Cover Page
Cover Page - shares | 6 Months Ended | |
Mar. 31, 2023 | Apr. 28, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2023 | |
Document Transition Report | false | |
Entity File Number | 1-7463 | |
Entity Registrant Name | JACOBS SOLUTIONS INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 88-1121891 | |
Entity Address, Address Line One | 1999 Bryan Street | |
Entity Address, Address Line Two | Suite 3500 | |
Entity Address, City or Town | Dallas | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 75201 | |
City Area Code | 214 | |
Local Phone Number | 583 – 8500 | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | J | |
Security Exchange Name | NYSE | |
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 | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 126,850,000 | |
Entity Central Index Key | 0000052988 | |
Current Fiscal Year End Date | --09-30 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2023 | Sep. 30, 2022 |
Current Assets: | ||
Cash and cash equivalents | $ 1,223,331 | $ 1,140,479 |
Receivables and contract assets | 3,518,728 | 3,405,381 |
Prepaid expenses and other | 165,822 | 176,134 |
Total current assets | 4,907,881 | 4,721,994 |
Property, Equipment and Improvements, net | 367,217 | 346,676 |
Other Noncurrent Assets: | ||
Goodwill | 7,365,872 | 7,184,658 |
Intangibles, net | 1,379,879 | 1,394,052 |
Deferred income tax assets | 30,617 | 31,480 |
Operating lease right-of-use assets | 446,589 | 476,913 |
Miscellaneous | 504,576 | 504,646 |
Total other noncurrent assets | 9,727,533 | 9,591,749 |
Assets | 15,002,631 | 14,660,419 |
Current Liabilities: | ||
Current maturities of long-term debt | 51,735 | 50,415 |
Accounts payable | 967,832 | 966,792 |
Accrued liabilities | 1,316,415 | 1,441,762 |
Operating lease liability | 152,390 | 150,171 |
Contract liabilities | 723,054 | 641,705 |
Total current liabilities | 3,211,426 | 3,250,845 |
Long-term Debt | 3,402,471 | 3,357,256 |
Liabilities relating to defined benefit pension and retirement plans | 285,648 | 271,332 |
Deferred income tax liabilities | 302,046 | 269,077 |
Long-term operating lease liability | 586,805 | 607,447 |
Other deferred liabilities | 120,204 | 167,548 |
Commitments and Contingencies | ||
Redeemable Noncontrolling interests | 666,007 | 632,522 |
Capital stock: | ||
Preferred stock, $1 par value, authorized - 1,000,000 shares; issued and outstanding - none | 0 | 0 |
Common stock, $1 par value, authorized - 240,000,000 shares; issued and outstanding - 126,805,092 shares and 127,393,378 shares as of March 31, 2023 and September 30, 2022, respectively | 126,805 | 127,393 |
Additional paid-in capital | 2,697,523 | 2,682,009 |
Retained earnings | 4,393,351 | 4,225,784 |
Accumulated other comprehensive loss | (838,042) | (975,130) |
Total Jacobs stockholders’ equity | 6,379,637 | 6,060,056 |
Noncontrolling interests | 48,387 | 44,336 |
Total Group stockholders’ equity | 6,428,024 | 6,104,392 |
Total liabilities and equity | $ 15,002,631 | $ 14,660,419 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2023 | Sep. 30, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Preferred stock, outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, authorized (in shares) | 240,000,000 | 240,000,000 |
Common stock, issued (in shares) | 126,805,092 | 127,393,378 |
Common stock, outstanding (in shares) | 126,805,092 | 127,393,378 |
Consolidated Statements of Earn
Consolidated Statements of Earnings - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Income Statement [Abstract] | ||||
Revenues | $ 4,078,332 | $ 3,834,059 | $ 7,877,001 | $ 7,214,684 |
Direct cost of contracts | (3,188,038) | (2,963,649) | (6,171,994) | (5,547,800) |
Gross profit | 890,294 | 870,410 | 1,705,007 | 1,666,884 |
Selling, general and administrative expenses | (600,431) | (704,195) | (1,177,339) | (1,323,336) |
Operating Profit | 289,863 | 166,215 | 527,668 | 343,548 |
Other Income (Expense): | ||||
Interest income | 7,630 | 381 | 10,637 | 1,882 |
Interest expense | (40,613) | (21,995) | (80,690) | (41,421) |
Miscellaneous (expense) income, net | (4,567) | 10,681 | (7,820) | 20,362 |
Total other expense, net | (37,550) | (10,933) | (77,873) | (19,177) |
Earnings from Continuing Operations Before Taxes | 252,313 | 155,282 | 449,795 | 324,371 |
Income Tax Expense from Continuing Operations | (19,060) | (46,166) | (69,163) | (62,054) |
Net Earnings of the Group from Continuing Operations | 233,253 | 109,116 | 380,632 | 262,317 |
Net Loss of the Group from Discontinued Operations | (75) | (1) | (783) | (233) |
Net Earnings of the Group | 233,178 | 109,115 | 379,849 | 262,084 |
Net Earnings Attributable to Noncontrolling Interests from Continuing Operations | (7,803) | (10,261) | (14,834) | (19,514) |
Net Earnings Attributable to Redeemable Noncontrolling interests | (8,863) | (10,038) | (12,855) | (19,721) |
Net Earnings Attributable to Jacobs from Continuing Operations | 216,587 | 88,817 | 352,943 | 223,082 |
Net Earnings Attributable to Jacobs | $ 216,512 | $ 88,816 | $ 352,160 | $ 222,849 |
Net Earnings Per Share: | ||||
Basic Net Earnings from Continuing Operations Per Share (in dollars per share) | $ 1.71 | $ 0.69 | $ 2.78 | $ 1.72 |
Basic Net Loss from Discontinued Operations Per Share (in dollars per share) | 0 | 0 | (0.01) | 0 |
Basic Earnings Per Share (in dollars per share) | 1.71 | 0.69 | 2.78 | 1.72 |
Diluted Net Earnings from Continuing Operations Per Share (in dollars per share) | 1.70 | 0.68 | 2.77 | 1.71 |
Diluted Net Loss from Discontinued Operations Per Share (in dollars per share) | 0 | 0 | (0.01) | 0 |
Diluted Earnings Per Share (in dollars per share) | $ 1.70 | $ 0.68 | $ 2.76 | $ 1.71 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net Earnings of the Group | $ 233,178 | $ 109,115 | $ 379,849 | $ 262,084 |
Other Comprehensive Income: | ||||
Foreign currency translation adjustment | 21,951 | (45,827) | 187,285 | (54,512) |
Change in cash flow hedges | (19,811) | 46,491 | (29,955) | 55,346 |
Change in pension and retiree medical plan liabilities | 6 | 12,036 | (22,259) | 20,075 |
Other comprehensive income before taxes | 2,146 | 12,700 | 135,071 | 20,909 |
Income Tax Benefit (Expense): | ||||
Foreign currency translation adjustment | 968 | (400) | (5,641) | 2,590 |
Cash flow hedges | 5,047 | (12,290) | 8,317 | (15,235) |
Change in pension and retiree medical plan liabilities | (351) | (728) | (659) | (2,196) |
Income Tax Benefit (Expense): | 5,664 | (13,418) | 2,017 | (14,841) |
Net other comprehensive income (loss) | 7,810 | (718) | 137,088 | 6,068 |
Net Comprehensive Income of the Group | 240,988 | 108,397 | 516,937 | 268,152 |
Net Earnings Attributable to Noncontrolling Interests | (7,803) | (10,261) | (14,834) | (19,514) |
Net Earnings Attributable to Redeemable Noncontrolling interests | (8,863) | (10,038) | (12,855) | (19,721) |
Net Comprehensive Income Attributable to Jacobs | $ 224,322 | $ 88,098 | $ 489,248 | $ 228,917 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Total Jacobs Stockholders’ Equity | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests |
Beginning balance at Oct. 01, 2021 | $ 5,974,837 | $ 5,940,041 | $ 128,893 | $ 2,590,012 | $ 4,015,578 | $ (794,442) | $ 34,796 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings | 242,363 | 222,849 | 222,849 | 19,514 | |||
Foreign currency translation adjustments, net of deferred taxes | (51,922) | (51,922) | (51,922) | ||||
Pension liability, net of deferred taxes | 17,879 | 17,879 | 17,879 | ||||
Change in cash flow hedges, net of deferred taxes | 40,111 | 40,111 | 40,111 | ||||
Dividends | (29,994) | (29,994) | (29,994) | ||||
Redeemable Noncontrolling interests redemption value adjustment to Common Shareholders | (50,320) | (50,320) | (50,320) | ||||
Repurchase and issuance of redeemable noncontrolling interests | 7,761 | 7,761 | 7,761 | ||||
Noncontrolling interests - distributions and other | (9,778) | (9,778) | |||||
Stock based compensation | 25,161 | 25,161 | 25,161 | ||||
Issuances of equity securities including shares withheld for taxes | 5,880 | 5,880 | 744 | 17,040 | (11,904) | ||
Repurchases of equity securities | (50,000) | (50,000) | (737) | 35,043 | (84,306) | ||
Ending balance at Apr. 01, 2022 | 6,121,978 | 6,077,446 | 128,900 | 2,667,256 | 4,069,664 | (788,374) | 44,532 |
Beginning balance at Dec. 31, 2021 | 6,099,945 | 6,069,946 | 129,153 | 2,641,059 | 4,087,390 | (787,656) | 29,999 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings | 99,077 | 88,816 | 88,816 | 10,261 | |||
Foreign currency translation adjustments, net of deferred taxes | (46,227) | (46,227) | (46,227) | ||||
Pension liability, net of deferred taxes | 11,308 | 11,308 | 11,308 | ||||
Change in cash flow hedges, net of deferred taxes | 34,201 | 34,201 | 34,201 | ||||
Dividends | (29,871) | (29,871) | (29,871) | ||||
Redeemable Noncontrolling interests redemption value adjustment to Common Shareholders | (35,117) | (35,117) | (35,117) | ||||
Noncontrolling interests - distributions and other | (4,272) | ||||||
Stock based compensation | 18,147 | 18,147 | 18,147 | ||||
Issuances of equity securities including shares withheld for taxes | 16,243 | 16,243 | 142 | 16,134 | (33) | ||
Repurchases of equity securities | (50,000) | (50,000) | (395) | (8,084) | (41,521) | ||
Ending balance at Apr. 01, 2022 | 6,121,978 | 6,077,446 | 128,900 | 2,667,256 | 4,069,664 | (788,374) | 44,532 |
Beginning balance at Sep. 30, 2022 | 6,104,392 | 6,060,056 | 127,393 | 2,682,009 | 4,225,784 | (975,130) | 44,336 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings | 366,994 | 352,160 | 352,160 | 14,834 | |||
Foreign currency translation adjustments, net of deferred taxes | 181,644 | 181,644 | 181,644 | ||||
Pension liability, net of deferred taxes | (22,918) | (22,918) | (22,918) | ||||
Change in cash flow hedges, net of deferred taxes | (21,638) | (21,638) | (21,638) | ||||
Dividends | (33,438) | (33,438) | (33,438) | ||||
Redeemable Noncontrolling interests redemption value adjustment to Common Shareholders | (44,494) | (44,494) | (44,494) | ||||
Repurchase and issuance of redeemable noncontrolling interests | 11,337 | 11,337 | 11,337 | ||||
Noncontrolling interests - distributions and other | (10,783) | (10,783) | |||||
Stock based compensation | 35,285 | 35,285 | 35,285 | ||||
Issuances of equity securities including shares withheld for taxes | 2,165 | 2,165 | 650 | 6,286 | (4,771) | ||
Repurchases of equity securities | (140,522) | (140,522) | (1,238) | (26,057) | (113,227) | ||
Ending balance at Mar. 31, 2023 | 6,428,024 | 6,379,637 | 126,805 | 2,697,523 | 4,393,351 | (838,042) | 48,387 |
Beginning balance at Dec. 30, 2022 | 6,233,598 | 6,184,104 | 126,669 | 2,672,421 | 4,230,866 | (845,852) | 49,494 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings | 224,315 | 216,512 | 216,512 | 7,803 | |||
Foreign currency translation adjustments, net of deferred taxes | 22,919 | 22,919 | 22,919 | ||||
Pension liability, net of deferred taxes | (345) | (345) | (345) | ||||
Change in cash flow hedges, net of deferred taxes | (14,764) | (14,764) | (14,764) | ||||
Dividends | (32,564) | (32,564) | (32,564) | ||||
Redeemable Noncontrolling interests redemption value adjustment to Common Shareholders | (21,177) | (21,177) | (21,177) | ||||
Noncontrolling interests - distributions and other | (8,910) | (8,910) | |||||
Stock based compensation | 15,054 | 15,054 | 15,054 | ||||
Issuances of equity securities including shares withheld for taxes | 9,898 | 9,898 | 136 | 10,048 | (286) | ||
Ending balance at Mar. 31, 2023 | $ 6,428,024 | $ 6,379,637 | $ 126,805 | $ 2,697,523 | $ 4,393,351 | $ (838,042) | $ 48,387 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Statement of Stockholders' Equity [Abstract] | ||||
Foreign currency translation adjustment | $ (968) | $ 400 | $ 5,641 | $ (2,590) |
Pension and retiree medical plan liability, deferred taxes | 351 | 728 | 659 | 2,196 |
Derivative gains (losses), deferred tax expense (benefit) | $ (5,047) | $ 12,290 | $ (8,317) | $ 15,235 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 31, 2023 | Apr. 01, 2022 | |
Cash Flows from Operating Activities: | ||
Net earnings attributable to the Group | $ 379,849 | $ 262,084 |
Depreciation and amortization: | ||
Property, equipment and improvements | 55,686 | 52,620 |
Intangible assets | 100,247 | 95,338 |
Stock based compensation | 35,285 | 25,161 |
Equity in earnings of operating ventures, net of return on capital distributions | (2,931) | 13,280 |
Loss on disposals of assets, net | 828 | 421 |
Impairment of long-lived assets and equity method investment | 37,217 | 74,585 |
Deferred income taxes | 20,785 | 16,040 |
Changes in assets and liabilities, excluding the effects of businesses acquired: | ||
Receivables and contract assets, net of contract liabilities | 63,229 | (33,881) |
Prepaid expenses and other current assets | (9,940) | 15,916 |
Miscellaneous other assets | 43,472 | 67,201 |
Accounts payable | (15,109) | 18,448 |
Accrued liabilities | (228,857) | (119,982) |
Other deferred liabilities | (53,896) | (33,305) |
Other, net | 8,474 | (7,670) |
Net cash provided by operating activities | 434,339 | 446,256 |
Cash Flows from Investing Activities: | ||
Additions to property and equipment | (67,389) | (48,223) |
Disposals of property and equipment and other assets | 15 | 1,064 |
Capital contributions to equity investees, net of return of capital distributions | 8,384 | 1,082 |
Acquisitions of businesses, net of cash acquired | (17,685) | (412,748) |
Net cash used for investing activities | (76,675) | (458,825) |
Cash Flows from Financing Activities: | ||
Proceeds from long-term borrowings | 2,075,495 | 1,519,000 |
Repayments of long-term borrowings | (2,129,338) | (1,125,528) |
Repayments of short-term borrowings | 0 | (6,359) |
Debt issuance costs | (11,388) | 0 |
Proceeds from issuances of common stock | 25,374 | 28,187 |
Common stock repurchases | (140,522) | (50,000) |
Taxes paid on vested restricted stock | (23,209) | (28,398) |
Cash dividends to shareholders | (62,788) | (57,247) |
Net dividends associated with noncontrolling interests | (11,283) | (9,416) |
Repurchase of redeemable noncontrolling interests | (58,353) | (35,095) |
Net cash (used for) provided by financing activities | (336,012) | 235,144 |
Effect of Exchange Rate Changes | 49,761 | (12,792) |
Net Increase in Cash and Cash Equivalents and Restricted Cash | 71,413 | 209,783 |
Cash and Cash Equivalents, including Restricted Cash, at the Beginning of the Period | 1,154,207 | 1,026,575 |
Cash and Cash Equivalents, including Restricted Cash, at the End of the Period | $ 1,225,620 | $ 1,236,358 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation Unless the context otherwise requires: • References herein to “Jacobs” are to Jacobs Solutions Inc. and its predecessors; • References herein to the “Company”, “we”, “us” or “our” are to Jacobs Solutions Inc. and its consolidated subsidiaries; and • References herein to the “Group” are to the combined economic interests and activities of the Company and the persons and entities holding noncontrolling interests in our consolidated subsidiaries. On August 29, 2022, Jacobs Engineering Group Inc. ("JEGI"), the predecessor to Jacobs Solutions Inc., implemented a holding company structure, which resulted in Jacobs Solutions Inc. becoming the parent company of, and successor issuer to, JEGI (the "Holding Company Reorganization"). For purposes of this Quarterly Report, references to the "Company", "we", "us" or "our" or our management or business at any point prior to August 29, 2022 (the "Holding Company Implementation Date") refer to JEGI and its consolidated subsidiaries as the predecessor to Jacobs Solutions Inc. The accompanying consolidated financial statements and financial information included herein have been prepared pursuant to the interim period reporting requirements of Form 10-Q. Consequently, certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) have been condensed or omitted. Readers of this Quarterly Report on Form 10-Q should also read our consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the fiscal year ended September 30, 2022 (“2022 Form 10-K”). In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of our consolidated financial statements at March 31, 2023, and for the three and six months ended March 31, 2023. Our interim results of operations are not necessarily indicative of the results to be expected for the full fiscal year. As part of the new Company strategy, during the first quarter of fiscal year 2023, Jacobs formed a reporting and operating segment, Divergent Solutions ("DVS"), to further strengthen our ability to drive value for our clients. DVS supports both lines of business as the core foundation for developing and delivering innovative, next-generation cloud, cyber, data and digital technologies. For a further discussion of our segment information, please refer to Note 18- Segment Information . On February 4, 2022, the Company acquired StreetLight Data, Inc. ("StreetLight"). StreetLight is a pioneer of mobility analytics who uses its data and machine learning resources to shed light on mobility and enable users to solve complex transportation problems. The Company paid total base consideration of approximately $190.8 million in cash, and issued $0.9 million in equity and $5.2 million in in-the-money stock options to the former owners of StreetLight. The Company also paid off StreetLight's debt of approximately $1.0 million simultaneously with the consummation of the acquisition. The Company has recorded its final purchase price allocation associated with the acquisition, which is summarized in Note 15- Other Business Combinations. On November 19, 2021, Jacobs acquired all outstanding shares of common stock of BlackLynx, Inc. ("BlackLynx"), a provider of high-performance software, to complement Jacobs' portfolio of cyber, intelligence and digital solutions. The Company paid total base consideration of approximately $235.4 million in cash to the former owners of BlackLynx. In conjunction with the acquisition, the Company also paid off BlackLynx's debt of approximately $5.3 million simultaneously with the consummation of the acquisition. The Company has recorded its final purchase price allocation associated with the acquisition, which is summarized in Note 15- Other Business Combinations. On March 2, 2021, Jacobs completed the strategic investment of a 65% interest in PA Consulting Group Limited ("PA Consulting"), a UK-based leading innovation and transformation consulting firm. The total consideration paid by the Company was $1.7 billion, funded through cash on hand, proceeds from a new term loan and draws on the Company's existing revolving credit facility. The remaining 35% interest was acquired by PA Consulting employees, whose redeemable noncontrolling interests had a fair value of $582.4 million on the closing date, including subsequent purchase accounting adjustments. PA Consulting is accounted for as a consolidated subsidiary and as a separate operating segment. See Note 14- PA Consulting Business Combination for more discussion on the investment and Note 11- Borrowings for more discussion on the financing for the transaction. On April 26, 2019, Jacobs completed the sale of its Energy, Chemicals and Resources ("ECR") business to Worley Limited ("Worley"), a company incorporated in Australia, for a purchase price of $3.4 billion consisting of (i) $2.8 billion in cash plus (ii) 58.2 million ordinary shares of Worley, subject to adjustments for changes in working capital and certain other items (the “ECR sale”). As a result of the ECR sale, substantially all ECR-related assets and liabilities were sold (the "Disposal Group"). We determined that the Disposal Group should be reported as discontinued operations in accordance with ASC 210-05, Discontinued Operations |
Use of Estimates and Assumption
Use of Estimates and Assumptions | 6 Months Ended |
Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Use of Estimates and Assumptions | Use of Estimates and AssumptionsThe preparation of financial statements in conformity with U.S. GAAP requires us to employ estimates and make assumptions that affect the reported amounts of certain assets and liabilities, the revenues and expenses reported for the periods covered by the accompanying consolidated financial statements, and certain amounts disclosed in these Notes to the Consolidated Financial Statements. Although such estimates and assumptions are believed to be reasonable under the circumstances and are based on management’s most recent assessment of the underlying facts and circumstances utilizing the most current information available and past experience, actual results could differ significantly from those estimates and assumptions. Our estimates, judgments, and assumptions are evaluated periodically and adjusted accordingly. Please refer to Note 2- Significant Accounting Policies |
Fair Value and Fair Value Measu
