Segment and Geographic Information

12 Months Ended

Mar. 31, 2016

Segment and Geographic Information [Abstract]

Segment and Geographic Information

Note 21: Segment and Geographic Information

The Company’s product lines consist of heat-transfer components and systems.  The Company serves the vehicular, industrial, and building heating, ventilating and air conditioning markets.  During fiscal 2016, the Company combined its North America and South America segments into the Americas segment to streamline operations, gain synergies and improve its cost structure.  As a result, the Company recast the prior-period segment financial information to conform to the current-period presentation.  There was no impact to the Company’s consolidated financial statements as a result.  Throughout fiscal 2016, the Company’s four operating segments were as follows:

Americas:

Comprised of vehicular and industrial original equipment products in North America and South America, as well as aftermarket products in South America.

Europe:

Comprised of vehicular and industrial original equipment products in Europe.

Asia:

Comprised of vehicular and industrial original equipment products in Asia.

Building HVAC:

Comprised of building heating, ventilating and air conditioning products throughout the world.

Each operating segment is managed by a vice president and has separate financial results reviewed by the Company’s chief operating decision maker.  These results are used by management in evaluating the performance of each segment and in making decisions on the allocation of resources among the Company’s various businesses.

The following is a summary of net sales, gross profit, and operating income by segment:

	Years ended March 31,
Net sales:	2016			2015			2014
Americas	$	585.5		$	666.9		$	688.3
Europe		524.1			578.2			584.4
Asia		79.0			81.2			71.5
Building HVAC		181.4			186.3			146.5
Segment total		1,370.0			1,512.6			1,490.7
Corporate and eliminations		(17.5	)		(16.2	)		(13.1	)
Net sales	$	1,352.5		$	1,496.4		$	1,477.6

	Years ended March 31,
	2016						2015					2014
Gross profit:	$'s			% of sales			$'s		% of sales			$'s		% of sales
Americas	$	100.1			17.1	%	$	109.1		16.3	%	$	114.3		16.6	%
Europe		68.1			13.0	%		68.7		11.9	%		70.8		12.1	%
Asia		12.2			15.5	%		11.5		14.2	%		8.9		12.5	%
Building HVAC		54.2			29.9	%		55.9		30.0	%		43.4		29.6	%
Segment total		234.6			17.1	%		245.2		16.2	%		237.4		15.9	%
Corporate and eliminations (a)		(11.1	)		-			1.3		-			0.8		-
Gross profit	$	223.5			16.5	%	$	246.5		16.5	%	$	238.2		16.1	%

	Years ended March 31,
Operating income:	2016			2015			2014
Americas	$	36.2		$	33.4		$	49.6
Europe		13.3			25.7			9.6
Asia		0.8			0.3			(3.3	)
Building HVAC		13.9			19.1			9.4
Segment total		64.2			78.5			65.3
Corporate and eliminations (a)		(71.7	)		(25.8	)		(28.1	)
Operating (loss) income	$	(7.5	)	$	52.7		$	37.2

(a) During fiscal 2016, the Company recorded pension settlement losses of $42.1 million at Corporate, within SG&A expenses ($33.3 million) and cost of sales ($8.8 million).  See Note 17 for additional information.

Inter-segment sales are accounted for based on an established markup over production costs.  Net sales for corporate and eliminations primarily represent the elimination of inter-segment sales.  The operating loss for corporate includes certain research and development costs, legal, finance and other general corporate and central services expenses, and other costs that are either not directly attributable to an operating segment or not considered when management evaluates segment performance.

The following is a summary of total assets by segment:

	March 31,
	2016		2015
Americas	$	267.2	$	277.7
Europe		301.9		282.7
Asia		104.0		92.2
Building HVAC (a)		99.0		131.3
Corporate and eliminations		148.8		147.0
Total assets	$	920.9	$	930.9

(a) As of March 31, 2015, total assets within the Building HVAC segment included $48.0 million of insurance-related assets for the rebuild of the facility damaged by the Airedale fire.  See Note 2 for additional information.

The following is a summary of capital expenditures and depreciation and amortization expense by segment:

	Years ended March 31,
Capital expenditures:	2016		2015		2014
Americas	$	26.7	$	30.2	$	24.6
Europe		24.8		21.5		22.9
Asia		6.2		3.8		4.6
Building HVAC		5.1		2.8		1.0
Total capital expenditures	$	62.8	$	58.3	$	53.1

	Years ended March 31,
Depreciation and amortization expense:	2016		2015		2014
Americas	$	22.1	$	21.3	$	22.6
Europe		18.0		19.8		26.6
Asia		6.5		7.2		6.7
Building HVAC		3.6		3.3		2.2
Total depreciation and amortization expense	$	50.2	$	51.6	$	58.1

The following is a summary of net sales by geographical area, based upon the location of the selling unit:

	Years ended March 31,
	2016		2015		2014
United States	$	627.6	$	669.3	$	645.7
Germany		155.3		193.8		229.5
Hungary		145.9		161.0		150.3
Austria		113.1		118.7		109.8
Other		310.6		353.6		342.3
Net sales	$	1,352.5	$	1,496.4	$	1,477.6

The following is a summary of property, plant and equipment by geographical area:

	March 31,
	2016		2015
United States	$	92.5	$	92.7
Austria		44.2		41.5
China		33.6		31.8
Germany		32.1		47.2
Hungary		31.4		28.9
Other		104.8		80.0
Total property, plant and equipment	$	338.6	$	322.1

The following is a summary of net sales by end market:

	Years ended March 31,
	2016		2015		2014
Commercial vehicle	$	459.8	$	512.5	$	477.0
Automotive		396.8		401.8		395.6
Off-highway		206.2		274.6		320.8
Building HVAC		181.4		186.3		146.5
Other		108.3		121.2		137.7
Net sales	$	1,352.5	$	1,496.4	$	1,477.6