayments of debt | $ 261,000 | ||||||||
Long-term debt | $ 4,764,000 | 4,764,000 | |||||||
Credit Agreement | Revolving credit agreement | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Fixed charge coverage ratio | 1.1 | ||||||||
Percent availability under revolving commitment | 12.50% | 12.50% | 10.00% | ||||||
Debt instrument, covenant combined commitment percentage | 10.00% | ||||||||
Debt instrument, covenant combined borrowing base, percentage | 10.00% | ||||||||
Debt instrument, covenant combined borrowing base, amount | $ 2,000 | ||||||||
Receivables pledged as collateral | 25,370,000 | 26,964,000 | |||||||
Credit Agreement | Revolving credit agreement | Revolving credit agreement | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Revolving credit facility, maximum borrowing capacity | 28,000 | 35,000 | 35,000 | ||||||
Accordion feature, increase limit | 10,000 | ||||||||
Remaining borrowing capacity | $ 14,570,000 | $ 13,284,000 | |||||||
Weighted average interest rate, revolving credit facility | 1.84% | ||||||||
Commitment fee percentage | 0.25% | 0.25% | |||||||
Credit Agreement | Revolving credit agreement | Revolving credit agreement | London Interbank Offered Rate (LIBOR) | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Basis spread on LIBOR | 1.75% | ||||||||
Fifth Amendment to Credit Agreement and First Amendment to Export Credit Agreement | Revolving credit agreement | Revolving credit agreement | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Revolving credit facility, maximum borrowing capacity | $ 35,000 | ||||||||
First Loan | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, term | 7 years | ||||||||
Debt face amount | $ 717,000 | ||||||||
Debt instrument, number of lenders | lender | 2 | ||||||||
Debt instrument, decrease, forgiveness | $ 287,000 | ||||||||
Second Loan | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, term | 5 years | ||||||||
Debt face amount | $ 303,000 |
Debt - Foreign Subsidiary Borro
Debt - Foreign Subsidiary Borrowings (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
Line of Credit Facility [Line Items] | ||
Less – current maturities | $ (9,566) | $ (7,144) |
Total long-term debt | 2,669 | 4,606 |
Foreign subsidiary borrowings | ||
Line of Credit Facility [Line Items] | ||
Total debt | 6,632 | 5,759 |
Less – current maturities | (4,551) | (3,544) |
Total long-term debt | 2,081 | 2,215 |
Receivables pledged as collateral | 485 | 1,859 |
Foreign subsidiary borrowings | Term loan | ||
Line of Credit Facility [Line Items] | ||
Total debt | 3,127 | 2,670 |
Foreign subsidiary borrowings | Short-term borrowings | ||
Line of Credit Facility [Line Items] | ||
Total debt | 1,867 | 2,620 |
Foreign subsidiary borrowings | Factor | ||
Line of Credit Facility [Line Items] | ||
Total debt | $ 1,638 | $ 469 |
Debt - Schedule of Minimum Long
Debt - Schedule of Minimum Long-term Debt Payments (Details) - Foreign subsidiary borrowings and other debt $ in Thousands | Sep. 30, 2021USD ($) |
Debt Instrument [Line Items] | |
2022 | $ 9,729 |
2023 | 658 |
2024 | 687 |
2025 | 550 |
2026 | 465 |
thereafter | 156 |
Total debt | $ 12,245 |
Revenue - Disaggregation of Rev
Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 99,591 | $ 113,573 |
Transferred over Time | Revenue from Contract with Customer Benchmark | Customer Concentration Risk | ||
Disaggregation of Revenue [Line Items] | ||
Percentage of concentration risk | 65.00% | 59.00% |
North America | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 81,719 | $ 98,144 |
Europe | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 17,872 | 15,429 |
Fixed wing aircraft | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 38,474 | 52,039 |
Rotorcraft | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 27,214 | 31,454 |
Energy components for power generation units | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 20,390 | 16,682 |
Commercial product and other revenue | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 13,513 | 13,398 |
Commercial revenue | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 36,587 | 48,335 |
