Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Sep. 30, 2023 | Nov. 10, 2023 | Mar. 31, 2023 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Sep. 30, 2023 | ||
Current Fiscal Year End Date | --09-30 | ||
Document Transition Report | false | ||
Entity File Number | 001-36837 | ||
Entity Registrant Name | ENERGIZER HOLDINGS, INC. | ||
Entity Central Index Key | 0001632790 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Incorporation, State or Country Code | MO | ||
Entity Tax Identification Number | 36-4802442 | ||
Entity Address, Address Line One | 533 Maryville University Drive | ||
Entity Address, City or Town | St. Louis, | ||
Entity Address, State or Province | MO | ||
Entity Address, Postal Zip Code | 63141 | ||
City Area Code | (314) | ||
Local Phone Number | 985-2000 | ||
Title of 12(b) Security | Common Stock, par value $.01 per share | ||
Trading Symbol | ENR | ||
Security Exchange Name | NYSE | ||
Entity Well Known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction Flag | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 2,500,000,000 | ||
Entity Common Stock, Shares Outstanding | 71,581,328 | ||
Documents Incorporated by Reference | Portions of Energizer Holdings, Inc. Notice of Annual Meeting and Proxy Statement (“Proxy Statement”) for our Annual Meeting of Shareholders which will be held January 29, 2024, have been incorporated into Part III of this Annual Report on Form 10-K. The Proxy Statement will be filed within 120 days of the end of the fiscal year ended September 30, 2023. |
Audit Information
Audit Information | 12 Months Ended |
Sep. 30, 2023 | |
Audit Information [Abstract] | |
Auditor Firm ID | 238 |
Auditor Name | PricewaterhouseCoopers LLP |
Auditor Location | St. Louis, Missouri |
Consolidated Statements of Earn
Consolidated Statements of Earnings and Comprehensive Income - USD ($) shares in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income Statement [Abstract] | |||
Net sales | $ 2,959,700,000 | $ 3,050,100,000 | $ 3,021,500,000 |
Cost of products sold | 1,835,700,000 | 1,930,600,000 | 1,860,100,000 |
Gross profit | 1,124,000,000 | 1,119,500,000 | 1,161,400,000 |
Selling, general and administrative expense | 489,400,000 | 484,500,000 | 487,200,000 |
Advertising and sales promotion expense | 142,300,000 | 137,100,000 | 162,100,000 |
Research and development expense | 32,900,000 | 34,700,000 | 34,500,000 |
Amortization of intangible assets | 59,400,000 | 61,100,000 | 61,200,000 |
Impairment of goodwill and intangible assets | 0 | 541,900,000 | 0 |
Interest expense | 168,700,000 | 158,400,000 | 161,800,000 |
(Gain)/loss on extinguishment of debt | (1,500,000) | 0 | 103,300,000 |
Other items, net | 57,100,000 | 7,300,000 | (2,900,000) |
Earnings/(loss) before income taxes | 175,700,000 | (305,500,000) | 154,200,000 |
Income tax provision/(benefit) | 35,200,000 | (74,000,000) | (6,700,000) |
Net earnings/(loss) | 140,500,000 | (231,500,000) | 160,900,000 |
Mandatory preferred stock dividends | 0 | (4,000,000) | (16,200,000) |
Net earnings/(loss) attributable to common shareholders | $ 140,500,000 | $ (235,500,000) | $ 144,700,000 |
Earnings Per Share | |||
Basic net earnings per common share (in dollars per share) | $ 1.97 | $ (3.37) | $ 2.12 |
Diluted net earnings/(loss) per share (in dollars per share) | $ 1.94 | $ (3.37) | $ 2.11 |
Weighted average shares of common stock - Basic (in shares) | 71.5 | 69.9 | 68.2 |
Weighted average shares of common stock- Diluted (in shares) | 72.4 | 69.9 | 68.7 |
Dividend Per Common Share (in dollars per share) | $ 1.20 | $ 1.20 | $ 1.20 |
Statement of Comprehensive Income | |||
Net earnings/(loss) | $ 140,500,000 | $ (231,500,000) | $ 160,900,000 |
Other comprehensive (loss)/income, net of tax expense/(benefit) | |||
Foreign currency translation adjustments | (12,000,000) | 32,100,000 | 27,600,000 |
Pension activity, net of tax of $9.9 in 2023, $(2.9) in 2022, and $8.7 in 2021 | 30,200,000 | (6,100,000) | 29,100,000 |
Deferred (loss)/gain on hedging activity, net of tax of $(3.6) in 2023, $19.1 in 2022, and $6.4 in 2021 | (10,600,000) | 59,100,000 | 20,600,000 |
Total comprehensive income/(loss) | $ 148,100,000 | $ (146,400,000) | $ 238,200,000 |
CONSOLIDATED STATEMENTS OF EA_2
CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income Statement [Abstract] | |||
Pension activity, tax | $ 9.9 | $ (2.9) | $ 8.7 |
Deferred (loss)/gain on hedging activity, net of tax | $ (3.6) | $ 19.1 | $ 6.4 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Current assets | ||
Cash and cash equivalents | $ 223.3 | $ 205.3 |
Trade receivables, net | 511.6 | 421.7 |
Inventories | 649.7 | 771.6 |
Other current assets | 172 | 191.4 |
Total current assets | 1,556.6 | 1,590 |
Property, plant and equipment, net | 363.7 | 362.1 |
Operating lease assets | 98.4 | 100.1 |
Goodwill | 1,016.2 | 1,003.1 |
Other intangible assets, net | 1,237.7 | 1,295.8 |
Deferred tax asset | 88.4 | 61.8 |
Other assets | 148.6 | 159.2 |
Total assets | 4,509.6 | 4,572.1 |
Current liabilities | ||
Current maturities of long-term debt | 12 | 12 |
Current portion of finance leases | 0.3 | 0.4 |
Notes payable | 8.2 | 6.4 |
Accounts payable | 370.8 | 329.4 |
Current operating lease liabilities | 17.3 | 15.8 |
Other current liabilities | 325.6 | 333.9 |
Total current liabilities | 734.2 | 697.9 |
Long-term debt | 3,332.1 | 3,499.4 |
Operating lease liabilities | 84.7 | 88.2 |
Deferred tax liability | 12.4 | 17.9 |
Other non-current liabilities | 135.5 | 138.1 |
Total liabilities | 4,298.9 | 4,441.5 |
Shareholders' equity | ||
Common stock, $0.01 par value, 72,386,840 and 62,420,421 shares issued at 2019 and 2018, respectively | 0.8 | 0.8 |
Additional paid-in capital | 750.5 | 828.7 |
Retained losses | (164.8) | (304.7) |
Common stock in treasury, at cost | (238.1) | (248.9) |
Accumulated other comprehensive loss | (137.7) | (145.3) |
Total shareholders' equity | 210.7 | 130.6 |
Total liabilities and shareholders' equity | $ 4,509.6 | $ 4,572.1 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2023 | Sep. 30, 2022 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock issued (in shares) | 77,074,245 | 77,074,245 |
Treasury shares (in shares) | 5,574,742 | 5,804,660 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Cash Flow from Operating Activities | |||
Net earnings/(loss) | $ 140,500,000 | $ (231,500,000) | $ 160,900,000 |
Adjustments to reconcile net earnings/(loss) to net cash flow from operations: | |||
Non-cash integration and restructuring charges | 7,700,000 | 3,000,000 | 8,900,000 |
Impairment of goodwill and intangible assets | 0 | 541,900,000 | 0 |
Depreciation and amortization | 122,700,000 | 121,600,000 | 118,500,000 |
Deferred income taxes | (38,500,000) | (135,300,000) | (62,900,000) |
Share based compensation expense | 21,800,000 | 13,200,000 | 10,200,000 |
Gain on finance lease termination | 0 | (4,500,000) | 0 |
(Gain)/loss on extinguishment of debt | (1,500,000) | 0 | 103,300,000 |
Gain on sale of real estate | 0 | 0 | (3,300,000) |
Settlement loss on U.S. pension annuity buy out | (50,200,000) | 0 | 0 |
Non-cash charges for Brazil flood | 0 | 9,700,000 | 0 |
Non-cash charges for exiting the Russian market | 0 | 12,600,000 | 0 |
Non-cash items included in income, net | 31,900,000 | 6,200,000 | 17,300,000 |
Other, net | (2,700,000) | (1,700,000) | (3,900,000) |
Changes in assets and liabilities used in operations, net of acquisitions | |||
(Increase)/decrease in trade receivables, net | (80,400,000) | (185,500,000) | 9,500,000 |
Decrease/(increase) in inventories | 132,300,000 | (94,200,000) | (211,800,000) |
Decrease/(increase) in other current assets | 10,000,000 | 20,600,000 | (7,400,000) |
Increase/(decrease) in accounts payable | 35,200,000 | (113,800,000) | 51,400,000 |
(Decrease)/increase in other current liabilities | (34,000,000) | 38,700,000 | (11,000,000) |
Net cash from operating activities from continuing operations | 395,200,000 | 1,000,000 | 179,700,000 |
Cash Flow from Investing Activities | |||
Capital expenditures | (56,800,000) | (77,800,000) | (64,900,000) |
Proceeds from sale of assets | 700,000 | 600,000 | 5,700,000 |
Acquisition of intangible assets | 0 | (14,700,000) | 0 |
Acquisitions, net of cash acquired and working capital settlements | 0 | 1,000,000 | |
Acquisitions, net of cash acquired and working capital settlements | (67,200,000) | ||
Net cash used by investing activities from continuing operations | (56,100,000) | (90,900,000) | (126,400,000) |
Cash Flow from Financing Activities | |||
Cash proceeds from issuance of debt with maturities greater than 90 days | 0 | 300,000,000 | 1,982,600,000 |
Payments on debt with maturities greater than 90 days | (222,100,000) | (13,700,000) | (2,773,800,000) |
Net increase/(decrease) in debt with maturities 90 days or less | 1,200,000 | (99,000,000) | 102,100,000 |
Debt issuance costs | 0 | (7,600,000) | (29,000,000) |
Payments to terminate finance leases obligations | 0 | (5,100,000) | 0 |
Premiums paid on extinguishment of debt | 0 | 0 | (141,100,000) |
Dividends paid on common stock | (86,300,000) | (84,900,000) | (83,900,000) |
Dividends paid on mandatory convertible preferred shares | 0 | (8,100,000) | (16,200,000) |
Common stock purchased | 0 | 0 | (96,300,000) |
Payment of contingent consideration | 0 | 0 | (6,800,000) |
Taxes paid for withheld share-based payments | (2,200,000) | (2,500,000) | (6,700,000) |
Net cash (used by)/from financing activities | (309,400,000) | 79,100,000 | (1,069,100,000) |
Effect of exchange rate changes on cash | (11,700,000) | (22,800,000) | 4,900,000 |
Net increase/(decrease) in cash, cash equivalents, and restricted cash | 18,000,000 | (33,600,000) | (1,010,900,000) |
Cash, cash equivalents, and restricted cash, beginning of period | 205,300,000 | 238,900,000 | 1,249,800,000 |
Cash, cash equivalents, and restricted cash, end of period | $ 223,300,000 | $ 205,300,000 | $ 238,900,000 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity/(Deficit) - USD ($) shares in Thousands, $ in Millions | Total | Preferred Stock | Common Stock | Additional Paid-in Capital | Retained Earnings/(Losses) | Accumulated Other Comprehens-ive (Loss)/Income | Treasury Stock |
Beginning balance, preferred (in shares) at Sep. 30, 2020 | 2,156 | ||||||
Beginning balance, common (in shares) at Sep. 30, 2020 | 68,518 | ||||||
Beginning Balance at Sep. 30, 2020 | $ 309.1 | $ 0 | $ 0.7 | $ 859.2 | $ (66.2) | $ (307.7) | $ (176.9) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings (loss) | 160.9 | 160.9 | |||||
Share-based payments | 10.2 | 10.2 | |||||
Common stock purchased (in shares) | (2,008) | ||||||
Common stock purchased | (96.3) | (15) | (81.3) | ||||
Activity under stock plans (in shares) | 332 | ||||||
Activity under stock plans | (6.7) | (21.4) | (0.9) | 15.6 | |||
Deferred compensation plan (in shares) | 22 | ||||||
Deferred compensation plan | 0 | (1) | 0 | 1 | |||
Dividends to common shareholders | (82.6) | (82.6) | |||||
Dividends to preferred shareholders | (16.2) | (16.2) | |||||
Other comprehensive income | 77.3 | 77.3 | |||||
Beginning balance, preferred (in shares) at Sep. 30, 2021 | 2,156 | ||||||
Ending Balance, common (in shares) at Sep. 30, 2021 | 66,864 | ||||||
Ending Balance at Sep. 30, 2021 | 355.7 | $ 0 | $ 0.7 | 832 | (5) | (230.4) | (241.6) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings (loss) | (231.5) | (231.5) | |||||
Share-based payments | 13.2 | 13.2 | |||||
Conversion of preferred stock to common stock (in shares) | (2,156) | 4,687 | |||||
Conversion of preferred stock to common stock | 0.1 | $ 0.1 | |||||
Common stock purchased (in shares) | (451) | ||||||
Common stock purchased | 0 | 15 | (15) | ||||
Activity under stock plans (in shares) | 170 | ||||||
Activity under stock plans | (2.5) | (10.1) | (0.1) | 7.7 | |||
Dividends to common shareholders | (85.5) | (21.4) | (64.1) | ||||
Dividends to preferred shareholders | (4) | (4) | |||||
Other comprehensive income | 85.1 | 85.1 | |||||
Beginning balance, preferred (in shares) at Sep. 30, 2022 | 0 | ||||||
Ending Balance, common (in shares) at Sep. 30, 2022 | 71,270 | ||||||
Ending Balance at Sep. 30, 2022 | 130.6 | $ 0 | $ 0.8 | 828.7 | (304.7) | (145.3) | (248.9) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings (loss) | 140.5 | 140.5 | |||||
Share-based payments | 22.2 | 22.2 | |||||
Activity under stock plans (in shares) | 230 | ||||||
Activity under stock plans | (2.2) | (12.4) | (0.6) | 10.8 | |||
Dividends to common shareholders | (88) | (88) | 0 | ||||
Other comprehensive income | 7.6 | 7.6 | |||||
Beginning balance, preferred (in shares) at Sep. 30, 2023 | 0 | ||||||
Ending Balance, common (in shares) at Sep. 30, 2023 | 71,500 | ||||||
Ending Balance at Sep. 30, 2023 | $ 210.7 | $ 0 | $ 0.8 | $ 750.5 | $ (164.8) | $ (137.7) | $ (238.1) |
Accounting Policies
Accounting Policies | 12 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business and Basis of Presentation | Description of Business and Basis of Presentation Description of Business – Energizer Holdings, Inc. and its subsidiaries (Energizer or the Company) is a global manufacturer, marketer and distributor of household batteries, specialty batteries and portable lights under the Energizer®, Eveready® and Rayovac® brand names globally, as well as the Varta® brand name in Latin America and Asia Pacific. Energizer offers batteries using lithium, alkaline, carbon zinc, nickel metal hydride, zinc air and silver oxide constructions. Energizer is also a leading designer and marketer of auto care products in the appearance, fragrance, performance, and air conditioning recharge product categories under the Armor All®, Nu Finish®, Refresh Your Car!®, LEXOL®, Eagle One®, California Scents®, Driven®, Bahama & Co®, STP® and A/C Pro® trade names. In fiscal 2022, we expanded our portfolio in Latin America to add the Carnu®, Grand Prix®, Kit® and Tempo® trademarks. On July 1, 2015, Energizer completed its legal separation from our former parent company, Edgewell Personal Care Company (Edgewell), via a tax free spin-off (the Spin-off or Spin). Energizer operates as an independent, publicly traded company on the New York Stock Exchange trading under the symbol "ENR." On January 2, 2019, Energizer expanded its battery portfolio with the acquisitions of Spectrum Holdings, Inc.’s (Spectrum) global battery, lighting, and portable power business (Battery Acquisition). The Battery Acquisition included the Rayovac and Varta brands (Acquired Battery Business). On January 2, 2020, the Company sold the Varta® consumer battery business in the Europe, Middle East and Africa regions, including manufacturing and distribution facilities in Germany. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Energizer’s significant accounting policies, which conform to GAAP and are applied on a consistent basis in all years presented, except as indicated, are described below. Use of Estimates – The preparation of the Company's Consolidated Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses. On an ongoing basis, Energizer evaluates its estimates, including those related to customer promotional programs and incentives, product returns, bad debts, the carrying value of inventories, intangible and other long-lived assets, income taxes, pensions and other postretirement benefits, share-based compensation, contingencies and acquisitions. Actual results could differ materially from those estimates. In regard to ongoing impairment testing of goodwill and indefinite lived intangible assets, significant deterioration in future cash flow projections, changes in discount rates used in discounted cash flow models or changes in other assumptions used in estimating fair values, versus those anticipated at the time of the initial acquisition, as well as subsequent estimated valuations, could result in impairment charges that may materially affect the financial statements in a given year. Refer to Note 11 Goodwill & Intangibles for additional information. Cash and Cash Equivalents – Cash and cash equivalents consist of cash on hand and marketable securities with original maturities of three months or less. At September 30, 2023 and 2022, Energizer had $223.3 and $205.3, respectively, in available cash, 84.4% and 73.5% of which was outside of the U.S., respectively. The Company has extensive operations, including a significant manufacturing footprint outside of the U.S. We manage our worldwide cash requirements by reviewing available funds among the many subsidiaries through which we conduct our business and the cost effectiveness with which those funds can be accessed. The repatriation of cash balances from certain of our subsidiaries could have adverse tax consequences or be subject to regulatory capital requirements; however, those balances are generally available without legal restrictions to fund ordinary business operations. Our intention is to reinvest these funds indefinitely. Restricted Cash – The Company defines restricted cash as cash that is legally restricted as to withdrawal or usage. There was no restricted cash at September 30, 2023 and 2022. Foreign Currency Translation – Financial statements of foreign operations where the local currency is the functional currency are translated using end-of-period exchange rates for assets and liabilities and average exchange rates during the period for results of operations. Related translation adjustments are reported as a component within accumulated other comprehensive loss in the equity section of the Consolidated Balance Sheets. Effective July 1, 2018, the financial statements for our Argentina subsidiary are consolidated under the rules governing the translation of financial information in a highly inflationary economy. Under U.S. GAAP, an economy is considered highly inflationary if the cumulative inflation rate for a three year period meets or exceeds 100 percent. The Argentina economy exceeded the three year cumulative inflation rate of 100 percent as of June 2018 and remains highly inflationary as of September 30, 2023. If a subsidiary is considered to be in a highly inflationary economy, the financial statements of the subsidiary must be remeasured into the Company’s reporting currency (U.S. dollar) and future exchange gains and losses from the remeasurement of monetary assets and liabilities are reflected in current earnings, rather than exclusively in the equity section of the balance sheet, until such time as the economy is no longer considered highly inflationary. Financial Instruments and Derivative Securities – Energizer uses financial instruments, from time to time, in the management of foreign currency, interest rate risk and commodity price risks that are inherent to its business operations. Such instruments are not held or issued for trading purposes. Every derivative instrument (including certain derivative instruments embedded in other contracts) is required to be recorded on the balance sheet at fair value as either an asset or liability. Changes in fair value of recorded derivatives are required to be recognized in earnings unless specific hedge accounting criteria are met. Foreign exchange instruments, including currency forwards, are used primarily to reduce cash transaction exposures and to manage other translation exposures. Foreign exchange instruments used are selected based on their risk reduction attributes, costs and the related market conditions. The Company has designated certain foreign currency contracts as cash flow hedges for accounting purposes as of September 30, 2023 and 2022. The Company has interest rate risk with respect to interest expense on variable rate debt. In December 2020, the Company entered into an interest rate swap with an effective date on December 22, 2020, that fixed the variable benchmark component (LIBOR) at an interest rate of 0.95% on variable debt of $550.0. The notional value increased to $700.0 on January 22, 2021, and will stay at that value through December 22, 2024. The notional value will decrease by $100.0 on December 22, 2024 and by $100.0 each year thereafter until its termination date on December 22, 2027. The notional value of the swap was $700.0 at September 30, 2023. In February 2023, the Company amended its Credit Agreement to transition the interest reference rate from LIBOR to SOFR. The amendment was entered into because the LIBOR rate historically used was no longer published after June 30, 2023. The Company also amended the 2020 Interest rate swap to coincide with the amended credit agreement, effectively fixing the variable benchmark component (SOFR) at an interest rate of 1.042%. There were no other changes to the interest rate swap agreement or expected timing of cash flows associated with the swap. The Company utilized expedients within ASC 848 to conclude that this modification should be accounted for as a continuation of the existing swap agreement, resulting in no impact on the Company's financial statements. Energizer uses raw materials that are subject to price volatility. The Company may use hedging instruments to reduce exposure to variability in cash flows associated with future purchases of commodities. At September 30, 2023 and 2022, the Company had derivative contracts for the future purchases of zinc. Cash Flow Presentation – The Consolidated Statements of Cash Flows are prepared using the indirect method, which reconciles Net earnings/(loss) to cash flow from operating activities. The reconciliation adjustments include the removal of timing differences between the occurrence of operating receipts and payments and their recognition in Net earnings/(loss). The adjustments also remove cash flows arising from investing and financing activities, which are presented separately from operating activities. Cash flows from foreign currency transactions and operations are translated at an average exchange rate for the period. Cash flows from hedging activities are included in the same category as the items being hedged, which is primarily operating activities. Cash payments related to income taxes are classified as operating activities. Trade Receivables, net – Trade receivables are stated at their net realizable value. The allowance for trade promotions reflects management's estimate of the amount of trade promotions that customers will take as an invoice reduction, rather than receiving cash payments for the trade allowances earned. See additional discussion on the trade allowances in the revenue recognition discussion further in this note. The allowance for doubtful accounts reflects the Company's best estimate of probable losses inherent in the receivables portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other currently available information. Receivables that the Company has factored at September 30, 2023 and 2022 are excluded from the Trade receivables, net balance. Bad debt expense is included in Selling, general and administrative expense (SG&A) in the Consolidated Statements of Earnings and Comprehensive Income. Trade Receivables, net consists of: September 30, 2023 2022 Trade receivables $ 690.2 $ 554.1 Allowance for trade promotions (174.0) (129.5) Allowance for doubtful accounts (4.6) (2.9) Trade receivables, net $ 511.6 $ 421.7 Trade Receivables Factoring - Energizer enters into various factoring agreements and early pay programs with our customers to sell our trade receivables under non-recourse agreements in exchange for cash proceeds. The Credit Agreement allows for Energizer to sell a maximum of $600.0 in accounts receivable annually. During fiscal years 2023 and 2022, the Company sold $587.0 and $578.9, respectively, of receivables under this program. At September 30, 2023 and 2022, Energizer had $77.5 and $123.3, respectively, of outstanding sold receivables, which are excluded from the Trade receivables, net balance above. In some instances, we may continue to service the transferred receivables after factoring has occurred. However, any servicing of the trade receivable does not constitute significant continuing involvement and we do not carry any material servicing assets or liabilities. These receivables qualify for sales treatment under ASC 860 Transfers and Servicing, and the proceeds for the sale of these receivables is included in net cash from operating activities in the Consolidated Statement of Cash Flows. As of September 30, 2022, cash from factored receivables collected but not yet due to the bank included in Other current liabilities was $2.8. There were no factored receivable amounts included in Other current liabilities at September 30, 2023. Additionally, the fees associated with factoring our receivables were $ 15.7 7.5 3.5 Inventories – Inventories are valued at the lower of cost and net realizable value, with cost generally being determined using average cost or the first-in, first-out (FIFO) method. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The Company records a reserve for excess and obsolete inventory based upon the historical usage rates, sales patterns of its products and specifically-identified obsolete inventory. Capitalized Software Costs – Capitalized software costs are included in Other assets. These costs are amortized using the straight-line method over periods of related benefit ranging from three Property, Plant and Equipment, net – Property, plant and equipment, net is stated at historical costs. Expenditures for new facilities and expenditures that substantially increase the useful life of property, including interest during construction, are capitalized and reported in the Capital expenditures caption in the Consolidated Statements of Cash Flows. Maintenance, repairs and minor renewals are expensed as incurred. When property is retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the accounts, and gains or losses on the disposition are reflected in earnings. Property, plant and equipment, net held under finance leases are amortized on a straight-line bases over the shorter of the lease term or estimated useful life of the asset and such amortization is included in depreciation expense. Depreciation is generally provided on the straight-line basis by charges to pre-tax earnings at rates based on estimated useful lives. Estimated useful lives range from two three IT integration assets and certain manufacturing assets including property, plant and equipment located at facilities that are being consolidated as part of the integration of the Battery and Auto Care Acquisitions. Estimated useful lives are periodically reviewed and, when appropriate, changes are made prospectively. When certain events or changes in operating conditions occur, asset lives may be adjusted and an impairment assessment may be performed on the recoverability of the carrying amounts. Acquisitions – Energizer accounts for the acquisition of a business using the acquisition method of accounting and allocates the cost of an acquired business to the assets acquired and liabilities assumed based on their estimated fair values at the date of acquisition. The excess value of the cost of an acquired business over the fair value of the assets acquired and liabilities assumed is recognized as goodwill. During the measurement period, which may be up to one year from the acquisition date, the Company may record adjustments to assets acquired and liabilities assumed with the corresponding offset to goodwill. During fiscal 2021, Energizer used variations of the income approach in determining the fair value of the amortizable intangible assets acquired as part of an acquisition to acquire a company that specializes in developing formulations for cleaning tasks. The Company utilized multi-period excess earnings methods for determining the fair value of the proprietary technology and customer relationships acquired. Our determination of the fair value of these assets involved the use of significant estimates and assumptions related to the revenue growth rates and discount rates. Our determination of the fair value of customer relationships also involved assumptions related to customer attrition rates. Energizer believes that the fair values assigned to the assets acquired and liabilities assumed in the acquisition noted above are based on reasonable assumptions and estimates that marketplace participants would use. However, our assumptions are inherently risky and actual results could differ from those estimates. Adverse changes in the judgments, assumptions and estimates used in future measurements of fair value, including discount rates or future operating results and related cash flow projections, could result in an impairment of goodwill or intangible assets that would require a non-cash charge to the consolidated statements of operations and may have a material effect on our financial condition and operating results. Goodwill and Other Intangible Assets – Goodwill and indefinite-lived intangibles are not amortized, but are evaluated annually for impairment as part of the Company's annual business planning cycle in the fourth fiscal quarter, or when indicators of a potential impairment are present. Intangible assets with finite lives are amortized on a straight-line basis over expected lives. Such intangibles are also evaluated for impairment including ongoing monitoring of potential impairment indicators. There were no impairments identified during the fiscal 2023 and 2021 annual impairment analyses. During the fiscal year 2022 annual impairment analysis during the fourth quarter, the Company identified indefinite lived trade name impairments for Armor All, STP, and Rayovac of $ 370.4 Impairment of Long-Lived Assets – Energizer reviews long-lived assets, other than goodwill and other intangible assets for impairment, when events or changes in business circumstances indicate that the remaining useful life may warrant revision or that the carrying amount of the long-lived asset may not be fully recoverable. Energizer performs undiscounted cash flow analysis to determine if impairment exists. If impairment is determined to exist, any related impairment loss is calculated based on estimated fair value. Impairment losses on assets to be disposed of, if any, are based on the estimated proceeds to be received, less cost of disposal. Revenue Recognition – The Company measures revenue as the amount of consideration for which it expects to be entitled in exchange for transferring goods. Net sales reflect the transaction prices for agreements, which include units shipped at selling list prices reduced by variable consideration as determined by the terms of each individual agreement. Discounts are offered to customers for early payment and an estimate of the discount is recorded as a reduction of net sales in the same period as the sale. Our standard sales terms generally include payments within 30 to 60 days and are final with returns or exchanges not permitted unless a special exception is made. Our Auto Care channel terms are longer, in some cases up to 365 days, in which case we use our trade Receivables factoring program for more timely collection. Reserves are established based on historical data and recorded in cases where the right of return does exist for a particular sale. The Company does not offer warranties on products. Energizer offers a variety of programs, primarily to its retail customers, designed to promote sales of its products. Such programs require periodic payments and allowances based on estimated results of specific programs and are recorded as a reduction to net sales. Methodologies for determining these provisions are dependent on specific customer pricing and promotional practices, which range from contractually fixed percentage price reductions to reimbursement based on actual occurrence or performance. Where applicable, future reimbursements are estimated based on a combination of historical patterns and future expectations regarding specific in-market product performance. Energizer accrues, at the time of sale, the estimated total payments and allowances associated with each transaction. Customers redeem trade promotions in the form of payments from the accrued trade allowances or invoice credits against trade receivables. Additionally, Energizer offers programs directly to consumers to promote the sale of its products. Energizer continually assesses the adequacy of accruals for customer and consumer promotional program costs not yet paid. To the extent total program payments differ from estimates, adjustments may be necessary. Historically, these adjustments have not been material. The Company’s agreements with customers do not have significant financing components or non-cash consideration and the Company does not have unbilled revenue or significant amounts of prepayments from customers. Revenue is recorded net of the taxes collected on behalf of governmental authorities which are generally included in the price to the customer. Shipping and handling activities are accounted for as contract fulfillment costs and recorded in Cost of products sold. Advertising and Sales Promotion Costs – The Company advertises and promotes its products through national and regional media and expenses such activities as incurred. Advertising costs were $104.3, $105.9, and $122.5 for the fiscal years ended September 30, 2023, 2022, 2021, respectively. Research and Development Costs - The Company expenses research and development costs as incurred. Income Taxes – Our annual effective income tax rate is determined based on our income, statutory tax rates and the tax impacts of items treated differently for tax purposes than for financial reporting purposes. Tax law requires certain items be included in the tax return at different times than the items are reflected in the financial statements. Some of these differences are permanent, such as expenses that are not deductible in our tax return, and some differences are temporary, reversing over time, such as depreciation expense. These temporary differences create deferred tax assets and liabilities. The Company estimates income taxes and the effective income tax rate in each jurisdiction that it operates. This involves estimating taxable earnings, specific taxable and deductible items, the likelihood of generating sufficient future taxable income to utilize deferred tax assets, the portion of the income of foreign subsidiaries that is expected to be remitted to the U.S. and be taxable and possible exposures related to future tax audits. Deferred tax assets are evaluated on a subsidiary by subsidiary basis to ensure that the asset will be realized. Valuation allowances are established when the realization is not deemed to be more likely than not. Future performance is monitored, and when objectively measurable operating trends change, adjustments are made to the valuation allowances accordingly. To the extent the estimates described above change, adjustments to income taxes are made in the period in which the estimate is changed. In determining whether a valuation allowance against the net deferred tax assets are warranted, the Company assesses all available positive and negative evidence such as prior earnings history, expected future earnings, carry-back and carry-forward periods and the feasibility of ongoing tax strategies that could potentially enhance the likelihood of the realization of a deferred tax asset. After the evaluation of all available positive and negative evidence, the conclusion was that it is more likely than not that the Company will generate enough future taxable income to realize the U.S. net deferred tax asset on its balance sheet as of September 30, 2023. The Company will continue to regularly assess the potential for realization of net deferred tax assets in future periods. Changes in future earnings projections, among other factors, may result in a valuation allowance against some or all of the net deferred tax assets, which may materially impact income tax expense in the period if it is determined that these factors have changed. The Company operates in multiple jurisdictions with complex tax and regulatory environments, which are subject to differing interpretations by the taxpayer and the taxing authorities. At times, the Company may take positions that management believes are supportable, but are potentially subject to successful challenges by the appropriate taxing authority. The Company evaluates its tax positions and establishes liabilities in accordance with guidance governing accounting for uncertainty in income taxes. The Company reviews these tax uncertainties in light of the changing facts and circumstances, such as the progress of tax audits, and adjusts them accordingly. The Company's policy on accounting for tax on the global intangible low-taxed income (GILTI) is to treat the taxes due as a period expense when incurred. In general, it is our practice and intention to permanently reinvest the earnings of our foreign subsidiaries and repatriate earnings only when the tax impact is zero or very minimal. No provision has been provided for taxes that would result upon repatriation of our foreign investments to the United States. We intend to reinvest these earnings indefinitely in our foreign subsidiaries to fund local operations, fund strategic growth objectives, and fund capital projects. See Note 6, Income Taxes, of the Notes to Consolidated Financial Statements for further discussion. Share-Based Payments – The Company grants restricted stock units, which generally vest over two Estimated Fair Values of Financial Instruments – Certain financial instruments are required to be recorded at the estimated fair value. Changes in assumptions or estimation methods could affect the fair value estimates; however, we do not believe any such changes would have a material impact on our financial condition, results of operations or cash flows. Other financial instruments including cash and cash equivalents, restricted cash, and short-term borrowings, including notes payable, are recorded at cost, which approximates estimated fair value. Reclassifications - Certain reclassifications have been made to the prior year financial statements to conform to the current presentation. Recently Issued Accounting Pronouncements – In March 2020, the FASB issued ASU 2020-04 Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. Subsequent to the issuance of ASU 2020-04, ASC 848 was amended by ASU 2021-01 Scope, and ASU 2022-06 Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848 (collectively ASC 848). Topic 848 provides optional guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on contracts, hedging relationships and other transactions that reference LIBOR. These updates are effective immediately and may be applied prospectively to contract modifications made and hedging relationships entered into or evaluated on or before December 31, 2024. The Company adopted the provisions of these updates on October 1, 2022 and applied the guidance prospectively to contract modifications that were entered into for the purpose of establishing a new reference rate during fiscal 2023. Refer to notes 12 and 16 for additional information. The adoption of this guidance did not have a material impact to the Company's financial statements. |
Revenue
