Schedule of restructuring charges |
The restructuring and restructuring-related charges for periods presented were recorded in the Condensed Consolidated Statements of Earnings as follows (in thousands):
|
|
|
|
|
|
|
|
|
Quarter Ended |
|
Nine Months Ended |
|
|
March 31, |
|
March 31, |
|
|
2025 |
|
2025 |
Cost of sales |
|
$ |
137 |
|
$ |
7,726 |
Selling, general and administrative(1) |
|
|
283 |
|
|
5,927 |
Total |
|
$ |
420 |
|
$ |
13,653 |
(1) Restructuring actions impacting research and development are not material to separately disclose and have been included within Selling, general and administrative costs.
Restructuring and restructuring-related costs by segment are as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended March 31, 2025 |
|
|
|
Employee |
|
|
Asset-related |
|
|
|
|
|
|
severance |
|
|
and other |
|
|
Total |
Protein Sciences |
|
$ |
10 |
|
$ |
119 |
|
$ |
129 |
Diagnostics and Spatial Biology |
|
|
— |
|
|
— |
|
|
— |
Corporate |
|
|
291 |
|
|
— |
|
|
291 |
Total |
|
$ |
301 |
|
$ |
119 |
|
$ |
420 |
|
|
|
|
|
|
|
|
|
|
|
|
Nine months ended March 31, 2025 |
|
|
|
Employee |
|
|
Asset-related |
|
|
|
|
|
|
severance |
|
|
and other |
|
|
Total |
Protein Sciences |
|
$ |
2,323 |
|
$ |
10,291 |
|
$ |
12,614 |
Diagnostics and Spatial Biology |
|
|
425 |
|
|
— |
|
|
425 |
Corporate |
|
|
610 |
|
|
4 |
|
|
614 |
Total |
|
$ |
3,358 |
|
$ |
10,295 |
|
$ |
13,653 |
The following table summarizes the changes in the Company’s accrued restructuring balance, which is included within Other current liabilities in the accompanying balance sheet. Other amounts reported as restructuring and restructuring-related costs in the accompanying statements of income have been summarized in the notes to the table (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
Employee |
|
Asset |
|
|
|
|
severance(1) |
|
impairment and other(2) |
|
Total |
Expense incurred in the first quarter of 2025 |
|
$ |
2,852 |
|
$ |
7,417 |
|
$ |
10,269 |
Cash payments |
|
|
(189) |
|
|
— |
|
|
(189) |
Non-cash adjustments |
|
|
— |
|
|
(7,417) |
|
|
(7,417) |
Accrued restructuring actions balance as of September 30, 2024 |
|
$ |
2,663 |
|
$ |
— |
|
$ |
2,663 |
Expense incurred in the second quarter of 2025 |
|
|
205 |
|
|
2,759 |
|
|
2,964 |
Cash payments |
|
|
(1,211) |
|
|
(335) |
|
|
(1,546) |
Non-cash adjustments |
|
|
— |
|
|
(2,424) |
|
|
(2,424) |
Accrued restructuring actions balance as of December 31, 2024 |
|
$ |
1,657 |
|
$ |
— |
|
$ |
1,657 |
Expense incurred in the third quarter of 2025 |
|
|
301 |
|
|
119 |
|
|
420 |
Cash payments |
|
|
(918) |
|
|
(119) |
|
|
(1,037) |
Non-cash adjustments |
|
|
— |
|
|
— |
|
|
— |
Accrued restructuring actions balance as of March 31, 2025 |
|
$ |
1,040 |
|
$ |
— |
|
$ |
1,040 |
(1) Relates to impacted employees’ final paycheck, separation payments, outplacement services, legal fees, and retention packages related to the closure or relocation of certain manufacturing sites.
(2) Primarily relates to impairment of intangibles and inventory as a result of the closure and relocation of certain manufacturing sites.
The restructuring and restructuring-related charges, including the impairment (recovery) of assets held-for-sale, for periods presented were recorded in the Condensed Consolidated Statements of Earnings as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended |
|
Nine Months Ended |
|
|
March 31, |
|
March 31, |
|
|
|
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
Cost of sales |
|
$ |
— |
|
$ |
647 |
|
$ |
— |
|
$ |
1,821 |
Selling, general and administrative(1) |
|
|
(3,357) |
|
|
903 |
|
|
(2,281) |
|
|
11,153 |
Total |
|
$ |
(3,357) |
|
$ |
1,550 |
|
$ |
(2,281) |
|
$ |
12,974 |
(1) Restructuring actions impacting research and development are not material to separately disclose and have been included within Selling, general and administrative costs.
