We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Parker Hannifin Corp | NYSE:PH | NYSE | Common Stock |
Price Change | % Change | Share Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|
5.50 | 1.04% | 536.18 | 547.345 | 532.54 | 536.49 | 970,081 | 01:00:00 |
☒
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
☐
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
Ohio
|
34-0451060
|
||
(State or other jurisdiction of
Incorporation or Organization)
|
(I.R.S. Employer
Identification No.)
|
||
|
|
|
|
6035 Parkland Boulevard,
|
Cleveland,
|
Ohio
|
44124-4141
|
(Address of Principal Executive Offices)
|
(Zip Code)
|
Title of Each Class
|
|
Trading Symbol
|
|
Name of Each Exchange on which Registered
|
Common Shares, $.50 par value
|
|
PH
|
|
New York Stock Exchange
|
Large accelerated filer
|
|
☒
|
|
Accelerated filer
|
|
☐
|
|
|
|
|
|||
Non-accelerated filer
|
|
☐
|
|
Smaller reporting company
|
|
☐
|
|
|
|
|
|
|
|
|
|
|
|
Emerging growth company
|
|
☐
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
March 31,
|
|
March 31,
|
||||||||||||
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Net sales
|
$
|
3,702,432
|
|
|
$
|
3,687,518
|
|
|
$
|
10,534,917
|
|
|
$
|
10,638,857
|
|
Cost of sales
|
2,766,693
|
|
|
2,766,744
|
|
|
7,929,199
|
|
|
7,963,906
|
|
||||
Selling, general and administrative expenses
|
413,460
|
|
|
360,865
|
|
|
1,303,760
|
|
|
1,152,446
|
|
||||
Interest expense
|
80,765
|
|
|
48,209
|
|
|
233,612
|
|
|
140,066
|
|
||||
Other (income), net
|
(12,643
|
)
|
|
(17,500
|
)
|
|
(73,713
|
)
|
|
(37,638
|
)
|
||||
Income before income taxes
|
454,157
|
|
|
529,200
|
|
|
1,142,059
|
|
|
1,420,077
|
|
||||
Income taxes
|
86,788
|
|
|
117,819
|
|
|
231,051
|
|
|
320,884
|
|
||||
Net income
|
367,369
|
|
|
411,381
|
|
|
911,008
|
|
|
1,099,193
|
|
||||
Less: Noncontrolling interest in subsidiaries' earnings
|
116
|
|
|
133
|
|
|
383
|
|
|
497
|
|
||||
Net income attributable to common shareholders
|
$
|
367,253
|
|
|
$
|
411,248
|
|
|
$
|
910,625
|
|
|
$
|
1,098,696
|
|
|
|
|
|
|
|
|
|
||||||||
Earnings per share attributable to common shareholders:
|
|
|
|
|
|
|
|
||||||||
Basic
|
$
|
2.86
|
|
|
$
|
3.20
|
|
|
$
|
7.09
|
|
|
$
|
8.42
|
|
Diluted
|
$
|
2.83
|
|
|
$
|
3.14
|
|
|
$
|
7.01
|
|
|
$
|
8.29
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
March 31,
|
|
March 31,
|
||||||||||||
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Net income
|
$
|
367,369
|
|
|
$
|
411,381
|
|
|
$
|
911,008
|
|
|
$
|
1,099,193
|
|
Less: Noncontrolling interests in subsidiaries' earnings
|
116
|
|
|
133
|
|
|
383
|
|
|
497
|
|
||||
Net income attributable to common shareholders
|
367,253
|
|
|
411,248
|
|
|
910,625
|
|
|
1,098,696
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Other comprehensive income (loss), net of tax
|
|
|
|
|
|
|
|
||||||||
Foreign currency translation adjustment and other
|
(282,815
|
)
|
|
42,812
|
|
|
(233,953
|
)
|
|
(36,299
|
)
|
||||
Retirement benefits plan activity
|
32,125
|
|
|
23,814
|
|
|
96,567
|
|
|
72,214
|
|
||||
Other comprehensive income (loss)
|
(250,690
|
)
|
|
66,626
|
|
|
(137,386
|
)
|
|
35,915
|
|
||||
Less: Other comprehensive income (loss) for noncontrolling interests
|
(960
|
)
|
|
44
|
|
|
(972
|
)
|
|
10
|
|
||||
Other comprehensive income (loss) attributable to common shareholders
|
(249,730
|
)
|
|
66,582
|
|
|
(136,414
|
)
|
|
35,905
|
|
||||
Total comprehensive income attributable to common shareholders
|
$
|
117,523
|
|
|
$
|
477,830
|
|
|
$
|
774,211
|
|
|
$
|
1,134,601
|
|
|
|
|
|
||||
|
March 31,
2020 |
|
June 30,
2019 |
||||
ASSETS
|
|
|
|
||||
Current assets:
|
|
|
|
||||
Cash and cash equivalents
|
$
|
697,617
|
|
|
$
|
3,219,767
|
|
Marketable securities and other investments
|
92,536
|
|
|
150,931
|
|
||
Trade accounts receivable, net
|
2,174,425
|
|
|
2,131,054
|
|
||
Non-trade and notes receivable
|
322,187
|
|
|
310,708
|
|
||
Inventories
|
2,011,367
|
|
|
1,678,132
|
|
||
Prepaid expenses and other
|
183,294
|
|
|
182,494
|
|
||
Total current assets
|
5,481,426
|
|
|
7,673,086
|
|
||
Plant and equipment
|
5,749,736
|
|
|
5,186,730
|
|
||
Less: Accumulated depreciation
|
3,452,746
|
|
|
3,418,443
|
|
||
Plant and equipment, net
|
2,296,990
|
|
|
1,768,287
|
|
||
Deferred income taxes
|
124,515
|
|
|
150,462
|
|
||
Investments and other assets
|
750,743
|
|
|
747,773
|
|
||
Intangible assets, net
|
3,881,827
|
|
|
1,783,277
|
|
||
Goodwill
|
7,829,779
|
|
|
5,453,805
|
|
||
Total assets
|
$
|
20,365,280
|
|
|
$
|
17,576,690
|
|
LIABILITIES
|
|
|
|
||||
Current liabilities:
|
|
|
|
||||
Notes payable and long-term debt payable within one year
|
$
|
1,035,191
|
|
|
$
|
587,014
|
|
Accounts payable, trade
|
1,422,011
|
|
|
1,413,155
|
|
||
Accrued payrolls and other compensation
|
415,213
|
|
|
426,285
|
|
||
Accrued domestic and foreign taxes
|
151,029
|
|
|
167,312
|
|
||
Other accrued liabilities
|
650,165
|
|
|
558,007
|
|
||
Total current liabilities
|
3,673,609
|
|
|
3,151,773
|
|
||
Long-term debt
|
8,097,922
|
|
|
6,520,831
|
|
||
Pensions and other postretirement benefits
|
1,320,167
|
|
|
1,304,379
|
|
||
