Document and Entity Information
Document and Entity Information Document | 9 Months Ended |
Sep. 30, 2023 | |
Cover [Abstract] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Document Period End Date | Sep. 30, 2023 |
Document Transition Report | false |
Entity File Number | 1-13595 |
Entity Registrant Name | Mettler Toledo International Inc |
Entity Incorporation, State or Country Code | DE |
Entity Tax Identification Number | 13-3668641 |
Entity Address, Address Line One | 1900 Polaris Parkway |
Entity Address, City or Town | Columbus |
Entity Address, State or Province | OH |
Entity Address, Postal Zip Code | 43240 |
City Area Code | 614 |
Local Phone Number | 438-4511 |
Title of 12(b) Security | Common Stock, $0.01 par value |
Trading Symbol | MTD |
Security Exchange Name | NYSE |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Central Index Key | 0001037646 |
Document Fiscal Year Focus | 2023 |
Document Fiscal Period Focus | Q3 |
Current Fiscal Year End Date | --12-31 |
Amendment Flag | false |
Interim Consolidated Statements
Interim Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Revenues | $ 942,462 | $ 985,846 | $ 2,853,317 | $ 2,862,024 |
Gross profit | 559,539 | 584,656 | 1,689,648 | 1,675,902 |
Research and development | 46,127 | 44,129 | 138,849 | 131,180 |
Selling, general and administrative | 217,447 | 233,357 | 680,679 | 710,875 |
Amortization | 18,314 | 16,728 | 54,135 | 49,697 |
Interest expense | 20,278 | 14,484 | 57,711 | 38,587 |
Restructuring Charges | 7,385 | 2,022 | 19,680 | 7,803 |
Other charges (income), net | (1,171) | (1,949) | (2,578) | (7,818) |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 251,159 | 275,885 | 741,172 | 745,578 |
Provision for taxes | 49,528 | 55,288 | 137,188 | 138,910 |
Net earnings | $ 201,631 | $ 220,597 | $ 603,984 | $ 606,668 |
Basic earnings per common share: | ||||
Net earnings | $ 9.26 | $ 9.85 | $ 27.54 | $ 26.86 |
Weighted average number of common shares | 21,776,944 | 22,403,393 | 21,933,889 | 22,587,026 |
Diluted earnings per common share: | ||||
Net earnings | $ 9.21 | $ 9.76 | $ 27.37 | $ 26.58 |
Weighted average number of common and common equivalent shares | 21,886,482 | 22,610,027 | 22,067,398 | 22,821,408 |
Comprehensive Income, Net of Tax (Note 9) | $ 205,694 | $ 178,448 | $ 568,064 | $ 537,378 |
Product [Member] | ||||
Revenues | 722,611 | 783,986 | 2,197,583 | 2,270,845 |
Cost of Goods and Services Sold | 280,704 | 305,337 | 863,408 | 902,445 |
Service [Member] | ||||
Revenues | 219,851 | 201,860 | 655,734 | 591,179 |
Cost of Goods and Services Sold | $ 102,219 | $ 95,853 | $ 300,261 | $ 283,677 |
Interim Consolidated Balance Sh
Interim Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 69,675 | $ 95,966 |
Trade accounts receivable, less allowances | 634,967 | 709,321 |
Inventories | 375,959 | 441,694 |
Other current assets and prepaid expenses | 116,311 | 128,108 |
Total current assets | 1,196,912 | 1,375,089 |
Property, plant and equipment, net | 763,209 | 778,600 |
Goodwill | 660,638 | 660,170 |
Other intangible assets, net | 287,197 | 306,054 |
Deferred tax assets, net | 27,687 | 27,080 |
Other non-current assets | 353,087 | 345,402 |
Total assets | 3,288,730 | 3,492,395 |
Current liabilities: | ||
Trade accounts payable | 173,970 | 252,538 |
Accrued and other liabilities | 172,871 | 205,253 |
Accrued compensation and related items | 144,871 | 200,031 |
Deferred Revenue | 190,784 | 192,759 |
Taxes payable | 208,844 | 191,096 |
Short-term borrowings and current maturities of long-term debt | 179,083 | 106,054 |
Total current liabilities | 1,070,423 | 1,147,731 |
Long-term debt | 1,929,401 | 1,908,480 |
Deferred tax liabilities, net | 112,209 | 111,360 |
Other non-current liabilities | 282,569 | 300,031 |
Total liabilities | 3,394,602 | 3,467,602 |
Commitments and contingencies (Note 15) | ||
Shareholders' equity: | ||
Preferred stock, $0.01 par value per share; authorized 10,000,000 shares | 0 | 0 |
Common stock, $0.01 par value per share; authorized 125,000,000 shares; issued 44,786,011 and 44,786,011 shares; outstanding 23,794,563 and 24,125,317 shares at September 30, 2020 and December 31, 2019, respectively | 448 | 448 |
Additional paid-in capital | 865,632 | 850,368 |
Treasury stock at cost (20,991,448 shares at September 30, 2020 and 20,660,694 shares at December 31, 2019) | (8,037,091) | (7,325,656) |
Retained earnings | 7,328,292 | 6,726,866 |
Accumulated other comprehensive loss | (263,153) | (227,233) |
Total shareholders' equity | (105,872) | 24,793 |
Total liabilities and shareholders' equity | $ 3,288,730 | $ 3,492,395 |
Balance Sheet Parentheticals (P
Balance Sheet Parentheticals (Parentheticals) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Accounts Receivable, Allowance for Credit Loss, Current | $ 22,094 | $ 22,176 |
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 125,000,000 | 125,000,000 |
Common Stock, Shares, Issued | 44,786,011 | 44,786,011 |
Common Stock, Shares, Outstanding | 21,864,818 | 22,843,103 |
Treasury Stock, Common, Shares | 22,921,193 | 21,942,908 |
Interim Consolidated Statemen_2
Interim Consolidated Statements of Shareholders' Equity and Comprehensive Income (Unaudited) - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock, Common |
Beginning balance at Dec. 31, 2021 | $ 171,421 | $ 448 | $ 825,974 | $ 5,859,272 | $ (255,224) | $ (6,259,049) |
Beginning balance, shares at Dec. 31, 2021 | 22,843,103 | |||||
Stock Issued During Period, Value, Treasury Stock Reissued | (5,289) | (1,020) | (2,400) | (6,669) | ||
Exercise of stock options and restricted stock units, shares | 27,795 | |||||
Treasury Stock, Value, Acquired, Cost Method | (275,000) | (275,000) | ||||
Repurchases of common stock, shares | (190,593) | |||||
Adjustment to Additional Paid in Capital, Share-Based Compensation | 4,509 | 4,509 | ||||
Net earnings | 174,001 | 174,001 | ||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | 4,350 | 4,350 | ||||
Ending balance at Mar. 31, 2022 | 84,570 | $ 448 | 831,503 | 6,030,873 | (250,874) | (6,527,380) |
Ending balance, shares at Mar. 31, 2022 | 22,680,305 | |||||
Beginning balance at Dec. 31, 2021 | $ 171,421 | $ 448 | 825,974 | 5,859,272 | (255,224) | (6,259,049) |
Beginning balance, shares at Dec. 31, 2021 | 22,843,103 | |||||
Exercise of stock options and restricted stock units, shares | 80,466 | |||||
Treasury Stock, Value, Acquired, Cost Method | $ (825,000) | |||||
Repurchases of common stock, shares | (629,380) | |||||
Net earnings | $ 606,668 | |||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (69,290) | |||||
Ending balance at Sep. 30, 2022 | (82,809) | 842,421 | 6,463,349 | (324,514) | (7,064,513) | |
Ending balance, shares at Sep. 30, 2022 | 22,294,189 | |||||
Beginning balance at Mar. 31, 2022 | 84,570 | $ 448 | 831,503 | 6,030,873 | (250,874) | (6,527,380) |
Beginning balance, shares at Mar. 31, 2022 | 22,680,305 | |||||
Stock Issued During Period, Value, Treasury Stock Reissued | (12,421) | (1,496) | 0 | (10,925) | ||
Exercise of stock options and restricted stock units, shares | 44,613 | |||||
Treasury Stock, Value, Acquired, Cost Method | (274,999) | (274,999) | ||||
Repurchases of common stock, shares | (218,308) | |||||
Adjustment to Additional Paid in Capital, Share-Based Compensation | 4,691 | 4,691 | ||||
Net earnings | 212,070 | 212,070 | ||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (31,491) | (31,491) | ||||
Ending balance at Jun. 30, 2022 | 7,262 | $ 448 | 837,690 | 6,242,943 | (282,365) | (6,791,454) |
Ending balance, shares at Jun. 30, 2022 | 22,506,610 | |||||
Stock Issued During Period, Value, Treasury Stock Reissued | (1,750) | 0 | (191) | (1,941) | ||
Exercise of stock options and restricted stock units, shares | 8,058 | |||||
Treasury Stock, Value, Acquired, Cost Method | (275,000) | (275,000) | ||||
Repurchases of common stock, shares | (220,479) | |||||
Adjustment to Additional Paid in Capital, Share-Based Compensation | 4,731 | 4,731 | ||||
Net earnings | 220,597 | 220,597 | ||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (42,149) | (42,149) | ||||
Ending balance at Sep. 30, 2022 | (82,809) | 842,421 | 6,463,349 | (324,514) | (7,064,513) | |
Ending balance, shares at Sep. 30, 2022 | 22,294,189 | |||||
Beginning balance at Dec. 31, 2022 | $ 24,793 | $ 448 | 850,368 | 6,726,866 | (227,233) | (7,325,656) |
Beginning balance, shares at Dec. 31, 2022 | 22,843,103 | 22,139,009 | ||||
Stock Issued During Period, Value, Treasury Stock Reissued | $ (11,473) | (1,278) | (2,525) | (12,720) | ||
Exercise of stock options and restricted stock units, shares | 47,849 | |||||
Treasury Stock, Value, Acquired, Cost Method | (249,999) | (249,999) | ||||
Repurchases of common stock, shares | (166,628) | |||||
Excise tax on net repurchases of common stock | 1,906 | |||||
Adjustment to Additional Paid in Capital, Share-Based Compensation | 4,027 | 4,027 | ||||
Net earnings | 188,426 | 188,426 | ||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (1,283) | (1,283) | ||||
Ending balance at Mar. 31, 2023 | (24,469) | $ 448 | 855,673 | 6,912,767 | (228,516) | (7,564,841) |
Ending balance, shares at Mar. 31, 2023 | 22,020,230 | |||||
Beginning balance at Dec. 31, 2022 | $ 24,793 | $ 448 | 850,368 | 6,726,866 | (227,233) | (7,325,656) |
Beginning balance, shares at Dec. 31, 2022 | 22,843,103 | 22,139,009 | ||||
Exercise of stock options and restricted stock units, shares | 70,812 | |||||
Treasury Stock, Value, Acquired, Cost Method | $ (724,000) | |||||
Repurchases of common stock, shares | (526,019) | |||||
Net earnings | $ 603,984 | |||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (35,920) | |||||
Ending balance at Sep. 30, 2023 | $ (105,872) | (263,153) | ||||
Ending balance, shares at Sep. 30, 2023 | 21,864,818 | 21,683,802 | ||||
Beginning balance at Mar. 31, 2023 | $ (24,469) | $ 448 | 855,673 | 6,912,767 | (228,516) | (7,564,841) |
Beginning balance, shares at Mar. 31, 2023 | 22,020,230 | |||||
Stock Issued During Period, Value, Treasury Stock Reissued | (7,614) | (1,536) | (7) | (6,085) | ||
Exercise of stock options and restricted stock units, shares | 22,342 | |||||
Treasury Stock, Value, Acquired, Cost Method | (250,000) | (250,000) | ||||
Repurchases of common stock, shares | (177,754) | |||||
Excise tax on net repurchases of common stock | 2,272 | |||||
Adjustment to Additional Paid in Capital, Share-Based Compensation | 4,195 | 4,195 | ||||
Net earnings | 213,927 | 213,927 | ||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (38,700) | (38,700) | ||||
Ending balance at Jun. 30, 2023 | (89,705) | $ 448 | 861,404 | 7,126,687 | (267,216) | (7,811,028) |
Ending balance, shares at Jun. 30, 2023 | 21,864,818 | |||||
Stock Issued During Period, Value, Treasury Stock Reissued | (147) | (26) | (173) | |||
Exercise of stock options and restricted stock units, shares | 621 | |||||
Treasury Stock, Value, Acquired, Cost Method | (223,999) | (223,999) | ||||
Repurchases of common stock, shares | (181,637) | |||||
Excise tax on net repurchases of common stock | $ 2,237 | |||||
Adjustment to Additional Paid in Capital, Share-Based Compensation | 4,228 | $ 4,228 | ||||
Net earnings | 201,631 | $ 201,631 | ||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | 4,063 | 4,063 | ||||
Ending balance at Sep. 30, 2023 | $ (105,872) | $ (263,153) | ||||
Ending balance, shares at Sep. 30, 2023 | 21,864,818 | 21,683,802 |
Interim Consolidated Statemen_3
Interim Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash flows from operating activities: | ||
Net earnings | $ 603,984,000 | $ 606,668,000 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation | 36,406,000 | 35,001,000 |
Amortization | 54,135,000 | 49,697,000 |
Deferred tax benefit | (4,455,000) | (4,881,000) |
Share-based compensation | 12,450,000 | 13,931,000 |
Increase (decrease) in cash resulting from changes in: | ||
Trade accounts receivable, net | 61,978,000 | (16,239,000) |
Inventories | 59,409,000 | (78,574,000) |
Other current assets | 14,679,000 | (14,509,000) |
Trade accounts payable | (70,562,000) | (26,614,000) |
Taxes payable | 16,726,000 | 73,815,000 |
Increase (Decrease) in Other Operating Assets and Liabilities, Net | (100,381,000) | (82,871,000) |
Net cash provided by operating activities | 684,369,000 | 555,424,000 |
Cash flows from investing activities: | ||
Proceeds from sale of property, plant and equipment | 668,000 | 236,000 |
Purchase of property, plant and equipment | (72,907,000) | (89,213,000) |
Proceeds from government funding | 2,596,000 | 28,670,000 |
Acquisitions | (613,000) | (25,588,000) |
Net cash used in investing activities | (96,193,000) | (89,358,000) |
Cash flows from financing activities: | ||
Proceeds from borrowings | 1,569,973,000 | 1,732,169,000 |
Repayments of borrowings | (1,467,228,000) | (1,348,152,000) |
Proceeds from stock option exercises | 19,234,000 | 19,460,000 |
Repurchases of common stock | (723,998,000) | (824,999,000) |
Payment for Contingent Consideration Liability, Financing Activities | 7,767,000 | 7,912,000 |
Proceeds from (Payments for) Other Financing Activities | (826,000) | (1,172,000) |