Military revenue | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 63,004 | $ 65,238 |
Revenue - Contract Balances (De
Revenue - Contract Balances (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Change In Contract With Customer, Assets [Roll Forward] | ||
Contract assets - Beginning balance | $ 11,997,000 | $ 10,349,000 |
Additional revenue recognized over-time | 64,384,000 | 67,043,000 |
Less amounts billed to the customers | (63,507,000) | (65,395,000) |
Contract assets - Ending balance | 12,874,000 | 11,997,000 |
Change In Contract With Customer, Liability [Roll Forward] | ||
Contract liabilities (included within Accrued liabilities) - Beginning balance | (636,000) | (382,000) |
Payments received in advance of performance obligations | (829,000) | (865,000) |
Performance obligations satisfied | 1,229,000 | 611,000 |
Contract liabilities (included within Accrued liabilities) - Ending balance | (236,000) | (636,000) |
Impairment loss on contract assets | $ 0 | $ 0 |
Revenue - Performance Obligatio
Revenue - Performance Obligation (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
Revenue from Contract with Customer [Abstract] | ||
Remaining performance obligations | $ 77,198 | $ 91,135 |
Income Taxes - Schedule of Comp
Income Taxes - Schedule of Components of Loss from Continuing Operations Before Income Tax Benefit (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | ||
U.S. | $ (1,523) | $ 10,071 |
Non-U.S. | (442) | (1,091) |
Income (loss) before income tax benefit | $ (1,965) | $ 8,980 |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income Taxes from Continuing Operations Before Income Tax Benefit (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Current income tax provision (benefit): | ||
U.S. federal | $ (1) | $ 0 |
U.S. state and local | 8 | 19 |
Non-U.S. | 59 | 192 |
Total current tax provision | 66 | 211 |
Deferred income tax provision (benefit): | ||
U.S. federal | 10 | 10 |
U.S. state and local | (2) | 1 |
Non-U.S. | (1,296) | (433) |
Total deferred tax benefit | (1,288) | (422) |
Income tax benefit | $ (1,222) | $ (211) |
Income Taxes - Income Tax Benef
Income Taxes - Income Tax Benefit from Continuing Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | ||
Income (loss) before income tax benefit | $ (1,965) | $ 8,980 |
Income tax provision (benefit) at U.S. federal statutory rates | (413) | 1,886 |
Tax effect of: | ||
Foreign rate differential | (193) | 0 |
State and local income taxes | 6 | 20 |
Federal tax credits | (145) | (135) |
Valuation allowance | 601 | (2,025) |
Prior year tax adjustments | (1,115) | 0 |
Other | 37 | 43 |
Income tax benefit | $ (1,222) | $ (211) |
Income Taxes - Summary of Defer
Income Taxes - Summary of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
Deferred tax assets: | ||
Net U.S. operating loss carryforwards | $ 3,833 | $ 3,543 |
Net non-U.S. operating loss carryforwards | 637 | 789 |
Employee benefits | 1,761 | 2,688 |
Inventory reserves | 897 | 1,049 |
Allowance for doubtful accounts | 45 | 73 |
Intangibles | 1,621 | 2,197 |
Foreign tax credits | 1,724 | 1,724 |
Other tax credits | 1,514 | 1,359 |
Other | 1,216 | 1,171 |
Total deferred tax assets | 13,248 | 14,593 |
Deferred tax liabilities: | ||
Depreciation | (7,948) | (8,653) |
Prepaid expenses | (359) | (376) |
Other | (458) | (1,635) |
Total deferred tax liabilities | (8,765) | (10,664) |
Net deferred tax assets | 4,483 | 3,929 |
Valuation allowance | (4,641) | (5,329) |
Net deferred tax liabilities | $ (158) | $ (1,400) |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Operating Loss Carryforwards [Line Items] | ||
Liability for uncertain tax positions, excluding any related interest and penalties | $ 22 | $ 22 |
Liability for uncertain tax position, would impact the effective tax rate, if recognized | 22 | |
Accrued interest | 15 | |
Interest and penalties from continuing operations | 1 | |
Undistributed earnings of foreign subsidiaries | 500 | |
Revenue commissioners, Ireland | Subsidiaries | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforward | 5,585 | |
Foreign tax authority | ||
Operating Loss Carryforwards [Line Items] | ||
Tax credit carryforward | 1,724 | |
Domestic tax authority | ||
