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Segment Information
 6 Months Ended
Jun. 30, 2021
Segment Reporting [Abstract]  
Segment Information Segment Information
In January 2021, the company changed its organizational structure to more effectively address evolving client needs. With these changes, the company changed its reportable segments, but this did not impact the consolidated financial statements as of December 31, 2020. In addition, during the second quarter of 2021, the company renamed its ClearPath Forward® segment as Enterprise Computing Solutions to better represent the nature of the segment’s operations. There was no change to the composition of the segment or its historical results.
The company’s reportable segments are as follows:
•Digital Workplace Solutions (DWS), which provides services and IP-led solutions that support clients’ employees’ productivity, satisfaction and ability to securely work anywhere, any time;
•Cloud & Infrastructure Solutions (C&I), which provides hybrid and multi-cloud solutions in select markets to accelerate innovation and increase efficiency of our clients’ businesses; and
•Enterprise Computing Solutions (ECS), which provides server systems and operating system software and services that are secure, innovative, and reliable for mission-critical processing.
The accounting policies of each segment are the same as those followed by the company as a whole. Intersegment sales and transfers are priced as if the sales or transfers were to third parties. Accordingly, the ECS segment records intersegment revenue and manufacturing profit on hardware and software shipments to customers under contracts of other segments. These segments, in turn, record customer revenue and marketing profits on such shipments of company hardware and software to customers. In the company’s consolidated statements of income, the manufacturing costs of products sourced from the ECS segment and sold to other segments’ customers are reported in cost of revenue for these other segments. Also included in the ECS segment’s sales and gross profit are sales of hardware and software sold to other segments for internal use in their engagements. The amount of such profit included in gross profit of the ECS segment for the three months ended June 30, 2021 and 2020 was $0.4 million and zero, respectively. The amount for the six months ended June 30, 2021 and 2020 was $1.1 million and zero, respectively. The sales and profit on these transactions are eliminated in Corporate.
The company evaluates segment performance based on gross profit exclusive of the service cost component of postretirement income or expense, restructuring charges, amortization of purchased intangibles and unusual and nonrecurring items, which are included in Corporate. During the first quarter of 2021, the company also changed its internal measurement of segment profitability. Prior period amounts have therefore been reclassified to be comparable to the current period’s presentation.
A summary of the company’s operations by segment is presented below:
Total SegmentsDWSC&IECS
Three Months Ended June 30, 2021   
Customer revenue$440.4 $146.5 $124.4 $169.5 
Intersegment0.5 — — 0.5 
Total revenue$440.9 $146.5 $124.4 $170.0 
Gross profit$142.1 $22.3 $15.6 $104.2 
Three Months Ended June 30, 2020   
Customer revenue$367.6 $133.5 $113.2 $120.9 
Intersegment— — — — 
Total revenue$367.6 $133.5 $113.2 $120.9 
Gross profit$71.8 $9.1 $5.9 $56.8 
Total SegmentsDWSC&IECS
Six Months Ended June 30, 2021   
Customer revenue$872.4 $287.6 $247.7 $337.1 
Intersegment1.4 — — 1.4 
Total revenue$873.8 $287.6 $247.7 $338.5 
Gross profit$275.8 $40.9 $27.6 $207.3 
Six Months Ended June 30, 2020   
Customer revenue$803.5 $293.7 $217.2 $292.6 
Intersegment0.1 — — 0.1 
Total revenue$803.6 $293.7 $217.2 $292.7 
Gross profit$176.3 $16.3 $3.1 $156.9 
Presented below is a reconciliation of total segment revenue to total consolidated revenue:
 Three Months Ended
June 30,		Six Months Ended
June 30,
 2021202020212020
Total segment revenue$440.9 $367.6 $873.8 $803.6 
Other revenue76.9 71.2 154.7 150.7 
Elimination of intercompany revenue(0.5)— (1.4)(0.1)
Total consolidated revenue$517.3 $438.8 $1,027.1 $954.2 
Other revenue and, in the table below, other gross profit, is comprised of an aggregation of a number of immaterial business activities that principally provide for the management of critical processes and functions for clients in select industries, helping them improve performance and reduce costs.
Presented below is a reconciliation of total segment gross profit to consolidated loss from continuing operations before income taxes:
 Three Months Ended
June 30,		Six Months Ended
June 30,
 2021202020212020
Total segment gross profit$142.1 $71.8 $275.8 $176.3 
Other gross profit0.1 3.1 5.6 11.7 
Total gross profit142.2 74.9 281.4 188.0 
Selling, general and administrative expense(94.6)(80.2)(184.6)(167.0)
Research and development expense(6.8)(3.2)(12.4)(9.4)
Interest expense(8.4)(4.6)(18.5)(18.5)
Other (expense), net(227.8)(53.7)(410.4)(101.8)
Total loss from continuing operations before income taxes$(195.4)$(66.8)$(344.5)$(108.7)
Geographic information about the company’s revenue, which is principally based on location of the selling organization, is presented below:
 Three Months Ended
June 30,		Six Months Ended
June 30,
 2021202020212020
United States$201.6 $174.8 $436.1 $390.4 
United Kingdom104.1 53.8 172.1 118.3 
Other foreign211.6 210.2 418.9 445.5 
Total$517.3 $438.8 $1,027.1 $954.2