Net cash used in financing activities | (610,612,000) | (430,606,000) |
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Continuing Operations | (3,855,000) | (11,888,000) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect | (26,291,000) | 23,572,000 |
Beginning of period | 95,966,000 | 98,564,000 |
End of period | 69,675,000 | 122,136,000 |
Cash and cash equivalents: | $ (26,291,000) | $ 23,572,000 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | BASIS OF PRESENTATION Mettler-Toledo International Inc. (Mettler-Toledo or the Company) is a leading global supplier of precision instruments and services. The Company manufactures weighing instruments for use in laboratory, industrial, packaging, logistics and food retailing applications. The Company also manufactures several related analytical instruments and provides automated chemistry solutions used in drug and chemical compound discovery and development. In addition, the Company manufactures metal detection and other end-of-line inspection systems used in production and packaging and provides solutions for use in certain process analytics applications. The Company's primary manufacturing facilities are located in China, Germany, Switzerland, the United Kingdom and the United States. The Company's principal executive offices are located in Columbus, Ohio and Greifensee, Switzerland. The accomp anying interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) and include all entities in which the Company has control, which are its wholly-owned subsidiaries. The interim consolidated financial statements have been prepared without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. The interim consolidated financial statements should be read in conjunction with the consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. The accompanying interim consolidated financial statements reflect all adjustments which, in the opinion of management, are necessary for a fair statement of the results of the interim periods presented. Operating results for the three and nine months ended September 30, 2023 are not necessarily indicative of the results to be expected for the full year ending December 31, 2023. The preparation of financial statemen ts in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, as well as disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. These financial statements were prepared using information reasonably available as of September 30, 2023 and through the date of this report. Actual results may differ from those estimates due to uncertainty in the economic environment and our end markets, ongoing developments in Ukraine, the Israeli-Palestinian conflict and inflation, as well as other factors. All intercompany transactions and balances have been eliminated. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Trade Accounts Receivable Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for expected credit losses represents the Company’s best estimate based on historical information, current information, and reasonable and supportable forecasts of future events and circumstances. Inventories Inventories are valued at the lower of cost or net realizable value. Cost, which includes direct materials, labor and overhead, is generally determined using the first in, first out (FIFO) method. The estimated net realizable value is based on assumptions for future demand and related pricing. Adjustments to the cost basis of the Company’s inventory are made for excess and obsolete items based on usage, orders and technological obsolescence. If actual market conditions are less favorable than those projected by management, reductions in the value of inventory may be required. Inventories consisted of the following: September 30, December 31, Raw materials and parts $ 183,464 $ 222,170 Work-in-progress 73,605 77,848 Finished goods 118,890 141,676 $ 375,959 $ 441,694 Goodwill and Other Intangible Assets Goodwill, representing the excess of purchase price over the net asset value of companies acquire d, and indefinite-lived intangible assets are not amortized, but are reviewed for impairment annually in the fourth quarter, or more frequently if events or changes in circumstances indicate that an asset might be impaired. The annual evaluation for goodwill and indefinite-lived intangible assets are generally based on an assessment of qualitative factors to determine whether it is more likely than not that the fair value of the asset is less than its carrying amount. Other in tangible assets include indefinite-lived assets and assets subject to amortization. Where applicable, amortization is charged on a straight-line basis over the expected period of benefit. The straight-line method of amortization reflects an appropriate allocation of the cost of the intangible assets to earnings in proportion to the amount of economic benefits obtained by the Company in each reporting period. The Company assesses the initial acquisition of intangible assets in accordance with the provisions of ASC 805 "Business Combinations" and the continued accounting for previously recognized intangible assets and goodwill in accordance with the provisions of ASC 350 "Intangible - Goodwill and Other" and ASC 360 "Property, Plant and Equipment". Other intangible assets consisted of the following: September 30, 2023 December 31, 2022 Gross Accumulated Intangibles, Net Gross Accumulated Intangibles, Net Customer relationships $ 292,336 $ (103,688) $ 188,648 $ 292,713 $ (92,981) $ 199,732 Proven technology and patents 124,175 (70,693) 53,482 123,623 (64,089) 59,534 Tradenames (finite life) 7,581 (4,127) 3,454 7,675 (3,543) 4,132 Tradenames (indefinite life) 36,232 — 36,232 36,252 — 36,252 Other 13,214 (7,833) 5,381 13,271 (6,867) 6,404 $ 473,538 $ (186,341) $ 287,197 $ 473,534 $ (167,480) $ 306,054 The Company recognized amortization expense associated with the above intangible assets of $7.0 million and $6.7 million for the three months ended September 30, 2023 and 2022, respectively, and $20.8 million and $20.1 million for the nine months ended September 30, 2023 and 2022, respectively. The annual aggregate amortization expense based on the current balance of other intangible assets is estimated to be $27.5 million for 2023, $26.9 million for 2024, $26.0 million for 2025, $22.1 million for 2026, $20.6 million for 2027, and $18.9 million for 2028. Purchased intangible amortization was $6.7 million, $5.2 million after tax, and $6.4 million, $5.0 million after tax, for the three months ended September 30, 2023 and 2022, respectively, and $19.9 million, $15.4 million after tax, and $19.4 million, $15.0 million after tax, for the nine months ended September 30, 2023 and 2022, respectively. In addition to the above amortization, the Company recorded amortization expense associated with capitalized software of $11.2 million and $10.0 million for the three months ended September 30, 2023 and 2022, res pectively, and $33.2 million and $29.4 million for the nine months ended September 30, 2023 and 2022, respectively. Revenue Recognition Product revenue is recognized from contracts with customers when a customer has obtained control of a product. The Company considers control to have transferred based upon shipping terms. To the extent the Company’s arrangements have a separate performance obligation, revenue related to any post-shipment performance obligation is deferred until completed. Shipping and handling costs charged to customers are included in total net sales and the associated expense is a component of cost of sales. Certain products are also sold through indirect distribution channels whereby the distributor assumes any further obligations to the end customer. Revenue is recognized on these distributor arrangements upon transfer of control to the distributor. Contracts do not contain variable pricing arrangements that are retrospective, except for rebate programs. Rebates are estimated based on expected sales volumes and offset against revenue at the time such revenue is recognized. The Company generally maintains the right to accept or reject a product return in its terms and conditions and also maintains appropriate accruals for outstanding credits. The related provisions for estimated returns and rebates are immaterial to the consolidated financial statements. Certain of the Company’s product arrangements include separate performance obligations, primarily related to installation. Such performance obligations are accounted for separately when the deliverables have stand-alone value and the satisfaction of the undelivered performance obligations is probable and within the Company's control. The allocation of revenue between the performance obligations is based on the observable stand-alone selling prices at the time of the sale in accordance with a number of factors including service technician billing rates, time to install, and geographic location. Software is generally not considered a distinct performance obligation with the exception of a few small software applications. The Company generally does not sell software products without the related hardware instrument as the software is embedded in the product. The Company’s products typically require no significant production, modification, or customization of the hardware or software that is essential to the functionality of the products. Service revenue not under contract is recognized upon the completion of the service performed. Revenue from spare parts sold on a stand-alone basis is recognized when control is transferred to the customer, which is generally at the time of shipment or delivery. Revenue from service contracts is recognized ratably over the contract period using a time-based method. These contracts represent an obligation to perform repair and other services including regulatory compliance qualification, calibration, certification, and preventative maintenance on a customer’s pre-defined equipment over the contract period. Share-Based Compensation The Company recognizes share-based compensation expense within selling, general and administrative in the consolidated statements of operations and other comprehensive income with a corresponding offset to additional paid-in capital in the consolidated balance sheet. The Company recorded $4.2 million and $12.5 million of share-based compensation expense for the three and nine months ended September 30, 2023, respectively, compared to $4.7 million and $13.9 million for the corresponding periods in 2022. Research and Development Research and development costs primarily consist of salaries, consulting and other costs. The Company expenses these costs as incurred. Business Combinations and Asset Acquisitions The Company accounts for business acquisitions under the accounting standards for business combinations. The results of each acquisition are included in the Company's consolidated results as of the acquisition date. The purchase price of an acquisition is allocated to tangible and intangible assets and assumed liabilities based on their estimated fair values and any consideration in excess of the net assets acquired is recognized as goodwill. The determination of the values of the acquired assets and assumed liabilities, including goodwill and intangible assets, require significant judgment. Acquisition transaction costs are expensed when incurred. In circumstances where an acquisition involves a contingent consideration arrangement, the Company recognizes a liability equal to the fair value of the expected contingent payments as of the acq uisition date. Subsequent changes in the fair value of the contingent consideration are recorded to other charges (income), net. Recent Accounting Pronouncements In March 2020, Jan uary 2021 and December 2022, the FASB issued ASU 2020-04, ASU 2021-01 and ASU-2022-06: Reference Rate Reform which provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by the discontinuance of LIBOR or another referenced rate. The guidance may be applied to any applicable contract entered into before December 31, 2024. During the nine months ended September 30, 2023, the Company amended its credit agreement and cross currency swap agreements to change the interest rate benchmark from LIBOR to SOFR and other non-U.S. dollar references, which did not change the amount or timing of cash flows. As a result, the discontinuation of LIBOR in June 2023 did not have a material impact on the Company’s financial statements. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers (Notes) | 9 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer [Text Block] | REVENUEThe Company disaggregates revenue from contracts with customers by product, service, timing of revenue recognition and geography. A summary of revenue by the Company’s reportable segments for the three and nine months ended September 30, 2023 and 2022 follows: For the three months ended September 30, 2023 U.S. Operations Swiss Operations Western European Operations Chinese Operations Other Operations Total Product Revenue $ 264,095 $ 40,270 $ 135,608 $ 147,312 $ 135,326 $ 722,611 Service Revenue: Point in time 68,082 7,049 42,663 10,570 34,420 162,784 Over time 21,581 2,914 20,249 4,130 8,193 57,067 Total $ 353,758 $ 50,233 $ 198,520 $ 162,012 $ 177,939 $ 942,462 For the three months ended September 30, 2022 U.S. Operations Swiss Operations Western European Operations Chinese Operations Other Operations Total Product Revenue $ 287,948 $ 32,366 $ 129,089 $ 212,163 $ 122,421 $ 783,987 Service Revenue: Point in time 65,596 6,401 29,071 13,543 30,248 144,859 Over time 20,220 2,205 22,799 4,016 7,760 57,000 Total $ 373,764 $ 40,972 $ 180,959 $ 229,722 $ 160,429 $ 985,846 For the nine months ended September 30, 2023 U.S. Operations Swiss Operations Western European Operations Chinese Operations Other Operations Total Product Revenue $ 776,505 $ 113,393 $ 406,719 $ 522,001 $ 378,965 $ 2,197,583 Service Revenue: Point in time 210,957 21,756 124,659 34,938 96,607 488,917 Over time 62,812 8,256 58,641 12,510 24,598 166,817 Total $ 1,050,274 $ 143,405 $ 590,019 $ 569,449 $ 500,170 $ 2,853,317 For the nine months ended September 30, 2022 U.S. Operations Swiss Operations Western European Operations Chinese Operations Other Operations Total Product Revenue $ 816,193 $ 99,567 $ 404,060 $ 593,283 $ 357,742 $ 2,270,845 Service Revenue: Point in time 190,340 20,072 97,250 34,578 89,390 431,630 Over time 54,197 6,665 62,798 14,376 21,513 159,549 Total $ 1,060,730 $ 126,304 $ 564,108 $ 642,237 $ 468,645 $ 2,862,024 A breakdown of net sales to external customers by geographic customer destination for the three and nine months ended September 30 follows: Three Months Ended Nine Months Ended 2023 2022 2023 2022 Americas $ 397,721 $ 408,207 $ 1,166,691 $ 1,154,602 Europe 255,157 228,145 755,470 720,667 Asia / Rest of World 289,584 349,494 931,156 986,755 Total $ 942,462 $ 985,846 $ 2,853,317 $ 2,862,024 The Company's glo bal revenue mix by product category is laboratory (55% of sales), industrial (39% of sales) and retail (6% of sales). The Company's product revenue by reportable segment is proportionately similar to the Company's global mix except the Company's Swiss Operations is largely comprised of laboratory products while the Company's Chinese Operations has a slightly higher percentage of industrial products. A breakdown of the Company’s sales by p roduct category for the three and nine months ended September 30 is as follows: Three Months Ended Nine Months Ended 2023 2022 2023 2022 Laboratory $ 508,817 $ 555,112 $ 1,555,547 $ 1,614,586 Industrial 365,909 386,543 1,120,090 1,114,454 Retail 67,736 44,191 177,680 132,984 Total $ 942,462 $ 985,846 $ 2,853,317 $ 2,862,024 The payment terms in the Company’s contracts with customers do not exceed one year and therefore contracts do not contain a significant financing component. In most cases, after appropriate credit evaluations, payments are due in arrears and are recognized as receivables. Unbilled revenue is recorded when performance obligations have been satisfied, but not yet billed to the customer. Unbilled revenue as of September 30, 2023 and December 31, 2022 was $43.5 million and $29.2 million, respectively, and is included within accounts receivable. Deferred revenue and customer prepayments are recorded when cash payments are received or due in advance of the performance obligation being satisfied. Deferred revenue primarily includes prepaid service contracts, as well as deferred installation. Changes in the components of deferred revenue and customer prepayments during the nine month periods ending September 30, 2023 and 2022 are as follows: 2023 2022 Beginning balances as of January 1 $ 192,759 $ 192,648 Customer pre-payments/deferred revenue 485,721 545,997 Revenue recognized (484,858) (523,022) Foreign currency translation (2,838) (17,444) Ending balance as of September 30 $ 190,784 $ 198,179 The Company generally expenses sales commissions when incurred because the contract period is one year or less. These costs are recorded within selling, general, and administrative expenses. The value of unsatisfied performance obligations other than customer prepayments and deferred revenue associated with contracts greater than one year is immaterial. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS At September 30, 2023 and December 31, 2022, the Company had derivative assets totaling $13.8 million and $11.5 million respectively, and derivative liabilities totaling $4.6 million and $5.4 million, respectively. The Company has limited involvement with derivative financial instruments and therefore does not need to present all the required disclosures in tabular format. The fair values of the cross-currency swap agreements and foreign currency forward contracts that economically hedge short-term intercompany balances are estimated based upon inputs from current valuation information obtained from dealer quotes and priced with observable market assumptions and appropriate valuation adjustments for credit risk. The Company has evaluated the valuation methodologies used to develop the fair values by dealers in order to determine whether such valuations are representative of an exit price in the Company’s principal market. In addition, the Company uses an internally developed model to perform testing on the valuations received from brokers. The Company has also considered both its own credit risk and counterparty credit risk in determining fair value and determined these adjustments were insignificant at September 30, 2023 and December 31, 2022. Under U.S. GAAP, 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. A fair value measurement consists of observable and unobservable inputs that reflect the assumptions that a market participant would use in pricing an asset or liability. A fair value hierarchy has been established that categorizes these inputs into three levels: Level 1: Quoted prices in active markets for identical assets and liabilities Level 2: Observable inputs other than quoted prices in active markets for identical assets and liabilities Level 3: Unobservable inputs The following table presents the Company's assets and liabilities, which are all categorized as Level 2, that are measured at fair value on a recurring basis. The Company does not have any assets or liabilities which are categorized as Level 1: September 30, 2023 December 31, 2022 Balance Sheet Classification Foreign currency forward contracts not designated as hedging instruments $ 9,261 $ 3,958 Other current assets and prepaid expenses Cash Flow Hedges: Cross currency swap agreement 1,823 609 Other current assets and prepaid expenses Cross currency swap agreement 2,736 6,890 Other non-current assets Total derivative assets $ 13,820 $ 11,457 Foreign currency forward contracts not designated as hedging instruments $ 3,847 $ 2,056 Accrued and other liabilities Cash Flow Hedges: Cross currency swap agreement 633 3,366 Accrued and other liabilities Cross currency swap agreement 169 — Other non-current liabilities Total derivative liabilities $ 4,649 $ 5,422 The Company had $9.7 million and $25.3 million of cash equivalents at September 30, 2023 and December 31, 2022, respectively, the fair value of which is determined using Level 2 inputs, through quoted and corroborated prices in active markets. The fair value of cash equivalents approximates cost. The fair value of the Company's debt is less than the carrying value by approximately $274.7 million as of September 30, 2023. The fair value of the Company's fixed interest rate debt was estimated using Level 2 inputs, primarily discounted cash flow models, based on estimated current rates offered for similar debt under current market conditions for the Company. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXESThe Company's reported tax rate was 19.7% and 20.0% during the three months ended September 30, 2023 and 2022, respectively and 18.5% and 18.6% during the nine months ended September 30, 2023 and 2022, respectively. The provision for taxes is based upon using the Company's projected annual effective tax rate of 19.0% before non-recurring discrete tax items during 2023 and 2022. The difference between the Company's projected annual effective tax rate and the reported tax rate is primarily related to the timing of excess tax benefits associated with stock option exercises. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT Debt consisted of the following at September 30, 2023: U.S. Dollar Other Principal Trading Currencies Total 3.84% $125 million ten-year Senior Notes due September 19, 2024 $ 125,000 $ — $ 125,000 4.24% $125 million ten-year Senior Notes due June 25, 2025 125,000 — 125,000 3.91% $75 million ten-year Senior Notes due June 25, 2029 75,000 — 75,000 5.45% $150 million ten-year Senior Notes due March 1, 2033 150,000 — 150,000 2.83% $125 million twelve-year Senior Notes due July 22, 2033 125,000 — 125,000 3.19% $50 million fifteen-year Senior Notes due January 24, 2035 50,000 — 50,000 2.81% $150 million fifteen-year Senior Note due March 17, 2037 150,000 — 150,000 2.91% $150 million fifteen-year Senior Note due September 1, 2037 150,000 — 150,000 1.47% Euro 125 million fifteen-year Senior Notes due June 17, 2030 — 131,704 131,704 1.30% Euro 135 million fifteen-year Senior Notes due November 6, 2034 — 142,241 142,241 1.06% Euro 125 million fifteen-year Senior Notes due March 19, 2036 — 131,704 131,704 Debt issuance costs, net (2,753) (1,389) (4,142) Total Senior Notes 947,247 404,260 1,351,507 $1.25 billion Credit Agreement, interest at benchmark plus 87.5 basis points (a) 509,253 190,303 699,556 Other local arrangements 5,803 51,618 57,421 Total debt 1,462,303 646,181 2,108,484 Less: current portion (127,663) (51,420) (179,083) Total long-term debt $ 1,334,640 $ 594,761 $ 1,929,401 (a) The benchmark interest rate is determined by the borrowing currency. The benchmark rates by borrowing currency are as follows: SOFR for U.S. dollars (plus a 10 basis points spread adjustment), SARON for Swiss franc, EURIBOR for Euro and SONIA for Great British pounds. As of September 30, 2023, the Company had $545.2 million of additional borrowings available under its Credit Agreement, and the Company maintained $69.7 million of cash and cash equivalents. In May 2023, the Company amended its Credit Agreement to replace all references of LIBOR to SOFR and other non-U.S. dollar references as the interest rate benchmark. In December 2022, the Company entered into an agreement to issue and sell $150 million 10-year Senior Notes in a private placement. The Company issued $150 million with a fixed interest rate of 5.45% (5.45% Senior Notes) in March 2023. The 5.45% Senior Notes are senior unsecured obligations of the Company. The 5.45% Senior Notes mature in March 2033. The terms of the 5.45% Senior Notes are consistent with the previous Senior Notes as described in the Company's Annual Report on Form 10-K. The Company used the proceeds from the sale of the 5.45% Senior Notes to refinance existing indebtedness and for other general corporate purposes. In December 2021, the Company entered into an agreement to issue and sell $300 million 15-year Senior Notes in a private placement. The Company issued $150 million with a fixed interest rate of 2.81% (2.81% Senior Notes) in March 2022 and $150 million with a fixed interest rate of 2.91% (2.91% Senior Notes) in September 2022. The 2.81% and 2.91% Senior Notes are senior unsecured obligations of the Company. The 2.81% Senior Notes mature in March 2037, and the 2.91% Senior Notes mature in September 2037. The terms of the Senior Notes are consistent with the previous Senior Notes as described in the Company's Annual Report on Form 10-K. The Company used the proceeds from the sale of the notes to refinance existing indebtedness and for other general corporate purposes. The Company has designated the EUR 125 million 1.47% Euro Senior Notes, the EUR 135 million 1.30% Euro Senior Notes, and the EUR 125 million 1.06% Euro Senior Notes as a hedge of a portion of its net investment in euro-denominated foreign subsidiaries to reduce foreign currency risk associated with the net investment. Changes in the carrying value of this debt resulting from fluctuations in the euro to U.S. dollar exchange rate are recorded as foreign currency translation adjustments within other comprehensive income (loss). The Company recorded in other comprehensive income (loss) related to this net investment hedge an unrealized gain of $15.3 million and $35.8 million for the three months ended September 30, 2023 and 2022, respectively, and an unrealized gain of $6.4 million and $66.2 million for the nine month periods ended September 30, 2023 and 2022, respectively. The Company has a gain of $36.6 million recorded in accumulated other comprehensive income (loss) as of September 30, 2023. Other Local Arrangements |
Share Repurchase Program and Tr
Share Repurchase Program and Treasury Stock | 9 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