Revenue | 12 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Nature of Our Business - The Company, through its operating subsidiaries, is one of the world’s largest manufacturers, marketers and distributors of household batteries, specialty batteries and lighting products, and a leading designer and marketer of automotive fragrance, appearance, performance and air conditioning recharge products. We distribute our products to consumers through numerous retail locations worldwide, including mass merchandisers and warehouse clubs, food, drug and convenience stores, electronics specialty stores and department stores, hardware and automotive centers, e-commerce and military stores. We sell to our customers through a combination of a direct sales force and exclusive and non-exclusive third-party distributors and wholesalers. Our North America sales are generally through large retailers with nationally or regionally recognized brands. Our International sales, which includes Latin America, are comprised of modern trade, developing and distributor market groups. Modern trade, which is most prevalent in Western Europe and more developed economies throughout the world, generally refers to sales through large retailers with nationally or regionally recognized brands. Developing markets generally include sales by wholesalers or small retailers who may not have a national or regional presence. Distributors are utilized in other markets where the Company does not have a direct sales force. Each market's determination is based on the predominant customer type or sales strategy utilized in the market. Supplemental product and market information is presented below for revenues from external customers for the twelve months ended September 30, 2023, 2022 and 2021: For the Twelve Months Ended September 30, Net Sales 2023 2022 2021 Batteries $ 2,233.9 $ 2,298.2 $ 2,276.9 Auto Care 614.8 622.8 618.7 Lights 111.0 129.1 125.9 Total Net Sales $ 2,959.7 $ 3,050.1 $ 3,021.5 For the Twelve Months Ended September 30, Net Sales 2023 2022 2021 North America $ 1,882.1 $ 1,932.0 $ 1,902.1 Modern Markets 495.9 515.9 528.8 Developing Markets 391.6 400.9 393.3 Distributor Markets 190.1 201.3 197.3 Total Net Sales $ 2,959.7 $ 3,050.1 $ 3,021.5 When Performance Obligations are Satisfied - |
Acquisitions
Acquisitions | 12 Months Ended |
Sep. 30, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions | Acquisitions Formulations Acquisition - During the first quarter of fiscal 2021, the Company entered into an agreement with Green Global Holdings, LLC to acquire a North Carolina-based company that specializes in developing formulations for cleaning tasks (Formulations Acquisition). On December 1, 2020, the Formulations Acquisition was completed for a cash purchase price of $51.2. During fiscal 2022, the working capital settlement was finalized, reducing the purchase price by $1.0. The product formulations are both sold to customers directly and licensed to manufacturers. This acquisition was completed to bring innovation capabilities in formulations to the Company. The acquisition was accounted for as a business combination using the acquisition method of accounting which requires assets acquired and liabilities assumed to be recognized at fair value as of the acquisition date. The fair value of proprietary technology acquired and customer relationships were determined by applying the multi-period excess earnings method under the income approach. The following table outlines the purchase price allocation: Trade receivables $ 1.3 Inventories 0.1 Other intangible assets, net 20.5 Operating lease assets 0.5 Accounts payable (0.2) Current operating lease liabilities (0.2) Other current liabilities (0.2) Operating lease liabilities (0.3) Total identifiable net assets $ 21.5 Goodwill 28.7 Net assets acquired $ 50.2 The table below identifies the purchased intangible assets of $20.5: Total Weighted Average Useful Lives Proprietary formulas $ 19.5 7 Customer relationships 1.0 15 Total Other intangible assets, net $ 20.5 The Company finalized the purchase price accounting in fiscal 2022. The goodwill acquired in this acquisition is attributable to the value the Company expects to achieve from the significant innovation capabilities in formulations that the acquired company will bring to our organization, as well as the workforce acquired. The goodwill was allocated to the Americas segment prior to the Company's reorganization of our reportable segments on October 1, 2021. The goodwill is deductible for tax purposes. In conjunction with the acquisition, the Company entered into incentive compensation agreements with certain key personnel. These agreements allow for potential earn out payments of up to $35.0 based on the achievement of a combination of financial and product development and commercialization performance targets and continued employment with the Company over three performance years. These agreements are not considered a component of the acquisition purchase price but rather as employee compensation arrangements. The Company recognized expense of $1.1 and $3.4 during the twelve months ended September 30, 2022 and 2021, respectively. This was recorded on the Consolidated Statement of Earnings and Comprehensive Income in Selling, general and administrative expense and was paid out during fiscal 2022. No amounts were recognized for the second or third performance years under the agreement. During the fourth quarter of fiscal 2023, the Company terminated these agreements and no further earn out amounts will be paid. FDK Indonesia Acquisition - During fourth quarter of fiscal 2020, the Company entered into an agreement with FDK Corporation to acquire its subsidiary PT FDK Indonesia, a battery manufacturing facility (FDK Indonesia Acquisition). On October 1, 2020, the Company completed the acquisition for a contractual purchase price of $18.2. After contractual and working capital adjustments, the Company paid cash of $16.9 and had a working capital adjustment of $0.7 in fiscal 2021. The acquisition of the FDK Indonesia facility increased the Company's alkaline battery production capacity and allows for the avoidance of future planned capital expenditures. The Company finalized their purchase price accounting in the fourth fiscal quarter of 2021. The FDK Indonesia Acquisition is being accounted for as a business combination using the acquisition method of accounting which requires assets acquired and liabilities assumed to be recognized at fair value as of the acquisition date. The fair value of the Property, plant and equipment were estimated using the cost approach. After determining the fair value of the real property acquired, which was greater than the purchase price, the acquisition resulted in a bargain purchase gain of $0.6, which was recorded in Other items, net on the Company’s Consolidated Statement of Earnings. No goodwill or intangibles were identified with the purchase. The following table outlines the purchase price allocation as of the date of acquisition: Cash and cash equivalents $ 1.7 Trade receivables 4.3 Inventories 7.8 Other current assets 1.1 Property, plant and equipment, net 19.4 Other assets 2.8 Accounts payable (10.7) Other current liabilities (0.5) Deferred tax liabilities (0.8) Other liabilities (6.9) Net assets acquired $ 18.2 Custom Accessories Europe Acquisition - On January 31, 2020, the Company entered into a share purchase agreement to acquire Custom Accessories Europe Group International Limited (CAE) for $1.9 in cash. CAE is a well-established marketer of branded automotive accessories throughout the United Kingdom and Europe. CAE partners with major automotive accessory brand owners to identify and develop complimentary brand extensions supported by sourcing and distribution activities. The purchase agreement had earn out payments that could increase the purchase price up to $9.9 if certain financial metrics are achieved over the next three years. During fiscal 2021, CAE achieved the full earn out threshold under the share purchase agreement, resulting in the full consideration of $9.9 to be paid out, including contingent consideration payments of $6.8 during the year. The Company has allocated the purchase price to the assets acquired and liabilities assumed, resulting in identified intangible assets for vendor relationships of approximately $8.0, which were amortized over the three-year lives of the vendor agreements. Belgium Acquisition - Subsequent to the fiscal year, on October 9, 2023, the Company signed an Asset Purchase Agreement with Advanced Power Solutions Belgium NV (APS) to acquire battery manufacturing assets in Belgium for a contractual purchase price of EUR3.5. The Company also acquired raw materials from APS for EUR5.5 in connection with this acquisition. These transactions closed on October 27, 2023. Pro Forma Financial Information - Pro forma results for the Formulations Acquisition, FDK Indonesia Acquisition and CAE acquisition were not considered material and, as such, are not included. Acquisition and Integration Costs- Acquisition and integration costs incurred during fiscal years 2022 and 2021 relate to the FDK Indonesia Acquisition, Formulations Acquisition, the Battery Acquisition and the Auto Care Acquisition. Pre-tax costs incurred were $16.5 and $68.9 in the twelve months ended September 30, 2022, and 2021, respectively. There were no acquisition and integration costs during the twelve months ended September 30, 2023. Pre-tax costs recorded in Costs of products sold were $6.0 and $33.7 for the twelve months ended September 30, 2022, and 2021, respectively, which primarily related to facility exit and integration restructuring costs of $5.2 and $31.9 as discussed in Note 5, Restructuring. Pre-tax acquisition and integration costs recorded in SG&A were $9.4 and $40.0 for the twelve months ended September 30, 2022 and 2021, respectively. In fiscal 2022, the SG&A expenses primarily related to the integration of acquired information technology systems, consulting costs, and retention-related compensation costs. In fiscal 2021, expenses primarily related to consulting fees for the 2020 restructuring program, success incentives, and costs of integrating the information technology systems of the Battery and Auto Care Acquisition businesses. For the twelve months ended September 30, 2022 and 2021 the Company recorded $1.1 each year in Research and development. |
Restructuring
Restructuring | 12 Months Ended |
Sep. 30, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring Project Momentum Restructuring - In November 2022, the Board of Directors approved a profit recovery program, Project Momentum, which includes an enterprise-wide restructuring focused on recovering operating margins, optimizing our manufacturing, distribution and global supply chain networks, and enhancing our organizational efficiency throughout the Company. In July 2023, the Company's Board of Directors approved an expansion to the Project Momentum profit recovery program and delegated authority to the Company's management to determine the final actions with respect to the plan. The expansion of this program will include an additional year, which will allow for additional optimization of our battery manufacturing, distribution and global supply chain networks, further review of our global real estate footprint and the implementation of IT systems that will allow us to streamline our organization and fully execute the program. Based on the expanded scope and additional year, incremental costs will be incurred to successfully execute the program. It is estimated that the Company will incur total pre-tax exit-related cash operating costs associated with these plans of approximately $95 to $110, non-cash costs of approximately $12, and capital expenditures of $70 to $80 through the end of fiscal 2025. 2019 Restructuring Program - In the fourth fiscal quarter of 2019, the Company began implementing restructuring related integration plans for our manufacturing and distribution networks. These plans include the closure and combination of distribution and manufacturing facilities in order to reduce complexity and realize greater efficiencies in our manufacturing, packaging and distribution processes. All activities within this plan were substantially complete by December 31, 2021 and the Company does not expect to incur additional material charges associated with these plans. Part of this plan was the exit of our Dixon, IL leased packaging facility, which the Company vacated during the first quarter of fiscal 2022. In the third quarter of fiscal 2022, the Company entered into a termination agreement with the landlord. The Company terminated the lease agreement, which went into 2028, reducing the finance lease obligations by $9.8. The termination agreement required the Company to pay a termination fee of $4.0, as well as decommissioning costs and brokerage fees. Since the Company has already vacated the facility as a part of the 2019 restructuring program, most assets associated with the location have already been fully depreciated. The termination of this lease resulted in a gain of $4.5 recognized in Other items, net during fiscal 2022. 2020 Restructuring Program - In the fourth fiscal quarter of 2020, the Company initiated a new restructuring program with a primary focus on reorganizing its global end-to-end supply chain network and ensuring accountability by category. This program includes streamlining the Company’s end-to-end supply chain model to enable rapid response to category specific demands and enhancing our ability to better serve our customers. Planning and execution of this program began in fiscal year 2021 and this program was substantially complete by December 31, 2021 and the Company does not expect to incur additional material charges associated with these plans. The pre-tax expense for charges related to the restructuring plans during the twelve months ended September 30, 2023, 2022 and 2021 are noted in the table below, and were reflected in Cost of products sold, Selling, general and administrative expense, Research and development, and Other items, net on the Consolidated Statement of Earnings and Comprehensive Income: For the Years Ended September 30, 2023 2022 2021 2019 Restructuring Program Costs of products sold Severance and related benefit costs $ — $ (0.1) $ 0.1 Accelerated depreciation and asset write-offs — 1.2 6.7 Other exit costs (1) — 2.8 16.5 Other items, net Gain on termination of finance lease (2) $ — (4.5) — Gain on sale of fixed assets (3) $ — — (3.3) Total 2019 Restructuring Costs $ — $ (0.6) $ 20.0 2020 Restructuring Program Costs of products sold Severance and related benefit costs $ — $ 0.2 $ 0.5 Other restructuring related costs (4) — 1.1 8.1 Selling, general and administrate expense Severance and related benefit costs — 0.1 0.5 Other restructuring related costs (4) — — 7.5 Research and development expense Severance and related benefit costs — — 0.2 Total 2020 Restructuring Costs $ — $ 1.4 $ 16.8 Project Momentum Restructuring Program Costs of products sold Severance and related benefit costs $ 7.7 $ — $ — Accelerated depreciation and asset write-offs 6.2 — — Other restructuring related costs (1) 16.0 — — Selling, general and administrate expense Severance and related benefit costs 10.7 — — Accelerated depreciation and asset write-offs 1.3 — — Other restructuring related costs (4) 14.7 0.9 — Other items, net (0.2) — — Momentum Restructuring Cost Total $ 56.4 $ 0.9 $ — IT enablement (5) $ 3.3 $ — $ — Total Restructuring and Related Costs $ 59.7 $ 1.7 $ 36.8 (1) Includes charges primarily related to relocation, environmental investigatory and mitigation costs, consulting, and other facility exit costs. (2) The gain relates to the exit of our Dixon, IL leased packaging facility, which was a finance leased location. The Company vacated the facility and entered into a termination agreement with the landlord during fiscal year 2022. (3) Relates to the sale of the Guatemala battery manufacturing facility in September 2021 net of closing costs, legal fees, and fixed asset write-offs. Net cash proceeds were $5.5. (4) Primarily includes consulting, legal fees and contract termination costs for the restructuring program. (5) Relates to expenses for new IT systems that are enabling the Company to complete restructuring initiatives. Costs are included in Selling, general and administrative expense in the Consolidated Statement of Earnings and Comprehensive Income. A lthough the Company's restructuring costs are recorded outside of segment profit, if allocated to our reportable segments, the restructuring costs noted above for fiscal 2023 would have been included in our Batteries & Lights and Auto Care segments in the amount of $52.7 and $7.0, respectively. The restructuring costs noted above for fiscal year 2022 would have been included in our Batteries & lights and Auto Care segments in the amount of $1.3 and $0.4, respectively. The restructuring costs noted above for fiscal year 2021 would have been incurred within our Batteries & Lights and Auto Care segments in the amount of $30.7 and $6.1, respectively. The following table summarizes the activity related to the Project Momentum restructuring program for the twelve Months Ended September 30, 2023, and 2022: Utilized Project Momentum Restructuring Program September 30, 2022 Charge to Income Cash Non-Cash September 30, 2023 (1) Severance & termination related costs $ — $ 18.4 $ 3.0 $ — $ 15.4 Accelerated depreciation & asset write-offs — 7.5 — 7.5 — Other restructuring related costs 0.9 30.5 28.0 0.1 3.3 IT enablement — 3.3 2.3 0.1 0.9 Total Project Momentum restructuring and related costs $ 0.9 $ 59.7 $ 33.3 $ 7.7 $ 19.6 (1) At September 30, 2023 th e restructuring reserve is recorded on the Consolidated (Condensed) Balance Sheet in Other current liabilities and Other long term liabilities. Refer to Note 19, Supplemental Financial Statement Information for additional details. The following table summarizes the activity related to the 2019 restructuring program for the twelve Months Ended September 30, 2023, 2022, and 2021 : Utilized 2019 Restructuring Program September 30, 2020 Charge to Income Cash Non-Cash September 30, 2021 Severance & termination related costs $ 5.3 $ 0.1 $ 4.0 $ — $ 1.4 Accelerated depreciation & asset write-offs — 6.7 — 6.7 — Gain on sale of fixed assets — (3.3) (5.5) 1.7 0.5 Other exit costs 2.9 16.5 17.2 — 2.2 Total $ 8.2 $ 20.0 $ 15.7 $ 8.4 $ 4.1 September 30, 2021 Charge to Income Cash Non-Cash September 30, 2022 (1) Severance & termination related costs $ 1.4 $ (0.1) $ 1.2 $ — $ 0.1 Accelerated depreciation & asset write-offs — 1.2 — 1.2 — Gain on sale of fixed assets 0.5 — 0.5 — — Gain on termination of finance lease — (4.5) 5.1 (9.6) — Other exit costs 2.2 2.8 5.0 — — Total $ 4.1 $ (0.6) $ 11.8 $ (8.4) $ 0.1 September 30, 2022 Charge to Income Cash Non-Cash September 30, 2023 Severance & termination related costs $ 0.1 $ — $ 0.1 $ — $ — Total $ 0.1 $ — $ 0.1 $ — $ — (1) At September 30, 2022, the restructuring reserve is recorded on the Consolidated Balance Sheet in Other current liabilities. The following table summarizes the activity related to the 2020 restructuring program for the Twelve Months Ended September 30, 2023, 2022, and 2021 : Utilized 2020 Restructuring Program September 30, 2020 Charge to Income Cash Non-Cash September 30, 2021 Severance & termination related costs $ 0.4 $ 1.2 $ 0.7 $ — $ 0.9 Other restructuring related costs 0.8 15.6 15.7 — $ 0.7 Total $ 1.2 $ 16.8 $ 16.4 $ — $ 1.6 September 30, 2021 Charge to Income Cash Non-Cash September 30, 2022 (1) Severance & termination related costs $ 0.9 $ 0.3 $ 0.5 $ — $ 0.7 Other restructuring related costs 0.7 1.1 1.8 — $ — Total $ 1.6 $ 1.4 $ 2.3 $ — $ 0.7 September 30, 2022 Charge to Income Cash Non-Cash September 30, 2023 Severance & termination related costs $ 0.7 $ — $ 0.7 $ — $ — Other restructuring related costs $ — $ — $ — — Total $ 0.7 $ — $ 0.7 $ — $ — (1) At September 30, 2022 the restructuring reserve is recorded on the Consolidated Balance Sheet in Other current liabilities. |
Income Taxes
Income Taxes | 12 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The provisions/(benefit) for income taxes consisted of the following: For the Years Ended September 30, 2023 2022 2021 Current: United States - Federal $ 14.4 $ (1.9) $ 4.7 State 5.3 3.5 1.6 Foreign 54.0 59.7 49.9 Total current $ 73.7 $ 61.3 $ 56.2 Deferred: United States - Federal (34.8) (113.1) (57.8) State (4.5) (14.2) (3.8) Foreign 0.8 (8.0) (1.3) Total deferred $ (38.5) $ (135.3) $ (62.9) Provision/(benefit) for income taxes $ 35.2 $ (74.0) $ (6.7) The source of pre-tax earnings/(loss) was: For the Years Ended September 30, 2023 2022 2021 United States $ (105.3) $ (554.5) $ (90.1) Foreign 281.0 249.0 244.3 Pre-tax (loss)/earnings $ 175.7 $ (305.5) $ 154.2 A reconciliation of income tax provision/(benefit) with the amounts computed at the statutory federal income tax rate follows: For the Years Ended September 30, 2023 2022 2021 Computed tax at federal statutory rate $ 36.9 21.0 % $ (64.2) 21.0 % $ 32.4 21.0 % State income taxes, net of federal tax benefit (0.6) (0.3) (9.7) 3.2 0.2 0.1 Foreign rate differential (4.2) (2.4) 4.4 (1.4) 0.8 0.5 Adjustments to prior years' tax accruals 3.1 1.8 1.0 (0.3) 0.6 0.4 Other taxes including repatriation of foreign earnings and GILTI 2.5 1.4 2.4 (0.8) 5.5 3.6 Foreign tax incentives (2.1) (1.2) (2.8) 0.9 (3.7) (2.4) Uncertain tax positions (3.2) (1.8) (10.1) 3.3 0.2 0.1 Debt refinancing — — — — (3.4) (2.2) Tax structuring — — — — (39.5) (25.6) Other, net 2.8 1.5 5.0 (1.7) 0.2 0.2 Total $ 35.2 20.0 % $ (74.0) 24.2 % $ (6.7) (4.3) % The Company was granted a foreign tax incentives providing for a reduced tax rate on profits related to certain battery productions which expired in March 2023. The deferred tax assets and deferred tax liabilities at the end of each year are as follows: September 30, 2023 2022 Deferred tax assets: Accrued liabilities $ 38.6 $ 30.1 Deferred and stock-related compensation 11.2 10.8 Tax loss carryforwards and tax credits 18.8 22.2 Intangible assets 2.7 2.6 Pension plans 7.5 6.2 Inventory differences and other tax assets 20.8 14.7 Operating lease assets 24.3 24.0 Interest expense limited under Sec 163j 117.0 110.6 Gross deferred tax assets 240.9 221.2 Deferred tax liabilities: Depreciation and property differences (22.2) (25.2) Intangible assets (85.8) (87.8) Operating lease liabilities (24.1) (23.8) Other tax liabilities (26.8) (28.9) Gross deferred tax liabilities (158.9) (165.7) Valuation allowance (6.0) (11.6) Net deferred tax assets/(liabilities) $ 76.0 $ 43.9 Future expirations of tax loss carryforwards and tax credits, if not utilized, are $3.7 between fiscal years 2024 and 2026 at September 30, 2023. In addition, there are $10.9 of tax loss carryforwards and credits with no expiration at September 30, 2023. The valuation allowance is primarily attributed to tax loss carryforwards and tax credits outside the U.S. In general, it is our practice and intention to permanently reinvest the earnings of our foreign subsidiaries and repatriate earnings only when the tax impact is zero or very minimal. No provision has been provided for taxes that would result upon repatriation of our foreign investments to the United States. At September 30, 2023, approximately $1,154 of basis differential in our investment in foreign affiliates was considered indefinitely invested in those businesses. We estimate that the U.S. federal income tax liability that could potentially arise if indefinitely invested basis of foreign subsidiaries were repatriated in full to the U.S. would be significant. While it is not practicable to calculate a specific potential U.S. tax exposure due to changing statutory rates in foreign jurisdictions over time, as well as other factors, we estimate the potential U.S. tax may be in excess of $242, if all unrealized basis differences were repatriated assuming foreign cash was available to do so. The unrecognized tax benefits activity is summarized below: For the Years Ended September 30, 2023 2022 2021 Unrecognized tax benefits, beginning of year $ 9.2 $ 13.5 $ 14.2 Additions based on current year tax positions and acquisitions — — 0.1 Additions based on prior year tax positions and acquisitions — — 2.6 Settlements with taxing authorities/statute expirations (2.1) (4.3) (3.4) Unrecognized tax benefits, end of year $ 7.1 $ 9.2 $ 13.5 Included in the unrecognized tax benefits noted above are $7.1 of uncertain tax positions that would affect Energizer’s effective tax rate, if recognized. Energizer does not expect any significant increases or decreases to their unrecognized tax benefits within twelve months of this reporting date. In the Consolidated Balance Sheets, unrecognized tax benefits are classified as Other liabilities (non-current) to the extent that payments are not anticipated within one year. Energizer classifies accrued interest and penalties related to unrecognized tax benefits in the income tax provision. The accrued interest and penalties are not included in the table above. Energizer has accrued $2.2 of interest (net of the deferred tax asset of $0.2) and penalties of $0.9 at September 30, 2023, $3.0 of interest (net of the deferred tax asset of $0.1) and penalties of $1.2 at September 30, 2022, and $4.9 of interest (net of the deferred tax asset of $0.7) and penalties of $3.9 at September 30, 2021. Interest was computed on the difference between the tax position recognized in accordance with GAAP and the amount expected to be taken in the Company's tax return. The Company files income tax returns in the U.S. federal jurisdiction, various cities and states, and more than 50 foreign jurisdictions where Energizer has operations. U.S. federal, state and local income tax returns for tax years ended September 30, 2018 and after remain subject to examination by the Internal Revenue Service. There are open examinations in the U.S. and at some of the foreign entities and the status of income tax examinations varies by jurisdiction. At this time, Energizer does not anticipate any material adjustments to its financial statements resulting from tax examinations currently in progress. The Company is contractually indemnified by Spectrum for any tax liability of the Acquired Battery and Auto Care Businesses arising from tax years prior to the acquisitions. The Company is also contractually obligated to pay Spectrum any tax benefit it receives in a tax year after the acquisitions as a result of an indemnification payment made by Spectrum. An indemnification asset and liability, where necessary, has been recorded to reflect this arrangement. The Company has also indemnified VARTA AG for certain tax liabilities that existed as of the divestment date. An indemnification asset or liability, where necessary, has been recorded to reflect these arrangements. |
Share-Based Payments
Share-Based Payments | 12 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Payments | Share-Based Payments The Board of Directors adopted the Energizer Holdings, Inc. Equity Incentive Plan (2015 Plan) on July 1, 2015, upon completion of the Spin-off. Under the terms of the 2015 Plan, stock options, restricted stock awards, restricted stock equivalents, stock appreciation rights and performance-based stock awards may be granted to directors, officers, consultants, advisors and employees of the Company. The 2015 Plan reserved 10 million shares of common stock for issuance under that plan. On January 27, 2020, the Company’s shareholders approved the Energizer Holdings, Inc. Omnibus Incentive Plan (2020 Plan). The 2020 Plan replaced and superseded the 2015 Plan for new grants, though the terms of the 2015 Plan will continue to govern all awards granted under that plan. Under the 2020 Plan, stock options, stock appreciation rights, restricted stock and restricted stock units (time-based and performance-based), other stock awards and cash-based awards may be granted to directors, officers, consultants, advisors and employees of the Company. The 2020 Plan reserved 6.5 million shares for issuance under that plan as well as the shares that were still available for issuance under the 2015 Plan. On January 30, 2023, the Company’s shareholders approved the Energizer Holdings, Inc. 2023 Omnibus Incentive Plan (2023 Plan). The 2023 Plan replaced and superseded the 2020 Plan for new grants, though the terms of the 2020 Plan will continue to govern all awards granted under that plan. Under the 2023 Plan, stock options, stock appreciation rights, restricted stock and restricted stock units (time-based and performance-based), other stock awards and cash-based awards may be granted to directors, officers, consultants, advisors and employees of the Company. The 2023 Plan authorized 4.3 million shares for issuance under that plan as well as the shares that were still available for issuance under the 2020 Plan. At September 30, 2023, there were 7.9 million shares available for future awards under the 2023 Omnibus Plan. Total compensation cost charged against income for the Company’s share-based compensation arrangements was $22.2, $13.2 and $10.2 for the years ended September 30, 2023, 2022 and 2021, respectively, and was recorded in SG&A expense. The total income tax benefit recognized in the Consolidated Statements of Earnings and Comprehensive Income for share-based compensation arrangements was $3.5, $2.1 and $2.3 for the years ended September 30, 2023, 2022 and 2021, respectively. Restricted Stock Units (RSU) In November 2019, the Company granted RSU awards to a group of key employees of approximately 134,000 shares that vest ratably over four years. The closing stock price on the date of the grant used to determine the award fair value was $43.10. In November 2020, the Company granted RSU awards to a group of key employees of approximately 120,000 shares that vest ratably over four years and granted RSU awards to a group of key executives of approximately 71,000 shares that vest on the third anniversary of the date of grant. In addition, the Company granted approximately 272,000 performance shares to a group of key employees and key executives that will vest subject to meeting target amounts for both cumulative adjusted earnings per share and cumulative free cash flow as a percentage of sales over the three year performance period. These performance measures are equally weighted in determining the final share award with the maximum award payout of approximately 544,000 shares. The closing stock price on the date of the grant used to determine the award fair value was $42.98. In November 2021, the Company granted RSU awards to a group of key employees of approximately 140,000 shares that vest ratably over four years and granted RSU awards to a group of key executives of approximately 113,000 shares that vest on the third anniversary of the date of grant. In addition, the Company granted approximately 393,000 performance shares to a group of key employees and key executives that will vest subject to two performance requirements. Half of the awards will vest based on meeting target amounts for cumulative adjusted earnings per share and the other half will vest based on total shareholder return ("TSR") metrics compared to the Company's performance peer group over the three year performance period. These performance measures are equally weighted with the maximum award payout of approximately 786,000 shares. The closing stock price on the date of the grant used to determine the award fair value for the cumulative adjusted earnings per share portion of the award was $38.75. In November 2022, the Company granted RSU awards to a group of key employees of approximately 391,000 shares that vest ratably over four years and granted RSU awards to a group of key executives of approximately 138,000 shares that vest on the third anniversary of the date of grant. In addition, the Company granted approximately 322,000 performance shares to a group of key executives that will vest subject to two performance requirements. Half of the awards will vest based on meeting target amounts for cumulative adjusted earnings per share and the other half will vest based on TSR metrics compared to the Company's performance peer group over the three year performance period. These performance measures are equally weighted with the maximum award payout of approximately 644,000 shares. The closing stock price on the date of the grant used to determine the award fair value for the cumulative adjusted earnings per share portion of the award was $29.23 The portion of the November 2021 and 2022 performance awards that are contingent upon achievement of the TSR have a 45.7% and 53.7% fair value premium, respectively, added to the closing stock price on the date of the grant based on a simulation of outcomes under a Monte Carlo valuation model. The assumptions for the valuation of TSR performance shares granted during the year ended September 30, 2023 and 2022 are summarized in the table below: Fiscal Year 2023 Fiscal Year 2022 Expected term (in years) 3.0 3.0 Expected volatility 41.1 % 42.3 % Expected dividend rate 4.1 % 3.1 % Expected risk-free rate 4.6 % 0.8 % Fair value of TSR award at grant $44.92 $56.45 The expected volatility rate for Energizer and the peer companies was based on historical stock price movements. The risk free rate is based on the U.S. Treasury constant maturities yield on the grant date for the remaining length of the performance period. The following table summarizes the Company's RSU activity (including performance awards at stretch) during the current fiscal year (shares in millions): Shares Weighted-Average Nonvested RSU at October 1, 2022 2.5 $ 43.64 Granted 1.2 $ 33.56 Vested (0.2) $ 41.63 Cancelled (0.8) $ 40.30 Nonvested RSU at September 30, 2023 2.7 $ 38.72 As of September 30, 2023, there was an estimated $30.0 of total unrecognized compensation costs related to the outstanding RSU awards, which will be recognized over a weighted-average period of 1.1 years. The weighted average estimated fair value for RSU awards granted was $40.8, $52.5, and $37.1 for September 30, 2023, 2022 and 2021, respectively. The estimated fair value of RSU awards that vested was $10.6, $12.1, and $21.7 in fiscal 2023, 2022 and 2021, respectively. Subsequent to year-end, in November 2023, the Company granted RSU awards to a group of key employees of approximately 310,000 shares that vest ratably over four years and granted RSU awards to a group of key executives of approximately 107,000 shares that vest on the third anniversary of the date of grant. In addition, the Company granted approximately 250,000 performance shares to a group of key executives that will vest subject to meeting certain performance metrics over the three year performance period. The maximum award payout of approximately 500,000 shares. The closing stock price on the date of the grant used to determine the award fair value was $33.57. |
Earnings per share
Earnings per share | 12 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings per share | Earnings per share Basic earnings/(loss) per share is based on the average number of common shares outstanding during the period. Diluted earnings/(loss) per share is based on the average number of shares used for the basic earnings/(loss) per share calculation, adjusted for the dilutive effect of restricted stock units, performance shares, deferred compensation equity plan and Mandatory Convertible Preferred Stock (MCPS). During the second quarter of fiscal year 2022, the MCPS were converted to approximately 4.7 million shares of Common stock. For the twelve months ended September 30, 2022, the issued common shares are included in the basic weighted average common shares outstanding for the period subsequent to the conversion, and included in the diluted calculation prior to their conversion using the if-converted method and are only included if the conversion would be further dilutive to the calculation. The Company's MCPS were considered anti-dilutive for the years ended September 30, 2022 and 2021 and excluded from the calculations of diluted earnings/(loss). The following table sets forth the computation of basic and diluted earnings/(loss) per share for the years ended September 30, 2023, 2022 and 2021: For the Years Ended September 30, (in millions, except per share data) 2023 2022 2021 Basic earnings / (loss) per share Net earnings/(loss) $ 140.5 $ (231.5) $ 160.9 Mandatory preferred stock dividends — (4.0) (16.2) Net earnings/(loss) attributable to common shareholders $ 140.5 $ (235.5) $ 144.7 Weighted average common shares outstanding - basic 71.5 69.9 68.2 Basic net earnings/(loss) per common share $ 1.97 $ (3.37) $ 2.12 Diluted earnings / (loss) per share Net earnings/(loss) attributable to common shareholders $ 140.5 $ (235.5) $ 144.7 Weighted average common shares outstanding - basic 71.5 69.9 68.2 Effect of dilutive restricted stock units 0.4 — 0.2 Effect of dilutive performance shares 0.5 — 0.2 Effect of stock based deferred compensation plan — — 0.1 Weighted average common shares outstanding - diluted 72.4 69.9 68.7 Diluted net earnings/(loss) per common share $ 1.94 $ (3.37) $ 2.11 For the year ended September 30, 2023, all outstanding RSU were dilutive and included in the diluted net earnings per share calculations. Performance based restricted stock units of 1.2 million were excluded from the diluted weighted average shares outstanding calculation as the performance targets for those shares had not been achieved as of the end of the current period. For the year ended September 30, 2022, the Company was in a net loss position and all of the 0.8 million of outstanding RSU, 1.7 million of performance shares and 0.1 million deferred compensation awards were excluded from the diluted weighted average shares outstanding calculation as their inclusion would be anti-dilutive. |
Segments
Segments | 12 Months Ended |
Sep. 30, 2023 | |
Segment Reporting [Abstract] | |
