0001410578-22-003540 | 10-K | XBRL Viewer

Document And Entity Information - USD ($)	12 Months Ended
Document And Entity Information - USD ($)	Sep. 30, 2022	Nov. 13, 2022	Mar. 31, 2022
Document And Entity Information [Abstract]
Document Type	10-K
Document Annual Report	true
Document Transition Report	false
Document Period End Date	Sep. 30, 2022
Entity File Number	1-10596
Entity Registrant Name	ESCO Technologies Inc.
Entity Incorporation, State or Country Code	MO
Entity Tax Identification Number	43-1554045
Entity Address, Address Line One	9900A Clayton Road
Entity Address, City or Town	St. Louis
Entity Address, State or Province	MO
Entity Address, Postal Zip Code	63124-1186
City Area Code	314
Local Phone Number	213-7200
Title of 12(b) Security	Common Stock, par value $0.01 per share
Trading Symbol	ESE
Security Exchange Name	NYSE
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
ICFR Auditor Attestation Flag	true
Entity Shell Company	false
Entity Public Float			$ 1,784,000,000
Entity Common Stock, Shares Outstanding		25,885,528
Entity Central Index Key	0000866706
Current Fiscal Year End Date	--09-30
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	FY
Amendment Flag	false
Auditor Name	GRANT THORNTON LLP
Auditor Firm ID	248
Auditor Location	St. Louis, Missouri

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
CONSOLIDATED STATEMENTS OF OPERATIONS
Net sales	$ 857,502	$ 715,440	$ 730,471
Costs and expenses:
Cost of sales	525,457	445,045	458,311
Selling, general and administrative expenses	195,127	167,534	159,490
Amortization of intangible assets	25,936	20,829	21,812
Interest expense, net	4,851	2,255	6,730
Pension plan termination charge			40,600
Other (income) expenses, net	(304)	(894)	7,122
Total costs and expenses	751,067	634,769	694,065
Total income before income taxes	106,435	80,671	36,406
Income tax expense	24,115	17,175	13,510
Net earnings from continuing operations	82,320	63,496	22,896
Net gain on sale from discontinued operations, net of tax expense of $23,501			76,515
Net earnings from discontinued operations			76,515
Net earnings	$ 82,320	$ 63,496	$ 99,411
Basic:
Continuing operations	$ 3.17	$ 2.44	$ 0.88
Discontinued operations			2.94
Net earnings	3.17	2.44	3.82
Diluted:
Continuing operations	3.16	2.42	0.88
Discontinued operations			2.93
Net earnings	$ 3.16	$ 2.42	$ 3.81
Average common shares outstanding (in thousands):
Basic	25,933	26,046	26,010
Diluted	26,067	26,225	26,135

CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) $ in Thousands	12 Months Ended
	Sep. 30, 2022 USD ($)
CONSOLIDATED STATEMENTS OF OPERATIONS
Gain on sale of discontinued operations, tax expense	$ 23,501

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Net earnings	$ 82,320	$ 63,496	$ 99,411
Other comprehensive (loss) income, net of tax:
Foreign currency translation adjustments	(28,876)	1,496	3,172
Pension plan termination			40,600
Amortization of prior service costs, actuarial losses and other	(727)		(3,455)
Total other comprehensive (loss) income, net of tax	(29,603)	1,496	40,317
Comprehensive income	$ 52,717	$ 64,992	$ 139,728

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

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+ Details

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Current assets:
Cash and cash equivalents	$ 97,724	$ 56,232
Accounts receivable, less allowance for credit losses of $2,612 and $1,949 in 2022 and 2021, respectively	164,645	146,341
Contract assets, net	125,154	93,771
Inventories, net	162,403	147,148
Other current assets	22,696	22,662
Total current assets	572,622	466,154
Property, plant and equipment:
Land and land improvements	12,126	10,547
Buildings and leasehold improvements	110,306	109,279
Machinery and equipment	187,287	176,447
Construction in progress	11,576	5,543
Property, Plant and Equipment, Gross	321,295	301,816
Less accumulated depreciation and amortization	(165,322)	(147,551)
Net property, plant and equipment	155,973	154,265
Intangible assets, net	394,464	409,250
Goodwill	492,709	504,853
Operating lease assets, net	29,150	31,846
Other assets	9,538	10,977
Total Assets	1,654,456	1,577,345
Current liabilities:
Current maturities of long-term debt and short-term borrowings	20,000	20,000
Accounts payable	78,746	56,669
Contract liabilities, net	125,009	106,045
Accrued salaries	40,572	39,768
Accrued other expenses	53,802	52,513
Total current liabilities	318,129	274,995
Deferred tax liabilities, net	82,023	73,560
Non-current operating lease liabilities	24,853	28,032
Other liabilities	48,294	47,062
Long-term debt	133,000	134,000
Total liabilities	606,299	557,649
Shareholders' equity:
Preferred stock, par value $.01 per share, authorized 10,000,000 shares
Common stock, par value $.01 per share, authorized 50,000,000 shares; issued 30,707,748 and 30,666,173 shares in 2022 and 2021, respectively	307	307
Additional paid-in capital	301,553	297,644
Retained earnings	905,022	830,989
Accumulated other comprehensive loss, net of tax	(31,764)	(2,161)
Total stockholders' equity before treasury stock	1,175,118	1,126,779
Less treasury stock, at cost (4,854,997 and 4,604,741 common shares in 2022 and 2021, respectively)	(126,961)	(107,083)
Total shareholders' equity	1,048,157	1,019,696
Total Liabilities and Shareholders' Equity	$ 1,654,456	$ 1,577,345

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
CONSOLIDATED BALANCE SHEETS
Allowance for Doubtful Accounts Receivable, Current	$ 2,612	$ 1,949
Less accumulated depreciation and amortization	$ 165,322	$ 147,551
Preferred Stock, Par or Stated Value Per Share	$ 0.01	$ 0.01
Preferred Stock, Shares Authorized	10,000,000	10,000,000
Common Stock, Par or Stated Value Per Share	$ 0.01	$ 0.01
Common Stock, Shares Authorized	50,000,000	50,000,000
Common stock, shares issued	30,707,748	30,666,173
Treasury stock, shares	4,854,997	4,604,741

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock	Additional Paid-In Capital	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Treasury Stock	Total
Beginning Balance at Sep. 30, 2019	$ 306	$ 292,408	$ 684,741	$ (43,974)	$ (107,259)	$ 826,222
Beginning Balance (in shares) at Sep. 30, 2019	30,597
Comprehensive income (loss):
Net earnings	$ 0	0	99,411	0	0	99,411
Translation adjustments, net of tax	0	0	0	3,172	0	3,172
Pension termination and net unrecognized actuarial loss, net of tax	0	0	0	37,145	0	37,145
Cash dividends declared	0	0	(8,323)	0	0	(8,323)
Stock compensation plans, net of tax	$ 0	1,274	0	0	125	1,399
Stock compensation plans, net of tax (in shares)	49
Ending Balance at Sep. 30, 2020	$ 306	293,682	775,829	(3,657)	(107,134)	959,026
Ending Balance (in shares) at Sep. 30, 2020	30,646
Comprehensive income (loss):
Net earnings	$ 0	0	63,496	0	0	63,496
Translation adjustments, net of tax	0	0	0	1,496	0	1,496
Cash dividends declared	0	0	(8,336)	0	0	(8,336)
Stock compensation plans, net of tax	$ 1	3,962	0	0	51	4,014
Stock compensation plans, net of tax (in shares)	20
Ending Balance at Sep. 30, 2021	$ 307	297,644	830,989	(2,161)	(107,083)	1,019,696
Ending Balance (in shares) at Sep. 30, 2021	30,666
Comprehensive income (loss):
Net earnings	$ 0	0	82,320	0	0	82,320
Net unrecognized actuarial loss - SERP	0	0	0	(727)	0	(727)
Translation adjustments, net of tax	0	0	0	(28,876)	0	(28,876)
Cash dividends declared	0	0	(8,287)	0	0	(8,287)
Purchases of common stock into treasury	0	0	0	0	(19,878)	(19,878)
Stock compensation plans, net of tax	$ 0	3,909	0	0	0	3,909
Stock compensation plans, net of tax (in shares)	42
Ending Balance at Sep. 30, 2022	$ 307	$ 301,553	$ 905,022	$ (31,764)	$ (126,961)	$ 1,048,157
Ending Balance (in shares) at Sep. 30, 2022	30,708

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY
Translation adjustments, net of tax	$ 0	$ 0	$ 0
Pension termination and net unrecognized actuarial loss, net of tax			$ 1,161
Cash dividends declared	$ 0.32	$ 0.32	$ 0.32
Stock compensation plans, net of tax	$ 0	$ 0	$ 0

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Cash flows from operating activities:
Net earnings	$ 82,320	$ 63,496	$ 99,411
Adjustments to reconcile net earnings to net cash provided by operating activities:
Net earnings from discontinued operations, net of tax			(76,515)
Depreciation and amortization	48,343	42,049	41,338
Stock compensation expense	7,320	6,914	5,550
Changes in assets and liabilities	(11,654)	15,671	26,585
Gain on sale of building and land		(1,950)
Effect of deferred taxes on tax provision	8,946	(3,041)	(2,785)
Pension contributions			(25,650)
Pension plan termination charge			40,600
Net cash provided by operating activities - continuing operations	135,275	123,139	108,534
Net cash (used) by discontinued operations			(26,254)
Net cash provided by operating activities	135,275	123,139	82,280
Cash flows from investing activities:
Acquisition of businesses, net of cash acquired	(10,906)	(168,903)
Capital expenditures	(32,101)	(26,705)	(32,108)
Additions to capitalized software	(12,912)	(8,783)	(9,023)
Proceeds from sale of building and land		1,950
Net cash used by investing activities - continuing operations	(55,919)	(202,441)	(41,131)
Net cash provided by investing activities - discontinued operations			182,084
Net cash (used) provided by investing activities	(55,919)	(202,441)	140,953
Cash flows from financing activities:
Proceeds from long-term debt	100,000	216,000	12,368
Principal payments on long-term debt	(101,000)	(124,368)	(235,000)
Dividends paid	(8,268)	(8,336)	(8,323)
Purchases of common stock into treasury	(19,878)
Other	(2,976)	(1,823)	(3,125)
Net cash (used) provided by financing activities - continuing operations	(32,122)	81,473	(234,080)
Net cash used by financing activities - discontinued operations			(2,140)
Net cash (used) provided by financing activities	(32,122)	81,473	(236,220)
Effect of exchange rate changes on cash and cash equivalents	(5,742)	1,501	3,739
Net increase (decrease) in cash and cash equivalents	41,492	3,672	(9,248)
Cash and cash equivalents at beginning of year	56,232	52,560	61,808
Cash and cash equivalents at end of year	97,724	56,232	52,560
Changes in assets and liabilities:
Accounts receivable, net	(17,676)	11,266	14,633
Contract assets and liabilities, net	(12,419)	8,974	35,283
Inventories	(13,788)	612	(10,340)
Other assets and liabilities	9,412	(477)	(8,609)
Accounts payable	21,985	(688)	(13,275)
Accrued expenses	832	(3,836)	8,893
Changes in assets and liabilities	(11,654)	15,671	26,585
Supplemental cash flow information:
Interest paid	2,835	590	5,869
Income taxes paid (including state & foreign)	$ 9,856	$ 26,054	$ 37,714

Summary of Significant Accounting Policies

12 Months Ended

Sep. 30, 2022

Summary of Significant Accounting Policies

Summary of Significant Accounting Policies

1. Summary of Significant Accounting Policies

A. Principles of Consolidation

The Consolidated Financial Statements include the accounts of ESCO Technologies Inc. (ESCO) and its wholly owned subsidiaries. Except where the context indicates otherwise, the terms “Company”, “we”, “our” and “us” are used in this report to refer to ESCO together with its subsidiaries through which its businesses are conducted. All significant intercompany transactions and accounts have been eliminated in consolidation.

B. Basis of Presentation

Our fiscal year ends on September 30. Throughout the Consolidated Financial Statements, unless the context indicates otherwise, references to a year (for example 2022) refer to fiscal year ending on September 30 of that year. Certain prior period amounts have been reclassified to conform to the current period presentation.

Our former Technical Packaging segment is reflected as discontinued operations in the Consolidated Financial Statements and related notes for all periods presented, in accordance with accounting principles generally accepted in the United States of America (GAAP).

C. Nature of Operations

We are organized based on the products and services we offer and we currently classify our business operations in three segments for financial reporting purposes: Aerospace & Defense (A&D), Utility Solutions Group (USG), and RF Shielding and Test (Test).

A&D: The companies within this segment primarily design and manufacture specialty filtration products, including hydraulic filter elements and fluid control devices used in commercial aerospace applications; unique filter mechanisms used in micro-propulsion devices for satellites; custom designed filters for manned aircraft and submarines; products and systems to reduce vibration and/or acoustic signatures and otherwise reduce or obscure a vessel’s signature, and other communications, sealing, surface control and hydrodynamic related applications to enhance U.S. Navy maritime survivability; precision-tolerance machined components for the aerospace and defense industry; and metal processing services; and miniature electro-explosive devices for military aircraft ejection seats and missile arming devices.

USG: The companies within this segment provide diagnostic testing solutions that enable electric power grid operators to assess the integrity of high-voltage power delivery equipment, as well as decision support tools for the renewable energy industry, primarily wind and solar.

Test: The companies within this segment provide their customers with the ability to identify, measure and contain magnetic, electromagnetic and acoustic energy.

In addition, for reporting certain financial information we treat Corporate activities as a separate segment.

D. Use of Estimates

The preparation of financial statements in conformity with GAAP requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities. Actual results could differ from those estimates.

E. Revenue Recognition

We recognize revenue when control of the goods or services promised under the contract is transferred to the customer either at a point in time (e.g., upon delivery) or over time (e.g., as we perform under the contract). We account for a contract when it has approval and commitment from both parties, the rights and payment terms of the parties are identified, the contract has commercial substance and collectability of consideration is probable. We review contracts to determine whether there are one or multiple performance obligations. A performance obligation is a promise to transfer a distinct good or service to a customer and represents the unit of accounting for revenue recognition. For contracts with multiple performance obligations, we allocate the expected

consideration, or the transaction price, to each performance obligation identified in the contract based on the relative standalone selling price of each performance obligation. We then recognize revenue for the transaction price allocated to the performance obligation when control of the promised goods or services underlying the performance obligation is transferred.