SHARE REPURCHASE PROGRAM AND TREASURY STOCK | SHARE REPURCHASE PROGRAM AND TREASURY STOCKThe Company has $2.7 billion of remaining availability for its share repurchase program as of September 30, 2023. The share repurchases are expected to be funded from cash generated from operating activities, borrowings, and cash balances. Repurchases will be made through open market transactions, and the amount and timing of purchases will depend on business and market conditions, the stock price, trading restrictions, the level of acquisition activity, and other factors. The Company has purchased 31.5 million shares since the inception of the program in 2004 through September 30, 2023. During the nine months ended September 30, 2023 and 2022, the Company spent $724.0 million and $825.0 million on the repurchase of 526,019 shares and 629,380 shares at an average price per share of $1,388.54 and $1,310.79, respectively. The Company also reissued 70,812 shares and 80,466 shares held in treasury upon the exercise of stock options and vesting of restricted stock units during the nine months ended September 30, 2023 and 2022, respectively. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 9 Months Ended |
Sep. 30, 2023 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Comprehensive Income (Loss) Note [Text Block] | ACCUMULATED OTHER COMPREHENSIVE INCOME Comprehensive income (loss), net of tax consisted of the following as of September 30: Three Months Ended Nine Months Ended 2023 2022 2023 2022 Net earnings $ 201,631 $ 220,597 $ 603,984 $ 606,668 Other comprehensive income (loss), net of tax 4,063 (42,149) (35,920) (69,290) Comprehensive income, net of tax $ 205,694 $ 178,448 $ 568,064 $ 537,378 The following table presents changes in accumulated other comprehensive income by component for the nine months ended September 30, 2023 and 2022: Currency Translation Adjustment, Net of Tax Net Unrealized Pension and Post-Retirement Benefit Related Items, Total Balance at December 31, 2022 $ (82,864) $ 4,256 $ (148,625) $ (227,233) Other comprehensive income (loss), net of tax: Unrealized gains (losses) on cash flow hedging arrangements — 2,555 — 2,555 Foreign currency translation adjustment (36,740) — (991) (37,731) Amounts recognized from accumulated other comprehensive income (loss), net of tax — (5,541) 4,797 (744) Net change in other comprehensive income (loss), net of tax (36,740) (2,986) 3,806 (35,920) Balance at September 30, 2023 $ (119,604) $ 1,270 $ (144,819) $ (263,153) Currency Translation Adjustment, Net of Tax Net Unrealized Pension and Post-Retirement Benefit Related Items, Total Balance at December 31, 2021 $ (19,566) $ 2 $ (235,660) $ (255,224) Other comprehensive income (loss), net of tax: Unrealized gains (losses) on cash flow hedging arrangements — 18,512 — 18,512 Foreign currency translation adjustment (101,250) — 17,842 (83,408) Amounts recognized from accumulated other comprehensive income (loss), net of tax — (14,434) 10,040 (4,394) Net change in other comprehensive income (loss), net of tax (101,250) 4,078 27,882 (69,290) Balance at September 30, 2022 $ (120,816) $ 4,080 $ (207,778) $ (324,514) The following table presents a mounts recognized from ac cumulated other comprehensive income (loss) for the three and nine month periods ended September 30: Three Months Ended September 30, 2023 2022 Location of Amounts Recognized in Earnings Effective portion of gains on cash flow hedging arrangements: Cross currency swap agreement (7,736) (7,612) (a) Provision for taxes (1,470) (1,446) Provision for taxes Total, net of taxes $ (6,266) $ (6,166) Recognition of defined benefit pension and post-retirement items: Recognition of actuarial losses and prior service cost, before taxes $ 2,044 $ 4,173 (b) Provision for taxes 430 896 Provision for taxes Total, net of taxes $ 1,614 $ 3,277 (a) The cross currency swap reflects an unrealized gain of $5.0 million for the three months ended September 30, 2023 recorded in other charges (income) that was offset by the underlying unrealized loss on the hedged debt. The cross currency swap also reflects a realized gain of $2.7 million recorded in interest expense for the three months ended September 30, 2023. (b) These accumulated other comprehensive income (loss) components are included in the computation of net periodic pension and post-retirement cost. See Note 11 for additional details for the three months ended September 30, 2023 and 2022. Nine Months Ended September 30, 2023 2022 Location of Amounts Recognized in Earnings Effective portion of gains on cash flow hedging arrangements: Interest rate swap agreements $ — $ 352 Interest expense Cross currency swap agreement (6,841) (18,144) (a) Total before taxes (6,841) (17,792) Provision for taxes (1,300) (3,358) Provision for taxes Total, net of taxes $ (5,541) $ (14,434) Recognition of defined benefit pension and post-retirement items: Recognition of actuarial losses and prior service cost, before taxes $ 6,081 $ 12,788 (b) Provision for taxes 1,284 2,748 Provision for taxes Total, net of taxes $ 4,797 $ 10,040 (a) The cross currency swap reflects an unrealized loss of $1.3 million for the nine months ended September 30, 2023 recorded in other charges (income) that was offset by the underlying unrealized gain on the hedged debt. The cross currency swap also reflects a realized gain of $8.2 million recorded in interest expense for the nine months ended September 30, 2023. (b) These accumulated other comprehensive income (loss) components are included in the computation of net periodic pension and post-retirement cost. See Note 11 for additional details for the nine months ended September 30, 2023 and 2022. |
Earnings Per Common Share
Earnings Per Common Share | 9 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
EARNINGS PER COMMON SHARE | EARNINGS PER COMMON SHARE In accordance with the treasury stock method, the Company has included the following common equivalent shares in the calculation of diluted weighted average number of common shares outstanding for the three and nine months ended September 30, relating to outstanding stock options and restricted stock units: 2023 2022 Three months ended 109,538 206,634 Nine months ended 133,509 234,382 |
Net Periodic Benefit Cost
Net Periodic Benefit Cost | 9 Months Ended |
Sep. 30, 2023 | |
Retirement Benefits [Abstract] | |
NET PERIODIC BENEFIT COST | NET PERIODIC PENSION COST Net periodic pension cost for the Company’s defined benefit pension plans and U.S. post-retirement medical plan includes the following components for the three months ended September 30: U.S. Pension Benefits Non-U.S. Pension Benefits Other U.S. Post-retirement Benefits Total 2023 2022 2023 2022 2023 2022 2023 2022 Service cost, net $ 287 $ 416 $ 3,467 $ 4,732 $ — $ — $ 3,754 $ 5,148 Interest cost on projected benefit obligations 1,256 674 4,965 1,447 7 3 6,228 2,124 Expected return on plan assets (1,383) (1,548) (8,746) (8,951) — — (10,129) (10,499) Recognition of prior service cost — — (1,074) (1,046) (19) (19) (1,093) (1,065) Recognition of actuarial losses/(gains) 548 584 2,591 4,665 — (8) 3,139 5,241 Net periodic pension cost/(credit) $ 708 $ 126 $ 1,203 $ 847 $ (12) $ (24) $ 1,899 $ 949 Net periodic pension cost for the Company’s defined benefit pension plans and U.S. post-retirement medical plan includes the following components for the nine months ended September 30: U.S. Pension Benefits Non-U.S. Pension Benefits Other U.S. Post-retirement Benefits Total 2023 2022 2023 2022 2023 2022 2023 2022 Service cost, net $ 866 $ 1,248 $ 10,288 $ 14,497 $ — $ — $ 11,154 $ 15,745 Interest cost on projected benefit obligations 3,767 2,022 14,757 4,497 22 9 18,546 6,528 Expected return on plan assets (4,149) (4,642) (25,958) (27,398) — — (30,107) (32,040) Recognition of prior service cost — — (3,184) (3,187) (57) (56) (3,241) (3,243) Recognition of actuarial losses/(gains) 1,644 1,753 7,689 14,304 (1) (23) 9,332 16,034 Net periodic pension cost/(credit) $ 2,128 $ 381 $ 3,592 $ 2,713 $ (36) $ (70) $ 5,684 $ 3,024 |
Other Charges (Income), Net
Other Charges (Income), Net | 9 Months Ended |
Sep. 30, 2023 | |
Other Income and Expenses [Abstract] | |
OTHER CHARGES (INCOME), NET | OTHER CHARGES (INCOME), NETOther charges (income), net includes non-service pension costs (benefits), (gains) losses from foreign currency transactions and related hedging activities, interest income and other items. Non-service pension benefits for the three months ended September 30, 2023 and 2022 were $1.9 million and $4.2 million, respectively, and $5.6 million and $12.7 million for the nine months ended September 30, 2023 and 2022, respectively. |
Segment Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2023 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | 13. SEGMENT REPORTING As disclosed in Note 18 to the Company's consolidated financial statements for the year ended December 31, 2022, the Company has determined there are five reportable segments: U.S. Operations, Swiss Operations, Western European Operations, Chinese Operations and Other. The Company evaluates segment performance based on Segment Profit (gross profit less research and development and selling, general and administrative expenses, before amortization, interest expense, restructuring charges, other charges (income), net and taxes). The following tables show the operations of the Company’s operating segments: Net Sales to Net Sales to As of September 30, For the three months ended External Other Total Net Segment 2023 September 30, 2023 Customers Segments Sales Profit Goodwill U.S. Operations $ 353,758 $ 34,253 $ 388,011 $ 90,604 $ 524,459 Swiss Operations 50,233 196,967 247,200 64,387 25,224 Western European Operations 198,520 47,879 246,399 46,345 96,966 Chinese Operations 162,012 70,392 232,404 83,865 596 Other (a) 177,939 2,677 180,616 30,007 13,393 Eliminations and Corporate (b) — (352,168) (352,168) (19,243) — Total $ 942,462 $ — $ 942,462 $ 295,965 $ 660,638 Net Sales to Net Sales to For the nine months ended External Other Total Net Segment September 30, 2023 Customers Segments Sales Profit U.S. Operations $ 1,050,274 $ 101,243 $ 1,151,517 $ 276,605 Swiss Operations 143,405 580,174 723,579 207,723 Western European Operations 590,019 140,521 730,540 129,615 Chinese Operations 569,449 198,123 767,572 284,828 Other (a) 500,170 17,236 517,406 78,690 Eliminations and Corporate (b) — (1,037,297) (1,037,297) (107,341) Total $ 2,853,317 $ — $ 2,853,317 $ 870,120 (a) Other includes reporting units in Eastern Europe, Latin America, Southeast Asia and other countries. (b) Eliminations and Corporate includes the elimination of inter-segment transactions and certain corporate expenses and intercompany investments, which are not included in the Company’s operating segments. Net Sales to Net Sales to As of September 30, For the three months ended External Other Total Net Segment 2022 September 30, 2022 Customers Segments Sales Profit Goodwill U.S. Operations $ 373,764 $ 35,077 $ 408,841 $ 93,823 $ 514,057 Swiss Operations 40,972 207,349 248,321 77,457 21,950 Western European Operations 180,959 49,486 230,445 38,950 86,222 Chinese Operations 229,722 79,285 309,007 123,345 606 Other (a) 160,429 705 161,134 20,603 13,254 Eliminations and Corporate (b) — (371,902) (371,902) (47,008) — Total $ 985,846 $ — $ 985,846 $ 307,170 $ 636,089 Net Sales to Net Sales to For the nine months ended External Other Total Net Segment September 30, 2022 Customers Segments Sales Profit U.S. Operations $ 1,060,730 $ 114,965 $ 1,175,695 $ 261,805 Swiss Operations 126,304 611,632 737,936 220,791 Western European Operations 564,108 147,087 711,195 112,963 Chinese Operations 642,237 234,847 877,084 313,769 Other (a) 468,645 2,377 471,022 63,298 Eliminations and Corporate (b) — (1,110,908) (1,110,908) (138,779) Total $ 2,862,024 $ — $ 2,862,024 $ 833,847 (a) Other includes reporting units in Eastern Europe, Latin America, Southeast Asia and other countries. (b) Eliminations and Corporate includes the elimination of inter-segment transactions and certain corporate expenses and intercompany investments, which are not included in the Company’s operating segments. A reconciliation of earnings before taxes to segment profit for the three and nine month periods ended September 30 follows: Three Months Ended Nine Months Ended 2023 2022 2023 2022 Earnings before taxes $ 251,159 $ 275,885 $ 741,172 $ 745,578 Amortization 18,314 16,728 54,135 49,697 Interest expense 20,278 14,484 57,711 38,587 Restructuring charges 7,385 2,022 19,680 7,803 Other income, net (1,171) (1,949) (2,578) (7,818) Segment profit $ 295,965 $ 307,170 $ 870,120 $ 833,847 |
Contingencies
Contingencies | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
CONTINGENCIES | CONTINGENCIESThe Company is party to various legal proceedings, including certain environmental matters, incidental to the normal course of business. Management does not expect that any of such proceedings, either individually or in the aggregate, will have a material adverse effect on the Company’s financial condition, results of operations or cash flows. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Trade Accounts Receivable | Trade Accounts Receivable Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for expected credit losses represents the Company’s best estimate based on historical information, current information, and reasonable and supportable forecasts of future events and circumstances. |