Fair Value and Fair Value Measurements | 6 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value and Fair Value Measurements | Fair Value and Fair Value Measurements Certain amounts included in the accompanying consolidated financial statements are presented at fair value. Fair value is defined as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants as of the date fair value is determined (the “measurement date”). When determining fair value, we consider the principal or most advantageous market in which we would transact, and we consider only those assumptions we believe a typical market participant would consider when pricing an asset or liability. In measuring fair value, we use the following inputs in the order of priority indicated: Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Observable inputs other than quoted prices in active markets included in Level 1, such as (i) quoted prices for similar assets or liabilities; (ii) quoted prices in markets that have insufficient volume or infrequent transactions (e.g., less active markets); and (iii) model-driven valuations in which all significant inputs are observable or can be derived principally from, or corroborated with, observable market data for substantially the full term of the asset or liability. Level 3 - Unobservable inputs to the valuation methodology that are significant to the fair value measurement. Please refer to Note 2- Significant Accounting Policies of Notes to Consolidated Financial Statements included in our 2022 Form 10-K for a more complete discussion of the various items within the consolidated financial statements measured at fair value and the methods used to determine fair value. Please also refer to Note 17- Commitments and Contingencies and Derivative Financial Instruments for discussion regarding the Company's derivative instruments. The net carrying amounts of cash and cash equivalents, trade receivables and payables and short-term debt approximate fair value due to the short-term nature of these instruments. See Note 11- Borrowings for a discussion of the fair value of long-term debt. Fair value measurements relating to our business combinations and goodwill allocations related to our segment realignment are made primarily using Level 3 inputs including discounted cash flow techniques. Fair value for the identified intangible assets is generally estimated using inputs primarily for the income approach using the multiple period excess earnings method and the relief from royalties method. The significant assumptions used in estimating fair value |
Revenue Accounting for Contract
Revenue Accounting for Contracts | 6 Months Ended |
Mar. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Accounting for Contracts | Revenue Accounting for Contracts Disaggregation of Revenues Our revenues are principally derived from contracts to provide a diverse range of technical, professional, and construction services to a large number of industrial, commercial, and governmental clients. We provide a broad range of engineering, design, and architectural services; construction and construction management services; operations and maintenance services; and technical, digital, p rocess, scientific and systems consulting services. We provide our services through offices and subsidiaries located primarily in North America, Europe, the Middle East, India, Australia, Africa, and Asia. We provide our services under cost-reimbursable and fixed-price contracts. Our contracts are with many different customers in numerous industries. Refer to Note 18- Segment Information for additional information on how we disaggregate our revenues by reportable segment. The following table further disaggregates our revenue by geographic area for the three and six months ended March 31, 2023 and April 1, 2022 (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Revenues: United States $ 2,694,735 $ 2,499,737 $ 5,231,013 $ 4,648,289 Europe 931,093 937,864 1,785,666 1,804,216 Canada 61,887 67,152 123,716 132,192 Asia 35,641 36,533 70,463 68,620 India 46,829 28,844 87,173 50,992 Australia and New Zealand 170,069 181,650 331,109 359,302 Middle East and Africa 138,078 82,279 247,861 151,073 Total $ 4,078,332 $ 3,834,059 $ 7,877,001 $ 7,214,684 Contract Liabilities Contract liabilities represent amounts billed to clients in excess of revenue recognized to date. Revenue recognized for the three and six months ended March 31, 2023 that was previously included in the contract liability balance on September 30, 2022 was $82.7 million and $413.0 million, respectively. Revenue recognized for the three and six months ended April 1, 2022 that was included in the contract liability balance on October 1, 2021 was $79.6 million and $371.0 million, respectively. Remaining Performance Obligation The Company’s remaining performance obligations as of March 31, 2023 represent a measure of the total dollar value of work to be performed on contracts awarded and in progress. The Company had approximately $16.7 billion in remaining performance obligations as of March 31, 2023. The Company expects to recognize approximately 48% of our remaining performance obligations into revenue within the next twelve months and the remaining 52% thereafter. Although remaining performance obligations reflect business that is considered to be firm, cancellations, scope adjustments or deferrals may occur that impact their volume or the expected timing of their recognition. Remaining performance obligations are adjusted to reflect any known project cancellations, revisions to project scope and cost, foreign currency exchange fluctuations and project deferrals, as appropriate. |
Earnings Per Share and Certain
Earnings Per Share and Certain Related Information | 6 Months Ended |
Mar. 31, 2023 | |
Earnings Per Share Reconciliation [Abstract] | |
Earnings Per Share and Certain Related Information | Earnings Per Share and Certain Related Information Basic and diluted earnings per share (“EPS”) are computed using the two-class method, which is an earnings allocation method that determines EPS for common shares and participating securities. The undistributed earnings are allocated between common shares and participating securities as if all earnings had been distributed during the period. Participating securities and common shares have equal rights to undistributed earnings. Net earnings used for the purpose of determining basic and diluted EPS is determined by taking net earnings less earnings available to participating securities. The following table reconciles the denominator used to compute basic EPS to the denominator used to compute diluted EPS for the three and six months ended March 31, 2023 and April 1, 2022 (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Numerator for Basic and Diluted EPS: Net earnings from continuing operations allocated to common stock for EPS calculation $ 216,587 $ 88,817 $ 352,943 $ 223,082 Net loss from discontinued operations allocated to common stock for EPS calculation $ (75) $ (1) $ (783) $ (233) Net earnings allocated to common stock for EPS calculation $ 216,512 $ 88,816 $ 352,160 $ 222,849 Denominator for Basic and Diluted EPS: Shares used for calculating basic EPS attributable to common stock 126,886 129,333 126,855 129,337 Effect of dilutive securities: Stock compensation plans 473 640 573 796 Shares used for calculating diluted EPS attributable to common stock 127,359 129,973 127,428 130,133 Net Earnings Per Share: Basic Net Earnings from Continuing Operations Per Share $ 1.71 $ 0.69 $ 2.78 $ 1.72 Basic Net Loss from Discontinued Operations Per Share $ — $ — $ (0.01) $ — Basic Earnings Per Share $ 1.71 $ 0.69 $ 2.78 $ 1.72 Diluted Net Earnings from Continuing Operations Per Share $ 1.70 $ 0.68 $ 2.77 $ 1.71 Diluted Net Loss from Discontinued Operations Per Share $ — $ — $ (0.01) $ — Diluted Earnings Per Share $ 1.70 $ 0.68 $ 2.76 $ 1.71 Note: Per share amounts may not add due to rounding. Share Repurchases On January 16, 2020, the Company's Board of Directors authorized a share repurchase program of up to $1.0 billion of the Company's common stock (the "2020 Repurchase Authorization"). In the fourth quarter of fiscal 2021, the Company initiated an accelerated share repurchase program under the 2020 Repurchase Authorization by advancing $250 million to a financial institution in a privately negotiated transaction, with final non-cash settlement on the program during the first quarter of fiscal 2022 of 342,054 shares. The 2020 Repurchase Authorization expired on January 15, 2023. On January 25, 2023, the Company's Board of Directors authorized an incremental share repurchase program of up to $1.0 billion of the Company's common stock, to expire on January 25, 2026 (the "2023 Repurchase Authorization"). No repurchase activity has taken place under the 2023 Share Repurchase Authorization to date. Subsequent to the expiration of the 2020 Repurchase Authorization and the approval of the 2023 Repurchase Authorization, the Company has $1.0 billion remaining under the 2023 Repurchase Authorization. The following table summarizes the activity under the 2020 Repurchase Authorization through the second fiscal quarter of 2023: Amount Authorized Average Price Per Share (1) Total Shares Retired Shares Repurchased $1,000,000,000 $113.56 1,237,688 1,237,688 (1) Includes commissions paid and calculated at the average price per share Our share repurchase program does not obligate the Company to purchase any shares. Share repurchases may be executed through various means including, without limitation, accelerated share repurchases, open market transactions, privately negotiated transactions, purchases pursuant to Rule 10b5-1 plans or otherwise. The authorization for the share repurchase programs may be terminated, increased or decreased by the Company’s Board of Directors in its discretion at any time. The timing, amount and manner of share repurchases may depend upon market conditions and economic circumstances, availability of investment opportunities, the availability and costs of financing, currency fluctuations, the market price of the Company's common stock, other uses of capital and other factors. Dividends On April 27, 2023, the Company’s Board of Directors declared a quarterly dividend of $0.26 per share of the Company’s common stock to be paid on June 23, 2023, to shareholders of record on the close of business on May 26, 2023. Future dividend declarations are subject to review and approval by the Company’s Board of Directors. Dividends paid through the second fiscal quarter of 2023 and the preceding fiscal year are as follows: Declaration Date Record Date Payment Date Cash Amount (per share) January 25, 2023 February 24, 2023 March 24, 2023 $0.26 September 15, 2022 September 30, 2022 October 28, 2022 $0.23 July 13, 2022 July 29, 2022 August 26, 2022 $0.23 April 28, 2022 May 27, 2022 June 24, 2022 $0.23 January 26, 2022 February 25, 2022 March 25, 2022 $0.23 September 23, 2021 October 15, 2021 October 29, 2021 $0.21 |
Goodwill and Intangibles
Goodwill and Intangibles | 6 Months Ended |
Mar. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangibles | Goodwill and IntangiblesAs a result of the formation of our new Divergent Solutions operating segment beginning in the first quarter of fiscal 2023, the historical carrying value of a portion of goodwill has been reallocated to this segment based on a relative fair value basis. The carrying value of goodwill appearing in the accompanying Consolidated Balance Sheets at March 31, 2023 and September 30, 2022 was as follows (in thousands): Critical Mission Solutions People & Places Solutions Divergent Solutions PA Consulting Total Balance September 30, 2022 $ 2,251,724 $ 3,196,796 $ 576,986 $ 1,159,152 $ 7,184,658 Acquired — — — 11,956 11,956 Post-Acquisition Adjustments — (138) — 877 739 Foreign currency translation and other (4,445) 15,927 19,334 137,703 168,519 Balance March 31, 2023 $ 2,247,279 $ 3,212,585 $ 596,320 $ 1,309,688 $ 7,365,872 The following table provides certain information related to the Company’s acquired intangibles in the accompanying Consolidated Balance Sheets at March 31, 2023 and September 30, 2022 (in thousands): Customer Relationships, Contracts and Backlog Developed Technology Trade Names Total Balances September 30, 2022 $ 1,136,438 $ 88,931 $ 168,683 $ 1,394,052 Amortization (46,116) (7,672) (46,459) (100,247) Acquired 5,537 — — 5,537 Post-Acquisition Adjustments (1,409) — — (1,409) Foreign currency translation and other 63,308 496 18,142 81,946 Balances March 31, 2023 $ 1,157,758 $ 81,755 $ 140,366 $ 1,379,879 The following table presents estimated amortization expense of intangible assets for the remainder of fiscal 2023 and for the succeeding years. Fiscal Year (in millions) 2023 $ 102.4 2024 203.9 2025 203.5 2026 180.5 2027 149.2 Thereafter 540.4 Total $ 1,379.9 |
Receivables and Contract Assets
Receivables and Contract Assets | 6 Months Ended |
Mar. 31, 2023 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Receivables and Contract Assets | Receivables and Contract Assets The following table presents the components of receivables and contract assets appearing in the accompanying Consolidated Balance Sheets at March 31, 2023 and September 30, 2022, as well as certain other related information (in thousands): March 31, 2023 September 30, 2022 Components of receivables and contract assets: Amounts billed, net $ 1,447,872 $ 1,400,088 Unbilled receivables and other 1,466,892 1,523,249 Contract assets 603,964 482,044 Total receivables and contract assets, net $ 3,518,728 $ 3,405,381 Other information about receivables: Amounts due from the United States federal government, included above, net of contract liabilities $ 780,846 $ 749,323 Amounts billed, net consist of amounts invoiced to clients in accordance with the terms of our client contracts and are shown net of an allowance for doubtful accounts. We anticipate that substantially all of such billed amounts will be collected over the next twelve months. Unbilled receivables and other, which represent an unconditional right to payment subject only to the passage of time, are reclassified to amounts billed when they are billed under the terms of the contract. We anticipate that substantially all of such unbilled amounts will be billed and collected over the next twelve months. Contract assets represent unbilled amounts where the right to payment is subject to more than merely the passage of time and includes performance-based incentives and services that have been provided in advance of agreed contractual milestones. Contract assets are transferred to unbilled receivables when the right to consideration becomes unconditional and are transferred to amounts billed upon invoicing. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 6 Months Ended |
Mar. 31, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income | Accumulated Other Comprehensive Income The following table presents the Company's roll forward of accumulated other comprehensive income (loss) after-tax as of March 31, 2023 (in thousands): Change in Net Pension Obligation Foreign Currency Translation Adjustment (1) Gain/(Loss) on Cash Flow Hedges (2) Total Balance at September 30, 2022 $ (307,395) $ (786,040) $ 118,305 $ (975,130) Other comprehensive (loss) income (22,918) 181,644 (9,907) 148,819 Reclassifications from accumulated other comprehensive income (loss) — — (11,731) (11,731) Balance at March 31, 2023 $ (330,313) $ (604,396) $ 96,667 $ (838,042) ( 1) Included in the overall foreign currency translation adjustment for the six months ended March 31, 2023 and April 1, 2022 are $(87.2) million and $38.3 million, respectively in unreali zed gains (losses) on long-term foreign currency denominated intercompany loans not anticipated to be settled in the foreseeable future. (2) Included in the Company’s cumulative net unrealized gains from interest rate and cross currency swaps recorded in accumulated other comprehensive income as of March 31, 2023 were approximately $19.6 million in unrealized gains, net of taxes, which are expected to be realized in earnings during the twelve months subsequent to March 31, 2023. |
Income Taxes
Income Taxes | 6 Months Ended |
Mar. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company’s effective tax rates from continuing operations for the three months ended March 31, 2023 and April 1, 2022 were 7.6% and 29.7%, respectively. The most significant items contributing to the difference between the statutory U.S. federal corporate tax rate of 21.0% and the Company’s effective tax rate for the three months ended March 31, 2023 were a tax benefit of $40.2 million related to uncertain tax positions (“UTPs”) in the United States that were effectively settled, of which $30.8 million relates to positions carried forward from the acquisition of CH2M Hill Companies Ltd. that was completed in 2018, as well as a tax benefit of $8.6 million for the release of previously valued foreign tax credits. These benefits were partly offset by U.S. state income tax expense of $5.9 million and U.S. tax on foreign earnings of $4.6 million. These expense items are expected to have a continuing impact on the Company’s effective tax rate for the remainder of the fiscal year. The most significant items contributing to the difference between the statutory U.S. federal corporate tax rate of 21.0% and the Company's effective tax rate for the three months ended April 1, 2022 were U.S. state income tax expense of $5.8 million, discrete foreign tax items of $5.2 million, none of which are individually significant, and U.S tax on foreign earnings of $1.3 million. The Company's effective tax rates from continuing operations for the six months ended March 31, 2023 and April 1, 2022 were 15.4% and 19.1%, respectively. The most significant items contributing to the difference between the statutory U.S. federal corporate tax rate of 21.0% and the Company’s effective tax rate for the six months ended March 31, 2023 were net tax benefits of $39.0 million mostly related to UTPs mentioned above and a tax benefit of $8.6 million for the release of previously valued foreign tax credits, partly offset by U.S. state income tax expense of $10.5 million and U.S. tax on foreign earnings of $8.2 million. The most significant items contributing to the difference between the statutory U.S. federal corporate tax rate of 21.0% and the Company's effective tax rate for the six months ended April 1, 2022 were a net tax benefit of $12.6 million from the change in valuation allowances for previously valued foreign tax credits and India’s minimum alternate tax credit and a tax benefit of $4.9 million related to filing amended state returns, partly offset by U.S. state income tax expense of $8.9 million and U.S. tax on foreign earnings of $4.0 million. The amount of income taxes the Company pays is subject to ongoing audits by tax jurisdictions around the world. In the normal course of business, the Company i s subject to examination by tax authorities throughout the world, including such major jurisdictions as Australia, Canada, India, the Netherlands, the United Kingdom and the United States. Our estimate of the potential outcome of any uncertain tax issue is subject to our assessment of the relevant risks, facts, and circumstances existing at the time. The Company believes that it has adequately provided for reasonably foreseeable outcomes related to these matters. However, future results may include favorable or unfavorable adjustments to our estimated tax liabilities in the period the assessments are made or resolved, which may impact our effective tax rate. |
Joint Ventures, VIEs and Other
Joint Ventures, VIEs and Other Investments | 6 Months Ended |
Mar. 31, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Joint Ventures, VIEs and Other Investments | Joint Ventures, VIEs and Other Investments For the Company's consolidated variable interest entities ("VIE") joint ventures, the carrying value of assets and liabilities was $362.6 million and $223.7 million, respectively, as of March 31, 2023 and $353.9 million and $228.1 million, respectively, as of September 30, 2022. There are no consolidated VIEs that have debt or credit facilities. For the Company's proportionate consolidated VIEs, the carrying value of assets and liabilities was $123.5 million and $139.8 million, respectively, as of March 31, 2023, and $109.3 million and $129.2 million, respectively, as of September 30, 2022. Our investments in equity method joint ventures on the Consolidated Balance Sheets (reported in Other Noncurrent Assets: Miscellaneous) as of March 31, 2023 and September 30, 2022 were $54.3 million and $56.6 million, respectively. Additionally, income from equity method joint ventures (reported in Revenue) was $7.5 million and $12.5 million, respectively, during the three months ended March 31, 2023 and April 1, 2022, with $17.5 million and $19.3 million, respectively, reporting in the corresponding six month periods. As of March 31, 2023, the Company does not have any material equity method investments that exceed its share of venture net assets. |
Borrowings
Borrowings | 6 Months Ended |
Mar. 31, 2023 | |
Debt Disclosure [Abstract] | |