Operating Loss Carryforwards [Line Items] | ||
Tax credit carryforward | 14,588 | |
Tax credit carryforward amount subject to expiration | 9,107 | |
Tax credit carryforward amount not subject to expiration | 5,481 | |
Domestic tax authority | General Business Tax Credit Carryforward | ||
Operating Loss Carryforwards [Line Items] | ||
Tax credit carryforward | 1,337 | |
State tax authority | ||
Operating Loss Carryforwards [Line Items] | ||
Tax credit carryforward | 178 | |
State and local jurisdiction | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforward | $ 21,763 |
Income Taxes - Summary of Activ
Income Taxes - Summary of Activity Related to Uncertain Tax Position (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Summary of activity related to uncertain tax positions | ||
Balance at beginning of year | $ 22 | $ 22 |
Decrease due to lapse of statute of limitations | 0 | 0 |
Balance at end of year | $ 22 | $ 22 |
Retirement Benefit Plans - Narr
Retirement Benefit Plans - Narrative (Details) | 12 Months Ended | |||
Sep. 30, 2021USD ($)plan | Sep. 30, 2020USD ($) | Jan. 01, 2020USD ($) | Sep. 30, 2019USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Number of defined benefit pension plans | plan | 4 | |||
Decrease in benefit obligation | $ 2,463,000 | |||
Benefit obligation | 29,330,000 | $ 31,793,000 | $ 30,548,000 | |
Employer contributions | $ 83,000 | |||
Other debt withdrawal liability | 739,000 | |||
Employer matching contribution percentage of employees' gross pay | 100.00% | |||
Percentage of eligible compensation of deferral contribution, minimum | 1.00% | |||
Percentage of eligible compensation | 80.00% | |||
Percentage of eligible compensation of deferral contribution, maximum | 6.00% | |||
Matching contribution expense for defined contribution plan | $ 571,000 | 648,000 | ||
Non-elective contribution per hour | $ 1.50 | |||
Non-elective contribution expense | $ 112,000 | $ 56,000 | ||
IAM National Pension Fund | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Payment period | 20 years |
Retirement Benefit Plans - Net
Retirement Benefit Plans - Net Pension Expense for Defined Benefit Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Retirement Benefits [Abstract] | ||
Service cost | $ 131 | $ 341 |
Interest cost | 699 | 832 |
Expected return on plan assets | (1,421) | (1,453) |
Amortization of net loss | 846 | 752 |
Settlement cost | 274 | 239 |
Net pension expense for defined benefit plans | $ 529 | $ 711 |
Retirement Benefit Plans - Roll
Retirement Benefit Plans - Roll Forward of Defined Benefit Pension Plan Obligations and Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Benefit obligations: | ||
Benefit obligations at beginning of year | $ 31,793 | $ 30,548 |
Service cost | 131 | 341 |
Interest cost | 699 | 832 |
Actuarial (gain) loss | (967) | 2,037 |
Benefits paid | (2,349) | (1,965) |
Currency translation | 23 | 0 |
Benefit obligations at end of year | 29,330 | 31,793 |
Plan assets: | ||
Plan assets at beginning of year | 21,609 | 20,970 |
Actual return on plan assets | 3,825 | 1,930 |
Employer contributions | 126 | 674 |
Benefits paid | (2,349) | (1,965) |
Plan assets at end of year | 23,211 | $ 21,609 |
Decrease in benefit obligation | $ (2,463) |
Retirement Benefit Plans - Ne_2
Retirement Benefit Plans - Net Plan Assets Recognized in the Consolidated Balance Sheets (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
Reconciliation of funded status: | ||
Plan assets less than projected benefit obligations | $ (6,119) | $ (10,211) |
Amounts recognized in accumulated other comprehensive loss: | ||
Net loss | 7,482 | 11,973 |
Net amount recognized in the consolidated balance sheets | 1,363 | 1,762 |
Amounts recognized in the consolidated balance sheets are: | ||
Accumulated other comprehensive loss – pretax | 7,482 | 11,973 |
Accrued liabilities | ||
Amounts recognized in the consolidated balance sheets are: | ||
Liabilities | (46) | (46) |
Pension liability | ||
Amounts recognized in the consolidated balance sheets are: | ||
Liabilities | $ (6,073) | $ (10,165) |
Retirement Benefit Plans - Weig