Inventories | Inventories Inventories are valued at the lower of cost or net realizable value. Cost, which includes direct materials, labor and overhead, is generally determined using the first in, first out (FIFO) method. The estimated net realizable value is based on assumptions for future demand and related pricing. Adjustments to the cost basis of the Company’s inventory are made for excess and obsolete items based on usage, orders and technological obsolescence. If actual market conditions are less favorable than those projected by management, reductions in the value of inventory may be required. Inventories consisted of the following: September 30, December 31, Raw materials and parts $ 183,464 $ 222,170 Work-in-progress 73,605 77,848 Finished goods 118,890 141,676 $ 375,959 $ 441,694 |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill, representing the excess of purchase price over the net asset value of companies acquire d, and indefinite-lived intangible assets are not amortized, but are reviewed for impairment annually in the fourth quarter, or more frequently if events or changes in circumstances indicate that an asset might be impaired. The annual evaluation for goodwill and indefinite-lived intangible assets are generally based on an assessment of qualitative factors to determine whether it is more likely than not that the fair value of the asset is less than its carrying amount. Other in tangible assets include indefinite-lived assets and assets subject to amortization. Where applicable, amortization is charged on a straight-line basis over the expected period of benefit. The straight-line method of amortization reflects an appropriate allocation of the cost of the intangible assets to earnings in proportion to the amount of economic benefits obtained by the Company in each reporting period. The Company assesses the initial acquisition of intangible assets in accordance with the provisions of ASC 805 "Business Combinations" and the continued accounting for previously recognized intangible assets and goodwill in accordance with the provisions of ASC 350 "Intangible - Goodwill and Other" and ASC 360 "Property, Plant and Equipment". Other intangible assets consisted of the following: September 30, 2023 December 31, 2022 Gross Accumulated Intangibles, Net Gross Accumulated Intangibles, Net Customer relationships $ 292,336 $ (103,688) $ 188,648 $ 292,713 $ (92,981) $ 199,732 Proven technology and patents 124,175 (70,693) 53,482 123,623 (64,089) 59,534 Tradenames (finite life) 7,581 (4,127) 3,454 7,675 (3,543) 4,132 Tradenames (indefinite life) 36,232 — 36,232 36,252 — 36,252 Other 13,214 (7,833) 5,381 13,271 (6,867) 6,404 $ 473,538 $ (186,341) $ 287,197 $ 473,534 $ (167,480) $ 306,054 The Company recognized amortization expense associated with the above intangible assets of $7.0 million and $6.7 million for the three months ended September 30, 2023 and 2022, respectively, and $20.8 million and $20.1 million for the nine months ended September 30, 2023 and 2022, respectively. The annual aggregate amortization expense based on the current balance of other intangible assets is estimated to be $27.5 million for 2023, $26.9 million for 2024, $26.0 million for 2025, $22.1 million for 2026, $20.6 million for 2027, and $18.9 million for 2028. Purchased intangible amortization was $6.7 million, $5.2 million after tax, and $6.4 million, $5.0 million after tax, for the three months ended September 30, 2023 and 2022, respectively, and $19.9 million, $15.4 million after tax, and $19.4 million, $15.0 million after tax, for the nine months ended September 30, 2023 and 2022, respectively. In addition to the above amortization, the Company recorded amortization expense associated with capitalized software of $11.2 million and $10.0 million for the three months ended September 30, 2023 and 2022, res pectively, and $33.2 million and $29.4 million for the nine months ended September 30, 2023 and 2022, respectively. |
Revenue Recognition | Revenue Recognition Product revenue is recognized from contracts with customers when a customer has obtained control of a product. The Company considers control to have transferred based upon shipping terms. To the extent the Company’s arrangements have a separate performance obligation, revenue related to any post-shipment performance obligation is deferred until completed. Shipping and handling costs charged to customers are included in total net sales and the associated expense is a component of cost of sales. Certain products are also sold through indirect distribution channels whereby the distributor assumes any further obligations to the end customer. Revenue is recognized on these distributor arrangements upon transfer of control to the distributor. Contracts do not contain variable pricing arrangements that are retrospective, except for rebate programs. Rebates are estimated based on expected sales volumes and offset against revenue at the time such revenue is recognized. The Company generally maintains the right to accept or reject a product return in its terms and conditions and also maintains appropriate accruals for outstanding credits. The related provisions for estimated returns and rebates are immaterial to the consolidated financial statements. Certain of the Company’s product arrangements include separate performance obligations, primarily related to installation. Such performance obligations are accounted for separately when the deliverables have stand-alone value and the satisfaction of the undelivered performance obligations is probable and within the Company's control. The allocation of revenue between the performance obligations is based on the observable stand-alone selling prices at the time of the sale in accordance with a number of factors including service technician billing rates, time to install, and geographic location. Software is generally not considered a distinct performance obligation with the exception of a few small software applications. The Company generally does not sell software products without the related hardware instrument as the software is embedded in the product. The Company’s products typically require no significant production, modification, or customization of the hardware or software that is essential to the functionality of the products. Service revenue not under contract is recognized upon the completion of the service performed. Revenue from spare parts sold on a stand-alone basis is recognized when control is transferred to the customer, which is generally at the time of shipment or delivery. Revenue from service contracts is recognized ratably over the contract period using a time-based method. These contracts represent an obligation to perform repair and other services including regulatory compliance qualification, calibration, certification, and preventative maintenance on a customer’s pre-defined equipment over the contract period. |
Share - Based Compensation | Share-Based Compensation The Company recognizes share-based compensation expense within selling, general and administrative in the consolidated statements of operations and other comprehensive income with a corresponding offset to additional paid-in capital in the consolidated balance sheet. The Company recorded $4.2 million and $12.5 million of share-based compensation expense for the three and nine months ended September 30, 2023, respectively, compared to $4.7 million and $13.9 million for the corresponding periods in 2022. |
Research and Development | Research and Development Research and development costs primarily consist of salaries, consulting and other costs. The Company expenses these costs as incurred. |
Business Combinations Policy [Policy Text Block] | Business Combinations and Asset Acquisitions The Company accounts for business acquisitions under the accounting standards for business combinations. The results of each acquisition are included in the Company's consolidated results as of the acquisition date. The purchase price of an acquisition is allocated to tangible and intangible assets and assumed liabilities based on their estimated fair values and any consideration in excess of the net assets acquired is recognized as goodwill. The determination of the values of the acquired assets and assumed liabilities, including goodwill and intangible assets, require significant judgment. Acquisition transaction costs are expensed when incurred. In circumstances where an acquisition involves a contingent consideration arrangement, the Company recognizes a liability equal to the fair value of the expected contingent payments as of the acq uisition date. Subsequent changes in the fair value of the contingent consideration are recorded to other charges (income), net. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements In March 2020, Jan uary 2021 and December 2022, the FASB issued ASU 2020-04, ASU 2021-01 and ASU-2022-06: Reference Rate Reform which provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by the discontinuance of LIBOR or another referenced rate. The guidance may be applied to any applicable contract entered into before December 31, 2024. During the nine months ended September 30, 2023, the Company amended its credit agreement and cross currency swap agreements to change the interest rate benchmark from LIBOR to SOFR and other non-U.S. dollar references, which did not change the amount or timing of cash flows. As a result, the discontinuation of LIBOR in June 2023 did not have a material impact on the Company’s financial statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Components of inventories | Inventories consisted of the following: September 30, December 31, Raw materials and parts $ 183,464 $ 222,170 Work-in-progress 73,605 77,848 Finished goods 118,890 141,676 $ 375,959 $ 441,694 |
Components of other intangible assets | Other intangible assets consisted of the following: September 30, 2023 December 31, 2022 Gross Accumulated Intangibles, Net Gross Accumulated Intangibles, Net Customer relationships $ 292,336 $ (103,688) $ 188,648 $ 292,713 $ (92,981) $ 199,732 Proven technology and patents 124,175 (70,693) 53,482 123,623 (64,089) 59,534 Tradenames (finite life) 7,581 (4,127) 3,454 7,675 (3,543) 4,132 Tradenames (indefinite life) 36,232 — 36,232 36,252 — 36,252 Other 13,214 (7,833) 5,381 13,271 (6,867) 6,404 $ 473,538 $ (186,341) $ 287,197 $ 473,534 $ (167,480) $ 306,054 |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue [Table Text Block] | For the three months ended September 30, 2023 U.S. Operations Swiss Operations Western European Operations Chinese Operations Other Operations Total Product Revenue $ 264,095 $ 40,270 $ 135,608 $ 147,312 $ 135,326 $ 722,611 Service Revenue: Point in time 68,082 7,049 42,663 10,570 34,420 162,784 Over time 21,581 2,914 20,249 4,130 8,193 57,067 Total $ 353,758 $ 50,233 $ 198,520 $ 162,012 $ 177,939 $ 942,462 For the three months ended September 30, 2022 U.S. Operations Swiss Operations Western European Operations Chinese Operations Other Operations Total Product Revenue $ 287,948 $ 32,366 $ 129,089 $ 212,163 $ 122,421 $ 783,987 Service Revenue: Point in time 65,596 6,401 29,071 13,543 30,248 144,859 Over time 20,220 2,205 22,799 4,016 7,760 57,000 Total $ 373,764 $ 40,972 $ 180,959 $ 229,722 $ 160,429 $ 985,846 For the nine months ended September 30, 2023 U.S. Operations Swiss Operations Western European Operations Chinese Operations Other Operations Total Product Revenue $ 776,505 $ 113,393 $ 406,719 $ 522,001 $ 378,965 $ 2,197,583 Service Revenue: Point in time 210,957 21,756 124,659 34,938 96,607 488,917 Over time 62,812 8,256 58,641 12,510 24,598 166,817 Total $ 1,050,274 $ 143,405 $ 590,019 $ 569,449 $ 500,170 $ 2,853,317 For the nine months ended September 30, 2022 U.S. Operations Swiss Operations Western European Operations Chinese Operations Other Operations Total Product Revenue $ 816,193 $ 99,567 $ 404,060 $ 593,283 $ 357,742 $ 2,270,845 Service Revenue: Point in time 190,340 20,072 97,250 34,578 89,390 431,630 Over time 54,197 6,665 62,798 14,376 21,513 159,549 Total $ 1,060,730 $ 126,304 $ 564,108 $ 642,237 $ 468,645 $ 2,862,024 A breakdown of net sales to external customers by geographic customer destination for the three and nine months ended September 30 follows: Three Months Ended Nine Months Ended 2023 2022 2023 2022 Americas $ 397,721 $ 408,207 $ 1,166,691 $ 1,154,602 Europe 255,157 228,145 755,470 720,667 Asia / Rest of World 289,584 349,494 931,156 986,755 Total $ 942,462 $ 985,846 $ 2,853,317 $ 2,862,024 The Company's glo bal revenue mix by product category is laboratory (55% of sales), industrial (39% of sales) and retail (6% of sales). The Company's product revenue by reportable segment is proportionately similar to the Company's global mix except the Company's Swiss Operations is largely comprised of laboratory products while the Company's Chinese Operations has a slightly higher percentage of industrial products. A breakdown of the Company’s sales by p roduct category for the three and