Borrowings | Borrowings At March 31, 2023 and September 30, 2022, long-term debt consisted of the following (principal amounts in thousands): Interest Rate Maturity March 31, 2023 September 30, 2022 Revolving Credit Facility Benchmark + applicable margin (1) (2) February 2028 $ 1,077,794 $ 1,105,294 2021 Term Loan Facility - US Portion Benchmark + applicable margin (1) (3) February 2026 200,000 200,000 2021 Term Loan Facility - GBP Portion Benchmark + applicable margin (3) September 2025 802,295 723,580 2020 Term Loan Facility Benchmark + applicable margin (1) (4) March 2025 (7) 882,789 882,263 Fixed-rate notes due: Bonds, Sustainability-Linked 5.9% (5) March 2033 500,000 — Senior Notes, Series A 4.27% May 2025 (6) — 190,000 Senior Notes, Series B 4.42% May 2028 (6) — 180,000 Senior Notes, Series C 4.52% May 2030 (6) — 130,000 Less: Current Portion (7) (51,735) (50,415) Less: Deferred Financing Fees (8,672) (3,466) Total Long-term debt, net $ 3,402,471 $ 3,357,256 (1) During the second quarter of fiscal 2023, the aggregate principal amounts denominated in U.S. dollars under the Revolving Credit Facility, the 2021 Term loan facility and the 2020 Term Loan Facility (each as defined below) transitioned from underlying LIBOR benchmarked rates to the Term Secured Overnight Financing Rate ("SOFR"). During fiscal 2022, the aggregate principal amounts denominated in British pounds under the Revolving Credit Facility, 2021 Term Loan Facility and 2020 Term Loan Facility transitioned from underlying LIBOR benchmarked rates to Sterling Overnight Index Average ("SONIA") rates. (2) Depending on the Company’s Consolidated Leverage Ratio or Debt Rating (each as defined in the credit agreement governing the Revolving Credit Facility), U.S. dollar denominated borrowings under the Revolving Credit Facility bear interest at either a SOFR rate plus a margin of between 0.975% and 1.725% or a base rate plus a margin of between 0% and 0.625%. The applicable SOFR rates, or LIBOR rate for the prior fiscal year end, including applicable margins at March 31, 2023 and September 30, 2022 were approximately 6.24% and 4.08%. Borrowings denominated in British pounds bear interest at an adjusted SONIA rate plus a margin of between 0.908% and 1.658%. There were no amounts drawn in British pounds as of March 31, 2023. (3) Depending on the Company’s Consolidated Leverage Ratio or Debt Rating (each as defined in the credit agreement governing the 2021 Term Loan Facility), U.S. dollar denominated borrowings under the 2021 Term Loan Facility bear interest at either a SOFR rate plus a margin of between 0.975% and 1.725% or a base rate plus a margin of between 0% and 0.625%. The applicable SOFR, or LIBOR rate for the prior fiscal year end, including applicable margins for borrowings denominated in U.S. dollars at March 31, 2023 and September 30, 2022 was approximately 6.23% and 4.06%. Borrowings denominated in British pounds bear interest at an adjusted SONIA rate plus a margin of between 0.908% and 1.658%, which was approximately 5.58% and 3.60% at March 31, 2023 and September 30, 2022, respectively. (4) Depending on the Company’s Consolidated Leverage Ratio or Debt Rating (each as defined in the credit agreement governing the 2020 Term Loan Facility), U.S. dollar denominated borrowings under the 2020 Term Loan Facility bear interest at either a SOFR rate plus a margin of between 0.975% and 1.725% or a base rate plus a margin of between 0% and 0.625%. The applicable SOFR, or LIBOR rate for the prior fiscal year end, including applicable margins for borrowings denominated in U.S. dollars at March 31, 2023 and September 30, 2022 were approximately 6.28% and 4.49%. Borrowings denominated in British pounds bear interest at an adjusted SONIA rate plus a margin of between 0.908% and 1.658%, which was approximately 5.58% and 3.60% at March 31, 2023 and September 30, 2022, respectively. (5) From and including September 1, 2028 (the “First Step Up Date”), the interest rate payable on the Bonds (as defined below) will be increased by an additional 12.5 basis points to 6.025% per annum (the “First Step Up Interest Rate”) unless the Company notifies the Trustee (as defined below) on or before the date that is 15 days prior to the First Step Up Date that the Percentage of Gender Diversity Performance Target (as defined in the First Supplemental Indenture (as defined below)) has been satisfied and receives a related assurance letter verifying such compliance. From and including September 1, 2030 (the “Second Step Up Date”) the interest rate payable on the Bonds will be increased by 12.5 basis points to (x) 6.150% per annum if the First Step Up Interest Rate was in effect immediately prior to the Second Step Up Date or (y) 6.025% per annum if the initial interest rate was in effect immediately prior to the Second Step Up Date, unless the Company notifies the Trustee on or before the date that is 15 days prior to the Second Step Up Date that the GHG Emissions Performance Target (as defined in the First Supplemental Indenture) has been satisfied and receives a related assurance letter verifying such compliance. (6) All amounts due under the Note Purchase Agreement pursuant to which the Senior Notes (each as defined below) were issued were repaid in the first fiscal quarter of 2023. (7) The 2020 Term Loan requires quarterly principal repayments of 1.25%, or $9.125 million and £3.125 million, of the aggregate initial principal amount borrowed. Revolving Credit Facility and Term Loans On February 7, 2014, Jacobs and certain of its subsidiaries entered into a $1.6 billion long-term unsecured, revolving credit facility (as amended, the “2014 Revolving Credit Facility”) with a syndicate of U.S. and international banks and financial institutions. On March 27, 2019, the Company entered into a second amended and restated credit agreement (the "Revolving Credit Facility"), which amended and restated the 2014 Revolving Credit Facility by, among other things, (a) extending the maturity date of the credit facility to March 27, 2024, (b) increasing the facility amount to $2.25 billion (with an accordion feature that allows a further increase of the facility amount up to $3.25 billion), (c) eliminating the covenants restricting investments, joint ventures and acquisitions by the Company and its subsidiaries and (d) adjusting the financial covenants to eliminate the net worth covenant upon the removal of the same covenant from the Company’s existing Note Purchase Agreement (defined below). On February 6, 2023, the Company amended and restated the Revolving Credit Facility to, among other things: (a) extend the maturity date to February 6, 2028, (b) replace and adjust interest rates based on market conditions and incorporate a sustainability-linked pricing adjustment, (c) increase the Consolidated Leverage Ratio financial covenant to 3.50:1.00 (subject to temporary increases to 4.00:1.00 following the closing of certain material acquisitions), (d) eliminate the net worth financial covenant, and (e) add Jacobs Solutions Inc. as a guarantor of the obligations of JEGI and its subsidiaries under the Revolving Credit Facility. The Revolving Credit Facility permits the Company to borrow in U.S. dollars, certain specified foreign currencies, and any other currency that may be approved in accordance with the terms of the Revolving Credit Facility. The Revolving Credit Facility also provides for a financial letter of credit sub facility of $400.0 million, permits performance letters of credit, and provides for a $100.0 million sub facility for swing line loans. Letters of credit are subject to fees based on the Company’s Consolidated Leverage Ratio and Debt Rating, whichever is more favorable to the Company. The Company pays a facility fee of between 0.10% and 0.25% per annum depending on the Company’s Consolidated Leverage Ratio and Debt Rating. On January 20, 2021, the Company entered into an unsecured delayed draw term loan facility (the “2021 Term Loan Facility”) with a syndicate of financial institutions as lenders. Under the 2021 Term Loan Facility, the Company borrowed an aggregate principal amount of $200.0 million and £650.0 million. The proceeds of the term loans were used primarily to fund the Company's investment in PA Consulting. The 2021 Term Loan Facility contains affirmative and negative covenants and events of default customary for financings of this type that are consistent with those included in the Revolving Credit Facility and the 2020 Term Loan Facility. On February 6, 2023, the Company amended and restated the 2021 Term Loan Facility to, among other things: (a) extend the maturity date of the U.S. dollar term loan to February 6, 2026 and the British sterling term loan to September 1, 2025, (b) replace and adjust interest rates based on market conditions and incorporate a sustainability-linked pricing adjustment, (c) increase the Consolidated Leverage Ratio financial covenant to 3.50:1.00 (subject to temporary increases to 4.00:1.00 following the closing of certain material acquisitions), (d) eliminate the net worth financial covenant, and (e) add Jacobs as a guarantor of the obligations of JEGI under the 2021 Term Loan Facility. On March 25, 2020, the Company entered into an unsecured term loan facility (the “2020 Term Loan Facility”) with a syndicate of financial institutions as lenders. Under the 2020 Term Loan Facility, the Company borrowed an aggregate principal amount of $730.0 million and one of the Company's U.K. subsidiaries borrowed an aggregate principal amount of £250.0 million. The proceeds of the term loans were used to repay an existing term loan with a maturity date of June 2020 and for general corporate purposes. The 2020 Term Loan Facility contains affirmative and negative covenants and events of default customary for financings of this type that are consistent with those included in the Revolving Credit Facility. On February 6, 2023, the Company amended the 2020 Term Loan Facility to, among other things: (a) replace and adjust interest rates based on market conditions and incorporate a sustainability-linked pricing adjustment, (b) increase the Consolidated Leverage Ratio financial covenant to 3.50:1.00 (subject to temporary increases to 4.00:1.00 following the closing of certain material acquisitions), (c) eliminate the net worth financial covenant, and (d) add Jacobs as a guarantor of the obligations of JEGI and Jacobs U.K. The 2020 Term Loan Facility and the 2021 Term Loan Facility are together referred to as the "Term Loan Facilities". In the fourth quarter of fiscal year 2022, the Revolving Credit Facility and Term Loan Facilities were amended to permit the Holding Company Reorganization. We were in compliance with the covenants under the Revolving Credit Facility and Term Loan Facilities at March 31, 2023. Bonds, Sustainability-Linked On February 16, 2023, JEGI completed an offering of $500 million aggregate principal amount of Sustainability-Linked Senior Notes due 2033 (the “Bonds”). The Bonds are fully and unconditionally guaranteed by the Company (the “Guarantee”). The Bonds and the Guarantee were offered pursuant to a prospectus supplement, dated February 13, 2023, to the prospectus dated February 6, 2023, that forms a part of the Company's and JEGI’s automatic shelf registration statement on Form S-3ASR previously filed with the Securities and Exchange Commission, and were issued pursuant to an Indenture, dated as of February 16, 2023, between JEGI, as issuer, the Company, as guarantor, and U.S. Bank Trust Company, National Association, as trustee (the “Trustee”), as amended and supplemented by the First Supplemental Indenture, dated as of February 16, 2023 (the “First Supplemental Indenture”). Interest on the Bonds is payable semi-annually in arrears on each March 1 and September 1, commencing on September 1, 2023, until maturity. The Bonds bear interest at 5.9% per annum, subject to adjustments, as discussed in note (5) to the table above. Prior to December 1, 2032 (the “Par Call Date”), JEGI may redeem the Bonds at its option, in whole or in part, at any time and from time to time, at the redemption price calculated by JEGI (expressed as a percentage of principal amount and rounded to three decimal places) equal to the greater of: (1) (a) the sum of the present values of the remaining scheduled payments of principal and interest on the Bonds being redeemed, assuming that such Bonds matured on the Par Call Date, discounted to the redemption date on a semiannual basis (assuming a 360-day year of twelve 30-day months), at the Treasury Rate (as defined in the First Supplemental Indenture) plus 35 basis points, less (b) interest accrued to the redemption date, and (2) 100% of the principal amount of such Bonds to be redeemed, plus, in either case, accrued and unpaid interest on the Bonds, if any, to, but excluding, the redemption date. At any time and from time to time on or after the Par Call Date, JEGI may redeem the Bonds, at its option, in whole or in part, at a redemption price equal to 100% of the principal amount of the Bonds to be redeemed, plus accrued and unpaid interest thereon, if any, up to, but excluding, the redemption date. Senior Notes, Series A, B and C On March 12, 2018, the Company entered into a note purchase agreement (as amended, the "Note Purchase Agreement") with respect to the issuance and sale in a private placement transaction o f $500 million in the aggregate principal amount of the Company’s senior notes in three series (collectively, “Senior Notes”). In connection with the Holding Company Reorganization, which was completed in August 2022, the Company launched an offer to repurchase its outstanding Senior Notes at par plus accrued and unpaid interest, and without any make-whole premium. In fiscal first quarter 2023, the Company repurchased $481 million of Senior Notes held by holders who accepted the offer with proceeds from the Revolving Credit Facility. In December 2022, the Company repurchased the remaining $19 million of Senior Notes. We believe the carrying value of the Revolving Credit Facility, the Term Loan Facilities and other debt outstanding approximates fair value based on the interest rates and scheduled maturities applicable to the outstanding borrowings. The fair value of the Bonds is estimated to be $497.1 million at March 31, 2023, based on Level 2 inputs. The fair value is determined by discounting future cash flows using interest rates available for issuances with similar terms and average maturities. Other arrangements During fiscal 2022, the Company entered into two treasury lock agreements with an aggregate notional value of $500.0 million to manage its expected interest rate exposure in anticipation of issuing up to $500 million of fixed rate debt. On February 13, 2023 and with the issuance of the Bonds, the Company settled these treasury lock agreements. See Note 17- Commitments and Contingencies and Derivative Financial Instruments for more discussion around this transaction. During fiscal 2020, the Company entered into interest rate and cross currency derivative contracts to swap a portion of our variable rate debt to fixed rate debt. See Note 17- Commitments and Contingencies and Derivative Financial Instruments for discussion regarding the Company's derivative instruments. The Company has issued $1.3 million in letters of credit under the Revolving Credit Facility, leaving $1.17 billion of available borrowing capacity under the Revolving Credit Facility at March 31, 2023. In addition, the Company had issued $321.1 million under separate, committed and uncommitted letter-of-credit facilities for total issued letters of credit of $322.4 million at March 31, 2023. |
Leases
Leases | 6 Months Ended |
Mar. 31, 2023 | |
Leases [Abstract] | |
Leases | Leases The components of lease expense (reflected in selling, general and administrative expenses) for th e three and six months ended March 31, 2023 and April 1, 2022 were as follows (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Lease expense Operating lease expense $ 35,539 $ 37,213 $ 70,821 $ 77,751 Variable lease expense 9,416 8,854 18,762 15,939 Sublease income (4,414) (3,922) (8,820) (7,590) Total lease expense $ 40,541 $ 42,145 $ 80,763 $ 86,100 Supplemental information related to the Company's leases for the six months ended March 31, 2023 and April 1, 2022 was as follows (in thousands): Six Months Ended March 31, 2023 April 1, 2022 Cash paid for amounts included in the measurements of lease liabilities $ 92,142 $ 119,031 Right-of-use assets obtained in exchange for new operating lease liabilities $ 42,150 $ 27,838 Weighted average remaining lease term - operating leases 6.1 years 6.6 years Weighted average discount rate - operating leases 3.0% 2.7% Total remaining lease payments under the Company's leases for the remainder of fiscal 2023 and for the succeeding years is as follows (in thousands): Fiscal Year Operating Leases 2023 $ 88,355 2024 161,867 2025 135,506 2026 113,639 2027 92,933 Thereafter 220,982 813,282 Less Interest (74,087) $ 739,195 Right-of-Use and Other Long-Lived Asset Impairment During the fiscal first quarter of 2023 and 2022, as a result of the Company's transformation initiatives, including the changing nature of the Company's use of office space for its workforce, the Company evaluated its existing real estate lease portfolio. These initiatives resulted in the abandonment of certain leased office spaces and the establishment of a formal plan to sublease certain other leased spaces that will no longer be utilized by the Company. In connection with the Company’s actions related to these initiatives, the Company evaluated certain of its lease right-of-use assets and related property, equipment and leasehold improvements for impairment under ASC 360. As a result of the analysis, the Company recognized impairment losses during the three and six months ended March 31, 2023 of $10.1 million and $37.2 million, respectively, compared to $2.3 million and $74.6 million from the corresponding periods last year, which are included in selling, general and administrative expenses in the accompanying statement of earnings. The impairment losses recorded include $32.4 million and $56.6 million related to right-of-use lease assets and $4.8 million and $18.0 million related to other long-lived assets, including property, equipment and improvements and leasehold improvements for the fiscal 2023 and 2022 periods, respectively. The fair values for the asset groups relating to the impaired long-lived assets were estimated primarily using discounted cash flow models (income approach) with Level 3 inputs. The significant assumptions used in estimating fair value include the expected downtime prior to the commencement of future subleases, projected sublease income over the remaining lease periods and discount rates that reflect the level of risk associated with receiving future cash flows. |
Leases | Leases The components of lease expense (reflected in selling, general and administrative expenses) for th e three and six months ended March 31, 2023 and April 1, 2022 were as follows (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Lease expense Operating lease expense $ 35,539 $ 37,213 $ 70,821 $ 77,751 Variable lease expense 9,416 8,854 18,762 15,939 Sublease income (4,414) (3,922) (8,820) (7,590) Total lease expense $ 40,541 $ 42,145 $ 80,763 $ 86,100 Supplemental information related to the Company's leases for the six months ended March 31, 2023 and April 1, 2022 was as follows (in thousands): Six Months Ended March 31, 2023 April 1, 2022 Cash paid for amounts included in the measurements of lease liabilities $ 92,142 $ 119,031 Right-of-use assets obtained in exchange for new operating lease liabilities $ 42,150 $ 27,838 Weighted average remaining lease term - operating leases 6.1 years 6.6 years Weighted average discount rate - operating leases 3.0% 2.7% Total remaining lease payments under the Company's leases for the remainder of fiscal 2023 and for the succeeding years is as follows (in thousands): Fiscal Year Operating Leases 2023 $ 88,355 2024 161,867 2025 135,506 2026 113,639 2027 92,933 Thereafter 220,982 813,282 Less Interest (74,087) $ 739,195 Right-of-Use and Other Long-Lived Asset Impairment During the fiscal first quarter of 2023 and 2022, as a result of the Company's transformation initiatives, including the changing nature of the Company's use of office space for its workforce, the Company evaluated its existing real estate lease portfolio. These initiatives resulted in the abandonment of certain leased office spaces and the establishment of a formal plan to sublease certain other leased spaces that will no longer be utilized by the Company. In connection with the Company’s actions related to these initiatives, the Company evaluated certain of its lease right-of-use assets and related property, equipment and leasehold improvements for impairment under ASC 360. As a result of the analysis, the Company recognized impairment losses during the three and six months ended March 31, 2023 of $10.1 million and $37.2 million, respectively, compared to $2.3 million and $74.6 million from the corresponding periods last year, which are included in selling, general and administrative expenses in the accompanying statement of earnings. The impairment losses recorded include $32.4 million and $56.6 million related to right-of-use lease assets and $4.8 million and $18.0 million related to other long-lived assets, including property, equipment and improvements and leasehold improvements for the fiscal 2023 and 2022 periods, respectively. The fair values for the asset groups relating to the impaired long-lived assets were estimated primarily using discounted cash flow models (income approach) with Level 3 inputs. The significant assumptions used in estimating fair value include the expected downtime prior to the commencement of future subleases, projected sublease income over the remaining lease periods and discount rates that reflect the level of risk associated with receiving future cash flows. |
Pension and Other Postretiremen
Pension and Other Postretirement Benefit Plans | 6 Months Ended |
Mar. 31, 2023 | |
Retirement Benefits [Abstract] | |