Retirement Benefit Plans - Weighted-Average Assumptions Used in Developing Benefit Obligation and Net Pension Expense (Details) | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Retirement Benefits [Abstract] | ||
Discount rate for liabilities | 2.60% | 2.30% |
Discount rate for expenses | 3.10% | 2.90% |
Expected return on assets | 7.00% | 7.20% |
Retirement Benefit Plans - Asse
Retirement Benefit Plans - Asset Allocation of Defined Benefit Pension Plan Assets and Fair Values and Levels in Fair Value Hierarchy (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2019 |
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | $ 23,211 | $ 21,609 | $ 20,970 |
Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 21,103 | 19,511 | |
Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 2,108 | 2,098 | $ 2,005 |
Large value | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 514 | 175 | |
Large value | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 514 | 175 | |
Large value | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 0 | 0 | |
Large blend | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 10,227 | 9,334 | |
Large blend | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 10,227 | 9,334 | |
Large blend | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 0 | 0 | |
Large growth | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 519 | 1,109 | |
Large growth | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 519 | 1,109 | |
Large growth | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 0 | 0 | |
Mid blend | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 223 | 176 | |
Mid blend | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 223 | 176 | |
Mid blend | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 0 | 0 | |
Small blend | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 697 | 224 | |
Small blend | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 697 | 224 | |
Small blend | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 0 | 0 | |
Foreign large blend | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 1,807 | 1,603 | |
Foreign large blend | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 1,807 | 1,603 | |
Foreign large blend | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 0 | 0 | |
Diversified emerging markets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 86 | 50 | |
Diversified emerging markets | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 86 | 50 | |
Diversified emerging markets | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 0 | 0 | |
Inflation protected bond | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 1,087 | 1,028 | |
Inflation protected bond | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 1,087 | 1,028 | |
Inflation protected bond | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 0 | 0 | |
Intermediate term bond | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 7,396 | 7,479 | |
Intermediate term bond | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 5,288 | 5,381 | |
Intermediate term bond | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 2,108 | 2,098 | |
High inflation bond | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 189 | 178 | |
High inflation bond | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 189 | 178 | |
High inflation bond | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 0 | 0 | |
Emerging markets bonds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 164 | 106 | |
Emerging markets bonds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 164 | 106 | |
Emerging markets bonds | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 0 | 0 | |
Short-term bonds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 302 | 147 | |
Short-term bonds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | 302 | 147 | |
Short-term bonds | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets at fair value | $ 0 | $ 0 |
Retirement Benefit Plans - Chan
Retirement Benefit Plans - Changes in the Fair Value of Level 3 Defined Benefit Plan Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Changes in the fair value of the Company's Level 3 investments | ||