Payment terms with our customers vary by the type and location of the customer and the products or services offered. We do not adjust the promised amount of consideration for the effects of significant financing components based on the expectation that the period between when we transfer a promised good or service to a customer and when the customer pays for that good or service will be one year or less. Arrangements with customers that include payment terms extending beyond one year are not significant. We account for shipping and handling costs on a gross basis and include them in net sales. We account for taxes collected from customers and remitted to governmental authorities on a net basis and exclude them from net sales.

A&D: Within the A&D segment, approximately 40% of revenues (approximately 17% of consolidated revenues) are recognized at a point in time when products are shipped (when control of the goods transfers) to unaffiliated customers. The related contracts are with commercial and military customers and have a single performance obligation as there is only one good promised or the promise to transfer the goods or services is not distinct or separately identifiable from other promises in the contract. The transaction price for these contracts reflects our estimate of returns and discounts, which are based on historical, current and forecasted information to determine the expected amount to which we will be entitled in exchange for transferring the promised goods or services to the customer. The realization of variable consideration occurs within a short period of time from product delivery; therefore, the time value of money effect is not significant. Amounts billed to customers for shipping and handling are included in the transaction price as the related activities are performed prior to the customer obtaining control of the products. They generally are not treated as separate performance obligations as these costs fulfill a promise to transfer the product to the customer and are expensed in cost of goods sold in the period they are incurred. Taxes collected from customers and remitted to government authorities are recorded on a net basis. We primarily provide standard warranty programs for products in our commercial businesses for periods that typically range from one to two years. These assurance-type programs typically cannot be purchased separately and do not meet the criteria to be considered a performance obligation.

Approximately 60% of the segment’s revenues (approximately 25% of consolidated revenues) are accounted for over time as the product does not have an alternative use and we have an enforceable right to payment for costs incurred plus a reasonable margin or the inventory is owned by the customer. The related contracts are primarily cost-plus or fixed price contracts related to the design, development and manufacture of complex fluid control products, quiet valves, manifolds, shock and vibration dampening, thermal insulation and systems primarily for the commercial aerospace and military (U.S. Government) markets. The contracts may contain multiple products, which are capable of being distinct as the customer could benefit from each product on its own or together with other readily available resources. Each product is separately identifiable from the other products in the contract. Therefore, each product is distinct in context of the contract and will be accounted for as a separate performance obligation. Our contracts are frequently modified for changes in contract specifications and requirements. Most of our contract modifications are for products that are not distinct from the existing contract and are accounted for as part of that existing contract.

Contracts with the U.S. Government generally contain clauses that provide lien rights to work-in-process along with clauses that allow the customer to unilaterally terminate the contract for convenience, pay us for costs incurred plus a reasonable profit and take control of any work-in-process. Due to the continuous transfer of control to the U.S. Government, we recognize revenue over the time that we perform under the contract.

Selecting the method to measure progress towards completion for the commercial and military contracts requires judgment and is based on the nature of the products or service to be provided. We generally use the cost-to-cost method to measure progress for our Aerospace & Defense segment contracts, as the rate at which costs are incurred to fulfill a contract best depicts the transfer of control to the customer. Under this method, we measure the extent of progress towards completion based on the ratio of costs incurred to date to the estimated costs at completion of the performance obligation, and record revenue proportionally as costs are incurred based on an estimated profit margin.

The transaction price for our contracts represents our best estimate of the consideration we will receive and includes assumptions regarding variable consideration as applicable. Certain of our long-term contracts contain incentive fees that can increase the transaction price. These variable amounts generally are awarded upon achievement of certain performance metrics, program milestones or cost targets and can be based upon customer discretion. We include estimated amounts in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of whether to include estimated

amounts in the transaction price are based largely on an assessment of our anticipated performance and all other information that is reasonably available to us.

Total contract cost is estimated utilizing current contract specifications and expected engineering requirements. Contract costs typically are incurred over a period of several months to one or more years, and the estimation of these costs requires judgment. Our cost estimation process is based on the professional knowledge and experience of engineers and program managers along with finance professionals. We review and update our projections of costs quarterly or more frequently when circumstances significantly change.

Under the typical payment terms of our long term fixed price contracts, the customer pays us either performance-based or progress payments. Performance-based payments represent interim payments based on quantifiable measures of performance or on the achievement of specified events or milestones. Progress payments are interim payments of costs incurred as the work progresses. Because of the timing difference of revenue recognition and customer billing, these contracts will often result in revenue recognized in excess of billings and billings in excess of costs incurred, which we present as contract assets and contract liabilities, respectively, in the Consolidated Balance Sheets. We classify amounts billed and due from our customers in Accounts receivable, net. For short term fixed price and cost-type contracts, we are generally paid within a short period of time.

For contracts where revenue is recognized over time, we recognize changes in estimated contract revenues, costs and profits using the cumulative catch-up method of accounting. This method recognizes the cumulative effect of changes on current and prior periods with the impact of the change from inception-to-date recorded in the current period. We have net revenue recognized in the current year from performance obligations satisfied in the prior year due to changes in our estimated costs to complete the related performance obligations. We recognize anticipated losses on contracts in full in the period in which the losses become known.

USG: Within the USG segment, approximately 80% of revenues (approximately 25% of consolidated revenues) are recognized at a point in time when products are shipped (when control of the goods transfers) to unaffiliated customers. The related contracts are with commercial customers. The contracts may contain multiple products which are capable of being distinct as the customer could benefit from each product on its own or together with other readily available resources. Each product is separately identifiable from the other products in the contract. Therefore, each product is distinct in context of the contract and is accounted for as a separate performance obligation. The transaction price for these contracts reflects our estimate of variable consideration in the form of returns, rebates and discounts, which are based on historical, current and forecasted information to determine the expected amount to which we will be entitled in exchange for transferring the promised goods or services to the customer. The realization of variable consideration occurs within a short period of time from product delivery; therefore, the time value of money effect is not significant. Amounts billed to customers for shipping and handling are included in the transaction price as the related activities are performed prior to customer obtaining control of the products. We generally do not treat them as separate performance obligations as these costs fulfill a promise to transfer the product to the customer and are expensed in selling, general and administrative costs in the period they are incurred. We record taxes collected from customers and remitted to government authorities on a net basis. We primarily provide standard warranty programs for products in our commercial businesses for periods that typically range from one to two years. These assurance-type programs typically cannot be purchased separately and do not meet the criteria to be considered a performance obligation.

Approximately 20% of the segment’s revenues (approximately 6% of consolidated revenues) are recognized over time as services are performed. The services accounted for under this method include an obligation to provide testing services using hardware and embedded software, software maintenance, training, lab testing, and consulting services. Typically, the related contracts contain a bundle of goods and services that are integrated in the context of the contract. Therefore, the goods and services are not distinct and we have a single performance obligation. Selecting the method to measure progress towards completion for these contracts requires judgment and is based on the nature of the products and service to be provided. We will recognize revenue as a series of distinct services based on each day of providing services (straight-line over the contract term) for our USG segment contracts. The transaction price for our contracts represents our best estimate of the consideration we will receive and includes assumptions regarding variable consideration as applicable. Under the typical payment terms of our service contracts, the customer pays us in advance of when services are performed. Because of the timing difference of revenue recognition and customer payment, which is typically received upon commencement of the contract, these contracts result in deferred revenue, which we present as contract liabilities, in the Consolidated Balance Sheets.

Included in this category, approximately 6% of the segment’s revenues (approximately 2% of consolidated revenues) are recognized based on the terms of the software contract. For contracts that transfer a software license to the customer, revenue will be recognized at a point in time. These type of software contracts represent a right to use the software, or a functional license, in which revenue should be recognized upon transfer of the license. For contracts in software as a service (SaaS) arrangements, revenue will be

recognized over time. The customer receives and consumes the benefits of the SaaS arrangement through access to the system which is for a stated period. We will recognize revenue based on each day of providing access (straight-line over the contract term). The transaction price for our contracts represents our best estimate of the consideration we will receive and includes assumptions regarding variable consideration as applicable. Under the typical payment terms of our software contracts, the customer pays us in advance of when services are performed. Because of the timing difference of revenue recognition and customer payment, these contracts result in deferred revenue, which we present as contract liabilities, in the Consolidated Balance Sheets.

Test: Within the Test segment, approximately 25% of revenues (approximately 7% of consolidated revenues) are recognized at a point in time when products such as, antennas and probes are shipped (when control of the goods transfers) to unaffiliated customers. The related contracts are with commercial customers. The contracts may contain multiple products which are capable of being distinct because the customer could benefit from each product on its own or together with other readily available resources. Each product is separately identifiable from the other products in the contract. Therefore, each product is distinct in the context of the contract and will be accounted for as a separate performance obligation. The transaction price for these contracts reflects our estimate of variable consideration in the form of returns, rebates and discounts, which are based on historical, current and forecasted information to determine the expected amount to which we will be entitled in exchange for transferring the promised goods or services to the customer. The realization of variable consideration occurs within a short period of time from product delivery; therefore, the time value of money effect is not significant. Amounts billed to customers for shipping and handling are included in the transaction price as the related activities are performed prior to customer obtaining control of the products. They generally are not treated as separate performance obligations as these costs fulfill a promise to transfer the product to the customer and are expensed in selling, general, and other costs in the period they are incurred. Taxes collected from customers and remitted to government authorities are recorded on a net basis. We primarily provide standard warranty programs for products in our commercial businesses for periods that typically range from one to two years. These assurance-type programs typically cannot be purchased separately and do not meet the criteria to be considered a performance obligation.

Approximately 75% of the segment’s revenues (approximately 20% of consolidated revenues) are recorded over time as the product does not have an alternative use and we have an enforceable right to payment for costs incurred plus a reasonable margin. Products accounted for under this guidance include the construction and installation of test chambers to a buyer’s specifications that provide its customers with the ability to measure and contain magnetic, electromagnetic and acoustic energy. The goods and services related to each installed test chamber are not distinct due to the significant amount of integration provided and each installed chamber is accounted for as a single performance obligation. Selecting the method to measure progress towards completion for these contracts requires judgment and is based on the nature of the products and service to be provided. We use milestones to measure progress for our Test segment contracts because it best depicts the transfer of control to the customer that occurs as we incur costs on our contracts. For arrangements that are accounted for under this guidance, we estimate profit as the difference between total revenue and total estimated cost of a contract and recognize these revenues and costs based primarily on contract milestones. The transaction price for our contracts is typically fixed price and represents our best estimate of the consideration we will receive.

We estimate total contract cost utilizing current contract specifications and expected engineering requirements. Contract costs typically are incurred over a period of several months to a year, and the estimation of these costs requires judgment. Our cost estimation process is based on the professional knowledge and experience of engineers and program managers along with finance professionals. We review and update our projections of costs quarterly or more frequently when circumstances significantly change.

Under the typical payment terms of our fixed price contracts, the customer pays us either based on progress or based on a fixed billing schedule within the contract. Performance-based payments represent interim payments based on noted progress points as the work progresses. Because of the timing difference of revenue recognition and customer billing, these contracts result in revenue recognized in excess of billings and billings in excess of revenue recognized, which we present as contract assets and contract liabilities, respectively, in the Consolidated Balance Sheets. Amounts billed and due from our customers are classified in Accounts receivable, net.

For contracts where revenue is recognized over time, we generally recognize changes in estimated contract revenues, costs and profits using the cumulative catch-up method of accounting. This method recognizes the cumulative effect of changes on current and prior periods with the impact of the change from inception-to-date recorded in the current period. We have net revenue recognized in the current year from performance obligations satisfied in the prior year due to changes in our estimated costs to complete the related performance obligations. We recognize anticipated losses on contracts in full in the period in which the losses become probable and estimable.

Contract Assets and Liabilities

Contract assets arise from contracts when revenue is recognized over time and the amount of revenue recognized, including our estimate of variable consideration that has been included in the transaction price, exceeds the amount billed to the customer. These amounts are included in contract assets until the right to payment is no longer conditional on events other than the passage of time. These contract assets are reclassified to receivables when the right to consideration becomes unconditional. Contract liabilities include deposits, deferred revenue, upfront payments and billings in excess of revenue recognized. We include liabilities for customer rebates and discounts in other current liabilities in the Consolidated Balance Sheets.

See the further discussion of our revenue recognition in Note 15 below.

F. Cash and Cash Equivalents

Cash equivalents include temporary investments that are readily convertible into cash, such as money market funds, with original maturities of three months or less.

G. Accounts Receivable

We reduce accounts receivable by an allowance for amounts that we estimate are uncollectible in the future. This estimated allowance is based on Management’s evaluation of the financial condition of the customer and historical write-off experience.

H. Inventories

We value inventories at the lower of cost (first-in, first-out) or net realizable value. We regularly review inventories for excess quantities and obsolescence based upon historical experience, specific identification of discontinued items, future demand, and market conditions. Inventories under long-term contracts reflect accumulated production costs, factory overhead, initial tooling and other related costs less the portion of such costs charged to cost of sales.

I. Property, Plant and Equipment

Property, plant and equipment are recorded at cost. Depreciation and amortization are computed primarily on a straight-line basis over the estimated useful lives of the assets: buildings, 10-40 years; machinery and equipment, 3-10 years; and office furniture and equipment, 3-10 years. Leasehold improvements are amortized over the remaining term of the applicable lease or their estimated useful lives, whichever is shorter. Long-lived tangible assets are reviewed for impairment whenever events or changes in business circumstances indicate the carrying value of the assets may not be recoverable. Impairment losses are recognized based on fair value.

J. Leases

Our lease agreements primarily relate to office space, manufacturing facilities, and machinery and equipment. We determine at lease inception whether an arrangement that provides control over the use of an asset is a lease. We recognize at lease commencement a right-of-use (ROU) asset and lease liability based on the present value of the future lease payments over the lease term. We have elected not to recognize a ROU asset and lease liability for leases with terms of 12 months or less. Certain of our leases include options to extend the term of the lease for up to 20 years. When it is reasonably certain that we will exercise the option, Management includes the impact of the option in the lease term for purposes of determining total future lease payments. As most of our lease agreements do not explicitly state the discount rate implicit in the lease, Management uses our incremental borrowing rate on the commencement date to calculate the present value of future payments based on the tenor of each arrangement.