Deferred income taxes
|
497,920
|
|
|
193,066
|
|
||
Other liabilities
|
468,235
|
|
|
438,489
|
|
||
Total liabilities
|
14,057,853
|
|
|
11,608,538
|
|
||
EQUITY
|
|
|
|
||||
Shareholders’ equity:
|
|
|
|
||||
Serial preferred stock, $.50 par value; authorized 3,000,000 shares; none issued
|
—
|
|
|
—
|
|
||
Common stock, $.50 par value; authorized 600,000,000 shares; issued 181,046,128 shares at March 31 and June 30
|
90,523
|
|
|
90,523
|
|
||
Additional capital
|
452,157
|
|
|
462,086
|
|
||
Retained earnings
|
13,348,291
|
|
|
12,777,538
|
|
||
Accumulated other comprehensive (loss)
|
(2,195,462
|
)
|
|
(2,059,048
|
)
|
||
Treasury shares, at cost; 52,828,714 shares at March 31 and 52,566,086 shares at June 30
|
(5,399,519
|
)
|
|
(5,309,130
|
)
|
||
Total shareholders’ equity
|
6,295,990
|
|
|
5,961,969
|
|
||
Noncontrolling interests
|
11,437
|
|
|
6,183
|
|
||
Total equity
|
6,307,427
|
|
|
5,968,152
|
|
||
Total liabilities and equity
|
$
|
20,365,280
|
|
|
$
|
17,576,690
|
|
|
Nine Months Ended
|
||||||
|
March 31,
|
||||||
|
2020
|
|
2019
|
||||
CASH FLOWS FROM OPERATING ACTIVITIES
|
|
|
|
||||
Net income
|
$
|
911,008
|
|
|
$
|
1,099,193
|
|
Adjustments to reconcile net income to net cash provided by operations:
|
|
|
|
||||
Depreciation
|
187,054
|
|
|
170,631
|
|
||
Amortization
|
203,895
|
|
|
160,170
|
|
||
Share incentive plan compensation
|
91,857
|
|
|
84,525
|
|
||
Deferred income taxes
|
9,954
|
|
|
33,279
|
|
||
Foreign currency transaction (gain) loss
|
(13,040
|
)
|
|
5,054
|
|
||
(Gain) loss on plant and equipment and intangible assets
|
(5,194
|
)
|
|
3,993
|
|
||
Loss on sale of businesses
|
—
|
|
|
623
|
|
||
Loss on marketable securities
|
434
|
|
|
4,487
|
|
||
Gain on investments
|
(1,849
|
)
|
|
(4,175
|
)
|
||
Other
|
14,303
|
|
|
—
|
|
||
Changes in assets and liabilities, net of effect of acquisitions:
|
|
|
|
||||
Accounts receivable, net
|
173,310
|
|
|
8,144
|
|
||
Inventories
|
(8,019
|
)
|
|
(132,137
|
)
|
||
Prepaid expenses and other
|
21,783
|
|
|
(29,990
|
)
|
||
Other assets
|
(13,268
|
)
|
|
(12,579
|
)
|
||
Accounts payable, trade
|
(53,875
|
)
|
|
(949
|
)
|
||
Accrued payrolls and other compensation
|
(68,091
|
)
|
|
(41,163
|
)
|
||
Accrued domestic and foreign taxes
|
(19,985
|
)
|
|
(10,911
|
)
|
||
Other accrued liabilities
|
(82,896
|
)
|
|
7,235
|
|
||
Pensions and other postretirement benefits
|
36,229
|
|
|
(180,893
|
)
|
||
Other liabilities
|
(92,751
|
)
|
|
(71,940
|
)
|
||
Net cash provided by operating activities
|
1,290,859
|
|
|
1,092,597
|
|
||
CASH FLOWS FROM INVESTING ACTIVITIES
|
|
|
|
||||
Acquisitions (net of cash of $82,192 in 2020 and $690 in 2019)
|
(5,076,064
|
)
|
|
(2,042
|
)
|
||
Capital expenditures
|
(182,502
|
)
|
|
(145,071
|
)
|
||
Proceeds from sale of plant and equipment
|
25,398
|
|
|
37,158
|
|
||
Proceeds from sale of businesses
|
—
|
|
|
19,540
|
|
||
Purchases of marketable securities and other investments
|
(191,277
|
)
|
|
(51,736
|
)
|
||
Maturities and sales of marketable securities and other investments
|
249,306
|
|
|
25,103
|
|
||
Other
|
129,938
|
|
|
953
|
|
||
Net cash used in investing activities
|
(5,045,201
|
)
|
|
(116,095
|
)
|
||
CASH FLOWS FROM FINANCING ACTIVITIES
|
|
|
|
||||
Proceeds from exercise of stock options
|
2,459
|
|
|
1,089
|
|
||
Payments for common shares
|
(194,633
|
)
|
|
(770,909
|
)
|
||
Proceeds from notes payable, net
|
362,346
|
|
|
478,952
|
|
||
Proceeds from long-term borrowings
|
1,721,211
|
|
|
1
|
|
||
Payments for long-term borrowings
|
(278,347
|
)
|
|
(100,311
|
)
|
||
Dividends paid
|
(340,291
|
)
|
|
(299,006
|
)
|
||
Net cash provided by (used in) financing activities
|
1,272,745
|
|
|
(690,184
|
)
|
||
Effect of exchange rate changes on cash
|
(40,553
|
)
|
|
(9,726
|
)
|
||
Net (decrease) increase in cash and cash equivalents
|
(2,522,150
|
)
|
|
276,592
|
|
||
Cash and cash equivalents at beginning of year
|
3,219,767
|
|
|
822,137
|
|
||
Cash and cash equivalents at end of period
|
$
|
697,617
|
|
|
$
|
1,098,729
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
|
March 31,
|
|
March 31,
|
||||||||||||
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Net sales
|
|
|
|
|
|
|
|
|
||||||||
Diversified Industrial:
|
|
|
|
|
|
|
|
|
||||||||
North America
|
|
$
|
1,775,578
|
|
|
$
|
1,750,554
|
|
|
$
|
5,016,035
|
|
|
$
|
5,063,657
|
|
International
|
|
1,182,273
|
|
|
1,284,866
|
|
|
3,408,207
|
|
|
3,742,311
|
|
||||
Aerospace Systems
|
|
744,581
|
|
|
652,098
|
|
|
2,110,675
|
|
|
1,832,889
|
|
||||
Total net sales
|
|
$
|
3,702,432
|
|
|
$
|
3,687,518
|
|
|
$
|
10,534,917
|
|
|
$
|
10,638,857
|
|
Segment operating income
|
|
|
|
|
|
|
|
|
||||||||
Diversified Industrial:
|
|
|
|
|
|
|
|
|
||||||||
North America
|
|
$
|
279,628
|
|
|
$
|
287,526
|
|
|
$
|
766,159
|
|
|
$
|
820,411
|
|
International
|
|
176,954
|
|
|
208,707
|
|
|
499,343
|
|
|
603,886
|
|
||||
Aerospace Systems
|
|
127,440
|
|
|
134,789
|
|
|
371,459
|
|
|
366,107
|
|
||||
Total segment operating income
|
|
584,022
|
|
|
631,022
|
|
|
1,636,961
|
|
|
1,790,404
|
|
||||
Corporate general and administrative expenses
|
