Segment Information

12 Months Ended

Dec. 31, 2023

Segment Reporting [Abstract]

Segment Information

SEGMENT INFORMATION

In the first quarter of 2023, the Company realigned its internal organization to align with the Company’s strategy, resulting in changes to the Company’s operating segments. Historically, the Company operated through one reportable segment comprised of two operating segments: (i) Mobility Technologies and (ii) Diagnostics and Repair Technologies. Subsequent to the realignment, the Company now operates through three reportable segments which align to the Company’s three operating segments: (i) Mobility Technologies, (ii) Repair Solutions and (iii) Environmental & Fueling Solutions.

The Company’s Global Traffic Technologies and Coats businesses, which were divested during April 2023 and January 2024, respectively, are presented in Other for periods prior to the divestitures. Refer to Note 21. Divestitures and Assets and Liabilities Held for Sale for further discussion of the Company’s Global Traffic Technologies and Coats businesses.

Segment operating profit is used as a performance metric by the chief operating decision maker (“CODM”) in determining how to allocate resources and assess performance. Segment operating profit represents total segment sales less operating costs attributable to the segment, which does not include unallocated corporate costs and other operating costs not allocated to the reportable segments as part of the CODM’s assessment of reportable segment operating performance, including stock-based compensation expense, amortization of acquisition-related intangible assets, restructuring costs, transaction- and deal-related costs, and other costs not indicative of the segment’s core operating performance. As part of the CODM’s assessment of the Repair Solutions segment, a capital charge based on the segment’s financing receivables portfolio is assessed by Corporate (the “Repair Solutions Capital Charge”). The unallocated corporate and other operating costs are presented in Corporate & other unallocated costs in the reconciliation to earnings before income taxes below.

Intersegment sales primarily result from solutions developed by the Mobility Technologies segment that are integrated into products sold by the Environmental & Fueling Solutions segment. Intersegment sales are recorded at cost plus a margin which is intended to reflect the contribution made by the Mobility Technologies segment. Segment operating profit includes the operating profit from intersegment sales. Intersegment sales for the years ended December 31, 2022 and 2021 are not significant and have been eliminated in the segments’ results.

The Company’s CODM does not review any information regarding total assets on a segment basis.

Prior period segment results have been presented in conformity with the Company’s new reportable segments. Segment results for the years ended December 31 were as follows:

($ in millions)	2023		2022		2021
Sales:
Mobility Technologies(a)	$	1,003.8	$	907.8	$	739.3
Repair Solutions(b)	651.5		611.5		594.4
Environmental & Fueling Solutions	1,323.7		1,493.6		1,481.7
Other	118.8		171.5		175.3
Intersegment eliminations	(2.6)		—		—
Total	$	3,095.2	$	3,184.4	$	2,990.7
Segment operating profit:
Mobility Technologies	$	199.9	$	187.5	$	155.6
Repair Solutions(c)	170.0		169.7		168.4
Environmental & Fueling Solutions	369.5		406.5		410.3
Other	11.3		19.2		23.3
Segment operating profit	750.7		782.9		757.6
Corporate & other unallocated costs(c)(d)	(207.3)		(205.0)		(175.4)
Operating profit	543.4		577.9		582.2
Interest expense, net	(93.7)		(69.6)		(47.8)
Gain on sale of business	34.4		—		—
Gain on previously held equity interests from combination of business	—		32.7		—
Unrealized loss on equity securities measured at fair value	—		(8.7)		—
Other non-operating expense, net	(0.6)		(4.9)		(0.4)
Earnings before income taxes	$	483.5	$	527.4	$	534.0
Depreciation expense:
Mobility Technologies	$	29.4	$	23.4	$	26.1
Repair Solutions	2.1		1.7		1.6
Environmental & Fueling Solutions	11.2		13.9		15.7
Other	—		0.9		1.6
Corporate	1.1		1.0		0.9
Total	$	43.8	$	40.9	$	45.9

(a) Includes intersegment sales of $2.6 million for the year ended December 31, 2023.

(b) Includes interest income related to financing receivables of $78.8 million, $72.7 million and $74.6 million for the years ended December 31, 2023, 2022 and 2021, respectively.

(c) Includes the Repair Solutions Capital Charge of $41.7 million, $39.8 million and $39.5 million for the years ended December 31, 2023, 2022 and 2021, respectively.

(d) Includes amortization of acquisition-related intangible assets.