K. Goodwill and Other Long-Lived Intangible Assets

Goodwill represents the excess of purchase price over the fair value of net identifiable assets acquired in business acquisitions. Management annually reviews goodwill and other long-lived assets with indefinite useful lives for impairment or whenever events or changes in circumstances indicate the carrying amount may be less than fair value. If we determine that the carrying value of the long-lived asset or reporting unit is less than fair value, we record a permanent impairment charge for the amount by which the carrying value of the long-lived asset exceeds its fair value. We measure the fair value of our reporting units based on a discounted cash flow method using a discount rate determined by Management to be commensurate with the risk inherent in each of our reporting units’

current business models. We determine the fair value of trade names using a generally accepted valuation method based on an income approach called the relief from royalty method. During 2022, Management performed a quantitative impairment analysis, which included a detailed calculation of the fair value of our trade names and reporting units related to certain reporting units within these segments. A step 0 analysis was performed on the other reporting units for which a quantitative analysis was not performed. The results of these impairment analyses indicated that the fair values of the trade names and reporting units are not less than their carrying values. Our estimates of discounted cash flows to derive the fair value were measured in accordance with ASC 350, Intangibles – Goodwill and Other. We are using estimates of discounted cash flows that may change, and if they change negatively it could result in the need to write down those assets to fair value.

Other intangible assets represent costs allocated to identifiable intangible assets, principally customer relationships, capitalized software, patents, trademarks, and technology rights. We amortize intangible assets with estimable useful lives over their respective estimated useful lives to their estimated residual values, and review them for impairment whenever events or changes in business circumstances indicate the carrying value of the assets may not be recoverable.

See Note 4 regarding goodwill and other intangible assets activity.

L. Capitalized Software

Costs incurred for the development of computer software that will be sold, leased, or otherwise marketed are charged to research and development expense when incurred, until technological feasibility has been established for the product. Technological feasibility is typically established upon completion of a detailed program design. Costs incurred after this point are capitalized on a project-by-project basis. Capitalized costs consist of internal and external development costs. Upon general release of the product to customers, we cease capitalization and begin amortization, which is calculated on a project-by-project basis as the greater of (1) the ratio of current gross revenues for a product to the total of current and anticipated future gross revenues for the product or (2) the straight-line method over the estimated economic life of the product. We generally amortize software development costs over a three-to-seven year period based upon the estimated future economic life of the product. Factors we consider in determining the estimated future economic life of the product include anticipated future revenues, and changes in software and hardware technologies. Management annually reviews the carrying values of capitalized costs for impairment or whenever events or changes in circumstances indicate the carrying amount may not be recoverable. If expected cash flows are insufficient to recover the carrying amount of the asset, then we recognize an impairment loss to state the asset at its net realizable value.

M. Income Taxes

We account for income taxes under the asset and liability method. We recognize deferred tax assets and liabilities for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. We measure deferred tax assets and liabilities using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. We may reduce deferred tax assets by a valuation allowance if it is more likely than not that some portion or all of the deferred tax assets will not be realized. We recognize the effect on deferred tax assets and liabilities of a change in tax rates in income in the period that includes the enactment date. We regularly review our deferred tax assets for recoverability and establish a valuation allowance when Management believes it is more likely than not such assets will not be recovered, taking into consideration historical operating results, expectations of future earnings, tax planning strategies, and the expected timing of the reversals of existing temporary differences. Our policy is to include interest related to unrecognized tax benefits in income tax expense and penalties in operating expense.

N. Research and Development Costs

Company-sponsored research and development costs include research and development and bid and proposal efforts related to our products and services. We charge Company-sponsored product development costs to expense when incurred. Customer-sponsored research and development costs refer to certain situations whereby customers provide funding to support specific contractually defined research and development costs. We account for customer-sponsored research and development costs incurred pursuant to contracts similarly to other program costs. Total Company and customer-sponsored research and development expenses were approximately $12.3 million, $15.4 million and $13.3 million for 2022, 2021 and 2020, respectively.

O. Foreign Currency Translation

We translate the financial statements of our foreign operations into U.S. dollars in accordance with FASB ASC Topic 830, Foreign Currency Matters. We record the resulting translation adjustments as a separate component of accumulated other comprehensive income.

P. Earnings Per Share

We calculate basic earnings per share using the weighted average number of common shares outstanding during the period. We calculate diluted earnings per share using the weighted average number of common shares outstanding during the period plus shares issuable upon the assumed exercise of dilutive vesting of unvested restricted units (restricted shares) using the treasury stock method. There are no anti-dilutive shares.

The number of shares used in the calculation of earnings per share for each year presented is as follows:


(in thousands)	2022	2021	2020
Weighted Average Shares Outstanding — Basic	25,933	26,046	26,010
Dilutive Restricted Shares	134	179	125
Shares — Diluted	26,067	26,225	26,135

Q. Share-Based Compensation

We provide compensation benefits to certain key employees under several share-based plans providing for performance-accelerated, performance-based and/or time-vested restricted stock unit awards, and to non-employee directors under a separate compensation plan for non-employee directors. We measure share-based payment expense at the grant date based on the fair value of the award and recognize it on a straight-line basis over the requisite service period (generally the vesting period of the award) and/or if the performance criteria are deemed probable.

R. Accumulated Other Comprehensive Loss

Accumulated other comprehensive loss of $(31.8) million at September 30, 2022 consisted primarily of currency translation adjustments.

S. Fair Value Measurements

Fair value is defined as the price at which an asset could be exchanged in a current transaction between knowledgeable, willing parties or the amount that would be paid to transfer a liability to a new obligor, not the amount that would be paid to settle the liability with the creditor. Where available, we base fair value on observable market prices or parameters or derived from such prices or parameters. Where observable prices or inputs are not available, we apply valuation models. These valuation techniques involve some level of Management estimation and judgment, the degree of which is dependent on the price transparency for the instruments or market and the instruments’ complexity.

The accounting guidance establishes a three-level hierarchy for disclosure of fair value measurements, based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date, as follows:

Level 1 – Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

Level 2 – Inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.

Level 3 – Inputs to the valuation methodology are unobservable and significant to the fair value measurement.

Financial Assets and Liabilities

We have estimated the fair value of our financial instruments as of September 30, 2022 using available market information or other appropriate valuation methodologies. The carrying amounts of cash and cash equivalents, receivables, payables and other current assets and liabilities approximate fair value because of the short maturity of those instruments. The carrying amounts due under the revolving credit facility approximate fair value as the interest on outstanding borrowings is calculated at a spread over the London Interbank Offered Rate (LIBOR) or based on the prime rate, at our election.

Nonfinancial Assets and Liabilities

Our nonfinancial assets such as property, plant and equipment, inventories, and other intangible assets are not measured at fair value on a recurring basis; however they are subject to fair value adjustments in certain circumstances, such as when there is evidence that an impairment may exist. No impairments were recorded during 2022.

Acquisitions

12 Months Ended

Sep. 30, 2022

Acquisitions

Acquisitions

2. Acquisitions

2022

On November 4, 2021, we acquired Networks Electronic Company, LLC (NEco) for a purchase price of approximately $15.4 million, net of cash acquired. NEco, based in Chatsworth, California, provides miniature electro-explosive devices utilized in mission-critical defense and aerospace applications. Since the date of acquisition, the operating results for the NEco business have been included as part of PTI in the A&D segment. The acquisition date fair value of the assets acquired and liabilities assumed primarily were as follows: approximately $0.6 million of accounts receivable, $1.5 million of inventory, $0.2 million of property, plant and equipment, $0.7 million of accounts payable and accrued expenses, $8.1 million of identifiable intangible assets, mainly consisting of customer relationships totaling $6.3 million. The acquired goodwill of $5.7 million related to excess value associated with opportunities to expand the services and products that the Company can offer to its customers. We anticipate that the goodwill will be deductible for tax purposes.

2021

On August 9, 2021 we acquired the assets of Phenix Technologies, Inc. (Phenix), for a purchase price of approximately $47.2 million in cash. Phenix, based in Accident, Maryland, is a leading designer and manufacturer of high voltage, high current, high power test systems and components and solutions supporting the electric utility industry, high voltage test laboratories, and field service organizations worldwide. Since the date of acquisition, the operating results for the Phenix business have been included as part of the USG segment. The acquisition date fair value of the assets acquired and liabilities assumed were as follows: approximately $2.6 million of accounts receivable, $5.8 million of inventory, $8.0 million of property, plant and equipment, $6.2 million of accounts payable and accrued expenses, $3.7 million for tradenames, $9.6 million of customer relationships and $0.5 million of miscellaneous items. The tradename was determined to have an indefinite useful life and the customer relationships were determined to have a useful life of 13 years. The acquired goodwill of $18.7 million relates to excess value associated with opportunities to expand the services and products that the Company can offer to its customers, with approximately $15 million of goodwill deductible for tax purposes. During the fourth quarter of 2022, the Company received $4.6 million upon finalization of the working capital adjustment.

On July 29, 2021 we acquired I.S.A. – Altanova Group S.r.l., (Altanova), headquartered in Taino, Italy, for a purchase price of approximately $115 million, net of cash acquired. Altanova is a supplier of diagnostic products, monitoring systems and services related to power generation, transmission and distribution networks, renewable energy and storage, and process industries to customers in more than 100 countries. Since the date of acquisition, the operating results for the Altanova business have been included as part of the USG segment. The acquisition date fair value of the assets acquired and liabilities assumed were as follows: $9.7 million of accounts receivable, $5.6 million of inventory, $1.2 million of property, plant and equipment, $9.0 million of other assets, $12.8 million of accounts payable and accrued expenses, $6.9 million of other liabilities, $16.7 million of deferred tax liabilities, $50.5 million of customer relationships and $4.3 million of tradenames. The tradename was determined to have a useful life of ten years and the customer relationships were determined to have a useful life of twenty years. The acquired goodwill of $71.1 million relates to the excess value associated with opportunities to expand the services and products that the Company can offer to its customers, access to new markets, and synergies anticipated by combining Altanova with existing USG businesses. The goodwill is not deductible for tax purposes.

We accounted for these acquisitions using the purchase method of accounting, and accordingly, we allocated the respective purchase prices to the assets (including intangible assets) acquired and liabilities assumed based on estimated fair values at the date of acquisition. We have included the financial results from these acquisitions in our financial statements from the date of acquisition.

Technical Packaging Divestiture

12 Months Ended

Sep. 30, 2022

Technical Packaging Divestiture

Technical Packaging Divestiture

3. Technical Packaging Divestiture

In December 2019, we completed the sale of our Technical Packaging business segment, consisting of our wholly-owned subsidiaries Thermoform Engineered Quality LLC, Plastique Ltd. and Plastique sp. z o.o. (the “Technical Packaging Business”), to Sonoco Plastics, Inc. and Sonoco Holdings, Inc. (“Buyers”), two wholly-owned subsidiaries of Sonoco Products Company (NYSE:SON). The companies within this segment provide innovative solutions to the medical and commercial markets for thermoformed packages and specialty products using a wide variety of thin gauge plastics and pulp. Results of operations, financial position and cash flows for the Technical Packaging business are reflected as discontinued operations in the Consolidated Financial Statements and related notes for all periods presented.

Net sales and pretax (loss) from the Technical Packaging business were $16.5 million and $(0.3) million, respectively, in 2020. We received net proceeds from the sale of approximately $184 million and recorded $76.5 million after-tax net earnings on the sale in 2020. We finalized a contractual working capital adjustment and paid $0.2 million to the buyer during the third quarter of 2020.

Goodwill and Other Intangible Assets

12 Months Ended

Sep. 30, 2022

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

4. Goodwill and Other Intangible Assets

Included on the Consolidated Balance Sheets at September 30, 2022 and 2021 are the following intangible assets gross carrying amounts and accumulated amortization:


(Dollars in thousands)	2022		2021
Goodwill	$	492,709	504,853

Intangible assets with determinable lives:
Patents
Gross carrying amount	$	2,353	2,131
Less: accumulated amortization		1,091	972
Net	$	1,262	1,159

Capitalized software
Gross carrying amount	$	106,583	93,671
Less: accumulated amortization		70,476	63,740
Net	$	36,107	29,931

Customer Relationships
Gross carrying amount	$	287,447	288,530
Less: accumulated amortization		96,921	80,882
Net	$	190,526	207,648

Other
Gross carrying amount	$	13,985	13,177
Less: accumulated amortization		7,440	4,398
Net	$	6,545	8,779
Intangible assets with indefinite lives:
Trade names	$	160,024	161,733

We performed our annual evaluation of goodwill and intangible assets for impairment during the fourth quarter of 2022 and concluded that no impairment existed at September 30, 2022. There were no accumulated impairment losses as of September 30, 2022.

The changes in the carrying amount of goodwill attributable to each business segment for 2022 and 2021 are as follows:


(Dollars in millions)	A&D		Test		USG	Total
Balance as of September 30, 2020	$	102.1		34.1	271.9	408.1
Acquisition activity		2.2		—	95.2	97.4
Foreign currency translation and other		—		—	(0.6)	(0.6)
Balance as of September 30, 2021	$	104.3		34.1	366.5	504.9
Acquisition activity		5.7		—	(4.7)	1.0
Foreign currency translation and other		—		(0.1)	(13.1)	(13.2)
Balance as of September 30, 2022	$	110.0		34.0	348.7	492.7

Amortization expense related to intangible assets with determinable lives was $25.9 million, $20.8 million and $21.8 million in 2022, 2021 and 2020, respectively. Patents are amortized over the life of the patents, generally ten to twenty years. Capitalized software is amortized over the estimated useful life of the software, generally three to seven years. Customer relationships are generally amortized over thirteen to twenty years. Intangible asset amortization for fiscal years 2023 through 2027 is estimated at $18.5 million in 2023, and approximately $17 million in years 2024 through 2027.