Plan assets at beginning of year | $ 21,609 | $ 20,970 |
Actual return on plan assets | 3,825 | 1,930 |
Plan assets at end of year | 23,211 | 21,609 |
Level 3 | ||
Changes in the fair value of the Company's Level 3 investments | ||
Plan assets at beginning of year | 2,098 | 2,005 |
Actual return on plan assets | 52 | 128 |
Purchases and sales of plan assets, net | (42) | (35) |
Plan assets at end of year | $ 2,108 | $ 2,098 |
Retirement Benefit Plans - As_2
Retirement Benefit Plans - Asset Allocation Ranges of Defined Benefit Plan Investments (Details) | Sep. 30, 2021 | Sep. 30, 2020 |
Asset Allocation Range provides flexibility for the Plan's investments | ||
Total percent of plan assets | 100.00% | 100.00% |
U.S. equities | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Total percent of plan assets | 53.00% | 51.00% |
U.S. equities | Minimum | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Asset allocations | 30.00% | |
U.S. equities | Maximum | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Asset allocations | 70.00% | |
Non-U.S. equities | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Total percent of plan assets | 8.00% | 8.00% |
Non-U.S. equities | Minimum | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Asset allocations | 0.00% | |
Non-U.S. equities | Maximum | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Asset allocations | 20.00% | |
U.S. debt securities | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Total percent of plan assets | 37.00% | 40.00% |
U.S. debt securities | Minimum | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Asset allocations | 20.00% | |
U.S. debt securities | Maximum | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Asset allocations | 70.00% | |
Non-U.S. debt securities | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Total percent of plan assets | 1.00% | 0.00% |
Non-U.S. debt securities | Minimum | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Asset allocations | 0.00% | |
Non-U.S. debt securities | Maximum | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Asset allocations | 10.00% | |
Other securities | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Total percent of plan assets | 1.00% | 1.00% |
Other securities | Minimum | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Asset allocations | 0.00% | |
Other securities | Maximum | ||
Asset Allocation Range provides flexibility for the Plan's investments | ||
Asset allocations | 60.00% |
Retirement Benefit Plans - Sche
Retirement Benefit Plans - Schedule of Projected Future Defined Benefit Plan Payments (Details) $ in Thousands | Sep. 30, 2021USD ($) |
Projected Benefit Payments | |
2022 | $ 2,188 |
2023 | 1,813 |
2024 | 1,844 |
2025 | 1,924 |
2026 | 1,793 |
2027-2031 | $ 8,251 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based compensation arrangement by share-based payment award, compensation expense recognition, percentage of target | 50.00% | |
2016 Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Aggregate number of shares that may be awarded (in shares) | 1,196,000 | |
Exercise period for shares awarded under 2007 Plan | 10 years | |
Stock options may be awarded (in shares) | 447,000 | |
Outstanding share awards earned and issued at greater than the target number of shares | 200.00% | |
Outstanding share awards earned and issued at greater than the target number of shares next fiscal year | 150.00% | |
Stock-based compensation expense (benefit) | $ 469 | $ 398 |
Total unrecognized compensation cost related to performance and restricted shares awarded | $ 349 | |
Period of recognized compensation cost | 1 year | |
2016 Plan | Performance shares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise period for performance shares awarded under 2007 Plan | 3 years | |
2016 Plan | Performance shares | Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Ultimate number of common shares that may be earned (in shares) | 0 | |
2016 Plan | Performance shares | Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Common shares earned as percentage of initial target number shares awarded | 200.00% | |
