v3.25.4
Financial Derivatives and Hedging
 3 Months Ended
Jan. 31, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Financial Derivatives and Hedging
Note 11. Financial Derivatives and Hedging
As of January 31, 2026, the notional amount of outstanding foreign currency forward contracts was $29.9 million. The resulting impact on our Consolidated Financial Statements from currency hedging activities was not significant for the three months ended January 31, 2026 and January 31, 2025.
As of January 31, 2026, the Company has eight interest rate swap contracts that have a total notional amount of $1.6 billion and remaining maturities of less than two years.
The following table summarizes the amounts recognized with respect to our derivative instruments within the accompanying Consolidated Condensed Statements of Income and Comprehensive Income:
Periods Ended January 31,Three Months
(In millions)20262025
Derivatives designated as cash flow hedgesLocation of (Gain)/Loss Recognized on Derivatives
Interest rate swap contractsInterest expense (income)$(6.2)$(11.0)
The cumulative pre-tax impact of the gain on derivatives designated for hedge accounting is recognized in "Accumulated other comprehensive loss". The following table details the changes in the cumulative pre-tax impact of the gain on derivatives designated for hedge accounting:
Periods Ended January 31,Three Months
(In millions)20262025
Beginning balance gain$23.7 $59.2 
Amount recognized in accumulated other comprehensive income on interest rate swap contracts, gross
0.9 9.0 
Amount reclassified from accumulated other comprehensive income into earnings, gross
(6.2)(11.0)
Ending balance gain
$18.4 $57.2 
The amount recognized in other comprehensive income on interest rate swap contracts was $0.7 million and $6.9 million, net of tax effect, for the three months ended January 31, 2026 and 2025, respectively.
The amount reclassified from other comprehensive income into earnings was $(4.7) million and $(8.4) million, net of tax, for the three months ended January 31, 2026 and 2025, respectively.
Refer to Note 8. Stockholders' Equity for amounts presented net of the related tax impact in "Accumulated other comprehensive loss."
The Company expects that $(18.1) million recorded as a component of "Accumulated other comprehensive loss" will be realized in the Consolidated Condensed Statements of Income over the next twelve months and the amount will vary depending on prevailing interest rates.