Segment Reporting

3 Months Ended

Mar. 31, 2024

Segment Reporting [Abstract]

Segment Reporting

Segment Reporting

Operating segments are defined as components of an enterprise that are evaluated regularly by the Company’s chief operating decision maker in deciding how to allocate resources and in assessing performance. The Company’s chief operating decision maker is the Chief Executive Officer.

The Company has three reportable segments, Control Devices, Electronics and Stoneridge Brazil, which also represent its operating segments. The Control Devices reportable segment produces actuators, sensors, switches and connectors. The Electronics reportable segment produces driver information systems, vision and safety systems, connectivity and compliance products and electronic control units. The Stoneridge Brazil reportable segment designs and manufactures vehicle tracking devices and monitoring services, vehicle security alarms and convenience accessories, in-vehicle audio and infotainment devices, driver information systems and telematics solutions.

The accounting policies of the Company’s reportable segments are the same as those described in Note 2, “Summary of Significant Accounting Policies” of the Company’s 2023 Form 10-K. The Company’s management evaluates the performance of its reportable segments based primarily on revenues from external customers, capital expenditures and operating income. Inter-segment sales are accounted for on terms similar to those to third parties and are eliminated upon consolidation.

The financial information presented below is for our three reportable operating segments and includes adjustments for unallocated corporate costs and intercompany eliminations, where applicable. Such costs and eliminations do not meet the requirements for being classified as an operating segment. Corporate costs include various support functions, such as accounting/finance, executive administration, human resources, information technology and legal.

A summary of financial information by reportable segment is as follows:

	Three months ended March 31,
	2024		2023
Net Sales:
Control Devices	$	77,158	$	85,942
Inter-segment sales	831		734
Control Devices net sales	77,989		86,676
Electronics	149,783		141,127
Inter-segment sales	6,341		8,516
Electronics net sales	156,124		149,643
Stoneridge Brazil	12,216		14,256
Inter-segment sales	—		—
Stoneridge Brazil net sales	12,216		14,256
Eliminations	(7,172)		(9,250)
Total net sales	$	239,157	$	241,325
Operating Income (Loss):
Control Devices	$	2,164	$	2,087
Electronics	7,089		1,400
Stoneridge Brazil	204		1,343
Unallocated Corporate (A)	(9,126)		(8,859)
Total operating income (loss)	$	331	$	(4,029)
Depreciation and Amortization:
Control Devices	$	2,863	$	3,174
Electronics	3,861		3,464
Stoneridge Brazil	1,276		1,085
Unallocated Corporate	584		602
Total depreciation and amortization (B)	$	8,584	$	8,325
Interest Expense (Income), net:
Control Devices	$	—	$	18
Electronics	603		485
Stoneridge Brazil	(370)		(270)
Unallocated Corporate	3,401		2,513
Total interest expense, net	$	3,634	$	2,746
Capital Expenditures:
Control Devices	$	1,517	$	1,956
Electronics	1,377		6,207
Stoneridge Brazil	940		636
Unallocated Corporate(C)	434		112
Total capital expenditures	$	4,268	$	8,911

	March 31, 2024		December 31, 2023
Total Assets:
Control Devices	$	156,424	$	159,612
Electronics	407,326		404,994
Stoneridge Brazil	59,782		66,318
Corporate (C)	422,257		419,469
Eliminations	(370,377)		(370,493)
Total assets	$	675,412	$	679,900

The following tables present net sales and long-term assets for each of the geographic areas in which the Company operates:

	Three months ended March 31,
	2024		2023
Net Sales:
North America	$	118,116	$	123,726
South America	12,216		14,256
Europe and Other	108,825		103,343
Total net sales	$	239,157	$	241,325

	March 31, 2024		December 31, 2023
Long-term Assets:
North America	$	93,228	$	92,419
South America	31,253		32,679
Europe and Other	119,588		125,412
Total long-term assets	$	244,069	$	250,510

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(A)Unallocated Corporate expenses include, among other items, accounting/finance, human resources, information technology and legal costs as well as share-based compensation.

(B)These amounts represent depreciation and amortization on property, plant and equipment and certain intangible assets.

(C)Assets located at Corporate consist primarily of cash, intercompany loan receivables, fixed assets for the corporate headquarter building, leased assets, information technology assets, equity investments and investments in subsidiaries.