Segments | Segments During fiscal year 2022, the Company changed its reportable and operating segments from two geographical segments, previously Americas and International, to two product groupings, Battery & Lights and Auto Care. This change came with the completion of the Battery and Auto Care Acquisition integrations in fiscal 2022. The Company changed its reporting structure to better reflect what the chief operating decision maker is reviewing to make organizational decisions and resource allocations. Segment performance is evaluated based on segment operating profit, exclusive of general corporate expenses (including share-based compensation costs), Project Momentum restructuring and related charges, acquisition and integration activities, acquisition earn out, amortization of intangibles, impairment of goodwill and intangible assets, the costs of the flooding of our manufacturing facility in Brazil, the costs of exiting the Russian market, and other items determined to be corporate in nature. Financial items, such as interest income and expense, (gain)/loss on extinguishment of debt, settlement loss on U.S. pension annuity buy out, and gain on finance lease termination are managed on a global basis at the corporate level. The exclusion of these costs from segment results reflects management’s view on how it evaluates segment performance. The Company also excludes amortization of intangibles and impairment of goodwill and intangible assets from segments as these are non-cash items related to the original purchase of the intangibles and not utilized to evaluate current segment performance. Energizer’s operating model includes a combination of standalone and shared business functions between the product segments, varying by country and region of the world. Shared functions include the sales and marketing functions, as well as human resources, IT and finance shared service costs. Energizer applies a fully allocated cost basis, in which shared business functions are allocated between segments. Such allocations are estimates, and do not represent the costs of such services if performed on a standalone basis. Segment sales and profitability for the fiscal years ended September 30, 2023, 2022, and 2021 are presented below: For the Years Ended September 30, Net Sales 2023 2022 2021 Batteries & Lights $ 2,344.9 $ 2,427.3 $ 2,402.8 Auto Care 614.8 622.8 618.7 Total net sales $ 2,959.7 $ 3,050.1 $ 3,021.5 Segment Profit Batteries & Lights 551.5 553.6 553.6 Auto Care 75.0 46.5 98.2 Total segment profit $ 626.5 $ 600.1 $ 651.8 General corporate and other expenses (1) (107.2) (101.6) (96.0) Project Momentum restructuring and related costs (2) (59.7) (0.9) — Acquisition and integration costs (3) — (16.5) (68.9) Acquisition earn out (4) — (1.1) (3.4) Amortization of intangible assets (59.4) (61.1) (61.2) Impairment of goodwill & intangible assets — (541.9) — Interest expense (168.7) (158.4) (161.8) Gain/(loss) on extinguishment of debt 1.5 — (103.3) Settlement loss on U.S. pension annuity buy out (5) (50.2) — — Exit of Russian market (6) — (14.6) — Gain on finance lease termination (7) — 4.5 — Brazil flood damage, net of insurance proceeds (8) — (9.7) — Other items, net - adjusted (9) (7.1) (4.3) (3.0) Total earnings/(loss) before income taxes $ 175.7 $ (305.5) $ 154.2 (1) Recorded in Selling, general, and administrative expense on the Consolidated Statement of Earnings and Comprehensive Income. (2) Project Momentum restructuring and related costs were included in the following lines in the Consolidated Statement of Earnings and Comprehensive Income: For the Years Ended September 30, Project Momentum restructuring and related costs 2023 2022 2021 Cost of products sold $ 29.9 $ — $ — SG&A - Restructuring 26.7 0.9 — SG&A - IT Enablement 3.3 — — Other items, net (0.2) — — Total Project Momentum restructuring and related costs $ 59.7 $ 0.9 $ — (3) Acquisition and integration costs were included in the following lines in the Consolidated Statement of Earnings and Comprehensive Income: For the Years Ended September 30, Acquisition and Integration Costs 2023 2022 2021 Cost of products sold $ — $ 6.0 $ 33.7 SG&A — 9.4 40.0 Research and development — 1.1 1.1 Other items, net — — (5.9) Total Acquisition and Integration Costs $ — $ 16.5 $ 68.9 (4) This represents the earn out achieved under the incentive agreements entered into with the Formulations Acquisition and is recorded in Selling, general and administrative expense on the Consolidated Statement of Earnings and Comprehensive Income. (5) The Settlement loss is due to the execution of a partial retiree annuity buy out on the U.S. pension plan in the fourth quarter of fiscal 2023. This charge is included in Other items, net in the Consolidated Statement of Earnings and Comprehensive Income. (6) These are the costs associated with the Company's exit of the Russian market during fiscal 2022. Exiting the Russian market resulted in Cost of products sold of $1.3 related to the impairment of inventory in Russia and shipping costs to get inventory to other markets, impairment of other assets and severance recorded in SG&A of $5.8 and currency impacts recorded in Other items, net of $7.5 on the Consolidated Statement of Earnings and Comprehensive Income. (7) This represents the termination of a finance lease in fiscal year 2022 associated with a facility that was exited as a part of the Company's 2019 Restructuring program. The gain was recorded in Other items, net in the Consolidated Statement of Earnings and Comprehensive Income . (8) These are the costs associated with the May 2022 flooding of our Brazilian manufacturing facility, which were recorded in Cost of products sold on the Consolidated Statement of Earnings and Comprehensive Income, net of insurance proceeds. The majority is related to write off of damaged inventory. (9) Other items, net on the Consolidated Statements of Earnings and Comprehensive Income included the U.S. pension settlement charge of $50.2 and a restructuring benefit of $0.2 for the twelve months ended September 30, 2023, costs associated with the exit of the Russian market of $7.5 and a $4.5 gain on the termination of a finance lease in the twelve months ended September 30, 2022, and an acquisition and integration gain of $5.9 for the twelve months ended September 30, 2021, all of which have been reclassified from Other items, net within the reconciliation above. Corporate assets shown in the following table include cash, all financial instruments, pension assets, amounts indemnified by Spectrum per the purchase agreements and tax asset balances that are managed outside of operating segments. September 30, Total Assets 2023 2022 Batteries & Lights $ 1,362.0 $ 1,366.0 Auto Care 423.5 453.7 Total segment assets $ 1,785.5 $ 1,819.7 Corporate 470.2 453.5 Goodwill and other intangible assets, net 2,253.9 2,298.9 Total assets $ 4,509.6 $ 4,572.1 September 30, Long-Lived Assets 2023 2022 United States $ 510.7 $ 497.7 Singapore 56.2 62.1 United Kingdom 61.2 52.6 Other International 71.0 70.8 Total long-lived assets excluding goodwill and intangibles $ 699.1 $ 683.2 Capital expenditures and depreciation and amortization by segment for the years ended September 30 are as follows: For the Years Ended September 30, Capital Expenditures 2023 2022 2021 Batteries & Lights $ 47.8 $ 65.8 $ 57.3 Auto Care 9.0 12.0 7.6 Total segment capital expenditures $ 56.8 $ 77.8 $ 64.9 Depreciation and Amortization Batteries & Lights $ 52.2 $ 50.6 $ 49.0 Auto Care 11.1 9.9 8.3 Total segment depreciation and amortization 63.3 60.5 57.3 Amortization of intangible assets 59.4 61.1 61.2 Total depreciation and amortization $ 122.7 $ 121.6 $ 118.5 Geographic segment information for the years ended September 30 are as follows: For the Years Ended September 30, Net Sales to Customers 2023 2022 2021 United States $ 1,751.1 $ 1,799.5 $ 1,788.3 International 1,208.6 1,250.6 1,233.2 Total net sales $ 2,959.7 $ 3,050.1 $ 3,021.5 |
Leases
Leases | 12 Months Ended |
Sep. 30, 2023 | |
Leases [Abstract] | |
Leases | Leases The Company determines whether an arrangement contains a lease at the inception of the contract by determining if the contract conveys the right to control the use of identified property, plant or equipment for a period of time in exchange for consideration. Energizer's portfolio of leases contains certain real estate, equipment, vehicles and office equipment leases. Leases with an initial term of 12 months or less are not recorded on the balance sheet. Additionally, the Company's leases do not contain material residual value guarantees or material restrictive covenants. Operating lease right-of-use assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. The Company does not account for lease components separately from non-lease components. The discount rate used to calculate present value for both operating and financing leases is Energizer's incremental borrowing rate based on information available at the commencement date, or if available, the rate implicit in the lease. The incremental borrowing rate used is determined based on fully secured borrowings at the time of lease commencement. Many of these agreements contain options to renew or terminate the lease. For calculating lease liabilities, the Company includes these options within the lease term when it is reasonably certain that the Company will execute such options. Some of the leases include variable payments, which primarily are tied to asset usage or sales rather than an index or rate. As such, these variable payments are not included in the calculation of the Company's lease assets and liabilities. In April 2022, the Company entered into a termination agreement with the landlord of our finance lease in Dixon, IL. The Company terminated the lease agreement, which went into 2028, reducing our finance lease obligations by $9.8. The termination agreement required the Company to pay a termination fee of $4.0, as well as decommissioning costs and brokerage fees. Since the Company had already vacated the facility as a part of the 2019 restructuring program, most assets associated with the location were already been fully depreciated. The termination of this lease resulted in a gain of $4.5 recognized in Other items, net during fiscal 2022. As of September 30, 2023 and 2022 the amounts for leases included on our Consolidated Balance Sheet include: Balance Sheet Location September 30, 2023 September 30, 2022 Operating Leases: Operating lease assets $ 98.4 $ 100.1 Operating lease liabilities - current 17.3 15.8 Operating lease liabilities 84.7 88.2 Total Operating Lease Liabilities $ 102.0 $ 104.0 Weighted-average remaining lease term (in years) 15.5 15.2 Weighted-average discount rate 4.1 % 4.0 % Finance Leases: Property, plant and equipment, net $ 31.1 $ 32.6 Current portion of finance leases 0.3 0.4 Long-term debt 31.7 31.9 Total Finance Lease Liabilities $ 32.0 $ 32.3 Weighted Average remaining lease term (in years) 22.5 23.5 Weighted-average discount rate 6.7 % 6.7 % The following table presents the components of lease expense: For the Years Ended September 30, 2023 2022 2021 Operating lease costs $ 19.9 $ 19.7 $ 20.3 Finance lease costs: Amortization of assets 1.2 2.5 3.2 Interest on lease liabilities 2.1 2.5 2.9 Variable lease costs 1.3 1.3 3.6 Total lease costs $ 24.5 $ 26.0 $ 30.0 Supplemental cash and non-cash information related to leases: For the Years Ended September 30, 2023 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 20.5 $ 20.4 $ 18.9 Operating cash flows from finance leases 2.1 2.5 2.9 Financing cash flows from finance leases (1) 0.3 5.0 1.6 Non-cash increase in lease assets and lease liabilities: Operating leases (2) $ 13.0 $ 6.4 $ 5.3 (1) Financing cash flows from finance leases in fiscal year 2022 includes the $4.0 termination fee for the Dixon, IL finance lease termination discussed above. (2) The fiscal 2023 increase in operating lease assets and liabilities was primarily driven by the Project Momentum network reorganization and real estate optimization programs, as well as normal lease renewals occurring through normal course of business. The fiscal 2022 and 2021 increase in operating lease assets and liabilities includes normal lease renewals and immaterial lease modifications occurring through the normal course of business. Minimum lease payments under operating and finance leases with non-cancellable terms in excess of one year as of September 30, 2023 are as follows: Operating Leases Finance Leases 2024 $ 20.4 $ 2.5 2025 18.7 2.5 2026 13.6 2.5 2027 9.3 2.6 2028 9.0 2.6 Thereafter 74.2 53.5 Total lease payments 145.2 66.2 Less: Imputed interest (43.2) (34.2) Present value of lease liabilities $ 102.0 $ 32.0 |
Leases | Leases The Company determines whether an arrangement contains a lease at the inception of the contract by determining if the contract conveys the right to control the use of identified property, plant or equipment for a period of time in exchange for consideration. Energizer's portfolio of leases contains certain real estate, equipment, vehicles and office equipment leases. Leases with an initial term of 12 months or less are not recorded on the balance sheet. Additionally, the Company's leases do not contain material residual value guarantees or material restrictive covenants. Operating lease right-of-use assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. The Company does not account for lease components separately from non-lease components. The discount rate used to calculate present value for both operating and financing leases is Energizer's incremental borrowing rate based on information available at the commencement date, or if available, the rate implicit in the lease. The incremental borrowing rate used is determined based on fully secured borrowings at the time of lease commencement. Many of these agreements contain options to renew or terminate the lease. For calculating lease liabilities, the Company includes these options within the lease term when it is reasonably certain that the Company will execute such options. Some of the leases include variable payments, which primarily are tied to asset usage or sales rather than an index or rate. As such, these variable payments are not included in the calculation of the Company's lease assets and liabilities. In April 2022, the Company entered into a termination agreement with the landlord of our finance lease in Dixon, IL. The Company terminated the lease agreement, which went into 2028, reducing our finance lease obligations by $9.8. The termination agreement required the Company to pay a termination fee of $4.0, as well as decommissioning costs and brokerage fees. Since the Company had already vacated the facility as a part of the 2019 restructuring program, most assets associated with the location were already been fully depreciated. The termination of this lease resulted in a gain of $4.5 recognized in Other items, net during fiscal 2022. As of September 30, 2023 and 2022 the amounts for leases included on our Consolidated Balance Sheet include: Balance Sheet Location September 30, 2023 September 30, 2022 Operating Leases: Operating lease assets $ 98.4 $ 100.1 Operating lease liabilities - current 17.3 15.8 Operating lease liabilities 84.7 88.2 Total Operating Lease Liabilities $ 102.0 $ 104.0 Weighted-average remaining lease term (in years) 15.5 15.2 Weighted-average discount rate 4.1 % 4.0 % Finance Leases: Property, plant and equipment, net $ 31.1 $ 32.6 Current portion of finance leases 0.3 0.4 Long-term debt 31.7 31.9 Total Finance Lease Liabilities $ 32.0 $ 32.3 Weighted Average remaining lease term (in years) 22.5 23.5 Weighted-average discount rate 6.7 % 6.7 % The following table presents the components of lease expense: For the Years Ended September 30, 2023 2022 2021 Operating lease costs $ 19.9 $ 19.7 $ 20.3 Finance lease costs: Amortization of assets 1.2 2.5 3.2 Interest on lease liabilities 2.1 2.5 2.9 Variable lease costs 1.3 1.3 3.6 Total lease costs $ 24.5 $ 26.0 $ 30.0 Supplemental cash and non-cash information related to leases: For the Years Ended September 30, 2023 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 20.5 $ 20.4 $ 18.9 Operating cash flows from finance leases 2.1 2.5 2.9 Financing cash flows from finance leases (1) 0.3 5.0 1.6 Non-cash increase in lease assets and lease liabilities: Operating leases (2) $ 13.0 $ 6.4 $ 5.3 (1) Financing cash flows from finance leases in fiscal year 2022 includes the $4.0 termination fee for the Dixon, IL finance lease termination discussed above. (2) The fiscal 2023 increase in operating lease assets and liabilities was primarily driven by the Project Momentum network reorganization and real estate optimization programs, as well as normal lease renewals occurring through normal course of business. The fiscal 2022 and 2021 increase in operating lease assets and liabilities includes normal lease renewals and immaterial lease modifications occurring through the normal course of business. Minimum lease payments under operating and finance leases with non-cancellable terms in excess of one year as of September 30, 2023 are as follows: Operating Leases Finance Leases 2024 $ 20.4 $ 2.5 2025 18.7 2.5 2026 13.6 2.5 2027 9.3 2.6 2028 9.0 2.6 Thereafter 74.2 53.5 Total lease payments 145.2 66.2 Less: Imputed interest (43.2) (34.2) Present value of lease liabilities $ 102.0 $ 32.0 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Sep. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and intangible assets | Goodwill and intangible assets In fiscal 2022, the Company changed its reportable segments and correspondingly reallocated goodwill to the current reporting units: Battery & Lights North America, Battery & Lights International, Auto Care North America and Auto Care International. The Company performed an assessment of goodwill at October 1, 2021 before the change in segments, noting no impairments identified. Goodwill was reallocated to the reporting units based on the relative fair value of each reporting unit on October 1, 2021. The following table sets forth goodwill by segment and represents the change in the carrying amount of goodwill at September 30, 2023 and 2022: Batteries & Lights Auto Care Total Balance at October 1, 2021 $ 900.3 $ 153.5 $ 1,053.8 Formulations acquisition — (1.0) (1.0) Non-cash impairment — (17.4) (17.4) Cumulative translation adjustment (31.4) (0.9) (32.3) Balance at September 30, 2022 $ 868.9 $ 134.2 $ 1,003.1 Cumulative translation adjustment 13.1 — 13.1 Balance at September 30, 2023 $ 882.0 $ 134.2 $ 1,016.2 Goodwill Annual Impairment Analysis Goodwill and intangible assets deemed to have an indefinite life are not amortized, but are reviewed annually for impairment of value or when indicators of a potential impairment are present. As part of our business planning cycle, the Company performs the annual goodwill impairment testing for its reporting units in the fourth quarter each fiscal year. When performing a quantitative analysis, the Company estimates the fair value of each reporting unit under the income approach utilizing a discounted cash flow model which incorporates significant estimates and assumptions, including future cash flows driven by revenue and gross margin projections and discount rates reflecting the risk inherent in future cash flows. The Company uses the three-year strategic plan, the annual budget plan for the following fiscal year, and long-term category projections to determine forecasted cash flows and operating data for the discounted cash flow model. Specifically, revenue growth assumptions are based on historical trends and management’s expectations for future growth by category. Gross margin rate assumptions are based on historical trends and management's cost cutting strategies, as applicable. The discount rates are based on a weighted-average cost of capital utilizing industry market data of similar companies. During fiscal 2023, the Company completed a quantitative analysis on the Auto Care North America reporting unit and a qualitative analysis over the Battery & Lights reporting units. No impairments were identified and the Auto Care North America reporting unit's fair value exceed its carrying value by more than 20% During fiscal 2022, the Company completed a quantitative analysis on all four reporting units. As a part of the annual assessment, the Company identified a non-cash impairment within the Auto Care International reporting unit of $17.4. This non-cash impairment was primarily driven by significant sustained currency headwinds in the fourth quarter of fiscal 2022, which were expected to continue into fiscal 2023 and were included within the cash flow models, declines in the Auto Care category projections late in the fourth quarter of fiscal 2022, and an increased discount rate. There is no remaining goodwill allocated to this reporting unit after the non-cash impairment. This fair value measurement fell within Level 3 of the fair value hierarchy, see Note 16, Financial Instruments and Risk Management. In fiscal 2022, the Battery & Lights reporting units estimated fair value exceeded their carrying values by more than 100%. The estimated fair value of the Auto Care North America reporting unit, which has a total of $134.2 of goodwill, exceeded its carrying value by 12%. Determining the fair value of a reporting unit requires the use of significant judgment, estimates and assumptions. Changes in the assumptions used to estimate the fair value of the Company's goodwill reporting units could result in impairment charges in future periods, which could be material. Additionally, certain factors have the potential to create variances in the estimated fair values of our indefinite-lived intangible assets, which also could result in material impairment charges. These factors include (i) failure to achieve forecasted revenue growth rates, (ii) failure to achieve cost cutting and margin improvement initiatives the Company is implementing, or (iii) increases in the discount rate. For the year ended September 30, 2021, the Company completed a qualitative annual impairment assessment and no impairments were identified. Indefinite-lived Intangible Asset Annual Impairment Analysis During the fourth quarter of each fiscal year, the Company completes impairment testing on indefinite-lived intangible assets other than goodwill, which are trademarks/brand names used in the various battery, auto care and lighting product categories. For fiscal 2023, a quantitative assessment was performed over the Rayovac and Armor All trade names due to the prior year impairments, and a qualitative assessment was performed over the Energizer, Eveready and Varta trade names. No impairments were identified and the Armor All trade name fair value exceed its carrying value by more than 20%. For Rayovac, the fair value of the trade name exceeded its carrying value of $422.2 by approximately 5%. The quantitative estimate of fair value for the Rayovac trade name was determined using the multi-period excess earnings method, which requires significant assumptions, including estimates related to revenue growth rates, gross margin rates, operating expenses (SG&A, R&D, and A&P) and discount rates. The projections for the Rayovac fair value model were generated using the Company’s three-year strategic plan, the Company's annual budget plan for fiscal 2024, and long-term category projections, to determine forecasted cash flows and operating data. Specifically, the revenue growth assumption was based on historical trends and management’s expectations for future category trends. The gross margin rate assumption was based on historical trends, management's cost cutting strategies, and a market place participant's production capabilities. The gross margin rate utilized is consistent with rates achieved in fiscal 2023. Operating expenses are based on historical trends and management's annual budget plan for fiscal 2024, as well as long-term operating and advertising strategies. The discount rate used was based on a weighted-average cost of capital utilizing industry market data of similar companies. In fiscal 2022, a quantitative assessment was performed over the Armor All, STP and Rayovac trade names, resulting in non-cash impairments of $ 370.4 The quantitative estimated fair values were determined using the multi-period excess earnings method, which requires significant assumptions for each brand, including estimates related to revenue growth rates, gross margin rates, operating expenses (SG&A, R&D, and A&P) and discount rates. The projections for our Armor All, STP and Rayovac fair value models were generated using the company’s three-year strategic plan, the Company's annual budget plan for fiscal 2023, and long-term category projections to determine forecasted cash flows and operating data. Specifically, revenue growth assumptions are based on historical trends and management’s expectations for future growth by brand and category. Gross margin rate assumptions are based on historical trends and management's cost cutting strategies. Operating expenses are based on historical trends and management's annual budget plan for fiscal 2023, as well as long-term operating and advertising strategies. The discount rates used in the trade name fair value estimates ranged between 9.5% and 10.0%, and are based on a weighted-average cost of capital utilizing industry market data of similar companies. The new carrying values for Armor All, STP, and Rayovac trade names are $228.5, $76.4, and $422.2, respectively. These fair value measurement fell within Level 3 of the fair value hierarchy, see Note 16, Financial Instruments and Risk Management. STP is within the fuel and oil additives category and due to the current expectation for an increased percentage of electric vehicles in the car parc over the long term, the Company converted the STP trade name into a definite-life intangible asset with a 25 year useful life. This conversion resulted in additional annual pre-tax amortization expense of approximately $3.0, which was included in Amortization of intangible assets expense in fiscal 2023. Changes in the assumptions used to estimate the fair value of the Company's indefinite-lived intangible assets could result in impairment charges in future periods, which could be material. Additionally, certain factors have the potential to create variances in the estimated fair values of our indefinite-lived intangible assets, which also could result in material impairment charges. These factors include (i) failure to achieve forecasted revenue growth rates, (ii) failure to achieve cost cutting and margin improvement initiatives the Company is implementing, (iii) failure to meet forecasted operating expenses, or (iv) increases in the discount rate. For the year ended September 30, 2022, a qualitative analysis was performed over the Energizer, Eveready and Varta trade names and no impairments were identified. For the year ended September 30, 2021 the Company completed a qualitative annual impairment assessment and no impairments were identified. Total intangible assets at September 30, 2023 are as follows: Gross Carrying Amount Accumulated Amortization Net Carrying Amount Trademarks and trade names $ 142.4 $ (29.4) $ 113.0 Customer Relationships 394.2 (139.7) 254.5 Patents 33.9 (18.2) 15.7 Proprietary technology 172.5 (100.0) 72.5 Proprietary formulas 29.2 (10.0) 19.2 Vendor relationships 7.5 (7.5) — Total amortizable intangible assets $ 779.7 $ (304.8) $ 474.9 Trademarks and trade names - indefinite lived 762.8 — 762.8 Total Other intangible assets, net $ 1,542.5 $ (304.8) $ 1,237.7 Total intangible assets at September 30, 2022 are as follows: Gross Carrying Amount Accumulated Amortization Net Carrying Amount Trademarks and trade names $ 141.8 $ (21.4) $ 120.4 Customer Relationships 393.5 (112.6) 280.9 Patents 33.4 (15.7) 17.7 Proprietary technology 172.5 (81.5) 91.0 Proprietary formulas 29.2 (6.3) 22.9 Vendor relationships 6.9 (6.5) $ 0.4 Total amortizable intangible assets $ 777.3 $ (244.0) $ 533.3 Trademarks and trade names - indefinite lived 762.5 — 762.5 Total Other intangible assets, net $ 1,539.8 $ (244.0) $ 1,295.8 The indefinite lived intangible asset balance difference between the periods is driven by currency adjustments. During the fiscal year ended September 30, 2022, the Company purchased auto care appearance trade names and formulas in Latin America through an asset acquisition for $14.7. Approximately $7 was assigned as the value to trade name and formula intangibles acquired, respectively. The weighed average useful life for both acquired intangibles is 10 years. Amortizable intangible assets, with a weighted average remaining life of 10.7 years, are amortized on a straight-line basis over expected lives of 3 to 25 years. Amortization expense for intangible assets totaled $59.4, $61.1, and $61.2 for the twelve months ended September 30, 2023, 2022 and 2021, respectively. Estimated amortization expense for amortizable intangible assets at September 30, 2023 are as follows: Estimated amortization expense 2024 $ 58.1 2025 58.0 2026 53.2 2027 51.6 2028 46.8 Thereafter 207.2 Estimated future amortization expense $ 474.9 |
Debt
Debt | 12 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Debt | Debt The detail of long-term debt was as follows: September 30, 2023 2022 Senior Secured Term Loan Facility due 2027 $ 982.0 $ 1,182.0 6.500% Senior Notes due 2027 300.0 300.0 4.750% Senior Notes due 2028 583.7 600.0 4.375% Senior Notes due 2029 791.3 800.0 3.50% Senior Notes due 2029 (Euro Notes of €650.0) (1) 687.2 637.1 Finance lease obligations 32.0 32.3 Total long-term debt, including current maturities $ 3,376.2 $ 3,551.4 Less current portion (12.3) (12.4) Less unamortized debt premium and debt issuance fees (31.8) (39.6) Total long-term debt $ 3,332.1 $ 3,499.4 (1) Changes in the USD balance of the Euro denominated 3.50% Senior Notes due in 2029 is due to movements in the currency rate year-over-year. Credit Agreement - On December 22, 2020, the Company entered into a Credit Agreement which provided for a 5-year $400 revolving credit facility (2020 Revolving Facility) and a $550.0 Senior Secured Term Loan due December 2027 (Term Loan). The $550.0 of proceeds were used to pay down the remaining balances on the Term Loan A facility due in 2022, Term Loan B facility due in 2025 and the amounts outstanding on the existing Revolving Credit Facility from 2018 (2018 Revolving Facility). The pay down of the Term Loan A and B facilities were deemed to be extinguishments and the Company wrote-off $5.7 of deferred financing fees during the first fiscal quarter of 2021. On January 7, 2021, the Company amended the Credit Agreement and borrowed an incremental $650.0 on the Term Loan. The Company utilized the proceeds to fund the redemption of the Company’s outstanding $600.0 7.750% Senior Notes due 2027 at a redemption price equal to 110.965% of the aggregate principal amount. As a result, the Company paid a redemption premium of $66.6 during the second fiscal quarter of 2021. The Company also wrote off deferred financings fees associated with this transaction resulting in a total loss on extinguishment recognized in the second fiscal quarter of 2021 of $70.0. On December 31, 2021, the Company amended the Credit Agreement to increase the 2020 Revolving Facility to $500.0. In February 2023, the Company amended the Credit Agreement to transition the interest reference rate from the London Interbank Offered Rate (LIBOR) to the Secured Overnight Finance Rate (SOFR). There were no other changes to the Company's Credit Agreement or timing of cash flows. The amendment was entered into because the LIBOR rate historically used was no longer published after June 30, 2023. The Company utilized expedients within ASC 848 to conclude that this amendment should be treated as a non-substantial modification of the existing contract resulting in no impact to the Company's financial statements. During fiscal 2023, the Company paid down $200.0 of the Term Loan, including early payments of $188.0. The Company wrote off deferred financing fees of $1.6 during the twelve months ended September 30, 2023, as a result of these early payments. Subsequent to September 30, 2023, the Company pre-paid an additional $40.0 of the Term Loan in October 2023. Borrowings under the Term Loan require quarterly principal payments at a rate of 0.25% of the original principal balance, or $3.0. Borrowings under the 2020 Revolving Facility bear interest at a rate per annum equal to, at the option of the Company, SOFR or the Base Rate (as defined) plus the applicable margin. The Term Loan bears interest at a rate per annum equal to SOFR plus the applicable margin. The Credit Agreement also contains customary affirmative and restrictive covenants. As of September 30, 2023, the Company had no outstanding borrowings under the 2020 Revolving Facility and $7.1 of outstanding letters of credit. Taking into account outstanding letters of credit, $492.9 remained available as of September 30, 2023. As of September 30, 2023 and September 30, 2022, our weighted average interest rate on short-term borrowings was 7.7% and 4.7%, respectively. Senior Notes - Fiscal 2023 Activity - During the first quarter of fiscal 2023, the Company retired $16.3 of the 4.750% Senior Notes due in 2028 and $8.7 of the 4.375% Senior Notes due in 2029 for a cash cost of $21.6. The Company wrote off $0.3 of deferred financing fees as a result of these transactions. The retirement of Senior Notes and prepayment of the Term Loan during fiscal 2023 resulted in a net Gain on extinguishment of debt for the twelve months ended September 30, 2023 of $1.5 recorded on the Consolidated Statement of Earnings and Comprehensive Income. Senior Notes - Fiscal 2022 Activity - On March 8, 2022 the Company completed a bond offering for $300.0 Senior Notes due in 2027 at 6.500% (2027 Notes). The proceeds from the offering were used to repay a portion of the indebtedness outstanding under the 2020 Revolving Facility and to pay fees and expenses related to the offering. Interest is payable semi-annually in June and December. Senior Notes - Fiscal 2021 Activity - On September 30, 2020, the Company completed a bond offering for $800.0 Senior Notes due in 2029 at 4.375% (2029 Notes). On October 16, 2020, the Company used the proceeds from the sale of the 2029 Notes to fund the redemption of all the $750.0 Senior Notes due in 2026 at 6.375% (2026 Notes). The Company paid a redemption premium of $55.9 in the first fiscal quarter of 2021 related to this redemption, and the transaction resulted in a Loss on extinguishment of debt of $68.6, which was recorded on the date of the transaction in fiscal 2020. On June 23, 2021, the Company completed a bond offering for €650 Senior Notes due in 2029 at 3.50% (2029 EUR Notes). The proceeds from the offering, combined with cash on hand, were used to satisfy its outstanding legal obligation on the €650 Senior Notes due in 2026 at 4.625% (2026 EUR Notes). The Company used approximately $45.9 of cash on hand to fund the redemption costs, accrued interest and fees associated with the redemption of the 2026 EUR Notes and issuance of the 2029 EUR Notes. The Company paid a redemption premium of $18.6 during the third quarter of fiscal 2021. The Company also wrote off deferred financing and interest and fees associated with the 2026 EUR Notes resulting in a total loss on extinguishment recognized in the third quarter of fiscal 2021 of $27.6. The 2027 Notes, 2028 Notes, 2029 Notes and 2029 EUR Notes were sold to qualified institutional buyers and will not be registered under federal or applicable state securities laws. Interest is payable semi annually on the 2028 Notes and 2029 EUR Notes in June and December and on the 2029 Notes in March and September. The 2027 Notes, 2028 Notes, 2029 Notes and 2029 EUR Notes are jointly and severally guaranteed on an unsecured basis by certain of the Company's domestic restricted subsidiaries that guarantee indebtedness of the Company under its Credit Agreement. Debt issuance fees paid related to the term loan refinancing and Senior Note offerings were $7.6, and $29.0 during the twelve months ended September 30, 2022, and 2021, respectively. The Company wrote-off a total of $1.9 and $18.1 of debt issuance fees as a result of the extinguishment activity during fiscal year 2023 and 2021, respectively. Interest Rate Swaps - In December 2020, the Company entered into an interest rate swap with the effective date of December 22, 2020, that fixed the variable benchmark component (LIBOR) at an interest rate of 0.95% on variable rate debt of $550.0. On January 22, 2021 the notional value increased to $700.0 and will stay at that value through December 22, 2024. The notional value will decrease by $100.0 on December 2024 and by $100.0 each year thereafter until its termination date on December 22, 2027. In February 2023, the Company amended the interest rate swap to coincide with the amended Credit Agreement, effectively fixing the variable benchmark component (SOFR) at an interest rate of 1.042%. There were no other changes to the interest rate swap agreement or expected timing of cash flows associated with the swap. The Company utilized expedients within ASC 848 to conclude that this modification should be accounted for as a continuation of the existing swap agreement, resulting in no impact on the Company's financial statements. Refer to Note 16 Financial Instruments and Risk Management, for additional information on the Company's interest rate swap transactions. Notes Payable - The notes payable balance was $8.2 at September 30, 2023 and $6.4 at September 30, 2022. The balances are comprised of other borrowings, including those from foreign affiliates. The company had no outstanding borrowings on the 2020 Revolving Facility at September 30, 2023 and September 30, 2022. Debt Covenants - The agreements governing the Company's debt contain certain customary representations and warranties, affirmative, negative and financial covenants, and provisions relating to events of default. If the Company fails to comply with these covenants or with other requirements of these agreements, the lenders may have the right to accelerate the maturity of the debt. Acceleration under one of these facilities would trigger cross defaults to other borrowings. As of September 30, 2023, the Company was in compliance with the provisions and covenants associated with its debt agreements. The counterparties to long-term committed borrowings consist of a number of major financial institutions. The Company consistently monitors positions with, and credit ratings of, counterparties both internally and by using outside ratings agencies. Finance Lease Obligations - In fiscal year 2022, the Company entered into a termination agreement with the landlord of our finance lease in Dixon, IL. The Company terminated the lease agreement, which went into 2028, reducing our finance lease obligations by $9.8. The termination agreement required the Company to pay a termination fee of $4.0, as well as decommissioning costs and brokerage fees. Since the Company had already vacated the facility as a part of the 2019 restructuring program, most assets associated with the location had already been fully depreciated. The termination of this lease resulted in a gain of $4.5 recognized in Other items, net on the Consolidated Statement of Earnings and Comprehensive Income in fiscal 2022. Debt Maturities - Aggregate maturities of long-term debt as of September 30, 2023 were as follows: Long-term debt 2024 $ 12.0 2025 12.0 2026 12.0 2027 12.0 2028 1,817.7 Thereafter 1,478.5 Total long-term debt payments due $ 3,344.2 |
Pension Plans
Pension Plans | 12 Months Ended |
Sep. 30, 2023 | |
Retirement Benefits [Abstract] | |
