v3.26.1
Acquisitions
 6 Months Ended
Jul. 04, 2026
Business Combination [Abstract]  
Acquisitions
(3)
ACQUISITIONS

2026 Acquisitions

No acquisitions were completed during the six months ended July 4, 2026.

2025 Acquisitions

During 2025, the Company completed various acquisitions that were not individually material. The final allocation of cash consideration paid to assets acquired and liabilities assumed is based on the information that was available as of the acquisition date for the 2025 acquisitions and is summarized as follows:

 

(in millions)

 

Preliminary
Opening
Balance Sheet

 

Measurement
Period Adjustments

 

Adjusted Opening Balance Sheet

 

Cash

 

$

7.4

 

$

—

 

$

7.4

 

Other current assets

 

 

41.6

 

 

(1.1

)

 

40.5

 

Property, plant and equipment

 

 

6.1

 

 

—

 

 

6.1

 

Goodwill

 

 

13.3

 

 

2.0

 

 

15.3

 

Other intangibles

 

 

10.3

 

 

—

 

 

10.3

 

Other assets

 

 

5.5

 

 

—

 

 

5.5

 

Current maturities of long-term debt

 

 

(0.9

)

 

—

 

 

(0.9

)

Other current liabilities

 

 

(36.7

)

 

(0.2

)

 

(36.9

)

Long-term debt

 

 

(0.7

)

 

—

 

 

(0.7

)

Long-term deferred tax liability

 

 

(2.3

)

 

0.2

 

 

(2.1

)

Other non-current liabilities

 

 

(10.1

)

 

—

 

 

(10.1

)

Consideration paid

 

$

33.5

 

$

0.9

 

$

34.4

 

Contingent consideration

 

 

4.7

 

 

—

 

 

4.7

 

Net assets acquired and liabilities assumed

 

$

38.2

 

$

0.9

 

$

39.1

 

 

The goodwill recognized is attributable primarily to anticipated growth opportunities and synergies with existing businesses. The goodwill and $4.6 million of other intangibles associated with the trade names are subject to the non-amortization provisions of Accounting Standards Codification (“ASC”) 350. Other intangibles also include $2.6 million allocated to customer relationships, $1.1 million allocated to developed technology, and $2.0 million allocated to backlog, which are being amortized over periods of 7 years, 7 years, and 6 months, respectively. Of these assets, goodwill of $7.8 million and intangibles of $5.5 million are expected to be deductible for tax purposes.

Two purchase agreements include earnout provisions providing for contingent payments due to the sellers for the achievement of certain targets. The earnouts are payable to the extent certain EBITDA targets are met with measurement dates ending in 2028. The contractual obligation associated with the contingent earnout provisions recognized on the acquisition date amounts to $4.7 million.

Pro Forma Financial Information

In accordance with ASC 805, Business Combinations, the following unaudited pro forma results of operations for the six months ended July 4, 2026 and June 28, 2025 assume the 2025 acquisitions described above were completed on December 29, 2024 (first day of fiscal year 2025). The following pro forma results include adjustments to reflect amortization of intangibles associated with the acquisitions and the effects of adjustments made to the carrying value of certain assets:

 

 

 

Six Months Ended

 

(in millions)

 

July 4, 2026

 

 

June 28, 2025

 

Net sales

 

$

470.4

 

 

$

402.3

 

Net earnings

 

 

27.4

 

 

 

36.1

 

 

Pro forma data may not be indicative of the results that would have been obtained had these acquisitions occurred at the beginning of the periods presented, nor is it intended to be a projection of future results. Additionally, the pro forma financial information does not reflect the costs which the Company has incurred or may incur to integrate the acquired businesses.