|
48,342
|
|
|
32,802
|
|
|
132,904
|
|
|
147,017
|
|
||||
Income before interest expense and other expense
|
|
535,680
|
|
|
598,220
|
|
|
1,504,057
|
|
|
1,643,387
|
|
||||
Interest expense
|
|
80,765
|
|
|
48,209
|
|
|
233,612
|
|
|
140,066
|
|
||||
Other expense
|
|
758
|
|
|
20,811
|
|
|
128,386
|
|
|
83,244
|
|
||||
Income before income taxes
|
|
$
|
454,157
|
|
|
$
|
529,200
|
|
|
$
|
1,142,059
|
|
|
$
|
1,420,077
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
|
March 31,
|
|
March 31,
|
||||||||||||
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Motion Systems
|
|
$
|
778,840
|
|
|
$
|
899,948
|
|
|
$
|
2,297,961
|
|
|
$
|
2,615,878
|
|
Flow and Process Control
|
|
1,015,430
|
|
|
1,105,176
|
|
|
2,969,033
|
|
|
3,181,440
|
|
||||
Filtration and Engineered Materials
|
|
1,163,581
|
|
|
1,030,296
|
|
|
3,157,248
|
|
|
3,008,650
|
|
||||
Total
|
|
$
|
2,957,851
|
|
|
$
|
3,035,420
|
|
|
$
|
8,424,242
|
|
|
$
|
8,805,968
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
|
March 31,
|
|
March 31,
|
||||||||||||
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Flight Control Actuation
|
|
$
|
175,871
|
|
|
$
|
191,664
|
|
|
$
|
529,553
|
|
|
$
|
544,270
|
|
Fuel, Inerting and Engine Motion Control
|
|
159,837
|
|
|
165,642
|
|
|
471,525
|
|
|
466,950
|
|
||||
Hydraulics
|
|
114,763
|
|
|
123,416
|
|
|
333,523
|
|
|
334,806
|
|
||||
Engine Components
|
|
181,173
|
|
|
71,779
|
|
|
454,572
|
|
|
207,812
|
|
||||
Airframe and Engine Fluid Conveyance
|
|
83,555
|
|
|
79,299
|
|
|
247,356
|
|
|
218,371
|
|
||||
Other
|
|
29,382
|
|
|
20,298
|
|
|
74,146
|
|
|
60,680
|
|
||||
Total
|
|
$
|
744,581
|
|
|
$
|
652,098
|
|
|
$
|
2,110,675
|
|
|
$
|
1,832,889
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
|
March 31,
|
|
March 31,
|
||||||||||||
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
North America
|
|
$
|
2,507,566
|
|
|
$
|
2,398,975
|
|
|
$
|
7,107,655
|
|
|
$
|
6,893,872
|
|
Europe
|
|
726,577
|
|
|
786,123
|
|
|
2,018,301
|
|
|
2,226,983
|
|
||||
Asia Pacific
|
|
430,500
|
|
|
458,122
|
|
|
1,292,054
|
|
|
1,385,736
|
|
||||
Latin America
|
|
37,789
|
|
|
44,298
|
|
|
116,907
|
|
|
132,266
|
|
||||
Total
|
|
$
|
3,702,432
|
|
|
$
|
3,687,518
|
|
|
$
|
10,534,917
|
|
|
$
|
10,638,857
|
|
|
|
March 31, 2020
|
|
June 30, 2019
|
||||
Contract assets, current (included within Prepaid expenses and other)
|
|
$
|
27,793
|
|
|
$
|
22,726
|
|
Contract assets, noncurrent (included within Investments and other assets)
|
|
1,476
|
|
|
1,301
|
|
||
Total contract assets
|
|
29,269
|
|
|
24,027
|
|
||
Contract liabilities, current (included within Other accrued liabilities)
|
|
(66,374
|
)
|
|
(64,668
|
)
|
||
Contract liabilities, noncurrent (included within Other liabilities)
|
|
(3,438
|
)
|
|
(421
|
)
|
||
Total contract liabilities
|
|
(69,812
|
)
|
|
(65,089
|
)
|
||
Net contract liabilities
|
|
$
|
(40,543
|
)
|
|
$
|
(41,062
|
)
|
|
Lord
|
|
Exotic
|
||||
|
October 29, 2019
|
|
September 16, 2019
|
||||
Assets:
|
|
|
|
||||
Cash and cash equivalents
|
$
|
74,013
|
|
|
$
|
8,179
|
|
Accounts receivable
|
156,541
|
|
|
81,336
|
|
||
Inventories
|
248,600
|
|
|
114,661
|
|
||
Prepaid expenses and other
|
24,160
|
|
|
1,343
|
|
||
Plant and equipment
|
406,553
|
|
|
178,393
|
|
||
Deferred income taxes
|
—
|
|
|
2,057
|
|
||
Other assets
|
42,220
|
|
|
1,226
|
|
||
Intangible assets
|
1,449,860
|
|
|
874,470
|
|
||
Goodwill
|
1,955,618
|
|
|
503,725
|
|
||
Total assets acquired
|
4,357,565
|
|
|
1,765,390
|
|
||
Liabilities:
|
|
|
|
||||
Notes payable and long-term debt payable within one year
|
403
|
|
|
—
|
|
||
Accounts payable, trade
|
56,186
|
|
|
23,176
|
|
||
Accrued payrolls and other compensation
|
57,433
|
|
|
8,863
|
|
||
Accrued domestic and foreign taxes
|
4,498
|
|
|
2,123
|
|
||
Other accrued liabilities
|
87,810
|
|
|
25,662
|
|
||
Long-term debt
|
221,161
|
|
|
—
|
|
||
Pensions and other postretirement benefits
|
115,265
|
|
|
—
|
|
||
Deferred income taxes
|
299,634
|
|
|
—
|
|
||
Other liabilities
|
53,470
|
|
|
—
|
|
||
Noncontrolling interests
|
6,262
|
|
|
—
|
|
||
Total liabilities and noncontrolling interests assumed
|
902,122
|
|
|
59,824
|
|
||
Net assets acquired
|
$
|
3,455,443
|
|
|
$
|
1,705,566
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
March 31,
|
|
March 31,
|
||||||||||||
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Numerator:
|
|
|
|
|
|
|
|
||||||||
Net income attributable to common shareholders
|
$
|
367,253
|
|
|
$
|
411,248
|
|
|
$
|
910,625
|
|
|
$
|
1,098,696
|
|
Denominator:
|
|
|
|
|
|
|
|
||||||||
Basic - weighted average common shares
|
128,289,720
|
|
|
128,706,137
|
|
|
128,383,549
|
|
|
130,476,355
|
|
||||
Increase in weighted average common shares from dilutive effect of equity-based awards
|
1,456,827
|
|
|
2,178,831
|
|
|
1,479,266
|
|
|
2,022,021
|
|
||||
Diluted - weighted average common shares, assuming exercise of equity-based awards
|
129,746,547
|
|
|
130,884,968
|
|
|
129,862,815
|
|
|
132,498,376
|
|
||||
Basic earnings per share
|
$
|
2.86
|
|
|
$
|
3.20
|
|
|
$
|
7.09
|
|
|
$
|
8.42
|
|
Diluted earnings per share