Accounts Receivable

12 Months Ended

Sep. 30, 2022

Accounts Receivable

Accounts Receivable

5. Accounts Receivable

Accounts receivable, net of the allowance for credit losses, consisted of the following at September 30, 2022 and 2021:


(Dollars in thousands)	2022		2021
Commercial	$	151,565	128,952
U.S. Government and prime contractors		13,080	17,389
Total	$	164,645	146,341

Inventories, Net

12 Months Ended

Sep. 30, 2022

Inventories, Net

Inventories, Net

6. Inventories, Net

Inventories, net, from continuing operations consisted of the following at September 30, 2022 and 2021:


(Dollars in thousands)	2022		2021
Finished goods	$	32,471	32,998
Work in process		38,492	34,201
Raw materials		91,440	79,949
Total	$	162,403	147,148

Income Tax Expense

12 Months Ended

Sep. 30, 2022

Income Tax Expense

Income Tax Expense

7. Income Tax Expense

We allocated total income tax expense for the years ended September 30, 2022, 2021 and 2020 to income tax expense as follows:


(Dollars in thousands)	2022		2021	2020
Income tax expense from continuing operations	$	24,115	17,175	13,510
Income tax expense from discontinued operations		—	—	23,501
Total income tax expense (benefit)	$	24,115	17,175	37,011

The components of income from continuing operations before income taxes for 2022, 2021 and 2020 consisted of the following:


(Dollars in thousands)	2022		2021	2020
United States	$	90,674	70,214	23,951
Foreign		15,761	10,457	12,455
Total income before income taxes	$	106,435	80,671	36,406

The principal components of income tax expense (benefit) from continuing operations for 2022, 2021 and 2020 consist of:


(Dollars in thousands)	2022		2021	2020
Federal:
Current	$	7,248	14,807	10,495
Deferred		9,752	(1,598)	1,311
State and local:
Current		1,635	2,257	1,984
Deferred		1,774	(786)	(932)
Foreign:
Current		4,645	2,922	2,875
Deferred		(939)	(427)	(2,223)
Total	$	24,115	17,175	13,510

The actual income tax expense from continuing operations for 2022, 2021 and 2020 differs from the expected tax expense for those years (computed by applying the U.S. Federal corporate statutory rate) as follows:


	2022		2021		2020
Federal corporate statutory rate	21.0	%	21.0	%	21.0	%
State and local, net of Federal benefits	2.9		1.9		2.3
Impact of foreign operations	(0.3)		(0.4)		1.3
Federal research credit	(0.3)		(0.9)		(3.7)
Executive compensation	0.5		0.9		1.6
Valuation allowance	(0.3)		—		(6.8)
U.S. tax on GILTI	1.8		1.0		3.2
GILTI foreign tax credits	(1.5)		(0.6)		(2.7)
FDII deduction	(0.9)		(1.7)		(2.6)
Pension plan termination charge	—		—		23.4
Other, net	(0.2)		0.1		0.1
Effective income tax rate	22.7	%	21.3	%	37.1	%

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at September 30, 2022 and 2021 are presented below:


(Dollars in thousands)	2022		2021
Deferred tax assets:
Inventories	$	4,990	4,267
Pension and other postretirement benefits		664	859
Timing differences related to revenue recognition		61	9,365
Lease liabilities		7,073	7,614
Net operating and capital loss carryforwards — domestic		575	542
Net operating loss carryforward — foreign		3,396	4,279
Other compensation-related costs and other cost accruals		9,032	8,174
State credit carryforward		1,676	2,639
Foreign credit carryforward		203	192
Total deferred tax assets		27,670	37,931

Deferred tax liabilities:
ROU assets		(7,073)	(7,614)
Goodwill		(11,691)	(13,746)
Acquisition intangible assets		(62,051)	(62,052)
Depreciation, software amortization		(24,503)	(22,418)
Net deferred tax liabilities before valuation allowance		(77,648)	(67,899)
Less valuation allowance		(1,208)	(2,011)
Net deferred tax liabilities	$	(78,856)	(69,910)

We had a foreign net operating loss (NOL) carryforward of $12.1 million at September 30, 2022, which reflects tax loss carryforwards in Germany, South Africa, Canada, Japan and the United Kingdom. Approximately $10.4 million of the tax loss carryforwards have no expiration date while the remaining $1.7 million will expire between 2031 and 2041. We had net foreign credit carryforwards of $0.2 million, that will expire between 2041 and 2042.We had deferred tax assets related to state NOL carryforwards of $0.6 million at September 30, 2022 which expire between 2025 and 2042. We also had net state research and other credit carryforwards of $1.7 million of which $0.9 million expires between 2024 and 2037. The remaining $0.8 million does not have an expiration date.

The valuation allowance for deferred tax assets as of September 30, 2022 and 2021 was $1.2 million and $2.0 million, respectively. The net change in the total valuation allowance for each of the years ended September 30, 2022 and 2021 was a decrease of $0.8 million and an increase of $0.1 million, respectively.We established a valuation allowance against state credit carryforwards of $0.6 million at September 30, 2021. This balance was released as of September 30, 2022. In addition, we maintained a valuation allowance against state NOL carryforwards that are not expected to be realized in future periods of $0.5 million at September 30 of both 2022 and 2021. Lastly, we established a valuation allowance against certain NOL carryforwards in foreign jurisdictions which may not be realized in future periods of $0.7 million and $0.9 million at September 30, 2022 and 2021, respectively.

As of September 30, 2022, the Company does not have any material unrecognized tax benefits.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

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+ Details

Debt

12 Months Ended

Sep. 30, 2022

Debt

Debt

8. Debt

Debt consists of the following at September 30, 2022 and 2021:


(Dollars in thousands)	2022		2021
Total borrowings	$	153,000	154,000
Current portion of long-term debt and short-term borrowings		(20,000)	(20,000)
Total long-term debt, less current portion	$	133,000	134,000

The Credit Facility includes a $500 million revolving line of credit as well as provisions allowing for an increase of the credit facility commitment amount by an additional $250 million, if necessary, with the consent of the lenders. The bank syndication supporting the facility is comprised of a diverse group of eight banks led by JP Morgan Chase Bank, N.A., as Administrative Agent. The Credit Facility matures September 27, 2024, with balance due by this date.

Interest on borrowings under the Credit Facility is calculated at a spread over either the New York Federal Reserve Bank Rate, the prime rate, or the London Interbank Offered Rate (LIBOR), depending on various factors. The Credit Facility also requires a facility fee ranging from 10 to 25 basis points per annum on the unused portion. The interest rate spreads and the facility fee are subject to increase or decrease depending on the Company’s leverage ratio.

The Credit Facility is secured by the unlimited guaranty of our direct and indirect material U.S. subsidiaries and the pledge of 100% of the equity interests of our direct and indirect material foreign subsidiaries. The financial covenants of the Credit Facility include a leverage ratio and an interest coverage ratio. As of September 30, 2022, we were in compliance with all covenants.

At September 30, 2022, we had approximately $339 million available to borrow under the Credit Facility, plus the $250 million increase option subject to the lenders’ consent, in addition to $97.7 million cash on hand. We classified $20 million as the current portion of long-term debt as of September 30, 2022, as we intend to repay this amount within the next twelve months; however, we have no contractual obligation to repay such amount during the next twelve months.

During 2022 and 2021, our maximum aggregate short-term borrowings at any month-end were $208 million and $174 million, respectively, and the average aggregate short-term borrowings and outstanding based on month-end balances were $189.8 million and $71.3 million, respectively. The weighted average interest rates were 2.11% and 1.20% for 2022 and 2021, respectively. As of September 30, 2022, the interest rate on our debt was 4.12%. The letters of credit issued and outstanding under the Credit Facility totaled $8.0 million and $8.5 million at September 30, 2022 and 2021, respectively.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

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+ Details

Capital Stock

12 Months Ended

Sep. 30, 2022

Capital Stock

Capital Stock

9. Capital Stock

The 30,707,748 and 30,666,173 common shares as presented in the accompanying Consolidated Balance Sheets at September 30, 2022 and 2021 represent the actual number of shares issued at the respective dates. We held 4,854,997 and 4,604,741 common shares in treasury at September 30, 2022 and 2021, respectively.

In August 2021, our Board of Directors approved a new common stock repurchase program authorizing us to repurchase shares of our stock from time to time in Management’s discretion, in the open market or otherwise, up to a maximum total repurchase amount of $200 million (or the maximum amount permitted under our bank credit agreements, if less). This program is scheduled to expire September 30, 2024. We repurchased approximately 257,500 shares under this program in 2022 at an aggregate cost of $20.0 million. We did not repurchase any shares in 2021 or 2020.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

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+ Details

Share-Based Compensation

12 Months Ended

Sep. 30, 2022

Share-Based Compensation

Share-Based Compensation

10. Share-Based Compensation

We provide compensation benefits to certain key employees under several share-based plans providing for performance-accelerated and/or time-vested restricted stock unit awards, and to non-employee directors under a separate compensation plan for non-employee directors. As of September 30, 2022, our equity compensation plans had a total of 580,437 shares authorized and available for future issuance.

Performance-Accelerated Restricted Stock Unit (PARS) Awards, Time-Vested Restricted Stock Unit (RSU) Awards, and Performance Share Unit (PSU) Awards

A PARS award represents the right to receive a specified number of shares of Company common stock if and when the award vests. A PARS award is not stock and does not give the recipient any rights as a shareholder until it vests and is paid out in shares of stock. PARS awards currently outstanding have a five-year vesting period, with accelerated vesting if certain targets based on market conditions are achieved. In these cases, if it is probable that the performance condition will be met, the Company recognizes compensation cost on a straight-line basis over the shorter performance period; otherwise, it will recognize compensation cost over the longer service period. Compensation cost for the outstanding PARS awards is being recognized over the shorter performance period, as it is probable the performance condition will be met. The PARS award grants were valued at the stock price on the date of grant.

The terms of the RSU awards are similar to those of the PARS awards, but without any provision for acceleration of the vesting date. Each RSU represents the right to receive one share of Company common stock if the recipient remains continuously employed by the Company until the award vests, in this case 3 ½ years after the effective award date. The RSU award grants were valued at the stock price on the date of grant.

Beginning in fiscal year 2022, the Company granted PSU awards with a three-year vesting period, with each PSU representing the right to receive one share of Company common stock if certain performance targets are achieved. The targets are based on achieving certain EBITDA metrics and a Total Shareholder return (rTSR) metric over a three-year period.

Pretax compensation expense related to the above awards for continuing operations was $6.1 million, $5.6 million and $4.3 million for 2022, 2021 and 2020, respectively.

The following summary presents information regarding outstanding share-based compensation awards as of the specified dates, and changes during the specified periods:


	FY 2022			FY 2021			FY 2020
		Estimated			Estimated			Estimated
		Weighted			Weighted			Weighted
	Shares	Avg. Price		Shares	Avg. Price		Shares	Avg. Price
Nonvested at October 1,	226,705	$	76.15	220,300	$	66.55	281,004	$	59.72
Granted	117,045		82.54	51,476		108.05	45,723		74.80
Vested	(75,327)		56.87	(35,753)		64.40	(89,822)		50.51
Cancelled	(3,056)		89.51	(9,318)		70.50	(16,605)		60.48
Nonvested at September 30,	265,367	$	84.29	226,705	$	76.15	220,300	$	66.55

Compensation Plan for Non-Employee Directors

In addition to an annual cash retainer, we provide each non-employee director with an annual equity award having a grant date market value of $180,000, based on the NYSE closing price of the Company’s stock on the date of grant. For calendar years prior to 2021, the award consisted of actual shares of Company stock, but beginning in January 2021, the award has been in the form of Restricted Stock Units, each of which represents the right to receive one share of Company stock at the end of a one-year vesting period. At the end of the vesting period, each award will be converted into the right to receive the same number of actual shares of common stock, plus additional shares representing the value of the quarterly dividends which would have accrued on the underlying shares during the vesting period. Compensation expense related to the non-employee director grants was $1.2 million, $1.3 million and $1.3 million for 2022, 2021 and 2020, respectively.

Total Share-Based Compensation

The total share-based compensation cost that has been recognized in results of operations and included within SG&A from continuing operations was $7.3 million, $6.9 million and $5.6 million for 2022, 2021 and 2020, respectively. The total income tax benefit recognized in results of operations for share-based compensation arrangements was $1.5 million, $1.4 million and $1.2 million for 2022, 2021 and 2020, respectively. As of September 30, 2022, there was $11.2 million of total unrecognized compensation cost related to share-based compensation arrangements. That cost is expected to be recognized over a weighted-average period of 1.7 years.

Retirement and Other Benefit Plans

12 Months Ended

Sep. 30, 2022

Retirement and Other Benefit Plans

Retirement and Other Benefit Plans

11. Retirement and Other Benefit Plans

On November 14, 2019, our Board of Directors approved a resolution to terminate the Company’s defined benefit pension plan (the Plan) effective as of February 29, 2020. In connection with the termination, we contributed $25.7 million of cash to the Plan during 2020, settled approximately $32.4 million of Plan liabilities during 2020 through lump-sum payments from existing plan assets to eligible participants who elected to receive them, and recorded approximately $40.6 million of charges associated with these settlements. During 2020, we settled approximately $69.1 million of Plan liabilities by entering into an agreement to purchase annuities from a third-party insurance company. This agreement covered active and former employees and their beneficiaries, with the insurance company assuming the future annuity payments for these individuals.

Substantially all our domestic employees are covered by a defined contribution plan maintained by the Company. In addition, we offer unfunded post-retirement pre-Medicare health insurance benefits to a small number of eligible retirees and employees. We formerly provided unfunded post-retirement life insurance to qualifying retired employees who retired before 2005, but ceased providing this coverage on July 31, 2020. There was no financial impact of this plan in 2022.

- Definition

The entire disclosure for retirement benefits.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
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-Name Accounting Standards Codification
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+ Details

Business Segment Information

12 Months Ended

Sep. 30, 2022

Business Segment Information

Business Segment Information

12. Business Segment Information

We are organized based on the products and services we offer, and we classify our continuing business operations in three reportable segments for financial reporting purposes: Aerospace & Defense (A&D), Utility Solutions Group (USG) and RF Shielding and Test (Test). In addition, for reporting certain financial information we treat Corporate activities as a separate segment. The former Technical Packaging segment was divested in December 2019 and is reflected as discontinued operations for 2020.

The A&D segment’s operations consist of PTI Technologies Inc. (PTI), VACCO Industries (VACCO), Crissair, Inc. (Crissair), Mayday Manufacturing Co. (Mayday), Westland Technologies, Inc. (Westland), Globe Composite Solutions, LLC (Globe) and Networks Electronic Company, LLC (NEco).The companies within this segment primarily design and manufacture specialty filtration, fluid control and naval products, including hydraulic filter elements and fluid control devices used in aerospace and defense applications, unique filter mechanisms used in micro-propulsion devices for satellites, custom designed filters for manned aircraft and submarines, products and systems to reduce vibration and/or acoustic signatures and otherwise reduce or obscure a vessel’s signature, and other communications, sealing, surface control and hydrodynamic related applications to enhance U.S. Navy maritime survivability; precision-tolerance machined components for the aerospace and defense industry; metal processing services; and miniature electro-explosive devices utilized in mission-critical defense and aerospace applications.