Pension Plans | Pension Plans The Company has several defined benefit pension plans covering many of its employees in the U.S. and certain employees in other countries. The plans provide retirement benefits based on various factors including years of service and in certain circumstances, earnings. Most plans are now frozen to new entrants and for additional service. In the fourth quarter of fiscal 2023, the Company executed a partial retiree annuity buyout for the U.S. Qualified Pension Plan, which resulted in a plan settlement on projected plan benefit obligation and plan assets of $120.2 and a settlement loss of $50.2 recorded to Other items, net on the Consolidated Statement of Earnings and Comprehensive Income. There were no additional cash contributions made as part of this settlement. The Company also sponsors or participates in a number of other non-U.S. pension arrangements, including various retirement and termination benefit plans, some of which are required by local law or coordinated with government-sponsored plans, which are not significant in the aggregate and, therefore, are not included in the information presented in the following tables. The following tables present the benefit obligation, plan assets and funded status of the plans: September 30, U.S. International 2023 2022 2023 2022 Change in Projected Benefit Obligation Benefit obligation at beginning of year $ 383.4 $ 507.4 $ 84.8 $ 143.1 Service cost — — 0.3 0.6 Interest cost 19.9 12.7 3.6 1.8 Actuarial loss/(gain) 0.2 (99.1) (0.6) (40.2) Benefits paid (28.7) (37.6) (5.6) (5.7) Plan settlements (120.2) — — (0.6) Foreign currency exchange rate changes — — 7.3 (14.2) Projected Benefit Obligation at end of year $ 254.6 $ 383.4 $ 89.8 $ 84.8 Change in Plan Assets Estimated fair value of plan assets at beginning of year $ 356.9 $ 490.1 $ 78.3 $ 133.1 Actual return on plan assets 11.8 (98.0) 0.7 (35.6) Company contributions 2.4 2.4 3.4 0.6 Plan settlements (120.2) — — (0.6) Benefits paid (28.7) (37.6) (5.6) (5.7) Foreign currency exchange rate changes — — 6.6 (13.5) Estimated fair value of plan assets at end of year $ 222.2 $ 356.9 $ 83.4 $ 78.3 Funded status at end of year $ (32.4) $ (26.5) $ (6.4) $ (6.5) The following table presents the amounts recognized in the Consolidated Balance Sheets and Consolidated Statements of Shareholders’ Equity: September 30, U.S. International Amounts Recognized in the Consolidated Balance Sheets 2023 2022 2023 2022 Noncurrent assets $ — $ — $ 8.7 $ 8.7 Current liabilities (2.3) (2.4) (0.6) (0.6) Noncurrent liabilities (30.1) (24.1) (14.5) (14.6) Net amount recognized $ (32.4) $ (26.5) $ (6.4) $ (6.5) Amounts Recognized in Accumulated Other Comprehensive Loss Net loss, pre-tax $ (113.4) $ (157.0) $ (29.9) $ (26.0) Pre-tax changes recognized in other comprehensive loss for the year ended September 30, 2023 are as follows: Changes in plan assets and benefit obligations recognized in other comprehensive (loss)/income U.S. International Net loss arising during the year $ (8.7) $ (2.0) Effect of exchange rates — (2.5) Amounts recognized as a component of net periodic benefit cost Amortization or settlement recognition of net loss 52.3 0.6 Total gain/(loss) recognized in other comprehensive loss $ 43.6 $ (3.9) Energizer expects to contribute $2.4 to its U.S. plans and $0.7 to its International plans in fiscal 2024. Energizer’s expected future benefit payments for the plans are as follows: For The Years Ending September 30, U.S. International 2024 $ 24.5 $ 5.1 2025 24.1 5.2 2026 24.2 5.2 2027 24.2 5.3 2028 22.0 5.3 2029 to 2033 99.2 27.6 The accumulated benefit obligation for the U.S. plans was $254.6 and $383.4 and for the foreign plans was $88.7 and $83.9 at September 30, 2023 and 2022, respectively. The following table shows the plans with an accumulated benefit obligation in excess of plan assets at the dates indicated. September 30, U.S. International 2023 2022 2023 2022 Projected benefit obligation $ 254.6 $ 383.4 $ 49.4 $ 46.1 Accumulated benefit obligation 254.6 383.4 48.3 45.2 Estimated fair value of plan assets 222.1 356.9 34.3 30.9 Pension plan assets in the U.S. plan represent approximately 73% of assets in all of the Company's defined benefit pension plans. Investment policy for the U.S. plan includes a mandate to diversify assets and invest in a variety of assets classes to achieve that goal. The U.S. plan's assets are currently invested in several funds representing most standard equity and debt security classes. The broad target allocations are approximately: (a) equities, including U.S. and foreign: 30%, and (b) debt securities, including U.S. bonds: 70%. Actual allocations at September 30, 2023 approximated these targets. The U.S. plan held no shares of Company common stock at September 30, 2023. Investment objectives are similar for non-U.S. pension arrangements, subject to local requirements. The following table presents plan pension expense: For the Years Ended September 30, U.S. International 2023 2022 2021 2023 2022 2021 Service cost $ — $ — $ — $ 0.3 $ 0.6 $ 0.7 Interest cost 19.9 12.7 13.0 3.6 1.8 1.6 Expected return on plan assets (20.3) (22.8) (22.4) (3.2) (3.2) (3.2) Recognized net actuarial loss 2.1 6.4 7.4 0.6 0.8 1.5 Settlement loss recognized on other pension plans 50.2 — 0.2 — 0.2 — Net periodic expense/(benefit) $ 51.9 $ (3.7) $ (1.8) $ 1.3 $ 0.2 $ 0.6 The service cost component of the net periodic expense/(benefit) above is recorded in Selling, general and administrative expense (SG&A) on the Consolidated Statement of Earnings and Comprehensive Income, while the remaining components are recorded to Other items, net. Amounts expected to be amortized from accumulated other comprehensive loss into net period benefit cost during the year ending September 30, 2024 are net actuarial losses of $1.8 for the U.S. Plan and $0.9 for the International plans. The following table presents assumptions, which reflect weighted averages for the component plans, used in determining the above information: September 30, U.S. International 2023 2022 2021 2023 2022 2021 Plan obligations: Discount rate 6.0 % 5.6 % 2.6 % 4.0 % 4.0 % 1.3 % Compensation increase rate — — — 2.7 % 2.4 % 2.2 % Net periodic benefit cost: Discount rate 5.6 % 2.6 % 2.5 % 4.0 % 1.3 % 1.0 % Expected long-term rate of return on plan assets 5.1 % 5.2 % 5.1 % 3.6 % 2.6 % 2.6 % Compensation increase rate — — — 2.4 % 2.2 % 2.1 % The following tables set forth the estimated fair value of Energizer’s plan assets as of September 30, 2023 and 2022 segregated by level within the estimated fair value hierarchy. Refer to Note 16, Financial Instruments and Risk Management, for further discussion on the estimated fair value hierarchy and estimated fair value principles. ASSETS AT ESTIMATED FAIR VALUE At September 30, 2023 U.S. Pension International Pension Level 1 Level 2 Total Level 1 Level 2 Total EQUITY U.S. Equity $ 20.1 $ — $ 20.1 $ — $ — $ — International Equity 0.7 — 0.7 — 7.6 7.6 DEBT U.S. Government — 150.5 150.5 — — — Other Government — — — — 16.0 16.0 CASH & CASH EQUIVALENTS — 8.8 8.8 — 5.5 5.5 OTHER — — — — 7.9 7.9 Assets Measured at Net Asset Value U.S. Equity 22.2 — International Equity 19.9 7.2 Corporate — 39.2 TOTAL $ 20.8 $ 159.3 $ 222.2 $ — $ 37.0 $ 83.4 At September 30, 2022 U.S. Pension International Pension Level 1 Level 2 Total Level 1 Level 2 Total EQUITY U.S. Equity $ 32.5 $ — $ 32.5 $ — $ — $ — International Equity 1.2 — 1.2 — 7.4 7.4 DEBT U.S. Government — 241.4 241.4 — — — Other Government — — — — 16.0 16.0 CASH & CASH EQUIVALENTS — 15.0 15.0 — 3.5 3.5 OTHER — — — — 7.0 7.0 Assets measured at Net Asset Value U.S. Equity 34.0 — International Equity 32.8 10.2 Corporate — 20.0 Other — 14.2 TOTAL $ 33.7 $ 256.4 $ 356.9 $ — $ 33.9 $ 78.3 There were no Level 3 pension assets at September 30, 2023 and 2022. The investment objective for plan assets is to satisfy the current and future pension benefit obligations. The investment philosophy is to achieve this objective through diversification of the retirement plan assets. The goal is to earn a suitable return with an appropriate level of risk while maintaining adequate liquidity to distribute benefit payments. The diversified asset allocation includes equity positions, as well as fixed income investments. The increased volatility associated with equities is offset with higher expected returns, while the long duration fixed income investments help dampen the volatility of the overall portfolio. Risk exposure is controlled by re-balancing the retirement plan assets back to target allocations, as needed. Investment firms managing retirement plan assets carry out investment policy within their stated guidelines. Investment performance is monitored against benchmark indices, which reflect the policy and target allocation of the retirement plan assets. |
Defined Contribution Plan
Defined Contribution Plan | 12 Months Ended |
Sep. 30, 2023 | |
Retirement Benefits [Abstract] | |
Defined Contribution Plan | Pension Plans The Company has several defined benefit pension plans covering many of its employees in the U.S. and certain employees in other countries. The plans provide retirement benefits based on various factors including years of service and in certain circumstances, earnings. Most plans are now frozen to new entrants and for additional service. In the fourth quarter of fiscal 2023, the Company executed a partial retiree annuity buyout for the U.S. Qualified Pension Plan, which resulted in a plan settlement on projected plan benefit obligation and plan assets of $120.2 and a settlement loss of $50.2 recorded to Other items, net on the Consolidated Statement of Earnings and Comprehensive Income. There were no additional cash contributions made as part of this settlement. The Company also sponsors or participates in a number of other non-U.S. pension arrangements, including various retirement and termination benefit plans, some of which are required by local law or coordinated with government-sponsored plans, which are not significant in the aggregate and, therefore, are not included in the information presented in the following tables. The following tables present the benefit obligation, plan assets and funded status of the plans: September 30, U.S. International 2023 2022 2023 2022 Change in Projected Benefit Obligation Benefit obligation at beginning of year $ 383.4 $ 507.4 $ 84.8 $ 143.1 Service cost — — 0.3 0.6 Interest cost 19.9 12.7 3.6 1.8 Actuarial loss/(gain) 0.2 (99.1) (0.6) (40.2) Benefits paid (28.7) (37.6) (5.6) (5.7) Plan settlements (120.2) — — (0.6) Foreign currency exchange rate changes — — 7.3 (14.2) Projected Benefit Obligation at end of year $ 254.6 $ 383.4 $ 89.8 $ 84.8 Change in Plan Assets Estimated fair value of plan assets at beginning of year $ 356.9 $ 490.1 $ 78.3 $ 133.1 Actual return on plan assets 11.8 (98.0) 0.7 (35.6) Company contributions 2.4 2.4 3.4 0.6 Plan settlements (120.2) — — (0.6) Benefits paid (28.7) (37.6) (5.6) (5.7) Foreign currency exchange rate changes — — 6.6 (13.5) Estimated fair value of plan assets at end of year $ 222.2 $ 356.9 $ 83.4 $ 78.3 Funded status at end of year $ (32.4) $ (26.5) $ (6.4) $ (6.5) The following table presents the amounts recognized in the Consolidated Balance Sheets and Consolidated Statements of Shareholders’ Equity: September 30, U.S. International Amounts Recognized in the Consolidated Balance Sheets 2023 2022 2023 2022 Noncurrent assets $ — $ — $ 8.7 $ 8.7 Current liabilities (2.3) (2.4) (0.6) (0.6) Noncurrent liabilities (30.1) (24.1) (14.5) (14.6) Net amount recognized $ (32.4) $ (26.5) $ (6.4) $ (6.5) Amounts Recognized in Accumulated Other Comprehensive Loss Net loss, pre-tax $ (113.4) $ (157.0) $ (29.9) $ (26.0) Pre-tax changes recognized in other comprehensive loss for the year ended September 30, 2023 are as follows: Changes in plan assets and benefit obligations recognized in other comprehensive (loss)/income U.S. International Net loss arising during the year $ (8.7) $ (2.0) Effect of exchange rates — (2.5) Amounts recognized as a component of net periodic benefit cost Amortization or settlement recognition of net loss 52.3 0.6 Total gain/(loss) recognized in other comprehensive loss $ 43.6 $ (3.9) Energizer expects to contribute $2.4 to its U.S. plans and $0.7 to its International plans in fiscal 2024. Energizer’s expected future benefit payments for the plans are as follows: For The Years Ending September 30, U.S. International 2024 $ 24.5 $ 5.1 2025 24.1 5.2 2026 24.2 5.2 2027 24.2 5.3 2028 22.0 5.3 2029 to 2033 99.2 27.6 The accumulated benefit obligation for the U.S. plans was $254.6 and $383.4 and for the foreign plans was $88.7 and $83.9 at September 30, 2023 and 2022, respectively. The following table shows the plans with an accumulated benefit obligation in excess of plan assets at the dates indicated. September 30, U.S. International 2023 2022 2023 2022 Projected benefit obligation $ 254.6 $ 383.4 $ 49.4 $ 46.1 Accumulated benefit obligation 254.6 383.4 48.3 45.2 Estimated fair value of plan assets 222.1 356.9 34.3 30.9 Pension plan assets in the U.S. plan represent approximately 73% of assets in all of the Company's defined benefit pension plans. Investment policy for the U.S. plan includes a mandate to diversify assets and invest in a variety of assets classes to achieve that goal. The U.S. plan's assets are currently invested in several funds representing most standard equity and debt security classes. The broad target allocations are approximately: (a) equities, including U.S. and foreign: 30%, and (b) debt securities, including U.S. bonds: 70%. Actual allocations at September 30, 2023 approximated these targets. The U.S. plan held no shares of Company common stock at September 30, 2023. Investment objectives are similar for non-U.S. pension arrangements, subject to local requirements. The following table presents plan pension expense: For the Years Ended September 30, U.S. International 2023 2022 2021 2023 2022 2021 Service cost $ — $ — $ — $ 0.3 $ 0.6 $ 0.7 Interest cost 19.9 12.7 13.0 3.6 1.8 1.6 Expected return on plan assets (20.3) (22.8) (22.4) (3.2) (3.2) (3.2) Recognized net actuarial loss 2.1 6.4 7.4 0.6 0.8 1.5 Settlement loss recognized on other pension plans 50.2 — 0.2 — 0.2 — Net periodic expense/(benefit) $ 51.9 $ (3.7) $ (1.8) $ 1.3 $ 0.2 $ 0.6 The service cost component of the net periodic expense/(benefit) above is recorded in Selling, general and administrative expense (SG&A) on the Consolidated Statement of Earnings and Comprehensive Income, while the remaining components are recorded to Other items, net. Amounts expected to be amortized from accumulated other comprehensive loss into net period benefit cost during the year ending September 30, 2024 are net actuarial losses of $1.8 for the U.S. Plan and $0.9 for the International plans. The following table presents assumptions, which reflect weighted averages for the component plans, used in determining the above information: September 30, U.S. International 2023 2022 2021 2023 2022 2021 Plan obligations: Discount rate 6.0 % 5.6 % 2.6 % 4.0 % 4.0 % 1.3 % Compensation increase rate — — — 2.7 % 2.4 % 2.2 % Net periodic benefit cost: Discount rate 5.6 % 2.6 % 2.5 % 4.0 % 1.3 % 1.0 % Expected long-term rate of return on plan assets 5.1 % 5.2 % 5.1 % 3.6 % 2.6 % 2.6 % Compensation increase rate — — — 2.4 % 2.2 % 2.1 % The following tables set forth the estimated fair value of Energizer’s plan assets as of September 30, 2023 and 2022 segregated by level within the estimated fair value hierarchy. Refer to Note 16, Financial Instruments and Risk Management, for further discussion on the estimated fair value hierarchy and estimated fair value principles. ASSETS AT ESTIMATED FAIR VALUE At September 30, 2023 U.S. Pension International Pension Level 1 Level 2 Total Level 1 Level 2 Total EQUITY U.S. Equity $ 20.1 $ — $ 20.1 $ — $ — $ — International Equity 0.7 — 0.7 — 7.6 7.6 DEBT U.S. Government — 150.5 150.5 — — — Other Government — — — — 16.0 16.0 CASH & CASH EQUIVALENTS — 8.8 8.8 — 5.5 5.5 OTHER — — — — 7.9 7.9 Assets Measured at Net Asset Value U.S. Equity 22.2 — International Equity 19.9 7.2 Corporate — 39.2 TOTAL $ 20.8 $ 159.3 $ 222.2 $ — $ 37.0 $ 83.4 At September 30, 2022 U.S. Pension International Pension Level 1 Level 2 Total Level 1 Level 2 Total EQUITY U.S. Equity $ 32.5 $ — $ 32.5 $ — $ — $ — International Equity 1.2 — 1.2 — 7.4 7.4 DEBT U.S. Government — 241.4 241.4 — — — Other Government — — — — 16.0 16.0 CASH & CASH EQUIVALENTS — 15.0 15.0 — 3.5 3.5 OTHER — — — — 7.0 7.0 Assets measured at Net Asset Value U.S. Equity 34.0 — International Equity 32.8 10.2 Corporate — 20.0 Other — 14.2 TOTAL $ 33.7 $ 256.4 $ 356.9 $ — $ 33.9 $ 78.3 There were no Level 3 pension assets at September 30, 2023 and 2022. The investment objective for plan assets is to satisfy the current and future pension benefit obligations. The investment philosophy is to achieve this objective through diversification of the retirement plan assets. The goal is to earn a suitable return with an appropriate level of risk while maintaining adequate liquidity to distribute benefit payments. The diversified asset allocation includes equity positions, as well as fixed income investments. The increased volatility associated with equities is offset with higher expected returns, while the long duration fixed income investments help dampen the volatility of the overall portfolio. Risk exposure is controlled by re-balancing the retirement plan assets back to target allocations, as needed. Investment firms managing retirement plan assets carry out investment policy within their stated guidelines. Investment performance is monitored against benchmark indices, which reflect the policy and target allocation of the retirement plan assets. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders' Equity The Company's articles of incorporation authorized 300 million shares of common stock and 10 million shares of preferred stock, each with a par value of $0.01 per share. As of September 30, 2023 and 2022, the Company had 77,074,245 of common stock issued. During fiscal 2022, all outstanding shares of the Company's 7.50% Series A Mandatory Convertible Preferred Stock (MCPS) automatically converted into shares of the Company's common stock, par value $0.01 per share, at a rate of 2.1739 shares of the Company's common stock for each share of preferred stock. This resulted in the issuance of approximately 4.7 million shares of common stock. As of September 30, 2023, the Company had approximately 2.7 million shares reserved for issuance under the 2023 Plan and approximately 33,500 shares reserved for issuance under the deferred compensation plan. On November 12, 2020, the Board of Directors approved a new share repurchase program for up to 7.5 million shares of its common stock, replacing the prior authorization from July 2015. During fiscal 2021, the Company entered into a $75.0 accelerated share repurchase (ASR) program. Under the terms of the agreement, approximately 1.5 million shares were delivered in fiscal 2021 and an additional approximately 0.5 million shares were delivered upon termination of the agreement on November 18, 2021. The total number of shares delivered was based on the volume-weighted average stock prices (VWAP) of the Company’s common stock during the ASR period of $38.30. The Company paid the full amount of the ASR in fiscal 2021 and recorded $60.0 of treasury stock representing the approximately 1.5 million shares delivered in fiscal 2021 and the remaining $15.0 was recorded as Additional paid in capital. With the delivery of the additional shares in the first quarter of fiscal 2022, the $15.0 was reclassified to treasury stock on the Consolidated Balance Sheet. In addition to the ASR program, the Company repurchased 500,000 shares for $21.3, at an average price of $42.61 per share during the twelve months ended September 30, 2021. As of September 30, 2023, the Company had approximately 5.0 million shares still authorized under this authorization. Future share repurchases, if any, would be made on the open market and the timing and the amount of any purchases will be determined by the Company based on its evaluation of the market conditions, capital allocation objectives, legal and regulatory requirements and other factors. For the twelve months ended September 30, 2023, total dividends declared to shareholders were $88.0 and $86.3 was paid. For the twelve months ended September 30, 2022, total dividends declared to shareholders were $85.5 and $84.9 was paid. For the twelve months ended September 30, 2021, total dividends declared to shareholders were $82.6 and $83.9 was paid. The dividends paid included the cumulative dividends paid upon the vesting of restricted shares during the period. Subsequent to the fiscal year end, on November 6, 2023, the Board of Directors declared a dividend for the first quarter of fiscal 2024 of $0.30 per share of common stock, payable on December 14, 2023, to all shareholders of record as of the close of business on November 29, 2023. Series A Mandatory Convertible Preferred Stock - In January 2019, the Company issued 2,156,250 shares of Series A (MCPS), with a par value of $0.01 per share and liquidation preference of $100.00 per share. On January 15, 2022, all outstanding shares of the Company's 7.50% Series A MCPS automatically converted into shares of the Company's common stock. There were 2,156,250 preferred shares issued and outstanding as of September 30, 2021. Dividends on the MCPS were payable on a cumulative basis at an annual rate of 7.50% of the liquidation preference of $100.00 per share of MCPS and paid in cash. The Company paid a cash dividend of $1.875 per share of MCPS on October 15, 2021 which had been declared in fiscal 2021. On November 15, 2021, the Board of Directors declared a cash dividend of $1.875 per share of MCPS to all shareholders of record as of the close of January 1, 2022, which was paid on January 15, 2022. No dividends were paid after January 2022. |
Financial Instruments and Risk
Financial Instruments and Risk Management | 12 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments and Risk Management | Financial Instruments and Risk Management The market risk inherent in the Company's operations creates potential earnings volatility arising from changes in currency rates, interest rates and commodity prices. The Company's policy allows derivatives to be used only for identifiable exposures and, therefore, the Company does not enter into hedges for trading or speculative purposes where the sole objective is to generate profits. Concentration of Credit Risk – The counterparties to derivative contracts consist of a number of major financial institutions and are generally institutions with which the Company maintains lines of credit. The Company does not enter into derivative contracts through brokers nor does it trade derivative contracts on any other exchange or over-the-counter markets. Risk of currency positions and mark-to-market valuation of positions are strictly monitored at all times. The Company continually monitors positions with, and credit ratings of, counterparties both internally and by using outside rating agencies. While nonperformance by these counterparties exposes Energizer to potential credit losses, such losses are not anticipated. The Company sells to a large number of customers primarily in the retail trade, including those in mass merchandising, drugstore, supermarket and other channels of distribution throughout the world. Wal-Mart Stores, Inc. accounted for 14.2%, 12.9%, and 13.7% of total net sales in fiscal 2023, 2022 and 2021, respectively, primarily in North America. The Company performs ongoing evaluations of its customers’ financial condition and creditworthiness, but does not generally require collateral. While the competitiveness of the retail industry presents an inherent uncertainty, the Company does not believe a significant risk of loss from a concentration of credit risk exists with respect to accounts receivable. In the ordinary course of business, the Company enters into contractual arrangements (derivatives) to reduce its exposure to commodity price and foreign currency risks. The section below outlines the types of derivatives that existed at September 30, 2023 and 2022, as well as the Company's objectives and strategies for holding these derivative instruments. Commodity Price Risk – The Company uses raw materials that are subject to price volatility. At times, the Company uses hedging instruments to reduce exposure to variability in cash flows associated with future purchases of certain materials and commodities. Foreign Currency Risk – A significant portion of Energizer’s product cost is more closely tied to the U.S. dollar than to the local currencies in which the product is sold. As such, a weakening of currencies relative to the U.S. dollar results in margin declines unless mitigated through pricing actions, which are not always available due to the economic or competitive environment. Conversely, a strengthening in currencies relative to the U.S. dollar can improve margins. The primary currencies to which Energizer is exposed include the Euro, the British pound, the Canadian dollar and the Australian dollar. However, the Company also has significant exposures in many other currencies which, in the aggregate, may have a material impact on the Company's operations. Additionally, Energizer’s foreign subsidiaries enter into internal and external transactions that create nonfunctional currency balance sheet positions at the foreign subsidiary level. These exposures are generally the result of intercompany purchases, intercompany loans and, to a lesser extent, external purchases, and are revalued in the foreign subsidiary’s local currency at the end of each period. Changes in the value of the non-functional currency balance sheet positions in relation to the foreign subsidiary’s local currency results in a transaction gain or loss recorded in Other items, net on the Consolidated Statements of Earnings and Comprehensive Income. The primary currency to which Energizer’s foreign subsidiaries are exposed is the U.S. dollar. Interest Rate Risk – Energizer has interest rate risk with respect to interest expense on variable rate debt. At September 30, 2023, Energizer had variable rate debt outstanding with a principal balance of $990.2 under the 2020 Term Loans and international borrowings. There were no outstanding borrowings on the 2020 Revolving Credit Facility at September 30, 2023. In December 2020, the Company entered into an interest rate swap with an effective date of December 22, 2020, that fixed the variable benchmark component (LIBOR) at an interest rate of 0.95% on variable debt of $550.0. The notional value increased to $700.0 on January 22, 2021 and will stay at that value through December 22, 2024. The notional value will decrease by $100.0 on December 22, 2024 and by $100.0 each year thereafter until its termination date on December 22, 2027. The notional value of the swap was $700.0 as September 30, 2023. In February 2023, the Company amended its Credit Agreement to transition the interest reference rate from LIBOR to SOFR. The amendment was entered into because the LIBOR rate historically used was no longer published after June 30, 2023. The Company also amended the Interest rate swap to coincide with the amended credit agreement, effectively fixing the variable benchmark component (SOFR) at an interest rate of 1.042%. There were no other changes to the interest rate swap agreement or expected timing of cash flows associated with the swap. The Company utilized expedients within ASC 848 to conclude that this modification should be accounted for as a continuation of the existing swap agreement, resulting in no impact on the Company's financial statements. Derivatives Designated as Cash Flow Hedging Relationships – The Company has entered into a series of forward currency contracts to hedge the cash flow uncertainty of forecasted payment of inventory purchases due to short term currency fluctuations. Energizer’s primary foreign affiliates, which are exposed to U.S. dollar purchases, have the Euro, the British pound, the Canadian dollar and the Australian dollar as their local currencies. These foreign currencies represent a significant portion of Energizer's foreign currency exposure. At September 30, 2023 and 2022, Energizer had unrealized pre-tax gains of $3.3 and $16.3, respectively, included in Accumulated other comprehensive loss on the Consolidated Balance Sheets. Assuming foreign exchange rates versus the U.S. dollar remain at September 30, 2023 levels, over the next twelve months, $3.0 of the pre-tax gain included in Accumulated other comprehensive loss is expected to be recognized in earnings. Contract maturities for these hedges extend into fiscal 2025. There were 68 open foreign currency contracts at September 30, 2023, with a total notional value of approximately $179. The Company has a hedging program on zinc purchases. The contracts were determined to be cash flow hedges and qualify for cash flow hedge accounting. The contract maturities for these hedges extend into fiscal 2025. There were 18 open contracts at September 30, 2023, with a total notional value of approximately $43. The unrealized pre-tax loss on the zinc contracts was $0.7 and $6.1 at September 30, 2023 and 2022, respectively. These were included in Accumulated other comprehensive loss on the Consolidated Balance Sheet. At September 30, 2023 and 2022, Energizer recorded an unrealized pre-tax gain of $79.8 and $86.4, respectively, on the interest rate swap agreement contracts, which was included in Accumulated other comprehensive loss on the Consolidated Balance Sheet. Previously the Company had another interest rate swap that was terminated early in December 2020 and resulted in a $5.6 loss, which was recorded in accumulated other comprehensive loss on the Consolidated Balance Sheet. This loss was amortized into interest expense over the remainder of the interest payments associated with the Term Loan through June 2022, the original ending date of the interest rate swap. Derivatives not Designated in Hedging Relationships - In addition, Energizer enters into foreign currency derivative contracts which are not designated as cash flow hedges for accounting purposes to hedge existing balance sheet exposures. Any gains or losses on these contracts would be offset by corresponding exchange losses or gains on the underlying exposures; thus are not subject to significant market risk. There were 6 open foreign currency derivative contracts which are not designated as cash flow hedges at September 30, 2023, with a total notional value of approximately $85. The following table provides the Company's estimated fair values as of September 30, 2023 and 2022, and the amounts of losses and gains on derivative instruments classified as cash flow hedges as of and for the twelve months ended September 30, 2023 and 2022, respectively: At September 30, 2023 For the Year Ended September 30, 2023 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value Asset / (Liability) (1) (Loss) / Gain Recognized in OCI (2) Gain / (Loss) Reclassified Foreign currency contracts $ 3.3 $ (5.5) $ 7.5 Interest rate swaps 79.8 19.4 26.0 Zinc contracts (0.7) 3.0 (2.4) Total $ 82.4 $ 16.9 $ 31.1 At September 30, 2022 For the Year Ended September 30, 2022 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value Asset / (Liability) (1) Gain / (Loss) Recognized in OCI (2) Gain / (Loss) Reclassified Foreign currency contracts $ 16.3 $ 20.9 $ 9.6 Interest rate swaps 86.4 75.2 (2.5) Zinc contracts (6.1) (1.4) 9.4 Total $ 96.6 $ 94.7 $ 16.5 (1) All derivative assets are presented in Other current assets or Other assets. All derivative liabilities are presented in Other current liabilities or Other liabilities. (2) OCI is defined as other comprehensive income. (3) Gain/(Loss) reclassified to Income was recorded as follows: Foreign currency contracts in Cost of products sold, interest rate contracts in Interest expense, and commodity contracts in Cost of products sold. (4) Each of these hedging relationships has derivative instruments with a high correlation to the underlying exposure being hedged and has been deemed highly effective in offsetting the underlying risk. The following table provides estimated fair values as of September 30, 2023 and 2022, and the (losses)/gains on derivative instruments not classified as cash flow hedges as of and for the twelve months ended September 30, 2023 and 2022, respectively. At September 30, 2023 For the Year Ended September 30, 2023 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value Liability (1) Loss Recognized in Income (2) Foreign currency contracts $ (1.3) $ (2.0) At September 30, 2022 For the Year Ended September 30, 2022 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value Liability (1) Gain Recognized in Income (2) Foreign currency contracts $ (0.6) $ 6.6 (1) All derivative liabilities are presented in Other current liabilities or Other liabilities and derivative assets are presented in Other current assets or Other assets. (2) (Loss)/gain recognized on the Consolidated Statement of Earnings and Comprehensive Income and was recorded in Other items, net. Energizer has the following recognized financial assets and financial liabilities resulting from those transactions that meet the scope of the disclosure requirements as necessitated by applicable accounting guidance for balance sheet offsetting: Offsetting of derivative assets At September 30, 2023 At September 30, 2022 Description Balance Sheet location Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Foreign Currency Contracts Other Current Assets, Other Assets $ 4.4 $ (1.0) $ 3.4 $ 18.0 $ — $ 18.0 Offsetting of derivative liabilities At September 30, 2023 At September 30, 2022 Description Balance Sheet location Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Foreign Currency Contracts Other Current Liabilities, Other Liabilities $ (2.4) $ 1.0 $ (1.4) $ (2.3) $ — $ (2.3) Fair Value Hierarchy – Accounting guidance on fair value measurements for certain financial assets and liabilities requires that assets and liabilities carried at fair value be classified in one of the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs reflecting the reporting entity’s own assumptions or external inputs from inactive markets. Under the fair value accounting guidance hierarchy, an entity is required to maximize the use of quoted market prices and minimize the use of unobservable inputs. The following table sets forth the Company's financial assets and liabilities, which are carried at fair value, as of September 30, 2023 and 2022 that are measured on a recurring basis during the period, segregated by level within the fair value hierarchy: Level 2 September 30, 2023 2022 (Liabilities)/Assets at estimated fair value: Deferred Compensation $ (21.0) $ (24.6) Derivatives - Foreign Currency contracts 3.3 16.3 Derivatives - Foreign Currency contracts (non-hedge) (1.3) (0.6) Derivatives - Interest Rate Swaps 79.8 86.4 Derivatives - Zinc contracts (0.7) $ (6.1) Net Assets at estimated fair value $ 60.1 $ 71.4 Energizer had no level 1 financial assets or liabilities, other than pension plan assets, and no level 3 financial assets or liabilities at September 30, 2023 and 2022. The Company does measure certain assets and liabilities, such as Goodwill and Other intangibles, at fair value on a non-recurring basis using level 3 inputs. During the fiscal year ended September 30, 2022, the Company recorded goodwill and indefinite-lived intangible asset impairment charges of $541.9. These losses were recorded as Impairment of goodwill and intangible assets in the Consolidated Statement of Earnings. Refer to Note 11 Goodwill and Intangible Assets for additional information. There were no level 3 fair value measurement losses recognized during the fiscal years ended September 30, 2023 and 2021. Due to the nature of cash and cash equivalents and restricted cash, carrying amounts on the balance sheets approximate estimated fair value. The estimated fair value of cash was determined based on level 1 inputs and cash equivalents and restricted cash are determined based on level 2 inputs. At September 30, 2023 and 2022, the estimated fair value of the Company's unfunded deferred compensation liability is determined based upon the quoted market prices of investment options that are offered under the plan. The estimated fair value of foreign currency contracts, interest rate swap and zinc contracts, as described above, is the amount that the Company would receive or pay to terminate the contracts, considering first, quoted market prices of comparable agreements, or in the absence of quoted market prices, such factors as interest rates, currency exchange rates and remaining maturities. At September 30, 2023 and 2022, the fair market value of fixed rate long-term debt was $2,000.9 and $1,795.7, respectively, compared to its carrying value of $2,362.2 and $2,337.1, respectively. The estimated fair value of the long-term debt is estimated using yields obtained from independent pricing sources for similar types of borrowing arrangements. The estimated fair value of fixed rate long-term debt has been determined based on level 2 inputs. |
Other Commitments and Contingen
Other Commitments and Contingencies | 12 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Other Commitments and Contingencies | Other Commitments and Contingencies In the ordinary course of business, the Company also enters into supply and service contracts. These contracts can include either volume commitments or fixed expiration dates, termination provisions and other standard contractual considerations. At September 30, 2023, the Company had approximately $8.3 of purchase obligations. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive (Loss)/Income | 12 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive (Loss)/Income | Accumulated Other Comprehensive (Loss)/Income The following table presents the changes in accumulated other comprehensive (loss)/income (AOCI), net of tax by component: Foreign Currency Translation Adjustments (1)(2) Pension Activity Zinc Contracts Foreign Currency Contracts Interest Rate Swap Total Balance at September 30, 2020 $ (137.4) $ (163.5) $ 3.4 $ (4.1) $ (6.1) (307.7) OCI before reclassifications 27.6 22.0 3.4 (0.2) 7.6 60.4 Reclassifications to earnings — 7.1 (3.2) 7.9 5.1 16.9 Balance at September 30, 2021 $ (109.8) $ (134.4) $ 3.6 $ 3.6 $ 6.6 $ (230.4) OCI before reclassifications 23.3 (11.8) (1.0) 15.2 57.3 83.0 Reclassifications to earnings 8.8 5.7 (7.2) (7.1) 1.9 2.1 Balance at September 30, 2022 $ (77.7) $ (140.5) $ (4.6) $ 11.7 $ 65.8 $ (145.3) OCI before reclassifications (11.8) (10.2) 2.3 (4.1) 14.8 (9.0) Reclassifications to earnings (0.2) 40.4 1.8 (5.5) (19.9) 16.6 Balance at September 30, 2023 $ (89.7) $ (110.3) $ (0.5) $ 2.1 $ 60.7 $ (137.7) (1) Foreign currency translation adjustments reclassified into earnings due to entity liquidations or substantial entity liquidations for fiscal 2023 and 2022 were recorded in Other items, net on the Consolidated Statement of Earnings. There were no tax impacts from these reclassifications. (2) The Company has revised the presentation of Foreign Currency Translation Adjustments in fiscal 2022 to show the amounts reclassified into earnings. This revision is a change to the Company's footnote disclosure only and had no impact on the Consolidated Statement of Earnings and Comprehensive Income or the Consolidated Balance Sheet for fiscal 2022 or 2023. The following table presents the reclassifications from AOCI: For the Years Ended September 30, Amount Reclassified from AOCI (1) 2023 2022 2021 Affected Line Item in the Consolidated Statements of Earnings Gains and losses on cash flow hedges Foreign exchange contracts $ (7.5) $ (9.6) $ 10.4 Cost of products sold Interest rate swaps (26.0) 2.5 6.7 Interest expense Zinc contracts 2.4 (9.4) (4.2) Cost of products sold (31.1) (16.5) 12.9 (Earnings) / Loss before income taxes 7.5 4.1 (3.1) Income tax provision / (benefit) $ (23.6) $ (12.4) $ 9.8 Amortization of defined benefit pension items Actuarial losses $ 2.7 $ 7.2 $ 8.9 (2) Settlement losses on other plans 50.2 0.2 0.2 (2) 52.9 7.4 9.1 Loss before income taxes (12.5) (1.7) (2.0) Income tax benefit $ 40.4 $ 5.7 $ 7.1 Total reclassifications for the period $ 16.8 $ (6.7) $ 16.9 (1) Amounts in parentheses indicate credits to Consolidated Statements of Earnings. (2) These AOCI components are included in the computation of net periodic benefit cost (see Note 13, Pension Plans, for further details) and recorded in Other items, net. |
