XML 36 R25.htm IDEA: XBRL DOCUMENT v3.24.3
Segment Disclosures
 9 Months Ended
Sep. 29, 2024
Segment Reporting [Abstract]  
Segment Disclosures
16. Segment Disclosures
The Company’s operating segments, which also represent its reporting segments, are based on the organizational structure for which financial results are regularly evaluated by the Company’s chief operating decision-maker ("CODM", the Company’s CEO) to determine resource allocation and assess performance. The Company’s four reportable segments in 2024, (1) Professional & Industrial, (2) Science, Engineering & Technology, (3) Education, and (4) Outsourcing & Consulting, reflect the specialty services the Company provides to customers and represent how the business is organized internally. Prior to 2024, the Company also had an International operating segment. Beginning in the first quarter of 2024, the Company's organizational structure no longer includes the International segment following the sale of the EMEA staffing operations in January 2024. Our Mexico operations, which were previously in our International segment, are now included in the Professional & Industrial segment. Professional & Industrial segment information for the prior year has been recast to conform to the new structure. Intersegment revenue represents revenue earned between the reportable segments and is eliminated from total segment revenue from services.
In addition to the change in our segment structure in the first quarter of 2024, we reassessed the allocation of corporate expenses to the operating segments and allocated additional costs which are attributable to the business from corporate.
In the first quarter of 2024, the Company changed the primary segment profitability measure from earnings from operations to a business unit profit measure that excludes depreciation and amortization. This change provides management greater visibility into the financial performance of the segments and how they contribute to the Company's overall performance.
Prior periods have been recast to reflect the current period allocation method and new segment profitability measurement. The update had no impact on the consolidated financial information.
The following tables present information about the reported revenue from services and gross profit of the Company by reportable segment, along with a reconciliation to earnings before taxes, for the third quarter and September year-to-date 2024 and 2023. Asset information by reportable segment is not presented, since the Company does not produce such information internally nor does it use such information to manage its business.
 Third QuarterSeptember Year to Date
 2024202320242023
 (In millions of dollars)
Revenue from Services:  
Professional & Industrial$370.4 $378.0 $1,086.5 $1,171.4 
Science, Engineering & Technology405.2 295.7 1,026.7 903.5 
Education142.1 128.1 683.1 583.9 
Outsourcing & Consulting121.0 114.1 346.0 342.4 
International— 203.0 — 604.7 
Less: Intersegment revenue(0.6)(0.9)(1.6)(2.4)
Consolidated Total$1,038.1 $1,118.0 $3,140.7 $3,603.5 
 Third QuarterSeptember Year to Date
 2024202320242023
 (In millions of dollars)
Business Unit Profit (Loss):  
Professional & Industrial gross profit$66.5 $69.1 $192.7 $209.8 
Professional & Industrial SG&A expenses excluding depreciation and amortization(56.3)(63.4)(169.7)(201.8)
Professional & Industrial asset impairment charge— — — (0.3)
Professional & Industrial Profit (Loss)10.2 5.7 23.0 7.7 
Science, Engineering & Technology gross profit99.1 68.0 240.8 207.4 
Science, Engineering & Technology SG&A expenses excluding depreciation and amortization(74.1)(47.3)(173.1)(150.2)
Science, Engineering & Technology asset impairment charge— — — (0.1)
Science, Engineering & Technology Profit (Loss)25.0 20.7 67.7 57.1 
Education gross profit19.7 19.8 98.7 91.6 
Education SG&A expenses excluding depreciation and amortization(23.0)(22.3)(71.2)(69.4)
Education Profit (Loss)(3.3)(2.5)27.5 22.2 
Outsourcing & Consulting gross profit36.4 41.5 108.9 124.4 
Outsourcing & Consulting SG&A expenses excluding depreciation and amortization(34.1)(40.0)(105.4)(120.8)
Outsourcing & Consulting asset impairment charge— — — (2.0)
Outsourcing & Consulting Profit (Loss)2.3 1.5 3.5 1.6 
International gross profit— 30.1 — 90.0 
International SG&A expenses excluding depreciation and amortization— (28.7)— (89.3)
International Profit (Loss)— 1.4 — 0.7 
Corporate(17.0)(16.7)(44.4)(42.6)
Asset impairment charge— — (5.5)— 
Gain on sale of EMEA staffing operations— — 1.6 — 
(Loss) gain on sale of assets(0.1)— 5.4 — 
Depreciation and amortization(14.5)(10.0)(37.2)(29.7)
Consolidated earnings from operations2.6 0.1 41.6 17.0 
Gain on forward contract— — 1.2 — 
Other income (expense), net(4.4)1.6 (9.1)3.0 
Earnings before taxes$(1.8)$1.7 $33.7 $20.0 
Depreciation and amortization expense is included in SG&A expenses in our consolidated statements of earnings. Depreciation and amortization expense amounts below include amortization of implementation costs for hosted software, which are excluded in the presentation of depreciation and amortization in our consolidated statements of cash flows. The depreciation and amortization amounts by segment are as follows:

Third QuarterSeptember Year to Date
2024202320242023
(In millions of dollars)
Depreciation and amortization:
Professional & Industrial$2.5 $2.0 $7.6 $5.9 
Science, Engineering & Technology8.1 4.0 18.0 11.9 
Education2.1 2.0 6.2 5.8 
Outsourcing & Consulting1.8 1.4 5.4 4.3 
International— 0.6 — 1.8