Pension and Other Postretirement Benefit Plans | Pension and Other Postretirement Benefit Plans The following table presents the components of net periodic pension benefit recognized in earnings during the three and six months ended March 31, 2023 and April 1, 2022 (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Component: Service cost $ 1,748 $ 1,709 $ 3,496 $ 3,418 Interest cost 20,233 13,784 40,466 27,568 Expected return on plan assets (21,091) (23,263) (42,182) (46,526) Amortization of previously unrecognized items 1,304 3,092 2,608 6,184 Total net periodic pension benefit cost/(income) recognized $ 2,194 $ (4,678) $ 4,388 $ (9,356) The service cost component of net periodic pension benefit is presented in the same line item as other compensation costs (direct cost of contracts and selling, general and administrative expenses) and the other components of net periodic pension expense are presented in miscellaneous income (expense), net on the Consolidated Statements of Earnings. The following table presents certain information regarding the Company’s cash contributions to our pension plans for fiscal 2023 (in thousands): Cash contributions made during the first six months of fiscal 2023 $ 14,793 Cash contributions projected for the remainder of fiscal 2023 11,858 Total $ 26,651 |
PA Consulting Business Combinat
PA Consulting Business Combination | 6 Months Ended |
Mar. 31, 2023 | |
Business Acquisition [Line Items] | |
PA Consulting Business Combination | Other Business Combinations StreetLight Data, Inc. On February 4, 2022, the Company acquired StreetLight Data, Inc. ("StreetLight"). StreetLight is a pioneer of mobility analytics who uses its data and machine learning resources to shed light on mobility and enable users to solve complex transportation problems. The Company paid total base consideration of approximately $190.8 million in cash, and issued $0.9 million in equity and $5.2 million in in-the-money stock options to the former owners of StreetLight. The Company also paid off StreetLight's debt of approximately $1.0 million simultaneously with the consummation of the acquisition. The following summarizes the fair values of StreetLight's assets acquired and liabilities assumed as of the acquisition date (in millions): Assets Cash and cash equivalents $ 7.3 Receivables 5.2 Property, equipment and improvements, net 0.1 Goodwill 116.4 Identifiable intangible assets 105.1 Prepaid expenses and other current assets 2.0 Total Assets $ 236.1 Liabilities Accounts payable, accrued expenses and other current liabilities $ 23.1 Other long term liabilities 16.1 Total Liabilities 39.2 Net assets acquired $ 196.9 Goodwill recognized results from a substantial assembled workforce, which does not qualify for separate recognition, as well as expected future synergies from combining operations. None of the goodwill recognized is expected to be deductible for tax purposes. The Company has completed its final assessment of the fair values of StreetLight's assets acquired and liabilities assumed. Since the initial preliminary estimates reported in the second quarter of fiscal 2022, the Company has updated certain amounts reflected in the preliminary purchase price allocation, as summarized in the fair values of StreetLight's assets acquired and liabilities assumed as of the acquisition date set forth above, the majority of which related to reclassifications between goodwill and intangibles and for deferred taxes. Identifiable intangibles are technology, data and customer relationships, contracts and backlog and have estimated lives of 5, 4 and 9 years, respectively. No summarized unaudited pro forma results are provided for the StreetLight acquisition due to the immateriality of this acquisition relative to the Company's consolidated financial position and results of operations. BlackLynx On November 19, 2021, Jacobs acquired all outstanding shares of common stock of BlackLynx, a provider of high-performance software, to complement Jacobs' portfolio of cyber, intelligence and digital solutions. The Company paid total base consideration of approximately $235.4 million in cash to the former owners of BlackLynx. In conjunction with the acquisition, the Company also paid off BlackLynx's debt of approximately $5.3 million simultaneously with the consummation of the acquisition. The following summarizes the fair values of BlackLynx's assets acquired and liabilities assumed as of the acquisition date (in millions): Assets Cash and cash equivalents $ 5.1 Receivables 7.7 Property, equipment and improvements, net 0.8 Goodwill 195.8 Identifiable intangible assets 51.1 Prepaid expenses and other current assets 3.2 Total Assets $ 263.7 Liabilities Accounts payable, accrued expenses and other current liabilities $ 19.5 Other long term liabilities 8.8 Total Liabilities 28.3 Net assets acquired $ 235.4 Goodwill recognized results from a substantial assembled workforce, which does not qualify for separate recognition, as well as expected future synergies from combining operations. None of the goodwill recognized was deductible for tax purposes. Identifiable intangibles are technology and customer relationships, contracts and backlog and have estimated lives of 8 and 4 years, respectively. No summarized unaudited pro forma results are provided for the BlackLynx acquisition due to the immateriality of this acquisition relative to the Company's consolidated financial position and results of operations. |
PA Consulting Group Limited | |
Business Acquisition [Line Items] | |
PA Consulting Business Combination | PA Consulting Business Combination Deal Summary On March 2, 2021, Jacobs completed the strategic investment of a 65% interest in PA Consulting, a UK-based leading innovation and transformation consulting firm. The total consideration paid by the Company was $1.7 billion, funded through cash on hand, proceeds from a new term loan and draws on the Company's existing Revolving Credit Facility. The remaining 35% interest was acquired by PA Consulting employees, whose redeemable noncontrolling interests had a fair value of $582.4 million on the closing date, including subsequent purchase accounting adjustments. PA Consulting is accounted for as a consolidated subsidiary and as a separate operating segment. See Note 11- Borrowings for more discussion on the financing for the transaction. Redeemable Noncontrolling Interests In connection with the PA Consulting investment, the Company recorded redeemable noncontrolling interests, including subsequent purchase accounting adjustments, representing the noncontrolling interest holders' equity interests in the form of preferred and common shares of PA Consulting, with substantially all of the value associated with these interests allocable to the preferred shares. During the first half of fiscal 2023 and 2022, PA Consulting repurchased certain shares of the redeemable noncontrolling interest holders for $58.4 million and $35.1 million, respectively, in cash. Changes in the redeemable noncontrolling interests d uring the six months ended March 31, 2023 are as follows (in thousands): Balance at September 30, 2022 $ 632,522 Accrued Preferred Dividend to Preference Shareholders 33,786 Attribution of Preferred Dividend to Common Shareholders (33,786) Net earnings attributable to redeemable noncontrolling interests to Common Shareholders 12,855 Redeemable Noncontrolling interests redemption value adjustment 44,494 Repurchase of redeemable noncontrolling interests (69,690) Cumulative translation adjustment and other 45,826 Balance at March 31, 2023 $ 666,007 In addition, certain employees and non-employees of PA Consulting are eligible to receive equity-based incentive grants in the future under the terms of the applicable agreements. During first six months of fiscal 2023 and 2022, the Company recorded $1.1 million and $1.0 million, respectively, in expenses associated with these agreements which is reflected in selling, general and administrative expenses in the consolidated statements of earnings. Restricted Cash The Company, through its investment in PA Consulting, held $2.3 million and $13.7 million at March 31, 2023 and September 30, 2022, respectively, in cash that is restricted from general use and is included in prepaid expenses and other current assets on the Consolidated Balance Sheets. |
Other Business Combinations
Other Business Combinations | 6 Months Ended |
Mar. 31, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Other Business Combinations | Other Business Combinations StreetLight Data, Inc. On February 4, 2022, the Company acquired StreetLight Data, Inc. ("StreetLight"). StreetLight is a pioneer of mobility analytics who uses its data and machine learning resources to shed light on mobility and enable users to solve complex transportation problems. The Company paid total base consideration of approximately $190.8 million in cash, and issued $0.9 million in equity and $5.2 million in in-the-money stock options to the former owners of StreetLight. The Company also paid off StreetLight's debt of approximately $1.0 million simultaneously with the consummation of the acquisition. The following summarizes the fair values of StreetLight's assets acquired and liabilities assumed as of the acquisition date (in millions): Assets Cash and cash equivalents $ 7.3 Receivables 5.2 Property, equipment and improvements, net 0.1 Goodwill 116.4 Identifiable intangible assets 105.1 Prepaid expenses and other current assets 2.0 Total Assets $ 236.1 Liabilities Accounts payable, accrued expenses and other current liabilities $ 23.1 Other long term liabilities 16.1 Total Liabilities 39.2 Net assets acquired $ 196.9 Goodwill recognized results from a substantial assembled workforce, which does not qualify for separate recognition, as well as expected future synergies from combining operations. None of the goodwill recognized is expected to be deductible for tax purposes. The Company has completed its final assessment of the fair values of StreetLight's assets acquired and liabilities assumed. Since the initial preliminary estimates reported in the second quarter of fiscal 2022, the Company has updated certain amounts reflected in the preliminary purchase price allocation, as summarized in the fair values of StreetLight's assets acquired and liabilities assumed as of the acquisition date set forth above, the majority of which related to reclassifications between goodwill and intangibles and for deferred taxes. Identifiable intangibles are technology, data and customer relationships, contracts and backlog and have estimated lives of 5, 4 and 9 years, respectively. No summarized unaudited pro forma results are provided for the StreetLight acquisition due to the immateriality of this acquisition relative to the Company's consolidated financial position and results of operations. BlackLynx On November 19, 2021, Jacobs acquired all outstanding shares of common stock of BlackLynx, a provider of high-performance software, to complement Jacobs' portfolio of cyber, intelligence and digital solutions. The Company paid total base consideration of approximately $235.4 million in cash to the former owners of BlackLynx. In conjunction with the acquisition, the Company also paid off BlackLynx's debt of approximately $5.3 million simultaneously with the consummation of the acquisition. The following summarizes the fair values of BlackLynx's assets acquired and liabilities assumed as of the acquisition date (in millions): Assets Cash and cash equivalents $ 5.1 Receivables 7.7 Property, equipment and improvements, net 0.8 Goodwill 195.8 Identifiable intangible assets 51.1 Prepaid expenses and other current assets 3.2 Total Assets $ 263.7 Liabilities Accounts payable, accrued expenses and other current liabilities $ 19.5 Other long term liabilities 8.8 Total Liabilities 28.3 Net assets acquired $ 235.4 Goodwill recognized results from a substantial assembled workforce, which does not qualify for separate recognition, as well as expected future synergies from combining operations. None of the goodwill recognized was deductible for tax purposes. Identifiable intangibles are technology and customer relationships, contracts and backlog and have estimated lives of 8 and 4 years, respectively. No summarized unaudited pro forma results are provided for the BlackLynx acquisition due to the immateriality of this acquisition relative to the Company's consolidated financial position and results of operations. |
Restructuring and Other Charges
Restructuring and Other Charges | 6 Months Ended |
Mar. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Other Charges | Restructuring and Other Charges During fiscal 2022, the Company implemented certain restructuring and integration initiatives relating to the StreetLight and BlackLynx acquisitions, the activities of which are expected to be substantially completed before the end of fiscal 2023. Also, during fiscal 2022 and continuing into fiscal 2023, the Company implemented further real estate rescaling efforts that were associated with its fiscal 2020 transformation program relating to real estate and other staffing initiatives. These initiatives are expected to continue through the remainder of fiscal 2023. During fiscal 2021, the Company implemented certain restructuring and integration initiatives relating to the acquisition of Buffalo Group LLC ("Buffalo Group") as well as integration related activities associated with our PA Consulting investment. The activities of the Buffalo Group initiative are substantially completed and the activities of the PA Consulting initiative are expected to end before the end of fiscal 2025. During fiscal 2019 and continuing into fiscal 2020, the Company implemented certain restructuring, separation and integration initiatives associated with the ECR sale, the acquisition of KeyW Holding Corporation ('KeyW"), and other related cost reduction initiatives. Additionally, in fiscal 2020, the Company implemented certain restructuring and integration initiatives associated with the acquisition of John Wood Group's nuclear business. The restructuring activities and related costs were comprised mainly of separation and lease abandonment and sublease programs, while the separation and integration activities and costs were mainly related to the engagement of consulting services and internal personnel and other related costs dedicated to the Company’s ECR-business separation. The activities of these initiatives have been substantially completed. As part of the Company's acquisition of CH2M Hill Companies, Ltd. ("CH2M") during fiscal 2018, the Company implemented certain restructuring plans that were comprised mainly of severance and lease abandonment programs as well as integration activities involving the engagement of professional services and internal personnel dedicated to the Company's integration management efforts. The activities of these initiatives have been substantially completed. Collectively, the above-mentioned restructuring activities are referred to as “Restructuring and other charges.” The following table summarizes the impacts of the Restructuring and other charges by reportable segment in connection with the CH2M, KeyW, John Wood Group's nuclear business, Buffalo Group, StreetLight and BlackLynx acquisitions, the PA Consulting investment, the ECR sale and the Company's transformation initiatives relating to real estate and other staffing programs for the three and six months ended March 31, 2023 and April 1, 2022 (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Critical Mission Solutions $ 1,052 $ 3,462 $ 3,264 $ 4,616 People & Places Solutions 5,869 671 33,186 61,840 Divergent Solutions 3,630 — 5,212 — PA Consulting — 1,517 — 1,716 Corporate 2,289 102,514 5,622 109,352 Total $ 12,840 $ 108,164 $ 47,284 $ 177,524 Amounts included in: Operating profit (mainly SG&A) (1) $ 12,873 $ 110,171 $ 47,945 $ 188,075 Other (Income) Expense, net (2) (33) (2,007) (661) (10,551) $ 12,840 $ 108,164 $ 47,284 $ 177,524 (1) Included in the three and six month periods ended March 31, 2023 were $11.0 million and $38.7 million, respectively, and the six month period in fiscal 2022 included approximately $71.0 million in charges associated mainly with real estate impairments and related charges, the majority of which related to People and Places Solutions. Included in the three and six month periods ended April 1, 2022 was $91.3 million related to the final pre-tax settlement of the Legacy CH2M Matter (defined below), net of previously recorded reserves. (2) The six month periods ended March 31, 2023 and April 1, 2022 included gains of $0.7 million and $7.1 million, respectively, related to lease terminations. The activity in the Company’s accruals for Restructuring and other charges for the six months ended March 31, 2023 is as follows (in thousands): Balance at September 30, 2022 $ 4,137 Net Charges (Credits) (1) 8,581 Payments and other (9,603) Balance at March 31, 2023 $ 3,115 (1) Excludes $38.7 million associated mainly with real estate related impairments and other transformation activities described above during the six months ended March 31, 2023. The following table summarizes the Restructuring and other charges by major type of costs for the three and six months ended March 31, 2023 and April 1, 2022 (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Lease Abandonments and Impairments $ 10,443 $ 2,294 $ 37,273 $ 67,837 Voluntary and Involuntary Terminations 1,939 4,548 8,509 5,111 Outside Services 802 11,500 1,478 16,176 Other (1) (344) 89,822 24 88,400 Total $ 12,840 $ 108,164 $ 47,284 $ 177,524 (1) The three and six month periods ended April 1, 2022 amounts are comprised mainly of $91.3 million in other charges related to the final pre-tax settlement of the Legacy CH2M Matter, net of previously recorded reserves. Cumulative amounts incurred to date under our various Restructuring and other activities described above by each major type of cost as of March 31, 2023 are as follows (in thousands): Lease Abandonments and Impairments $ 424,875 Voluntary and Involuntary Terminations 158,886 Outside Services 317,811 Other 208,289 Total $ 1,109,861 |
Commitments and Contingencies a
Commitments and Contingencies and Derivative Financial Instruments | 6 Months Ended |
Mar. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies and Derivative Financial Instruments | Commitments and Contingencies and Derivative Financial Instruments Derivative Financial Instruments The Company is exposed to interest rate risk under its variable rate borrowings and additionally, due to the nature of the Compan y's international operations, we are at times exposed to foreign currency risk. As such, we sometimes enter into foreign exchange hedging contracts and interest rate hedging contracts in order to limit our exposure to fluctuating foreign currencies and interest rates. During fiscal 2022, the Company entered into two treasury lock agreements with an aggregate notional value of $500 million to manage its interest rate exposure to the anticipated issuance of fixed rate debt before December 2023. On February 13, 2023, the Company settled these treasury lock agreements and issued the Bonds in the aggregate principal amount of $500 million, which resulted in the receipt of cash and a gain of $37.4 million, before tax, which is being amortized to interest expense and recognized over the term of the Bonds. See Note 11- Borrowings for further discussion relating to the terms of the Bonds . The fair value of the treasury locks at September 30, 2022 was $40.9 million, all of which was included in current assets within receivables and contract assets on the consolidated balance sheet. The net gain on these instruments was $27.9 million and $30.8 million, net of tax, and is included in accumulated other comprehensive income as of March 31, 2023 and September 30, 2022, respectively. The Company is party to interest rate swap agreements and a cross-currency swap agreement with notional values of $771.7 million and $127.8 million, respectively, as of March 31, 2023 to manage the interest rate exposure on our variable rate loans and the foreign currency exposure on our USD borrowings by a European subsidiary. By entering into the swap agreements, the Company converted the LIBOR and SONIA rate based liabilities into fixed rate liabilities and, for the cross currency swap, our LIBOR rate based borrowing in USD to a fixed rate Euro liability, for periods ranging from three and a half to ten years. During the second quarter of fiscal 2023, the aggregate liability amounts denominated in U.S. dollars transitioned from underlying LIBOR benchmarked rates to the Secured Overnight Financing Rate ("SOFR") a nd the terms of the swaps were amended accordingly. The swaps were designated as cash-flow hedges in accordance with ASC 815, Derivatives and Hedging . The fair value of the interest rate and cross currency swaps at March 31, 2023 and September 30, 2022 was $91.3 million and $128.2 million, respectively, which is included in miscellaneous other assets on the Consolidated Balance Sheets. The unrealized net gain (loss) on these interest rate and cross currency swaps was $68.8 million and $87.5 million, net of tax, and was included in accumulated other comprehensive inc ome as of March 31, 2023 and September 30, 2022, respectively . Additionally, the Company held foreign exchange forward contracts in currenc ies that support our operations, in cluding British Pound, Euro, Australian Dollar and other currencies, with notional values of $720.9 million at March 31, 2023 and $298.2 million at September 30, 2022 . The length of these contracts currently ranges from one week 12 months . The fair value of the foreign exchange contracts at March 31, 2023 and September 30, 2022 w as $20.4 million and $(3.2) million , respectively, which is included within receivables and contract assets for the current period and within accounts payable for the prior period on the Consolidated Balance Sheets and with associated income