Supplemental Financial Statemen
Supplemental Financial Statement Information | 12 Months Ended |
Sep. 30, 2023 | |
Financial Statement Related Disclosures [Abstract] | |
Supplemental Financial Statement Information | Supplemental Financial Statement Information The components of certain income statement accounts are as follows: For the Years Ended September 30, Other items, net 2023 2022 2021 Interest income $ (8.9) $ (1.0) $ (0.7) Foreign currency exchange loss 17.3 7.8 5.5 Pension cost/(benefit) other than service costs (1) 2.7 (4.1) (1.9) Settlement loss on U.S. pension annuity buy out (1) 50.2 — — Exit of Russian Market (2) — 7.5 — Gain on finance lease termination (3) — (4.5) — Gain on sale of assets (4) — — (3.3) Other (4.2) 1.6 (2.5) Total Other items, net $ 57.1 $ 7.3 $ (2.9) (1) See Note 13, Pension Plans, for additional information on this item. (2) Exiting the Russian market in fiscal 2022 resulted in currency impacts recorded in Other items, net of $7.5. (3) See Note 10, Leases, for additional information on this item. (4) See Note 5, Restructuring, for additional information on this item. The components of certain balance sheet accounts are as follows: September 30, Inventories 2023 2022 Raw materials and supplies $ 113.5 $ 115.9 Work in process 258.5 201.6 Finished products 277.7 454.1 Total inventories $ 649.7 $ 771.6 Other Current Assets Miscellaneous receivables $ 20.8 $ 29.9 Prepaid expenses 83.6 90.9 Value added tax collectible from customers 30.6 27.7 Other 37.0 42.9 Total other current assets $ 172.0 $ 191.4 Property, plant and equipment Land $ 12.9 $ 14.4 Buildings 135.2 120.7 Machinery and equipment 832.9 828.2 Construction in progress 69.7 50.1 Finance leases 39.2 39.0 Total gross property 1,089.9 1,052.4 Accumulated depreciation (726.2) (690.3) Total property, plant and equipment, net $ 363.7 $ 362.1 September 30, 2023 2022 Other Current Liabilities Accrued advertising, sales promotion and allowances $ 12.9 $ 13.4 Accrued trade promotions 52.7 57.7 Accrued freight and warehousing 35.1 37.2 Accrued salaries, vacations and incentive compensation 57.9 60.6 Accrued interest expense 20.5 20.5 Restructuring and related costs reserve 17.1 1.7 Income taxes payable 36.9 36.7 Other 92.5 106.1 Total other current liabilities $ 325.6 $ 333.9 Other Liabilities Pensions and other retirement benefits $ 55.0 $ 49.3 Deferred compensation 17.4 19.8 Mandatory transition tax 12.8 16.7 Restructuring and related costs reserve 2.5 — Other non-current liabilities 47.8 52.3 Total other liabilities $ 135.5 $ 138.1 For the Years Ended September 30, Allowance for Doubtful Accounts 2023 2022 2021 Balance at beginning of year $ 2.9 $ 2.9 $ 2.8 Provision charged to expense, net of reversals 1.9 (0.4) 1.2 Write-offs, less recoveries, translation, other (0.2) 0.4 (1.1) Balance at end of year $ 4.6 $ 2.9 $ 2.9 For the Years Ended September 30, Income Tax Valuation Allowance 2023 2022 2021 Balance at beginning of year $ 11.6 $ 15.1 $ 13.1 Provision charged to expense, net of reversals 0.6 2.3 1.8 Reversal of provision charged to expense (6.4) (3.8) (2.1) Translation, other 0.2 (2.0) 2.3 Balance at end of year $ 6.0 $ 11.6 $ 15.1 The components of certain cash flow statement components are as follows: For the Years Ended September 30, Certain items from Operating Cash Flow Activities 2023 2022 2021 Interest paid $ 159.6 $ 142.6 $ 172.7 Income taxes paid, net 62.7 54.5 65.0 |
Environmental and Regulatory
Environmental and Regulatory | 12 Months Ended |
Sep. 30, 2023 | |
Environmental Remediation Obligations [Abstract] | |
Environmental and Regulatory | Environmental and Regulatory Government Regulation and Environmental Matters – The operations of Energizer are subject to various federal, state, foreign and local laws and regulations intended to protect the public health and the environment. These regulations relate primarily to worker safety, air and water quality, underground fuel storage tanks and waste handling, collection, recycling and disposal. In connection with some sites, Energizer has been identified as a “potentially responsible party” (PRP) under the Comprehensive Environmental Response, Compensation and Liability Act and may be required to share in the cost of cleanup with respect to certain federal “Superfund” sites. Energizer may also be required to share in the cost of cleanup with respect to state-designated sites or other sites outside of the U.S. Accrued environmental costs at September 30, 2023 were $ 14.0 3.9 Legal Proceedings – The Company and its affiliates are subject to a number of legal proceedings in various jurisdictions arising out of its operations. Many of these legal matters are in preliminary stages and involve complex issues of law and fact, and may proceed for protracted periods of time. The amount of liability, if any, from these proceedings cannot be determined with certainty. The Company and its affiliates are a party to legal proceedings and claims that arise during the ordinary course of business. The Company reviews its legal proceedings and claims, regulatory reviews and inspections on an ongoing basis and follows appropriate accounting guidance when making accrual and disclosure decisions. The Company establishes accruals for those contingencies where the incurrence of a loss is probable and can be reasonably estimated, and discloses the amount accrued and the amount of a reasonably possible loss in excess of the amount accrued, if such disclosure is necessary for our financial statements to not be misleading. The Company does not record liabilities when the likelihood that the liability has been incurred is probable, but the amount cannot be reasonably estimated. Based upon present information, the Company believes that its liability, if any, arising from such pending legal proceedings, asserted legal claims and known potential legal claims which are likely to be asserted, is not reasonably likely to be material to the Company's financial position, results of operations, or cash flows, taking into account established accruals for estimated liabilities. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Pay vs Performance Disclosure | |||
Net earnings/(loss) | $ 140.5 | $ (231.5) | $ 160.9 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Sep. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates – The preparation of the Company's Consolidated Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses. On an ongoing basis, Energizer evaluates its estimates, including those related to customer promotional programs and incentives, product returns, bad debts, the carrying value of inventories, intangible and other long-lived assets, income taxes, pensions and other postretirement benefits, share-based compensation, contingencies and acquisitions. Actual results could differ materially from those estimates. In regard to ongoing impairment testing of goodwill and indefinite lived intangible assets, significant deterioration in future cash flow projections, changes in discount rates used in discounted cash flow models or changes in other assumptions used in estimating fair values, versus those anticipated at the time of the initial acquisition, as well as subsequent estimated valuations, could result in impairment charges that may materially affect the financial statements in a given year. Refer to Note 11 Goodwill & Intangibles for additional information. |
Cash and Cash Equivalents | Cash and Cash Equivalents – Cash and cash equivalents consist of cash on hand and marketable securities with original maturities of three months or less. At September 30, 2023 and 2022, Energizer had $223.3 and $205.3, respectively, in available cash, 84.4% and 73.5% of which was outside of the U.S., respectively. The Company has extensive operations, including a significant manufacturing footprint outside of the U.S. We manage our worldwide cash requirements by reviewing available funds among the many subsidiaries through which we conduct our business and the cost effectiveness with which those funds can be accessed. The repatriation of cash balances from certain of our subsidiaries could have adverse tax consequences or be subject to regulatory capital requirements; however, those balances are generally available without legal restrictions to fund ordinary business operations. Our intention is to reinvest these funds indefinitely. Restricted Cash – The Company defines restricted cash as cash that is legally restricted as to withdrawal or usage. There was no restricted cash at September 30, 2023 and 2022. |
Foreign Currency Translations | Foreign Currency Translation – Financial statements of foreign operations where the local currency is the functional currency are translated using end-of-period exchange rates for assets and liabilities and average exchange rates during the period for |
Financial Instruments and Derivative Securities | Financial Instruments and Derivative Securities – Energizer uses financial instruments, from time to time, in the management of foreign currency, interest rate risk and commodity price risks that are inherent to its business operations. Such instruments are not held or issued for trading purposes. Every derivative instrument (including certain derivative instruments embedded in other contracts) is required to be recorded on the balance sheet at fair value as either an asset or liability. Changes in fair value of recorded derivatives are required to be recognized in earnings unless specific hedge accounting criteria are met. Foreign exchange instruments, including currency forwards, are used primarily to reduce cash transaction exposures and to manage other translation exposures. Foreign exchange instruments used are selected based on their risk reduction attributes, costs and the related market conditions. The Company has designated certain foreign currency contracts as cash flow hedges for accounting purposes as of September 30, 2023 and 2022. The Company has interest rate risk with respect to interest expense on variable rate debt. In December 2020, the Company entered into an interest rate swap with an effective date on December 22, 2020, that fixed the variable benchmark component (LIBOR) at an interest rate of 0.95% on variable debt of $550.0. The notional value increased to $700.0 on January 22, 2021, and will stay at that value through December 22, 2024. The notional value will decrease by $100.0 on December 22, 2024 and by $100.0 each year thereafter until its termination date on December 22, 2027. The notional value of the swap was $700.0 at September 30, 2023. In February 2023, the Company amended its Credit Agreement to transition the interest reference rate from LIBOR to SOFR. The amendment was entered into because the LIBOR rate historically used was no longer published after June 30, 2023. The Company also amended the 2020 Interest rate swap to coincide with the amended credit agreement, effectively fixing the variable benchmark component (SOFR) at an interest rate of 1.042%. There were no other changes to the interest rate swap agreement or expected timing of cash flows associated with the swap. The Company utilized expedients within ASC 848 to conclude that this modification should be accounted for as a continuation of the existing swap agreement, resulting in no impact on the Company's financial statements. Energizer uses raw materials that are subject to price volatility. The Company may use hedging instruments to reduce exposure to variability in cash flows associated with future purchases of commodities. At September 30, 2023 and 2022, the Company had derivative contracts for the future purchases of zinc. |
Cash Flow Presentation | Cash Flow Presentation – The Consolidated Statements of Cash Flows are prepared using the indirect method, which reconciles Net earnings/(loss) to cash flow from operating activities. The reconciliation adjustments include the removal of timing differences between the occurrence of operating receipts and payments and their recognition in Net earnings/(loss). The adjustments also remove cash flows arising from investing and financing activities, which are presented separately from operating activities. Cash flows from foreign currency transactions and operations are translated at an average exchange rate for the period. Cash flows from hedging activities are included in the same category as the items being hedged, which is primarily operating activities. Cash payments related to income taxes are classified as operating activities. |
Trade Receivables, net | Trade Receivables, net – Trade receivables are stated at their net realizable value. The allowance for trade promotions reflects management's estimate of the amount of trade promotions that customers will take as an invoice reduction, rather than receiving cash payments for the trade allowances earned. See additional discussion on the trade allowances in the revenue recognition discussion further in this note. The allowance for doubtful accounts reflects the Company's best estimate of probable losses inherent in the receivables portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other currently available information. Receivables that the Company has factored at September 30, 2023 and 2022 |
Inventories | Inventories – Inventories are valued at the lower of cost and net realizable value, with cost generally being determined using average cost or the first-in, first-out (FIFO) method. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The Company records a reserve for excess and obsolete inventory based upon the historical usage rates, sales patterns of its products and specifically-identified obsolete inventory. |
Capitalized Software Costs | Capitalized Software Costs – Capitalized software costs are included in Other assets. These costs are amortized using the straight-line method over periods of related benefit ranging from three |
Property, Plant and Equipment, net | Property, Plant and Equipment, net – Property, plant and equipment, net is stated at historical costs. Expenditures for new facilities and expenditures that substantially increase the useful life of property, including interest during construction, are capitalized and reported in the Capital expenditures caption in the Consolidated Statements of Cash Flows. Maintenance, repairs and minor renewals are expensed as incurred. When property is retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the accounts, and gains or losses on the disposition are reflected in earnings. Property, plant and equipment, net held under finance leases are amortized on a straight-line bases over the shorter of the lease term or estimated useful life of the asset and such amortization is included in depreciation expense. Depreciation is generally provided on the straight-line basis by charges to pre-tax earnings at rates based on estimated useful lives. Estimated useful lives range from two three IT integration assets and certain manufacturing assets including property, plant and equipment located at facilities that are being consolidated as part of the integration of the Battery and Auto Care Acquisitions. Estimated useful lives are periodically reviewed and, when appropriate, changes are made prospectively. When certain events or changes in operating conditions occur, asset lives may be adjusted and an impairment assessment may be performed on the recoverability of the carrying amounts. |
Acquisitions | Acquisitions – Energizer accounts for the acquisition of a business using the acquisition method of accounting and allocates the cost of an acquired business to the assets acquired and liabilities assumed based on their estimated fair values at the date of acquisition. The excess value of the cost of an acquired business over the fair value of the assets acquired and liabilities assumed is recognized as goodwill. During the measurement period, which may be up to one year from the acquisition date, the Company may record adjustments to assets acquired and liabilities assumed with the corresponding offset to goodwill. During fiscal 2021, Energizer used variations of the income approach in determining the fair value of the amortizable intangible assets acquired as part of an acquisition to acquire a company that specializes in developing formulations for cleaning tasks. The Company utilized multi-period excess earnings methods for determining the fair value of the proprietary technology and customer relationships acquired. Our determination of the fair value of these assets involved the use of significant estimates and assumptions related to the revenue growth rates and discount rates. Our determination of the fair value of customer relationships also involved assumptions related to customer attrition rates. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets – Goodwill and indefinite-lived intangibles are not amortized, but are evaluated annually for impairment as part of the Company's annual business planning cycle in the fourth fiscal quarter, or when indicators of a potential impairment are present. Intangible assets with finite lives are amortized on a straight-line basis over expected lives. Such intangibles are also evaluated for impairment including ongoing monitoring of potential impairment indicators. There were no impairments identified during the fiscal 2023 and 2021 annual impairment analyses. During the fiscal year 2022 annual impairment analysis during the fourth quarter, the Company identified indefinite lived trade name impairments for Armor All, STP, and Rayovac of $ 370.4 |
Revenue Recognition | Revenue Recognition – The Company measures revenue as the amount of consideration for which it expects to be entitled in exchange for transferring goods. Net sales reflect the transaction prices for agreements, which include units shipped at selling list prices reduced by variable consideration as determined by the terms of each individual agreement. Discounts are offered to customers for early payment and an estimate of the discount is recorded as a reduction of net sales in the same period as the sale. Our standard sales terms generally include payments within 30 to 60 days and are final with returns or exchanges not permitted unless a special exception is made. Our Auto Care channel terms are longer, in some cases up to 365 days, in which case we use our trade Receivables factoring program for more timely collection. Reserves are established based on historical data and recorded in cases where the right of return does exist for a particular sale. The Company does not offer warranties on products. Energizer offers a variety of programs, primarily to its retail customers, designed to promote sales of its products. Such programs require periodic payments and allowances based on estimated results of specific programs and are recorded as a reduction to net sales. Methodologies for determining these provisions are dependent on specific customer pricing and promotional practices, which range from contractually fixed percentage price reductions to reimbursement based on actual occurrence or performance. Where applicable, future reimbursements are estimated based on a combination of historical patterns and future expectations regarding specific in-market product performance. Energizer accrues, at the time of sale, the estimated total payments and allowances associated with each transaction. Customers redeem trade promotions in the form of payments from the accrued trade allowances or invoice credits against trade receivables. Additionally, Energizer offers programs directly to consumers to promote the sale of its products. Energizer continually assesses the adequacy of accruals for customer and consumer promotional program costs not yet paid. To the extent total program payments differ from estimates, adjustments may be necessary. Historically, these adjustments have not been material. The Company’s agreements with customers do not have significant financing components or non-cash consideration and the Company does not have unbilled revenue or significant amounts of prepayments from customers. Revenue is recorded net of the taxes collected on behalf of governmental authorities which are generally included in the price to the customer. Shipping and handling activities are accounted for as contract fulfillment costs and recorded in Cost of products sold. |
Advertising and Sales Promotion Costs | Advertising and Sales Promotion Costs – The Company advertises and promotes its products through national and regional media and expenses such activities as incurred. |
Research and Development Costs | Research and Development Costs - The Company expenses research and development costs as incurred. |
Income Taxes | Income Taxes – Our annual effective income tax rate is determined based on our income, statutory tax rates and the tax impacts of items treated differently for tax purposes than for financial reporting purposes. Tax law requires certain items be included in the tax return at different times than the items are reflected in the financial statements. Some of these differences are permanent, such as expenses that are not deductible in our tax return, and some differences are temporary, reversing over time, such as depreciation expense. These temporary differences create deferred tax assets and liabilities. The Company estimates income taxes and the effective income tax rate in each jurisdiction that it operates. This involves estimating taxable earnings, specific taxable and deductible items, the likelihood of generating sufficient future taxable income to utilize deferred tax assets, the portion of the income of foreign subsidiaries that is expected to be remitted to the U.S. and be taxable and possible exposures related to future tax audits. Deferred tax assets are evaluated on a subsidiary by subsidiary basis to ensure that the asset will be realized. Valuation allowances are established when the realization is not deemed to be more likely than not. Future performance is monitored, and when objectively measurable operating trends change, adjustments are made to the valuation allowances accordingly. To the extent the estimates described above change, adjustments to income taxes are made in the period in which the estimate is changed. In determining whether a valuation allowance against the net deferred tax assets are warranted, the Company assesses all available positive and negative evidence such as prior earnings history, expected future earnings, carry-back and carry-forward periods and the feasibility of ongoing tax strategies that could potentially enhance the likelihood of the realization of a deferred tax asset. After the evaluation of all available positive and negative evidence, the conclusion was that it is more likely than not that the Company will generate enough future taxable income to realize the U.S. net deferred tax asset on its balance sheet as of September 30, 2023. The Company will continue to regularly assess the potential for realization of net deferred tax assets in future periods. Changes in future earnings projections, among other factors, may result in a valuation allowance against some or all of the net deferred tax assets, which may materially impact income tax expense in the period if it is determined that these factors have changed. The Company operates in multiple jurisdictions with complex tax and regulatory environments, which are subject to differing interpretations by the taxpayer and the taxing authorities. At times, the Company may take positions that management believes are supportable, but are potentially subject to successful challenges by the appropriate taxing authority. The Company evaluates its tax positions and establishes liabilities in accordance with guidance governing accounting for uncertainty in income taxes. The Company reviews these tax uncertainties in light of the changing facts and circumstances, such as the progress of tax audits, and adjusts them accordingly. The Company's policy on accounting for tax on the global intangible low-taxed income (GILTI) is to treat the taxes due as a period expense when incurred. In general, it is our practice and intention to permanently reinvest the earnings of our foreign subsidiaries and repatriate earnings only when the tax impact is zero or very minimal. No provision has been provided for taxes that would result upon repatriation of our foreign investments to the United States. We intend to reinvest these earnings indefinitely in our foreign subsidiaries to fund local operations, fund strategic growth objectives, and fund capital projects. See Note 6, Income Taxes, of the Notes to Consolidated Financial Statements for further discussion. |
Share-Based Payments | Share-Based Payments – The Company grants restricted stock units, which generally vest over two |
Estimated Fair Value of Financial Instruments | Estimated Fair Values of Financial Instruments – Certain financial instruments are required to be recorded at the estimated fair value. Changes in assumptions or estimation methods could affect the fair value estimates; however, we do not believe any such changes would have a material impact on our financial condition, results of operations or cash flows. Other financial instruments including cash and cash equivalents, restricted cash, and short-term borrowings, including notes payable, are recorded at cost, which approximates estimated fair value. |
Recently Accounting Pronouncements | Recently Issued Accounting Pronouncements – In March 2020, the FASB issued ASU 2020-04 Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. Subsequent to the issuance of ASU 2020-04, ASC 848 was amended by ASU 2021-01 Scope, and ASU 2022-06 Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848 (collectively ASC 848). Topic 848 provides optional guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on contracts, hedging relationships and other transactions that reference LIBOR. These updates are effective immediately and may be applied prospectively to contract modifications made and hedging relationships entered into or evaluated on or before December 31, 2024. The Company adopted the provisions of these updates on October 1, 2022 and applied the guidance prospectively to contract modifications that were entered into for the purpose of establishing a new reference rate during fiscal 2023. Refer to notes 12 and 16 for additional information. The adoption of this guidance did not have a material impact to the Company's financial statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | Trade Receivables, net consists of: September 30, 2023 2022 Trade receivables $ 690.2 $ 554.1 Allowance for trade promotions (174.0) (129.5) Allowance for doubtful accounts (4.6) (2.9) Trade receivables, net $ 511.6 $ 421.7 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Product and Market Information | Supplemental product and market information is presented below for revenues from external customers for the twelve months ended September 30, 2023, 2022 and 2021: For the Twelve Months Ended September 30, Net Sales 2023 2022 2021 Batteries $ 2,233.9 $ 2,298.2 $ 2,276.9 Auto Care 614.8 622.8 618.7 Lights 111.0 129.1 125.9 Total Net Sales $ 2,959.7 $ 3,050.1 $ 3,021.5 For the Twelve Months Ended September 30, Net Sales 2023 2022 2021 North America $ 1,882.1 $ 1,932.0 $ 1,902.1 Modern Markets 495.9 515.9 528.8 Developing Markets 391.6 400.9 393.3 Distributor Markets 190.1 201.3 197.3 Total Net Sales $ 2,959.7 $ 3,050.1 $ 3,021.5 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table outlines the purchase price allocation: Trade receivables $ 1.3 Inventories 0.1 Other intangible assets, net 20.5 Operating lease assets 0.5 Accounts payable (0.2) Current operating lease liabilities (0.2) Other current liabilities (0.2) Operating lease liabilities (0.3) Total identifiable net assets $ 21.5 Goodwill 28.7 Net assets acquired $ 50.2 The following table outlines the purchase price allocation as of the date of acquisition: Cash and cash equivalents $ 1.7 Trade receivables 4.3 Inventories 7.8 Other current assets 1.1 Property, plant and equipment, net 19.4 Other assets 2.8 Accounts payable (10.7) Other current liabilities (0.5) Deferred tax liabilities (0.8) Other liabilities (6.9) Net assets acquired $ 18.2 |
Schedule of Acquired Finite-Lived Intangible Assets by Major Class | The table below identifies the purchased intangible assets of $20.5: Total Weighted Average Useful Lives Proprietary formulas $ 19.5 7 Customer relationships 1.0 15 Total Other intangible assets, net $ 20.5 |
Restructuring (Tables)
Restructuring (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Costs | The pre-tax expense for charges related to the restructuring plans during the twelve months ended September 30, 2023, 2022 and 2021 are noted in the table below, and were reflected in Cost of products sold, Selling, general and administrative expense, Research and development, and Other items, net on the Consolidated Statement of Earnings and Comprehensive Income: For the Years Ended September 30, 2023 2022 2021 2019 Restructuring Program Costs of products sold Severance and related benefit costs $ — $ (0.1) $ 0.1 Accelerated depreciation and asset write-offs — 1.2 6.7 Other exit costs (1) — 2.8 16.5 Other items, net Gain on termination of finance lease (2) $ — (4.5) — Gain on sale of fixed assets (3) $ — — (3.3) Total 2019 Restructuring Costs $ — $ (0.6) $ 20.0 2020 Restructuring Program Costs of products sold Severance and related benefit costs $ — $ 0.2 $ 0.5 Other restructuring related costs (4) — 1.1 8.1 Selling, general and administrate expense Severance and related benefit costs — 0.1 0.5 Other restructuring related costs (4) — — 7.5 Research and development expense Severance and related benefit costs — — 0.2 Total 2020 Restructuring Costs $ — $ 1.4 $ 16.8 Project Momentum Restructuring Program Costs of products sold Severance and related benefit costs $ 7.7 $ — $ — Accelerated depreciation and asset write-offs 6.2 — — Other restructuring related costs (1) 16.0 — — Selling, general and administrate expense Severance and related benefit costs 10.7 — — Accelerated depreciation and asset write-offs 1.3 — — Other restructuring related costs (4) 14.7 0.9 — Other items, net (0.2) — — Momentum Restructuring Cost Total $ 56.4 $ 0.9 $ — IT enablement (5) $ 3.3 $ — $ — Total Restructuring and Related Costs $ 59.7 $ 1.7 $ 36.8 (1) Includes charges primarily related to relocation, environmental investigatory and mitigation costs, consulting, and other facility exit costs. (2) The gain relates to the exit of our Dixon, IL leased packaging facility, which was a finance leased location. The Company vacated the facility and entered into a termination agreement with the landlord during fiscal year 2022. (3) Relates to the sale of the Guatemala battery manufacturing facility in September 2021 net of closing costs, legal fees, and fixed asset write-offs. Net cash proceeds were $5.5. (4) Primarily includes consulting, legal fees and contract termination costs for the restructuring program. (5) Relates to expenses for new IT systems that are enabling the Company to complete restructuring initiatives. Costs are included in Selling, general and administrative expense in the Consolidated Statement of Earnings and Comprehensive Income. |
Schedule of Restructuring Reserve by Type of Cost | The following table summarizes the activity related to the Project Momentum restructuring program for the twelve Months Ended September 30, 2023, and 2022: Utilized Project Momentum Restructuring Program September 30, 2022 Charge to Income Cash Non-Cash September 30, 2023 (1) Severance & termination related costs $ — $ 18.4 $ 3.0 $ — $ 15.4 Accelerated depreciation & asset write-offs — 7.5 — 7.5 — Other restructuring related costs 0.9 30.5 28.0 0.1 3.3 IT enablement — 3.3 2.3 0.1 0.9 Total Project Momentum restructuring and related costs $ 0.9 $ 59.7 $ 33.3 $ 7.7 $ 19.6 (1) At September 30, 2023 th e restructuring reserve is recorded on the Consolidated (Condensed) Balance Sheet in Other current liabilities and Other long term liabilities. Refer to Note 19, Supplemental Financial Statement Information for additional details. The following table summarizes the activity related to the 2019 restructuring program for the twelve Months Ended September 30, 2023, 2022, and 2021 : Utilized 2019 Restructuring Program September 30, 2020 Charge to Income Cash Non-Cash September 30, 2021 Severance & termination related costs $ 5.3 $ 0.1 $ 4.0 $ — $ 1.4 Accelerated depreciation & asset write-offs — 6.7 — 6.7 — Gain on sale of fixed assets — (3.3) (5.5) 1.7 0.5 Other exit costs 2.9 16.5 17.2 — 2.2 Total $ 8.2 $ 20.0 $ 15.7 $ 8.4 $ 4.1 September 30, 2021 Charge to Income Cash Non-Cash September 30, 2022 (1) Severance & termination related costs $ 1.4 $ (0.1) $ 1.2 $ — $ 0.1 Accelerated depreciation & asset write-offs — 1.2 — 1.2 — Gain on sale of fixed assets 0.5 — 0.5 — — Gain on termination of finance lease — (4.5) 5.1 (9.6) — Other exit costs 2.2 2.8 5.0 — — Total $ 4.1 $ (0.6) $ 11.8 $ (8.4) $ 0.1 September 30, 2022 Charge to Income Cash Non-Cash September 30, 2023 Severance & termination related costs $ 0.1 $ — $ 0.1 $ — $ — Total $ 0.1 $ — $ 0.1 $ — $ — (1) At September 30, 2022, the restructuring reserve is recorded on the Consolidated Balance Sheet in Other current liabilities. The following table summarizes the activity related to the 2020 restructuring program for the Twelve Months Ended September 30, 2023, 2022, and 2021 : Utilized 2020 Restructuring Program September 30, 2020 Charge to Income Cash Non-Cash September 30, 2021 Severance & termination related costs $ 0.4 $ 1.2 $ 0.7 $ — $ 0.9 Other restructuring related costs 0.8 15.6 15.7 — $ 0.7 Total $ 1.2 $ 16.8 $ 16.4 $ — $ 1.6 September 30, 2021 Charge to Income Cash Non-Cash September 30, 2022 (1) Severance & termination related costs $ 0.9 $ 0.3 $ 0.5 $ — $ 0.7 Other restructuring related costs 0.7 1.1 1.8 — $ — Total $ 1.6 $ 1.4 $ 2.3 $ — $ 0.7 September 30, 2022 Charge to Income Cash Non-Cash September 30, 2023 Severance & termination related costs $ 0.7 $ — $ 0.7 $ — $ — Other restructuring related costs $ — $ — $ — — Total $ 0.7 $ — $ 0.7 $ — $ — (1) At September 30, 2022 the restructuring reserve is recorded on the Consolidated Balance Sheet in Other current liabilities. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The provisions/(benefit) for income taxes consisted of the following: For the Years Ended September 30, 2023 2022 2021 Current: United States - Federal $ 14.4 $ (1.9) $ 4.7 State 5.3 3.5 1.6 Foreign 54.0 59.7 49.9 Total current $ 73.7 $ 61.3 $ 56.2 Deferred: United States - Federal (34.8) (113.1) (57.8) State (4.5) (14.2) (3.8) Foreign 0.8 (8.0) (1.3) Total deferred $ (38.5) $ (135.3) $ (62.9) Provision/(benefit) for income taxes $ 35.2 $ (74.0) $ (6.7) |
Schedule of Income before Income Tax, Domestic and Foreign | The source of pre-tax earnings/(loss) was: For the Years Ended September 30, 2023 2022 2021 United States $ (105.3) $ (554.5) $ (90.1) Foreign 281.0 249.0 244.3 Pre-tax (loss)/earnings $ 175.7 $ (305.5) $ 154.2 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of income tax provision/(benefit) with the amounts computed at the statutory federal income tax rate follows: For the Years Ended September 30, 2023 2022 2021 Computed tax at federal statutory rate $ 36.9 21.0 % $ (64.2) 21.0 % $ 32.4 21.0 % State income taxes, net of federal tax benefit (0.6) (0.3) (9.7) 3.2 0.2 0.1 Foreign rate differential (4.2) (2.4) 4.4 (1.4) 0.8 0.5 Adjustments to prior years' tax accruals 3.1 1.8 1.0 (0.3) 0.6 0.4 Other taxes including repatriation of foreign earnings and GILTI 2.5 1.4 2.4 (0.8) 5.5 3.6 Foreign tax incentives (2.1) (1.2) (2.8) 0.9 (3.7) (2.4) Uncertain tax positions (3.2) (1.8) (10.1) 3.3 0.2 0.1 Debt refinancing — — — — (3.4) (2.2) Tax structuring — — — — (39.5) (25.6) Other, net 2.8 1.5 5.0 (1.7) 0.2 0.2 Total $ 35.2 20.0 % $ (74.0) 24.2 % $ (6.7) (4.3) % |
Schedule of Deferred Tax Assets and Liabilities | The deferred tax assets and deferred tax liabilities at the end of each year are as follows: September 30, 2023 2022 Deferred tax assets: Accrued liabilities $ 38.6 $ 30.1 Deferred and stock-related compensation 11.2 10.8 Tax loss carryforwards and tax credits 18.8 22.2 Intangible assets 2.7 2.6 Pension plans 7.5 6.2 Inventory differences and other tax assets 20.8 14.7 Operating lease assets 24.3 24.0 Interest expense limited under Sec 163j 117.0 110.6 Gross deferred tax assets 240.9 221.2 Deferred tax liabilities: Depreciation and property differences (22.2) (25.2) Intangible assets (85.8) (87.8) Operating lease liabilities (24.1) (23.8) Other tax liabilities (26.8) (28.9) Gross deferred tax liabilities (158.9) (165.7) Valuation allowance (6.0) (11.6) Net deferred tax assets/(liabilities) $ 76.0 $ 43.9 |
Summary of Income Tax Contingencies | The unrecognized tax benefits activity is summarized below: For the Years Ended September 30, 2023 2022 2021 Unrecognized tax benefits, beginning of year $ 9.2 $ 13.5 $ 14.2 Additions based on current year tax positions and acquisitions — — 0.1 Additions based on prior year tax positions and acquisitions — — 2.6 Settlements with taxing authorities/statute expirations (2.1) (4.3) (3.4) Unrecognized tax benefits, end of year $ 7.1 $ 9.2 $ 13.5 |
Share-Based Payments (Tables)
Share-Based Payments (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Compensation Valuation Assumptions | The assumptions for the valuation of TSR performance shares granted during the year ended September 30, 2023 and 2022 are summarized in the table below: Fiscal Year 2023 Fiscal Year 2022 Expected term (in years) 3.0 3.0 Expected volatility 41.1 % 42.3 % Expected dividend rate 4.1 % 3.1 % Expected risk-free rate 4.6 % 0.8 % Fair value of TSR award at grant $44.92 $56.45 |
Summary of RSE Activity | The following table summarizes the Company's RSU activity (including performance awards at stretch) during the current fiscal year (shares in millions): Shares Weighted-Average Nonvested RSU at October 1, 2022 2.5 $ 43.64 Granted 1.2 $ 33.56 Vested (0.2) $ 41.63 Cancelled (0.8) $ 40.30 Nonvested RSU at September 30, 2023 2.7 $ 38.72 |
Earnings per share (Tables)
Earnings per share (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the computation of basic and diluted earnings/(loss) per share for the years ended September 30, 2023, 2022 and 2021: For the Years Ended September 30, (in millions, except per share data) 2023 2022 2021 Basic earnings / (loss) per share Net earnings/(loss) $ 140.5 $ (231.5) $ 160.9 Mandatory preferred stock dividends — (4.0) (16.2) Net earnings/(loss) attributable to common shareholders $ 140.5 $ (235.5) $ 144.7 Weighted average common shares outstanding - basic 71.5 69.9 68.2 Basic net earnings/(loss) per common share $ 1.97 $ (3.37) $ 2.12 Diluted earnings / (loss) per share Net earnings/(loss) attributable to common shareholders $ 140.5 $ (235.5) $ 144.7 Weighted average common shares outstanding - basic 71.5 69.9 68.2 Effect of dilutive restricted stock units 0.4 — 0.2 Effect of dilutive performance shares 0.5 — 0.2 Effect of stock based deferred compensation plan — — 0.1 Weighted average common shares outstanding - diluted 72.4 69.9 68.7 Diluted net earnings/(loss) per common share $ 1.94 $ (3.37) $ 2.11 |