The USG segment’s operations consist of Doble Engineering Company and related subsidiaries including Morgan Schaffer and Altanova (collectively, Doble), and NRG Systems, Inc. (NRG). Doble is an industry leader in the development, manufacture and delivery of diagnostic testing and data management solutions that enable electric power grid operators to assess the integrity of high-voltage power delivery equipment. It combines three core elements for customers – diagnostic test and condition monitoring instruments, expert consulting, and testing services – and provides access to its large reserve of related empirical knowledge. NRG is a global market leader in the design and manufacture of decision support tools for the renewable energy industry, primarily wind and solar. The recent acquisition of Altanova not only complements our existing products and services but its strong market share in Europe and Asia provides a significant international platform for our USG segment.

The Test segment’s operations consist of ETS-Lindgren Inc. and related subsidiaries (ETS-Lindgren). ETS-Lindgren is an industry leader in designing and manufacturing products which provide its customers with the ability to identify, measure and contain magnetic, electromagnetic and acoustic energy. It supplies its customers with a broad range of isolated environments and turnkey systems, including RF test facilities, acoustic test enclosures, RF and magnetically shielded rooms, secure communication facilities, RF measurement systems and broadcast and recording studios. Many of these facilities include proprietary features such as shielded doors and windows. ETS-Lindgren also provides the design, program management, installation and integration services required to successfully complete these types of facilities. ETS-Lindgren also supplies customers with a broad range of components including RF absorptive materials, RF filters, active compensation systems, antennas, antenna masts, turntables and electric and magnetic probes, RF test cells, proprietary measurement software and other test accessories required to perform a variety of tests. ETS-Lindgren offers a variety of services including calibration for antennas and field probes, chamber certification, field surveys, customer training and a variety of product tests. ETS-Lindgren serves the acoustics, medical, health and safety, electronics, wireless communications, automotive and defense markets.

Accounting policies of the segments are the same as those described in the summary of significant accounting policies in Note 1 to the Consolidated Financial Statements. The operating units within each reporting segment have been aggregated because of similar economic characteristics and meet the other aggregation criteria of FASB ASC 280.

We evaluate the performance of our operating units based on EBIT, which is defined as earnings before interest and taxes. EBIT on a consolidated basis is a non-GAAP financial measure. Intersegment sales and transfers are not significant. Segment assets consist primarily of customer receivables, inventories, capitalized software and fixed assets directly associated with the production processes of the segment. Segment depreciation and amortization is based upon the direct assets listed above. The tables below are presented on the basis of continuing operations and exclude discontinued operations.

Net Sales


(Dollars in millions)
Year ended September 30,	2022		2021	2020
A&D	$	351.4	314.8	351.9
USG		278.4	202.9	191.7
Test		227.7	197.7	186.9
Consolidated totals	$	857.5	715.4	730.5

No customer exceeded 10% of consolidated sales in 2022 or 2021 and one customer exceeded 10% of consolidated sales in 2020.

EBIT


(Dollars in millions)
Year ended September 30,	2022		2021	2020
A&D	$	68.4	56.5	69.9
USG		57.6	40.9	24.4
Test		32.6	27.6	27.2
Reconciliation to consolidated totals (Corporate)		(47.3)	(42.1)	(78.4)
Consolidated EBIT		111.3	82.9	43.1
Less: interest expense		(4.9)	(2.2)	(6.7)
Earnings before income tax	$	106.4	80.7	36.4

Identifiable Assets


(Dollars in millions)
Year ended September 30,	2022		2021
A&D	$	295.2	270.0
USG		220.0	197.5
Test		174.6	153.6
Corporate		964.7	956.2
Consolidated totals	$	1,654.5	1,577.3

Corporate consists primarily of deferred taxes, acquired intangible assets including goodwill and cash balances.

Capital Expenditures


(Dollars in millions)
Year ended September 30,	2022		2021	2020
A&D	$	9.4	10.4	15.9
USG		14.4	11.6	12.4
Test		8.3	4.7	3.6
Corporate		—	—	0.2
Consolidated totals	$	32.1	26.7	32.1

In addition to the above amounts, we incurred expenditures for capitalized software of $12.9 million, $8.8 million and $9.0 million in 2022, 2021 and 2020, respectively.

Depreciation and Amortization


(Dollars in millions)
Year ended September 30,	2022		2021	2020
A&D	$	11.1	10.4	9.4
USG		12.6	13.5	14.4
Test		5.4	5.2	5.0
Corporate		19.2	12.9	12.5
Consolidated totals	$	48.3	42.0	41.3

Depreciation expense of property, plant and equipment was $22.4 million, $21.2 million and $19.5 million for 2022, 2021 and 2020, respectively.

Geographic Information

Net Sales


(Dollars in millions)
Year ended September 30,	2022		2021	2020
United States	$	603.2	517.0	529.4
Asia		122.4	92.3	96.3
Europe		72.4	53.5	51.3
Canada		31.2	27.0	31.7
India		10.3	12.4	10.3
Other		18.0	13.2	11.5
Consolidated totals	$	857.5	715.4	730.5

Long-Lived Assets


(Dollars in millions)
Year ended September 30,	2022		2021
United States	$	141.5	141.0
Mexico		5.8	3.8
Other		8.7	9.5
Consolidated totals	$	156.0	154.3

We attribute net sales to countries based on the location of the customer. We attribute long-lived assets to countries based on the location of the asset.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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+ Details

Commitments and Contingencies

12 Months Ended

Sep. 30, 2022

Commitments and Contingencies

Commitments and Contingencies

13. Commitments and Contingencies

At September 30, 2022, we had $8.0 million in letters of credit outstanding as guarantees of contract performance and cash amounts that exceeded federally insured amounts. As a normal incident of the businesses in which we are engaged, various claims, charges and litigation are asserted or commenced from time to time against us. Additionally, we are currently involved in various stages of investigation and remediation relating to environmental matters. It is the opinion of Management that the aggregate costs involved in the resolution of these matters, and final judgments, if any, which might be rendered against us are adequately accrued, are covered by insurance or are not likely to have a material adverse effect on our financial results as the estimated exposure to loss is not material.

Leases

12 Months Ended

Sep. 30, 2022

Leases

Leases

14. Leases

Effective October 1, 2019 we adopted ASC 842, Leases. We determine at lease inception whether an arrangement that provides control over the use of an asset is a lease. We recognize at lease commencement a right-of-use (ROU) asset and lease liability based on the present value of the future lease payments over the lease term (including anticipated renewals). We have elected not to recognize a ROU asset and lease liability for leases with terms of 12 months or less. Certain of our leases include options to extend the term of the lease for up to 20 years. When it is reasonably certain that we will exercise the option, Management includes the impact of

the option in the lease term for purposes of determining total future lease payments. As most of our lease agreements do not explicitly state the discount rate implicit in the lease, Management uses our incremental borrowing rate on the commencement date to calculate the present value of future payments based on the tenor of each arrangement.

Our leases for real estate commonly include escalating payments. We include these variable lease payments in the calculation of our ROU asset and lease liability. In addition to the present value of the future lease payments, the calculation of the ROU asset also includes any deferred rent, lease pre-payments and initial direct costs of obtaining the lease.

In addition to the base rent, real estate leases typically contain provisions for common-area maintenance and other similar services, which are considered non-lease components for accounting purposes. Non-lease components are excluded from our ROU assets and lease liabilities and expensed as incurred.

Our leases are for office space, manufacturing facilities, and machinery and equipment.

The components of lease costs are shown below:


	Year Ended		Year Ended
	September 30,		September 30,
(Dollars in thousands)	2022		2021
Finance lease cost:
Amortization	$	1,572		2,413
Interest on lease liabilities		973		1,235
Operating lease cost		6,347		5,879
Total lease cost	$	8,892		9,527

Additional information related to leases is shown below:


	Year Ended			Year Ended
	September 30,			September 30,
(Dollars in thousands)	2022			2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	6,101			5,504
Operating cash flows from finance leases		973			1,228
Financing cash flows from finance leases		1,224			1,757

Right-of-use assets obtained in exchange for operating lease liabilities	$	4,160			15,609

Weighted-average remaining lease term:
Operating leases		9.3	yrs		10.3	yrs
Finance leases		12.0	yrs		11.7	yrs
Weighted-average discount rate:
Operating leases		3.2	%		3.1	%
Finance leases		4.6	%		4.2	%

The table below is a reconciliation of future undiscounted cash flows to the operating and finance lease liabilities, and the related ROU assets, presented on our Consolidated Balance Sheet on September 30, 2022:


(Dollars in thousands)	Operating		Finance
Years Ending September 30:	Leases		Leases
2023	$	5,953		2,256
2024		5,132		2,315
2025		3,790		2,370
2026		2,881		2,434
2027 and thereafter		17,029		18,997
Total minimum lease payments		34,785		28,372
Less: amounts representing interest		4,760		7,189
Present value of net minimum lease payments	$	30,025		21,183
Less: current portion of lease obligations		5,172		1,331
Non-current portion of lease obligations		24,853		19,852

ROU assets	$	29,150		17,343


(Dollars in thousands)	Operating		Finance
Years Ending September 30:	Leases		Leases
2022	$	5,448	3,153
2023		4,679	3,235
2024		4,032	3,319
2025		3,654	3,399
2026 and thereafter		20,453	25,516
Total minimum lease payments		38,266	38,622
Less: amounts representing interest		5,691	9,092
Present value of net minimum lease payments	$	32,575	29,530
Less: current portion of lease obligations		4,543	2,180
Non-current portion of lease obligations		28,032	27,350

ROU assets	$	31,846	24,964

We include operating and finance lease liabilities in the Consolidated Balance Sheet in accrued other expenses (current portion) and other liabilities (long-term portion). We include operating lease ROU assets as a caption on the Consolidated Balance Sheet and include finance lease ROU assets in Property, plant and equipment on the Consolidated Balance Sheet.

Revenues

12 Months Ended

Sep. 30, 2022

Revenues

Revenues

15. Revenues

(a)	Disaggregation of Revenues

The tables below present our revenues by customer type, geographic location, and revenue recognition method for the years ended September 30, 2022 and 2021, as we believe this presentation best depicts how the nature, amount, timing and uncertainty of net sales and cash flows are affected by economic factors. The tables also include a reconciliation of the disaggregated revenue within our reportable segments.

Year Ended September 30, 2022

(In thousands)

A&D

USG

Test

Total

Customer type:

Commercial

144,305

272,432

209,016

625,753

Government

207,108

5,935

18,706

231,749

Total revenues

351,413

278,367

227,722

857,502

Geographic location:

United States

299,158

180,586

123,428

603,172

International

52,255

97,781

104,294

254,330

Total revenues

351,413

278,367

227,722

857,502

Revenue recognition method:

Point in time

144,039

224,502

58,522

427,063

Over time

207,374

53,865

169,200

430,439

Total revenues

351,413

278,367

227,722

857,502


Year Ended September 30, 2021
(In thousands)	A&D		USG		Test		Total
Customer type:
Commercial	$	130,217		199,111		177,601		506,929
Government		184,607		3,797		20,107		208,511
Total revenues	$	314,824		202,908		197,708		715,440

Geographic location:
United States	$	275,976		140,545		100,438		516,959
International		38,848		62,363		97,270		198,481
Total revenues	$	314,824		202,908		197,708		715,440

Revenue recognition method:
Point in time	$	136,449		153,163		40,609		330,221
Over time		178,375		49,745		157,099		385,219
Total revenues	$	314,824		202,908		197,708		715,440

(b)	Remaining Performance Obligations

Our remaining performance obligations, which is the equivalent of our backlog, represent the expected transaction price allocated to our contracts that we expect to recognize as revenue in future periods when we perform under the contracts. These remaining obligations include amounts that have been formally appropriated under contracts with the U.S. Government, and exclude unexercised contract options and potential orders under ordering-type contracts such as Indefinite Delivery, Indefinite Quantity contracts. At September 30, 2022, we had $695.0 million in remaining performance obligations of which we expect to recognize revenues of approximately 80% in the next twelve months.

(c)	Contract assets and contract liabilities

We report assets and liabilities related to our contracts with customers on a contract-by-contract basis at the end of each reporting period. At September 30, 2022, our contract assets and contract liabilities totaled $125.2 million and $137.6 million, respectively. At September 30, 2021, our contract assets and contract liabilities totaled $93.8 million and $108.8 million, respectively. During 2022, we recognized approximately $83.8 million in revenues that were included in the contract liabilities balance at September 30, 2021.

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-URI https://asc.fasb.org/topic&trid=49130388

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
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-Paragraph 10
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130551-203045

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
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-Paragraph 13
-Subparagraph (b)(2)
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+ Details

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Sep. 30, 2022

Summary of Significant Accounting Policies

Principles Of Consolidation

A. Principles of Consolidation

Basis Of Presentation

B. Basis of Presentation

Nature Of Operations

C. Nature of Operations

Test: The companies within this segment provide their customers with the ability to identify, measure and contain magnetic, electromagnetic and acoustic energy.

In addition, for reporting certain financial information we treat Corporate activities as a separate segment.

Use Of Estimates

D. Use of Estimates

Revenue Recognition

E. Revenue Recognition

amounts in the transaction price are based largely on an assessment of our anticipated performance and all other information that is reasonably available to us.

Contract Assets and Liabilities

See the further discussion of our revenue recognition in Note 15 below.

Cash And Cash Equivalents

F. Cash and Cash Equivalents

Cash equivalents include temporary investments that are readily convertible into cash, such as money market funds, with original maturities of three months or less.

Accounts Receivable

G. Accounts Receivable

Inventories

H. Inventories

Property, Plant And Equipment

I. Property, Plant and Equipment

Leases

J. Leases

Goodwill And Other Long-Lived Assets

K. Goodwill and Other Long-Lived Intangible Assets

See Note 4 regarding goodwill and other intangible assets activity.

Capitalized Software

L. Capitalized Software

Income Taxes

M. Income Taxes

Research And Development Costs

N. Research and Development Costs

Foreign Currency Translation

O. Foreign Currency Translation

Earnings Per Share

P. Earnings Per Share

The number of shares used in the calculation of earnings per share for each year presented is as follows:


(in thousands)	2022	2021	2020
Weighted Average Shares Outstanding — Basic	25,933	26,046	26,010
Dilutive Restricted Shares	134	179	125
Shares — Diluted	26,067	26,225	26,135

Share-Based Compensation

Q. Share-Based Compensation

Accumulated Other Comprehensive Loss

R. Accumulated Other Comprehensive Loss

Accumulated other comprehensive loss of $(31.8) million at September 30, 2022 consisted primarily of currency translation adjustments.