Common shares earned as percentage of initial target number shares awarded next fiscal year | 150.00% | |
2016 Plan | Restricted shares | Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock vesting period | 1 year | |
2016 Plan | Restricted shares | Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock vesting period | 3 years |
Stock-Based Compensation - Sche
Stock-Based Compensation - Schedule of Activity Related to Performance Shares (Details) - $ / shares shares in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Number of Shares | ||
Outstanding at beginning of period (in shares) | 371 | 331 |
Shares forfeited (in shares) | (8) | (65) |
Outstanding at end of period (in shares) | 406 | 371 |
Weighted Average Fair Value at Date of Grant | ||
Outstanding at beginning of period, Weighted Average Fair Value at Date of Grant (in dollars per share) | $ 4.14 | $ 5.33 |
Shares forfeited, Weighted Average Fair Value at Date of Grant (in dollars per share) | 3.18 | 5.70 |
Outstanding at end of period, Weighted Average Fair Value at Date of Grant (in dollars per share) | $ 4.05 | $ 4.14 |
Restricted shares | ||
Number of Shares | ||
Shares awarded (in shares) | 79 | 145 |
Shares earned (in shares) | (107) | (87) |
Weighted Average Fair Value at Date of Grant | ||
Shares awarded, Weighted Average Fair Value at Date of Grant (in dollars per share) | $ 5.76 | $ 3.25 |
Shares earned, Weighted Average Fair Value at Date of Grant (in dollars per share) | $ 5.47 | $ 4.42 |
Performance shares | ||
Number of Shares | ||
Shares awarded (in shares) | 71 | 47 |
Shares earned (in shares) | 0 | 0 |
Weighted Average Fair Value at Date of Grant | ||
Shares awarded, Weighted Average Fair Value at Date of Grant (in dollars per share) | $ 3.74 | $ 2.50 |
Shares earned, Weighted Average Fair Value at Date of Grant (in dollars per share) | $ 0 | $ 0 |
Leases- Leases Cost Components
Leases- Leases Cost Components Schedule (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Finance lease expense: | ||
Amortization of right-of use assets on finance leases | $ 55 | $ 55 |
Interest on lease liabilities | 2 | 5 |
Operating lease expense | 1,952 | 2,173 |
Variable lease cost | 138 | 157 |
Total lease expense | $ 2,147 | $ 2,390 |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information Schedule (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
ASSETS | ||
Property, plant and equipment, net | $ 34 | $ 89 |
Operating lease right-of-use assets, net | 15,943 | 17,021 |
Total lease assets | 15,977 | 17,110 |
Current liabilities: | ||
Current maturities of long-term debt | 17 | 58 |
Short-term operating lease liabilities | 788 | 991 |
Non-current liabilities: | ||
Long-term debt, net of current maturities | 5 | 22 |
Long-term operating lease liabilities, net of short-term | 15,439 | 16,188 |
Total lease liabilities | $ 16,249 | $ 17,259 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Property, plant and equipment, net | Property, plant and equipment, net |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | Current maturities of long-term debt | Current maturities of long-term debt |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Total long-term debt | Total long-term debt |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information and Non-Cash Activity Schedule (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Cash paid for amounts included in measurement of liabilities: | ||
Operating cash flows from operating leases | $ 1,952 | $ 2,173 |
Operating cash flows from finance leases | 2 | 5 |
Financing cash flows from finance leases | 59 | 57 |
Right-of-use assets obtained in exchange for new lease liabilities: | ||
Operating leases | $ 43 | $ 278 |
Leases - Weighted-Average Remai
Leases - Weighted-Average Remaining Lease Term and Discount Rate Schedule (Details) | Sep. 30, 2021 | Sep. 30, 2020 |
Weighted-average remaining lease term (years): | ||
Finance leases | 1 year 18 days | 1 year 7 months 20 days |
Operating leases | 14 years 4 months 20 days | 15 years 1 month 24 days |
Weighted-average discount rate: | ||
Finance leases | 2.83% | 4.84% |
Operating leases | 5.89% | 5.89% |
Leases - Maturities of Lease Li