Segments (Tables)
Segments (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Segment sales and profitability for the fiscal years ended September 30, 2023, 2022, and 2021 are presented below: For the Years Ended September 30, Net Sales 2023 2022 2021 Batteries & Lights $ 2,344.9 $ 2,427.3 $ 2,402.8 Auto Care 614.8 622.8 618.7 Total net sales $ 2,959.7 $ 3,050.1 $ 3,021.5 Segment Profit Batteries & Lights 551.5 553.6 553.6 Auto Care 75.0 46.5 98.2 Total segment profit $ 626.5 $ 600.1 $ 651.8 General corporate and other expenses (1) (107.2) (101.6) (96.0) Project Momentum restructuring and related costs (2) (59.7) (0.9) — Acquisition and integration costs (3) — (16.5) (68.9) Acquisition earn out (4) — (1.1) (3.4) Amortization of intangible assets (59.4) (61.1) (61.2) Impairment of goodwill & intangible assets — (541.9) — Interest expense (168.7) (158.4) (161.8) Gain/(loss) on extinguishment of debt 1.5 — (103.3) Settlement loss on U.S. pension annuity buy out (5) (50.2) — — Exit of Russian market (6) — (14.6) — Gain on finance lease termination (7) — 4.5 — Brazil flood damage, net of insurance proceeds (8) — (9.7) — Other items, net - adjusted (9) (7.1) (4.3) (3.0) Total earnings/(loss) before income taxes $ 175.7 $ (305.5) $ 154.2 (1) Recorded in Selling, general, and administrative expense on the Consolidated Statement of Earnings and Comprehensive Income. (2) Project Momentum restructuring and related costs were included in the following lines in the Consolidated Statement of Earnings and Comprehensive Income: For the Years Ended September 30, Project Momentum restructuring and related costs 2023 2022 2021 Cost of products sold $ 29.9 $ — $ — SG&A - Restructuring 26.7 0.9 — SG&A - IT Enablement 3.3 — — Other items, net (0.2) — — Total Project Momentum restructuring and related costs $ 59.7 $ 0.9 $ — (3) Acquisition and integration costs were included in the following lines in the Consolidated Statement of Earnings and Comprehensive Income: For the Years Ended September 30, Acquisition and Integration Costs 2023 2022 2021 Cost of products sold $ — $ 6.0 $ 33.7 SG&A — 9.4 40.0 Research and development — 1.1 1.1 Other items, net — — (5.9) Total Acquisition and Integration Costs $ — $ 16.5 $ 68.9 (4) This represents the earn out achieved under the incentive agreements entered into with the Formulations Acquisition and is recorded in Selling, general and administrative expense on the Consolidated Statement of Earnings and Comprehensive Income. (5) The Settlement loss is due to the execution of a partial retiree annuity buy out on the U.S. pension plan in the fourth quarter of fiscal 2023. This charge is included in Other items, net in the Consolidated Statement of Earnings and Comprehensive Income. (6) These are the costs associated with the Company's exit of the Russian market during fiscal 2022. Exiting the Russian market resulted in Cost of products sold of $1.3 related to the impairment of inventory in Russia and shipping costs to get inventory to other markets, impairment of other assets and severance recorded in SG&A of $5.8 and currency impacts recorded in Other items, net of $7.5 on the Consolidated Statement of Earnings and Comprehensive Income. (7) This represents the termination of a finance lease in fiscal year 2022 associated with a facility that was exited as a part of the Company's 2019 Restructuring program. The gain was recorded in Other items, net in the Consolidated Statement of Earnings and Comprehensive Income . (8) These are the costs associated with the May 2022 flooding of our Brazilian manufacturing facility, which were recorded in Cost of products sold on the Consolidated Statement of Earnings and Comprehensive Income, net of insurance proceeds. The majority is related to write off of damaged inventory. (9) Other items, net on the Consolidated Statements of Earnings and Comprehensive Income included the U.S. pension settlement charge of $50.2 and a restructuring benefit of $0.2 for the twelve months ended September 30, 2023, costs associated with the exit of the Russian market of $7.5 and a $4.5 gain on the termination of a finance lease in the twelve months ended September 30, 2022, and an acquisition and integration gain of $5.9 for the twelve months ended September 30, 2021, all of which have been reclassified from Other items, net within the reconciliation above. Corporate assets shown in the following table include cash, all financial instruments, pension assets, amounts indemnified by Spectrum per the purchase agreements and tax asset balances that are managed outside of operating segments. September 30, Total Assets 2023 2022 Batteries & Lights $ 1,362.0 $ 1,366.0 Auto Care 423.5 453.7 Total segment assets $ 1,785.5 $ 1,819.7 Corporate 470.2 453.5 Goodwill and other intangible assets, net 2,253.9 2,298.9 Total assets $ 4,509.6 $ 4,572.1 September 30, Long-Lived Assets 2023 2022 United States $ 510.7 $ 497.7 Singapore 56.2 62.1 United Kingdom 61.2 52.6 Other International 71.0 70.8 Total long-lived assets excluding goodwill and intangibles $ 699.1 $ 683.2 Capital expenditures and depreciation and amortization by segment for the years ended September 30 are as follows: For the Years Ended September 30, Capital Expenditures 2023 2022 2021 Batteries & Lights $ 47.8 $ 65.8 $ 57.3 Auto Care 9.0 12.0 7.6 Total segment capital expenditures $ 56.8 $ 77.8 $ 64.9 Depreciation and Amortization Batteries & Lights $ 52.2 $ 50.6 $ 49.0 Auto Care 11.1 9.9 8.3 Total segment depreciation and amortization 63.3 60.5 57.3 Amortization of intangible assets 59.4 61.1 61.2 Total depreciation and amortization $ 122.7 $ 121.6 $ 118.5 |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas | Geographic segment information for the years ended September 30 are as follows: For the Years Ended September 30, Net Sales to Customers 2023 2022 2021 United States $ 1,751.1 $ 1,799.5 $ 1,788.3 International 1,208.6 1,250.6 1,233.2 Total net sales $ 2,959.7 $ 3,050.1 $ 3,021.5 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Leases [Abstract] | |
Schedule of Balance Sheet Location | As of September 30, 2023 and 2022 the amounts for leases included on our Consolidated Balance Sheet include: Balance Sheet Location September 30, 2023 September 30, 2022 Operating Leases: Operating lease assets $ 98.4 $ 100.1 Operating lease liabilities - current 17.3 15.8 Operating lease liabilities 84.7 88.2 Total Operating Lease Liabilities $ 102.0 $ 104.0 Weighted-average remaining lease term (in years) 15.5 15.2 Weighted-average discount rate 4.1 % 4.0 % Finance Leases: Property, plant and equipment, net $ 31.1 $ 32.6 Current portion of finance leases 0.3 0.4 Long-term debt 31.7 31.9 Total Finance Lease Liabilities $ 32.0 $ 32.3 Weighted Average remaining lease term (in years) 22.5 23.5 Weighted-average discount rate 6.7 % 6.7 % |
Components of Lease Expense | The following table presents the components of lease expense: For the Years Ended September 30, 2023 2022 2021 Operating lease costs $ 19.9 $ 19.7 $ 20.3 Finance lease costs: Amortization of assets 1.2 2.5 3.2 Interest on lease liabilities 2.1 2.5 2.9 Variable lease costs 1.3 1.3 3.6 Total lease costs $ 24.5 $ 26.0 $ 30.0 |
Schedule of Supplemental Cash and Non-Cash Information | Supplemental cash and non-cash information related to leases: For the Years Ended September 30, 2023 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 20.5 $ 20.4 $ 18.9 Operating cash flows from finance leases 2.1 2.5 2.9 Financing cash flows from finance leases (1) 0.3 5.0 1.6 Non-cash increase in lease assets and lease liabilities: Operating leases (2) $ 13.0 $ 6.4 $ 5.3 (1) Financing cash flows from finance leases in fiscal year 2022 includes the $4.0 termination fee for the Dixon, IL finance lease termination discussed above. |
Schedule of Finance Lease Minimum Payments | Minimum lease payments under operating and finance leases with non-cancellable terms in excess of one year as of September 30, 2023 are as follows: Operating Leases Finance Leases 2024 $ 20.4 $ 2.5 2025 18.7 2.5 2026 13.6 2.5 2027 9.3 2.6 2028 9.0 2.6 Thereafter 74.2 53.5 Total lease payments 145.2 66.2 Less: Imputed interest (43.2) (34.2) Present value of lease liabilities $ 102.0 $ 32.0 |
Schedule of Operating Lease Minimum Payments | Minimum lease payments under operating and finance leases with non-cancellable terms in excess of one year as of September 30, 2023 are as follows: Operating Leases Finance Leases 2024 $ 20.4 $ 2.5 2025 18.7 2.5 2026 13.6 2.5 2027 9.3 2.6 2028 9.0 2.6 Thereafter 74.2 53.5 Total lease payments 145.2 66.2 Less: Imputed interest (43.2) (34.2) Present value of lease liabilities $ 102.0 $ 32.0 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The following table sets forth goodwill by segment and represents the change in the carrying amount of goodwill at September 30, 2023 and 2022: Batteries & Lights Auto Care Total Balance at October 1, 2021 $ 900.3 $ 153.5 $ 1,053.8 Formulations acquisition — (1.0) (1.0) Non-cash impairment — (17.4) (17.4) Cumulative translation adjustment (31.4) (0.9) (32.3) Balance at September 30, 2022 $ 868.9 $ 134.2 $ 1,003.1 Cumulative translation adjustment 13.1 — 13.1 Balance at September 30, 2023 $ 882.0 $ 134.2 $ 1,016.2 |
Schedule of Finite-Lived Intangible Assets | Total intangible assets at September 30, 2023 are as follows: Gross Carrying Amount Accumulated Amortization Net Carrying Amount Trademarks and trade names $ 142.4 $ (29.4) $ 113.0 Customer Relationships 394.2 (139.7) 254.5 Patents 33.9 (18.2) 15.7 Proprietary technology 172.5 (100.0) 72.5 Proprietary formulas 29.2 (10.0) 19.2 Vendor relationships 7.5 (7.5) — Total amortizable intangible assets $ 779.7 $ (304.8) $ 474.9 Trademarks and trade names - indefinite lived 762.8 — 762.8 Total Other intangible assets, net $ 1,542.5 $ (304.8) $ 1,237.7 Total intangible assets at September 30, 2022 are as follows: Gross Carrying Amount Accumulated Amortization Net Carrying Amount Trademarks and trade names $ 141.8 $ (21.4) $ 120.4 Customer Relationships 393.5 (112.6) 280.9 Patents 33.4 (15.7) 17.7 Proprietary technology 172.5 (81.5) 91.0 Proprietary formulas 29.2 (6.3) 22.9 Vendor relationships 6.9 (6.5) $ 0.4 Total amortizable intangible assets $ 777.3 $ (244.0) $ 533.3 Trademarks and trade names - indefinite lived 762.5 — 762.5 Total Other intangible assets, net $ 1,539.8 $ (244.0) $ 1,295.8 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | The detail of long-term debt was as follows: September 30, 2023 2022 Senior Secured Term Loan Facility due 2027 $ 982.0 $ 1,182.0 6.500% Senior Notes due 2027 300.0 300.0 4.750% Senior Notes due 2028 583.7 600.0 4.375% Senior Notes due 2029 791.3 800.0 3.50% Senior Notes due 2029 (Euro Notes of €650.0) (1) 687.2 637.1 Finance lease obligations 32.0 32.3 Total long-term debt, including current maturities $ 3,376.2 $ 3,551.4 Less current portion (12.3) (12.4) Less unamortized debt premium and debt issuance fees (31.8) (39.6) Total long-term debt $ 3,332.1 $ 3,499.4 |
Schedule of Maturities of Long-term Debt | Aggregate maturities of long-term debt as of September 30, 2023 were as follows: Long-term debt 2024 $ 12.0 2025 12.0 2026 12.0 2027 12.0 2028 1,817.7 Thereafter 1,478.5 Total long-term debt payments due $ 3,344.2 |
Pension Plans (Tables)
Pension Plans (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Retirement Benefits [Abstract] | |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan | The following tables present the benefit obligation, plan assets and funded status of the plans: September 30, U.S. International 2023 2022 2023 2022 Change in Projected Benefit Obligation Benefit obligation at beginning of year $ 383.4 $ 507.4 $ 84.8 $ 143.1 Service cost — — 0.3 0.6 Interest cost 19.9 12.7 3.6 1.8 Actuarial loss/(gain) 0.2 (99.1) (0.6) (40.2) Benefits paid (28.7) (37.6) (5.6) (5.7) Plan settlements (120.2) — — (0.6) Foreign currency exchange rate changes — — 7.3 (14.2) Projected Benefit Obligation at end of year $ 254.6 $ 383.4 $ 89.8 $ 84.8 Change in Plan Assets Estimated fair value of plan assets at beginning of year $ 356.9 $ 490.1 $ 78.3 $ 133.1 Actual return on plan assets 11.8 (98.0) 0.7 (35.6) Company contributions 2.4 2.4 3.4 0.6 Plan settlements (120.2) — — (0.6) Benefits paid (28.7) (37.6) (5.6) (5.7) Foreign currency exchange rate changes — — 6.6 (13.5) Estimated fair value of plan assets at end of year $ 222.2 $ 356.9 $ 83.4 $ 78.3 Funded status at end of year $ (32.4) $ (26.5) $ (6.4) $ (6.5) |
Schedule of Defined Benefit Plans Disclosures | The following table presents the amounts recognized in the Consolidated Balance Sheets and Consolidated Statements of Shareholders’ Equity: September 30, U.S. International Amounts Recognized in the Consolidated Balance Sheets 2023 2022 2023 2022 Noncurrent assets $ — $ — $ 8.7 $ 8.7 Current liabilities (2.3) (2.4) (0.6) (0.6) Noncurrent liabilities (30.1) (24.1) (14.5) (14.6) Net amount recognized $ (32.4) $ (26.5) $ (6.4) $ (6.5) Amounts Recognized in Accumulated Other Comprehensive Loss Net loss, pre-tax $ (113.4) $ (157.0) $ (29.9) $ (26.0) |
Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss) | Pre-tax changes recognized in other comprehensive loss for the year ended September 30, 2023 are as follows: Changes in plan assets and benefit obligations recognized in other comprehensive (loss)/income U.S. International Net loss arising during the year $ (8.7) $ (2.0) Effect of exchange rates — (2.5) Amounts recognized as a component of net periodic benefit cost Amortization or settlement recognition of net loss 52.3 0.6 Total gain/(loss) recognized in other comprehensive loss $ 43.6 $ (3.9) |
Schedule of Expected Benefit Payments | Energizer’s expected future benefit payments for the plans are as follows: For The Years Ending September 30, U.S. International 2024 $ 24.5 $ 5.1 2025 24.1 5.2 2026 24.2 5.2 2027 24.2 5.3 2028 22.0 5.3 2029 to 2033 99.2 27.6 |
Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets | The following table shows the plans with an accumulated benefit obligation in excess of plan assets at the dates indicated. September 30, U.S. International 2023 2022 2023 2022 Projected benefit obligation $ 254.6 $ 383.4 $ 49.4 $ 46.1 Accumulated benefit obligation 254.6 383.4 48.3 45.2 Estimated fair value of plan assets 222.1 356.9 34.3 30.9 |
Schedule of Net Benefit Costs | The following table presents plan pension expense: For the Years Ended September 30, U.S. International 2023 2022 2021 2023 2022 2021 Service cost $ — $ — $ — $ 0.3 $ 0.6 $ 0.7 Interest cost 19.9 12.7 13.0 3.6 1.8 1.6 Expected return on plan assets (20.3) (22.8) (22.4) (3.2) (3.2) (3.2) Recognized net actuarial loss 2.1 6.4 7.4 0.6 0.8 1.5 Settlement loss recognized on other pension plans 50.2 — 0.2 — 0.2 — Net periodic expense/(benefit) $ 51.9 $ (3.7) $ (1.8) $ 1.3 $ 0.2 $ 0.6 |
Schedule of Assumptions Used | The following table presents assumptions, which reflect weighted averages for the component plans, used in determining the above information: September 30, U.S. International 2023 2022 2021 2023 2022 2021 Plan obligations: Discount rate 6.0 % 5.6 % 2.6 % 4.0 % 4.0 % 1.3 % Compensation increase rate — — — 2.7 % 2.4 % 2.2 % Net periodic benefit cost: Discount rate 5.6 % 2.6 % 2.5 % 4.0 % 1.3 % 1.0 % Expected long-term rate of return on plan assets 5.1 % 5.2 % 5.1 % 3.6 % 2.6 % 2.6 % Compensation increase rate — — — 2.4 % 2.2 % 2.1 % |
Schedule of Allocation of Plan Assets | The following tables set forth the estimated fair value of Energizer’s plan assets as of September 30, 2023 and 2022 segregated by level within the estimated fair value hierarchy. Refer to Note 16, Financial Instruments and Risk Management, for further discussion on the estimated fair value hierarchy and estimated fair value principles. ASSETS AT ESTIMATED FAIR VALUE At September 30, 2023 U.S. Pension International Pension Level 1 Level 2 Total Level 1 Level 2 Total EQUITY U.S. Equity $ 20.1 $ — $ 20.1 $ — $ — $ — International Equity 0.7 — 0.7 — 7.6 7.6 DEBT U.S. Government — 150.5 150.5 — — — Other Government — — — — 16.0 16.0 CASH & CASH EQUIVALENTS — 8.8 8.8 — 5.5 5.5 OTHER — — — — 7.9 7.9 Assets Measured at Net Asset Value U.S. Equity 22.2 — International Equity 19.9 7.2 Corporate — 39.2 TOTAL $ 20.8 $ 159.3 $ 222.2 $ — $ 37.0 $ 83.4 At September 30, 2022 U.S. Pension International Pension Level 1 Level 2 Total Level 1 Level 2 Total EQUITY U.S. Equity $ 32.5 $ — $ 32.5 $ — $ — $ — International Equity 1.2 — 1.2 — 7.4 7.4 DEBT U.S. Government — 241.4 241.4 — — — Other Government — — — — 16.0 16.0 CASH & CASH EQUIVALENTS — 15.0 15.0 — 3.5 3.5 OTHER — — — — 7.0 7.0 Assets measured at Net Asset Value U.S. Equity 34.0 — International Equity 32.8 10.2 Corporate — 20.0 Other — 14.2 TOTAL $ 33.7 $ 256.4 $ 356.9 $ — $ 33.9 $ 78.3 |
Financial Instruments and Ris_2
Financial Instruments and Risk Management (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) | The following table provides the Company's estimated fair values as of September 30, 2023 and 2022, and the amounts of losses and gains on derivative instruments classified as cash flow hedges as of and for the twelve months ended September 30, 2023 and 2022, respectively: At September 30, 2023 For the Year Ended September 30, 2023 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value Asset / (Liability) (1) (Loss) / Gain Recognized in OCI (2) Gain / (Loss) Reclassified Foreign currency contracts $ 3.3 $ (5.5) $ 7.5 Interest rate swaps 79.8 19.4 26.0 Zinc contracts (0.7) 3.0 (2.4) Total $ 82.4 $ 16.9 $ 31.1 At September 30, 2022 For the Year Ended September 30, 2022 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value Asset / (Liability) (1) Gain / (Loss) Recognized in OCI (2) Gain / (Loss) Reclassified Foreign currency contracts $ 16.3 $ 20.9 $ 9.6 Interest rate swaps 86.4 75.2 (2.5) Zinc contracts (6.1) (1.4) 9.4 Total $ 96.6 $ 94.7 $ 16.5 (1) All derivative assets are presented in Other current assets or Other assets. All derivative liabilities are presented in Other current liabilities or Other liabilities. (2) OCI is defined as other comprehensive income. (3) Gain/(Loss) reclassified to Income was recorded as follows: Foreign currency contracts in Cost of products sold, interest rate contracts in Interest expense, and commodity contracts in Cost of products sold. (4) Each of these hedging relationships has derivative instruments with a high correlation to the underlying exposure being hedged and has been deemed highly effective in offsetting the underlying risk. |
Derivative Instruments, Gain (Loss) | The following table provides estimated fair values as of September 30, 2023 and 2022, and the (losses)/gains on derivative instruments not classified as cash flow hedges as of and for the twelve months ended September 30, 2023 and 2022, respectively. At September 30, 2023 For the Year Ended September 30, 2023 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value Liability (1) Loss Recognized in Income (2) Foreign currency contracts $ (1.3) $ (2.0) At September 30, 2022 For the Year Ended September 30, 2022 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value Liability (1) Gain Recognized in Income (2) Foreign currency contracts $ (0.6) $ 6.6 (1) All derivative liabilities are presented in Other current liabilities or Other liabilities and derivative assets are presented in Other current assets or Other assets. (2) (Loss)/gain recognized on the Consolidated Statement of Earnings and Comprehensive Income and was recorded in Other items, net. |
Offsetting Assets | Energizer has the following recognized financial assets and financial liabilities resulting from those transactions that meet the scope of the disclosure requirements as necessitated by applicable accounting guidance for balance sheet offsetting: Offsetting of derivative assets At September 30, 2023 At September 30, 2022 Description Balance Sheet location Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Foreign Currency Contracts Other Current Assets, Other Assets $ 4.4 $ (1.0) $ 3.4 $ 18.0 $ — $ 18.0 Offsetting of derivative liabilities At September 30, 2023 At September 30, 2022 Description Balance Sheet location Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Foreign Currency Contracts Other Current Liabilities, Other Liabilities $ (2.4) $ 1.0 $ (1.4) $ (2.3) $ — $ (2.3) |
Offsetting Liabilities | Energizer has the following recognized financial assets and financial liabilities resulting from those transactions that meet the scope of the disclosure requirements as necessitated by applicable accounting guidance for balance sheet offsetting: Offsetting of derivative assets At September 30, 2023 At September 30, 2022 Description Balance Sheet location Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Foreign Currency Contracts Other Current Assets, Other Assets $ 4.4 $ (1.0) $ 3.4 $ 18.0 $ — $ 18.0 Offsetting of derivative liabilities At September 30, 2023 At September 30, 2022 Description Balance Sheet location Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Foreign Currency Contracts Other Current Liabilities, Other Liabilities $ (2.4) $ 1.0 $ (1.4) $ (2.3) $ — $ (2.3) |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following table sets forth the Company's financial assets and liabilities, which are carried at fair value, as of September 30, 2023 and 2022 that are measured on a recurring basis during the period, segregated by level within the fair value hierarchy: Level 2 September 30, 2023 2022 (Liabilities)/Assets at estimated fair value: Deferred Compensation $ (21.0) $ (24.6) Derivatives - Foreign Currency contracts 3.3 16.3 Derivatives - Foreign Currency contracts (non-hedge) (1.3) (0.6) Derivatives - Interest Rate Swaps 79.8 86.4 Derivatives - Zinc contracts (0.7) $ (6.1) Net Assets at estimated fair value $ 60.1 $ 71.4 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive (Loss)/Income (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table presents the changes in accumulated other comprehensive (loss)/income (AOCI), net of tax by component: Foreign Currency Translation Adjustments (1)(2) Pension Activity Zinc Contracts Foreign Currency Contracts Interest Rate Swap Total Balance at September 30, 2020 $ (137.4) $ (163.5) $ 3.4 $ (4.1) $ (6.1) (307.7) OCI before reclassifications 27.6 22.0 3.4 (0.2) 7.6 60.4 Reclassifications to earnings — 7.1 (3.2) 7.9 5.1 16.9 Balance at September 30, 2021 $ (109.8) $ (134.4) $ 3.6 $ 3.6 $ 6.6 $ (230.4) OCI before reclassifications 23.3 (11.8) (1.0) 15.2 57.3 83.0 Reclassifications to earnings 8.8 5.7 (7.2) (7.1) 1.9 2.1 Balance at September 30, 2022 $ (77.7) $ (140.5) $ (4.6) $ 11.7 $ 65.8 $ (145.3) OCI before reclassifications (11.8) (10.2) 2.3 (4.1) 14.8 (9.0) Reclassifications to earnings (0.2) 40.4 1.8 (5.5) (19.9) 16.6 Balance at September 30, 2023 $ (89.7) $ (110.3) $ (0.5) $ 2.1 $ 60.7 $ (137.7) |
Reclassification out of Accumulated Other Comprehensive Income | The following table presents the reclassifications from AOCI: For the Years Ended September 30, Amount Reclassified from AOCI (1) 2023 2022 2021 Affected Line Item in the Consolidated Statements of Earnings Gains and losses on cash flow hedges Foreign exchange contracts $ (7.5) $ (9.6) $ 10.4 Cost of products sold Interest rate swaps (26.0) 2.5 6.7 Interest expense Zinc contracts 2.4 (9.4) (4.2) Cost of products sold (31.1) (16.5) 12.9 (Earnings) / Loss before income taxes 7.5 4.1 (3.1) Income tax provision / (benefit) $ (23.6) $ (12.4) $ 9.8 Amortization of defined benefit pension items Actuarial losses $ 2.7 $ 7.2 $ 8.9 (2) Settlement losses on other plans 50.2 0.2 0.2 (2) 52.9 7.4 9.1 Loss before income taxes (12.5) (1.7) (2.0) Income tax benefit $ 40.4 $ 5.7 $ 7.1 Total reclassifications for the period $ 16.8 $ (6.7) $ 16.9 (1) Amounts in parentheses indicate credits to Consolidated Statements of Earnings. (2) These AOCI components are included in the computation of net periodic benefit cost (see Note 13, Pension Plans, for further details) and recorded in Other items, net. |
Supplemental Financial Statem_2
Supplemental Financial Statement Information (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Financial Statement Related Disclosures [Abstract] | |
Supplemental Statement of Income Information | The components of certain income statement accounts are as follows: For the Years Ended September 30, Other items, net 2023 2022 2021 Interest income $ (8.9) $ (1.0) $ (0.7) Foreign currency exchange loss 17.3 7.8 5.5 Pension cost/(benefit) other than service costs (1) 2.7 (4.1) (1.9) Settlement loss on U.S. pension annuity buy out (1) 50.2 — — Exit of Russian Market (2) — 7.5 — Gain on finance lease termination (3) — (4.5) — Gain on sale of assets (4) — — (3.3) Other (4.2) 1.6 (2.5) Total Other items, net $ 57.1 $ 7.3 $ (2.9) (1) See Note 13, Pension Plans, for additional information on this item. (2) Exiting the Russian market in fiscal 2022 resulted in currency impacts recorded in Other items, net of $7.5. (3) See Note 10, Leases, for additional information on this item. (4) See Note 5, Restructuring, for additional information on this item. |
Supplemental Balance Sheet Information | The components of certain balance sheet accounts are as follows: September 30, Inventories 2023 2022 Raw materials and supplies $ 113.5 $ 115.9 Work in process 258.5 201.6 Finished products 277.7 454.1 Total inventories $ 649.7 $ 771.6 Other Current Assets Miscellaneous receivables $ 20.8 $ 29.9 Prepaid expenses 83.6 90.9 Value added tax collectible from customers 30.6 27.7 Other 37.0 42.9 Total other current assets $ 172.0 $ 191.4 Property, plant and equipment Land $ 12.9 $ 14.4 Buildings 135.2 120.7 Machinery and equipment 832.9 828.2 Construction in progress 69.7 50.1 Finance leases 39.2 39.0 Total gross property 1,089.9 1,052.4 Accumulated depreciation (726.2) (690.3) Total property, plant and equipment, net $ 363.7 $ 362.1 September 30, 2023 2022 Other Current Liabilities Accrued advertising, sales promotion and allowances $ 12.9 $ 13.4 Accrued trade promotions 52.7 57.7 Accrued freight and warehousing 35.1 37.2 Accrued salaries, vacations and incentive compensation 57.9 60.6 Accrued interest expense 20.5 20.5 Restructuring and related costs reserve 17.1 1.7 Income taxes payable 36.9 36.7 Other 92.5 106.1 Total other current liabilities $ 325.6 $ 333.9 Other Liabilities Pensions and other retirement benefits $ 55.0 $ 49.3 Deferred compensation 17.4 19.8 Mandatory transition tax 12.8 16.7 Restructuring and related costs reserve 2.5 — Other non-current liabilities 47.8 52.3 Total other liabilities $ 135.5 $ 138.1 |
Schedule Of Allowance For Doubtful Accounts | For the Years Ended September 30, Allowance for Doubtful Accounts 2023 2022 2021 Balance at beginning of year $ 2.9 $ 2.9 $ 2.8 Provision charged to expense, net of reversals 1.9 (0.4) 1.2 Write-offs, less recoveries, translation, other (0.2) 0.4 (1.1) Balance at end of year $ 4.6 $ 2.9 $ 2.9 |
Summary of Income Tax Valuation Allowance | For the Years Ended September 30, Income Tax Valuation Allowance 2023 2022 2021 Balance at beginning of year $ 11.6 $ 15.1 $ 13.1 Provision charged to expense, net of reversals 0.6 2.3 1.8 Reversal of provision charged to expense (6.4) (3.8) (2.1) Translation, other 0.2 (2.0) 2.3 Balance at end of year $ 6.0 $ 11.6 $ 15.1 |
Schedule of Cash Flow, Supplemental Disclosures | For the Years Ended September 30, Certain items from Operating Cash Flow Activities 2023 2022 2021 Interest paid $ 159.6 $ 142.6 $ 172.7 Income taxes paid, net 62.7 54.5 65.0 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||
Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | Feb. 28, 2023 | Jan. 22, 2021 | Dec. 22, 2020 | |
Finite-Lived Intangible Assets [Line Items] | |||||||
Cash and cash equivalents | $ 205,300,000 | $ 223,300,000 | $ 205,300,000 | ||||
Restricted cash | 0 | 0 | 0 | ||||
Maximum amount authorized to sell | 600,000,000 | ||||||
Receivables sold under program | 578,900,000 | 587,000,000 | 578,900,000 | ||||
Outstanding sold receivables | 123,300,000 | $ 77,500,000 | 123,300,000 | ||||
Receivables collected but not yet due | 2,800,000 | $ 2,800,000 | |||||
Contractually specified servicing fee income, statement of income or comprehensive income [extensible enumeration] | Selling, general and administrative expense | Selling, general and administrative expense | Selling, general and administrative expense | ||||
Fees associated with factoring | $ 15,700,000 | $ 7,500,000 | $ 3,500,000 | ||||
Amortization expense | 13,600,000 | 10,400,000 | 8,300,000 | ||||
Depreciation excluding accelerated | 55,400,000 | 53,100,000 | 53,700,000 | ||||
Accelerated depreciation | 5,700,000 | 3,000,000 | 4,700,000 | ||||
Impairment of goodwill and intangible assets | 0 | $ 541,900,000 | 0 | ||||
Impairment, Intangible Asset, Indefinite-Lived (Excluding Goodwill), Statement of Income or Comprehensive Income [Extensible Enumeration] | Impairment of goodwill and intangible assets | ||||||
Impairment of goodwill and intangible assets | $ 17,400,000 | ||||||
Advertising costs | $ 104,300,000 | 105,900,000 | $ 122,500,000 | ||||
Auto Care | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Impairment of goodwill and intangible assets | $ 17,400,000 | ||||||
Auto Care | Battery Acquisition | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Impairment of goodwill and intangible assets | 17,400,000 | ||||||
Trade names | Armor All | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Impairment of intangible assets, indefinite-lived (excluding goodwill) | 370,400,000 | ||||||
Trade names | STP | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Impairment of intangible assets, indefinite-lived (excluding goodwill) | 26,300,000 | ||||||
Trade names | Rayovac | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Impairment of intangible assets, indefinite-lived (excluding goodwill) | $ 127,800,000 | ||||||
Minimum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Amortization period, years | 3 years | 3 years | |||||
Maximum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Amortization period, years | 25 years | 25 years | |||||
Computer Software, Intangible Asset | Minimum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Amortization period, years | 3 years | ||||||
Computer Software, Intangible Asset | Maximum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Amortization period, years | 7 years | ||||||
Interest Rate Swap | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Notional value | $ 700,000,000 | $ 700,000,000 | $ 550,000,000 | ||||
Derivative, notional amount, annual decrease | $ 100,000,000 | ||||||
Interest Rate Swap | London Interbank Offered Rate1 (LIBOR) | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Fixed interest rate | 0.95% | ||||||
Interest Rate Swap | Secured Overnight Financing Rate (SOFR) | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Fixed interest rate | 1.042% | ||||||
Machinery and Equipment | Minimum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Estimated useful life, years | 2 years | ||||||
Machinery and Equipment | Maximum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Estimated useful life, years | 25 years | ||||||
Building and Building Improvements | Minimum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Estimated useful life, years | 3 years | ||||||
Building and Building Improvements | Maximum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Estimated useful life, years | 30 years | ||||||
Restricted Stock Equivalents | Minimum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Vesting period, in years | 2 years | ||||||
Restricted Stock Equivalents | Maximum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Vesting period, in years | 4 years | ||||||
International | Cash | Geographic Concentration Risk | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Percentage of cash outside of the U.S. | 84.40% | 73.50% |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Restricted Cash) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Accounting Policies [Abstract] | ||
Cash and cash equivalents | $ 223.3 | $ 205.3 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Schedule of Accounts, Notes, Loans and Financing Receivable) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Accounting Policies [Abstract] | ||
Trade receivables | $ 690.2 | $ 554.1 |
Allowance for trade promotions | (174) | (129.5) |
Allowance for doubtful accounts | (4.6) | (2.9) |
Trade receivables, net | $ 511.6 | $ 421.7 |
Revenue (Schedule of Product an
Revenue (Schedule of Product and Market Information) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 2,959.7 | $ 3,050.1 | $ 3,021.5 |
North America | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 1,882.1 | 1,932 | 1,902.1 |
Modern Markets | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 495.9 | 515.9 | 528.8 |
Developing Markets | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 391.6 | 400.9 | 393.3 |
Distributor Markets | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 190.1 | 201.3 | 197.3 |
Batteries | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 2,233.9 | 2,298.2 | 2,276.9 |
Auto Care | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 614.8 | 622.8 | 618.7 |
Lights | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 111 | $ 129.1 | $ 125.9 |
Acquisitions (Narrative) (Detai
Acquisitions (Narrative) (Details) € in Millions | 12 Months Ended | ||||||
Oct. 27, 2023 EUR (€) | Dec. 01, 2020 USD ($) | Oct. 01, 2020 USD ($) | Jan. 31, 2020 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | |
Business Acquisition [Line Items] | |||||||
Cash | $ 67,200,000 | ||||||
Business combination, provisional information, earnout payment period | 3 years | ||||||
Payment of contingent consideration | $ 0 | $ 0 | 6,800,000 | ||||
Integration related costs | 0 | 16,500,000 | 68,900,000 | ||||
Restructuring costs | 59,700,000 | 1,700,000 | 36,800,000 | ||||
Gain on sale of business | 0 | 0 | $ (3,300,000) | ||||
APS Battery Manufacturing Assets | Subsequent Event | |||||||
Business Acquisition [Line Items] | |||||||
Asset acquisition, consideration transferred | € | € 3.5 | ||||||
APS Raw Materials | Subsequent Event | |||||||
Business Acquisition [Line Items] | |||||||
Asset acquisition, consideration transferred | € | € 5.5 | ||||||
Vendor relationships | |||||||
Business Acquisition [Line Items] | |||||||
Weighted average useful lives | 3 years | ||||||
Selling, general and administrate expense | |||||||
Business Acquisition [Line Items] | |||||||
Integration related costs | 0 | 9,400,000 | $ 40,000,000 | ||||
Restructuring costs | 26,700,000 | 900,000 | 0 | ||||
Cost of Products Sold | |||||||
Business Acquisition [Line Items] | |||||||
Integration related costs | 6,000,000 | ||||||
Restructuring costs | 5,200,000 | 31,900,000 | |||||
Research and development expense | |||||||
Business Acquisition [Line Items] | |||||||
Integration related costs | 0 | 1,100,000 | 1,100,000 | ||||
Other items, net | |||||||
Business Acquisition [Line Items] | |||||||
Gain/expense reclassified to acquisitions and integration costs | (5,900,000) | ||||||
Cost of products sold | |||||||
Business Acquisition [Line Items] | |||||||
Integration related costs | 0 | 6,000,000 | 33,700,000 | ||||
Restructuring costs | 29,900,000 | 0 | 0 | ||||
Custom Accessories Europe Group International Limited | |||||||
Business Acquisition [Line Items] | |||||||
Cash | $ 1,900,000 | ||||||
Consideration transferred | 9,900,000 | ||||||
Custom Accessories Europe Group International Limited | Certain Financial Metrics | |||||||
Business Acquisition [Line Items] | |||||||
Expected net purchase price | $ 9,900,000 | ||||||
Custom Accessories Europe Group International Limited | Certain Financial Metrics | Vendor relationships | |||||||
Business Acquisition [Line Items] | |||||||
Increase to other intangible assets, net | 8,000,000 | ||||||
FDK Indonesia Acquisition, Formulations Acquisition, Battery Acquisition and Auto Care Acquisition | |||||||
Business Acquisition [Line Items] | |||||||
Integration related costs | 16,500,000 | 68,900,000 | |||||
Formulations Acquisition | |||||||
Business Acquisition [Line Items] | |||||||
Cash | $ 51,200,000 | ||||||
Decrease in purchase price | 1,000,000 | ||||||
Potential earnout payments | $ 35,000,000 | ||||||
Total potential payments recognized | $ 1,100,000 | 3,400,000 | |||||
FDK Indonesia Acquisition | |||||||
Business Acquisition [Line Items] | |||||||
Cash | 16,900,000 | ||||||
Consideration transferred | $ 18,200,000 | ||||||
Expected net purchase price | $ 700,000 | ||||||
Bargain purchase gain recognized | $ 600,000 | ||||||
Battery Acquisition | Selling, general and administrate expense | |||||||
Business Acquisition [Line Items] | |||||||
Integration related costs | $ 9,400,000 |
Acquisitions (Schedule of Recog
Acquisitions (Schedule of Recognized Identified Assets Acquired and Liabilities Assumed) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 01, 2020 | Oct. 01, 2020 |
Business Acquisition [Line Items] | |||||
Goodwill | $ 1,016.2 | $ 1,003.1 | $ 1,053.8 | ||
Formulations Acquisition | |||||
Business Acquisition [Line Items] | |||||
Trade receivables | $ 1.3 | ||||
Inventories | 0.1 | ||||
Other intangible assets, net | 20.5 | ||||
Operating lease assets | 0.5 | ||||
Accounts payable | (0.2) | ||||
Current operating lease liabilities | (0.2) | ||||
Other current liabilities | (0.2) | ||||
Operating lease liabilities | (0.3) | ||||
Total identifiable net assets | 21.5 | ||||
Goodwill | 28.7 | ||||
Net assets acquired | $ 50.2 | ||||
FDK Indonesia Acquisition | |||||
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | $ 1.7 | ||||
Trade receivables | 4.3 | ||||
Inventories | 7.8 | ||||
Other current assets | 1.1 | ||||
Property, plant and equipment, net | 19.4 | ||||
Other assets | 2.8 | ||||
Accounts payable | (10.7) | ||||
Other current liabilities | (0.5) | ||||
Deferred tax liabilities | (0.8) | ||||
Other liabilities | (6.9) | ||||
Net assets acquired | $ 18.2 |
Acquisitions (Schedule of Acqui
Acquisitions (Schedule of Acquired Finite-Lived Intangible Assets by Major Class) (Details) - Formulations Acquisition $ in Millions | Dec. 01, 2020 USD ($) |
Business Acquisition [Line Items] | |
Finite intangible assets acquired | $ 20.5 |
Proprietary technology | |
Business Acquisition [Line Items] | |
Finite intangible assets acquired | $ 19.5 |
Weighted average useful lives | 7 years |
Customer relationships | |
Business Acquisition [Line Items] | |
Finite intangible assets acquired | $ 1 |
Weighted average useful lives | 15 years |
Restructuring (Narrative) (Deta
Restructuring (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||
Apr. 30, 2022 | Jun. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | Jul. 31, 2023 | |
Restructuring Cost and Reserve [Line Items] | |||||||
Gain on finance lease termination | $ 0 | $ 0 | $ 4.5 | $ 0 | |||
Restructuring costs | 59.7 | 1.7 | 36.8 | ||||
Termination of capital lease obligation | $ 9.8 | $ 9.8 | 9.8 | ||||
Capital lease obligations, lease termination fee | $ 4 | $ 4 | 4 | ||||
Other Restructuring, Non-Cash Costs | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected restructuring cost | $ 12 | ||||||
