Trimble Announces New Reporting Segments
WESTMINSTER, Colo., April 12, 2024 /PRNewswire/ -- Trimble (NASDAQ: TRMB) announced today that it will change the reporting of its segment financial results to better reflect the Company's organizational structure and business models. Starting with first quarter 2024 results, Trimble will report revenue and operating income based on three operating segments as follows:
-- Architects, Engineers, Construction and Owners ("AECO"). This segment
primarily provides software solutions, which sell through a direct
channel to customers in the construction industry.
-- Field Systems. This segment primarily includes hardware-centric
businesses, which sell through dealer partner channels.
-- Transportation and Logistics ("T&L"). This segment will primarily
maintain the historical businesses from the previous Transportation
segment, which serves customers working in long haul trucking and
freight shipper markets.
Financial segment information for the four quarters and the full year for fiscal years 2023 and 2022, as if reported under the new structure, will be available in an 8-K filed today and is posted in the Investor Relations section of the Company's web site at: http://investor.trimble.com. Also available at http://investor.trimble.com will be pre-recorded prepared remarks and an accompanying slide presentation on the new reporting segments. The new segment financial results for 2022 and 2023 include the Company's agriculture business, which was contributed to its joint venture with AGCO, which closed on April 1, 2024.
About Trimble
Trimble is transforming the ways people move, build and live. Core technologies in positioning, modeling and data analytics connect the digital and physical worlds to improve our customers' productivity, quality, safety, transparency and sustainability. For more information about Trimble (NASDAQ: TRMB), visit: www.trimble.com.
REPORTING SEGMENTS
(Dollars in millions)
(Unaudited)
Three Months Ended
Q1 Q2 Q3 Q4 Year
2023 2023 2023 2023 2023
AECO
Segment revenue $288.1 $264.1 $269.6 $288.7 $1,110.5
Segment operating income $95.4 $62.4 $77.8 $93.4 $329.0
Segment operating income as a % of segment revenue 33.1 % 23.6 % 28.9 % 32.4 % 29.6 %
Field Systems
Segment revenue $479.9 $540.6 $495.4 $452.0 $1,967.9
Segment operating income $137.4 $175.9 $165.0 $125.2 $603.5
Segment operating income as a % of segment revenue 28.6 % 32.5 % 33.3 % 27.7 % 30.7 %
Transportation and Logistics
Segment revenue $147.4 $188.9 $192.3 $191.7 $720.3
Segment operating income $20.3 $26.7 $33.6 $37.6 $118.2
Segment operating income as a % of segment revenue 13.8 % 14.1 % 17.5 % 19.6 % 16.4 %
CORPORATE SUMMARY
Segment Revenues:
AECO $288.1 $264.1 $269.6 $288.7 $1,110.5
Field Systems 479.9 540.6 495.4 452.0 1,967.9
Transportation and Logistics 147.4 188.9 192.3 191.7 720.3
Total Segment Revenue $915.4 $993.6 $957.3 $932.4 $3,798.7
Segment Operating Income:
AECO $95.4 $62.4 $77.8 $93.4 $329.0
Field Systems 137.4 175.9 165.0 125.2 603.5
Transportation and Logistics 20.3 26.7 33.6 37.6 118.2
Total segment operating income before corporate allocations $253.1 $265.0 $276.4 $256.2 $1,050.7
Corporate and Other Charges:
Unallocated Corporate Expense $(27.0) $(34.0) $(25.4) $(29.6) $(116.0)
Purchase accounting adjustments (34.7) (62.1) (58.9) (56.6) (212.3)
Acquisition / divestiture items (7.0) (26.5) (22.0) (16.9) (72.4)
Stock-based compensation / deferred compensation (35.4) (42.1) (37.9) (35.7) (151.1)
Restructuring and other costs (12.0) (6.7) (10.9) (20.5) (50.1)
Consolidated Operating Income 137.0 93.6 121.3 96.9 448.8
Non-operating income (expense) and income taxes (8.2) (49.0) (46.4) (33.9) (137.5)
Net income $128.8 $44.6 $74.9 $63.0 $311.3
REPORTING SEGMENTS
(Dollars in millions)
(Unaudited)
Three Months Ended
Q1 Q2 Q3 Q4 Year
2022 2022 2022 2022 2022
AECO
Segment revenue $242.9 $221.6 $226.0 $251.2 $941.7
Segment operating income $77.2 $48.1 $59.8 $74.0 $259.1
Segment operating income as a % of segment revenue 31.8 % 21.7 % 26.5 % 29.5 % 27.5 %
Field Systems
Segment revenue $595.9 $574.7 $519.7 $461.0 $2,151.3
Segment operating income $177.3 $186.6 $165.4 $126.6 $655.9
Segment operating income as a % of segment revenue 29.8 % 32.5 % 31.8 % 27.5 % 30.5 %
Transportation and Logistics
Segment revenue $154.9 $144.9 $139.2 $144.3 $583.3
Segment operating income $8.4 $9.3 $13.2 $18.9 $49.8
Segment operating income as a % of segment revenue 5.4 % 6.4 % 9.5 % 13.1 % 8.5 %
CORPORATE SUMMARY
Segment Revenues:
AECO $242.9 $221.6 $226.0 $251.2 $941.7
Field Systems 595.9 574.7 519.7 461.0 2,151.3
Transportation and Logistics 154.9 144.9 139.2 144.3 583.3
Total Segment Revenue $993.7 $941.2 $884.9 $856.5 $3,676.3
Segment Operating Income:
AECO $77.2 $48.1 $59.8 $74.0 $259.1
Field Systems 177.3 186.6 165.4 126.6 655.9
Transportation and Logistics 8.4 9.3 13.2 18.9 49.8
Total segment operating income before corporate allocations $262.9 $244.0 $238.4 $219.5 $964.8
Corporate and Other Charges:
Unallocated Corporate Expense $(29.8) $(33.3) $(28.5) $(31.7) $(123.3)
Purchase accounting adjustments (34.6) (32.3) (31.0) (33.7) (131.6)
Acquisition / divestiture items (3.9) (7.3) (9.1) (12.5) (32.8)
Stock-based compensation / deferred compensation (25.0) (26.2) (31.7) (29.1) (112.0)
Restructuring and other costs (12.7) (10.0) (15.7) (15.8) (54.2)
Consolidated Operating Income 156.9 134.9 122.4 96.7 510.9
Non-operating income (expense) and income taxes (46.6) 33.1 (36.6) (11.1) (61.2)
Net income $110.3 $168.0 $85.8 $85.6 $449.7
FTRMB
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SOURCE Trimble