Fair Value Measurements

S. Fair Value Measurements

Level 1 – Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

Level 3 – Inputs to the valuation methodology are unobservable and significant to the fair value measurement.

Financial Assets and Liabilities

Nonfinancial Assets and Liabilities

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Sep. 30, 2022

Summary of Significant Accounting Policies

Schedule of shares used in the calculation of earnings per share


(in thousands)	2022	2021	2020
Weighted Average Shares Outstanding — Basic	25,933	26,046	26,010
Dilutive Restricted Shares	134	179	125
Shares — Diluted	26,067	26,225	26,135

Goodwill and Other Intangible Assets (Tables)

12 Months Ended

Sep. 30, 2022

Goodwill and Other Intangible Assets

Schedule of goodwill and intangible assets

Included on the Consolidated Balance Sheets at September 30, 2022 and 2021 are the following intangible assets gross carrying amounts and accumulated amortization:


(Dollars in thousands)	2022		2021
Goodwill	$	492,709	504,853

Intangible assets with determinable lives:
Patents
Gross carrying amount	$	2,353	2,131
Less: accumulated amortization		1,091	972
Net	$	1,262	1,159

Capitalized software
Gross carrying amount	$	106,583	93,671
Less: accumulated amortization		70,476	63,740
Net	$	36,107	29,931

Customer Relationships
Gross carrying amount	$	287,447	288,530
Less: accumulated amortization		96,921	80,882
Net	$	190,526	207,648

Other
Gross carrying amount	$	13,985	13,177
Less: accumulated amortization		7,440	4,398
Net	$	6,545	8,779
Intangible assets with indefinite lives:
Trade names	$	160,024	161,733

Schedule of carrying amount of goodwill attributable to each business segment


(Dollars in millions)	A&D		Test		USG	Total
Balance as of September 30, 2020	$	102.1		34.1	271.9	408.1
Acquisition activity		2.2		—	95.2	97.4
Foreign currency translation and other		—		—	(0.6)	(0.6)
Balance as of September 30, 2021	$	104.3		34.1	366.5	504.9
Acquisition activity		5.7		—	(4.7)	1.0
Foreign currency translation and other		—		(0.1)	(13.1)	(13.2)
Balance as of September 30, 2022	$	110.0		34.0	348.7	492.7

- Definition

Tabular disclosure of goodwill by reportable segment and in total which includes a rollforward schedule.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 350
-SubTopic 20
-Section 50
-Paragraph 1
-Subparagraph (h)
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Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
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-Name Accounting Standards Codification
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Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef
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-Name Accounting Standards Codification
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-URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267

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-Name Accounting Standards Codification
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Reference 6: http://www.xbrl.org/2009/role/commonPracticeRef
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-Name Accounting Standards Codification
-Topic 350
-SubTopic 20
-Section 50
-Paragraph 1
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-URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267

Reference 7: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 8: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267

Reference 9: http://www.xbrl.org/2009/role/commonPracticeRef
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-Name Accounting Standards Codification
-Topic 350
-SubTopic 20
-Section 50
-Paragraph 1
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267

Reference 10: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 350
-SubTopic 20
-Section 50
-Paragraph 2
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13854-109267

Reference 11: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 350
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-Paragraph 24
-URI https://asc.fasb.org/extlink&oid=122137925&loc=d3e14258-109268

Reference 12: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 350
-SubTopic 20
-Section 50
-Paragraph 1
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267

+ Details

Accounts Receivable (Tables)

12 Months Ended

Sep. 30, 2022

Accounts Receivable

Schedule of accounts, receivable, net of the allowance for credit losses


(Dollars in thousands)	2022		2021
Commercial	$	151,565	128,952
U.S. Government and prime contractors		13,080	17,389
Total	$	164,645	146,341

Inventories, Net (Tables)

12 Months Ended

Sep. 30, 2022

Inventories, Net

Schedule of inventories, net


(Dollars in thousands)	2022		2021
Finished goods	$	32,471	32,998
Work in process		38,492	34,201
Raw materials		91,440	79,949
Total	$	162,403	147,148

Income Tax Expense (Tables)

12 Months Ended

Sep. 30, 2022

Income Tax Expense

Schedule of the components of income from continuing operations before income taxes

We allocated total income tax expense for the years ended September 30, 2022, 2021 and 2020 to income tax expense as follows:


(Dollars in thousands)	2022		2021	2020
Income tax expense from continuing operations	$	24,115	17,175	13,510
Income tax expense from discontinued operations		—	—	23,501
Total income tax expense (benefit)	$	24,115	17,175	37,011

The components of income from continuing operations before income taxes for 2022, 2021 and 2020 consisted of the following:


(Dollars in thousands)	2022		2021	2020
United States	$	90,674	70,214	23,951
Foreign		15,761	10,457	12,455
Total income before income taxes	$	106,435	80,671	36,406

Schedule of the principal components of income tax expense (benefit) from continuing operations

The principal components of income tax expense (benefit) from continuing operations for 2022, 2021 and 2020 consist of:


(Dollars in thousands)	2022		2021	2020
Federal:
Current	$	7,248	14,807	10,495
Deferred		9,752	(1,598)	1,311
State and local:
Current		1,635	2,257	1,984
Deferred		1,774	(786)	(932)
Foreign:
Current		4,645	2,922	2,875
Deferred		(939)	(427)	(2,223)
Total	$	24,115	17,175	13,510

Schedule of the actual income tax expense from continuing operations


	2022		2021		2020
Federal corporate statutory rate	21.0	%	21.0	%	21.0	%
State and local, net of Federal benefits	2.9		1.9		2.3
Impact of foreign operations	(0.3)		(0.4)		1.3
Federal research credit	(0.3)		(0.9)		(3.7)
Executive compensation	0.5		0.9		1.6
Valuation allowance	(0.3)		—		(6.8)
U.S. tax on GILTI	1.8		1.0		3.2
GILTI foreign tax credits	(1.5)		(0.6)		(2.7)
FDII deduction	(0.9)		(1.7)		(2.6)
Pension plan termination charge	—		—		23.4
Other, net	(0.2)		0.1		0.1
Effective income tax rate	22.7	%	21.3	%	37.1	%

Schedule of the tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at September 30, 2022 and 2021 are presented below:


(Dollars in thousands)	2022		2021
Deferred tax assets:
Inventories	$	4,990	4,267
Pension and other postretirement benefits		664	859
Timing differences related to revenue recognition		61	9,365
Lease liabilities		7,073	7,614
Net operating and capital loss carryforwards — domestic		575	542
Net operating loss carryforward — foreign		3,396	4,279
Other compensation-related costs and other cost accruals		9,032	8,174
State credit carryforward		1,676	2,639
Foreign credit carryforward		203	192
Total deferred tax assets		27,670	37,931

Deferred tax liabilities:
ROU assets		(7,073)	(7,614)
Goodwill		(11,691)	(13,746)
Acquisition intangible assets		(62,051)	(62,052)
Depreciation, software amortization		(24,503)	(22,418)
Net deferred tax liabilities before valuation allowance		(77,648)	(67,899)
Less valuation allowance		(1,208)	(2,011)
Net deferred tax liabilities	$	(78,856)	(69,910)

Debt (Tables)

12 Months Ended

Sep. 30, 2022

Debt

Schedule of debt

Debt consists of the following at September 30, 2022 and 2021:


(Dollars in thousands)	2022		2021
Total borrowings	$	153,000	154,000
Current portion of long-term debt and short-term borrowings		(20,000)	(20,000)
Total long-term debt, less current portion	$	133,000	134,000

Share-Based Compensation (Tables)

12 Months Ended

Sep. 30, 2022

Share-Based Compensation

Summary Of outstanding share-based compensation awards

The following summary presents information regarding outstanding share-based compensation awards as of the specified dates, and changes during the specified periods:


	FY 2022			FY 2021			FY 2020
		Estimated			Estimated			Estimated
		Weighted			Weighted			Weighted
	Shares	Avg. Price		Shares	Avg. Price		Shares	Avg. Price
Nonvested at October 1,	226,705	$	76.15	220,300	$	66.55	281,004	$	59.72
Granted	117,045		82.54	51,476		108.05	45,723		74.80
Vested	(75,327)		56.87	(35,753)		64.40	(89,822)		50.51
Cancelled	(3,056)		89.51	(9,318)		70.50	(16,605)		60.48
Nonvested at September 30,	265,367	$	84.29	226,705	$	76.15	220,300	$	66.55

Business Segment Information (Tables)

12 Months Ended

Sep. 30, 2022

Business Segment Information

Schedule of Net Sales and Earnings Before Income Tax

Net Sales


(Dollars in millions)
Year ended September 30,	2022		2021	2020
A&D	$	351.4	314.8	351.9
USG		278.4	202.9	191.7
Test		227.7	197.7	186.9
Consolidated totals	$	857.5	715.4	730.5

No customer exceeded 10% of consolidated sales in 2022 or 2021 and one customer exceeded 10% of consolidated sales in 2020.

EBIT


(Dollars in millions)
Year ended September 30,	2022		2021	2020
A&D	$	68.4	56.5	69.9
USG		57.6	40.9	24.4
Test		32.6	27.6	27.2
Reconciliation to consolidated totals (Corporate)		(47.3)	(42.1)	(78.4)
Consolidated EBIT		111.3	82.9	43.1
Less: interest expense		(4.9)	(2.2)	(6.7)
Earnings before income tax	$	106.4	80.7	36.4

Schedule of Identifiable Assets

Identifiable Assets


(Dollars in millions)
Year ended September 30,	2022		2021
A&D	$	295.2	270.0
USG		220.0	197.5
Test		174.6	153.6
Corporate		964.7	956.2
Consolidated totals	$	1,654.5	1,577.3

Schedule Of Capital Expenditures

Capital Expenditures


(Dollars in millions)
Year ended September 30,	2022		2021	2020
A&D	$	9.4	10.4	15.9
USG		14.4	11.6	12.4
Test		8.3	4.7	3.6
Corporate		—	—	0.2
Consolidated totals	$	32.1	26.7	32.1

Schedule Of Depreciation And Amortization

Depreciation and Amortization


(Dollars in millions)
Year ended September 30,	2022		2021	2020
A&D	$	11.1	10.4	9.4
USG		12.6	13.5	14.4
Test		5.4	5.2	5.0
Corporate		19.2	12.9	12.5
Consolidated totals	$	48.3	42.0	41.3

Schedule Of Geographic Information Net Sale

Net Sales


(Dollars in millions)
Year ended September 30,	2022		2021	2020
United States	$	603.2	517.0	529.4
Asia		122.4	92.3	96.3
Europe		72.4	53.5	51.3
Canada		31.2	27.0	31.7
India		10.3	12.4	10.3
Other		18.0	13.2	11.5
Consolidated totals	$	857.5	715.4	730.5

Schedule Of Geographic Information Long-Lived Assets

Long-Lived Assets


(Dollars in millions)
Year ended September 30,	2022		2021
United States	$	141.5	141.0
Mexico		5.8	3.8
Other		8.7	9.5
Consolidated totals	$	156.0	154.3

Leases (Tables)

12 Months Ended

Sep. 30, 2022

Leases

Schedule of components of lease costs

The components of lease costs are shown below:


	Year Ended		Year Ended
	September 30,		September 30,
(Dollars in thousands)	2022		2021
Finance lease cost:
Amortization	$	1,572		2,413
Interest on lease liabilities		973		1,235
Operating lease cost		6,347		5,879
Total lease cost	$	8,892		9,527

Schedule of additional information related to leases

Additional information related to leases is shown below:


	Year Ended			Year Ended
	September 30,			September 30,
(Dollars in thousands)	2022			2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	6,101			5,504
Operating cash flows from finance leases		973			1,228
Financing cash flows from finance leases		1,224			1,757

Right-of-use assets obtained in exchange for operating lease liabilities	$	4,160			15,609

Weighted-average remaining lease term:
Operating leases		9.3	yrs		10.3	yrs
Finance leases		12.0	yrs		11.7	yrs
Weighted-average discount rate:
Operating leases		3.2	%		3.1	%
Finance leases		4.6	%		4.2	%

Schedule of reconciliation of future undiscounted cash flows to the operating and finance lease liabilities, and the related ROU assets


(Dollars in thousands)	Operating		Finance
Years Ending September 30:	Leases		Leases
2023	$	5,953		2,256
2024		5,132		2,315
2025		3,790		2,370
2026		2,881		2,434
2027 and thereafter		17,029		18,997
Total minimum lease payments		34,785		28,372
Less: amounts representing interest		4,760		7,189
Present value of net minimum lease payments	$	30,025		21,183
Less: current portion of lease obligations		5,172		1,331
Non-current portion of lease obligations		24,853		19,852

ROU assets	$	29,150		17,343


(Dollars in thousands)	Operating		Finance
Years Ending September 30:	Leases		Leases
2022	$	5,448	3,153
2023		4,679	3,235
2024		4,032	3,319
2025		3,654	3,399
2026 and thereafter		20,453	25,516
Total minimum lease payments		38,266	38,622
Less: amounts representing interest		5,691	9,092
Present value of net minimum lease payments	$	32,575	29,530
Less: current portion of lease obligations		4,543	2,180
Non-current portion of lease obligations		28,032	27,350

ROU assets	$	31,846	24,964

Revenues (Tables)

12 Months Ended

Sep. 30, 2022

Revenues

Schedule of disaggregation of revenue by reportable segment

Year Ended September 30, 2022

(In thousands)

A&D

USG

Test

Total

Customer type:

Commercial

144,305

272,432

209,016

625,753

Government

207,108

5,935

18,706

231,749

Total revenues

351,413

278,367

227,722

857,502

Geographic location:

United States

299,158

180,586

123,428

603,172

International

52,255

97,781

104,294

254,330

Total revenues

351,413

278,367

227,722

857,502

Revenue recognition method:

Point in time

144,039

224,502

58,522

427,063

Over time

207,374

53,865

169,200

430,439

Total revenues

351,413

278,367

227,722

857,502


Year Ended September 30, 2021
(In thousands)	A&D		USG		Test		Total
Customer type:
Commercial	$	130,217		199,111		177,601		506,929
Government		184,607		3,797		20,107		208,511
Total revenues	$	314,824		202,908		197,708		715,440

Geographic location:
United States	$	275,976		140,545		100,438		516,959
International		38,848		62,363		97,270		198,481
Total revenues	$	314,824		202,908		197,708		715,440