Batteries & Lights | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring costs | 52.7 | 1.3 | 30.7 | ||||
Auto Care | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring costs | 7 | 0.4 | 6.1 | ||||
Minimum | Facility Closing | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected restructuring cost | 95 | ||||||
Minimum | Capital Expenditures | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected restructuring cost | 70 | ||||||
Maximum | Facility Closing | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected restructuring cost | 110 | ||||||
Maximum | Capital Expenditures | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Expected restructuring cost | $ 80 | ||||||
Project Momentum Restructuring Program | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring costs | $ 56.4 | $ 0.9 | $ 0 |
Restructuring (Restructuring an
Restructuring (Restructuring and Related Costs) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2021 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Restructuring Cost and Reserve [Line Items] | |||||
Gain on finance lease termination | $ 0 | $ 0 | $ (4.5) | $ 0 | |
Total Restructuring and Related Costs | 59.7 | 1.7 | 36.8 | ||
Cost of products sold | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Total Restructuring and Related Costs | 29.9 | 0 | 0 | ||
Selling, general and administrate expense | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Total Restructuring and Related Costs | 26.7 | 0.9 | 0 | ||
Selling, general and administrate expense | IT Enablement | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Total Restructuring and Related Costs | 3.3 | 0 | 0 | ||
Nonoperating Income (Expense) | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Total Restructuring and Related Costs | (0.2) | 0 | 0 | ||
2019 Integration Related Restructuring Program | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Charge to Income | 0 | (0.6) | 20 | ||
Net cash proceeds | 0.1 | 11.8 | 15.7 | ||
2019 Integration Related Restructuring Program | Gain on sale of fixed assets | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Charge to Income | 0 | ||||
Net cash proceeds | $ 5.5 | 0.5 | 5.5 | ||
2019 Integration Related Restructuring Program | Cost of products sold | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Severance and related benefit costs | 0 | (0.1) | 0.1 | ||
Accelerated depreciation | 0 | 1.2 | 6.7 | ||
Other costs | 0 | 2.8 | 16.5 | ||
2019 Integration Related Restructuring Program | Other items, net | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Gain on finance lease termination | 0 | (4.5) | 0 | ||
Gain on sale of fixed assets | 0 | 0 | (3.3) | ||
2020 Cost Structure Restructuring Program | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Charge to Income | 0 | 1.4 | 16.8 | ||
Net cash proceeds | 0.7 | 2.3 | 16.4 | ||
2020 Cost Structure Restructuring Program | Cost of products sold | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Severance and related benefit costs | 0 | 0.2 | 0.5 | ||
Other costs | 0 | 1.1 | 8.1 | ||
2020 Cost Structure Restructuring Program | Selling, general and administrate expense | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Severance and related benefit costs | 0 | 0.1 | 0.5 | ||
Other costs | 0 | 0 | 7.5 | ||
2020 Cost Structure Restructuring Program | Research and development expense | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Severance and related benefit costs | 0 | 0 | 0.2 | ||
Project Momentum Restructuring Program | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Charge to Income | 59.7 | ||||
Total Restructuring and Related Costs | 56.4 | 0.9 | 0 | ||
Net cash proceeds | 33.3 | ||||
Project Momentum Restructuring Program | IT Enablement | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Charge to Income | 3.3 | ||||
Net cash proceeds | 2.3 | ||||
Project Momentum Restructuring Program | Cost of products sold | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Severance and related benefit costs | 7.7 | 0 | 0 | ||
Accelerated depreciation | 6.2 | 0 | 0 | ||
Other costs | 16 | 0 | 0 | ||
Project Momentum Restructuring Program | Selling, general and administrate expense | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Severance and related benefit costs | 10.7 | 0 | 0 | ||
Accelerated depreciation | 1.3 | 0 | 0 | ||
Other costs | 14.7 | 0.9 | 0 | ||
Project Momentum Restructuring Program | Other Nonoperating Income (Expense) | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Other costs | $ (0.2) | $ 0 | $ 0 |
Restructuring (Restructuring Re
Restructuring (Restructuring Reserve by Type of Cost) (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
2019 Integration Related Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | $ 0.1 | $ 4.1 | $ 8.2 | |
Restructuring charges | 0 | (0.6) | 20 | |
Utilized, cash | (0.1) | (11.8) | (15.7) | |
Utilized, non-Cash | (8.4) | |||
Restructuring Reserve, Ending Balance | $ 4.1 | 0 | 0.1 | 4.1 |
Restructuring Reserve, Non-Cash Increase | 0 | (8.4) | ||
2020 Cost Structure Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0.7 | 1.6 | 1.2 | |
Restructuring charges | 0 | 1.4 | 16.8 | |
Utilized, cash | (0.7) | (2.3) | (16.4) | |
Utilized, non-Cash | 0 | 0 | 0 | |
Restructuring Reserve, Ending Balance | 1.6 | 0 | 0.7 | 1.6 |
Project Momentum Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0.9 | |||
Restructuring charges | 59.7 | |||
Utilized, cash | (33.3) | |||
Utilized, non-Cash | (7.7) | |||
Restructuring Reserve, Ending Balance | 19.6 | 0.9 | ||
Severance & termination related costs | 2019 Integration Related Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0.1 | 1.4 | 5.3 | |
Restructuring charges | 0 | (0.1) | 0.1 | |
Utilized, cash | (0.1) | (1.2) | (4) | |
Utilized, non-Cash | 0 | 0 | 0 | |
Restructuring Reserve, Ending Balance | 1.4 | 0 | 0.1 | 1.4 |
Severance & termination related costs | 2020 Cost Structure Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0.7 | 0.9 | 0.4 | |
Restructuring charges | 0 | 0.3 | 1.2 | |
Utilized, cash | (0.7) | (0.5) | (0.7) | |
Utilized, non-Cash | 0 | 0 | 0 | |
Restructuring Reserve, Ending Balance | 0.9 | 0 | 0.7 | 0.9 |
Severance & termination related costs | Project Momentum Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0 | |||
Restructuring charges | 18.4 | |||
Utilized, cash | (3) | |||
Utilized, non-Cash | 0 | |||
Restructuring Reserve, Ending Balance | 15.4 | 0 | ||
Accelerated depreciation & asset write-offs | 2019 Integration Related Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0 | 0 | 0 | |
Restructuring charges | 7.5 | 1.2 | 6.7 | |
Utilized, cash | 0 | 0 | 0 | |
Utilized, non-Cash | (7.5) | (1.2) | (6.7) | |
Restructuring Reserve, Ending Balance | 0 | 0 | 0 | 0 |
Gain on sale of fixed assets | 2019 Integration Related Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0 | 0.5 | 0 | |
Restructuring charges | 0 | |||
Utilized, cash | (5.5) | (0.5) | (5.5) | |
Utilized, non-Cash | 0 | (1.7) | ||
Restructuring Reserve, Ending Balance | 0.5 | 0 | 0.5 | |
Other exit costs | 2019 Integration Related Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0 | 2.2 | 2.9 | |
Restructuring charges | 2.8 | 16.5 | ||
Utilized, cash | (5) | (17.2) | ||
Utilized, non-Cash | 0 | 0 | ||
Restructuring Reserve, Ending Balance | 2.2 | 0 | 2.2 | |
Other exit costs | 2020 Cost Structure Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0 | 0.7 | 0.8 | |
Restructuring charges | 0 | 1.1 | 15.6 | |
Utilized, cash | (1.8) | (15.7) | ||
Utilized, non-Cash | 0 | 0 | 0 | |
Restructuring Reserve, Ending Balance | 0.7 | 0 | 0 | 0.7 |
Other exit costs | Project Momentum Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0.9 | |||
Restructuring charges | 30.5 | |||
Utilized, cash | (28) | |||
Restructuring Reserve, Ending Balance | 3.3 | 0.9 | ||
Restructuring Reserve, Non-Cash Increase | 0.1 | |||
Gain On Termination Of Capital Lease | 2019 Integration Related Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0 | 0 | ||
Restructuring charges | (4.5) | |||
Utilized, cash | (5.1) | |||
Restructuring Reserve, Ending Balance | $ 0 | 0 | $ 0 | |
Restructuring Reserve, Non-Cash Increase | (9.6) | |||
IT Enablement | Project Momentum Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 0 | |||
Restructuring charges | 3.3 | |||
Utilized, cash | (2.3) | |||
Utilized, non-Cash | (0.1) | |||
Restructuring Reserve, Ending Balance | $ 0.9 | $ 0 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 USD ($) Jurisdiction | Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | |
Operating Loss Carryforwards [Line Items] | |||
Tax structuring | $ 0 | $ 0 | $ (39.5) |
Basis differential of investment in foreign affiliates considered indefinitely invested | 1,154 | ||
Potential U.S. tax if all unrealized basis differences were repatriated | 242 | ||
Tax loss carryforwards and tax credits without expiration | 10.9 | ||
Accrued interest | 2.2 | 3 | 4.9 |
Deferred tax asset related to accrued interest | 0.2 | 0.1 | 0.7 |
Penalties | $ 0.9 | $ 1.2 | $ 3.9 |
Number of foreign jurisdictions | Jurisdiction | 50 | ||
Between 2018 and 2020 | |||
Operating Loss Carryforwards [Line Items] | |||
Tax loss carryforwards | $ 3.7 |
Income Taxes (Schedule of Compo
Income Taxes (Schedule of Components of Income Tax Expense (Benefit)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Current: | |||
United States - Federal | $ 14.4 | $ (1.9) | $ 4.7 |
State | 5.3 | 3.5 | 1.6 |
Foreign | 54 | 59.7 | 49.9 |
Total current | 73.7 | 61.3 | 56.2 |
Deferred: | |||
United States - Federal | (34.8) | (113.1) | (57.8) |
State | (4.5) | (14.2) | (3.8) |
Foreign | 0.8 | (8) | (1.3) |
Total deferred | (38.5) | (135.3) | (62.9) |
Provision/(benefit) for income taxes | $ 35.2 | $ (74) | $ (6.7) |
Income Taxes (Schedule of Incom
Income Taxes (Schedule of Income before Income Tax, Domestic and Foreign) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income Tax Disclosure [Abstract] | |||
United States | $ (105.3) | $ (554.5) | $ (90.1) |
Foreign | 281 | 249 | 244.3 |
Earnings/(loss) before income taxes | $ 175.7 | $ (305.5) | $ 154.2 |
Income Taxes (Schedule of Effec
Income Taxes (Schedule of Effective Income Tax Rate Reconciliation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Computed tax at federal statutory rate | $ 36.9 | $ (64.2) | $ 32.4 |
State income taxes, net of federal tax benefit | (0.6) | (9.7) | 0.2 |
Foreign rate differential | (4.2) | 4.4 | 0.8 |
Adjustments to prior years' tax accruals | 3.1 | 1 | 0.6 |
Other taxes including repatriation of foreign earnings and GILTI | 2.5 | 2.4 | 5.5 |
Foreign tax incentives | (2.1) | (2.8) | (3.7) |
Uncertain tax positions | (3.2) | (10.1) | 0.2 |
Debt refinancing | 0 | 0 | (3.4) |
Tax structuring | 0 | 0 | (39.5) |
Other, net | 2.8 | 5 | 0.2 |
Provision/(benefit) for income taxes | $ 35.2 | $ (74) | $ (6.7) |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Computed tax at federal statutory rate, percent | 21% | 21% | 21% |
State income taxes, net of federal tax benefit, percent | (0.30%) | 3.20% | 0.10% |
Foreign tax less than the federal rate, percent | (2.40%) | (1.40%) | 0.50% |
Adjustments to prior years' tax accruals, percent | 1.80% | (0.30%) | 0.40% |
Other taxes including repatriation of foreign earnings, percent | 1.40% | (0.80%) | 3.60% |
Foreign tax incentives, period | (1.20%) | 0.90% | (2.40%) |
Uncertain tax positions | (1.80%) | 3.30% | 0.10% |
Debt refinancing | 0 | 0 | (0.022) |
Tax structuring | 0 | 0 | (0.256) |
Other, net, percent | 1.50% | (1.70%) | 0.20% |
Effective Income Tax Rate Reconciliation, Percent | 20% | 24.20% | (4.30%) |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Income Tax Disclosure [Abstract] | ||
Accrued liabilities | $ 38.6 | $ 30.1 |
Deferred and stock-related compensation | 11.2 | 10.8 |
Tax loss carryforwards and tax credits | 18.8 | 22.2 |
Intangible assets | 2.7 | 2.6 |
Pension plans | 7.5 | 6.2 |
Inventory differences and other tax assets | 20.8 | 14.7 |
Operating lease assets | 24.3 | 24 |
Interest expense limited under Sec 163j | 117 | 110.6 |
Gross deferred tax assets | 240.9 | 221.2 |
Depreciation and property differences | (22.2) | (25.2) |
Intangible assets | (85.8) | (87.8) |
Deferred Tax Liabilities, Operating Lease, Liability | (24.1) | (23.8) |
Other tax liabilities | (26.8) | (28.9) |
Gross deferred tax liabilities | (158.9) | (165.7) |
Valuation allowance | (6) | (11.6) |
Net deferred tax assets/(liabilities) | $ 76 | $ 43.9 |
Income Taxes (Summary of Income
Income Taxes (Summary of Income Tax Contingencies) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Unrecognized tax benefits, beginning of year | $ 9.2 | $ 13.5 | $ 14.2 |
Additions based on current year tax positions and acquisitions | 0 | 0 | 0.1 |
Additions based on prior year tax positions and acquisitions | 0 | 0 | 2.6 |
Settlements with taxing authorities/statute expirations | (2.1) | (4.3) | (3.4) |
Unrecognized tax benefits, end of year | $ 7.1 | $ 9.2 | $ 13.5 |
Share-Based Payments (Narrative
Share-Based Payments (Narrative) (Details) $ / shares in Units, $ in Millions | 1 Months Ended | 12 Months Ended | |||||||||
Nov. 30, 2023 $ / shares shares | Nov. 30, 2022 $ / shares shares | Nov. 30, 2021 $ / shares shares | Nov. 30, 2020 $ / shares shares | Nov. 30, 2019 $ / shares shares | Sep. 30, 2023 USD ($) $ / shares shares | Sep. 30, 2022 USD ($) $ / shares | Sep. 30, 2021 USD ($) | Jan. 30, 2023 shares | Jan. 27, 2020 shares | Jul. 01, 2015 shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Maximum number of shares to be awarded, shares | 4,300,000 | ||||||||||
Share-based payments | $ | $ 22.2 | $ 13.2 | $ 10.2 | ||||||||
Income tax benefit | $ | $ 3.5 | $ 2.1 | 2.3 | ||||||||
Fair value of TSR award at grant | $ / shares | $ 38.75 | ||||||||||
Fair value premium, percentage | 0.537 | 0.457 | |||||||||
Additional Paid-in Capital | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Share-based payments | $ | $ 22.2 | $ 13.2 | 10.2 | ||||||||
Restricted Stock Equivalents | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 1,200,000 | ||||||||||
Fair value of TSR award at grant | $ / shares | $ 44.92 | $ 56.45 | |||||||||
Unrecognized compensation cost | $ | $ 30 | ||||||||||
Weighted-average period of recognition, in years | 1 year 1 month 6 days | ||||||||||
Weighted-average fair value nonvested | $ | $ 40.8 | $ 52.5 | 37.1 | ||||||||
Weighted-average fair value vested | $ | $ 10.6 | 12.1 | 21.7 | ||||||||
Selling, general and administrate expense | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Share-based payments | $ | $ 13.2 | $ 10.2 | |||||||||
Energizer Holdings, Inc. Equity Incentive Plan | Common Stock | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Maximum number of shares to be awarded, shares | 10,000,000 | ||||||||||
Energizer Holdings, Inc. Equity Incentive Plan | Omnibus Incentive Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares available for future awards, shares | 7,900,000 | ||||||||||
Omnibus Incentive Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Maximum number of shares to be awarded, shares | 6,500,000 | ||||||||||
2019 Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Fair value of TSR award at grant | $ / shares | $ 43.10 | ||||||||||
2019 Plan | Key Employees | Restricted Stock Equivalents | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 134,000 | ||||||||||
Vesting period, in years | 4 years | ||||||||||
2020 Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Fair value of TSR award at grant | $ / shares | $ 42.98 | ||||||||||
2020 Plan | Key Employees | Restricted Stock Equivalents | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 120,000 | ||||||||||
2020 Plan | Key Employees | Performance Shares | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Maximum number of shares to be awarded, shares | 544,000 | ||||||||||
Performance period | 3 years | ||||||||||
2020 Plan | Key Executives | Restricted Stock Equivalents | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 71,000 | ||||||||||
2020 Plan | Key Executives and Key Employees [Member] | Performance Shares | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 272,000 | ||||||||||
2021 Plan | Key Employees | Restricted Stock Equivalents | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 140,000 | ||||||||||
Vesting period, in years | 4 years | ||||||||||
2021 Plan | Key Employees | Performance Shares | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Maximum number of shares to be awarded, shares | 786,000 | ||||||||||
Performance period | 3 years | ||||||||||
2021 Plan | Key Executives | Restricted Stock Equivalents | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 113,000 | ||||||||||
2021 Plan | Key Executives and Key Employees [Member] | Performance Shares | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 393,000 | ||||||||||
2022 Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Fair value of TSR award at grant | $ / shares | $ 29.23 | ||||||||||
2022 Plan | Key Employees | Restricted Stock Equivalents | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 391,000 | ||||||||||
Vesting period, in years | 4 years | ||||||||||
2022 Plan | Key Employees | Performance Shares | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Maximum number of shares to be awarded, shares | 644,000 | ||||||||||
2022 Plan | Key Executives | Restricted Stock Equivalents | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 138,000 | ||||||||||
2022 Plan | Key Executives and Key Employees [Member] | Performance Shares | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 322,000 | ||||||||||
2023 Plan | Subsequent Event | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Fair value of TSR award at grant | $ / shares | $ 33.57 | ||||||||||
2023 Plan | Key Employees | Restricted Stock Equivalents | Subsequent Event | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 310,000 | ||||||||||
Vesting period, in years | 4 years | ||||||||||
2023 Plan | Key Employees | Performance Shares | Subsequent Event | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Maximum number of shares to be awarded, shares | 500,000 | ||||||||||
Performance period | 3 years | ||||||||||
2023 Plan | Key Executives | Restricted Stock Equivalents | Subsequent Event | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 107,000 | ||||||||||
2023 Plan | Key Executives and Key Employees [Member] | Performance Shares | Subsequent Event | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares granted | 250,000 |
Share-Based Payments - Share-Ba
Share-Based Payments - Share-Based Compensation Valuation Assumptions (Details) - $ / shares | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Nov. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair value of TSR award at grant | $ 38.75 | ||
Restricted Stock Equivalents | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected term (in years) | 3 years | 3 years | |
Expected volatility | 41.10% | 42.30% | |
Expected dividend rate | 4.10% | 3.10% | |
Expected risk-free rate | 4.60% | 0.80% | |
Fair value of TSR award at grant | $ 44.92 | $ 56.45 |
Share-Based Payments (Summary o
Share-Based Payments (Summary of RSE Activity) (Details) - Restricted Stock Equivalents shares in Millions | 12 Months Ended |
Sep. 30, 2023 $ / shares shares | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Nonvested RSE, Beginning Balance, shares | shares | 2.5 |
Granted, shares | shares | 1.2 |
Vested, shares | shares | (0.2) |
Canceled, shares | shares | (0.8) |
Nonvested RSE, Ending Balance, shares | shares | 2.7 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |
Nonvested RSE, Beginning Balance, weighted-average grant date estimated fair value | $ / shares | $ 43.64 |
Granted, weighted-average grant date estimated fair value | $ / shares | 33.56 |
Vested, weighted-average grant date estimated fair value | $ / shares | 41.63 |
Canceled, weighted-average grant date estimated fair value | $ / shares | 40.30 |
Nonvested RSE, Ending Balance, weighted-average grant date estimated fair value | $ / shares | $ 38.72 |
Earnings per share (Narrative)
Earnings per share (Narrative) (Details) - shares shares in Thousands | 2 Months Ended | 12 Months Ended | ||
Mar. 01, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Common Stock | ||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||
Conversion of preferred stock to common stock (in shares) | 4,700 | 4,687 | ||
Performance Based Restricted Stock | ||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||
Securities excluded from computation of EPS (in shares) | 1,200 | 1,700 | 1,300 | |
Restricted Stock Equivalents | ||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||
Securities excluded from computation of EPS (in shares) | 800 | 100 | ||
Deferred Compensation Awards | ||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||
Securities excluded from computation of EPS (in shares) | 100 |
Earnings per share (Schedule of
Earnings per share (Schedule of Earnings Per Share, Basic and Diluted) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Net earnings/(loss) | $ 140.5 | $ (231.5) | $ 160.9 |
Mandatory preferred stock dividends | 0 | (4) | (16.2) |
Net earnings/(loss) attributable to common shareholders | $ 140.5 | $ (235.5) | $ 144.7 |
Basic average shares outstanding (in shares) | 71.5 | 69.9 | 68.2 |
Basic net earnings per common share (in dollars per share) | $ 1.97 | $ (3.37) | $ 2.12 |
Effect of dilutive restricted stock equivalents (in shares) | 0.4 | 0 | 0.2 |
Effect of dilutive performance shares (in shares) | 0 | 0 | 0.1 |
Diluted average shares outstanding (in shares) | 72.4 | 69.9 | 68.7 |
Diluted net earnings/(loss) per share (in dollars per share) | $ 1.94 | $ (3.37) | $ 2.11 |
Retained Earnings/(Losses) | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Net earnings/(loss) | $ 140.5 | $ (231.5) | $ 160.9 |
Performance Shares | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Effect of dilutive performance shares (in shares) | 0.5 | 0 | 0.2 |
Segments (Narrative) (Details)
Segments (Narrative) (Details) | 12 Months Ended | ||
Sep. 30, 2023 USD ($) Segment | Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | |
Segment Reporting Information [Line Items] | |||
Integration related costs | $ 0 | $ 16,500,000 | $ 68,900,000 |
Number of major geographic reportable segments | Segment | 2 | ||
Cost of products sold | |||
Segment Reporting Information [Line Items] | |||
Integration related costs | $ 0 | 6,000,000 | 33,700,000 |
Selling, general and administrate expense | |||
Segment Reporting Information [Line Items] | |||
Integration related costs | $ 0 | $ 9,400,000 | $ 40,000,000 |
Segments (Schedule of Segment R
Segments (Schedule of Segment Reporting Information, by Segment) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||||
Jun. 30, 2023 | Mar. 31, 2023 | Sep. 30, 2021 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||||
Net sales | $ 2,959,700,000 | $ 3,050,100,000 | $ 3,021,500,000 | |||
Segment profit | 1,124,000,000 | 1,119,500,000 | 1,161,400,000 | |||
Restructuring costs | 59,700,000 | 1,700,000 | 36,800,000 | |||
Integration | 0 | (16,500,000) | (68,900,000) | |||
Amortization of intangible assets | (59,400,000) | (61,100,000) | (61,200,000) | |||
Impairment of goodwill and intangible assets | 0 | 541,900,000 | 0 | |||
Interest expense | (168,700,000) | (158,400,000) | (161,800,000) | |||
Gain/(loss) on extinguishment of debt | $ (27,600,000) | $ (70,000,000) | 1,500,000 | 0 | (103,300,000) | |
Business exit charges | 0 | 7,500,000 | 0 | |||
Gain on finance lease termination | $ 0 | 0 | 4,500,000 | 0 | ||
Earnings before income taxes | 175,700,000 | (305,500,000) | 154,200,000 | |||
Depreciation and amortization | 122,700,000 | 121,600,000 | 118,500,000 | |||
Gain (loss) on restructuring | 200,000 | |||||
Segment Reconciling Items | ||||||
Segment Reporting Information [Line Items] | ||||||
Restructuring costs | 59,700,000 | 900,000 | 0 | |||
Business exit charges | 0 | (14,600,000) | 0 | |||
Gain on finance lease termination | 0 | 4,500,000 | 0 | |||
Non-cash charges for Brazil flood | 0 | (9,700,000) | 0 | |||
Segment Reconciling Items | Project Momentum | ||||||
Segment Reporting Information [Line Items] | ||||||
Restructuring costs | (59,700,000) | (900,000) | 0 | |||
Batteries & Lights | ||||||
Segment Reporting Information [Line Items] | ||||||
Restructuring costs | 52,700,000 | 1,300,000 | 30,700,000 | |||
Auto Care | ||||||
Segment Reporting Information [Line Items] | ||||||
Restructuring costs | 7,000,000 | 400,000 | 6,100,000 | |||
Segments | ||||||
Segment Reporting Information [Line Items] | ||||||
Segment profit | 626,500,000 | 600,100,000 | 651,800,000 | |||
Depreciation and amortization | 63,300,000 | 60,500,000 | 57,300,000 | |||
Segments | Batteries & Lights | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 2,344,900,000 | 2,427,300,000 | 2,402,800,000 | |||
Segment profit | 551,500,000 | 553,600,000 | 553,600,000 | |||
Depreciation and amortization | 52,200,000 | 50,600,000 | 49,000,000 | |||
Segments | Auto Care | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 614,800,000 | 622,800,000 | 618,700,000 | |||
Segment profit | 75,000,000 | 46,500,000 | 98,200,000 | |||
Depreciation and amortization | 11,100,000 | 9,900,000 | 8,300,000 | |||
Segment Reconciling Items | ||||||
Segment Reporting Information [Line Items] | ||||||
General corporate and other expenses | (107,200,000) | (101,600,000) | (96,000,000) | |||
Integration | 0 | (16,500,000) | (68,900,000) | |||
Acquisition earn out | 0 | (1,100,000) | (3,400,000) | |||
Amortization of intangible assets | (59,400,000) | (61,100,000) | (61,200,000) | |||
Impairment of goodwill and intangible assets | 0 | (541,900,000) | 0 | |||
Interest expense | (168,700,000) | (158,400,000) | (161,800,000) | |||
Gain/(loss) on extinguishment of debt | 1,500,000 | 0 | (103,300,000) | |||
Other financing items, net | (7,100,000) | (4,300,000) | (3,000,000) | |||
Pension settlement | (50,200,000) | 0 | 0 | |||
Selling, general and administrate expense | ||||||
Segment Reporting Information [Line Items] | ||||||
Restructuring costs | 26,700,000 | 900,000 | 0 | |||
Integration | 0 | (9,400,000) | (40,000,000) | |||
Business exit charges | 5,800,000 | |||||
Other items, net | ||||||
Segment Reporting Information [Line Items] | ||||||
Gain/expense reclassified to acquisitions and integration costs | (5,900,000) | |||||
Cost of products sold | ||||||
Segment Reporting Information [Line Items] | ||||||
Restructuring costs | 29,900,000 | 0 | 0 | |||
Integration | 0 | $ (6,000,000) | $ (33,700,000) | |||
Business exit charges | 1,300,000 | |||||
Other Nonoperating Income (Expense) | ||||||
Segment Reporting Information [Line Items] | ||||||
Business exit charges | $ 7,500,000 |
Segments (Schedule of Assets, C
Segments (Schedule of Assets, Capital Expenditures, Net Sales, and Long-lived Assets from External Customers and Long-Lived Assets, by Geographical Areas) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Assets | $ 4,509.6 | $ 4,572.1 | |
Long lived tangible assets | 699.1 | 683.2 | |
Net sales | 2,959.7 | 3,050.1 | $ 3,021.5 |
United States | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Long lived tangible assets | 510.7 | 497.7 | |
Net sales | 1,751.1 | 1,799.5 | 1,788.3 |
International | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 1,208.6 | 1,250.6 | 1,233.2 |
Singapore | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Long lived tangible assets | 56.2 | 62.1 | |
United Kingdom | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Long lived tangible assets | 61.2 | 52.6 | |
Other International | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Long lived tangible assets | 71 | 70.8 | |
Segments | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Assets | 1,785.5 | 1,819.7 | |
Capital expenditures | 56.8 | 77.8 | 64.9 |
Segments | Batteries & Lights | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Assets | 1,362 | 1,366 | |
Capital expenditures | 47.8 | 65.8 | 57.3 |
Net sales | 2,344.9 | 2,427.3 | 2,402.8 |
Segments | Auto Care | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Assets | 423.5 | 453.7 | |
Capital expenditures | 9 | 12 | 7.6 |
Net sales | 614.8 | 622.8 | $ 618.7 |
Corporate | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Assets | 470.2 | 453.5 | |
Segment Reconciling Items | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Goodwill and other intangible assets, net | $ 2,253.9 | $ 2,298.9 |
Segments (Acquisition and Integ
Segments (Acquisition and Integration Costs and Revenue from External Customers by Products and Services) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenue from External Customer [Line Items] | ||||
Acquisition and integration costs (pre-tax) | $ 0 | $ 16,500,000 | $ 68,900,000 | |
Business exit charges | 0 | 7,500,000 | 0 | |
Gain on finance lease termination | $ 0 | 0 | 4,500,000 | 0 |
Depreciation and amortization | 122,700,000 | 121,600,000 | 118,500,000 | |
Amortization of intangible assets | 59,400,000 | 61,100,000 | 61,200,000 | |
Segments | ||||
Revenue from External Customer [Line Items] | ||||
Depreciation and amortization | 63,300,000 | 60,500,000 | 57,300,000 | |
Segments | Batteries & Lights | ||||
Revenue from External Customer [Line Items] | ||||
Depreciation and amortization | 52,200,000 | 50,600,000 | 49,000,000 | |
Segments | Auto Care | ||||
Revenue from External Customer [Line Items] | ||||
Depreciation and amortization | 11,100,000 | 9,900,000 | 8,300,000 | |
Segment Reconciling Items | ||||
Revenue from External Customer [Line Items] | ||||
Business exit charges | 0 | (14,600,000) | 0 | |
Gain on finance lease termination | 0 | 4,500,000 | 0 | |
Cost of products sold | ||||
Revenue from External Customer [Line Items] | ||||
Acquisition and integration costs (pre-tax) | 0 | 6,000,000 | 33,700,000 | |
Business exit charges | 1,300,000 | |||
SG&A | ||||
Revenue from External Customer [Line Items] | ||||
Acquisition and integration costs (pre-tax) | 0 | 9,400,000 | 40,000,000 | |
Business exit charges | 5,800,000 | |||
Research and development | ||||
Revenue from External Customer [Line Items] | ||||
Acquisition and integration costs (pre-tax) | 0 | 1,100,000 | 1,100,000 | |
Other items, net | ||||
Revenue from External Customer [Line Items] | ||||
Gain/expense reclassified to acquisitions and integration costs | (5,900,000) | |||
Other Comprehensive Income (Loss) | ||||
Revenue from External Customer [Line Items] | ||||
Other items, net | $ 0 | $ 0 | $ (5,900,000) |
Leases - Balance Sheet Location
Leases - Balance Sheet Location (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Operating Leases: | ||
Operating lease assets | $ 98.4 | $ 100.1 |
Operating lease liabilities - current | 17.3 | 15.8 |
Operating lease liabilities | 84.7 | 88.2 |
Total Operating Lease Liabilities | $ 102 | $ 104 |
Weighted-average remaining lease term (in years) | 15 years 6 months | 15 years 2 months 12 days |
Weighted-average discount rate | 4.10% | 4% |
Finance Leases: | ||
Property, plant and equipment, net | $ 31.1 | $ 32.6 |
Finance lease, right-of-use asset, statement of financial position [extensible enumeration] | Property, plant and equipment, net | Property, plant and equipment, net |
Current portion of finance leases | $ 0.3 | $ 0.4 |
Long-term debt | $ 31.7 | $ 31.9 |
Finance lease liability, noncurrent, statement of financial position [extensible enumeration] | Long-term debt | Long-term debt |
Total Finance Lease Liabilities | $ 32 | $ 32.3 |
Weighted Average remaining lease term (in years) | 22 years 6 months | 23 years 6 months |
Weighted-average discount rate | 6.70% | 6.70% |
Leases - Components of Lease Ex
Leases - Components of Lease Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Leases [Abstract] | |||
Operating lease costs | $ 19.9 | $ 19.7 | $ 20.3 |
Finance lease costs: | |||
Amortization of assets | 1.2 | 2.5 | 3.2 |
Interest on lease liabilities | 2.1 | 2.5 | 2.9 |
Variable lease costs | 1.3 | 1.3 | 3.6 |
Total lease costs | $ 24.5 | $ 26 | $ 30 |
Leases - Schedule of Supplement
Leases - Schedule of Supplemental Cash and Non-Cash Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Cash paid for amounts included in the measurement of lease liabilities: | |||
Operating cash flows from operating leases | $ 20.5 | $ 20.4 | $ 18.9 |
Operating cash flows from finance leases | 2.1 | 2.5 | 2.9 |
Financing cash flows from finance leases | 0.3 | 5 | 1.6 |
Non-cash increase in lease assets and lease liabilities: | |||
Operating leases | $ 13 | $ 6.4 | $ 5.3 |
Leases Leases - Schedule of Min
Leases Leases - Schedule of Minimum Lease Payments (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Operating Leases | ||
2024 | $ 20.4 | |
2025 | 18.7 | |
2026 | 13.6 | |
2027 | 9.3 | |
2028 | 9 | |
Thereafter | 74.2 | |
Total lease payments | 145.2 | |
Less: Imputed interest | (43.2) | |
Operating lease liability | 102 | $ 104 |
Finance Leases | ||
2024 | 2.5 | |
2025 | 2.5 | |
2026 | 2.5 | |
2027 | 2.6 | |
2028 | 2.6 | |
Thereafter | 53.5 | |
Total lease payments | 66.2 | |
Less: Imputed interest | (34.2) | |
Present value of lease liabilities | $ 32 | $ 32.3 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Apr. 30, 2022 | Jun. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Leases [Abstract] | ||||||
Termination of capital lease obligation | $ 9.8 | $ 9.8 | $ 9.8 | |||
Capital lease obligations, lease termination fee | $ 4 | $ 4 | 4 | |||
Gain on finance lease termination | $ 0 | $ 0 | $ 4.5 | $ 0 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets (Schedule of Goodwill) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Goodwill [Roll Forward] | ||
Beginning Balance | $ 1,003.1 | $ 1,053.8 |
Acquisition | (1) | |
Impairment of goodwill and intangible assets | (17.4) | |
Goodwill, foreign currency translation gain (loss) | 13.1 | (32.3) |
Ending Balance | 1,016.2 | 1,003.1 |
Batteries & Lights | ||
Goodwill [Roll Forward] | ||
Beginning Balance | 868.9 | 900.3 |
Acquisition | 0 | |
Impairment of goodwill and intangible assets | 0 | |
Goodwill, foreign currency translation gain (loss) | 13.1 | (31.4) |
Ending Balance | 882 | 868.9 |
Auto Care | ||
Goodwill [Roll Forward] | ||
Beginning Balance | 134.2 | 153.5 |
Acquisition | (1) | |
Impairment of goodwill and intangible assets | (17.4) | |
Goodwill, foreign currency translation gain (loss) | 0 | (0.9) |
Ending Balance | $ 134.2 | $ 134.2 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment of goodwill and intangible assets | $ 17.4 | |||
Goodwill | $ 1,003.1 | $ 1,016.2 | $ 1,003.1 | $ 1,053.8 |
Impairment, Intangible Asset, Indefinite-Lived (Excluding Goodwill), Statement of Income or Comprehensive Income [Extensible Enumeration] | Impairment of goodwill and intangible assets | |||
Finite-lived intangible assets, net | 533.3 | 474.9 | $ 533.3 | |
Acquisition of intangible assets | $ 0 | 14.7 | 0 | |
Remaining life (in years) | 10 years 8 months 12 days | |||
Amortization of intangible assets | $ 59.4 | 61.1 | 61.2 | |
Armor All | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Fair value in excess of carrying amount | 20% | |||
Rayovac | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Fair value in excess of carrying amount | 5% | |||
Trade names | Armor All | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Indefinite-lived intangible assets, net | $ 228.5 | |||
Impairment of intangible assets, indefinite-lived (excluding goodwill) | 370.4 | |||
Trade names | STP | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment of intangible assets, indefinite-lived (excluding goodwill) | 26.3 | |||
Trade names | Rayovac | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Indefinite-lived intangible assets, net | 422.2 | |||
Impairment of intangible assets, indefinite-lived (excluding goodwill) | $ 127.8 | |||
Trade names | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Acquisition of intangible assets | $ 7 | |||
Trade names | STP | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Finite-lived intangible assets, net | 76.4 | |||
Amortization of intangible assets, additional expense | $ 3 | |||
Amortization period, years | 25 years | |||
Trade Secrets | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization period, years | 10 years | 10 years | ||
Acquisition of intangible assets | $ 7 | |||
Auto Care | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Fair value in excess of carrying amount | 12% | 12% | ||
Impairment of goodwill and intangible assets | $ 17.4 | |||
Goodwill | $ 134.2 | $ 134.2 | $ 134.2 | 153.5 |
Batteries & Lights | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Fair value in excess of carrying amount | 100% | 20% | 100% | |
Impairment of goodwill and intangible assets | $ 0 | |||
Goodwill | $ 868.9 | $ 882 | $ 868.9 | $ 900.3 |
Minimum | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization period, years | 3 years | 3 years | ||
Minimum | Trade names | Measurement Input, Discount Rate | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Intangible assets, measurement input | 0.095 | |||
Maximum | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization period, years | 25 years | 25 years | ||
Maximum | Trade names | Measurement Input, Discount Rate | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Intangible assets, measurement input | 0.100 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets (Schedule of Finite-Lived Intangible Assets) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 779.7 | $ 777.3 |
Accumulated Amortization | (304.8) | (244) |
Net Carrying Amount | 474.9 | 533.3 |
Trademarks and trade names - indefinite lived | 762.8 | 762.5 |
Gross Carrying Amount | 1,542.5 | 1,539.8 |
Net Carrying Amount | 1,237.7 | 1,295.8 |
Trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 142.4 | 141.8 |
Accumulated Amortization | (29.4) | (21.4) |
Net Carrying Amount | 113 | 120.4 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 394.2 | 393.5 |
Accumulated Amortization | (139.7) | (112.6) |
Net Carrying Amount | 254.5 | 280.9 |
Patents | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 33.9 | 33.4 |
Accumulated Amortization | (18.2) | (15.7) |
Net Carrying Amount | 15.7 | 17.7 |
Proprietary technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 172.5 | 172.5 |
Accumulated Amortization | (100) | (81.5) |
Net Carrying Amount | 72.5 | 91 |
Proprietary formulas | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 29.2 | 29.2 |
Accumulated Amortization | (10) | (6.3) |
Net Carrying Amount | 19.2 | 22.9 |
Vendor relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 7.5 | 6.9 |
Accumulated Amortization | (7.5) | (6.5) |
Net Carrying Amount | $ 0 | $ 0.4 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets (Estimated Amortization Expense) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization expense next year | $ 58.1 | |
Amortization expense year two | 58 | |
Amortization expense year three | 53.2 | |
Amortization expense year four | 51.6 | |
Amortization expense year five | 46.8 | |
Amortization expense thereafter | 207.2 | |
Net Carrying Amount | $ 474.9 | $ 533.3 |
Debt (Schedule of Long-term Deb
Debt (Schedule of Long-term Debt Instruments) (Details) € in Millions, $ in Millions | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Mar. 08, 2022 USD ($) | Jun. 23, 2021 EUR (€) |
Debt Instrument [Line Items] | ||||
Total long-term debt, including current maturities | $ 3,376.2 | $ 3,551.4 | ||
