Acquisitions (Tables)

12 Months Ended

Sep. 30, 2017

Acquisitions

Schedule of estimated amortization expense related to acquisition

The table below shows our expected amortization of purchased intangibles as of September 30, 2017, for each of the next five years and thereafter (in thousands):

			Cubic Global		Cubic Global
	Transportation		Defense		Defense
	Systems		Systems		Services		Total
2018	$	4,944	$	21,009	$	2,075	$	28,028
2019		2,886		17,291		1,434		21,611
2020		947		13,529		790		15,266
2021		698		10,075		707		11,480
2022		598		6,912		707		8,217
Thereafter		297		10,673		2,923		13,893
	$	10,370	$	79,489	$	8,636	$	98,495

Schedule of unaudited pro forma information

The following unaudited pro forma information presents our consolidated results of operations as if Deltenna, Vocality, GATR, TeraLogics, H4 Global and DTECH had been included in our consolidated results since October 1, 2015 (in millions):

	Year Ended
	September 30,
	2017		2016
Net sales	$	1,487.5	$	1,488.6
Net income (loss)	$	(11.6)	$	0.1

Deltenna

Acquisitions

Schedule of Business Combination Operating Results

Deltenna’s sales and results of operations included in our operating results for the years ended September 30, 2017, 2016 and 2015 were as follows (in millions):

	September 30,
	2017		2016		2015
Sales	$	0.1	$	—	$	—
Operating loss		(0.2)		—		—
Net loss after taxes		(0.2)		—		—

Schedule of Business Combination components of operating results

Deltenna’s operating results above included the following amounts for the years ended September 30, 2017, 2016 and 2015 (in millions):

	September 30,
	2017		2016		2015
Amortization	$	—	$	—	$	—
Acquisition-related expenses		0.2		—		—

Schedule of estimated fair values of the assets acquired and liabilities assumed at the acquisition date

The following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the acquisition date (in millions):

Customer relationships	$	1.0
Technology		1.1
Other net assets acquired (liabilities assumed)		(0.3)
Net identifiable assets acquired		1.8
Goodwill		3.5
Net assets acquired	$	5.3

Schedule of estimated amortization expense related to acquisition

The estimated amortization expense related to the intangible assets recorded in connection with our acquisition of Deltenna for fiscal years 2018 through 2022 and thereafter is as follows (in millions):

Year Ended
September 30,
2018	$	0.3
2019		0.3
2020		0.3
2021		0.3
2022		0.3
Thereafter		0.6

Vocality

Acquisitions

Schedule of Business Combination Operating Results

Vocality’s sales and results of operations included in our operating results for the years ended September 30, 2017, 2016 and 2015 were as follows (in millions):

	September 30,
	2017		2016		2015
Sales	$	1.5	$	—	$	—
Operating loss		(2.9)		—		—
Net loss after taxes		(2.6)		—		—

Schedule of Business Combination components of operating results

Vocality’s operating results above included the following amounts for the years ended September 30, 2017, 2016 and 2015 (in millions):

	September 30,
	2017		2016		2015
Amortization	$	0.6	$	—	$	—
Acquisition-related expenses		1.6		—		—

Schedule of estimated fair values of the assets acquired and liabilities assumed at the acquisition date

The following table summarizes the fair values of the assets acquired and liabilities assumed at the acquisition date (in millions):

Customer relationships	$	2.1
Technology		2.4
Trade name		0.4
Inventory		1.7
Accounts payable and accrued expenses		(0.4)
Other net assets acquired (liabilities assumed)		(0.5)
Net identifiable assets acquired		5.7
Goodwill		3.9
Net assets acquired	$	9.6

Schedule of estimated amortization expense related to acquisition

The estimated amortization expense related to the intangible assets recorded in connection with our acquisition of Vocality for fiscal years 2018 through 2022 and thereafter is as follows (in millions):

Year Ended
September 30,
2018	$	0.8
2019		0.7
2020		0.6
2021		0.6
2022		0.5
Thereafter		1.3

GATR

Acquisitions

Schedule of Business Combination Operating Results

GATR’s sales and results of operations included in our operating results for the years ended September 30, 2017, 2016 and 2015 were as follows (in millions):

	September 30,
	2017		2016		2015
Sales	$	84.3	$	43.1	$	—
Operating income (loss)		1.9		(26.4)		—
Net income (loss) after taxes		1.4		(23.0)		—

Schedule of Business Combination components of operating results

GATR’s operating results above included the following amounts for the years ended September 30, 2017, 2016 and 2015 (in millions):

	September 30,
	2017		2016		2015
Amortization	$	12.7	$	9.7	$	—
Gains (losses) for changes in fair value of contingent consideration		3.2		(0.7)		—
Acquisition-related expenses		0.6		22.0		—

Schedule of estimated fair values of the assets acquired and liabilities assumed at the acquisition date

The following table summarizes the fair values of the assets acquired and liabilities assumed at the acquisition date (in millions):

Customer relationships	$	51.7
Backlog		3.4
Technology		10.7
Non-compete agreements		1.2
Trade name		4.7
Accounts receivable		10.6
Inventory		3.4
Income tax receivable		5.1
Accounts payable and accrued expenses		(2.4)
Deferred tax liabilities		(23.8)
Net identifiable assets acquired		64.6
Goodwill		155.9
Net assets acquired	$	220.5

Schedule of estimated amortization expense related to acquisition

The estimated amortization expense related to the intangible assets recorded in connection with our acquisition of GATR for fiscal years 2018 through 2022 and thereafter is as follows (in millions):

Year Ended
September 30,
2018	$	11.1
2019		9.8
2020		8.3
2021		6.9
2022		5.6
Thereafter		7.6

TeraLogics

Acquisitions

Schedule of Business Combination Operating Results

TeraLogic’s sales and results of operations included in our operating results for the years ended September 30, 2017, 2016 and 2015 were as follows (in millions):

	September 30,
	2017		2016		2015
Sales	$	19.7	$	14.2	$	—
Operating loss		(1.8)		(2.9)		—
Net loss after taxes		(1.2)		(1.6)		—

Schedule of Business Combination components of operating results

TeraLogic’s operating results above included the following amounts for the years ended September 30, 2017, 2016 and 2015 (in millions):

	September 30,
	2017		2016		2015
Amortization	$	3.5	$	3.0	$	—
Losses for changes in fair value of contingent consideration		(1.3)		(1.5)		—
Acquisition-related expenses		0.2		2.3		—

Schedule of estimated fair values of the assets acquired and liabilities assumed at the acquisition date

The following table summarizes the fair values of the assets acquired and liabilities assumed at the acquisition date (in millions):

Customer relationships	$	6.7
Backlog		5.6
Software		2.5
Non-compete agreements		0.1
Accounts receivable		1.4
Accounts payable and accrued expenses		(0.5)
Other net assets acquired (liabilities assumed)		(0.1)
Net identifiable assets acquired		15.7
Goodwill		18.2
Net assets acquired	$	33.9

Schedule of estimated amortization expense related to acquisition

The estimated amortization expense amounts related to the intangible assets recorded in connection with our acquisition of TeraLogics for fiscal years 2018 through 2022 and thereafter is as follows (in millions):

Year Ended
September 30,
2018	$	2.8
2019		2.1
2020		1.4
2021		0.8
2022		0.5
Thereafter		0.9

H4 Global

Acquisitions

Schedule of Business Combination Operating Results

H4 Global’s sales and results of operations included in our operating results for the years ended September 30, 2017, 2016 and 2015 were as follows (in millions):

	September 30,
	2017		2016		2015
Sales	$	3.3	$	2.2	$	—
Operating loss		(1.1)		(0.6)		—
Net loss after taxes		(0.9)		(0.4)		—

Schedule of Business Combination components of operating results

H4 Global’s operating results above included the following amounts for the years ended September 30, 2017, 2016 and 2015 (in millions):

	September 30,
	2017		2016		2015
Amortization	$	0.1	$	0.1	$	—
Gains for changes in fair value of contingent consideration		—		0.4		—
Acquisition-related expenses		—		0.1		—

DTECH

Acquisitions

Schedule of Business Combination Operating Results

DTECH’s sales and results of operations included in our operating results for the years ended September 30, 2017, 2016 and 2015 were as follows (in millions):

	September 30,
	2017		2016		2015
Sales	$	39.0	$	34.5	$	45.8
Operating income (loss)		2.4		(3.0)		0.9
Net income (loss) after taxes		1.3		(2.1)		0.5

Schedule of Business Combination components of operating results

DTECH’s operating results above included $23.0 million and $14.2 million in intercompany sales for the years ended September 30, 2017 and 2016, respectively, as well as the following amounts for the years ended September 30, 2017, 2016 and 2015 (in millions):

	September 30,
	2017		2016		2015
Amortization	$	6.8	$	8.0	$	9.2
Gains (losses) for changes in fair value of contingent consideration		2.0		0.5		(3.6)
Acquisition-related expenses		0.3		0.9		2.1

Schedule of estimated fair values of the assets acquired and liabilities assumed at the acquisition date

The following table summarizes the fair values of the assets acquired and liabilities assumed at the acquisition date (in millions):

Customer relationships	$	35.1
Non-compete agreements		0.7
Backlog		2.1
Cash		0.9
Accounts receivable		5.4
Inventory		4.2
Warranty obligation		(0.4)
Tax liabilities		(3.3)
Accounts payable and accrued expenses		(3.4)
Other net assets acquired		0.2
Net identifiable assets acquired		41.5
Goodwill		57.9
Net assets acquired	$	99.4

Schedule of estimated amortization expense related to acquisition

The estimated amortization expense amounts related to the intangible assets recorded in connection with our acquisition of DTECH for fiscal years 2018 through 2021 is as follows (in millions):

Year Ended September 30,
2018	5.5
2019	4.1
2020	2.8
2021	1.5