Revenue recognition method:
Point in time	$	136,449		153,163		40,609		330,221
Over time		178,375		49,745		157,099		385,219
Total revenues	$	314,824		202,908		197,708		715,440

Summary of Significant Accounting Policies - Number Of Shares Used In Calculation Of Earnings Per Share (Details) - shares shares in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Summary of Significant Accounting Policies
Weighted Average Shares Outstanding - Basic	25,933	26,046	26,010
Dilutive Restricted Shares	134	179	125
Shares - Diluted	26,067	26,225	26,135

Summary of Significant Accounting Policies- Additional Information (Details)	12 Months Ended
	Sep. 30, 2022 USD ($) segment	Sep. 30, 2021 USD ($)	Sep. 30, 2020 USD ($)
Significant Accounting Policies
Number of Reportable Segments \| segment	3
Accumulated other comprehensive loss, net of tax	$ (31,764,000)	$ (2,161,000)
Option to extend	true
Research and development expenses	$ 12,300,000	$ 15,400,000	$ 13,300,000
Fair value of financial instruments	$ 0
Maximum
Significant Accounting Policies
Lease term	20 years
Estimated useful lives	7 years
Maximum \| Building
Significant Accounting Policies
Estimated useful lives	40 years
Maximum \| Machinery and Equipment
Significant Accounting Policies
Estimated useful lives	10 years
Maximum \| Office Furniture And Equipment
Significant Accounting Policies
Estimated useful lives	10 years
Minimum
Significant Accounting Policies
Estimated useful lives	3 years
Minimum \| Building
Significant Accounting Policies
Estimated useful lives	10 years
Minimum \| Machinery and Equipment
Significant Accounting Policies
Estimated useful lives	3 years
Minimum \| Office Furniture And Equipment
Significant Accounting Policies
Estimated useful lives	3 years
USG Segment
Significant Accounting Policies
Percentage of segment revenues recognized when services are performed or when products are delivered	80.00%
Percentage of consolidated revenues recognized when services are performed or when products are delivered	25.00%
Percentage of segment revenues recognized on straight line basis	20.00%
Percentage on consolidated revenues recognized on straight line basis	6.00%
Test Segment
Significant Accounting Policies
Percentage of segment revenues recognized when services are performed or when products are delivered	25.00%
Percentage of consolidated revenues recognized when services are performed or when products are delivered	7.00%
Percentage of segment revenues recorded under percentage of completion method	75.00%
Percentage of consolidated revenues recorded under percentage of completion method	20
Software Contract
Significant Accounting Policies
Percentage of segment revenues recognized when services are performed or when products are delivered	6.00%
Percentage of consolidated revenues recognized when services are performed or when products are delivered	2.00%
Aero Space Defense
Significant Accounting Policies
Percentage of segment revenues recognized when services are performed or when products are delivered	40.00%
Percentage of consolidated revenues recognized when services are performed or when products are delivered	17.00%
Percentage of segment revenues recorded over time	60.00%
Percentage of consolidate revenues recorded over time	25.00%

Acquisitions (Details) - USD ($) $ in Thousands				12 Months Ended
Acquisitions (Details) - USD ($) $ in Thousands	Nov. 04, 2021	Aug. 09, 2021	Jul. 29, 2021	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Business Acquisition
Payments to acquire businesses net of cash acquired				$ 10,906	$ 168,903
Goodwill, tax deductible expenses				11,691	13,746
Goodwill				492,709	$ 504,853	$ 408,100
Phenix Technologies
Business Acquisition
Payments to acquire businesses net of cash acquired		$ 47,200
Business combination recognized identifiable assets acquired and liabilities assumed current assets receivables		2,600
Business combination recognized identifiable assets acquired and liabilities assumed inventory		5,800
Business combination recognized identifiable assets acquired and liabilities assumed, property, plant and equipment		8,000
Business combination recognized identifiable assets acquired and liabilities assumed current liabilities accounts payable		6,200
Goodwill, tax deductible expenses		15,000
Amount received on finalization of working capital adjustment				$ 4,600
Goodwill		18,700
Networks electronic company
Business Acquisition
Payments to acquire businesses net of cash acquired	$ 15,400
Business combination recognized identifiable assets acquired and liabilities assumed current assets receivables	600
Business combination recognized identifiable assets acquired and liabilities assumed inventory	1,500
Business combination recognized identifiable assets acquired and liabilities assumed, property, plant and equipment	200
Business combination recognized identifiable assets acquired and liabilities assumed current liabilities accounts payable	700
Business combination recognized identifiable assets acquired and liabilities assumed intangible assets other than goodwill	8,100
Goodwill	5,700
I.s.a. Altanova Group S.r.l. Altanova
Business Acquisition
Payments to acquire businesses net of cash acquired			$ 115,000
Business combination recognized identifiable assets acquired and liabilities assumed current assets receivables			9,700
Business combination recognized identifiable assets acquired and liabilities assumed inventory			5,600
Business combination recognized identifiable assets acquired and liabilities assumed, property, plant and equipment			1,200
Business combination recognized identifiable assets acquired and liabilities assumed current liabilities accounts payable			12,800
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Liabilities			16,700
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Other Noncurrent Assets			9,000
Business Combination, Contingent Consideration, Liability			6,900
Goodwill			71,100
Customer Relationships \| Phenix Technologies
Business Acquisition
Business combination recognized identifiable assets acquired and liabilities assumed indefinite-lived intangible assets		$ 9,600
Acquired Finite-Lived Intangible Assets, Weighted Average Useful Life		13 years
Customer Relationships \| Networks electronic company
Business Acquisition
Business combination recognized identifiable assets acquired and liabilities assumed indefinite-lived intangible assets	$ 6,300
Customer Relationships \| I.s.a. Altanova Group S.r.l. Altanova
Business Acquisition
Business combination recognized identifiable assets acquired and liabilities assumed indefinite-lived intangible assets			$ 50,500
Acquired Finite-Lived Intangible Assets, Weighted Average Useful Life			20 years
Customer Relationships and Developed Technology \| Phenix Technologies
Business Acquisition
Business combination recognized identifiable assets acquired and liabilities assumed indefinite-lived intangible assets		$ 500
Trade Names \| Phenix Technologies
Business Acquisition
Business combination recognized identifiable assets acquired and liabilities assumed indefinite-lived intangible assets		$ 3,700
Trade Names \| I.s.a. Altanova Group S.r.l. Altanova
Business Acquisition
Business combination recognized identifiable assets acquired and liabilities assumed indefinite-lived intangible assets			$ 4,300
Acquired Finite-Lived Intangible Assets, Weighted Average Useful Life			10 years

Technical Packaging Divestiture (Details) $ in Thousands	1 Months Ended	3 Months Ended	12 Months Ended
Technical Packaging Divestiture (Details) $ in Thousands	Dec. 31, 2019 subsidiary	Jun. 30, 2020 USD ($)	Sep. 30, 2021	Sep. 30, 2020 USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations
After-tax gain on the sale of business				$ 76,515
Discontinued Operation, Gain (Loss) on Disposal, Statement of Income or Comprehensive Income [Extensible Enumeration]			After-tax gain on the sale of business
Working capital adjustment		$ 200
Technical Packaging Business \| Discontinued Operations Disposed of by Sale
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations
Net sales				16,500
Pretax (loss) earnings				(300)
Proceeds from sale of discontinued operations				184,000
After-tax gain on the sale of business				$ 76,500
Technical Packaging Business \| Sonoco Products Company \| Discontinued Operations Disposed of by Sale
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations
Number Of Wholly Owned Subsidiaries of the Company \| subsidiary	2

Goodwill and Other Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Goodwill and Other Intangible Assets
Goodwill	$ 492,709	$ 504,853	$ 408,100
Trade names
Goodwill and Other Intangible Assets
Trade names	160,024	161,733
Patents
Goodwill and Other Intangible Assets
Gross carrying amount	2,353	2,131
Less: accumulated amortization	1,091	972
Net	1,262	1,159
Capitalized software
Goodwill and Other Intangible Assets
Gross carrying amount	106,583	93,671
Less: accumulated amortization	70,476	63,740
Net	36,107	29,931
Customer Relationships
Goodwill and Other Intangible Assets
Gross carrying amount	287,447	288,530
Less: accumulated amortization	96,921	80,882
Net	190,526	207,648
Other
Goodwill and Other Intangible Assets
Gross carrying amount	13,985	13,177
Less: accumulated amortization	7,440	4,398
Net	$ 6,545	$ 8,779

Goodwill and Other Intangible Assets - Changes in carrying amount of goodwill (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Goodwill and Other Intangible Assets
Beginning Balance	$ 504,853	$ 408,100
Acquisition activity	1,000	97,400
Foreign currency translation and other	(13,200)	(600)
Ending Balance	492,709	504,853
USG
Goodwill and Other Intangible Assets
Beginning Balance	366,500	271,900
Acquisition activity	(4,700)	95,200
Foreign currency translation and other	(13,100)	(600)
Ending Balance	348,700	366,500
Test
Goodwill and Other Intangible Assets
Beginning Balance	34,100	34,100
Foreign currency translation and other	(100)
Ending Balance	34,000	34,100
A&D
Goodwill and Other Intangible Assets
Beginning Balance	104,300	102,100
Acquisition activity	5,700	2,200
Ending Balance	$ 110,000	$ 104,300

- Definition

Amount after accumulated impairment loss of an asset representing future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized.

+ References + Details

Goodwill and Other Intangible Assets - Additional Information (Details) - USD ($)	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Goodwill and Other Intangible Assets
Amortization expense related to intangible assets	$ 25,936,000	$ 20,829,000	$ 21,812,000
Finite-Lived Intangible Asset, Expected Amortization, Year One	18,500,000
Finite-Lived Intangible Asset, Expected Amortization, Year Two	17,000,000
Asset Impairment Charges	0
Fair value of financial instruments	$ 0
Customer Relationships \| Maximum
Goodwill and Other Intangible Assets
Expected remaining useful life	20 years
Customer Relationships \| Minimum
Goodwill and Other Intangible Assets
Expected remaining useful life	13 years
Patents \| Maximum
Goodwill and Other Intangible Assets
Expected remaining useful life	20 years
Patents \| Minimum
Goodwill and Other Intangible Assets
Expected remaining useful life	10 years
Capitalized software \| Maximum
Goodwill and Other Intangible Assets
Expected remaining useful life	7 years
Capitalized software \| Minimum
Goodwill and Other Intangible Assets
Expected remaining useful life	3 years

Accounts Receivable (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Accounts Receivable
Total	$ 164,645	$ 146,341
Commercial
Accounts Receivable
Total	151,565	128,952
U.S. Government and prime contractors
Accounts Receivable
Total	$ 13,080	$ 17,389

Inventories, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Inventories, Net
Finished goods	$ 32,471	$ 32,998
Work in process	38,492	34,201
Raw materials	91,440	79,949
Total	$ 162,403	$ 147,148

Income Tax Expense - Total Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Income Tax Expense
Income tax expense from continuing operations	$ 24,115	$ 17,175	$ 13,510
Income tax expense from discontinued operations	0		23,501
Total income tax expense (benefit)	$ 24,115	$ 17,175	$ 37,011

- Definition

Amount of tax expense (benefit) related to a discontinued operation. Includes, but is not limited to, tax expense (benefit) related to income (loss) from operations during the phase-out period, tax expense (benefit) related to gain (loss) on disposal, tax expense (benefit) related to gain (loss) for reversal of write-down (write-down) to fair value, less cost to sell, and tax expense (benefit) related to adjustments of a prior period gain (loss) on disposal.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 2: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

- Definition

Amount of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations.

+ References + Details

Income Tax Expense - Components Of Income From Continuing Operations Before Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Income Tax Expense
United States	$ 90,674	$ 70,214	$ 23,951
Foreign	15,761	10,457	12,455
Total income before income taxes	$ 106,435	$ 80,671	$ 36,406

- Definition

Amount of income (loss) from continuing operations, including income (loss) from equity method investments, before deduction of income tax expense (benefit), and income (loss) attributable to noncontrolling interest.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Income Tax Expense - Principal Components Of Income Tax Expense (Benefit) From Continuing Operations (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Federal:
Current	$ 7,248	$ 14,807	$ 10,495
Deferred	9,752	(1,598)	1,311
State and local:
Current	1,635	2,257	1,984
Deferred	1,774	(786)	(932)
Foreign:
Current	4,645	2,922	2,875
Deferred	(939)	(427)	(2,223)
Total	$ 24,115	$ 17,175	$ 13,510

Income Tax Expense - Schedule Of Actual Income Tax Expense (Benefit) From Continuing Operations (Details)	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Income Tax Expense
Federal corporate statutory rate	21.00%	21.00%	21.00%
State and local, net of Federal benefits	2.90%	1.90%	2.30%
Impact of foreign operations	(0.30%)	(0.40%)	1.30%
Federal research credit	(0.30%)	(0.90%)	(3.70%)
Executive compensation	0.50%	0.90%	1.60%
Valuation allowance	(0.30%)	0.00%	(6.80%)
U.S. tax on GILTI	1.80%	1.00%	3.20%
GILTI foreign tax credits	(1.50%)	(0.60%)	(2.70%)
FDII deduction	(0.90%)	(1.70%)	(2.60%)
Pension plan termination charge	0.00%	0.00%	23.40%
Other, net	(0.20%)	0.10%	0.10%
Effective income tax rate	22.70%	21.30%	37.10%

Income Tax Expense - Tax Effects Of Temporary Differences That Give Rise To Significant Portions Of The Deferred Tax Assets And Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Deferred tax assets:
Inventories	$ 4,990	$ 4,267
Pension and other postretirement benefits	664	859
Timing differences related to revenue recognition	61	9,365
Lease liabilities	7,073	7,614
Net operating and capital loss carryforwards-domestic	575	542
Net operating loss carryforward - foreign	3,396	4,279
Other compensation-related costs and other cost accruals	9,032	8,174
State credit carryforward	1,676	2,639
Foreign credit carryforward	203	192
Total deferred tax assets	27,670	37,931
Deferred tax liabilities:
ROU assets	(7,073)	(7,614)
Goodwill	(11,691)	(13,746)
Acquisition intangible assets	(62,051)	(62,052)
Depreciation, software amortization	(24,503)	(22,418)
Net deferred tax liabilities before valuation allowance	(77,648)	(67,899)
Less valuation allowance	(1,208)	(2,011)
Net deferred tax liabilities	$ (78,856)	$ (69,910)

Income Tax Expense - Additional information (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Income Tax Expense
Operating loss carry forwards, valuation allowance	$ 500	$ 500
Net operating loss carry forward - foreign	3,396	4,279
Deferred tax assets, operating loss carry forwards, not subject to expiration	10,400
Deferred tax assets, operating loss carry forwards, subject to expiration	1,700
Tax credit carryforward, amount	200
Deferred tax assets, operating loss carry forwards, state and local	600
Deferred tax assets, tax credit carry forwards, research	1,700
State research and other credit carry forwards with expiration date	900
State research and other credit carry forwards without expiration date	800
Deferred tax assets, valuation allowance	1,208	2,011
Reduction in valuation allowance for excess foreign tax credits	800	100
Unrecognized tax benefits	0
Foreign Valuation Allowance
Income Tax Expense
Operating loss carry forwards, valuation allowance	700	900
State and Local Jurisdiction
Income Tax Expense
Operating loss carry forwards, valuation allowance	600	$ 600
Net operating loss carry forward - foreign	$ 12,100

Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Debt
Total borrowings	$ 153,000	$ 154,000
Current portion of long-term debt	(20,000)	(20,000)
Total long-term debt, less current portion	$ 133,000	$ 134,000

- Definition

Amount, excluding unamortized premium (discount) and debt issuance cost, of long-term debt. Excludes lease obligation.