Leases - Maturities of Lease Liabilities by Fiscal Year Schedule (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
Finance Leases | ||
2022 | $ 17 | |
2023 | 5 | |
2024 | 0 | |
2025 | 0 | |
2026 | 0 | |
Thereafter | 0 | |
Total lease payments | 22 | |
Less: Imputed interest | 0 | |
Present value of lease liabilities | 22 | $ 80 |
Operating Leases | ||
2022 | 1,694 | |
2023 | 1,633 | |
2024 | 1,647 | |
2025 | 1,644 | |
2026 | 1,620 | |
Thereafter | 15,906 | |
Total lease payments | 24,144 | |
Less: Imputed interest | (7,917) | |
Present value of lease liabilities | $ 16,227 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) $ in Thousands | Mar. 29, 2021USD ($) | Sep. 30, 2021USD ($) | Sep. 30, 2020USD ($) | Jun. 30, 2021press |
Loss Contingencies [Line Items] | ||||
Insurance proceeds received for damaged property | $ 4,101 | $ 7,828 | ||
Gain on insurance proceeds received | 2,397 | 5,874 | ||
Recoverable amounts of business interruption expenses | 546 | |||
Quality Aluminum Forge, LLC Manufacturing Facility Fire | ||||
Loss Contingencies [Line Items] | ||||
Insurance proceeds received for damaged property | 4,548 | |||
Gain on insurance proceeds received | 2,397 | 5,874 | ||
Recoverable amounts of business interruption expenses | 546 | 1,219 | ||
Quality Aluminum Forge, LLC Manufacturing Facility Fire | Income before income tax benefit | ||||
Loss Contingencies [Line Items] | ||||
Gain on insurance proceeds received | $ 3,001 | $ 8,974 | ||
Quality Aluminum Forge, LLC Manufacturing Facility Fire | Damage from Fire, Explosion or Other Hazard | ||||
Loss Contingencies [Line Items] | ||||
Number of additional presses to be restored | press | 2 | |||
Number of presses damaged | press | 6 | |||
Class Action Suit in Superior Court of California, Orange County - Wage-and-hour law violations | ||||
Loss Contingencies [Line Items] | ||||
Loss contingency, paid | $ 315 |
Commitments and Contingencies_2
Commitments and Contingencies - Insurance Receivable Balance Sheet Roll Forward (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Insurance Recoveries Within Consolidated Condensed Financial Statements [Roll Forward] | ||
Business interruption | $ 546 | |
Insurance recoveries | ||
Insurance Recoveries Within Consolidated Condensed Financial Statements [Roll Forward] | ||
Other receivable, beginning balance | 1,547 | $ 3,500 |
Cash received | (4,548) | (10,927) |
Other expenses | 58 | 1,881 |
Business interruption | 546 | 1,219 |
Other receivable, ending balance | 0 | 1,547 |
Equipment | Insurance recoveries | ||
Insurance Recoveries Within Consolidated Condensed Financial Statements [Roll Forward] | ||
Capital expenditures (equipment) | $ 2,397 | $ 5,874 |
Commitments and Contingencies_3
Commitments and Contingencies - Insurance Proceeds Impact On Consolidated Condensed Statements Of Operation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Loss Contingencies [Line Items] | ||
Gain on insurance recoveries | $ (2,397) | $ (5,874) |
Cost of goods sold | 88,386 | 93,611 |
Income (loss) before income tax benefit | (1,965) | 8,980 |
Balance without insurance proceeds | ||
Loss Contingencies [Line Items] | ||
Cost of goods sold, balance without insurance proceeds | 88,990 | 96,711 |
Gain on insurance recoveries | 0 | 0 |
Income (loss) before income tax (benefit) expense, balance without insurance proceeds | (4,966) | 6 |
Insurance recoveries | ||
Loss Contingencies [Line Items] | ||
Gain on insurance recoveries | (2,397) | (5,874) |
Insurance recoveries | Cost of goods sold | ||
Loss Contingencies [Line Items] | ||
Gain on insurance recoveries | (604) | (3,100) |
Insurance recoveries | Income (loss) before income tax benefit | ||
Loss Contingencies [Line Items] | ||
Gain on insurance recoveries | $ (3,001) | $ (8,974) |
Commitment and Contingencies -
Commitment and Contingencies - Total Settlement (Details) $ in Thousands | 33 Months Ended |
Sep. 30, 2021USD ($) | |
Loss Contingencies [Line Items] | |
Proceeds directed to landlord | $ 3,640 |
Insurance recoveries | Insurance Settlement | |
Loss Contingencies [Line Items] | |
Property and damage | 20,364 |
Extra expense & mitigation expense | 4,404 |
