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Business Acquisitions (Tables)
 9 Months Ended
Sep. 30, 2018
Business Combinations [Abstract]  
Summary of preliminary estimate of the assets acquired and liabilities assumed
The following is a preliminary estimate of the assets acquired and the liabilities assumed by the Company in the merger, reconciled to the estimated acquisition consideration (in millions):
Accounts receivable
$
119.6

Inventories
77.1

Other current assets
9.0

Property, plant and equipment
32.2

Intangible assets
444.0

Accounts payable
(51.8
)
Other accrued liabilities
(79.4
)
Deferred tax liabilities, net
(78.2
)
Other non-current liabilities
(38.8
)
Noncontrolling interest
(2.5
)
Goodwill
685.1

Total Estimate of Consideration Transferred, Net of Cash Acquired
$
1,116.3
Schedule of preliminary purchase price allocation to identified intangible assets acquired
The preliminary purchase price allocation to identifiable intangible assets acquired is as follows:
 
Estimated Fair Value
 
Weighted Average Estimated Useful Life
Patents, tradenames and trademarks
$
55.0

 
20.0
Customer relationships
204.0

 
17.0
Developed technology
185.0

 
13.0
Total
$
444.0

 
 
Pro-forma nonrecurring adjustments
The following unaudited supplemental pro-forma information presents consolidated results as if the acquisition had been completed on January 1, 2017. Following that approach, for the purpose of the pro-forma results presented in the tables below, certain costs incurred by the Company during the three and nine months ended September 30, 2018 and three months ended December 31, 2017 have been reclassified out of their respective periods and into the pro-forma periods ended September 30, 2017. Those reclassifications primarily include the following, which represent the amount of increase or (decrease) to reported results to arrive at the pro forma results. Per share amounts in 2018 reflect the reduction in the U.S. federal corporate income tax rate from 35% to 21%:
(pre-tax in millions, except per share amounts)
Three Months Ended September 30,

Per Diluted Share

2018

2017

2018

2017
Aclara transaction costs incurred in the third quarter of 2018(1)
$
1.5


$
(1.5
)

$
0.02


$
(0.02
)
Intangible amortization and inventory step up amortization(2)
(1.9
)

(10.0
)

(0.03
)

(0.11
)
Interest expense(3)
4.6


(8.0
)

0.06


(0.09
)

(pre-tax in millions, except per share amounts)
Nine Months Ended September 30,
 
Per Diluted Share
 
2018
 
2017
 
2018
 
2017
Aclara transaction costs incurred in the first nine months of 2018(1)
$
12.1

 
$
(12.1
)
 
$
0.18

 
$
(0.16
)
Aclara transaction costs incurred in the fourth quarter of 2017(1)
—

 
(7.1
)
 
—

 
(0.10
)
Intangible amortization and inventory step up(2)
(1.3
)
 
(36.8
)
 
(0.02
)
 
(0.41
)
Interest expense(3)
3.1

 
(22.3
)
 
0.04

 
(0.25
)

(1) Aclara transaction costs incurred in the three and nine months ended September 30, 2018 have been reclassified into the comparable pro-forma September 30, 2017 period. The pro-forma nine months ended September 30, 2017 period also includes transaction costs incurred by the Company during the fourth quarter of 2017.

(2) Aclara intangible amortization and inventory step up amortization incurred in three and nine months ended September 30, 2018 has been reclassified into the comparable pro-forma September 30, 2017 period and, in the nine month period, increased to reflect the assumption the transaction was completed on January 1, 2017. The pro-forma September 30, 2018 periods include the intangible amortization that would be incurred assuming the transaction had been completed on January 1, 2017.

(3) Interest expense incurred in the three and nine months ended September 30, 2018, reflecting amounts incurred from the date of the acquisition, has been reclassified into the pro-forma September 30, 2017 period and, in the nine month period, increased to reflect the assumption the transaction was completed on January 1, 2017. The pro-forma September 30, 2018 period includes the interest expense that would have been incurred assuming the transaction had been completed on January 1, 2017.
Summary of pro forma information
The pro-forma results were calculated by combining the results of the Company with the stand-alone results of Aclara for the pre-acquisition periods, as described above:

Three Months Ended September 30,
 
Nine Months Ended September 30,

2018

2017
 
2018
 
2017
Net sales
$
1,180.4


$
1,112.7

 
$
3,385.8

 
$
3,150.2

Net income attributable to Hubbell
$
117.3


$
77.4

 
$
284.5

 
$
193.7

Earnings Per Share:





 
 
 
 
   Basic
$
2.14


$
1.41

 
$
5.18

 
$
3.52

   Diluted
$
2.13


$
1.40

 
$
5.16

 
$
3.50