|
$
|
2.83
|
|
|
$
|
3.14
|
|
|
$
|
7.01
|
|
|
$
|
8.29
|
|
|
|
March 31,
2020 |
|
June 30,
2019 |
||||
Notes receivable
|
|
$
|
116,722
|
|
|
$
|
147,719
|
|
Accounts receivable, other
|
|
205,465
|
|
|
162,989
|
|
||
Total
|
|
$
|
322,187
|
|
|
$
|
310,708
|
|
|
|
March 31,
2020 |
|
June 30,
2019 |
||||
Finished products
|
|
$
|
761,834
|
|
|
$
|
663,068
|
|
Work in process
|
|
968,206
|
|
|
850,778
|
|
||
Raw materials
|
|
281,327
|
|
|
164,286
|
|
||
Total
|
|
$
|
2,011,367
|
|
|
$
|
1,678,132
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||
|
March 31, 2020
|
|
March 31, 2020
|
||||
Operating lease expense
|
$
|
13,218
|
|
|
$
|
38,048
|
|
Short-term lease cost
|
1,814
|
|
|
6,248
|
|
||
Variable lease cost
|
999
|
|
|
3,958
|
|
||
Total lease cost
|
$
|
16,031
|
|
|
$
|
48,254
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||
|
March 31, 2020
|
|
March 31, 2020
|
||||
Cash paid for amounts included in the measurement of operating lease liabilities
|
$
|
12,522
|
|
|
$
|
37,104
|
|
Right-of-use assets obtained in exchange for operating lease obligations
|
3,262
|
|
|
29,209
|
|
|
Operating Leases
|
||
2020
|
$
|
11,818
|
|
2021
|
40,886
|
|
|
2022
|
29,494
|
|
|
2023
|
19,666
|
|
|
2024
|
12,377
|
|
|
Thereafter
|
32,548
|
|
|
Total operating lease payments
|
$
|
146,789
|
|
Less imputed interest
|
8,606
|
|
|
Total operating lease liabilities
|
$
|
138,183
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
March 31,
|
|
March 31,
|
||||||||||||
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Diversified Industrial
|
$
|
12,720
|
|
|
$
|
4,599
|
|
|
$
|
27,112
|
|
|
$
|
20,539
|
|
Aerospace Systems
|
613
|
|
|
—
|
|
|
658
|
|
|
—
|
|
||||
Corporate general and administrative expenses
|
71
|
|
|
—
|
|
|
193
|
|
|
—
|
|
||||
Other expense
|
50
|
|
|
—
|
|
|
50
|
|
|
275
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||
|
March 31,
|
|
March 31,
|
||||||||
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||
Diversified Industrial
|
336
|
|
|
144
|
|
|
1,154
|
|
|
509
|
|
Aerospace Systems
|
34
|
|
|
—
|
|
|
50
|
|
|
—
|
|
Corporate general and administrative expenses
|
3
|
|
|
—
|
|
|
8
|
|
|
—
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
March 31,
|
|
March 31,
|
||||||||||||
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Cost of sales
|
$
|
10,201
|
|
|
$
|
2,804
|
|
|
$
|
21,225
|
|
|
$
|
10,872
|
|
Selling, general and administrative expenses
|
3,203
|
|
|
1,795
|
|
|
6,738
|
|
|
9,667
|
|
||||
Other (income), net
|
50
|
|
|
—
|
|
|
50
|
|
|
275
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||
|
March 31,
|
|
March 31,
|
||||
|
2020
|
|
2020
|
||||
Diversified Industrial
|
$
|
8,364
|
|
|
$
|
18,503
|
|
Aerospace Systems
|
486
|
|
|
1,570
|
|
|
Common Stock
|
|
Additional Capital
|
|
Retained Earnings
|
|
Accumulated Other Comprehensive (Loss)
|
|
Treasury Shares
|
|
Noncontrolling
Interests
|
|
Total Equity
|
||||||||||||||
Balance at December 31, 2019
|
$
|
90,523
|
|
|
$
|
455,862
|
|
|
$
|
13,094,252
|
|
|
$
|
(1,945,732
|
)
|
|
$
|
(5,364,730
|
)
|
|
$
|
12,326
|
|
|
$
|
6,342,501
|
|
Net income
|
|
|
|
|
|
|
367,253
|
|
|
|
|
|
|
|
|
116
|
|
|
367,369
|
|
|||||||
Other comprehensive income (loss)
|
|
|
|
|
|
|
|
|
|
(249,730
|
)
|
|
|
|
|
(960
|
)
|
|
(250,690
|
)
|
|||||||
Dividends paid ($0.88 per share)
|
|
|
|
|
|
|
(113,214
|
)
|
|
|
|
|
|
|
|
(52
|
)
|
|
(113,266
|
)
|
|||||||
Stock incentive plan activity
|
|
|
|
(3,705
|
)
|
|
|
|
|
|
|
|
11,978
|
|
|
|
|
|
8,273
|
|
|||||||
Acquisition activity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
7
|
|
|
7
|
|
|||||||
Shares purchased at cost
|
|
|
|
|
|
|
|
|
|
|
|
|
(46,767
|
)
|
|
|
|
|
(46,767
|
)
|
|||||||
Balance at March 31, 2020
|
$
|
90,523
|
|
|
$
|
452,157
|
|
|
$
|
13,348,291
|
|
|
$
|
(2,195,462
|
)
|
|
$
|
(5,399,519
|
)
|
|
$
|
11,437
|
|
|
$
|
6,307,427
|
|
|
Common Stock
|
|
Additional Capital
|
|
Retained Earnings
|
|
Accumulated Other Comprehensive (Loss)
|
|
Treasury Shares
|
|
Noncontrolling
Interests
|
|
Total Equity
|
||||||||||||||
Balance at December 31, 2018
|
$
|
90,523
|
|
|
$
|
521,854
|
|
|
$
|
12,114,448
|
|
|
$
|
(1,795,497
|
)
|
|
$
|
(5,116,119
|
)
|
|
$
|
5,957
|
|
|
$
|
5,821,166
|
|
Net income
|
|
|
|
|
|
|
411,248
|
|
|
|
|
|
|
|
|
133
|
|
|
411,381
|
|
|||||||
Other comprehensive income (loss)
|
|
|
|
|
|
|
|
|
|
66,582
|
|
|
|
|
|
44
|
|
|
66,626
|
|
|||||||
Dividends paid ($0.76 per share)
|
|
|
|
|
|
|
(98,484
|
)
|
|
|
|
|
|
|
|
(64
|
)
|
|
(98,548
|
)
|
|||||||
Stock incentive plan activity
|
|
|
|
7,289
|
|
|
|
|
|
|
|
|
8,134
|
|
|
|
|
15,423
|
|
||||||||
Shares purchased at cost
|
|
|
|
|
|
|
|
|
|
|
|
|
(200,000
|
)
|
|
|
|
(200,000
|
)
|
||||||||
Balance at March 31, 2019
|
$
|
90,523
|
|
|
$
|
529,143
|
|
|
$
|
12,427,212
|
|
|
$
|
(1,728,915
|
)
|
|
$
|
(5,307,985
|
)
|
|
$
|
6,070
|
|
|
$
|
6,016,048
|
|
|
Common Stock
|
|
Additional Capital
|
|
Retained Earnings
|
|
Accumulated Other Comprehensive (Loss)
|
|
Treasury Shares
|
|
Noncontrolling
Interests
|
|
Total Equity
|
||||||||||||||
Balance at June 30, 2019
|
$
|
90,523
|
|
|
$
|
462,086
|
|