Business interruption | 2,932 |
Total settlement amount | $ 27,700 |
Business Information - Narrativ
Business Information - Narrative (Details) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021USD ($)separate_bargaining_unitSegmenthourly_plant_personnel | Sep. 30, 2020USD ($) | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Number of reportable segments | Segment | 1 | |
Identifiable assets | $ 63,095 | $ 66,741 |
Number of employees represented by separate collective bargaining agreements | hourly_plant_personnel | 177 | |
Number of collective bargain agreements | separate_bargaining_unit | 3 | |
Number of units entered into early negotiations and ratification of CBA | separate_bargaining_unit | 2 | |
United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Identifiable assets | $ 54,109 | 56,134 |
Europe | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Identifiable assets | 8,986 | 10,607 |
Maniago | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Identifiable assets | $ 19,586 | $ 21,989 |
Sales Revenue, Net | Geographic Concentration Risk | United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Percentage of concentration risk | 66.00% | 72.00% |
Sales Revenue, Net | Geographic Concentration Risk | Europe | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Percentage of concentration risk | 18.00% | 14.00% |
Sales Revenue, Net | Geographic Concentration Risk | Asia | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Percentage of concentration risk | 8.00% | 8.00% |
Business Information - Long-liv
Business Information - Long-lived Assets by Geographic Areas (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Sep. 30, 2020 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-Lived Assets | $ 63,095 | $ 66,741 |
United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-Lived Assets | 54,109 | 56,134 |
Europe | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-Lived Assets | $ 8,986 | $ 10,607 |
Subsequent events (Details)
Subsequent events (Details) - 1 months ended Oct. 31, 2021 - Subsequent event | USD ($) | EUR (€) |
Subsequent Event [Line Items] | ||
Issued amount of debt | $ 1,200,000 | € 1,000,000 |
Debt instrument, term | 6 years |
Valuation and Qualifying Acco_2
Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Allowance for doubtful accounts | ||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | ||
Valuation allowances and reserves, beginning balance | $ 249 | $ 592 |
Additions (Reductions) Charged to Expense | (91) | (80) |
Additions (Reductions) Charged to Other Accounts | 0 | 0 |
Deductions | 9 | (263) |
Valuation allowances and reserves, ending balance | 167 | 249 |
Inventory obsolescence reserve | ||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | ||
Valuation allowances and reserves, beginning balance | 3,676 | 3,335 |
Additions (Reductions) Charged to Expense | (50) | 518 |
Additions (Reductions) Charged to Other Accounts | (180) | (151) |
Deductions | (2) | (26) |
Valuation allowances and reserves, ending balance | 3,444 | 3,676 |
Inventory LIFO reserve | ||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | ||
Valuation allowances and reserves, beginning balance | 8,286 | 8,296 |
Additions (Reductions) Charged to Expense | 924 | (10) |
Additions (Reductions) Charged to Other Accounts | 0 | |
Deductions | 0 | |
Valuation allowances and reserves, ending balance | 9,210 | 8,286 |
Deferred tax valuation allowance | ||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | ||
Valuation allowances and reserves, beginning balance | 5,329 | 7,557 |
Additions (Reductions) Charged to Expense | 345 | (2,362) |
Additions (Reductions) Charged to Other Accounts | (1,033) | 134 |
Deductions | 0 | 0 |
Valuation allowances and reserves, ending balance | 4,641 | 5,329 |
Workers’ compensation reserve | ||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | ||
Valuation allowances and reserves, beginning balance | 546 | 181 |
Additions (Reductions) Charged to Expense | 1,241 | 703 |
Additions (Reductions) Charged to Other Accounts | (53) | 0 |
Deductions | (846) | (338) |
Valuation allowances and reserves, ending balance | $ 888 | $ 546 |