Restructuring and restructuring-related charges, including the impairment (recovery) of assets held-for-sale, by segment are as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended March 31, |
|
|
2025 |
|
2024 |
|
|
|
Employee |
|
|
Asset-related |
|
|
Recovery of |
|
|
|
|
|
Employee |
|
|
Asset-related |
|
|
Impairment of |
|
|
|
|
|
|
severance |
|
|
and other |
|
|
assets held-for-sale |
|
|
Total |
|
|
severance |
|
|
and other |
|
|
assets held-for-sale |
|
|
Total |
Protein Sciences |
|
$ |
128 |
|
$ |
21 |
|
$ |
(3,655) |
|
$ |
(3,506) |
|
$ |
28 |
|
$ |
914 |
|
$ |
— |
|
$ |
942 |
Diagnostics and Spatial Biology |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
265 |
|
|
90 |
|
|
— |
|
|
355 |
Corporate |
|
|
89 |
|
|
60 |
|
|
— |
|
|
149 |
|
|
117 |
|
|
136 |
|
|
— |
|
|
253 |
Total |
|
$ |
217 |
|
$ |
81 |
|
$ |
(3,655) |
|
$ |
(3,357) |
|
$ |
410 |
|
$ |
1,140 |
|
$ |
— |
|
$ |
1,550 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine months ended March 31, |
|
|
2025 |
|
2024 |
|
|
|
Employee |
|
|
Asset-related |
|
|
Recovery of |
|
|
|
|
|
Employee |
|
|
Asset-related |
|
|
Impairment of |
|
|
|
|
|
|
severance |
|
|
and other |
|
|
assets held-for-sale |
|
|
Total |
|
|
severance |
|
|
and other |
|
|
assets held-for-sale |
|
|
Total |
Protein Sciences |
|
$ |
109 |
|
$ |
71 |
|
$ |
(3,655) |
|
$ |
(3,475) |
|
$ |
2,978 |
|
$ |
1,386 |
|
$ |
6,038 |
|
$ |
10,402 |
Diagnostics and Spatial Biology |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
1,004 |
|
|
90 |
|
|
— |
|
|
1,094 |
Corporate |
|
|
86 |
|
|
1,108 |
|
|
— |
|
|
1,194 |
|
|
1,310 |
|
|
168 |
|
|
— |
|
|
1,478 |
Total |
|
$ |
195 |
|
$ |
1,179 |
|
$ |
(3,655) |
|
$ |
(2,281) |
|
$ |
5,292 |
|
$ |
1,644 |
|
$ |
6,038 |
|
$ |
12,974 |
The following table summarizes the changes in the Company’s accrued restructuring balance, which is included within Other current liabilities in the accompanying balance sheet. Other amounts reported as restructuring and restructuring-related charges, including the impairment (recovery) of assets held-for-sale, in the accompanying statements of income have been summarized in the notes to the table (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Impairment (recovery) |
|
|
|
|
|
|
Employee |
|
|
Asset-related |
|
|
of assets |
|
|
|
|
|
|
severance(1) |
|
|
and other(2) |
|
|
held-for-sale |
|
|
Total |
Expense incurred in the second quarter of 2024 |
|
|
4,882 |
|
|
504 |
|
|
6,038 |
|
|
11,424 |
Incremental expense incurred in the third quarter of 2024 |
|
|
133 |
|
|
1,140 |
|
|
— |
|
|
1,273 |
Incremental expense incurred in the fourth quarter of 2024 |
|
|
409 |
|
|
4,737 |
|
|
15,926 |
|
|
21,072 |
Cash payments |
|
|
(4,882) |
|
|
(2,800) |
|
|
— |
|
|
(7,682) |
Non-cash adjustments |
|
|
— |
|
|
(3,391) |
|
|
(21,963) |
|
|
(25,354) |
Adjustments(3) |
|
|
219 |
|
|
— |
|
|
— |
|
|
219 |
Accrued restructuring actions balance as of June 30, 2024 |
|
$ |
761 |
|
$ |
190 |
|
$ |
— |
|
$ |
952 |
Incremental expense incurred in the first quarter of 2025 |
|
|
— |
|
|
753 |
|
|
— |
|
|
753 |
Incremental expense incurred in the second quarter of 2025 |
|
|
(33) |
|
|
356 |
|
|
— |
|
|
323 |
Incremental expense incurred in the third quarter of 2025 |
|
|
217 |
|
|
81 |
|
|
(3,655) |
|
|
(3,357) |
Cash payments |
|
|
(945) |
|
|
(1,380) |
|
|
— |
|
|
(2,325) |
Non-cash adjustments |
|
|
— |
|
|
— |
|
|
3,655 |
|
|
3,655 |
Accrued restructuring actions balance as of March 31, 2025 |
|
$ |
— |
|
$ |
— |
|
$ |
— |
|
$ |
— |
(1) Relates to impacted employees’ final paycheck, separation payments, outplacement services, legal fees, and retention packages related to the closure or sale of certain distribution and manufacturing sites.
(2) Primarily relates to impairment of right-of-use assets, lease termination fees, consulting fees, and expenses for changes to supporting IT systems that are enabling the Company to complete the restructuring initiatives.
(3) Relates to the refinement of the accrual recorded in the second quarter of fiscal 2024.
|