|
$
|
12,777,538
|
|
|
$
|
(2,059,048
|
)
|
|
$
|
(5,309,130
|
)
|
|
$
|
6,183
|
|
|
$
|
5,968,152
|
|
Net income
|
|
|
|
|
|
|
910,625
|
|
|
|
|
|
|
|
|
383
|
|
|
911,008
|
|
|||||||
Other comprehensive income (loss)
|
|
|
|
|
|
|
|
|
|
(136,414
|
)
|
|
|
|
|
(972
|
)
|
|
(137,386
|
)
|
|||||||
Dividends paid ($2.64 per share)
|
|
|
|
|
|
|
(339,872
|
)
|
|
|
|
|
|
|
|
(419
|
)
|
|
(340,291
|
)
|
|||||||
Stock incentive plan activity
|
|
|
|
(9,929
|
)
|
|
|
|
|
|
|
|
56,378
|
|
|
|
|
|
46,449
|
|
|||||||
Acquisition activity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6,262
|
|
|
6,262
|
|
|||||||
Shares purchased at cost
|
|
|
|
|
|
|
|
|
|
|
|
|
(146,767
|
)
|
|
|
|
|
(146,767
|
)
|
|||||||
Balance at March 31, 2020
|
$
|
90,523
|
|
|
$
|
452,157
|
|
|
$
|
13,348,291
|
|
|
$
|
(2,195,462
|
)
|
|
$
|
(5,399,519
|
)
|
|
$
|
11,437
|
|
|
$
|
6,307,427
|
|
|
Common Stock
|
|
Additional Capital
|
|
Retained Earnings
|
|
Accumulated Other Comprehensive (Loss)
|
|
Treasury Shares
|
|
Noncontrolling
Interests
|
|
Total Equity
|
||||||||||||||
Balance at June 30, 2018
|
$
|
90,523
|
|
|
$
|
496,592
|
|
|
$
|
11,625,975
|
|
|
$
|
(1,763,086
|
)
|
|
$
|
(4,590,138
|
)
|
|
$
|
5,627
|
|
|
$
|
5,865,493
|
|
Impact of adoption of accounting standards
|
|
|
|
|
1,483
|
|
|
(1,734
|
)
|
|
|
|
|
|
(251
|
)
|
|||||||||||
Net income
|
|
|
|
|
|
|
1,098,696
|
|
|
|
|
|
|
|
|
497
|
|
|
1,099,193
|
|
|||||||
Other comprehensive income (loss)
|
|
|
|
|
|
|
|
|
|
35,905
|
|
|
|
|
|
10
|
|
|
35,915
|
|
|||||||
Dividends paid ($2.28 per share)
|
|
|
|
|
|
|
(298,942
|
)
|
|
|
|
|
|
|
|
(64
|
)
|
|
(299,006
|
)
|
|||||||
Stock incentive plan activity
|
|
|
|
32,551
|
|
|
|
|
|
|
|
|
32,153
|
|
|
|
|
64,704
|
|
||||||||
Shares purchased at cost
|
|
|
|
|
|
|
|
|
|
|
|
|
(750,000
|
)
|
|
|
|
(750,000
|
)
|
||||||||
Balance at March 31, 2019
|
$
|
90,523
|
|
|
$
|
529,143
|
|
|
$
|
12,427,212
|
|
|
$
|
(1,728,915
|
)
|
|
$
|
(5,307,985
|
)
|
|
$
|
6,070
|
|
|
$
|
6,016,048
|
|
|
Foreign Currency Translation Adjustment and Other
|
|
Retirement Benefit Plans
|
|
Total
|
||||||
Balance at June 30, 2019
|
$
|
(1,011,656
|
)
|
|
$
|
(1,047,392
|
)
|
|
$
|
(2,059,048
|
)
|
Other comprehensive income (loss) before reclassifications
|
(232,981
|
)
|
|
—
|
|
|
(232,981
|
)
|
|||
Amounts reclassified from accumulated other comprehensive (loss)
|
—
|
|
|
96,567
|
|
|
96,567
|
|
|||
Balance at March 31, 2020
|
$
|
(1,244,637
|
)
|
|
$
|
(950,825
|
)
|
|
$
|
(2,195,462
|
)
|
|
Foreign Currency Translation Adjustment and Other
|
|
Retirement Benefit Plans
|
|
Total
|
||||||
Balance at June 30, 2018
|
$
|
(943,477
|
)
|
|
$
|
(819,609
|
)
|
|
$
|
(1,763,086
|
)
|
Impact of adoption of ASU 2016-01
|
(1,734
|
)
|
|
—
|
|
|
(1,734
|
)
|
|||
Other comprehensive income (loss) before reclassifications
|
(39,887
|
)
|
|
—
|
|
|
(39,887
|
)
|
|||
Amounts reclassified from accumulated other comprehensive (loss)
|
3,578
|
|
|
72,214
|
|
|
75,792
|
|
|||
Balance at March 31, 2019
|
$
|
(981,520
|
)
|
|
$
|
(747,395
|
)
|
|
$
|
(1,728,915
|
)
|
Details about Accumulated Other Comprehensive (Loss) Components
|
|
Income (Expense) Reclassified from Accumulated Other Comprehensive (Loss)
|
|
Consolidated Statement of Income Classification
|
||||||
|
|
Three Months Ended
|
|
Nine Months Ended
|
|
|
||||
|
|
March 31, 2020
|
|
March 31, 2020
|
|
|
||||
Retirement benefit plans
|
|
|
|
|
|
|
||||
Amortization of prior service cost and initial net obligation
|
|
$
|
(1,385
|
)
|
|
$
|
(4,152
|
)
|
|
Other (income), net
|
Recognized actuarial loss
|
|
(41,154
|
)
|
|
(123,342
|
)
|
|
Other (income), net
|
||
Total before tax
|
|
(42,539
|
)
|
|
(127,494
|
)
|
|
|
||
Tax benefit
|
|
10,414
|
|
|
30,927
|
|
|
|
||
Net of tax
|
|
$
|
(32,125
|
)
|
|
$
|
(96,567
|
)
|
|
|
Details about Accumulated Other Comprehensive (Loss) Components
|
|
Income (Expense) Reclassified from Accumulated Other Comprehensive (Loss)
|
|
Consolidated Statement of Income Classification
|
||||||
|
|
Three Months Ended
|
|
Nine Months Ended
|
|
|
||||
|
|
March 31, 2019
|
|
March 31, 2019
|
|
|
||||
Retirement benefit plans
|
|
|
|
|
|
|
||||
Amortization of prior service cost and initial net obligation
|
|
$
|
(1,639
|
)
|
|
$
|
(4,932
|
)
|
|
Other (income), net
|
Recognized actuarial loss
|
|
(29,763
|
)
|
|
(89,756
|
)
|
|
Other (income), net
|
||
Total before tax
|
|
(31,402
|
)
|
|
(94,688
|
)
|
|
|
||
Tax benefit
|
|
7,588
|
|
|
22,474
|
|
|
|
||
Net of tax
|
|
$
|
(23,814
|
)
|
|
$
|
(72,214
|
)
|
|
|
|
Diversified Industrial
Segment
|
|
Aerospace
Systems
Segment
|
|
Total
|
||||||
Balance at June 30, 2019
|
$
|
5,355,165
|
|
|
$
|
98,640
|
|
|
$
|
5,453,805
|
|
Acquisitions
|
1,955,561
|
|
|
503,782
|
|
|
2,459,343
|
|
|||
Foreign currency translation and other
|
(83,361
|
)
|
|
(8
|
)
|
|
(83,369
|
)
|
|||
Balance at March 31, 2020
|
$
|
7,227,365
|
|
|
$
|
602,414
|
|
|
$
|
7,829,779
|
|
|
March 31, 2020
|
|
June 30, 2019
|
||||||||||||
|
Gross Carrying
Amount
|
|
Accumulated
Amortization
|
|
Gross Carrying
Amount
|
|
Accumulated
Amortization
|
||||||||
Patents and technology
|
$
|
990,716
|
|