Finance lease obligations | 32 | 32.3 | ||
Less current portion | (12.3) | (12.4) | ||
Less unamortized debt premium and debt issuance fees | (31.8) | (39.6) | ||
Total long-term debt | 3,332.1 | 3,499.4 | ||
Senior Notes | Senior Notes, 6.500%, Due 2027 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt, including current maturities | $ 300 | 300 | $ 300 | |
Stated interest rate of debt | 6.50% | 6.50% | ||
Senior Notes | 4.750% Senior Notes due 2028 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt, including current maturities | $ 583.7 | 600 | ||
Stated interest rate of debt | 4.75% | |||
Senior Notes | 4.375% Senior Notes due 2029 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt, including current maturities | $ 791.3 | $ 800 | ||
Stated interest rate of debt | 4.375% | 4.375% | ||
Senior Notes | 3.50% Senior Notes due 2029 (Euro Notes of €650.0)(1) | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt, including current maturities | € | € 650 | |||
Stated interest rate of debt | 3.50% | 3.50% | ||
Secured Debt | Senior Secured Term Loan Facility due 2027 | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt, including current maturities | $ 982 | $ 1,182 | ||
Stated interest rate of debt | 0.25% | |||
Secured Debt | 3.50% Senior Notes due 2029 (Euro Notes of €650.0)(1) | ||||
Debt Instrument [Line Items] | ||||
Total long-term debt, including current maturities | $ 687.2 | $ 637.1 |
Debt (Narrative) (Details)
Debt (Narrative) (Details) € in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||||||||||||
Jun. 23, 2021 USD ($) | Jan. 07, 2021 USD ($) | Dec. 22, 2020 USD ($) | Oct. 16, 2020 USD ($) | Dec. 27, 2019 USD ($) | Nov. 14, 2023 USD ($) | Apr. 30, 2022 USD ($) | Jun. 30, 2023 USD ($) | Mar. 31, 2023 USD ($) | Jun. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Jun. 30, 2023 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Dec. 31, 2024 USD ($) | Feb. 28, 2023 | Dec. 31, 2022 USD ($) | Mar. 08, 2022 USD ($) | Jun. 23, 2021 EUR (€) | Jan. 22, 2021 USD ($) | |
Debt Instrument [Line Items] | |||||||||||||||||||||
Write-off of debt issuance costs | $ 5,700,000 | $ 1,900,000 | $ 18,100,000 | ||||||||||||||||||
Long-term debt | $ 3,376,200,000 | 3,551,400,000 | |||||||||||||||||||
Premiums paid on extinguishment of debt | 0 | 0 | 141,100,000 | ||||||||||||||||||
Gain/(loss) on extinguishment of debt | $ (27,600,000) | $ (70,000,000) | $ 1,500,000 | $ 0 | (103,300,000) | ||||||||||||||||
Short-term debt interest rate | 7.70% | 4.70% | |||||||||||||||||||
Deferred financing fees | $ 0 | $ 7,600,000 | 29,000,000 | ||||||||||||||||||
Notes payable | 8,200,000 | 6,400,000 | |||||||||||||||||||
Termination of capital lease obligation | $ 9,800,000 | $ 9,800,000 | 9,800,000 | ||||||||||||||||||
Capital lease obligations, lease termination fee | $ 4,000,000 | $ 4,000,000 | 4,000,000 | ||||||||||||||||||
Gain on finance lease termination | $ 0 | 0 | 4,500,000 | $ 0 | |||||||||||||||||
Scenario, Forecast | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Notional value | $ 100,000,000 | ||||||||||||||||||||
Interest Rate Swap | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Notional value | $ 550,000,000 | 700,000,000 | $ 700,000,000 | ||||||||||||||||||
Interest Rate Swap | London Interbank Offered Rate1 (LIBOR) | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Fixed interest rate | 0.95% | ||||||||||||||||||||
Interest Rate Swap | Secured Overnight Financing Rate (SOFR) | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Fixed interest rate | 1.042% | ||||||||||||||||||||
Revolving Facility | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Remaining available amount on letters of credit | 492,900,000 | ||||||||||||||||||||
Revolving Facility | 2020 Revolving Facility | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Term of debt | 5 years | ||||||||||||||||||||
Maximum amount for line of credit | $ 400,000,000 | $ 500,000,000 | |||||||||||||||||||
Letter of Credit | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Outstanding letters of credit | 7,100,000 | ||||||||||||||||||||
Senior Notes | 4.375% Senior Notes due 2029 | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Face amount of debt | 800,000,000 | ||||||||||||||||||||
Long-term debt | $ 791,300,000 | $ 800,000,000 | |||||||||||||||||||
Stated interest rate of debt | 4.375% | 4.375% | |||||||||||||||||||
Senior Notes | Senior Notes, 6.375%, Due 2026 [Member] | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Stated interest rate of debt | 6.375% | ||||||||||||||||||||
Premiums paid on extinguishment of debt | $ 55,900,000 | ||||||||||||||||||||
Gain/(loss) on extinguishment of debt | $ (68,600,000) | ||||||||||||||||||||
Redemption amount | $ 750,000,000 | ||||||||||||||||||||
Senior Notes | 3.50% Senior Notes due 2029 (Euro Notes of €650.0)(1) | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Long-term debt | € | € 650 | ||||||||||||||||||||
Stated interest rate of debt | 3.50% | 3.50% | |||||||||||||||||||
Senior Notes | Senior Notes, 4.625%, Due 2026 [Member] | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Long-term debt | € | € 650 | ||||||||||||||||||||
Stated interest rate of debt | 4.625% | ||||||||||||||||||||
Premiums paid on extinguishment of debt | $ 18,600,000 | ||||||||||||||||||||
Payments of debt restructuring costs | $ 45,900,000 | ||||||||||||||||||||
Senior Notes | 4.750% Senior Notes due 2028 | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Long-term debt | $ 583,700,000 | 600,000,000 | |||||||||||||||||||
Stated interest rate of debt | 4.75% | ||||||||||||||||||||
Senior Notes | Senior Notes, 7.750%, Due 2027 [Member] | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Long-term debt | 600,000,000 | ||||||||||||||||||||
Stated interest rate of debt | 7.75% | ||||||||||||||||||||
Redemption price, percentage | 110.965% | ||||||||||||||||||||
Premiums paid on extinguishment of debt | $ 66,600,000 | ||||||||||||||||||||
Senior Notes | Senior Notes, 6.500%, Due 2027 | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Long-term debt | $ 300,000,000 | 300,000,000 | $ 300,000,000 | ||||||||||||||||||
Stated interest rate of debt | 6.50% | 6.50% | |||||||||||||||||||
Secured Debt | Senior Secured Term Loan B Facility due 2027 | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Face amount of debt | $ 550,000,000 | ||||||||||||||||||||
Write-off of debt issuance costs | $ 1,600,000 | ||||||||||||||||||||
Term loan repayment | 200,000,000 | ||||||||||||||||||||
Early payment | $ 188,000,000 | ||||||||||||||||||||
Secured Debt | Senior Secured Term Loan B Facility due 2027 | Subsequent Event | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Term loan repayment | $ 40,000,000 | ||||||||||||||||||||
Secured Debt | 3.50% Senior Notes due 2029 (Euro Notes of €650.0)(1) | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Long-term debt | 687,200,000 | 637,100,000 | |||||||||||||||||||
Secured Debt | Senior Secured Term Loan Facility due 2027 | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Face amount of debt | 3,000,000 | ||||||||||||||||||||
Proceeds from Lines of Credit | $ 650,000,000 | ||||||||||||||||||||
Long-term debt | $ 982,000,000 | $ 1,182,000,000 | |||||||||||||||||||
Stated interest rate of debt | 0.25% |
Debt (Long-term Debt Maturities
Debt (Long-term Debt Maturities) (Details) $ in Millions | Sep. 30, 2023 USD ($) |
Debt Disclosure [Abstract] | |
2024 | $ 12 |
2025 | 12 |
2026 | 12 |
2027 | 12 |
2028 | 1,817.7 |
Thereafter | 1,478.5 |
Total long-term debt payments due | $ 3,344.2 |
Pension Plans (Narrative) (Deta
Pension Plans (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Settlement loss on U.S. pension annuity buy out | $ 50.2 | $ 0 | $ 0 |
United States | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of assets represented by U.S. plan | 73% | ||
United States | Equity Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation percent | 30% | ||
United States | Debt Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation percent | 70% | ||
United States | Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Noncurrent assets | $ 0 | 0 | |
Settlement loss on U.S. pension annuity buy out | 50.2 | 0 | 0.2 |
Company contributions | 2.4 | ||
Accumulated benefit obligation | 254.6 | 383.4 | |
Net actuarial losses | 1.8 | ||
International Pension Plan Assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Accumulated benefit obligation | 88.7 | 83.9 | |
International Pension Plan Assets | Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Noncurrent assets | 8.7 | 8.7 | |
Settlement loss on U.S. pension annuity buy out | 0 | $ 0.2 | $ 0 |
Company contributions | 0.7 | ||
Net actuarial losses | $ 0.9 |
Pension Plans (Changes in Proje
Pension Plans (Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan) (Details) - Pension Plan - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
United States | |||
Change in Projected Benefit Obligation | |||
Benefit obligation at beginning of year | $ 383.4 | $ 507.4 | |
Service cost | 0 | 0 | $ 0 |
Interest cost | 19.9 | 12.7 | 13 |
Actuarial loss/(gain) | 0.2 | (99.1) | |
Benefits paid | (28.7) | (37.6) | |
Plan settlements | (120.2) | 0 | |
Foreign currency exchange rate changes | 0 | 0 | |
Projected Benefit Obligation at end of year | 254.6 | 383.4 | 507.4 |
Change in Plan Assets | |||
Estimated fair value of plan assets at beginning of year | 356.9 | 490.1 | |
Actual return on plan assets | 11.8 | (98) | |
Company contributions | 2.4 | 2.4 | |
Plan settlements | (120.2) | 0 | |
Benefits paid | (28.7) | (37.6) | |
Foreign currency exchange rate changes | 0 | 0 | |
Estimated fair value of plan assets at end of year | 222.2 | 356.9 | 490.1 |
Funded status at end of year | (32.4) | (26.5) | |
International | |||
Change in Projected Benefit Obligation | |||
Benefit obligation at beginning of year | 84.8 | 143.1 | |
Service cost | 0.3 | 0.6 | 0.7 |
Interest cost | 3.6 | 1.8 | 1.6 |
Actuarial loss/(gain) | (0.6) | (40.2) | |
Benefits paid | (5.6) | (5.7) | |
Plan settlements | 0 | (0.6) | |
Foreign currency exchange rate changes | 7.3 | (14.2) | |
Projected Benefit Obligation at end of year | 89.8 | 84.8 | 143.1 |
Change in Plan Assets | |||
Estimated fair value of plan assets at beginning of year | 78.3 | 133.1 | |
Actual return on plan assets | 0.7 | (35.6) | |
Company contributions | 3.4 | 0.6 | |
Plan settlements | 0 | (0.6) | |
Benefits paid | (5.6) | (5.7) | |
Foreign currency exchange rate changes | 6.6 | (13.5) | |
Estimated fair value of plan assets at end of year | 83.4 | 78.3 | $ 133.1 |
Funded status at end of year | $ (6.4) | $ (6.5) |
Pension Plans (Schedule of Defi
Pension Plans (Schedule of Defined Benefit Plans Disclosures) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Amounts Recognized in the Consolidated Balance Sheets | ||
Noncurrent liabilities | $ (55) | $ (49.3) |
United States | Pension Plan | ||
Amounts Recognized in the Consolidated Balance Sheets | ||
Noncurrent assets | 0 | 0 |
Current liabilities | (2.3) | (2.4) |
Noncurrent liabilities | (30.1) | (24.1) |
Net amount recognized | (32.4) | (26.5) |
Amounts Recognized in Accumulated Other Comprehensive Loss | ||
Net loss, pre-tax | (113.4) | (157) |
International | Pension Plan | ||
Amounts Recognized in the Consolidated Balance Sheets | ||
Noncurrent assets | 8.7 | 8.7 |
Current liabilities | (0.6) | (0.6) |
Noncurrent liabilities | (14.5) | (14.6) |
Net amount recognized | (6.4) | (6.5) |
Amounts Recognized in Accumulated Other Comprehensive Loss | ||
Net loss, pre-tax | $ (29.9) | $ (26) |
Pension Plans (Schedule of De_2
Pension Plans (Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss)) (Details) - Pension Plan $ in Millions | 12 Months Ended |
Sep. 30, 2023 USD ($) | |
International | |
Changes in plan assets and benefit obligations recognized in other comprehensive (loss)/income | |
Net loss arising during the year | $ (2) |
Effect of exchange rates | (2.5) |
Amounts recognized as a component of net periodic benefit cost | |
Amortization or settlement recognition of net loss | 0.6 |
Total gain/(loss) recognized in other comprehensive loss | (3.9) |
United States | |
Changes in plan assets and benefit obligations recognized in other comprehensive (loss)/income | |
Net loss arising during the year | (8.7) |
Effect of exchange rates | 0 |
Amounts recognized as a component of net periodic benefit cost | |
Amortization or settlement recognition of net loss | 52.3 |
Total gain/(loss) recognized in other comprehensive loss | $ 43.6 |
Pension Plans (Schedule of Expe
Pension Plans (Schedule of Expected Benefit Payments) (Details) - Pension Plan $ in Millions | Sep. 30, 2023 USD ($) |
United States | |
Defined Benefit Plan Disclosure [Line Items] | |
2018 | $ 24.5 |
2019 | 24.1 |
2020 | 24.2 |
2021 | 24.2 |
2022 | 22 |
2023 to 2027 | 99.2 |
International | |
Defined Benefit Plan Disclosure [Line Items] | |
2018 | 5.1 |
2019 | 5.2 |
2020 | 5.2 |
2021 | 5.3 |
2022 | 5.3 |
2023 to 2027 | $ 27.6 |
Pension Plans (Schedule of Bene
Pension Plans (Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets) (Details) - Pension Plan - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
United States | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | $ 254.6 | $ 383.4 |
Accumulated benefit obligation | 254.6 | 383.4 |
Estimated fair value of plan assets | 222.1 | 356.9 |
International | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | 49.4 | 46.1 |
Accumulated benefit obligation | 48.3 | 45.2 |
Estimated fair value of plan assets | $ 34.3 | $ 30.9 |
Pension Plans (Schedule of Net
Pension Plans (Schedule of Net Benefit Costs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) Excluding Service Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] | Nonoperating Income (Expense) | ||
Settlement loss recognized on other pension plans | $ 50.2 | $ 0 | $ 0 |
United States | Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 0 | 0 | 0 |
Interest cost | 19.9 | 12.7 | 13 |
Expected return on plan assets | (20.3) | (22.8) | (22.4) |
Recognized net actuarial loss | 2.1 | 6.4 | 7.4 |
Settlement loss recognized on other pension plans | 50.2 | 0 | 0.2 |
Net periodic expense/(benefit) | 51.9 | (3.7) | (1.8) |
International | Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 0.3 | 0.6 | 0.7 |
Interest cost | 3.6 | 1.8 | 1.6 |
Expected return on plan assets | (3.2) | (3.2) | (3.2) |
Recognized net actuarial loss | 0.6 | 0.8 | 1.5 |
Settlement loss recognized on other pension plans | 0 | 0.2 | 0 |
Net periodic expense/(benefit) | $ 1.3 | $ 0.2 | $ 0.6 |
Pension Plans (Schedule of Assu
Pension Plans (Schedule of Assumptions Used) (Details) - Pension Plan | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
United States | |||
Plan obligations: | |||
Discount rate | 6% | 5.60% | 2.60% |
Compensation increase rate | 0% | 0% | 0% |
Net periodic benefit cost: | |||
Discount rate | 5.60% | 2.60% | 2.50% |
Expected long-term rate of return on plan assets | 5.10% | 5.20% | 5.10% |
Compensation increase rate | 0% | 0% | 0% |
International | |||
Plan obligations: | |||
Discount rate | 4% | 4% | 1.30% |
Compensation increase rate | 2.70% | 2.40% | 2.20% |
Net periodic benefit cost: | |||
Discount rate | 4% | 1.30% | 1% |
Expected long-term rate of return on plan assets | 3.60% | 2.60% | 2.60% |
Compensation increase rate | 2.40% | 2.20% | 2.10% |
Pension Plans (Schedule of Allo
Pension Plans (Schedule of Allocation of Plan Assets) (Details) - Pension Plan - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
United States | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | $ 222.2 | $ 356.9 | $ 490.1 |
United States | Fair Value, Inputs, Level 1, 2 and 3 | U.S. Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 20.1 | 32.5 | |
United States | Fair Value, Inputs, Level 1, 2 and 3 | International Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0.7 | 1.2 | |
United States | Fair Value, Inputs, Level 1, 2 and 3 | U.S. Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 150.5 | 241.4 | |
United States | Fair Value, Inputs, Level 1, 2 and 3 | Other Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
United States | Fair Value, Inputs, Level 1, 2 and 3 | CASH & CASH EQUIVALENTS | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 8.8 | 15 | |
United States | Fair Value, Inputs, Level 1, 2 and 3 | OTHER | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
United States | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 20.8 | 33.7 | |
United States | Level 1 | U.S. Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 20.1 | 32.5 | |
United States | Level 1 | International Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0.7 | 1.2 | |
United States | Level 1 | U.S. Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
United States | Level 1 | Other Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
United States | Level 1 | CASH & CASH EQUIVALENTS | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
United States | Level 1 | OTHER | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
United States | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 159.3 | 256.4 | |
United States | Level 2 | U.S. Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
United States | Level 2 | International Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
United States | Level 2 | U.S. Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 150.5 | 241.4 | |
United States | Level 2 | Other Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
United States | Level 2 | CASH & CASH EQUIVALENTS | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 8.8 | 15 | |
United States | Level 2 | OTHER | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
United States | Assets Measured at Net Asset Value | U.S. Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 22.2 | 34 | |
United States | Assets Measured at Net Asset Value | International Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 19.9 | 32.8 | |
United States | Assets Measured at Net Asset Value | Corporate | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
United States | Assets Measured at Net Asset Value | OTHER | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | ||
International Pension Plan Assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 83.4 | 78.3 | $ 133.1 |
International Pension Plan Assets | Fair Value, Inputs, Level 1, 2 and 3 | U.S. Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Fair Value, Inputs, Level 1, 2 and 3 | International Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 7.6 | 7.4 | |
International Pension Plan Assets | Fair Value, Inputs, Level 1, 2 and 3 | U.S. Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Fair Value, Inputs, Level 1, 2 and 3 | Other Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 16 | 16 | |
International Pension Plan Assets | Fair Value, Inputs, Level 1, 2 and 3 | CASH & CASH EQUIVALENTS | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 5.5 | 3.5 | |
International Pension Plan Assets | Fair Value, Inputs, Level 1, 2 and 3 | OTHER | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 7.9 | 7 | |
International Pension Plan Assets | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Level 1 | U.S. Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Level 1 | International Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Level 1 | U.S. Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Level 1 | Other Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Level 1 | CASH & CASH EQUIVALENTS | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Level 1 | OTHER | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 37 | 33.9 | |
International Pension Plan Assets | Level 2 | U.S. Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Level 2 | International Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 7.6 | 7.4 | |
International Pension Plan Assets | Level 2 | U.S. Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Level 2 | Other Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 16 | 16 | |
International Pension Plan Assets | Level 2 | CASH & CASH EQUIVALENTS | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 5.5 | 3.5 | |
International Pension Plan Assets | Level 2 | OTHER | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 7.9 | 7 | |
International Pension Plan Assets | Assets Measured at Net Asset Value | U.S. Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
International Pension Plan Assets | Assets Measured at Net Asset Value | International Equity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 7.2 | 10.2 | |
International Pension Plan Assets | Assets Measured at Net Asset Value | Corporate | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | $ 39.2 | 20 | |
International Pension Plan Assets | Assets Measured at Net Asset Value | OTHER | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | $ 14.2 |
Defined Contribution Plan (Narr
Defined Contribution Plan (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Jan. 01, 2014 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Retirement Benefits [Abstract] | ||||
Percentage of company match | 100% | |||
Maximum percentage of eligible compensation | 6% | |||
Charged to expense | $ 9.5 | $ 10.4 | $ 10.3 |
Shareholders' Equity (Narrative
Shareholders' Equity (Narrative) (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||
Nov. 18, 2021 | Nov. 15, 2021 | Oct. 15, 2021 | Nov. 12, 2018 | Jan. 31, 2019 | Dec. 31, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | Nov. 12, 2020 | |
Class of Stock [Line Items] | ||||||||||
Common stock authorized (in shares) | 300,000,000 | |||||||||
Preferred stock, authorized (in shares) | 10,000,000 | |||||||||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | ||||||||
Common stock issued (in shares) | 77,074,245 | 77,074,245 | ||||||||
Annual rate percentage | 7.50% | 7.50% | ||||||||
Convertible preferred stock issued upon conversion (in shares) | 2.1739 | |||||||||
Shares reserved for issuance (in shares) | 33,500 | |||||||||
Accelerated share repurchase, volume-weighted average stock price | $ 38.30 | |||||||||
Treasury stock value | $ 238,100,000 | $ 248,900,000 | ||||||||
Common stock purchased | 0 | $ 96,300,000 | ||||||||
Dividends declared | 88,000,000 | 85,500,000 | 82,600,000 | |||||||
Dividends paid | 86,300,000 | $ 84,900,000 | $ 83,900,000 | |||||||
Dividends declared (in dollars per share) | $ 0.30 | |||||||||
Preferred stock issued (in shares) | 2,156,250 | 2,156,250 | ||||||||
Mandatory convertible preferred stock (in dollars per share) | $ 0.01 | |||||||||
Liquidation preference (in dollars per share) | $ 100 | |||||||||
Preferred stock, dividends paid (in dollars per share) | $ 1.875 | |||||||||
Cash dividend (in dollars per share) | $ 1.875 | |||||||||
Common Stock | ||||||||||
Class of Stock [Line Items] | ||||||||||
Conversion of stock, amount issued | $ 4,700,000 | |||||||||
Common Stock | ||||||||||
Class of Stock [Line Items] | ||||||||||
Repurchased shares of common stock (in shares) | 451,000 | 2,008,000 | ||||||||
Treasury Stock | ||||||||||
Class of Stock [Line Items] | ||||||||||
Common stock purchased | $ 15,000,000 | $ 81,300,000 | ||||||||
Retained Earnings/(Losses) | ||||||||||
Class of Stock [Line Items] | ||||||||||
Dividends declared | 0 | 64,100,000 | 82,600,000 | |||||||
Additional Paid-in Capital | ||||||||||
Class of Stock [Line Items] | ||||||||||
Common stock purchased | (15,000,000) | 15,000,000 | ||||||||
Dividends declared | $ 88,000,000 | $ 21,400,000 | ||||||||
Accelerated Share Repurchase Program | ||||||||||
Class of Stock [Line Items] | ||||||||||
Stock repurchase program, authorized amount | $ 75,000,000 | |||||||||
Repurchased shares of common stock (in shares) | 500,000 | 1,500,000 | ||||||||
Treasury stock value | $ 60 | |||||||||
Remaining number of shares authorized to be repurchased | 5,000,000 | |||||||||
Share Repurchase Program | ||||||||||
Class of Stock [Line Items] | ||||||||||
Repurchased shares of common stock (in shares) | 500,000 | |||||||||
Common stock purchased | $ 21,300,000 | |||||||||
Payments for repurchase of common stock | $ 42.61 | |||||||||
Share Repurchase Program | Common Stock | ||||||||||
Class of Stock [Line Items] | ||||||||||
Number of shares authorized for repurchase | 7,500,000 | |||||||||
Restricted Stock Equivalents | ||||||||||
Class of Stock [Line Items] | ||||||||||
Shares reserved for issuance (in shares) | 2,700,000 | 2,500,000 |
Financial Instruments and Ris_3
Financial Instruments and Risk Management (Narrative) (Details) | 1 Months Ended | 12 Months Ended | |||||
Dec. 31, 2020 USD ($) | Sep. 30, 2023 USD ($) Contract derivative_instrument | Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Feb. 28, 2023 | Jan. 22, 2021 USD ($) | Dec. 22, 2020 USD ($) | |
Derivative [Line Items] | |||||||
Unrecognized pretax gain (loss) | $ (5,600,000) | $ 79,800,000 | $ 86,400,000 | ||||
Impairment of goodwill and intangible assets | 0 | 541,900,000 | $ 0 | ||||
Interest Rate Swap | |||||||
Derivative [Line Items] | |||||||
Notional value | 700,000,000 | $ 700,000,000 | $ 550,000,000 | ||||
Derivative, notional amount, annual decrease | $ 100,000,000 | ||||||
Interest Rate Swap | London Interbank Offered Rate1 (LIBOR) | |||||||
Derivative [Line Items] | |||||||
Fixed interest rate | 0.95% | ||||||
Interest Rate Swap | Secured Overnight Financing Rate (SOFR) | |||||||
Derivative [Line Items] | |||||||
Fixed interest rate | 1.042% | ||||||
Foreign currency contracts | |||||||
Derivative [Line Items] | |||||||
Portion of pre-tax gain included in AOCI expected to be included in earnings | 3,000,000 | ||||||
Line of Credit | Secured Debt | |||||||
Derivative [Line Items] | |||||||
Face amount of debt | 990,200,000 | ||||||
Estimate of Fair Value Measurement | |||||||
Derivative [Line Items] | |||||||
Fair market value of fixed rate long-term debt | 2,000,900,000 | 1,795,700,000 | |||||
Reported Value Measurement | |||||||
Derivative [Line Items] | |||||||
Fair market value of fixed rate long-term debt | 2,362,200,000 | 2,337,100,000 | |||||
Not Designated as Hedging Instrument | Foreign currency contracts | |||||||
Derivative [Line Items] | |||||||
Notional value | $ 85,000,000 | ||||||
Open foreign currency contracts | derivative_instrument | 6 | ||||||
Derivatives | $ 1,300,000 | 600,000 | |||||
Cash Flow Hedging | Foreign currency contracts | |||||||
Derivative [Line Items] | |||||||
Unrealized pre-tax gain (loss) | 3,300,000 | 16,300,000 | |||||
Cash Flow Hedging | Designated as Hedging Instrument | |||||||
Derivative [Line Items] | |||||||
Derivatives | (82,400,000) | (96,600,000) | |||||
Cash Flow Hedging | Designated as Hedging Instrument | Zinc contracts | |||||||
Derivative [Line Items] | |||||||
Notional value | $ 43,000,000 | ||||||
Number of open contracts | Contract | 18 | ||||||
Derivatives | $ 700,000 | 6,100,000 | |||||
Cash Flow Hedging | Designated as Hedging Instrument | Foreign currency contracts | |||||||
Derivative [Line Items] | |||||||
Notional value | $ 179,000,000 | ||||||
Open foreign currency contracts | derivative_instrument | 68 | ||||||
Derivatives | $ (3,300,000) | (16,300,000) | |||||
Cash Flow Hedging | Not Designated as Hedging Instrument | Foreign currency contracts | |||||||
Derivative [Line Items] | |||||||
Derivatives | $ 1,300,000 | $ 600,000 | |||||
Customer Concentration Risk | Wal-Mart Stores, Inc. | Net sales | |||||||
Derivative [Line Items] | |||||||
Percentage of net sales from major customer | 14.20% | 12.90% | 13.70% |
Financial Instruments and Ris_4
Financial Instruments and Risk Management (Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss)) (Details) - Designated as Hedging Instrument - Cash Flow Hedging - USD ($) $ in Millions | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Estimated Fair Value Asset | $ 82.4 | $ 96.6 |
Pre-Tax Gain/(Loss) Recognized in OCI | 16.9 | 94.7 |
Pre-Tax Gain/(Loss) Reclassified From OCI into Income (Effective Portion) | 31.1 | 16.5 |
Foreign currency contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Estimated Fair Value Asset | 3.3 | 16.3 |
Pre-Tax Gain/(Loss) Recognized in OCI | (5.5) | 20.9 |
Pre-Tax Gain/(Loss) Reclassified From OCI into Income (Effective Portion) | $ 7.5 | $ 9.6 |
Derivative Instrument, Gain (Loss) Reclassified from AOCI into Income, Effective Portion, Statement of Income or Comprehensive Income [Extensible Enumeration] | Cost of products sold | Cost of products sold |
Interest rate swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Estimated Fair Value Asset | $ 79.8 | $ 86.4 |
Pre-Tax Gain/(Loss) Recognized in OCI | 19.4 | 75.2 |
Pre-Tax Gain/(Loss) Reclassified From OCI into Income (Effective Portion) | $ 26 | $ (2.5) |
Derivative Instrument, Gain (Loss) Reclassified from AOCI into Income, Effective Portion, Statement of Income or Comprehensive Income [Extensible Enumeration] | Interest expense | Interest expense |
Zinc contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Estimated Fair Value Asset | $ (0.7) | $ (6.1) |
Pre-Tax Gain/(Loss) Recognized in OCI | 3 | (1.4) |
Pre-Tax Gain/(Loss) Reclassified From OCI into Income (Effective Portion) | $ (2.4) | $ 9.4 |
Derivative Instrument, Gain (Loss) Reclassified from AOCI into Income, Effective Portion, Statement of Income or Comprehensive Income [Extensible Enumeration] | Cost of products sold | Cost of products sold |
Financial Instruments and Ris_5
Financial Instruments and Risk Management (Derivative Instruments, Gain (Loss)) (Details) - Not Designated as Hedging Instrument - Foreign currency contracts - USD ($) $ in Millions | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Estimated Fair Value Asset | $ (1.3) | $ (0.6) |
Gain/(Loss) Recognized in Income | $ (2) | $ 6.6 |
Financial Instruments and Ris_6
Financial Instruments and Risk Management (Offsetting Assets and Liabilities) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other current assets | Other assets |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other current liabilities | Other non-current liabilities |
Foreign currency contracts | ||
Derivatives, Fair Value [Line Items] | ||
Gross amounts of recognized assets | $ 4.4 | $ 18 |
Gross amounts offset in the Balance Sheet, assets | (1) | 0 |
Net amounts of assets presented in the Balance Sheet | 3.4 | 18 |
Gross amounts of recognized liabilities | (2.4) | (2.3) |
Gross amounts offset in the Balance Sheet, liabilities | 1 | 0 |
Net amounts of liabilities presented in the Balance Sheet | $ (1.4) | $ (2.3) |
Financial Instruments and Ris_7
Financial Instruments and Risk Management (Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Level 2 | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Deferred Compensation | $ (21) | $ (24.6) |
Net Assets at estimated fair value | 60.1 | 71.4 |
Interest rate swap | Level 2 | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives | 79.8 | 86.4 |
Estimate of Fair Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair market value of fixed rate long-term debt | 2,000.9 | 1,795.7 |
Not Designated as Hedging Instrument | Foreign Currency Contract | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives | (1.3) | (0.6) |
Gain/(Loss) Recognized in Income | (2) | 6.6 |
Cash Flow Hedging | Designated as Hedging Instrument | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives | 82.4 | 96.6 |
Cash Flow Hedging | Designated as Hedging Instrument | Foreign Currency Contract | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives | 3.3 | 16.3 |
Cash Flow Hedging | Designated as Hedging Instrument | Interest rate swap | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives | 79.8 | 86.4 |
Cash Flow Hedging | Designated as Hedging Instrument | Zinc contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives | (0.7) | (6.1) |
Cash Flow Hedging | Not Designated as Hedging Instrument | Foreign Currency Contract | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives | $ (1.3) | $ (0.6) |
Other Commitments and Conting_2
Other Commitments and Contingencies (Narrative) (Details) $ in Millions | Sep. 30, 2023 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Purchase obligations | $ 8.3 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive (Loss)/Income (Schedule of Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | $ (145.3) | $ (230.4) | $ (307.7) |
OCI before reclassifications | (9) | 83 | 60.4 |
Reclassifications to earnings | 16.6 | 2.1 | 16.9 |
Ending balance | (137.7) | (145.3) | (230.4) |
Foreign Currency Translation Adjustments (1)(2) | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (77.7) | (109.8) | (137.4) |
OCI before reclassifications | (11.8) | 23.3 | 27.6 |
Reclassifications to earnings | (0.2) | (8.8) | 0 |
Ending balance | (89.7) | (77.7) | (109.8) |
Pension Activity | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (140.5) | (134.4) | (163.5) |
OCI before reclassifications | (10.2) | (11.8) | 22 |
Reclassifications to earnings | 40.4 | (5.7) | 7.1 |
Ending balance | (110.3) | (140.5) | (134.4) |
Zinc contracts | Foreign Currency Contracts | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (4.6) | 3.6 | 3.4 |
OCI before reclassifications | 2.3 | (1) | 3.4 |
Reclassifications to earnings | 1.8 | 7.2 | (3.2) |
Ending balance | (0.5) | (4.6) | 3.6 |
Foreign Currency Contracts | Foreign Currency Contracts | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | 11.7 | 3.6 | (4.1) |
OCI before reclassifications | (4.1) | 15.2 | (0.2) |
Reclassifications to earnings | (5.5) | 7.1 | 7.9 |
Ending balance | 2.1 | 11.7 | 3.6 |
Interest Rate Swap | Foreign Currency Contracts | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | 65.8 | 6.6 | (6.1) |
OCI before reclassifications | 14.8 | 57.3 | 7.6 |
Reclassifications to earnings | (19.9) | (1.9) | 5.1 |
Ending balance | $ 60.7 | $ 65.8 | $ 6.6 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive (Loss)/Income (Reclassification out of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of products sold | $ (57.1) | $ (7.3) | $ 2.9 |
Interest expense | (168.7) | (158.4) | (161.8) |
Cost of products sold | 1,835.7 | 1,930.6 | 1,860.1 |
Earnings before income taxes | 175.7 | (305.5) | 154.2 |
Income tax provision / (benefit) | (35.2) | 74 | 6.7 |
Net earnings/(loss) | 140.5 | (231.5) | 160.9 |
Foreign Currency Contracts | Amount Reclassified from AOCI | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of products sold | (7.5) | (9.6) | 10.4 |
Interest expense | (26) | 2.5 | 6.7 |
Cost of products sold | 2.4 | (9.4) | (4.2) |
Earnings before income taxes | (31.1) | (16.5) | 12.9 |
Income tax provision / (benefit) | 7.5 | 4.1 | (3.1) |
Net earnings/(loss) | (23.6) | (12.4) | 9.8 |
Pension Activity | Amount Reclassified from AOCI | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Earnings before income taxes | 52.9 | 7.4 | 9.1 |
Income tax provision / (benefit) | (12.5) | (1.7) | (2) |
Net earnings/(loss) | 40.4 | 5.7 | 7.1 |
Actuarial losses | 2.7 | 7.2 | 8.9 |
Settlement losses on other plans | 50.2 | 0.2 | 0.2 |
Foreign Currency Translation Adjustments (1)(2) | Amount Reclassified from AOCI | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Total reclassifications for the period | $ 16.8 | $ (6.7) | $ 16.9 |
Supplemental Financial Statem_3
Supplemental Financial Statement Information (Supplemental Statement of Income Information) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Financial Statement Related Disclosures [Abstract] | ||||
Interest income | $ (8.9) | $ (1) | $ (0.7) | |
Foreign currency exchange loss | 17.3 | 7.8 | 5.5 | |
Pension expense other than service costs | 2.7 | (4.1) | (1.9) | |
Settlement loss on U.S. pension annuity buy out | 50.2 | 0 | 0 | |
Gain on finance lease termination | $ 0 | 0 | (4.5) | 0 |
Gain on sale of business | 0 | 0 | (3.3) | |
Other | (4.2) | 1.6 | (2.5) | |
Other items, net | 57.1 | 7.3 | (2.9) | |
Business exit charges | $ 0 | $ 7.5 | $ 0 |
Supplemental Financial Statem_4
Supplemental Financial Statement Information (Supplemental Balance Sheet Information) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Inventories | ||
Raw materials and supplies | $ 113.5 | $ 115.9 |
Work in process | 258.5 | 201.6 |
Finished products | 277.7 | 454.1 |
Total inventories | 649.7 | 771.6 |
Other Current Assets | ||
Miscellaneous receivables | 20.8 | 29.9 |
Prepaid expenses | 83.6 | 90.9 |
Value added tax collectible from customers | 30.6 | 27.7 |
Other | 37 | 42.9 |
Total other current assets | 172 | 191.4 |
Property, plant and equipment | ||
Land | 12.9 | 14.4 |
Buildings | 135.2 | 120.7 |
Machinery and equipment | 832.9 | 828.2 |
Construction in progress | 69.7 | 50.1 |
Finance leases | 39.2 | 39 |
Total gross property | 1,089.9 | 1,052.4 |
Accumulated depreciation | (726.2) | (690.3) |
Total property, plant and equipment, net | 363.7 | 362.1 |
Other Current Liabilities | ||
Accrued advertising, sales promotion and allowances | 12.9 | 13.4 |
Accrued trade promotions | 52.7 | 57.7 |
Accrued freight and warehousing | 35.1 | 37.2 |
Accrued salaries, vacations and incentive compensation | 57.9 | 60.6 |
Accrued interest expense | 20.5 | 20.5 |
Restructuring and related costs reserve | 17.1 | 1.7 |
Income taxes payable | 36.9 | 36.7 |
Other | 92.5 | 106.1 |
Total other current liabilities | 325.6 | 333.9 |
Other Liabilities | ||
Pensions and other retirement benefits | 55 | 49.3 |
Deferred compensation | 17.4 | 19.8 |
Mandatory transition tax | 12.8 | 16.7 |
Restructuring Reserve | 2.5 | 0 |
Other non-current liabilities | 47.8 | 52.3 |
Total other liabilities | $ 135.5 | $ 138.1 |
Supplemental Financial Statem_5
Supplemental Financial Statement Information (Schedule Of Allowance For Doubtful Accounts) (Details) - Allowance for Doubtful Accounts - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Allowance for Doubtful Accounts | |||
Balance at beginning of year | $ 2.9 | $ 2.9 | $ 2.8 |
Provision charged to expense, net of reversals | 1.9 | (0.4) | 1.2 |
Write-offs, less recoveries, translation, other | (0.2) | 0.4 | (1.1) |
Balance at end of year | $ 4.6 | $ 2.9 | $ 2.9 |
Supplemental Financial Statem_6
Supplemental Financial Statement Information (Summary of Income Tax Valuation Allowance) (Details) - Income Tax Valuation Allowance - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income Tax Valuation Allowance | |||
Balance at beginning of year | $ 11.6 | $ 15.1 | $ 13.1 |
Provision charged to expense, net of reversals | 0.6 | 2.3 | 1.8 |
Reversal of provision charged to expense | (6.4) | (3.8) | (2.1) |
Translation, other | 0.2 | (2) | 2.3 |
Balance at end of year | $ 6 | $ 11.6 | $ 15.1 |
Supplemental Financial Statem_7
Supplemental Financial Statement Information (Schedule of Cash Flow, Supplemental Disclosures) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Financial Statement Related Disclosures [Abstract] | |||
Interest paid | $ 159.6 | $ 142.6 | $ 172.7 |
Income taxes paid, net | $ 62.7 | $ 54.5 | $ 65 |
Environmental and Regulatory (D
Environmental and Regulatory (Details) $ in Millions | Sep. 30, 2023 USD ($) |
Environmental Remediation Obligations [Abstract] | |
Accrued environmental costs | $ 14 |
Environmental Loss Contingency, Statement of Financial Position [Extensible Enumeration] | Other non-current liabilities |
Accrued environmental costs expected to be spent within the next year | $ 3.9 |
Environmental Loss Contingency, Current, Statement of Financial Position [Extensible Enumeration] | Other current liabilities |