nine months ended September 30 is as follows: Three Months Ended Nine Months Ended 2023 2022 2023 2022 Laboratory $ 508,817 $ 555,112 $ 1,555,547 $ 1,614,586 Industrial 365,909 386,543 1,120,090 1,114,454 Retail 67,736 44,191 177,680 132,984 Total $ 942,462 $ 985,846 $ 2,853,317 $ 2,862,024 |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block] | 2023 2022 Beginning balances as of January 1 $ 192,759 $ 192,648 Customer pre-payments/deferred revenue 485,721 545,997 Revenue recognized (484,858) (523,022) Foreign currency translation (2,838) (17,444) Ending balance as of September 30 $ 190,784 $ 198,179 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Assets and liabilities measured at fair value on a recurring basis | September 30, 2023 December 31, 2022 Balance Sheet Classification Foreign currency forward contracts not designated as hedging instruments $ 9,261 $ 3,958 Other current assets and prepaid expenses Cash Flow Hedges: Cross currency swap agreement 1,823 609 Other current assets and prepaid expenses Cross currency swap agreement 2,736 6,890 Other non-current assets Total derivative assets $ 13,820 $ 11,457 Foreign currency forward contracts not designated as hedging instruments $ 3,847 $ 2,056 Accrued and other liabilities Cash Flow Hedges: Cross currency swap agreement 633 3,366 Accrued and other liabilities Cross currency swap agreement 169 — Other non-current liabilities Total derivative liabilities $ 4,649 $ 5,422 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Debt | Debt consisted of the following at September 30, 2023: |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following table presents changes in accumulated other comprehensive income by component for the nine months ended September 30, 2023 and 2022: Currency Translation Adjustment, Net of Tax Net Unrealized Pension and Post-Retirement Benefit Related Items, Total Balance at December 31, 2022 $ (82,864) $ 4,256 $ (148,625) $ (227,233) Other comprehensive income (loss), net of tax: Unrealized gains (losses) on cash flow hedging arrangements — 2,555 — 2,555 Foreign currency translation adjustment (36,740) — (991) (37,731) Amounts recognized from accumulated other comprehensive income (loss), net of tax — (5,541) 4,797 (744) Net change in other comprehensive income (loss), net of tax (36,740) (2,986) 3,806 (35,920) Balance at September 30, 2023 $ (119,604) $ 1,270 $ (144,819) $ (263,153) |
Disclosure of Reclassification Amount [Text Block] | The following table presents a mounts recognized from ac cumulated other comprehensive income (loss) for the three and nine month periods ended September 30: Three Months Ended September 30, 2023 2022 Location of Amounts Recognized in Earnings Effective portion of gains on cash flow hedging arrangements: Cross currency swap agreement (7,736) (7,612) (a) Provision for taxes (1,470) (1,446) Provision for taxes Total, net of taxes $ (6,266) $ (6,166) Recognition of defined benefit pension and post-retirement items: Recognition of actuarial losses and prior service cost, before taxes $ 2,044 $ 4,173 (b) Provision for taxes 430 896 Provision for taxes Total, net of taxes $ 1,614 $ 3,277 |
Schedule of Comprehensive Income (Loss) [Table Text Block] | . |
Net Periodic Benefit Cost (Tabl
Net Periodic Benefit Cost (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Retirement Benefits [Abstract] | |
Schedule of Net Benefit Costs [Table Text Block] | Net periodic pension cost for the Company’s defined benefit pension plans and U.S. post-retirement medical plan includes the following components for the three months ended September 30: U.S. Pension Benefits Non-U.S. Pension Benefits Other U.S. Post-retirement Benefits Total 2023 2022 2023 2022 2023 2022 2023 2022 Service cost, net $ 287 $ 416 $ 3,467 $ 4,732 $ — $ — $ 3,754 $ 5,148 Interest cost on projected benefit obligations 1,256 674 4,965 1,447 7 3 6,228 2,124 Expected return on plan assets (1,383) (1,548) (8,746) (8,951) — — (10,129) (10,499) Recognition of prior service cost — — (1,074) (1,046) (19) (19) (1,093) (1,065) Recognition of actuarial losses/(gains) 548 584 2,591 4,665 — (8) 3,139 5,241 Net periodic pension cost/(credit) $ 708 $ 126 $ 1,203 $ 847 $ (12) $ (24) $ 1,899 $ 949 Net periodic pension cost for the Company’s defined benefit pension plans and U.S. post-retirement medical plan includes the following components for the nine months ended September 30: U.S. Pension Benefits Non-U.S. Pension Benefits Other U.S. Post-retirement Benefits Total 2023 2022 2023 2022 2023 2022 2023 2022 Service cost, net $ 866 $ 1,248 $ 10,288 $ 14,497 $ — $ — $ 11,154 $ 15,745 Interest cost on projected benefit obligations 3,767 2,022 14,757 4,497 22 9 18,546 6,528 Expected return on plan assets (4,149) (4,642) (25,958) (27,398) — — (30,107) (32,040) Recognition of prior service cost — — (3,184) (3,187) (57) (56) (3,241) (3,243) Recognition of actuarial losses/(gains) 1,644 1,753 7,689 14,304 (1) (23) 9,332 16,034 Net periodic pension cost/(credit) $ 2,128 $ 381 $ 3,592 $ 2,713 $ (36) $ (70) $ 5,684 $ 3,024 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Operations of the Company's operating segments | The following tables show the operations of the Company’s operating segments: Net Sales to Net Sales to As of September 30, For the three months ended External Other Total Net Segment 2023 September 30, 2023 Customers Segments Sales Profit Goodwill U.S. Operations $ 353,758 $ 34,253 $ 388,011 $ 90,604 $ 524,459 Swiss Operations 50,233 196,967 247,200 64,387 25,224 Western European Operations 198,520 47,879 246,399 46,345 96,966 Chinese Operations 162,012 70,392 232,404 83,865 596 Other (a) 177,939 2,677 180,616 30,007 13,393 Eliminations and Corporate (b) — (352,168) (352,168) (19,243) — Total $ 942,462 $ — $ 942,462 $ 295,965 $ 660,638 Net Sales to Net Sales to For the nine months ended External Other Total Net Segment September 30, 2023 Customers Segments Sales Profit U.S. Operations $ 1,050,274 $ 101,243 $ 1,151,517 $ 276,605 Swiss Operations 143,405 580,174 723,579 207,723 Western European Operations 590,019 140,521 730,540 129,615 Chinese Operations 569,449 198,123 767,572 284,828 Other (a) 500,170 17,236 517,406 78,690 Eliminations and Corporate (b) — (1,037,297) (1,037,297) (107,341) Total $ 2,853,317 $ — $ 2,853,317 $ 870,120 (a) Other includes reporting units in Eastern Europe, Latin America, Southeast Asia and other countries. (b) Eliminations and Corporate includes the elimination of inter-segment transactions and certain corporate expenses and intercompany investments, which are not included in the Company’s operating segments. Net Sales to Net Sales to As of September 30, For the three months ended External Other Total Net Segment 2022 September 30, 2022 Customers Segments Sales Profit Goodwill U.S. Operations $ 373,764 $ 35,077 $ 408,841 $ 93,823 $ 514,057 Swiss Operations 40,972 207,349 248,321 77,457 21,950 Western European Operations 180,959 49,486 230,445 38,950 86,222 Chinese Operations 229,722 79,285 309,007 123,345 606 Other (a) 160,429 705 161,134 20,603 13,254 Eliminations and Corporate (b) — (371,902) (371,902) (47,008) — Total $ 985,846 $ — $ 985,846 $ 307,170 $ 636,089 Net Sales to Net Sales to For the nine months ended External Other Total Net Segment September 30, 2022 Customers Segments Sales Profit U.S. Operations $ 1,060,730 $ 114,965 $ 1,175,695 $ 261,805 Swiss Operations 126,304 611,632 737,936 220,791 Western European Operations 564,108 147,087 711,195 112,963 Chinese Operations 642,237 234,847 877,084 313,769 Other (a) 468,645 2,377 471,022 63,298 Eliminations and Corporate (b) — (1,110,908) (1,110,908) (138,779) Total $ 2,862,024 $ — $ 2,862,024 $ 833,847 (a) Other includes reporting units in Eastern Europe, Latin America, Southeast Asia and other countries. (b) Eliminations and Corporate includes the elimination of inter-segment transactions and certain corporate expenses and intercompany investments, which are not included in the Company’s operating segments. |
Reconciliation of earnings before taxes to segment profit | A reconciliation of earnings before taxes to segment profit for the three and nine month periods ended September 30 follows: Three Months Ended Nine Months Ended 2023 2022 2023 2022 Earnings before taxes $ 251,159 $ 275,885 $ 741,172 $ 745,578 Amortization 18,314 16,728 54,135 49,697 Interest expense 20,278 14,484 57,711 38,587 Restructuring charges 7,385 2,022 19,680 7,803 Other income, net (1,171) (1,949) (2,578) (7,818) Segment profit $ 295,965 $ 307,170 $ 870,120 $ 833,847 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Components of inventory | ||
Raw materials and parts | $ 183,464 | $ 222,170 |
Work-in-progress | 73,605 | 77,848 |
Finished goods | 118,890 | 141,676 |
Total Inventory, Net | $ 375,959 | $ 441,694 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Details 1) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Intangible Assets [Line Items] | ||
Intangible Assets, Gross (Excluding Goodwill) | $ 473,538 | $ 473,534 |
Accumulated Amortization | (186,341) | (167,480) |
Intangible Assets, Net (Excluding Goodwill) | 287,197 | 306,054 |
Tradename (indefinite life) [Member] | ||
Intangible Assets [Line Items] | ||
Gross amount, Tradename (indefinite life) | 36,232 | 36,252 |
Intangible Assets, Net (Excluding Goodwill) | 36,232 | 36,252 |
Customer Relationships [Member] | ||
Intangible Assets [Line Items] | ||
Gross amount | 292,336 | 292,713 |
Accumulated Amortization | (103,688) | (92,981) |
Intangible Assets, Net (Excluding Goodwill) | 188,648 | 199,732 |
Proven technology and patents [Member] | ||
Intangible Assets [Line Items] | ||
Gross amount | 124,175 | 123,623 |
Accumulated Amortization | (70,693) | (64,089) |
Intangible Assets, Net (Excluding Goodwill) | 53,482 | 59,534 |
Tradename (indefinite life) [Member] | ||
Intangible Assets [Line Items] | ||
Gross amount | 7,581 | 7,675 |
Accumulated Amortization | (4,127) | (3,543) |
Intangible Assets, Net (Excluding Goodwill) | 3,454 | 4,132 |
Other Intangible Assets [Member] | ||
Intangible Assets [Line Items] | ||
Gross amount | 13,214 | 13,271 |
Accumulated Amortization | (7,833) | (6,867) |
Intangible Assets, Net (Excluding Goodwill) | $ 5,381 | $ 6,404 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Details Textuals) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Summary of Significant Accounting Policies (Textuals) [Abstract] | ||||
Amortization expense | $ 7 | $ 6.7 | $ 20.8 | $ 20.1 |
Future Amortization Expense Current Year | 27.5 | |||
Aggregate amortization expense for 2020 | 26.9 | 26.9 | ||
Aggregate amortization expense for 2021 | 26 | 26 | ||
Aggregate amortization expense for 2023 | 22.1 | 22.1 | ||
Aggregate amortization expense for 2024 | 20.6 | 20.6 | ||
Aggregate amortization expense for 2025 | 18.9 | 18.9 | ||
Purchased Intangible Amortization, Gross | 6.7 | 6.4 | 19.9 | 19.4 |
Purchased intangible amortization, net of tax | 5.2 | 5 | 15.4 | 15 |
Amortization expense associated with capitalized software | 11.2 | 10 | 33.2 | 29.4 |
Share - based compensation expense | $ 4.2 | $ 4.7 | $ 12.5 | $ 13.9 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 942,462 | $ 985,846 | $ 2,853,317 | $ 2,862,024 | |
Contract with Customer, Asset, after Allowance for Credit Loss | 43,500 | 43,500 | $ 29,200 | ||
Americas [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 397,721 | 408,207 | 1,166,691 | 1,154,602 | |
Europe [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 255,157 | 228,145 | 755,470 | 720,667 | |
Asia [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 289,584 | 349,494 | 931,156 | 986,755 | |
Product [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 722,611 | 783,987 | 2,197,583 | 2,270,845 | |
Service [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 162,784 | 144,859 | 488,917 | 431,630 | |
Service [Member] | Transferred over Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 57,067 | 57,000 | $ 166,817 | 159,549 | |
Laboratory products and services [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Percentage of Disaggregated Revenue in Relationship to Segments | 55% | 55% | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 508,817 | 555,112 | $ 1,555,547 | 1,614,586 | |
Industrial products and services [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Percentage of Disaggregated Revenue in Relationship to Segments | 39% | 39% | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 365,909 | 386,543 | $ 1,120,090 | 1,114,454 | |
Retail products and services [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Percentage of Disaggregated Revenue in Relationship to Segments | 6% | 6% | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 67,736 | 44,191 | $ 177,680 | 132,984 | |
US Operations [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 353,758 | 373,764 | 1,050,274 | 1,060,730 | |
US Operations [Member] | Product [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 264,095 | 287,948 | 776,505 | 816,193 | |
US Operations [Member] | Service [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 68,082 | 65,596 | 210,957 | 190,340 | |