|
$
|
149,247
|
|
|
$
|
265,644
|
|
|
$
|
130,233
|
|
Trademarks
|
747,536
|
|
|
274,704
|
|
|
542,573
|
|
|
252,388
|
|
||||
Customer lists and other
|
3,785,333
|
|
|
1,217,807
|
|
|
2,435,461
|
|
|
1,077,780
|
|
||||
Total
|
$
|
5,523,585
|
|
|
$
|
1,641,758
|
|
|
$
|
3,243,678
|
|
|
$
|
1,460,401
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
March 31,
|
|
March 31,
|
||||||||||||
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Service cost
|
$
|
20,967
|
|
|
$
|
19,126
|
|
|
$
|
61,965
|
|
|
$
|
57,618
|
|
Interest cost
|
36,389
|
|
|
40,124
|
|
|
106,233
|
|
|
120,541
|
|
||||
Expected return on plan assets
|
(68,058
|
)
|
|
(62,844
|
)
|
|
(198,836
|
)
|
|
(188,422
|
)
|
||||
Amortization of prior service cost
|
1,411
|
|
|
1,665
|
|
|
4,229
|
|
|
4,990
|
|
||||
Amortization of net actuarial loss
|
41,200
|
|
|
29,988
|
|
|
123,540
|
|
|
89,973
|
|
||||
Amortization of initial net obligation
|
4
|
|
|
4
|
|
|
13
|
|
|
13
|
|
||||
Net pension benefit expense
|
$
|
31,913
|
|
|
$
|
28,063
|
|
|
$
|
97,144
|
|
|
$
|
84,713
|
|
|
|
March 31,
2020 |
|
June 30,
2019 |
||||
Carrying value of long-term debt
|
|
$
|
8,257,273
|
|
|
$
|
6,596,380
|
|
Estimated fair value of long-term debt
|
|
8,417,616
|
|
|
7,012,641
|
|
|
|
Balance Sheet Caption
|
|
March 31,
2020 |
|
June 30,
2019 |
||||
Net investment hedges
|
|
|
|
|
|
|
||||
Cross-currency swap contracts
|
|
Non-trade and notes receivable
|
|
$
|
39,497
|
|
|
$
|
—
|
|
Cross-currency swap contracts
|
|
Investments and other assets
|
|
—
|
|
|
24,545
|
|
||
Cash flow hedges
|
|
|
|
|
|
|
||||
Forward exchange contracts
|
|
Non-trade and notes receivable
|
|
13,160
|
|
|
13,242
|
|
||
Forward exchange contracts
|
|
Other accrued liabilities
|
|
50,271
|
|
|
2,578
|
|
||
Costless collar contracts
|
|
Non-trade and notes receivable
|
|
6,559
|
|
|
457
|
|
||
Costless collar contracts
|
|
Other accrued liabilities
|
|
1,839
|
|
|
1,934
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
March 31,
|
|
March 31,
|
||||||||||||
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Cross-currency swap contracts
|
$
|
5,821
|
|
|
$
|
6,748
|
|
|
$
|
12,372
|
|
|
$
|
14,367
|
|
Foreign denominated debt
|
9,574
|
|
|
13,287
|
|
|
17,898
|
|
|
24,558
|
|
|
|
|
|
Quoted Prices
|
|
|
Significant Other
|
|
|
Significant
|
|
|||||
|
|
Fair
|
|
|
In Active
|
|
|
Observable
|
|
|
Unobservable
|
|
||||
|
|
Value at
|
|
|
Markets
|
|
|
Inputs
|
|
|
Inputs
|
|
||||
|
|
March 31, 2020
|
|
|
(Level 1)
|
|
|
(Level 2)
|
|
|
(Level 3)
|
|
||||
Assets:
|
|
|
|
|
|
|
|
|
||||||||
Equity securities
|
|
$
|
7,771
|
|
|
$
|
7,771
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Derivatives
|
|
59,216
|
|
|
—
|
|
|
59,216
|
|
|
—
|
|
||||
Liabilities:
|
|
|
|
|
|
|
|
|
||||||||
Derivatives
|
|
52,110
|
|
|
—
|
|
|
52,110
|
|
|
—
|
|
|
|
|
|
Quoted Prices
|
|
|
Significant Other
|
|
|
Significant
|
|
|||||
|
|
Fair
|
|
|
In Active
|
|
|
Observable
|
|
|
Unobservable
|
|
||||
|
|
Value at
|
|
|
Markets
|
|
|
Inputs
|
|
|
Inputs
|
|
||||
|
|
June 30, 2019
|
|
|
(Level 1)
|
|
|
(Level 2)
|
|
|
(Level 3)
|
|
||||
Assets:
|
|
|
|
|
|
|
|
|
||||||||
Equity securities
|
|
$
|
7,533
|
|
|
$
|
7,533
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Derivatives
|
|
38,244
|
|
|
—
|
|
|
38,244
|
|
|
—
|
|
||||
Investments measured at net asset value
|
|
9,728
|
|
|
|
|
|
|
|
|||||||
Liabilities:
|
|
|
|
|
|
|
|
|
||||||||
Derivatives
|
|
4,512
|
|
|
—
|
|
|
4,512
|
|
|
—
|
|
•
|
Purchasing Managers Index ("PMI") on manufacturing activity specific to regions around the world with respect to most mobile and industrial markets;
|
•
|
Global aircraft miles flown and global revenue passenger miles for commercial aerospace markets and U.S. Department of Defense spending for military aerospace markets; and
|
•
|
Housing starts with respect to the North American residential air conditioning market and certain mobile construction markets.
|
|
March 31, 2020
|
|
June 30, 2019
|
|
March 31, 2019
|
|||
United States
|
49.1
|
|
|
50.6
|
|
|
55.3
|
|
Eurozone countries
|
44.5
|
|
|
47.6
|
|
|
47.5
|
|
China
|
50.1
|
|
|
49.4
|
|
|
50.8
|
|
Brazil
|
48.4
|
|
|
51.0
|
|
|
52.8
|
|
•
|
Serving the customer and continuously enhancing its experience with the Company;
|
•
|
Successfully executing The Win Strategy initiatives relating to engaged people, premier customer experience, profitable growth and financial performance;
|
•
|
Maintaining a decentralized division and sales company structure;
|
•
|
Fostering a safety first and entrepreneurial culture;
|
•
|
Engineering innovative systems and products to provide superior customer value through improved service, efficiency and productivity;
|
•
|
Delivering products, systems and services that have demonstrable savings to customers and are priced by the value they deliver;
|
•
|
Acquiring strategic businesses;
|
•
|
Organizing around targeted regions, technologies and markets;
|
•
|
Driving efficiency by implementing lean enterprise principles; and
|
•
|
Creating a culture of empowerment through our values, inclusion and diversity, accountability and teamwork.
