Annual report pursuant to Section 13 and 15(d)

Summary of Significant Accounting Policies (Tables)

v3.20.2
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Sep. 30, 2020
Accounting Policies [Abstract]  
Schedule of inventories
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               September 30,
  2020 2019
Finished goods $ 163.4  $ 49.0 
Raw materials and components 133.3  68.2 
Work in process 88.7  40.5 
Total inventories $ 385.4  $ 157.7 
Schedule of carrying value of property, plant and equipment
  September 30, 2020 September 30, 2019
  Cost Accumulated
Depreciation		 Cost Accumulated
Depreciation
Land and land improvements $ 27.8  $ (3.6) $ 13.1  $ (3.4)
Buildings and building equipment 159.4  (70.1) 95.7  (61.3)
Machinery and equipment 469.1  (268.4) 320.4  (235.1)
Total $ 656.3  $ (342.1) $ 429.2  $ (299.8)
Schedule of intangible assets and related amortization
The impairment charges to goodwill and the intangible assets were nondeductible for tax purposes. The following table summarizes the impairment charges by reportable segment recorded by the Company during the second quarter of 2020:
Advanced Process Solutions
 Molding Technology Solutions Total
Goodwill $ 72.3  $ —  $ 72.3 
Trade names 0.7  7.9  8.6 
Technology, including patents —  1.6  1.6 
Total $ 73.0  $ 9.5  $ 82.5 
 
  September 30, 2020 September 30, 2019
  Cost Accumulated
Amortization		 Cost Accumulated
Amortization
Finite-lived assets:        
Trade names $ 0.2  $ (0.2) $ 0.2  $ (0.2)
Customer relationships 787.6  (151.8) 287.7  (109.3)
Technology, including patents 137.6  (51.0) 56.1  (38.7)
Software 65.6  (54.1) 53.1  (47.8)
Backlog 10.0  (10.0) —  — 
Other 0.1  (0.1) 0.2  (0.2)
  1,001.1  (267.2) 397.3  (196.2)
Indefinite-lived assets:        
Trade names 226.8  —  111.0  — 
Total $ 1,227.9  $ (267.2) $ 508.3  $ (196.2)
Changes in the carrying amount of goodwill
The following table summarizes the changes in the Company’s goodwill, by reportable segment, for the years ended September 30, 2020 and 2019:
 
Advanced Process Solutions
 Molding Technology Solutions Batesville Total
Balance September 30, 2018 $ 464.2  $ —  $ 8.3  $ 472.5 
Acquisitions (1)
12.4  —  —  12.4 
Foreign currency adjustments (14.2) —  —  (14.2)
Balance September 30, 2019 462.4  —  8.3  470.7 
Acquisitions (1)
1.7  714.7  —  716.4 
Divestiture (2)
—  (77.9) —  (77.9)
Foreign currency adjustments 21.0  7.6  —  28.6 
September 30, 2020 (3)
$ 485.1  $ 644.4  $ 8.3  $ 1,137.8 
(1)See Note 4 for further information on the acquisitions of Milacron and BM&M.
(2)See Note 4 for further information on the divestiture of Cimcool.
(3)The goodwill impairment charges recorded during 2020 for the reporting units within the Advanced Process Solutions reportable segment are not shown in the table above as the related goodwill is classified as assets held for sale on the Consolidated Balance Sheets. See Note 4 for further information.
Schedule of changes in accumulated other comprehensive income (loss) by component
  September 30,
  2020 2019
Currency translation $ (21.1) $ (64.7)
Pension and postretirement (net of taxes of $24.2 and $30.0) (69.6) (62.3)
Unrealized loss on derivative instruments (net of taxes of $0.7 and $0.7) (12.1) (13.6)
Accumulated other comprehensive loss $ (102.8) $ (140.6)
Schedule of New Accounting Pronouncements and Changes in Accounting Principles The cumulative effect of the changes made to the Consolidated Balance Sheet as of October 1, 2018, for the adoption of ASC 606, was as follows:
Balance at September 30, 2018 Adjustments due to ASC 606 Balance at October 1, 2018
Assets
Receivables from long-term manufacturing contracts $ 120.3  $ 1.9  $ 122.2 
Inventories 172.5  (1.6) 170.9 
Liabilities
Deferred income taxes $ 76.4  $ 0.1  $ 76.5 
Shareholders’ Equity
Retained earnings $ 531.0  $ 0.2  $ 531.2 

The following tables summarize the impacts of adopting ASC 606 on the Consolidated Financial Statements as of and for the year ended September 30, 2019.

Consolidated Statements of Operations:
Year Ended September 30, 2019
As Reported Adjustments Due to ASC 606 Balances without Adoption
Net revenue $ 1,807.3  $ —  $ 1,807.3 
Cost of goods sold 1,184.3  —  1,184.3 
Gross profit 623.0  —  623.0 
Income before income taxes 176.7  —  176.7 
Consolidated net income 126.2  —  126.2 
Consolidated Balance Sheet:
September 30, 2019
As Reported Adjustments Due to ASC 606 Balances without Adoption
Assets
Receivables from long-term manufacturing contracts $ 180.3  $ (1.9) $ 178.4 
Inventories $ 157.7  1.7  159.4 
Liabilities
Deferred income taxes $ 61.6  $ —  $ 61.6 
Shareholders’ Equity
Retained earnings $ 599.5  $ (0.2) $ 599.3