US Operations [Member] | Service [Member] | Transferred over Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 21,581 | 20,220 | 62,812 | 54,197 | |
Swiss Operations [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 50,233 | 40,972 | 143,405 | 126,304 | |
Swiss Operations [Member] | Product [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 40,270 | 32,366 | 113,393 | 99,567 | |
Swiss Operations [Member] | Service [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 7,049 | 6,401 | 21,756 | 20,072 | |
Swiss Operations [Member] | Service [Member] | Transferred over Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,914 | 2,205 | 8,256 | 6,665 | |
Western European Operations [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 198,520 | 180,959 | 590,019 | 564,108 | |
Western European Operations [Member] | Product [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 135,608 | 129,089 | 406,719 | 404,060 | |
Western European Operations [Member] | Service [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 42,663 | 29,071 | 124,659 | 97,250 | |
Western European Operations [Member] | Service [Member] | Transferred over Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 20,249 | 22,799 | 58,641 | 62,798 | |
Chinese Operations [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 162,012 | 229,722 | 569,449 | 642,237 | |
Chinese Operations [Member] | Product [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 147,312 | 212,163 | 522,001 | 593,283 | |
Chinese Operations [Member] | Service [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 10,570 | 13,543 | 34,938 | 34,578 | |
Chinese Operations [Member] | Service [Member] | Transferred over Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 4,130 | 4,016 | 12,510 | 14,376 | |
Other Operations [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 177,939 | 160,429 | 500,170 | 468,645 | |
Other Operations [Member] | Product [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 135,326 | 122,421 | 378,965 | 357,742 | |
Other Operations [Member] | Service [Member] | Transferred at Point in Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 34,420 | 30,248 | 96,607 | 89,390 | |
Other Operations [Member] | Service [Member] | Transferred over Time [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 8,193 | $ 7,760 | $ 24,598 | $ 21,513 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers 2 (Details) - USD ($) $ in Thousands | 9 Months Ended | ||||
Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |||||
Deferred Revenue | $ 190,784 | $ 192,759 | $ 198,179 | $ 192,648 | |
Contract with Customer, Asset, after Allowance for Credit Loss | 43,500 | $ 29,200 | |||
Customer prepayments and deferred revenue | 485,721 | $ 545,997 | |||
Contract with Customer, Liability, Revenue Recognized | (484,858) | (523,022) | |||
Temporary Equity, Foreign Currency Translation Adjustments | $ (2,838) | $ (17,444) |
Financial Instruments (Details)
Financial Instruments (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Derivative [Line Items] | |||||
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | $ 6,000,000 | ||||
Designated as Hedging Instrument [Member] | June 2019 4 YR Cross Currency Swap [Member] | |||||
Derivative [Line Items] | |||||
Derivative, Fixed Interest Rate | 0.82% | 0.82% | |||
Gain (Loss) on Foreign Currency Cash Flow Hedge Ineffectiveness | $ 0 | $ 0 | |||
Designated as Hedging Instrument [Member] | June 2019 2 YR Cross Currency Swap [Member] | |||||
Derivative [Line Items] | |||||
Gain (Loss) on Foreign Currency Cash Flow Hedge Ineffectiveness | 0 | 0 | |||
Designated as Hedging Instrument [Member] | February 2019 Cross Currency Swap [Member] | |||||
Derivative [Line Items] | |||||
Gain (Loss) on Foreign Currency Cash Flow Hedge Ineffectiveness | 0 | 0 | |||
Designated as Hedging Instrument [Member] | 2017 Cross Currency Swap [Member] | |||||
Derivative [Line Items] | |||||
Gain (Loss) on Foreign Currency Cash Flow Hedge Ineffectiveness | 0 | 0 | |||
Designated as Hedging Instrument [Member] | 2.25% $100 Million Interest Rate Swap [Member] | |||||
Derivative [Line Items] | |||||
Gain (Loss) on Interest Rate Cash Flow Hedge Ineffectiveness | 0 | 0 | |||
Designated as Hedging Instrument [Member] | 2.52% $50 Million Interest Rate Swap [Member] | |||||
Derivative [Line Items] | |||||
Gain (Loss) on Interest Rate Cash Flow Hedge Ineffectiveness | 0 | 0 | |||
Designated as Hedging Instrument [Member] | June 2021 4 YR Cross Currency Swap | |||||
Derivative [Line Items] | |||||
Line Of Credit Facility Forecasted Borrowing Amount | $ 50,000,000 | $ 50,000,000 | |||
Derivative, Fixed Interest Rate | 0.59% | 0.59% | |||
Designated as Hedging Instrument [Member] | June 2021 3 YR Cross Currency Swap | |||||
Derivative [Line Items] | |||||
Line Of Credit Facility Forecasted Borrowing Amount | $ 50,000,000 | $ 50,000,000 | |||
Derivative, Fixed Interest Rate | 0.73% | 0.73% | |||
Designated as Hedging Instrument [Member] | June 2023 4 YR Cross Currency Swap | |||||
Derivative [Line Items] | |||||
Line Of Credit Facility Forecasted Borrowing Amount | $ 50,000,000 | $ 50,000,000 | |||
Derivative, Fixed Interest Rate | 1.55% | 1.55% | |||
Not Designated as Hedging Instrument [Member] | |||||
Derivative [Line Items] | |||||
Gain (Loss) on Foreign Currency Derivative Instruments Not Designated as Hedging Instruments | $ 200,000 | $ 20,900,000 | $ 15,700,000 | $ 29,300,000 | |
Derivative, Notional Amount | $ 697,300,000 | $ 697,300,000 | $ 930,300,000 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash Equivalents, at Carrying Value | $ 9,700 | $ 25,300 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative Asset | 13,820 | 11,457 | |
Derivative Liability | 4,649 | 5,422 | |
Foreign Currency Derivative Instruments Not Designated as Hedging Instruments, Asset at Fair Value | 9,261 | 3,958 | |
foreign currency cash flow hedge current asset | 1,823 | $ 609 | |
Foreign Currency Cash Flow Hedge Asset at Fair Value | 2,736 | 6,890 | |
Foreign Currency Derivative Instruments Not Designated as Hedging Instruments, Liability at Fair Value | 3,847 | 2,056 | |
Interest Rate Swap Short Term | 169 | 0 | |
Foreign Currency Cash Flow Hedge Liability at Fair Value | 633 | $ 3,366 | |
Change in Carrying Value Verse Fair Value of Long Term Debt | $ 274,700 |
Income Taxes (Details)
Income Taxes (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 Rate | Sep. 30, 2022 Rate | Sep. 30, 2023 Rate | Sep. 30, 2022 Rate | |
Effective Income Tax Rate Reconciliation, Percent | 19.70% | 20% | 18.50% | 18.60% |
Annual Effective Tax Rate before recurring discrete tax items | 19% |
Debt (Details)
Debt (Details) € in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2023 USD ($) Rate | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) Rate | Sep. 30, 2022 USD ($) | Sep. 30, 2023 EUR (€) Rate | Dec. 31, 2022 USD ($) | |
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 1,351,507 | $ 1,351,507 | ||||
Unamortized Debt Issuance Expense | (4,142) | (4,142) | ||||
Line of Credit Facility, Fair Value of Amount Outstanding | 699,556 | 699,556 | ||||
Total debt | 2,108,484 | 2,108,484 | ||||
Debt, Current | (179,083) | (179,083) | ||||
Long-term Debt | 1,929,401 | 1,929,401 | ||||
Line of Credit Facility, Remaining Borrowing Capacity | 545,200 | 545,200 | ||||
Cash and Cash Equivalents, at Carrying Value | 69,675 | 69,675 | $ 95,966 | |||
Gain (Loss) on Derivative Used in Net Investment Hedge, after Tax | 15,300 | $ 35,800 | 6,400 | $ 66,200 | ||
Cumulative (gain) loss in other other comprehensive income related to the change in a net investment hedge. | 36,600 | 36,600 | ||||
Us Dollar Amounts Member | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | 947,247 | 947,247 | ||||
Unamortized Debt Issuance Expense | (2,753) | (2,753) | ||||
Line of Credit Facility, Fair Value of Amount Outstanding | 509,253 | 509,253 | ||||
Total debt | 1,462,303 | 1,462,303 | ||||
Debt, Current | (127,663) | (127,663) | ||||
Long-term Debt | 1,334,640 | 1,334,640 | ||||
Other Principal Trading Currencies [Member] | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | 404,260 | 404,260 | ||||
Unamortized Debt Issuance Expense | (1,389) | (1,389) | ||||
Line of Credit Facility, Fair Value of Amount Outstanding | 190,303 | 190,303 | ||||
Total debt | 646,181 | 646,181 | ||||
Debt, Current | (51,420) | (51,420) | ||||
Long-term Debt | $ 594,761 | $ 594,761 | ||||
3.67% Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 3.67% | 3.67% | 3.67% | |||
Debt Instrument, Maturity Date | Dec. 17, 2022 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 50,000 | $ 50,000 | ||||
Debt Instrument, Term | 10 years | |||||
4.10% Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 4.10% | 4.10% | 4.10% | |||
Debt Instrument, Maturity Date | Sep. 19, 2023 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 50,000 | $ 50,000 | ||||
Debt Instrument, Term | 10 years | |||||
3.84% Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 3.84% | 3.84% | 3.84% | |||
Debt Instrument, Maturity Date | Sep. 19, 2024 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 125,000 | $ 125,000 | ||||
Debt Instrument, Term | 10 years | |||||
3.84% Senior Notes [Member] | Us Dollar Amounts Member | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | 125,000 | $ 125,000 | ||||
3.84% Senior Notes [Member] | Other Principal Trading Currencies [Member] | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 0 | $ 0 | ||||
4.24% Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 4.24% | 4.24% | 4.24% | |||
Debt Instrument, Maturity Date | Jun. 25, 2025 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 125,000 | $ 125,000 | ||||
Debt Instrument, Term | 10 years | |||||
4.24% Senior Notes [Member] | Us Dollar Amounts Member | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | 125,000 | $ 125,000 | ||||
4.24% Senior Notes [Member] | Other Principal Trading Currencies [Member] | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 0 | $ 0 | ||||
3.91% Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 3.91% | 3.91% | 3.91% | |||
Debt Instrument, Maturity Date | Jun. 25, 2029 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 75,000 | $ 75,000 | ||||
Debt Instrument, Term | 10 years | |||||
3.91% Senior Notes [Member] | Us Dollar Amounts Member | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | 75,000 | $ 75,000 | ||||
3.91% Senior Notes [Member] | Other Principal Trading Currencies [Member] | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 0 | $ 0 | ||||
3.19% Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 3.19% | 3.19% | 3.19% | |||
Debt Instrument, Maturity Date | Jan. 24, 2035 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 50,000 | $ 50,000 | ||||
Debt Instrument, Term | 15 years | |||||
3.19% Senior Notes [Member] | Us Dollar Amounts Member | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | 50,000 | $ 50,000 | ||||
3.19% Senior Notes [Member] | Other Principal Trading Currencies [Member] | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 0 | $ 0 | ||||
1.47% EURO Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 1.47% | 1.47% | 1.47% | |||
Euro Notes - USD Amount | $ 131,704 | $ 131,704 | ||||
Debt Instrument, Maturity Date | Jun. 17, 2030 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | € | € 125,000 | |||||
Debt Instrument, Term | 15 years | |||||
1.47% EURO Senior Notes [Member] | Us Dollar Amounts Member | ||||||
Debt Instrument [Line Items] | ||||||
Euro Notes - USD Amount | 0 | $ 0 | ||||
1.47% EURO Senior Notes [Member] | Other Principal Trading Currencies [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Euro Notes - USD Amount | $ 131,704 | $ 131,704 | ||||
1.30% Euro-Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 1.30% | 1.30% | 1.30% | |||
Euro Notes - USD Amount | $ 142,241 | $ 142,241 | ||||
Debt Instrument, Maturity Date | Nov. 06, 2034 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | € | € 135 | |||||
Debt Instrument, Term | 15 years | |||||
1.30% Euro-Senior Notes [Member] | Us Dollar Amounts Member | ||||||
Debt Instrument [Line Items] | ||||||
Euro Notes - USD Amount | 0 | $ 0 | ||||
1.30% Euro-Senior Notes [Member] | Other Principal Trading Currencies [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Euro Notes - USD Amount | $ 142,241 | $ 142,241 | ||||
Credit facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 0.975% | 0.975% | 0.975% | |||
Debt Instrument, Maturity Date | Jun. 15, 2023 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 1,250,000 | $ 1,250,000 | ||||
Other local arrangements [Member] | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Other Borrowings | 57,421 | 57,421 | ||||
Other local arrangements [Member] | Us Dollar Amounts Member | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Other Borrowings | 5,803 | 5,803 | ||||
Other local arrangements [Member] | Other Principal Trading Currencies [Member] | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Other Borrowings | $ 51,618 | $ 51,618 | ||||
Swiss Pension Loans [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 0.85% | 0.85% | 0.85% | |||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Loan from Swiss Pension Plan USD Amount | $ 39,600 | $ 39,600 | ||||