|
|
|
Three Months Ended March 31,
|
|
Nine Months Ended March 31,
|
||||||||||||
(dollars in millions)
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Net sales
|
|
$
|
3,702
|
|
|
$
|
3,688
|
|
|
$
|
10,535
|
|
|
$
|
10,639
|
|
Gross profit margin
|
|
25.3
|
%
|
|
25.0
|
%
|
|
24.7
|
%
|
|
25.1
|
%
|
||||
Selling, general and administrative expenses
|
|
$
|
413
|
|
|
$
|
361
|
|
|
$
|
1,304
|
|
|
$
|
1,152
|
|
Selling, general and administrative expenses, as a percent of sales
|
|
11.2
|
%
|
|
9.8
|
%
|
|
12.4
|
%
|
|
10.8
|
%
|
||||
Interest expense
|
|
$
|
81
|
|
|
$
|
48
|
|
|
$
|
234
|
|
|
$
|
140
|
|
Other (income), net
|
|
$
|
(13
|
)
|
|
$
|
(18
|
)
|
|
$
|
(74
|
)
|
|
$
|
(38
|
)
|
Effective tax rate
|
|
19.1
|
%
|
|
22.3
|
%
|
|
20.2
|
%
|
|
22.6
|
%
|
||||
Net income
|
|
$
|
367
|
|
|
$
|
411
|
|
|
$
|
911
|
|
|
$
|
1,099
|
|
Net income, as a percent of sales
|
|
9.9
|
%
|
|
11.2
|
%
|
|
8.6
|
%
|
|
10.3
|
%
|
(dollars in millions)
|
|
Three Months Ended March 31,
|
|
Nine Months Ended March 31,
|
||||||||||||
Expense (income)
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Income related to equity method investments
|
|
$
|
(23
|
)
|
|
$
|
(22
|
)
|
|
$
|
(67
|
)
|
|
$
|
(68
|
)
|
Non-service components of retirement benefit cost
|
|
11
|
|
|
9
|
|
|
36
|
|
|
28
|
|
||||
(Gain) loss on disposal of assets and divestitures
|
|
(1
|
)
|
|
1
|
|
|
(5
|
)
|
|
5
|
|
||||
Interest income
|
|
(3
|
)
|
|
(4
|
)
|
|
(29
|
)
|
|
(11
|
)
|
||||
Other items, net
|
|
3
|
|
|
(2
|
)
|
|
(9
|
)
|
|
8
|
|
||||
|
|
$
|
(13
|
)
|
|
$
|
(18
|
)
|
|
$
|
(74
|
)
|
|
$
|
(38
|
)
|
|
|
Three Months Ended March 31,
|
|
Nine Months Ended March 31,
|
||||||||||||
(dollars in millions)
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Net sales
|
|
|
|
|
|
|
|
|
||||||||
North America
|
|
$
|
1,776
|
|
|
$
|
1,751
|
|
|
$
|
5,016
|
|
|
$
|
5,064
|
|
International
|
|
1,182
|
|
|
1,285
|
|
|
3,408
|
|
|
3,742
|
|
||||
Operating income
|
|
|
|
|
|
|
|
|
||||||||
North America
|
|
280
|
|
|
288
|
|
|
766
|
|
|
820
|
|
||||
International
|
|
$
|
177
|
|
|
$
|
209
|
|
|
$
|
499
|
|
|
$
|
604
|
|
Operating margin
|
|
|
|
|
|
|
|
|
||||||||
North America
|
|
15.7
|
%
|
|
16.4
|
%
|
|
15.3
|
%
|
|
16.2
|
%
|
||||
International
|
|
15.0
|
%
|
|
16.2
|
%
|
|
14.7
|
%
|
|
16.1
|
%
|
||||
Backlog
|
|
$
|
2,384
|
|
|
$
|
2,107
|
|
|
$
|
2,384
|
|
|
$
|
2,107
|
|
|
|
Period Ending March 31, 2020
|
||||
|
|
Three Months
|
|
Nine Months
|
||
Diversified Industrial North America – as reported
|
|
1.4
|
%
|
|
(0.9
|
)%
|
Acquisitions
|
|
8.9
|
%
|
|
5.4
|
%
|
Currency
|
|
(0.4
|
)%
|
|
—
|
%
|
Diversified Industrial North America – without acquisitions and currency
|
|
(7.1
|
)%
|
|
(6.3
|
)%
|
|
|
|
|
|
||
Diversified Industrial International – as reported
|
|
(8.0
|
)%
|
|
(8.9
|
)%
|
Acquisitions
|
|
6.2
|
%
|
|
3.6
|
%
|
Currency
|
|
(4.0
|
)%
|
|
(3.1
|
)%
|
Diversified Industrial International – without acquisitions and currency
|
|
(10.2
|
)%
|
|
(9.4
|
)%
|
|
|
|
|
|
||
Total Diversified Industrial Segment – as reported
|
|
(2.6
|
)%
|
|
(4.3
|
)%
|
Acquisitions
|
|
7.7
|
%
|
|
4.7
|
%
|
Currency
|
|
(1.8
|
)%
|
|
(1.4
|
)%
|
Total Diversified Industrial Segment – without acquisitions and currency
|
|
(8.5
|
)%
|
|
(7.6
|
)%
|
|
|
Three Months Ended March 31,
|
|
Nine Months Ended March 31,
|
||||||||||||
(dollars in millions)
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Diversified Industrial North America
|
|
$
|
10
|
|
|
$
|
2
|
|
|
$
|
23
|
|
|
$
|
10
|
|
Diversified Industrial International
|
|
12
|
|
|
3
|
|
|
23
|
|
|
10
|
|
|
|
Three Months Ended March 31,
|
|
Nine Months Ended March 31,
|
||||||||||||
(dollars in millions)
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Net sales
|
|
$
|
745
|
|
|
$
|
652
|
|
|
$
|
2,111
|
|
|
$
|
1,833
|
|
Operating income
|
|
$
|
127
|
|
|
$
|
135
|
|
|
$
|
371
|
|
|
$
|
366
|
|
Operating margin
|
|
17.1
|
%
|
|
20.7
|
%
|
|
17.6
|
%
|
|
20.0
|
%
|
||||
Backlog
|
|
$
|
3,159
|
|
|
$
|
2,134
|
|
|
$
|
3,159
|
|
|
$
|
2,134
|
|
(dollars in millions)
|
|
Three Months Ended March 31,
|
|
Nine Months Ended March 31,
|
||||||||||||
Expense (income)
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Foreign currency transaction
|
|
$
|
(20
|
)
|
|
$
|
3
|
|
|
$
|
(13
|
)
|
|
$
|
5
|
|
Stock-based compensation
|
|
7
|
|
|
8
|
|
|
45
|
|
|
44
|
|
||||
Pensions
|
|
6
|
|
|
4
|
|
|
23
|
|
|
14
|
|
||||
Acquisition expenses
|
|
—
|
|
|
—
|
|
|
115
|
|
|
—
|
|
||||
(Gain) loss on disposal of assets and divestitures
|
|
(1
|
)
|
|
1
|
|
|
(5
|
)
|
|
5
|
|
||||
Interest income
|
|
(3
|
)
|
|
(4
|
)
|
|
(29
|
)
|
|
(11
|
)
|
||||
Other items, net
|
|
12
|
|
|
9
|
|
|
(8
|
)
|
|
26
|
|
||||
|
|
$
|
1
|
|
|
$
|
21
|
|
|
$
|
128
|
|
|
$
|
83
|
|
(dollars in millions)
|
|
March 31,
2020 |
|
June 30,
2019 |
||||
Cash
|
|
$
|
790
|
|
|
$
|
3,371
|
|
Trade accounts receivable, net
|
|
2,174
|
|
|
2,131
|
|
||
Inventories
|
|
2,011
|
|
|
1,678
|
|
||
Intangible assets, net
|
|
3,882
|
|
|
1,783
|
|
||
Goodwill
|
|
7,830
|
|
|
5,454
|
|
||
Notes payable and long-term debt payable within one year
|
|
1,035
|
|
|
587
|
|
||
Long-term debt
|
|
8,098
|
|
|
6,521
|
|
||
Shareholders’ equity
|
|
6,296
|
|
|
5,962
|
|
||
Working capital
|
|
$
|
1,808
|
|
|
$
|
4,521
|
|
Current ratio
|
|
1.5
|
|
2.4
|
|
|
Nine Months Ended March 31,
|
||||||
(dollars in millions)
|
|
2020
|
|
2019
|
||||
Cash provided by (used in):
|
|
|
|
|
||||
Operating activities
|
|
$
|
1,291
|
|
|
$
|
1,093
|
|
Investing activities
|
|
(5,045
|
)
|
|
(116
|
)
|
||
Financing activities
|
|
1,273
|
|
|
(690
|
)
|
||
Effect of exchange rates
|
|
(41
|
)
|
|
(10
|
)
|
||
Net (decrease) increase in cash and cash equivalents
|
|
$
|
(2,522
|
)
|
|
$
|
277
|
|
Fitch Ratings
|
|
BBB+
|
Moody's Investor Services, Inc.