+ References + Details

Debt - Additional information (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
DEBT
Available to borrow under the credit facility	$ 339,000
Cash on hand	97,724	$ 56,232
Current maturities of long-term debt	20,000
Letters of credit outstanding, amount	8,000	8,500
Short-Term debt, maximum month-end outstanding amount	$ 208,000	174,000
Equity interests in direct and indirect material foreign subsidiaries, pledged as collateral (as a percent)	100.00%
Short-Term debt, average outstanding amount	$ 189,800	$ 71,300
Debt, weighted average interest rate	2.11%	1.20%
Debt Instrument, Interest Rate	4.12%
Revolving Credit Facility
DEBT
Line of credit facility, amount outstanding	$ 500,000
Line of credit facility, commitment fee amount	250,000
Maximum
DEBT
Incremental term loan	$ 250,000

Capital Stock (Detail) - USD ($) $ in Millions	12 Months Ended
Capital Stock (Detail) - USD ($) $ in Millions	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Capital Stock
Common shares as presented in the accompanying Consolidated Balance Sheets	30,707,748	30,666,173
Common shares in treasury	4,854,997	4,604,741
Board of Directors authorized an expanded stock repurchase program	$ 200.0
Stock repurchases during period, shares	257,500	0	0
Stock Repurchased During Period, Value	$ 20.0

Share-Based Compensation - Schedule Of Outstanding Restricted Share Awards (Details) - $ / shares	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Share-Based Compensation
Outstanding restricted share awards, Nonvested at October 1,	226,705	220,300	281,004
Outstanding restricted share awards, Granted, Shares	117,045	51,476	45,723
Outstanding restricted share awards, Vested, Shares	(75,327)	(35,753)	(89,822)
Outstanding restricted share awards, Cancelled, Shares	(3,056)	(9,318)	(16,605)
Outstanding restricted share awards, Nonvested at September 30,	265,367	226,705	220,300
Outstanding restricted share awards, Nonvested at October 1, Weighted Avg. Price	$ 76.15	$ 66.55	$ 59.72
Outstanding restricted share awards, Granted, Weighted Avg. Price	82.54	108.05	74.80
Outstanding restricted share awards, Vested, Weighted Avg. Price	56.87	64.40	50.51
Outstanding restricted share awards, Cancelled, Weighted Avg. Price	89.51	70.50	60.48
Outstanding restricted share awards, Nonvested at September 30, Weighted Avg. Price	$ 84.29	$ 76.15	$ 66.55

Share-Based Compensation (Details) - USD ($)	12 Months Ended
Share-Based Compensation (Details) - USD ($)	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
SHARE-BASED COMPENSATION
Share-Based Payment Arrangement, Expensed and Capitalized, Amount	$ 180,000
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant	580,437
Performance-Accelerated Restricted Share (PARS) Awards
SHARE-BASED COMPENSATION
Pretax compensation expense	$ 6,100,000	$ 5,600,000	$ 4,300,000
Vesting period	5 years
Compensation Plan for Non-Employee Directors
SHARE-BASED COMPENSATION
Pretax compensation expense	$ 1,200,000	1,300,000	1,300,000
Total share-based compensation cost	1,500,000
Total income tax benefit recognized		1,400,000	1,200,000
Total unrecognized compensation cost related to share-based compensation arrangements	$ 11,200,000
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition	1 year 7 months 6 days
Compensation Plan for Non-Employee Directors \| Selling, general and administrative expenses
SHARE-BASED COMPENSATION
Total share-based compensation cost	$ 7,300,000	$ 6,900,000	$ 5,600,000
RSU
SHARE-BASED COMPENSATION
Vesting period	3 years 6 months

Retirement and Other Benefit Plans (Details) $ in Thousands	12 Months Ended
Retirement and Other Benefit Plans (Details) $ in Thousands	Sep. 30, 2020 USD ($)
Retirement and Other Benefit Plans
Employer contributions	$ 25,700
Plan liabilities settled	32,400
Plan liabilities settled by entering into an agreement to purchase annuities from Massachusetts Mutual Life Insurance Company	69,100
Charges associated with these settlements	$ 40,600

- Definition

Amount of contribution received by defined benefit plan from employer which increases plan assets.

+ References + Details

Business Segment Information (Details) $ in Thousands	12 Months Ended
Business Segment Information (Details) $ in Thousands	Sep. 30, 2022 USD ($) segment	Sep. 30, 2021 USD ($)	Sep. 30, 2020 USD ($)
BUSINESS SEGMENT INFORMATION
NET SALES	$ 857,502	$ 715,440	$ 730,471
EBIT	111,300	82,900	43,100
Less: Interest expense	(4,900)	(2,200)	(6,700)
Earnings before income taxes	$ 106,435	80,671	36,406
Number of reportable segments \| segment	3
Corporate
BUSINESS SEGMENT INFORMATION
EBIT	$ (47,300)	(42,100)	(78,400)
Aerospace & Defense
BUSINESS SEGMENT INFORMATION
NET SALES	351,413	314,824	351,900
EBIT	68,400	56,500	69,900
USG
BUSINESS SEGMENT INFORMATION
NET SALES	278,367	202,908	191,700
EBIT	57,600	40,900	24,400
Test
BUSINESS SEGMENT INFORMATION
NET SALES	227,722	197,708	186,900
EBIT	$ 32,600	$ 27,600	$ 27,200

Business Segment Information - Schedule Of Identifiable Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Identifiable Assets	$ 1,654,456	$ 1,577,345
Aerospace & Defense
Identifiable Assets	295,200	270,000
USG
Identifiable Assets	220,000	197,500
Test
Identifiable Assets	174,600	153,600
Corporate
Other Assets	$ 964,700	$ 956,200

- Definition

Sum of the carrying amounts as of the balance sheet date of all assets that are recognized. Assets are probable future economic benefits obtained or controlled by an entity as a result of past transactions or events.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
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+ Details

Business Segment Information - Schedule Of Capital Expenditures (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Capital Expenditures	$ 32,101	$ 26,705	$ 32,108
Goodwill	492,709	504,853	408,100
Aerospace & Defense
Capital Expenditures	9,400	10,400	15,900
Goodwill	110,000	104,300	102,100
USG
Capital Expenditures	14,400	11,600	12,400
Goodwill	348,700	366,500	271,900
Test
Capital Expenditures	8,300	4,700	3,600
Goodwill	34,000	34,100	34,100
Corporate
Capital Expenditures	$ 0	$ 0	$ 200

- Definition

+ References + Details

Business Segment Information - Schedule Of Depreciation And Amortization (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Depreciation and Amortization	$ 48,343	$ 42,049	$ 41,338
Aerospace & Defense
Depreciation and Amortization	11,100	10,400	9,400
USG
Depreciation and Amortization	12,600	13,500	14,400
Test
Depreciation and Amortization	5,400	5,200	5,000
Corporate
Depreciation and Amortization	$ 19,200	$ 12,900	$ 12,500

Business Segment Information - Schedule Of Geographic Information Net Sales (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Net Sales	$ 857,502	$ 715,440	$ 730,471
United States
Net Sales	603,172	516,959	529,400
Asia
Net Sales	122,400	92,300	96,300
Europe
Net Sales	72,400	53,500	51,300
Canada
Net Sales	31,200	27,000	31,700
India
Net Sales	10,300	12,400	10,300
Other
Net Sales	$ 18,000	$ 13,200	$ 11,500

- Definition

Amount, excluding tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value added and excise.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
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Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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-Paragraph 1
-Subparagraph (SAB Topic 11.L)
-URI https://asc.fasb.org/extlink&oid=6472922&loc=d3e499488-122856

+ Details

Business Segment Information - Schedule Of Geographic Information Long-Lived Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Long-Lived Assets	$ 155,973	$ 154,265
United States
Long-Lived Assets	141,500	141,000
Mexico
Long-Lived Assets	5,800	3,800
Other
Long-Lived Assets	$ 8,700	$ 9,500

Business Segment Information - Additional Information (Details) $ in Millions	12 Months Ended
	Sep. 30, 2022 USD ($) customer	Sep. 30, 2021 USD ($) customer	Sep. 30, 2020 USD ($) customer
Percentage Of Sale Of Customer Maximum	10.00%	10.00%	10.00%
Capitalized Computer Software, Period Increase (Decrease)	$ 12.9	$ 8.8	$ 9.0
Revenue from Contract with Customer Benchmark \| Customer Concentration Risk
Number of customers who exceeded 10% of sales \| customer	0	0	1
Property, Plant and Equipment
Depreciation	$ 22.4	$ 21.2	$ 19.5

Commitments and Contingencies (Details) - USD ($) $ in Millions	Sep. 30, 2022	Sep. 30, 2021
Commitments and Contingencies
Letters of credit outstanding, amount	$ 8.0	$ 8.5

Leases - Components of lease costs (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Leases
Option to extend	true
Finance lease cost:
Amortization	$ 1,572	$ 2,413
Interest on lease liabilities	973	1,235
Operating lease cost	6,347	5,879
Total lease cost	$ 8,892	$ 9,527
Maximum
Leases
Lease term	20 years

Leases - Additional information related to leases (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$ 6,101	$ 5,504
Operating cash flows from finance leases	973	1,228
Financing cash flows from finance leases	1,224	1,757
Right-of-use assets obtained in exchange for operating lease liabilities	$ 4,160	$ 15,609
Weighted-average remaining lease term:
Operating leases	9 years 3 months 18 days	10 years 3 months 18 days
Finance leases	12 years	11 years 8 months 12 days
Weighted-average discount rate:
Operating leases	3.20%	3.10%
Finance leases	4.60%	4.20%

Leases - Reconciliation of future undiscounted cash flows to the operating and finance lease liabilities, and the related ROU assets (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Operating leases
Year 1	$ 5,953	$ 5,448
Year 2	5,132	4,679
Year 3	3,790	4,032
Year 4	2,881	3,654
Year 5 and thereafter	17,029	20,453
Total minimum lease payments	34,785	38,266
Less: amounts representing interest	4,760	5,691
Present value of net minimum lease payments	$ 30,025	$ 32,575
Location of operating lease liabilities included on Consolidated Balance Sheets	Less: current portion of lease obligations, Non-current portion of lease obligations	Less: current portion of lease obligations, Non-current portion of lease obligations
Less: current portion of lease obligations	$ 5,172	$ 4,543
Non-current portion of lease obligations	24,853	28,032
ROU assets	$ 29,150	$ 31,846
Location of operating lease ROU assets included on Consolidated Balance Sheets	ROU assets	ROU assets
Finance leases
Year 1	$ 2,256	$ 3,153
Year 2	2,315	3,235
Year 3	2,370	3,319
Year 4	2,434	3,399
Year 5 and thereafter	18,997	25,516
Total minimum lease payments	28,372	38,622
Less: amounts representing interest	7,189	9,092
Present value of net minimum lease payments	$ 21,183	$ 29,530
Location of finance lease liabilities included on Consolidated Balance Sheets	Accrued other expenses, Other liabilities	Accrued other expenses, Other liabilities
Less: current portion of lease obligations	$ 1,331	$ 2,180
Non-current portion of lease obligations	19,852	27,350
ROU assets	$ 17,343	$ 24,964
Location of finance lease ROU assets included on Consolidated Balance Sheets	Property, Plant and Equipment, Net	Property, Plant and Equipment, Net

Revenues - Disaggregation of Revenues (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2020
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	$ 857,502	$ 715,440	$ 730,471
Point in time
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	427,063	330,221
Over time
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	430,439	385,219
United States
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	603,172	516,959	529,400
International
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	254,330	198,481
Commercial
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	625,753	506,929
Government
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	231,749	208,511
A&D
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	351,413	314,824	351,900
A&D \| Point in time
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	144,039	136,449
A&D \| Over time
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	207,374	178,375
A&D \| United States
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	299,158	275,976
A&D \| International
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	52,255	38,848
A&D \| Commercial
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	144,305	130,217
A&D \| Government
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	207,108	184,607
USG
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	278,367	202,908	191,700
USG \| Point in time
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	224,502	153,163
USG \| Over time
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	53,865	49,745
USG \| United States
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	180,586	140,545
USG \| International
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	97,781	62,363
USG \| Commercial
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	272,432	199,111
USG \| Government
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	5,935	3,797
Test
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	227,722	197,708	$ 186,900
Test \| Point in time
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	58,522	40,609
Test \| Over time
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	169,200	157,099
Test \| United States
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	123,428	100,438
Test \| International
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	104,294	97,270
Test \| Commercial
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	209,016	177,601
Test \| Government
Disaggregation of revenues
Revenue from contract with customer excluding assessed tax	$ 18,706	$ 20,107

Revenues - Remaining Performance Obligations (Details) - USD ($) $ in Millions	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Remaining Performance Obligations
Revenue Recognized	$ 83.8
Contract assets	125.2	$ 93.8
Contract liabilities	137.6	$ 108.8
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-10-01
Remaining Performance Obligations
Remaining performance obligations amount	$ 695.0
Percentage of remaining performance obligation expected to be recognized	80.00%
Revenue remaining performance obligation expected timing of satisfaction, Period	12 months