statement impacts included in miscellaneous income (expense) in the Consolidated Statements of Earnings. The fair value measurements of these derivatives are being made using Level 2 inputs under ASC 820, Fair Value Measurement, as the measurements are based on observable inputs other than quoted prices in active markets. We are exposed to risk from credit-related losses resulting from nonperformance by counterparties to our financial instruments. We perform credit evaluations of our counterparties under forward exchange and interest rate contracts and expect all counterparties to meet their obligations. We have not experienced credit losses from our counterparties. Contractual Guarantees and Insurance In the normal course of business, we make contractual commitments (some of which are supported by separate guarantees) and on occasion we are a party in a litigation or arbitration proceeding. The litigation or arbitration in which we are involved includes personal injury claims, professional liability claims and breach of contract claims. Where we provide a separate guarantee, it is strictly in support of the underlying contractual commitment. Guarantees take various forms including surety bonds required by law, or standby letters of credit ("LOC" and also referred to as “bank guarantees”) or corporate guarantees given to induce a party to enter into a contract with a subsidiary. Standby LOCs are also used as security for advance payments or in various other transactions. The guarantees have various expiration dates ranging from an arbitrary date to completion of our work (e.g., engineering only) to completion of the overall project. We record in the Consolidated Balance Sheets amounts representing our estimated li ability relating to such guarantees, litigation and insurance claims. Guarantees are accounted for in accordance with ASC 460-10, Guarantees , at fair value at the inception of the guarantee. At March 31, 2023 and September 30, 2022, the Company had issued and outstanding approximately $322.4 million and $280.5 million, respectively, in LOCs and $2.0 billion and $2.2 billion, respectively, in surety bonds. We maintain insurance coverage for most insurable aspects of our business and operations. Our insurance programs have varying coverage limits depending upon the type of insurance and include certain conditions and exclusions which insurance companies may raise in response to any claim that is asserted by or against the Company. We have also elected to retain a portion of losses and liabilities that occur through using various deductibles, limits, and retentions under our insurance programs. As a result, we may be subject to a future liability for which we are only partially insured or completely uninsured. We intend to mitigate any such future liability by continuing to exercise prudent business judgment in negotiating the terms and conditions of the contracts which the Company enters with its clients. Our insurers are also subject to business risk and, as a result, one or more of them may be unable to fulfill their insurance obligations due to insolvency or otherwise. Additionally, as a contractor providing services to the U.S. federal government, we are subject to many types of audits, investigations, and claims by, or on behalf of, the government including with respect to contract performance, pricing, cost allocations, procurement practices, labor practices, and socioeconomic obligations. Furthermore, our income, franchise, and similar tax returns and filings are also subject to audit and investigation by the Internal Revenue Service, most states within the United States, as well as by various government agencies representing jurisdictions outside the United States. Our Consolidated Balance Sheets include amounts representing our probable estimated liability relating to such claims, guarantees, litigation, audits, and investigations. We perform an analysis to determine the level of reserves to establish for insurance-related claims that are known and have been asserted against us, as well as for insurance-related claims that are believed to have been incurred based on actuarial analysis but have not yet been reported to our claims administrators as of the respective balance sheet dates. We include any adjustments to such insurance reserves in our consolidated results of operations. Insurance recoveries are recorded as assets if recovery is probable and estimated liabilities are not reduced by expected insurance recoveries. The Company believes, after consultation with counsel, that such guarantees, litigation, U.S. government contract-related audits, investigations and claims, and income tax audits and investigations should not have a material adverse effect on our consolidated financial statements, beyond amounts currently accrued. Litigation and Investigations In 2012, CH2M HILL Australia PTY Limited, a subsidiary of CH2M, entered into a 50/50 integrated joint venture with Australian construction contractor UGL Infrastructure Pty Limited. The joint venture entered into a Consortium Agreement with General Electric and GE Electrical International Inc. The Consortium was awarded a subcontract by JKC Australia LNG Pty Limited ("JKC") for the engineering, procurement, construction and commissioning of a 360 MW Combined Cycle Power Plant for INPEX Operations Australia Pty Limited at Blaydin Point, Darwin, NT, Australia (the "Legacy CH2M Matter"). The subcontract was terminated in January 2017. In or around August 2017, the Consortium commenced an arbitration. On April 12, 2022, JKC and the Consortium entered into a confidential deed of settlement (“Settlement Agreement”). Under the terms of the Settlement Agreement, CH2M, as guarantor of CH2M Australia PTY Limited’s obligations with respect to the subcontract with JKC, made a cash payment to JKC in April 2022 of AUD 640 million (or approximately $475 million using mid-April 2022 exchange rates). As a result of the settlement agreement, additional pre-tax charges of $91.3 million were recorded during the second quarter of fiscal 2022 for this matter (over amounts previously reserved and reported in long-term Other Deferred Liabilities in the Company's Consolidated Balance Sheet). The Settlement Agreement provided for a release of claims between JKC and each member of the Consortium, and in connection with this agreement the members of the Consortium also waived all claims against each other and their respective parent guarantors relating to the project. On December 22, 2008, a coal fly ash pond at the Kingston Power Plant of the Tennessee Valley Authority ("TVA") was breached, releasing fly ash waste into the Emory River and surrounding community. In February 2009, TVA awarded a contract to the Company to provide project management services associated with the clean-up. All remediation and dredging were completed in August 2013 by other contractors under direct contracts with TVA. The Company did not perform the remediation, and its scope was limited to program management services. Certain employees of the contractors performing the cleanup work on the project filed lawsuits against the Company beginning in August 2013, alleging they were injured due to the Company's failure to protect the plaintiffs from exposure to fly ash, and asserting related personal injuries. The primary case, Greg Adkisson, et al. v. Jacobs Engineering Group Inc., case No. 3:13-CV-505-TAV-HBG, filed in the U.S. District Court for the Eastern District of Tennessee, consists of 10 consolidated cases. This case and the related cases involve several hundred plaintiffs that were employees of the contractors that completed the remediation and dredging work. The cases are at various stages of litigation and are currently stayed pending a ruling from the Tennessee Supreme Court. Additionally, in May 2019, Roane County and the cities of Kingston and Harriman filed a lawsuit against TVA and the Company alleging that they misled the public about risks associated with the released fly ash. In October 2020, the Court granted Jacobs and TVA’s motion to dismiss the Roane County litigation and closed the case. In addition, in November 2019, a resident of Roane County, Margie Delozier, filed a putative class action against TVA and the Company alleging they failed to adequately warn local residents about risks associated with the released fly ash. The Company and TVA filed separate motions to dismiss the Delozier case in April 2020. In February 2021, the Court granted dismissal of the Delozier Complaint with prejudice, with the exception of plaintiffs’ nuisance cause of action, which plaintiffs voluntarily dismissed in June 2021. In August 2021, Thomas Ryan, a resident of Roane County, filed an action against Jacobs and TVA claiming personal injury and property damage. I n June 2022, the Court granted Jacobs' motion to dismiss Ryan’s action in its entirety, closing the case. Separately, in February 2020, the Company learned that the district attorney in Roane County recommended that the Tennessee Bureau of Investigation investigate issues pertaining to clean up worker safety at Kingston. On November 16, 2021, the Roane County district attorney announced that it had concluded its investigation into issues pertaining to the Kingston coal ash spill cleanup. No indictments were issued. There has been no finding of liability against the Company or that any of the alleged illnesses are the result of exposure to fly ash in any of the above matters. In the second fiscal quarter of 2023, the Company entered into a settlement agreement with the remaining plaintiffs; the amount of the settlement is not material to the Company's business, financial condition, results of operations or cash flows. |
Segment Information
Segment Information | 6 Months Ended |
Mar. 31, 2023 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information During the first quarter of fiscal 2023, the Company reorganized its operating and reporting structure to report results under a new operating segment, Divergent Solutions, in addition to the current operating segments. The Company's four operating segments are now comprised of its two global lines of business ("LOBs"): Critical Mission Solutions ("CMS") and People & Places Solutions ("P&PS"), its business unit Divergent Solutions ("DVS") and its majority investment in PA Consulting. The formation of the DVS operating segment resulted in certain portions of our CMS and P&PS businesses moving to the new segment to align with the Company's business strategy. The Company’s Chief Executive Officer is the Chief Operating Decision Maker (“CODM”) and can evaluate the performance of each of these segments and make appropriate resource allocations among each of the segments. Under this organization, the sales function is managed by segment, and accordingly, the associated cost is embedded in the segments and reported to the respective head of each segment. In addition, a portion of the costs of other support functions (e.g., finance, legal, human resources, and information technology) is allocated to each segment using methodologies which, we believe, effectively attribute the cost of these support functions to the revenue generating activities of the Company on a rational basis. The cost of the Company’s cash incentive plan, the Leadership Performance Plan ("LPP"), formerly named the Management Incentive Plan, and the expense associated with the Jacobs 1999 Stock Incentive Plan, which was amended and restated in the second quarter of 2023 and is now referred to as the Jacobs 2023 Stock Incentive Plan (the "2023 SIP") have likewise been charged to the segments except for those amounts determined to relate to the business as a whole (which amounts remain in other corporate expenses). Financial information for each segment is reviewed by the CODM to assess performance and make decisions regarding the allocation of resources. The CODM evaluates the operating performance of our operating segments using segment operating profit, which is defined as margin less “corporate charges” (e.g., the allocated amounts described above). The Company incurs certain Selling, General and Administrative costs (“SG&A”) that relate to its business as a whole which are not allocated to the segments. The following tables present total revenues and segment operating profit from continuing operations for each reportable segment (in thousands) and includes a reconciliation of segment operating profit to total U.S. GAAP operating profit by including certain corporate-level expenses, Restructuring and other charges (as defined in Note 16- Restructuring and Other Charges ) and transaction and integration costs (in thousands). For the Three Months Ended For the Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Revenues from External Customers: Critical Mission Solutions $ 1,191,056 $ 1,134,381 $ 2,266,231 $ 2,111,159 People & Places Solutions 2,345,065 2,162,994 4,572,050 4,083,990 Divergent Solutions 241,224 239,294 455,690 432,171 PA Consulting 300,987 297,390 583,030 587,364 Total $ 4,078,332 $ 3,834,059 $ 7,877,001 $ 7,214,684 For the Three Months Ended For the Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Segment Operating Profit: Critical Mission Solutions $ 93,943 $ 94,617 $ 176,163 $ 185,857 People & Places Solutions 232,205 192,713 458,825 381,554 Divergent Solutions 24,861 17,055 36,828 40,163 PA Consulting 65,631 68,332 116,658 131,402 Total Segment Operating Profit 416,640 372,717 788,474 738,976 Other Corporate Expenses (1) (107,623) (89,232) (201,309) (194,592) Restructuring, Transaction and Other Charges (2) (19,154) (117,270) (59,497) (200,836) Total U.S. GAAP Operating Profit 289,863 166,215 527,668 343,548 Total Other Expense, net (3) (37,550) (10,933) (77,873) (19,177) Earnings from Continuing Operations Before Taxes $ 252,313 $ 155,282 $ 449,795 $ 324,371 (1) Other corporate expenses included intangibles amortization of $50.5 million and $48.4 million for the three months ended March 31, 2023 and April 1, 2022, respectively, and $100.2 million and $95.3 million, for the six months ended March 31, 2023 and April 1, 2022, respectively. Additionally, the six month period of fiscal 2023 included approximately $15.0 million in net favorable impacts from cost reductions compared to the prior year period, which was associated mainly with net favorable impacts during first quarter from changes in employee benefit programs of $41 million offset by approximately $26 million in higher spend in company technology platforms and other personnel and corporate cost increases. (2) The three months ended March 31, 2023 and April 1, 2022 included real estate impairment charges related to the Company's transformation initiatives of $10.1 million and $2.3 million, respectively, and $37.2 million and $74.6 million for the six months ended March 31, 2023 and April 1, 2022, respectively. Also included in the three and six months ended April 1, 2022 is $91.3 million related to the final pre-tax settlement of the Legacy CH2M Matter, net of previously recorded reserves. (3) The six month period ended April 1, 2022 included $3.5 million in income associated with final exit activities associated with our AWE ML investment and a gain of $7.1 million related to a lease termination. Additionally, the unfavorable change in Other Expense, net for the periods presented are attributable mainly to higher net interest expense year over year, primarily due to higher interest rates as well as the full 2023 period impacts of increased levels of debt outstanding due to fiscal 2022 incremental borrowings associated with the funding of the StreetLight and BlackLynx acquisitions and the payment of the Legacy CH2M Matter settlement. (1) Included in other corporate expenses in the above table are costs and expenses, which relate to general corporate activities as well as corporate-managed benefit and insurance programs. Such costs and expenses include: (i) those elements of SG&A expenses relating to the business as a whole; (ii) those elements of our incentive compensation plans relating to corporate personnel whose other compensation costs are not allocated to the LOBs; (iii) the amortization of intangible assets acquired as part of business combinations; (iv) the quarterly variances between the Company’s actual costs of certain of its self-insured integrated risk and employee benefit programs and amounts charged to the LOBs; and (v) certain adjustments relating to costs associated with the Company’s international defined benefit pension plans. In addition, other corporate expenses may also include from time to time certain adjustments to contract margins (both positive and negative) associated with projects, as well as other items, where it has been determined that such adjustments are not indicative of the performance of the related LOB. See also the further description o f results of operations for our operating segments in Item 2- Management’s Discussion and Analysis of Financial Condition and Results of Operations . |
Subsequent Events
Subsequent Events | 6 Months Ended |
Mar. 31, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Event | Subsequent Event On May 9, 2023, the Company announced its intention to spin-off its CMS business into an independent publicly traded company to Jacobs’ stockholders. Jacobs expects to complete the separation by the end of fiscal year 2024 through a distribution that is intended to be tax-free to Jacobs’ shareholders for U.S. federal income tax purposes. There can be no assurances with respect to the timing or form of a separation transaction and completion remains subject to final approval by Jacobs’ Board of Directors and other customary conditions. |
Use of Estimates and Assumpti_2
Use of Estimates and Assumptions (Policies) | 6 Months Ended |
Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Use of Estimates and Assumptions | The preparation of financial statements in conformity with U.S. GAAP requires us to employ estimates and make assumptions that affect the reported amounts of certain assets and liabilities, the revenues and expenses reported for the periods covered by the accompanying consolidated financial statements, and certain amounts disclosed in these Notes to the Consolidated Financial Statements. Although such estimates and assumptions are believed to be reasonable under the circumstances and are based on management’s most recent assessment of the underlying facts and circumstances utilizing the most current information available and past experience, actual results could differ significantly from those estimates and assumptions. Our estimates, judgments, and assumptions are evaluated periodically and adjusted accordingly. Please refer to Note 2- Significant Accounting Policies |
Fair Value and Fair Value Measurements | Certain amounts included in the accompanying consolidated financial statements are presented at fair value. Fair value is defined as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants as of the date fair value is determined (the “measurement date”). When determining fair value, we consider the principal or most advantageous market in which we would transact, and we consider only those assumptions we believe a typical market participant would consider when pricing an asset or liability. In measuring fair value, we use the following inputs in the order of priority indicated: Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Observable inputs other than quoted prices in active markets included in Level 1, such as (i) quoted prices for similar assets or liabilities; (ii) quoted prices in markets that have insufficient volume or infrequent transactions (e.g., less active markets); and (iii) model-driven valuations in which all significant inputs are observable or can be derived principally from, or corroborated with, observable market data for substantially the full term of the asset or liability. Level 3 - Unobservable inputs to the valuation methodology that are significant to the fair value measurement. Please refer to Note 2- Significant Accounting Policies of Notes to Consolidated Financial Statements included in our 2022 Form 10-K for a more complete discussion of the various items within the consolidated financial statements measured at fair value and the methods used to determine fair value. Please also refer to Note 17- Commitments and Contingencies and Derivative Financial Instruments for discussion regarding the Company's derivative instruments. The net carrying amounts of cash and cash equivalents, trade receivables and payables and short-term debt approximate fair value due to the short-term nature of these instruments. See Note 11- Borrowings for a discussion of the fair value of long-term debt. Fair value measurements relating to our business combinations and goodwill allocations related to our segment realignment are made primarily using Level 3 inputs including discounted cash flow techniques. Fair value for the identified intangible assets is generally estimated using inputs primarily for the income approach using the multiple period excess earnings method and the relief from royalties method. The significant assumptions used in estimating fair value |
Revenue Accounting for Contra_2
Revenue Accounting for Contracts (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table further disaggregates our revenue by geographic area for the three and six months ended March 31, 2023 and April 1, 2022 (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Revenues: United States $ 2,694,735 $ 2,499,737 $ 5,231,013 $ 4,648,289 Europe 931,093 937,864 1,785,666 1,804,216 Canada 61,887 67,152 123,716 132,192 Asia 35,641 36,533 70,463 68,620 India 46,829 28,844 87,173 50,992 Australia and New Zealand 170,069 181,650 331,109 359,302 Middle East and Africa 138,078 82,279 247,861 151,073 Total $ 4,078,332 $ 3,834,059 $ 7,877,001 $ 7,214,684 |
Earnings Per Share and Certai_2
Earnings Per Share and Certain Related Information (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
Earnings Per Share Reconciliation [Abstract] | |
Schedule of Earnings Per Share | The following table reconciles the denominator used to compute basic EPS to the denominator used to compute diluted EPS for the three and six months ended March 31, 2023 and April 1, 2022 (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Numerator for Basic and Diluted EPS: Net earnings from continuing operations allocated to common stock for EPS calculation $ 216,587 $ 88,817 $ 352,943 $ 223,082 Net loss from discontinued operations allocated to common stock for EPS calculation $ (75) $ (1) $ (783) $ (233) Net earnings allocated to common stock for EPS calculation $ 216,512 $ 88,816 $ 352,160 $ 222,849 Denominator for Basic and Diluted EPS: Shares used for calculating basic EPS attributable to common stock 126,886 129,333 126,855 129,337 Effect of dilutive securities: Stock compensation plans 473 640 573 796 Shares used for calculating diluted EPS attributable to common stock 127,359 129,973 127,428 130,133 Net Earnings Per Share: Basic Net Earnings from Continuing Operations Per Share $ 1.71 $ 0.69 $ 2.78 $ 1.72 Basic Net Loss from Discontinued Operations Per Share $ — $ — $ (0.01) $ — Basic Earnings Per Share $ 1.71 $ 0.69 $ 2.78 $ 1.72 Diluted Net Earnings from Continuing Operations Per Share $ 1.70 $ 0.68 $ 2.77 $ 1.71 Diluted Net Loss from Discontinued Operations Per Share $ — $ — $ (0.01) $ — Diluted Earnings Per Share $ 1.70 $ 0.68 $ 2.76 $ 1.71 |
Schedule of Share Repurchases | The following table summarizes the activity under the 2020 Repurchase Authorization through the second fiscal quarter of 2023: Amount Authorized Average Price Per Share (1) Total Shares Retired Shares Repurchased $1,000,000,000 $113.56 1,237,688 1,237,688 (1) Includes commissions paid and calculated at the average price per share |
Schedule of Dividends Declared | Dividends paid through the second fiscal quarter of 2023 and the preceding fiscal year are as follows: Declaration Date Record Date Payment Date Cash Amount (per share) January 25, 2023 February 24, 2023 March 24, 2023 $0.26 September 15, 2022 September 30, 2022 October 28, 2022 $0.23 July 13, 2022 July 29, 2022 August 26, 2022 $0.23 April 28, 2022 May 27, 2022 June 24, 2022 $0.23 January 26, 2022 February 25, 2022 March 25, 2022 $0.23 September 23, 2021 October 15, 2021 October 29, 2021 $0.21 |
Goodwill and Intangibles (Table
Goodwill and Intangibles (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Carrying Value of Goodwill by Reportable Segment Appearing in Accompanying Consolidated Balance Sheets | The carrying value of goodwill appearing in the accompanying Consolidated Balance Sheets at March 31, 2023 and September 30, 2022 was as follows (in thousands): Critical Mission Solutions People & Places Solutions Divergent Solutions PA Consulting Total Balance September 30, 2022 $ 2,251,724 $ 3,196,796 $ 576,986 $ 1,159,152 $ 7,184,658 Acquired — — — 11,956 11,956 Post-Acquisition Adjustments — (138) — 877 739 Foreign currency translation and other (4,445) 15,927 19,334 137,703 168,519 Balance March 31, 2023 $ 2,247,279 $ 3,212,585 $ 596,320 $ 1,309,688 $ 7,365,872 |
Schedule of Acquired Intangibles in Accompanying Consolidated Balance Sheets | The following table provides certain information related to the Company’s acquired intangibles in the accompanying Consolidated Balance Sheets at March 31, 2023 and September 30, 2022 (in thousands): Customer Relationships, Contracts and Backlog Developed Technology Trade Names Total Balances September 30, 2022 $ 1,136,438 $ 88,931 $ 168,683 $ 1,394,052 Amortization (46,116) (7,672) (46,459) (100,247) Acquired 5,537 — — 5,537 Post-Acquisition Adjustments (1,409) — — (1,409) Foreign currency translation and other 63,308 496 18,142 81,946 Balances March 31, 2023 $ 1,157,758 $ 81,755 $ 140,366 $ 1,379,879 |
Schedule of Estimated Amortization Expense of Intangible Assets | The following table presents estimated amortization expense of intangible assets for the remainder of fiscal 2023 and for the succeeding years. Fiscal Year (in millions) 2023 $ 102.4 2024 203.9 2025 203.5 2026 180.5 2027 149.2 Thereafter 540.4 Total $ 1,379.9 |
Receivables and Contract Asse_2
Receivables and Contract Assets (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Schedule of Receivables | The following table presents the components of receivables and contract assets appearing in the accompanying Consolidated Balance Sheets at March 31, 2023 and September 30, 2022, as well as certain other related information (in thousands): March 31, 2023 September 30, 2022 Components of receivables and contract assets: Amounts billed, net $ 1,447,872 $ 1,400,088 Unbilled receivables and other 1,466,892 1,523,249 Contract assets 603,964 482,044 Total receivables and contract assets, net $ 3,518,728 $ 3,405,381 Other information about receivables: Amounts due from the United States federal government, included above, net of contract liabilities $ 780,846 $ 749,323 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
Equity [Abstract] | |
Schedule of Reclassification out of Accumulated Other Comprehensive Income | The following table presents the Company's roll forward of accumulated other comprehensive income (loss) after-tax as of March 31, 2023 (in thousands): Change in Net Pension Obligation Foreign Currency Translation Adjustment (1) Gain/(Loss) on Cash Flow Hedges (2) Total Balance at September 30, 2022 $ (307,395) $ (786,040) $ 118,305 $ (975,130) Other comprehensive (loss) income (22,918) 181,644 (9,907) 148,819 Reclassifications from accumulated other comprehensive income (loss) — — (11,731) (11,731) Balance at March 31, 2023 $ (330,313) $ (604,396) $ 96,667 $ (838,042) ( 1) Included in the overall foreign currency translation adjustment for the six months ended March 31, 2023 and April 1, 2022 are $(87.2) million and $38.3 million, respectively in unreali zed gains (losses) on long-term foreign currency denominated intercompany loans not anticipated to be settled in the foreseeable future. (2) Included in the Company’s cumulative net unrealized gains from interest rate and cross currency swaps recorded in accumulated other comprehensive income as of March 31, 2023 were approximately $19.6 million in unrealized gains, net of taxes, which are expected to be realized in earnings during the twelve months subsequent to March 31, 2023. |
Borrowings (Tables)
Borrowings (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt | At March 31, 2023 and September 30, 2022, long-term debt consisted of the following (principal amounts in thousands): Interest Rate Maturity March 31, 2023 September 30, 2022 Revolving Credit Facility Benchmark + applicable margin (1) (2) February 2028 $ 1,077,794 $ 1,105,294 2021 Term Loan Facility - US Portion Benchmark + applicable margin (1) (3) February 2026 200,000 200,000 2021 Term Loan Facility - GBP Portion Benchmark + applicable margin (3) September 2025 802,295 723,580 2020 Term Loan Facility Benchmark + applicable margin (1) (4) March 2025 (7) 882,789 882,263 Fixed-rate notes due: Bonds, Sustainability-Linked 5.9% (5) March 2033 500,000 — Senior Notes, Series A 4.27% May 2025 (6) — 190,000 Senior Notes, Series B 4.42% May 2028 (6) — 180,000 Senior Notes, Series C 4.52% May 2030 (6) — 130,000 Less: Current Portion (7) (51,735) (50,415) Less: Deferred Financing Fees (8,672) (3,466) Total Long-term debt, net $ 3,402,471 $ 3,357,256 (1) During the second quarter of fiscal 2023, the aggregate principal amounts denominated in U.S. dollars under the Revolving Credit Facility, the 2021 Term loan facility and the 2020 Term Loan Facility (each as defined below) transitioned from underlying LIBOR benchmarked rates to the Term Secured Overnight Financing Rate ("SOFR"). During fiscal 2022, the aggregate principal amounts denominated in British pounds under the Revolving Credit Facility, 2021 Term Loan Facility and 2020 Term Loan Facility transitioned from underlying LIBOR benchmarked rates to Sterling Overnight Index Average ("SONIA") rates. (2) Depending on the Company’s Consolidated Leverage Ratio or Debt Rating (each as defined in the credit agreement governing the Revolving Credit Facility), U.S. dollar denominated borrowings under the Revolving Credit Facility bear interest at either a SOFR rate plus a margin of between 0.975% and 1.725% or a base rate plus a margin of between 0% and 0.625%. The applicable SOFR rates, or LIBOR rate for the prior fiscal year end, including applicable margins at March 31, 2023 and September 30, 2022 were approximately 6.24% and 4.08%. Borrowings denominated in British pounds bear interest at an adjusted SONIA rate plus a margin of between 0.908% and 1.658%. There were no amounts drawn in British pounds as of March 31, 2023. (3) Depending on the Company’s Consolidated Leverage Ratio or Debt Rating (each as defined in the credit agreement governing the 2021 Term Loan Facility), U.S. dollar denominated borrowings under the 2021 Term Loan Facility bear interest at either a SOFR rate plus a margin of between 0.975% and 1.725% or a base rate plus a margin of between 0% and 0.625%. The applicable SOFR, or LIBOR rate for the prior fiscal year end, including applicable margins for borrowings denominated in U.S. dollars at March 31, 2023 and September 30, 2022 was approximately 6.23% and 4.06%. Borrowings denominated in British pounds bear interest at an adjusted SONIA rate plus a margin of between 0.908% and 1.658%, which was approximately 5.58% and 3.60% at March 31, 2023 and September 30, 2022, respectively. (4) Depending on the Company’s Consolidated Leverage Ratio or Debt Rating (each as defined in the credit agreement governing the 2020 Term Loan Facility), U.S. dollar denominated borrowings under the 2020 Term Loan Facility bear interest at either a SOFR rate plus a margin of between 0.975% and 1.725% or a base rate plus a margin of between 0% and 0.625%. The applicable SOFR, or LIBOR rate for the prior fiscal year end, including applicable margins for borrowings denominated in U.S. dollars at March 31, 2023 and September 30, 2022 were approximately 6.28% and 4.49%. Borrowings denominated in British pounds bear interest at an adjusted SONIA rate plus a margin of between 0.908% and 1.658%, which was approximately 5.58% and 3.60% at March 31, 2023 and September 30, 2022, respectively. (5) From and including September 1, 2028 (the “First Step Up Date”), the interest rate payable on the Bonds (as defined below) will be increased by an additional 12.5 basis points to 6.025% per annum (the “First Step Up Interest Rate”) unless the Company notifies the Trustee (as defined below) on or before the date that is 15 days prior to the First Step Up Date that the Percentage of Gender Diversity Performance Target (as defined in the First Supplemental Indenture (as defined below)) has been satisfied and receives a related assurance letter verifying such compliance. From and including September 1, 2030 (the “Second Step Up Date”) the interest rate payable on the Bonds will be increased by 12.5 basis points to (x) 6.150% per annum if the First Step Up Interest Rate was in effect immediately prior to the Second Step Up Date or (y) 6.025% per annum if the initial interest rate was in effect immediately prior to the Second Step Up Date, unless the Company notifies the Trustee on or before the date that is 15 days prior to the Second Step Up Date that the GHG Emissions Performance Target (as defined in the First Supplemental Indenture) has been satisfied and receives a related assurance letter verifying such compliance. (6) All amounts due under the Note Purchase Agreement pursuant to which the Senior Notes (each as defined below) were issued were repaid in the first fiscal quarter of 2023. (7) The 2020 Term Loan requires quarterly principal repayments of 1.25%, or $9.125 million and £3.125 million, of the aggregate initial principal amount borrowed. |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
Leases [Abstract] | |
Schedule of Lease Cost | The components of lease expense (reflected in selling, general and administrative expenses) for th e three and six months ended March 31, 2023 and April 1, 2022 were as follows (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Lease expense Operating lease expense $ 35,539 $ 37,213 $ 70,821 $ 77,751 Variable lease expense 9,416 8,854 18,762 15,939 Sublease income (4,414) (3,922) (8,820) (7,590) Total lease expense $ 40,541 $ 42,145 $ 80,763 $ 86,100 Supplemental information related to the Company's leases for the six months ended March 31, 2023 and April 1, 2022 was as follows (in thousands): Six Months Ended March 31, 2023 April 1, 2022 Cash paid for amounts included in the measurements of lease liabilities $ 92,142 $ 119,031 Right-of-use assets obtained in exchange for new operating lease liabilities $ 42,150 $ 27,838 Weighted average remaining lease term - operating leases 6.1 years 6.6 years Weighted average discount rate - operating leases 3.0% 2.7% |
Schedule of Operating Lease Maturity | Total remaining lease payments under the Company's leases for the remainder of fiscal 2023 and for the succeeding years is as follows (in thousands): Fiscal Year Operating Leases 2023 $ 88,355 2024 161,867 2025 135,506 2026 113,639 2027 92,933 Thereafter 220,982 813,282 Less Interest (74,087) $ 739,195 |
Pension and Other Postretirem_2
Pension and Other Postretirement Benefit Plans (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
Retirement Benefits [Abstract] | |
Schedule of Pension Plans' Net Benefit Obligation | The following table presents the components of net periodic pension benefit recognized in earnings during the three and six months ended March 31, 2023 and April 1, 2022 (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Component: Service cost $ 1,748 $ 1,709 $ 3,496 $ 3,418 Interest cost 20,233 13,784 40,466 27,568 Expected return on plan assets (21,091) (23,263) (42,182) (46,526) Amortization of previously unrecognized items 1,304 3,092 2,608 6,184 Total net periodic pension benefit cost/(income) recognized $ 2,194 $ (4,678) $ 4,388 $ (9,356) |
Schedule of Certain Information Regarding Cash Contributions | The following table presents certain information regarding the Company’s cash contributions to our pension plans for fiscal 2023 (in thousands): Cash contributions made during the first six months of fiscal 2023 $ 14,793 Cash contributions projected for the remainder of fiscal 2023 11,858 Total $ 26,651 |
PA Consulting Business Combin_2
PA Consulting Business Combination (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
PA Consulting Group Limited | |
Business Acquisition [Line Items] | |
Schedule of Redeemable Noncontrolling Interest | Changes in the redeemable noncontrolling interests d uring the six months ended March 31, 2023 are as follows (in thousands): Balance at September 30, 2022 $ 632,522 Accrued Preferred Dividend to Preference Shareholders 33,786 Attribution of Preferred Dividend to Common Shareholders (33,786) Net earnings attributable to redeemable noncontrolling interests to Common Shareholders 12,855 Redeemable Noncontrolling interests redemption value adjustment 44,494 Repurchase of redeemable noncontrolling interests (69,690) Cumulative translation adjustment and other 45,826 Balance at March 31, 2023 $ 666,007 |
Other Business Combinations (Ta
Other Business Combinations (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
StreetLightData, Inc. | |
Business Acquisition [Line Items] | |
Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed | The following summarizes the fair values of StreetLight's assets acquired and liabilities assumed as of the acquisition date (in millions): Assets Cash and cash equivalents $ 7.3 Receivables 5.2 Property, equipment and improvements, net 0.1 Goodwill 116.4 Identifiable intangible assets 105.1 Prepaid expenses and other current assets 2.0 Total Assets $ 236.1 Liabilities Accounts payable, accrued expenses and other current liabilities $ 23.1 Other long term liabilities 16.1 Total Liabilities 39.2 Net assets acquired $ 196.9 |
BlackLynx | |
Business Acquisition [Line Items] | |
Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed | The following summarizes the fair values of BlackLynx's assets acquired and liabilities assumed as of the acquisition date (in millions): Assets Cash and cash equivalents $ 5.1 Receivables 7.7 Property, equipment and improvements, net 0.8 Goodwill 195.8 Identifiable intangible assets 51.1 Prepaid expenses and other current assets 3.2 Total Assets $ 263.7 Liabilities Accounts payable, accrued expenses and other current liabilities $ 19.5 Other long term liabilities 8.8 Total Liabilities 28.3 Net assets acquired $ 235.4 |
Restructuring and Other Charg_2
Restructuring and Other Charges (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Summary of Restructuring and Other Charges Impacts on Reportable Segment Income by Line of Business | The following table summarizes the impacts of the Restructuring and other charges by reportable segment in connection with the CH2M, KeyW, John Wood Group's nuclear business, Buffalo Group, StreetLight and BlackLynx acquisitions, the PA Consulting investment, the ECR sale and the Company's transformation initiatives relating to real estate and other staffing programs for the three and six months ended March 31, 2023 and April 1, 2022 (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Critical Mission Solutions $ 1,052 $ 3,462 $ 3,264 $ 4,616 People & Places Solutions 5,869 671 33,186 61,840 Divergent Solutions 3,630 — 5,212 — PA Consulting — 1,517 — 1,716 Corporate 2,289 102,514 5,622 109,352 Total $ 12,840 $ 108,164 $ 47,284 $ 177,524 Amounts included in: Operating profit (mainly SG&A) (1) $ 12,873 $ 110,171 $ 47,945 $ 188,075 Other (Income) Expense, net (2) (33) (2,007) (661) (10,551) $ 12,840 $ 108,164 $ 47,284 $ 177,524 (1) Included in the three and six month periods ended March 31, 2023 were $11.0 million and $38.7 million, respectively, and the six month period in fiscal 2022 included approximately $71.0 million in charges associated mainly with real estate impairments and related charges, the majority of which related to People and Places Solutions. Included in the three and six month periods ended April 1, 2022 was $91.3 million related to the final pre-tax settlement of the Legacy CH2M Matter (defined below), net of previously recorded reserves. (2) The six month periods ended March 31, 2023 and April 1, 2022 included gains of $0.7 million and $7.1 million, respectively, related to lease terminations. |
Schedule of Restructuring and Other Activities | The activity in the Company’s accruals for Restructuring and other charges for the six months ended March 31, 2023 is as follows (in thousands): Balance at September 30, 2022 $ 4,137 Net Charges (Credits) (1) 8,581 Payments and other (9,603) Balance at March 31, 2023 $ 3,115 (1) Excludes $38.7 million associated mainly with real estate related impairments and other transformation activities described above during the six months ended March 31, 2023. |
Summary of Restructuring and Other Activities by Major Type of Costs | The following table summarizes the Restructuring and other charges by major type of costs for the three and six months ended March 31, 2023 and April 1, 2022 (in thousands): Three Months Ended Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Lease Abandonments and Impairments $ 10,443 $ 2,294 $ 37,273 $ 67,837 Voluntary and Involuntary Terminations 1,939 4,548 8,509 5,111 Outside Services 802 11,500 1,478 16,176 Other (1) (344) 89,822 24 88,400 Total $ 12,840 $ 108,164 $ 47,284 $ 177,524 |
Summary of Cumulative Amounts Incurred for Restructuring and Other Activities Costs | Cumulative amounts incurred to date under our various Restructuring and other activities described above by each major type of cost as of March 31, 2023 are as follows (in thousands): Lease Abandonments and Impairments $ 424,875 Voluntary and Involuntary Terminations 158,886 Outside Services 317,811 Other 208,289 Total $ 1,109,861 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Mar. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Total Revenues, Segment Operating Profit and Total Asset for Reporting Segment | The following tables present total revenues and segment operating profit from continuing operations for each reportable segment (in thousands) and includes a reconciliation of segment operating profit to total U.S. GAAP operating profit by including certain corporate-level expenses, Restructuring and other charges (as defined in Note 16- Restructuring and Other Charges ) and transaction and integration costs (in thousands). For the Three Months Ended For the Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Revenues from External Customers: Critical Mission Solutions $ 1,191,056 $ 1,134,381 $ 2,266,231 $ 2,111,159 People & Places Solutions 2,345,065 2,162,994 4,572,050 4,083,990 Divergent Solutions 241,224 239,294 455,690 432,171 PA Consulting 300,987 297,390 583,030 587,364 Total $ 4,078,332 $ 3,834,059 $ 7,877,001 $ 7,214,684 For the Three Months Ended For the Six Months Ended March 31, 2023 April 1, 2022 March 31, 2023 April 1, 2022 Segment Operating Profit: Critical Mission Solutions $ 93,943 $ 94,617 $ 176,163 $ 185,857 People & Places Solutions 232,205 192,713 458,825 381,554 Divergent Solutions 24,861 17,055 36,828 40,163 PA Consulting 65,631 68,332 116,658 131,402 Total Segment Operating Profit 416,640 372,717 788,474 738,976 Other Corporate Expenses (1) (107,623) (89,232) (201,309) (194,592) Restructuring, Transaction and Other Charges (2) (19,154) (117,270) (59,497) (200,836) Total U.S. GAAP Operating Profit 289,863 166,215 527,668 343,548 Total Other Expense, net (3) (37,550) (10,933) (77,873) (19,177) Earnings from Continuing Operations Before Taxes $ 252,313 $ 155,282 $ 449,795 $ 324,371 (1) Other corporate expenses included intangibles amortization of $50.5 million and $48.4 million for the three months ended March 31, 2023 and April 1, 2022, respectively, and $100.2 million and $95.3 million, for the six months ended March 31, 2023 and April 1, 2022, respectively. Additionally, the six month period of fiscal 2023 included approximately $15.0 million in net favorable impacts from cost reductions compared to the prior year period, which was associated mainly with net favorable impacts during first quarter from changes in employee benefit programs of $41 million offset by approximately $26 million in higher spend in company technology platforms and other personnel and corporate cost increases. (2) The three months ended March 31, 2023 and April 1, 2022 included real estate impairment charges related to the Company's transformation initiatives of $10.1 million and $2.3 million, respectively, and $37.2 million and $74.6 million for the six months ended March 31, 2023 and April 1, 2022, respectively. Also included in the three and six months ended April 1, 2022 is $91.3 million related to the final pre-tax settlement of the Legacy CH2M Matter, net of previously recorded reserves. (3) The six month period ended April 1, 2022 included $3.5 million in income associated with final exit activities associated with our AWE ML investment and a gain of $7.1 million related to a lease termination. Additionally, the unfavorable change in Other Expense, net for the periods presented are attributable mainly to higher net interest expense year over year, primarily due to higher interest rates as well as the full 2023 period impacts of increased levels of debt outstanding due to fiscal 2022 incremental borrowings associated with the funding of the StreetLight and BlackLynx acquisitions and the payment of the Legacy CH2M Matter settlement. |
Basis of Presentation (Details)
Basis of Presentation (Details) - USD ($) shares in Millions | Feb. 04, 2022 | Nov. 19, 2021 | Mar. 02, 2021 | Apr. 26, 2019 | Mar. 31, 2023 |
Worley Stock | |||||
Business Acquisition [Line Items] | |||||
Ordinary shares included in purchase price (in shares) | 58.2 | ||||
Worley | |||||
Business Acquisition [Line Items] | |||||
Consideration paid in cash | $ 2,800,000,000 | ||||
Consideration transferred | $ 3,400,000,000 | ||||
Discontinued Operations | Worley | |||||
Business Acquisition [Line Items] | |||||
Assets held for sale | $ 0 | ||||
PA Consulting Employees | |||||
Business Acquisition [Line Items] | |||||
Ownership interest of employees | 35% | ||||
StreetLightData, Inc. | |||||
Business Acquisition [Line Items] | |||||
Consideration paid in cash | $ 190,800,000 | ||||
Business combination consideration equity issued | 900,000 | ||||
In-the-money stock options transferred | 5,200,000 | ||||
Debt assumed | $ 1,000,000 | ||||
BlackLynx | |||||
Business Acquisition [Line Items] | |||||
Consideration paid in cash | $ 235,400,000 | ||||
Debt assumed | $ 5,300,000 | ||||
PA Consulting Group Limited | |||||
Business Acquisition [Line Items] | |||||
Percentage of outstanding shares of common and preferred stock acquired | 65% | ||||
Consideration transferred | $ 1,700,000,000 | ||||
Fair value of redeemable noncontrolling interests | $ 582,400,000 |
Revenue Accounting for Contra_3
Revenue Accounting for Contracts - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 4,078,332 | $ 3,834,059 | $ 7,877,001 | $ 7,214,684 |
United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 2,694,735 | 2,499,737 | 5,231,013 | 4,648,289 |
Europe | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 931,093 | 937,864 | 1,785,666 | 1,804,216 |
Canada | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 61,887 | 67,152 | 123,716 | 132,192 |
Asia | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 35,641 | 36,533 | 70,463 | 68,620 |
India | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 46,829 | 28,844 | 87,173 | 50,992 |
Australia and New Zealand | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 170,069 | 181,650 | 331,109 | 359,302 |
Middle East and Africa | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 138,078 | $ 82,279 | $ 247,861 | $ 151,073 |
Revenue Accounting for Contra_4
Revenue Accounting for Contracts - Contract Liabilities (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Revenue from Contract with Customer [Abstract] | ||||
Revenue recognized included in contract liability | $ 82.7 | $ 79.6 | $ 413 | $ 371 |
Revenue Accounting for Contra_5
Revenue Accounting for Contracts - Remaining Performance Obligation (Details) $ in Billions | Mar. 31, 2023 USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation, amounts | $ 16.7 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-04-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation, percentage | 48% |
Revenue, remaining performance obligation, expected timing of satisfaction, period | 12 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-04-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation, percentage | 52% |
Revenue, remaining performance obligation, expected timing of satisfaction, period |
Earnings Per Share and Certai_3
Earnings Per Share and Certain Related Information - Schedule of EPS to Denominator (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Numerator for Basic and Diluted EPS: | ||||
Net earnings from continuing operations allocated to common stock for EPS calculation | $ 216,587 | $ 88,817 | $ 352,943 | $ 223,082 |
Net loss from discontinued operations allocated to common stock for EPS calculation | (75) | (1) | (783) | (233) |
Net earnings allocated to common stock for EPS calculation | $ 216,512 | $ 88,816 | $ 352,160 | $ 222,849 |
Denominator for Basic and Diluted EPS: | ||||
Shares used for calculating basic EPS attributable to common stock (in shares) | 126,886 | 129,333 | 126,855 | 129,337 |
Effect of dilutive securities: | ||||
Stock compensation plans (in shares) | 473 | 640 | 573 | 796 |
Shares used for calculating diluted EPS attributable to common stock (in shares) | 127,359 | 129,973 | 127,428 | 130,133 |
Basic Earnings Per Share | ||||
Basic Net Earnings from Continuing Operations Per Share (in dollars per share) | $ 1.71 | $ 0.69 | $ 2.78 | $ 1.72 |
Basic Net Loss from Discontinued Operations Per Share (in dollars per share) | 0 | 0 | (0.01) | 0 |
Basic Earnings Per Share (in dollars per share) | 1.71 | 0.69 | 2.78 | 1.72 |
Diluted Earnings Per Share | ||||
Diluted Net Earnings from Continuing Operations Per Share (in dollars per share) | 1.70 | 0.68 | 2.77 | 1.71 |
Diluted Net Loss from Discontinued Operations Per Share (in dollars per share) | 0 | 0 | (0.01) | 0 |
Diluted Earnings Per Share (in dollars per share) | $ 1.70 | $ 0.68 | $ 2.76 | $ 1.71 |
Earnings Per Share and Certai_4
Earnings Per Share and Certain Related Information - Narrative (Details) - USD ($) | 3 Months Ended | ||||||||||
Apr. 27, 2023 | Jan. 25, 2023 | Sep. 15, 2022 | Jul. 13, 2022 | Apr. 28, 2022 | Jan. 26, 2022 | Sep. 23, 2021 | Mar. 31, 2023 | Dec. 31, 2021 | Jan. 16, 2023 | Oct. 01, 2021 | |
Class of Stock [Line Items] | |||||||||||
Dividend declared (in dollars per share) | $ 0.26 | $ 0.23 | $ 0.23 | $ 0.23 | $ 0.23 | $ 0.21 | |||||
Subsequent Event | |||||||||||
Class of Stock [Line Items] | |||||||||||
Dividend declared (in dollars per share) | $ 0.26 | ||||||||||
2020 Stock Repurchase Program | |||||||||||
Class of Stock [Line Items] | |||||||||||
Amount authorized to be repurchased | $ 1,000,000,000 | $ 1,000,000,000 | |||||||||
Shares Repurchased (in shares) | 1,237,688 | 342,054 | |||||||||
2023 Stock Repurchase Program | |||||||||||
Class of Stock [Line Items] | |||||||||||
Amount authorized to be repurchased | $ 1,000,000,000 | ||||||||||
Remaining authorized repurchase amount | $ 1,000,000,000 | ||||||||||
Accelerated Share Repurchase Program | |||||||||||
Class of Stock [Line Items] | |||||||||||
Amount authorized to be repurchased | $ 250,000,000 |
Earnings Per Share and Certai_5
Earnings Per Share and Certain Related Information - Share Repurchases (Details) - 2020 Stock Repurchase Program - USD ($) | 3 Months Ended | ||
Mar. 31, 2023 | Dec. 31, 2021 | Jan. 16, 2023 | |
Class of Stock [Line Items] | |||
Amount authorized to be repurchased | $ 1,000,000,000 | $ 1,000,000,000 | |
Average Price Per Share (in dollars per share) | $ 113.56 | ||
Total Shares Retired (in shares) | 1,237,688 | ||
Shares Repurchased (in shares) | 1,237,688 | 342,054 |
Earnings Per Share and Certai_6
Earnings Per Share and Certain Related Information - Dividends (Details) - $ / shares | Mar. 24, 2023 | Jan. 25, 2023 | Oct. 28, 2022 | Sep. 15, 2022 | Aug. 26, 2022 | Jul. 13, 2022 | Jun. 24, 2022 | Apr. 28, 2022 | Mar. 25, 2022 | Jan. 26, 2022 | Oct. 29, 2021 | Sep. 23, 2021 |
Earnings Per Share Reconciliation [Abstract] | ||||||||||||
Dividend declared (in dollars per share) | $ 0.26 | $ 0.23 | $ 0.23 | $ 0.23 | $ 0.23 | $ 0.21 | ||||||
Dividends paid (in dollars per share) | $ 0.26 | $ 0.23 | $ 0.23 | $ 0.23 | $ 0.23 | $ 0.21 |
Goodwill and Intangibles - Sche
Goodwill and Intangibles - Schedule of Carrying Value of Goodwill by Reportable Segment Appearing in Accompanying Consolidated Balance Sheets (Details) $ in Thousands | 6 Months Ended |
Mar. 31, 2023 USD ($) | |
Goodwill [Roll Forward] | |
Balance at the beginning of the period | $ 7,184,658 |
Acquired | 11,956 |
Post-Acquisition Adjustments | 739 |
Foreign currency translation and other | 168,519 |
Balance at the end of the period | 7,365,872 |
Critical Mission Solutions | |
Goodwill [Roll Forward] | |
Balance at the beginning of the period | 2,251,724 |
Acquired | 0 |
Post-Acquisition Adjustments | 0 |
Foreign currency translation and other | (4,445) |
Balance at the end of the period | 2,247,279 |
People & Places Solutions | |
Goodwill [Roll Forward] | |
Balance at the beginning of the period | 3,196,796 |
Acquired | 0 |
Post-Acquisition Adjustments | (138) |
Foreign currency translation and other | 15,927 |
Balance at the end of the period | 3,212,585 |
Divergent Solutions | |
Goodwill [Roll Forward] | |
Balance at the beginning of the period | 576,986 |
Acquired | 0 |
Post-Acquisition Adjustments | 0 |
Foreign currency translation and other | 19,334 |
Balance at the end of the period | 596,320 |
PA Consulting | |
Goodwill [Roll Forward] | |
Balance at the beginning of the period | 1,159,152 |
Acquired | 11,956 |
Post-Acquisition Adjustments | 877 |
Foreign currency translation and other | 137,703 |
Balance at the end of the period | $ 1,309,688 |
Goodwill and Intangibles - Sc_2
Goodwill and Intangibles - Schedule of Acquired Intangibles in Accompanying Consolidated Balance Sheets (Details) $ in Thousands | 6 Months Ended |
Mar. 31, 2023 USD ($) | |
Finite-lived Intangible Assets [Roll Forward] | |
Beginning balance | $ 1,394,052 |
Amortization | (100,247) |
Acquired | 5,537 |
Post-Acquisition Adjustments | (1,409) |
Foreign currency translation and other | 81,946 |
Ending balance | 1,379,879 |
Customer Relationships, Contracts and Backlog | |
Finite-lived Intangible Assets [Roll Forward] | |
Beginning balance | 1,136,438 |
Amortization | (46,116) |
Acquired | 5,537 |
Post-Acquisition Adjustments | (1,409) |
Foreign currency translation and other | 63,308 |
Ending balance | 1,157,758 |
Developed Technology | |
Finite-lived Intangible Assets [Roll Forward] | |
Beginning balance | 88,931 |
Amortization | (7,672) |
Acquired | 0 |
Post-Acquisition Adjustments | 0 |
Foreign currency translation and other | 496 |
Ending balance | 81,755 |
Trade Names | |
Finite-lived Intangible Assets [Roll Forward] | |
Beginning balance | 168,683 |
Amortization | (46,459) |
Acquired | 0 |
Post-Acquisition Adjustments | 0 |
Foreign currency translation and other | 18,142 |
Ending balance | $ 140,366 |
Goodwill and Intangibles - Sc_3
Goodwill and Intangibles - Schedule of Estimated Amortization Expense of Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Sep. 30, 2022 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2023 | $ 102,400 | |
2024 | 203,900 | |
2025 | 203,500 | |
2026 | 180,500 | |
2027 | 149,200 | |
Thereafter | 540,400 | |
Total | $ 1,379,879 | $ 1,394,052 |
Receivables and Contract Asse_3
Receivables and Contract Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Sep. 30, 2022 |
Components of receivables and contract assets: | ||
Amounts billed, net | $ 1,447,872 | $ 1,400,088 |
Unbilled receivables and other | 1,466,892 | 1,523,249 |
Contract assets | 603,964 | 482,044 |
Total receivables and contract assets, net | 3,518,728 | 3,405,381 |
Other information about receivables: | ||
Amounts due from the United States federal government, included above, net of contract liabilities | $ 780,846 | $ 749,323 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 31, 2023 | Apr. 01, 2022 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | $ 6,104,392 | $ 5,974,837 |
Other comprehensive (loss) income | 148,819 | |
Reclassifications from accumulated other comprehensive income (loss) | (11,731) | |
Ending balance | 6,428,024 | 6,121,978 |
Foreign currency translation adjustment | (87,200) | 38,300 |
Interest rate and cross currency swap gains to be reclassified during the next 12 months | 19,600 | |
Total | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (975,130) | (794,442) |
Ending balance | (838,042) | $ (788,374) |
Change in Net Pension Obligation | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (307,395) | |
Other comprehensive (loss) income | (22,918) | |
Reclassifications from accumulated other comprehensive income (loss) | 0 | |
Ending balance | (330,313) | |
Foreign Currency Translation Adjustment | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (786,040) | |
Other comprehensive (loss) income | 181,644 | |
Reclassifications from accumulated other comprehensive income (loss) | 0 | |
Ending balance | (604,396) | |
Gain/(Loss) on Cash Flow Hedges | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | 118,305 | |
Other comprehensive (loss) income | (9,907) | |
Reclassifications from accumulated other comprehensive income (loss) | (11,731) | |
Ending balance | $ 96,667 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Income Tax Contingency [Line Items] | ||||
Effective income tax rate | 7.60% | 29.70% | 15.40% | 19.10% |
Settled tax benefit related to uncertain tax positions | $ 40.2 | $ 39 | ||
Foreign tax credit | 8.6 | 8.6 | $ 12.6 | |
U.S state income tax expense | 5.9 | $ 5.8 | 10.5 | 8.9 |
U.S tax on foreign earnings | 4.6 | 1.3 | $ 8.2 | 4 |
Discrete foreign tax items | $ 5.2 | |||
Tax benefit | $ 4.9 | |||
CH2M HILL Companies, Ltd. | ||||
Income Tax Contingency [Line Items] | ||||
Settled tax benefit related to uncertain tax positions | $ 30.8 |
Joint Ventures, VIEs and Othe_2
Joint Ventures, VIEs and Other Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | Sep. 30, 2022 | |
Variable Interest Entity [Line Items] | |||||
Consolidated assets | $ 15,002,631 | $ 15,002,631 | $ 14,660,419 | ||
Income from equity method investments | 2,931 | $ (13,280) | |||
Consolidated Joint Venture | Variable Interest Entity, Primary Beneficiary | |||||
Variable Interest Entity [Line Items] | |||||
Consolidated assets | 362,600 | 362,600 | 353,900 | ||
Consolidated liabilities | 223,700 | 223,700 | 228,100 | ||
Unconsolidated Joint Venture | VIE, not primary beneficiary | |||||
Variable Interest Entity [Line Items] | |||||
Consolidated assets | 123,500 | 123,500 | 109,300 | ||
Consolidated liabilities | 139,800 | 139,800 | 129,200 | ||
Equity method investments | 54,300 | 54,300 | 56,600 | ||
Income from equity method investments | 7,500 | $ 12,500 | 17,500 | $ 19,300 | |
Accounts receivable from unconsolidated joint ventures accounted for under the equity method | $ 19,300 | $ 19,300 | $ 21,100 |
Borrowings - Schedule of Long-t
Borrowings - Schedule of Long-term Debt (Details) £ in Thousands, $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Feb. 16, 2023 | Mar. 31, 2023 USD ($) | Mar. 31, 2023 GBP (£) | Sep. 30, 2022 USD ($) | |
Debt Instrument [Line Items] | ||||
Long-term Debt | $ 3,402,471 | $ 3,357,256 | ||
Less: Current Portion | (51,735) | (50,415) | ||
Less: Deferred Financing Fees | (8,672) | (3,466) | ||
2021 Term Loan Facility - US Portion | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt | $ 200,000 | $ 200,000 | ||
2021 Term Loan Facility - US Portion | SONIA Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.975% | 0.975% | ||
2021 Term Loan Facility - US Portion | SONIA Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.725% | 1.725% | ||
2021 Term Loan Facility - US Portion | Base Interest Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0% | 0% | ||
2021 Term Loan Facility - US Portion | Base Interest Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.625% | 0.625% | ||
2021 Term Loan Facility - US Portion | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 6.23% | 6.23% | 4.06% | |
2021 Term Loan Facility - GBP Portion | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt | $ 802,295 | $ 723,580 | ||
2021 Term Loan Facility - GBP Portion | SONIA Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.908% | 0.908% | ||
2021 Term Loan Facility - GBP Portion | SONIA Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.658% | 1.658% | ||
2021 Term Loan Facility - GBP Portion | Eurocurrency Interest Rate | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 5.58% | 5.58% | 3.60% | |
2020 Term Loan Facility | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt | $ 882,789 | $ 882,263 | ||
Quarterly principal payment, percent of aggregate borrowings | 1.25% | |||
Quarterly principal payment | $ 9,125 | £ 3,125 | ||
2020 Term Loan Facility | SONIA Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.975% | 0.975% | ||
2020 Term Loan Facility | SONIA Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.725% | 1.725% | ||
2020 Term Loan Facility | Base Interest Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0% | 0% | ||
2020 Term Loan Facility | Base Interest Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.625% | 0.625% | ||
2020 Term Loan Facility | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 6.28% | 6.28% | 4.49% | |
2020 Term Loan Facility | Eurocurrency Interest Rate | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 5.58% | 5.58% | 3.60% | |
Bonds, Sustainability-Linked | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt | $ 500,000 | $ 0 | ||
Interest rate | 5.90% | 5.90% | ||
Interest rate, increase (decrease) over period | 0.35% | |||
Bonds, Sustainability-Linked | Senior Notes | First Step Up Date | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 6.025% | 6.025% | ||
Interest rate, increase (decrease) over period | 0.125% | 0.125% | ||
Interest rate payable period | 15 days | 15 days | ||
Bonds, Sustainability-Linked | Senior Notes | Second Step Up Date | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 6.15% | 6.15% | ||
Interest rate, increase (decrease) over period | 0.125% | 0.125% | ||
Interest rate payable period | 15 days | 15 days | ||
Senior Notes, Series A | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt | $ 0 | 190,000 | ||
Interest rate | 4.27% | |||
Senior Notes, Series B | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt | $ 0 | 180,000 | ||
Interest rate | 4.42% | |||
Senior Notes, Series C | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt | $ 0 | 130,000 | ||
Interest rate | 4.52% | |||
2020 Term Loan Facility, Denominated in GDP | SONIA Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.908% | 0.908% | ||
2020 Term Loan Facility, Denominated in GDP | SONIA Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.658% | 1.658% | ||
Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt | $ 1,077,794 | $ 1,105,294 | ||
Revolving Credit Facility | SONIA Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.975% | 0.975% | ||
Revolving Credit Facility | SONIA Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.725% | 1.725% | ||
Revolving Credit Facility | Base Interest Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0% | 0% | ||
Revolving Credit Facility | Base Interest Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.625% | 0.625% | ||
Revolving Credit Facility | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 6.24% | 6.24% | 4.08% | |
Revolving Credit Facility | Eurocurrency Interest Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.908% | 0.908% | ||
Revolving Credit Facility | Eurocurrency Interest Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.658% | 1.658% |
Borrowings - Narrative (Details
Borrowings - Narrative (Details) $ in Thousands, £ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||||||||||
Feb. 16, 2023 | Jan. 20, 2021 USD ($) | Jan. 20, 2021 GBP (£) | Mar. 27, 2019 USD ($) | Dec. 30, 2022 USD ($) | Dec. 30, 2022 USD ($) | Mar. 31, 2023 USD ($) | Apr. 01, 2022 USD ($) | Feb. 13, 2023 USD ($) | Feb. 06, 2023 | Sep. 30, 2022 USD ($) derivative_agreement | Mar. 25, 2020 USD ($) | Mar. 25, 2020 GBP (£) | Mar. 12, 2018 USD ($) | Feb. 07, 2014 USD ($) | |
Debt Instrument [Line Items] | |||||||||||||||
Proceeds from long-term borrowings | $ 2,075,495 | $ 1,519,000 | |||||||||||||
Long-term debt | 3,402,471 | $ 3,357,256 | |||||||||||||
Treasury Lock | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Number of instruments held | derivative_agreement | 2 | ||||||||||||||
Derivative notional amount | $ 500,000 | ||||||||||||||
Minimum | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Facility fee (as a percent) | 0.10% | ||||||||||||||
Maximum | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Facility fee (as a percent) | 0.25% | ||||||||||||||
Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Repayments of senior debt | $ 19,000 | $ 481,000 | |||||||||||||
Fixed Rate Date | Treasury Lock | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Aggregate principal amount | $ 500,000 | 500,000 | |||||||||||||
Revolving Credit Facility | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Available borrowing capacity | 1,170,000 | ||||||||||||||
2021 Term Loan Facility - US Portion | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Covenant, leverage ratio, maximum | 3.50 | ||||||||||||||
Covenant, leverage ratio, Temporary maximum | 4 | ||||||||||||||
Proceeds from long-term borrowings | $ 200,000 | £ 650 | |||||||||||||
Long-term debt | 200,000 | 200,000 | |||||||||||||
2020 Term Loan Facility | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Covenant, leverage ratio, maximum | 3.50 | ||||||||||||||
Covenant, leverage ratio, Temporary maximum | 4 | ||||||||||||||
Aggregate principal amount | $ 730,000 | ||||||||||||||
Long-term debt | 882,789 | 882,263 | |||||||||||||
2020 Term Loan Facility | U.K. subsidiary | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Aggregate principal amount | £ | £ 250 | ||||||||||||||
Bonds, Sustainability-Linked | Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Aggregate principal amount | $ 500,000 | ||||||||||||||
Interest rate | 5.90% | 5.90% | |||||||||||||
Interest rate, increase (decrease) over period | 0.35% | ||||||||||||||
Redemption price percentage | 100% | ||||||||||||||
Long-term debt | $ 500,000 | 0 | |||||||||||||
Note Purchase Agreement | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Long-term debt | $ 500,000 | ||||||||||||||
Revolving Credit Facility | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Long-term debt | 1,077,794 | 1,105,294 | |||||||||||||
Revolving Credit Facility | Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Long-term debt, fair value | 497,100 | ||||||||||||||
Revolving Credit Facility | Revolving Credit Facility | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Credit facility, maximum borrowing capacity | $ 2,250,000 | $ 1,600,000 | |||||||||||||
Credit facility, potential borrowing capacity | 3,250,000 | ||||||||||||||
Covenant, leverage ratio, maximum | 3.50 | ||||||||||||||
Covenant, leverage ratio, Temporary maximum | 4 | ||||||||||||||
Letter of Credit | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Credit facility, maximum borrowing capacity | 400,000 | ||||||||||||||
Letter of Credit | Revolving Credit Facility | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Long-term line of credit | 1,300 | ||||||||||||||
Letter of Credit | Committed and Uncommitted Letter-of-Credit Facilities | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Long-term line of credit | 321,100 | ||||||||||||||
Sub Facility Of Swing Line Loans | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Credit facility, maximum borrowing capacity | $ 100,000 | ||||||||||||||
Line of Credit | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Current maturities of long-term debt | $ 322,400 | $ 280,500 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Lessee, Lease, Description [Line Items] | ||||
Impairment of long-lived assets and equity method investment | $ 10,100 | $ 2,300 | $ 37,217 | $ 74,585 |
Minimum | Foreign Exchange Forward | ||||
Lessee, Lease, Description [Line Items] | ||||
Term of derivative contract | 1 month | |||
Right-of-Use Lease Asset | ||||
Lessee, Lease, Description [Line Items] | ||||
Impairment of long-lived assets and equity method investment | $ 32,400 | 56,600 | ||
Other Long-Lived Assets | ||||
Lessee, Lease, Description [Line Items] | ||||
Impairment of long-lived assets and equity method investment | $ 4,800 | $ 18,000 |
Leases - Schedule of Lease Cost
Leases - Schedule of Lease Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Leases [Abstract] | ||||
Operating lease expense | $ 35,539 | $ 37,213 | $ 70,821 | $ 77,751 |
Variable lease expense | 9,416 | 8,854 | 18,762 | 15,939 |
Sublease income | (4,414) | (3,922) | (8,820) | (7,590) |
Total lease expense | $ 40,541 | $ 42,145 | $ 80,763 | $ 86,100 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 31, 2023 | Apr. 01, 2022 | |
Leases [Abstract] | ||
Cash paid for amounts included in the measurements of lease liabilities | $ 92,142 | $ 119,031 |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 42,150 | $ 27,838 |
Weighted average remaining lease term - operating leases | 6 years 1 month 6 days | 6 years 7 months 6 days |
Weighted average discount rate - operating leases | 3% | 2.70% |
Leases - Schedule of Operating
Leases - Schedule of Operating Lease Maturity (Details) $ in Thousands | Mar. 31, 2023 USD ($) |
Leases [Abstract] | |
2023 | $ 88,355 |
2024 | 161,867 |
2025 | 135,506 |
2026 | 113,639 |
2027 | 92,933 |
Thereafter | 220,982 |
Remaining lease payments under operating leases | 813,282 |
Less Interest | (74,087) |
Operating lease liabilities | $ 739,195 |
Pension and Other Postretirem_3
Pension and Other Postretirement Benefit Plans - Schedule of Pension Plans' Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Component: | ||||
Service cost | $ 1,748 | $ 1,709 | $ 3,496 | $ 3,418 |
Interest cost | 20,233 | 13,784 | 40,466 | 27,568 |
Expected return on plan assets | (21,091) | (23,263) | (42,182) | (46,526) |
Amortization of previously unrecognized items | 1,304 | 3,092 | 2,608 | 6,184 |
Net periodic benefit cost | $ 2,194 | $ (4,678) | $ 4,388 | $ (9,356) |
Pension and Other Postretirem_4
Pension and Other Postretirement Benefit Plans - Defined Contribution Plans (Details) $ in Thousands | 6 Months Ended |
Mar. 31, 2023 USD ($) | |
Retirement Benefits [Abstract] | |
Cash contributions made during the first six months of fiscal 2023 | $ 14,793 |
Cash contributions projected for the remainder of fiscal 2023 | 11,858 |
Total | $ 26,651 |
PA Consulting Business Combin_3
PA Consulting Business Combination - Narrative (Details) - USD ($) $ in Thousands | 6 Months Ended | |||
Mar. 02, 2021 | Mar. 31, 2023 | Apr. 01, 2022 | Sep. 30, 2022 | |
Business Acquisition [Line Items] | ||||
Repurchase of redeemable noncontrolling interests | $ 58,353 | $ 35,095 | ||
PA Consulting Employees | ||||
Business Acquisition [Line Items] | ||||
Ownership interest of employees | 35% | |||
PA Consulting Group Limited | ||||
Business Acquisition [Line Items] | ||||
Percentage of outstanding shares of common and preferred stock acquired | 65% | |||
Consideration transferred | $ 1,700,000 | |||
Fair value of redeemable noncontrolling interests | $ 582,400 | |||
Allocated share-based compensation expense | 1,100 | $ 1,000 | ||
Cash in employee benefit trust | $ 2,300 | $ 13,700 |
PA Consulting Business Combin_4
PA Consulting Business Combination - Change in Redeemable Noncontrolling Interest (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2023 | Apr. 01, 2022 | |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |||
Noncontrolling interest, Beginning balance | $ 44,336 | ||
Attribution of Preferred Dividend to Common Shareholders | $ (8,910) | (10,783) | $ (9,778) |
Noncontrolling interest, Ending balance | 48,387 | 48,387 | |
PA Consulting Employees | |||
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |||
Noncontrolling interest, Beginning balance | 632,522 | ||
Accrued Preferred Dividend to Preference Shareholders | 33,786 | ||
Attribution of Preferred Dividend to Common Shareholders | (33,786) | ||
Net earnings attributable to redeemable noncontrolling interests to Common Shareholders | 12,855 | ||
Redeemable Noncontrolling interests redemption value adjustment | 44,494 | ||
Repurchase of redeemable noncontrolling interests | (69,690) | ||
Cumulative translation adjustment and other | 45,826 | ||
Noncontrolling interest, Ending balance | $ 666,007 | $ 666,007 |
Other Business Combinations - N
Other Business Combinations - Narrative (Details) - USD ($) | Feb. 04, 2022 | Nov. 19, 2021 |
Business Acquisition [Line Items] | ||
Goodwill recognized expected to be deductible for tax purposes | $ 0 | |
StreetLightData, Inc. | ||
Business Acquisition [Line Items] | ||
Consideration paid in cash | 190,800,000 | |
Business combination consideration equity issued | 900,000 | |
In-the-money stock options transferred | 5,200,000 | |
Liabilities assumed in business acquisition | 1,000,000 | |
Debt assumed | $ 1,000,000 | |
StreetLightData, Inc. | Developed technology intangible | ||
Business Acquisition [Line Items] | ||
Useful life of acquired intangible assets | 5 years | |
StreetLightData, Inc. | Data and customer relationships | ||
Business Acquisition [Line Items] | ||
Useful life of acquired intangible assets | 4 years | |
StreetLightData, Inc. | Customer relationships, contracts and backlog intangible | ||
Business Acquisition [Line Items] | ||
Useful life of acquired intangible assets | 9 years | |
BlackLynx | ||
Business Acquisition [Line Items] | ||
Consideration paid in cash | $ 235,400,000 | |
Goodwill recognized expected to be deductible for tax purposes | 0 | |
Debt assumed | $ 5,300,000 | |
BlackLynx | Data and customer relationships | ||
Business Acquisition [Line Items] | ||
Useful life of acquired intangible assets | 8 years | |
BlackLynx | Customer relationships, contracts and backlog intangible | ||
Business Acquisition [Line Items] | ||
Useful life of acquired intangible assets | 4 years |
Other Business Combinations - S
Other Business Combinations - Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Sep. 30, 2022 | Feb. 04, 2022 | Nov. 19, 2021 |
Assets | ||||
Goodwill | $ 7,365,872 | $ 7,184,658 | ||
StreetLightData, Inc. | ||||
Assets | ||||
Cash and cash equivalents | $ 7,300 | |||
Receivables | 5,200 | |||
Property, equipment and improvements, net | 100 | |||
Goodwill | 116,400 | |||
Identifiable intangible assets | 105,100 | |||
Prepaid expenses and other current assets | 2,000 | |||
Total Assets | 236,100 | |||
Liabilities | ||||
Accounts payable, accrued expenses and other current liabilities | 23,100 | |||
Other long term liabilities | 16,100 | |||
Total Liabilities | 39,200 | |||
Net assets acquired | $ 196,900 | |||
BlackLynx | ||||
Assets | ||||
Cash and cash equivalents | $ 5,100 | |||
Receivables | 7,700 | |||
Property, equipment and improvements, net | 800 | |||
Goodwill | 195,800 | |||
Identifiable intangible assets | 51,100 | |||
Prepaid expenses and other current assets | 3,200 | |||
Total Assets | 263,700 | |||
Liabilities | ||||
Accounts payable, accrued expenses and other current liabilities | 19,500 | |||
Other long term liabilities | 8,800 | |||
Total Liabilities | 28,300 | |||
Net assets acquired | $ 235,400 |
Restructuring and Other Charg_3
Restructuring and Other Charges - Summary of Restructuring and Other Charges Impacts on Reportable Segment Income by Line of Business (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | $ 8,581 | |||
Real estate impairment charges | $ 10,100 | $ 2,300 | 37,200 | $ 74,600 |
Final pre-tax settlement | 91,300 | 91,300 | ||
Gain (loss) on termination of lease | 700 | 7,100 | ||
CH2M HILL Companies, Ltd. | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 12,840 | 108,164 | 47,284 | 177,524 |
Real estate impairment charges | 11,000 | 38,700 | 71,000 | |
Final pre-tax settlement | 91,300 | 91,300 | ||
CH2M HILL Companies, Ltd. | Operating profit (mainly SG&A) | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 12,873 | 110,171 | 47,945 | 188,075 |
CH2M HILL Companies, Ltd. | Other (Income) Expense, net | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | (33) | (2,007) | (661) | (10,551) |
CH2M HILL Companies, Ltd. | Corporate | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 2,289 | 102,514 | 5,622 | 109,352 |
CH2M HILL Companies, Ltd. | Critical Mission Solutions | Operating Segments | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 1,052 | 3,462 | 3,264 | 4,616 |
CH2M HILL Companies, Ltd. | People & Places Solutions | Operating Segments | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 5,869 | 671 | 33,186 | 61,840 |
CH2M HILL Companies, Ltd. | Divergent Solutions | Operating Segments | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 3,630 | 0 | 5,212 | 0 |
CH2M HILL Companies, Ltd. | PA Consulting | Operating Segments | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | $ 0 | $ 1,517 | $ 0 | $ 1,716 |
Restructuring and Other Charg_4
Restructuring and Other Charges - Schedule of Restructuring and Other Activities (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Restructuring Reserve [Roll Forward] | ||||
Beginning balance | $ 4,137 | |||
Net Charges (Credits) | 8,581 | |||
Payments and other | (9,603) | |||
Ending balance | $ 3,115 | 3,115 | ||
Real estate related impairments and other transformation | $ 10,100 | $ 2,300 | $ 37,200 | $ 74,600 |
Restructuring and Other Charg_5
Restructuring and Other Charges - Summary of Restructuring and Other Activities by Major Type of Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Restructuring Cost and Reserve [Line Items] | ||||
Final pre-tax settlement | $ 91,300 | $ 91,300 | ||
CH2M Hill, KeyM, John Wood Group Acquisitions and ECR Sale | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring costs | $ 12,840 | 108,164 | $ 47,284 | 177,524 |
CH2M Hill, KeyM, John Wood Group Acquisitions and ECR Sale | Lease Abandonments and Impairments | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring costs | 10,443 | 2,294 | 37,273 | 67,837 |
CH2M Hill, KeyM, John Wood Group Acquisitions and ECR Sale | Voluntary and Involuntary Terminations | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring costs | 1,939 | 4,548 | 8,509 | 5,111 |
CH2M Hill, KeyM, John Wood Group Acquisitions and ECR Sale | Outside Services | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring costs | 802 | 11,500 | 1,478 | 16,176 |
CH2M Hill, KeyM, John Wood Group Acquisitions and ECR Sale | Other | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring costs | $ (344) | 89,822 | $ 24 | 88,400 |
CH2M HILL Companies, Ltd. | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Final pre-tax settlement | $ 91,300 | $ 91,300 |
Restructuring and Other Charg_6
Restructuring and Other Charges - Summary of Cumulative Amounts Incurred for Restructuring and Other Activities Costs (Details) $ in Thousands | Mar. 31, 2023 USD ($) |
Restructuring Cost and Reserve [Line Items] | |
Cumulative amounts incurred to date | $ 1,109,861 |
Lease Abandonments and Impairments | |
Restructuring Cost and Reserve [Line Items] | |
Cumulative amounts incurred to date | 424,875 |
Voluntary and Involuntary Terminations | |
Restructuring Cost and Reserve [Line Items] | |
Cumulative amounts incurred to date | 158,886 |
Outside Services | |
Restructuring Cost and Reserve [Line Items] | |
Cumulative amounts incurred to date | 317,811 |
Other | |
Restructuring Cost and Reserve [Line Items] | |
Cumulative amounts incurred to date | $ 208,289 |
Commitments and Contingencies_2
Commitments and Contingencies and Derivative Financial Instruments (Details) $ in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||
Feb. 13, 2023 USD ($) | Apr. 12, 2022 USD ($) | Apr. 12, 2022 AUD ($) | Apr. 01, 2022 USD ($) | Mar. 31, 2023 USD ($) | Sep. 30, 2022 USD ($) derivative_agreement | Sep. 28, 2012 MW | Dec. 22, 2008 case | |
JKC Australia LNG Pty Limited | ||||||||
Loss Contingencies [Line Items] | ||||||||
Settlement payment | $ 475 | |||||||
UGL Infrastructure Pty Limited | Consortium Agreement | ||||||||
Loss Contingencies [Line Items] | ||||||||
Percentage of ownership interest in joint venture | 50% | |||||||
Treasury Lock | ||||||||
Loss Contingencies [Line Items] | ||||||||
Number of instruments held | derivative_agreement | 2 | |||||||
Derivative notional amount | $ 500 | |||||||
Gain on derivatives, before taxes | $ 37.4 | |||||||
Derivative assets (liabilities), at fair value | 40.9 | |||||||
Unrealized gain (loss) on derivatives | $ 27.9 | 30.8 | ||||||
Treasury Lock | Fixed Rate Date | ||||||||
Loss Contingencies [Line Items] | ||||||||
Aggregate principal amount | $ 500 | 500 | ||||||
Interest Rate Swap and Cross Currency Interest Rate Contract | ||||||||
Loss Contingencies [Line Items] | ||||||||
Derivative assets (liabilities), at fair value | 91.3 | 128.2 | ||||||
Unrealized gain (loss) on derivatives | 68.8 | 87.5 | ||||||
Interest Rate Swap | ||||||||
Loss Contingencies [Line Items] | ||||||||
Derivative notional amount | 771.7 | |||||||
Cross Currency Interest Rate Contract | ||||||||
Loss Contingencies [Line Items] | ||||||||
Derivative notional amount | 127.8 | |||||||
Foreign Exchange Forward | ||||||||
Loss Contingencies [Line Items] | ||||||||
Derivative notional amount | 720.9 | 298.2 | ||||||
Derivative assets (liabilities), at fair value | $ 20.4 | (3.2) | ||||||
Minimum | Cross Currency Interest Rate Contract | ||||||||
Loss Contingencies [Line Items] | ||||||||
Term of derivative contract | 3 years 6 months | |||||||
Minimum | Foreign Exchange Forward | ||||||||
Loss Contingencies [Line Items] | ||||||||
Term of derivative contract | 1 month | |||||||
Maximum | Cross Currency Interest Rate Contract | ||||||||
Loss Contingencies [Line Items] | ||||||||
Term of derivative contract | 10 years | |||||||
Maximum | Foreign Exchange Forward | ||||||||
Loss Contingencies [Line Items] | ||||||||
Term of derivative contract | 12 months | |||||||
Kingston Power Plant of the TVA, Secondary Case No. 3:13CV-505-TAV-HBG | ||||||||
Loss Contingencies [Line Items] | ||||||||
Number of pending claims | case | 10 | |||||||
General Electric and GE Electrical International Inc | ||||||||
Loss Contingencies [Line Items] | ||||||||
Plant capacity (in MW's) | MW | 360 | |||||||
Settlement payment | $ 640 | |||||||
Litigation expenses included in segment profit | $ 91.3 | |||||||
LOCs | ||||||||
Loss Contingencies [Line Items] | ||||||||
Aggregate principal balance of short-term debt | $ 322.4 | 280.5 | ||||||
Surety Bond | ||||||||
Loss Contingencies [Line Items] | ||||||||
Aggregate principal balance of short-term debt | $ 2,000 | $ 2,200 |
Segment Information - Narrative
Segment Information - Narrative (Details) | 6 Months Ended |
Mar. 31, 2023 line_of_business segment | |
Segment Reporting [Abstract] | |
Number of operating segments | segment | 4 |
Number of lines business | line_of_business | 2 |
Segment Information - Schedule
Segment Information - Schedule of Total Revenues, Segment Operating Profit and Total Asset for Reporting Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2023 | Apr. 01, 2022 | Mar. 31, 2023 | Apr. 01, 2022 | |
Segment Reporting Information [Line Items] | ||||
Revenues | $ 4,078,332 | $ 3,834,059 | $ 7,877,001 | $ 7,214,684 |
Total Segment Operating Profit | 289,863 | 166,215 | 527,668 | 343,548 |
Restructuring, Transaction and Other Charges | (19,154) | (117,270) | (59,497) | (200,836) |
Total Other Expense, net | (37,550) | (10,933) | (77,873) | (19,177) |
Earnings from Continuing Operations Before Taxes | 252,313 | 155,282 | 449,795 | 324,371 |
Amortization of intangible assets | 100,247 | |||
Real estate related impairments and other transformation | 10,100 | 2,300 | 37,200 | 74,600 |
Final pre-tax settlement | 91,300 | 91,300 | ||
Gain (loss) on termination of lease | 700 | 7,100 | ||
AWE Management Ltd | ||||
Segment Reporting Information [Line Items] | ||||
Investment income associated with final exit activities | 3,500 | |||
CH2M HILL Companies, Ltd. | ||||
Segment Reporting Information [Line Items] | ||||
Real estate related impairments and other transformation | 11,000 | 38,700 | 71,000 | |
Final pre-tax settlement | 91,300 | 91,300 | ||
Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Total Segment Operating Profit | 416,640 | 372,717 | 788,474 | 738,976 |
Corporate | ||||
Segment Reporting Information [Line Items] | ||||
Other Corporate Expenses | (107,623) | (89,232) | (201,309) | (194,592) |
Corporate | Other Expense | ||||
Segment Reporting Information [Line Items] | ||||
Amortization of intangible assets | 50,500 | 48,400 | 100,200 | 95,300 |
One-time benefit program changes | 15,000 | |||
Changes in employee benefit programs | 41,000 | |||
Company technology platforms and other personnel and corporate overhead cost increases | 26,000 | |||
Critical Mission Solutions | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 1,191,056 | 1,134,381 | 2,266,231 | 2,111,159 |
Total Segment Operating Profit | 93,943 | 94,617 | 176,163 | 185,857 |
People & Places Solutions | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 2,345,065 | 2,162,994 | 4,572,050 | 4,083,990 |
Total Segment Operating Profit | 232,205 | 192,713 | 458,825 | 381,554 |
Divergent Solutions | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 241,224 | 239,294 | 455,690 | 432,171 |
Total Segment Operating Profit | 24,861 | 17,055 | 36,828 | 40,163 |
PA Consulting | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 300,987 | 297,390 | 583,030 | 587,364 |
Total Segment Operating Profit | $ 65,631 | $ 68,332 | $ 116,658 | $ 131,402 |