|
|
Baa1
|
Standard & Poor's
|
|
BBB+
|
•
|
global economic and political factors, including the impact of the global outbreak of COVID-19 and governmental and other actions taken in response, manufacturing activity, air travel trends, currency exchange rates and monetary policy, trade policy and tariffs, difficulties entering new markets and general economic conditions such as inflation, deflation, interest rates and credit availability, as well as uncertainties associated with the timing and conditions surrounding the return to service of the Boeing 737 MAX;
|
•
|
our ability to identify acceptable strategic acquisition targets; uncertainties surrounding timing, successful completion or integration of acquisitions and similar transactions, including the integrations of Clarcor, Lord and EMFCO Holdings Incorporated, parent company of Exotic; and our ability to successfully divest businesses planned for divestiture and realize the anticipated benefits of such divestitures;
|
•
|
our ability to effectively manage expanded operations from the acquisitions of Clarcor, Lord and Exotic;
|
•
|
the determination to undertake business realignment activities and the expected costs thereof and, if undertaken, the ability to complete such activities and realize the anticipated cost savings from such activities;
|
•
|
increased cybersecurity threats and sophisticated computer crime;
|
•
|
business relationships with and purchases by or from major customers, suppliers or distributors, including delays or cancellations in shipments;
|
•
|
the development of new products and technologies requiring substantial investment;
|
•
|
availability, limitations or cost increases of raw materials, component products and/or commodities that cannot be recovered in product pricing;
|
•
|
disputes regarding contract terms or significant changes in financial condition, changes in contract cost and revenue estimates for new development programs, and changes in product mix;
|
•
|
uncertainties surrounding the ultimate resolution of outstanding legal and regulatory proceedings, including the outcome of any appeals;
|
•
|
additional liabilities relating to changes in tax rates or exposure to additional income tax liabilities;
|
•
|
potential product liability risks;
|
•
|
our ability to enter into, own, renew and maintain intellectual property and know-how;
|
•
|
our leverage and future debt service obligations;
|
•
|
potential impairment of goodwill;
|
•
|
compliance costs associated with environmental laws and climate change regulations;
|
•
|
our ability to manage costs related to insurance and employee retirement and health care benefits;
|
•
|
compliance with federal rules, regulations, audits and investigations associated with being a provider of products to the United States government; and
|
•
|
our ability to implement successfully the Company's capital allocation initiatives, including timing, price and execution of share repurchases.
|
(a)
|
Unregistered Sales of Equity Securities. Not applicable.
|
(b)
|
Use of Proceeds. Not applicable.
|
(c)
|
Issuer Purchases of Equity Securities.
|
Period
|
|
(a) Total
Number of
Shares
Purchased
|
|
(b) Average
Price Paid
Per Share
|
|
(c) Total Number of
Shares Purchased
as Part of Publicly
Announced Plans
or Programs (1)
|
|
(d) Maximum Number
(or Approximate Dollar
Value) of Shares that
May Yet Be Purchased
Under the Plans or
Programs (1)
|
|||||
January 1, 2020 through January 31, 2020
|
|
81,700
|
|
|
$
|
204.03
|
|
|
81,700
|
|
|
10,209,739
|
|
February 1, 2020 through February 29, 2020
|
|
73,000
|
|
|
$
|
206.96
|
|
|
73,000
|
|
|
10,136,739
|
|
March 1, 2020 through March 31, 2020
|
|
108,500
|
|
|
$
|
138.11
|
|
|
108,500
|
|
|
10,028,239
|
|
Total:
|
|
263,200
|
|
|
|
|
263,200
|
|
|
|
|
(1)
|
On October 22, 2014, the Company publicly announced that the Board of Directors increased the overall maximum number of shares authorized for repurchase under the Company's share repurchase program, first announced on August 16, 1990, so that, beginning on October 22, 2014, the maximum aggregate number of shares authorized for repurchase was 35 million shares. There is no limitation on the amount of shares that can be repurchased in a fiscal year. There is no expiration date for this program. In March 2020, the Company suspended the share repurchase program in response to business uncertainty resulting from the COVID-19 pandemic.
|
Exhibit
No.
|
|
Description of Exhibit
|
|
|
|
31(a)
|
|
|
|
|
|
31(b)
|
|
|
|
|
|
32
|
|
|
|
|
|
101.INS
|
|
Inline XBRL Instance Document.*
|
|
|
|
101.SCH
|
|
Inline XBRL Taxonomy Extension Schema Document.*
|
|
|
|
101.CAL
|
|
Inline XBRL Taxonomy Extension Calculation Linkbase Document.*
|
|
|
|
101.DEF
|
|
Inline XBRL Taxonomy Extension Definition Linkbase Document. *
|
|
|
|
101.LAB
|
|
Inline XBRL Taxonomy Extension Label Linkbase Document.*
|
|
|
|
101.PRE
|
|
Inline XBRL Taxonomy Extension Presentation Linkbase Document.*
|
104
|
|
Cover page Interactive Data File (formatted as Inline XBRL with applicable taxonomy extension information contained in Exhibits 101).
|
*
|
Submitted electronically herewith.
|
|
|
|
|
|
PARKER-HANNIFIN CORPORATION
|
|
|
(Registrant)
|
|
|
|
|
|
/s/ Catherine A. Suever
|
|
|
Catherine A. Suever
|
|
|
Executive Vice President - Finance & Administration and
|
|
|
Chief Financial Officer
|
|
|
|
|
|
|
Date:
|
May 6, 2020
|
|
1 Year Parker Hannifin Chart |
1 Month Parker Hannifin Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions