Segment Information

9 Months Ended

Sep. 30, 2021

Segment Reporting [Abstract]

Segment Information

Segment Information

The following table presents a summary of the Company's reportable segment financial information from continuing operations:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Net sales:
Automotive	$	3,204,534	$	2,960,379	$	9,353,998	$	8,038,863
Industrial	1,614,315		1,409,707		4,713,303		4,246,976
Total net sales	$	4,818,849	$	4,370,086	$	14,067,301	$	12,285,839
Segment profit:
Automotive	$	281,150	$	266,124	$	807,586	$	627,608
Industrial	165,754		125,620		441,459		348,481
Total segment profit	446,904		391,744		1,249,045		976,089
Interest expense, net	(14,167)		(25,221)		(47,853)		(69,965)
Intangible asset amortization	(25,311)		(24,223)		(78,239)		(70,219)
Corporate expense	(47,389)		(33,379)		(130,029)		(117,053)
Other unallocated costs (1)	(61,063)		(11,256)		(138,484)		(565,030)
Income before income taxes from continuing operations	$	298,974	$	297,665	$	854,440	$	153,822

(1)The following table presents a summary of the other unallocated costs:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Other unallocated costs:
Loss on software disposal (2)	$	(61,063)	$	—	$	(61,063)	$	—
Product liability damages award (3)	—		—		(77,421)		—
Goodwill impairment charge (4)	—		—		—		(506,721)
Restructuring costs (5)	—		(10,968)		—		(39,009)
Realized currency loss (6)	—		—		—		(11,356)
Gain on insurance proceeds related to SPR Fire (7)	—		—		—		13,448
Transaction and other costs (8)	—		(288)		—		(21,392)
Total other unallocated costs	$	(61,063)	$	(11,256)	$	(138,484)	$	(565,030)

(2)Adjustment reflects a loss on an internally developed software project that was disposed of due to a change in management strategy related to advances in alternative technologies. Refer to the property, plant and equipment footnote to the condensed consolidated financial statements for more information.

(3)Adjustment reflects damages reinstated by the Washington Supreme Court order on July 8, 2021 in connection with a 2017 automotive product liability claim. Refer to the commitments and contingencies footnote to the condensed consolidated financial statements for more information.

(4)Adjustment reflects the 2020 goodwill impairment charge related to the Company's European reporting unit.

(5)Adjustment reflects restructuring costs related to the execution of certain restructuring actions across the Company's subsidiaries primarily targeted at simplifying the organizational structures and distribution networks implemented by the Company in October 2019 (the “2019 Cost Savings Plan”). The costs are

primarily associated with severance and other employee costs, including a voluntary retirement program, and facility and closure costs related to the consolidation of operations.

(6)Adjustment reflects realized currency losses related to divestitures.

(7)Adjustment reflects insurance recoveries in excess of losses incurred on inventory, property, plant and equipment and other fire-related costs related to the S.P. Richards Headquarters and Distribution Center.

(8)Adjustment reflects $8,490 of incremental costs associated with COVID-19 for the nine months ended September 30, 2020 and costs associated with certain divestitures. COVID-19 related costs include incremental costs incurred relating to fees to cancel marketing events and increased cleaning and sanitization materials, among other things.

Net sales are disaggregated by geographical region for each of the Company’s reportable segments, as the Company deems this presentation best depicts how the nature, amount, timing and uncertainty of net sales and cash flows are affected by economic factors. The following table presents disaggregated geographical net sales from contracts with customers by reportable segment:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
North America:
Automotive	$	2,100,250	$	1,934,503	$	6,039,617	$	5,381,566
Industrial	1,493,618		1,295,717		4,362,792		3,937,640
Total North America	$	3,593,868	$	3,230,220	$	10,402,409	$	9,319,206
Australasia:
Automotive	$	374,167	$	355,874	$	1,130,744	$	911,595
Industrial	120,697		113,990		350,511		309,336
Total Australasia	$	494,864	$	469,864	$	1,481,255	$	1,220,931
Europe – Automotive	$	730,117	$	670,002	$	2,183,637	$	1,745,702
Total net sales	$	4,818,849	$	4,370,086	$	14,067,301	$	12,285,839