Swiss Pension Loans (local currency) | 38,000 | 38,000 | ||||
1.06% Euro-Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Euro Notes - USD Amount | 131,704 | 131,704 | ||||
1.06% Euro-Senior Notes | Us Dollar Amounts Member | ||||||
Debt Instrument [Line Items] | ||||||
Euro Notes - USD Amount | 0 | 0 | ||||
1.06% Euro-Senior Notes | Other Principal Trading Currencies [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Euro Notes - USD Amount | $ 131,704 | $ 131,704 | ||||
2.83% Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 2.83% | 2.83% | 2.83% | |||
Debt Instrument, Maturity Date | Jul. 22, 2033 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 125,000 | $ 125,000 | ||||
Debt Instrument, Term | 12 years | |||||
2.83% Senior Notes | Us Dollar Amounts Member | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | 125,000 | $ 125,000 | ||||
2.83% Senior Notes | Other Principal Trading Currencies [Member] | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 0 | $ 0 | ||||
2.81% Senior Note | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 2.81% | 2.81% | 2.81% | |||
Debt Instrument, Maturity Date | Mar. 27, 2037 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 150,000 | $ 150,000 | ||||
Debt Instrument, Term | 15 years | |||||
2.81% Senior Note | Us Dollar Amounts Member | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | 150,000 | $ 150,000 | ||||
2.81% Senior Note | Other Principal Trading Currencies [Member] | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 0 | $ 0 | ||||
2.91% Senior Note | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 2.91% | 2.91% | 2.91% | |||
Debt Instrument, Maturity Date | Sep. 01, 2037 | |||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 150,000 | $ 150,000 | ||||
Debt Instrument, Term | 15 years | |||||
2.91% Senior Note | Us Dollar Amounts Member | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | 150,000 | $ 150,000 | ||||
5.45% Senior Note | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | 150,000 | 150,000 | ||||
5.45% Senior Note | Us Dollar Amounts Member | ||||||
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt | ||||||
Senior Notes | $ 150,000 | $ 150,000 |
Share Repurchase Program and _2
Share Repurchase Program and Treasury Stock (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Share Repurchase Program and Treasury Stock (Textuals) [Abstract] | ||||||||
Remaining Amount to Repurchase under the program | $ 2,700,000 | $ 2,700,000 | ||||||
Shares Purchased Under Share Repurchase Program | 31,500,000 | 31,500,000 | ||||||
Treasury Stock, Value, Acquired, Cost Method | $ 223,999 | $ 250,000 | $ 249,999 | $ 275,000 | $ 274,999 | $ 275,000 | $ 724,000 | $ 825,000 |
Number of shares repurchased | (526,019) | (629,380) | ||||||
Average price of share repurchased, per share | $ 1,388.54 | $ 1,310.79 | ||||||
Exercise of stock options and restricted stock units, shares reissued | 70,812 | 80,466 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Accumulated Translation Adjustment [Member] | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Beginning Balance | $ (82,864) | $ (19,566) |
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | 0 | 0 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | (36,740) | (101,250) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 0 | 0 |
Other Comprehensive Income (Loss), Net of Tax | (36,740) | (101,250) |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | (119,604) | (120,816) |
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent [Member] | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Beginning Balance | 4,256 | 2 |
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | 2,555 | 18,512 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | 0 | 0 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | (5,541) | (14,434) |
Other Comprehensive Income (Loss), Net of Tax | (2,986) | 4,078 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 1,270 | 4,080 |
Accumulated Defined Benefit Plans Adjustment [Member] | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Beginning Balance | (148,625) | (235,660) |
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | 0 | 0 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | (991) | 17,842 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 4,797 | 10,040 |
Other Comprehensive Income (Loss), Net of Tax | 3,806 | 27,882 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | (144,819) | (207,778) |
AOCI Attributable to Parent [Member] | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Beginning Balance | (227,233) | (255,224) |
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | 2,555 | 18,512 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | (37,731) | (83,408) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | (744) | (4,394) |
Other Comprehensive Income (Loss), Net of Tax | (35,920) | (69,290) |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ (263,153) | $ (324,514) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Details 2) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Unrealized Gain (Loss) on Foreign Currency Derivatives, Net, before Tax | $ 6,841 | $ 17,792 | ||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, Tax | $ (1,470) | $ (1,446) | (1,300) | (3,358) |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax | 6,266 | 6,166 | 5,541 | 14,434 |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, before Tax, Portion Attributable to Parent | 2,044 | 4,173 | 6,081 | 12,788 |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Tax, Portion Attributable to Parent | 430 | 896 | 1,284 | 2,748 |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | 1,614 | 3,277 | 4,797 | 10,040 |
Interest Rate Swap [Member] | ||||
Interest Rate Cash Flow Hedge Gain (Loss) Reclassified to Earnings, Net | 0 | 352 | ||
Cross Currency Swap [Member] | ||||
Interest Rate Cash Flow Hedge Gain (Loss) Reclassified to Earnings, Net | (7,736) | $ (7,612) | (6,841) | $ (18,144) |
Foreign Currency Transaction Gain (Loss), Unrealized | 5,000 | 1,300 | ||
Interest Income, Other | $ 2,700 | $ 8,200 |
Accumulated Other Comprehensi_5
Accumulated Other Comprehensive Income (Details 3) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Net earnings | $ 201,631 | $ 213,927 | $ 188,426 | $ 220,597 | $ 212,070 | $ 174,001 | $ 603,984 | $ 606,668 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | 4,063 | $ (38,700) | $ (1,283) | (42,149) | $ (31,491) | $ 4,350 | (35,920) | (69,290) |
Comprehensive Income, Net of Tax (Note 9) | $ 205,694 | $ 178,448 | $ 568,064 | $ 537,378 |
Earnings Per Common Share (Deta
Earnings Per Common Share (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Incremental Weighted Average Shares Attributable to Dilutive Effect [Abstract] | ||||
Weighted Average Number of Shares Outstanding, Diluted, Total | 109,538 | 206,634 | 133,509 | 234,382 |
Antidilutive Shares Outstanding | ||||
Weighted Average Number of Shares Outstanding, Antidilutive, Total | 52,423 | 48,490 | 38,870 |
Net Periodic Benefit Cost (Deta
Net Periodic Benefit Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost, net | $ 3,754 | $ 5,148 | $ 11,154 | $ 15,745 |
Interest cost on projected benefit obligations | 6,228 | 2,124 | 18,546 | 6,528 |
Expected return on plan assets | (10,129) | (10,499) | (30,107) | (32,040) |
Recognition of prior service cost | (1,093) | (1,065) | (3,241) | (3,243) |
Recognition of actuarial losses/(gains) | 3,139 | 5,241 | 9,332 | 16,034 |
Net periodic pension cost/(credit) | 1,899 | 949 | 5,684 | 3,024 |
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost, net | 287 | 416 | 866 | 1,248 |
Interest cost on projected benefit obligations | 1,256 | 674 | 3,767 | 2,022 |
Expected return on plan assets | (1,383) | (1,548) | (4,149) | (4,642) |
Recognition of prior service cost | 0 | 0 | 0 | 0 |
Recognition of actuarial losses/(gains) | 548 | 584 | 1,644 | 1,753 |
Net periodic pension cost/(credit) | 708 | 126 | 2,128 | 381 |
Other Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost, net | 3,467 | 4,732 | 10,288 | 14,497 |
Interest cost on projected benefit obligations | 4,965 | 1,447 | 14,757 | 4,497 |
Expected return on plan assets | (8,746) | (8,951) | (25,958) | (27,398) |
Recognition of prior service cost | (1,074) | (1,046) | (3,184) | (3,187) |
Recognition of actuarial losses/(gains) | 2,591 | 4,665 | 7,689 | 14,304 |
Net periodic pension cost/(credit) | 1,203 | 847 | 3,592 | 2,713 |
Defined Benefit Plan, Expected Future Employer Contributions, Current Fiscal Year, Description | 27,500 | 27,500 | ||
Other Postretirement Benefits Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost, net | 0 | 0 | 0 | 0 |
Interest cost on projected benefit obligations | 7 | 3 | 22 | 9 |
Expected return on plan assets | 0 | 0 | 0 | 0 |
Recognition of prior service cost | (19) | (19) | (57) | (56) |
Recognition of actuarial losses/(gains) | 0 | (8) | (1) | (23) |
Net periodic pension cost/(credit) | $ (12) | $ (24) | $ (36) | $ (70) |
Other Charges , Net Other Charg
Other Charges , Net Other Charges, Net (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Other Income and Expenses [Abstract] | ||||
Non-service pension costs (benefits) | $ 1.9 | $ 4.2 | $ 5.6 | $ 12.7 |
Segment Reporting (Details)
Segment Reporting (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operations of the Company's operating segments | ||||||
Net Sales to External Customers | $ 942,462 | $ 985,846 | $ 2,853,317 | $ 2,862,024 | ||
Revenue Transactions With Other Operating Segments | 0 | 0 | 0 | 0 | ||
Net Sales | 942,462 | 985,846 | 2,853,317 | 2,862,024 | ||
Segment Profit | 295,965 | 307,170 | 870,120 | 833,847 | ||
Goodwill | 660,638 | 660,638 | $ 660,170 | $ 636,089 | ||
Swiss Operations [Member] | ||||||
Operations of the Company's operating segments | ||||||
Net Sales to External Customers | 50,233 | 40,972 | 143,405 | 126,304 | ||
Revenue Transactions With Other Operating Segments | 196,967 | 207,349 | 580,174 | 611,632 | ||
Net Sales | 247,200 | 248,321 | 723,579 | 737,936 | ||
Segment profit | 64,387 | 77,457 | 207,723 | 220,791 | ||
Goodwill | 25,224 | 25,224 | 21,950 | |||
Western European Operations [Member] | ||||||
Operations of the Company's operating segments | ||||||
Net Sales to External Customers | 198,520 | 180,959 | 590,019 | 564,108 | ||
Revenue Transactions With Other Operating Segments | 47,879 | 49,486 | 140,521 | 147,087 | ||
Net Sales | 246,399 | 230,445 | 730,540 | 711,195 | ||
Segment profit | 46,345 | 38,950 | 129,615 | 112,963 | ||
Goodwill | 96,966 | 96,966 | 86,222 | |||
Chinese Operations [Member] | ||||||
Operations of the Company's operating segments | ||||||
Net Sales to External Customers | 162,012 | 229,722 | 569,449 | 642,237 | ||
Revenue Transactions With Other Operating Segments | 70,392 | 79,285 | 198,123 | 234,847 | ||
Net Sales | 232,404 | 309,007 | 767,572 | 877,084 | ||
Segment profit | 83,865 | 123,345 | 284,828 | 313,769 | ||
Goodwill | 596 | 596 | 606 | |||
Other Operations [Member] | ||||||
Operations of the Company's operating segments | ||||||
Net Sales to External Customers | 177,939 | 160,429 | 500,170 | 468,645 | ||
Revenue Transactions With Other Operating Segments | 2,677 | 705 | 17,236 | 2,377 | ||
Net Sales | 180,616 | 161,134 | 517,406 | 471,022 | ||
Segment profit | 30,007 | 20,603 | 78,690 | 63,298 | ||
Goodwill | 13,393 | 13,393 | 13,254 | |||
Intersegment Elimination [Member] | ||||||
Operations of the Company's operating segments | ||||||
Net Sales to External Customers | 0 | 0 | 0 | 0 | ||
Revenue Transactions With Other Operating Segments | (352,168) | (371,902) | (1,037,297) | (1,110,908) | ||
Net Sales | (352,168) | (371,902) | (1,037,297) | (1,110,908) | ||
Segment profit | (19,243) | (47,008) | (107,341) | (138,779) | ||
Goodwill | 0 | 0 | 0 | |||
US Operations [Member] | ||||||
Operations of the Company's operating segments | ||||||
Net Sales to External Customers | 353,758 | 373,764 | 1,050,274 | 1,060,730 | ||
Revenue Transactions With Other Operating Segments | 34,253 | 35,077 | 101,243 | 114,965 | ||
Net Sales | 388,011 | 408,841 | 1,151,517 | 1,175,695 | ||
Segment profit | 90,604 | $ 93,823 | 276,605 | $ 261,805 | ||
Goodwill | $ 524,459 | $ 524,459 | $ 514,057 |
Segment Reporting (Details 1)
Segment Reporting (Details 1) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Reconciliation of earnings before taxes to segment profit | ||||
Amortization | $ 18,314 | $ 16,728 | $ 54,135 | $ 49,697 |
Interest expense | 20,278 | 14,484 | 57,711 | 38,587 |
Restructuring Charges | 7,385 | 2,022 | 19,680 | 7,803 |
Other charges (income), net | (1,171) | (1,949) | (2,578) | (7,818) |
Segment Profit Information | 295,965 | 307,170 | 870,120 | 833,847 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | $ 251,159 | $ 275,885 | $ 741,172 | $ 745,578 |
Segment Reporting (Details Text
Segment Reporting (Details Textuals) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Segment Reporting (Textuals) [Abstract] | ||||
Restructuring Charges | $ 7,385 | $ 2,022 | $ 19,680 | $ 7,803 |