v3.26.1
Segment Information, Geographic and Product Data
 12 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Information, Geographic and Product Data Segment Information, Geographic and Product Data
 
The Company has two reportable segments, Specialty Alloys Operations and Performance Engineered Products.
 
The SAO segment is comprised of the Company's major premium alloy and stainless steel manufacturing operations. This includes operations performed at mills primarily in Reading and Latrobe, Pennsylvania and surrounding areas as well as South Carolina and Alabama. The combined assets of the SAO segment are managed in an integrated manner to optimize efficiency and profitability across the total system.

The PEP segment is comprised of the Company's differentiated operations. This segment includes the Dynamet titanium business, the Carpenter Additive business and the Latrobe and Mexico distribution businesses. The businesses in the PEP segment are managed with an entrepreneurial structure to promote flexibility and agility to quickly respond to market dynamics. 

The Company's CODM is the Chief Executive Officer. The measure of profit and loss that is used by the CODM to evaluate the performance of these operating segments is operating income. The CODM uses operating income when making decisions about allocating capital and personnel to the segments in the annual operating plan and monthly performance review processes. The CODM considers variances of actual results compared to the annual operating plan and subsequent forecasts for each segment. Operating income for each of the Company's reportable segments is comprised of the segment's net sales less directly related product costs and other operating expenses. Segment operating results exclude general corporate costs, which include executive and director compensation, and other corporate facilities and administrative expenses not allocated to the segments. Also excluded from segment operating results are items that management considers not representative of ongoing operations, such as restructuring charges and other specifically identified income or expense items. Total net sales and operating earnings by segment include intersegment sales which are generally recorded at cost-plus a specified fee for a negotiated fixed price. All significant intersegment transactions have been eliminated from each reportable segment's net sales and earnings for all periods presented.

The service cost component of the Company's net pension expense, which represents the estimated cost of future pension liabilities earned associated with active employees, is included in the operating income of the business segments. The residual net pension expense, which is comprised of the expected return on plan assets, interest costs on the projected benefit obligations of the plans, amortization of actuarial gains and losses and prior service costs and pension settlement charges is included within other (income) expense, net, excluded from the business segments.

On a consolidated basis, no single customer accounted for 10 percent or more of net sales for the fiscal years ended June 30, 2026, 2025 and 2024. No single customer accounted for 10 percent or more of the accounts receivable outstanding at June 30, 2026 and 2025.
See Note 4 for comparative information of the Company's overall revenue by segment, end-use market and geographical location. The Company believes further disaggregation of revenue is impracticable. Net sales and operating income by segment for the years ended June 30, 2026, 2025 and 2024 were as follows:

Year Ended June 30, 2026Year Ended June 30, 2025Year Ended June 30, 2024
($ in millions)SAOPEPTotalSAOPEPTotalSAOPEPTotal
Sales to external customers$2,811.7 $312.5 $3,124.2 $2,548.7 $328.4 $2,877.1 $2,432.8 $326.9 $2,759.7 
Intersegment sales15.1 70.5 85.6 14.9 77.0 91.9 11.0 84.1 95.1 
Total sales2,826.8 383.0 3,209.8 2,563.6 405.4 2,969.0 2,443.8 411.0 2,854.8 
Reconciliation of sales
Elimination of intersegment(85.6)(91.9)(95.1)
Consolidated net sales$3,124.2 $2,877.1 $2,759.7 
Less: (a)
Cost of sales1,920.7 331.9 2,252.6 1,855.8 344.0 2,199.8 1,923.0 349.5 2,272.5 
Other segment items (b)123.2 21.0 144.2 119.2 24.4 143.6 112.3 25.5 137.8 
Segment operating income782.9 30.1 813.0 588.6 37.0 625.6 408.5 36.0 444.5 
Reconciliation of operating income
Corporate costs (c)(108.7)(102.9)(123.0)
Elimination of intersegment(2.3)(0.9)1.6 
Consolidated operating income$702.0 $521.8 $323.1 
Other items:
Interest expense, net37.8 48.4 51.0 
Debt extinguishment losses15.6 — — 
Other (income) expense, net(7.6)6.1 60.5 
Income before income taxes$656.2 $467.3 $211.6 
(a)    The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM. Intersegment expenses are included within the amounts shown.
(b)    Other segment items for each reportable segment primarily includes selling, general and administrative expenses.
(c)    Corporate costs include executive and director compensation, and other corporate facilities and administrative expenses not allocated to the segments. Corporate costs also include other items that management considers not representative of ongoing operations, such as restructuring charges and other specifically identified income or expense items.
Additional data by segment for the years ended June 30, 2026, 2025 and 2024 is as follows:

Depreciation and AmortizationYears Ended June 30,
($ in millions)202620252024
Specialty Alloys Operations$124.3 $117.3 $113.3 
Performance Engineered Products17.7 16.5 16.3 
Corporate5.1 5.4 5.0 
Consolidated depreciation and amortization$147.1 $139.2 $134.6 
Capital ExpendituresYears Ended June 30,
($ in millions)202620252024
Specialty Alloys Operations$226.1 $135.9 $80.0 
Performance Engineered Products12.4 15.0 13.2 
Corporate4.2 3.4 3.4 
Consolidated capital expenditures$242.7 $154.3 $96.6 
Total AssetsJune 30,
($ in millions)20262025
Specialty Alloys Operations$2,962.0 $2,649.3 
Performance Engineered Products400.3 413.5 
Total segment assets3,362.3 3,062.8 
Corporate491.0 433.2 
Intersegment(15.0)(9.2)
Consolidated total assets$3,838.3 $3,486.8 
Long-lived Assets (a)June 30,
($ in millions)20262025
United States$1,483.8 $1,354.4 
Europe2.3 3.0 
Mexico1.0 1.2 
Asia Pacific0.4 0.4 
Canada0.4 0.4 
Consolidated long-lived assets$1,487.9 $1,359.4 
(a)    Long-lived assets consist primarily of property, plant, equipment and software, net.