2022 Q3 Form 10-K Financial Statement

#000010956322000096 Filed on August 12, 2022

View on sec.gov

Income Statement

Concept 2022 Q3 2022 Q2 2022
Revenue $1.062B $1.061B $3.811B
YoY Change 19.15% 18.48% 17.76%
Cost Of Revenue $755.6M $754.8M $2.704B
YoY Change 18.74% 19.26% 17.53%
Gross Profit $306.8M $306.6M $1.107B
YoY Change 20.15% 16.6% 18.32%
Gross Profit Margin 28.88% 28.89% 29.05%
Selling, General & Admin $200.3M $197.4M $749.1M
YoY Change 10.8% 6.66% 10.07%
% of Gross Profit 65.27% 64.38% 67.67%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $5.481M $13.24M $21.68M
YoY Change 1.0% -0.76% 4.31%
% of Gross Profit 1.79% 4.32% 1.96%
Operating Expenses $200.3M $197.4M $749.1M
YoY Change 10.8% 6.66% 10.07%
Operating Profit $106.5M $109.2M $357.9M
YoY Change 42.78% 40.21% 74.18%
Interest Expense -$7.535M -$8.348M $26.79M
YoY Change 8.98% 17.84% -13.06%
% of Operating Profit -7.07% -7.64% 7.48%
Other Income/Expense, Net -$1.008M -$183.0K -$1.805M
YoY Change -423.08% 35.56% -182.05%
Pretax Income $99.04M $100.7M $329.8M
YoY Change 46.65% 36.29% 86.26%
Income Tax $22.16M $21.58M $72.38M
% Of Pretax Income 22.38% 21.43% 21.95%
Net Earnings $76.88M $79.11M $257.4M
YoY Change 45.14% 33.54% 77.82%
Net Earnings / Revenue 7.24% 7.45% 6.76%
Basic Earnings Per Share $2.00 $6.69
Diluted Earnings Per Share $1.97 $2.023M $6.58
COMMON SHARES
Basic Shares Outstanding 38.49M shares 38.44M shares 38.47M shares
Diluted Shares Outstanding 39.11M shares 39.11M shares

Balance Sheet

Concept 2022 Q3 2022 Q2 2022
SHORT-TERM ASSETS
Cash & Short-Term Investments $147.6M $184.5M $184.5M
YoY Change -40.33% -28.43% -28.43%
Cash & Equivalents $147.6M $184.5M $184.5M
Short-Term Investments
Other Short-Term Assets $78.69M $68.81M $50.76M
YoY Change 44.51% 14.75% 13.34%
Inventory $490.1M $449.8M $449.8M
Prepaid Expenses
Receivables $674.1M $656.4M $674.5M
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $1.390B $1.360B $1.360B
YoY Change 14.86% 13.62% 13.62%
LONG-TERM ASSETS
Property, Plant & Equipment $110.5M $111.9M $219.9M
YoY Change -2.88% -3.19% 8.51%
Goodwill $561.5M $563.2M
YoY Change -0.23% 0.56%
Intangibles $242.7M $250.6M
YoY Change -11.54% -10.38%
Long-Term Investments $15.41M $15.32M $15.32M
YoY Change -8.71% -9.07% -9.07%
Other Assets $65.88M $59.32M $44.00M
YoY Change 39.81% 80.69% 175.29%
Total Long-Term Assets $1.084B $1.093B $1.093B
YoY Change -0.82% 1.66% 1.66%
TOTAL ASSETS
Total Short-Term Assets $1.390B $1.360B $1.360B
Total Long-Term Assets $1.084B $1.093B $1.093B
Total Assets $2.474B $2.453B $2.453B
YoY Change 7.42% 7.96% 7.96%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $277.2M $259.5M $259.5M
YoY Change 31.39% 24.64% 24.64%
Accrued Expenses $61.23M $91.17M $121.3M
YoY Change -6.53% 17.4% 15.49%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $181.0K $40.17M $40.17M
YoY Change -99.8% -7.7% -7.7%
Total Short-Term Liabilities $451.3M $499.6M $499.6M
YoY Change -3.33% 16.82% 16.82%
LONG-TERM LIABILITIES
Long-Term Debt $649.1M $649.2M $649.2M
YoY Change -11.12% -17.29% -17.29%
Other Long-Term Liabilities $152.4M $154.5M $154.5M
YoY Change 17.68% 21.9% 21.9%
Total Long-Term Liabilities $801.5M $803.6M $803.6M
YoY Change -6.78% -11.84% -11.84%
TOTAL LIABILITIES
Total Short-Term Liabilities $451.3M $499.6M $499.6M
Total Long-Term Liabilities $801.5M $803.6M $803.6M
Total Liabilities $1.253B $1.303B $1.303B
YoY Change -5.57% -2.69% -2.69%
SHAREHOLDERS EQUITY
Retained Earnings $1.577B $1.500B
YoY Change 17.01% 15.86%
Common Stock $193.3M $193.8M
YoY Change 1.99% 3.64%
Preferred Stock
YoY Change
Treasury Stock (at cost) $474.5M $471.8M
YoY Change 2.59% 3.52%
Treasury Stock Shares 15.64M shares 15.71M shares
Shareholders Equity $1.221B $1.149B $1.149B
YoY Change
Total Liabilities & Shareholders Equity $2.474B $2.453B $2.453B
YoY Change 7.42% 7.96% 7.96%

Cashflow Statement

Concept 2022 Q3 2022 Q2 2022
OPERATING ACTIVITIES
Net Income $76.88M $79.11M $257.4M
YoY Change 45.14% 33.54% 77.82%
Depreciation, Depletion And Amortization $5.481M $13.24M $21.68M
YoY Change 1.0% -0.76% 4.31%
Cash From Operating Activities $25.94M $53.75M $187.6M
YoY Change -46.67% 40.34% -22.39%
INVESTING ACTIVITIES
Capital Expenditures -$5.554M -$6.450M -$18.12M
YoY Change 53.38% 76.62% 14.33%
Acquisitions $0.00 $6.964M
YoY Change -100.0% -76.96%
Other Investing Activities $56.00K $622.0K $14.84M
YoY Change -100.26% 180.18%
Cash From Investing Activities -$5.498M -$5.828M -$35.66M
YoY Change -78.44% 69.91% -20.64%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $13.78M
YoY Change -65.62%
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -$55.52M -49.66M -$223.0M
YoY Change 73.6% -39.83% 4.69%
NET CHANGE
Cash From Operating Activities $25.94M 53.75M $187.6M
Cash From Investing Activities -$5.498M -5.828M -$35.66M
Cash From Financing Activities -$55.52M -49.66M -$223.0M
Net Change In Cash -$36.90M -1.744M -$73.27M
YoY Change 253.71% -96.34% 578.06%
FREE CASH FLOW
Cash From Operating Activities $25.94M $53.75M $187.6M
Capital Expenditures -$5.554M -$6.450M -$18.12M
Free Cash Flow $31.50M $60.20M $205.7M
YoY Change -39.73% 43.5% -20.13%

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GoodwillAndIntangibleAssetImpairment
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CY2021 us-gaap Depreciation
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5703000 usd
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555000 usd
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CY2022 us-gaap Net Cash Provided By Used In Financing Activities
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CY2021 us-gaap Net Cash Provided By Used In Financing Activities
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CY2020 us-gaap Net Cash Provided By Used In Financing Activities
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5464000 usd
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160332000 usd
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257745000 usd
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268551000 usd
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108219000 usd
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184474000 usd
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257745000 usd
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268551000 usd
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20164000 usd
CY2021 us-gaap Interest Paid Net
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27492000 usd
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24042000 usd
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CY2022 us-gaap Net Income Loss
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257414000 usd
CY2022 us-gaap Common Stock Dividends Per Share Cash Paid
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1.34
CY2022 us-gaap Nature Of Operations
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<div style="margin-top:3pt"><span style="color:#76787a;font-family:'Frutiger LT 55 Roman',sans-serif;font-size:11pt;font-weight:400;line-height:120%">Business</span></div><div style="padding-left:13.5pt"><span style="color:#000000;font-family:'Frutiger LT 45 Light',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Applied Industrial Technologies, Inc. and subsidiaries (the “Company” or “Applied”) is a leading value-added distributor and technical solutions provider of industrial motion, fluid power, flow control, automation technologies, and related maintenance supplies. Our leading brands, specialized services, and comprehensive knowledge serve MRO (Maintenance, Repair &amp; Operations) and OEM (Original Equipment Manufacturer) end users in virtually all industrial markets through our multi-channel capabilities that provide choice, convenience, and expertise. Although the Company does not generally manufacture the products it sells, it does assemble and repair certain products and systems.</span></div>
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<div style="margin-top:6pt"><span style="color:#76787a;font-family:'Frutiger LT 55 Roman',sans-serif;font-size:11pt;font-weight:400;line-height:120%">Estimates</span></div><div style="padding-left:13.5pt"><span style="color:#000000;font-family:'Frutiger LT 45 Light',sans-serif;font-size:10pt;font-weight:400;line-height:120%">The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the period. Actual results may differ from the estimates and assumptions used in preparing the consolidated financial statements.</span></div>
CY2022 us-gaap Concentration Risk Credit Risk
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<div style="margin-top:6pt"><span style="color:#76787a;font-family:'Frutiger LT 55 Roman',sans-serif;font-size:11pt;font-weight:400;line-height:120%">Concentration of Credit Risk</span></div><div style="padding-left:13.5pt"><span style="color:#000000;font-family:'Frutiger LT 45 Light',sans-serif;font-size:10pt;font-weight:400;line-height:120%">The Company has a broad customer base representing many diverse industries across North America, Australia, New Zealand, and Singapore. As such, the Company does not believe that a significant concentration of credit risk exists in its accounts receivable. The Company’s cash and cash equivalents consist of deposits with commercial banks and regulated non-bank subsidiaries. While the Company monitors the creditworthiness of these institutions, a crisis in the financial systems could limit access to funds and/or result in the loss of principal. The terms of these deposits and investments provide that all monies are available to the Company upon demand.</span></div>
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CY2021 ait Shippingand Handling Costs
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18050000 usd
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1990000 usd
CY2020Q2 us-gaap Goodwill
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3726000 usd
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CY2022 us-gaap Goodwill Acquired During Period
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250590000 usd
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279628000 usd
CY2022 us-gaap Finitelived Intangible Assets Acquired1
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3014000 usd
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P17Y4M24D
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31879000 usd
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34365000 usd
CY2020 us-gaap Amortization Of Intangible Assets
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41553000 usd
CY2022Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Next Twelve Months
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30000000 usd
CY2022Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Two
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26300000 usd
CY2022Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Three
FiniteLivedIntangibleAssetsAmortizationExpenseYearThree
24100000 usd
CY2022Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Four
FiniteLivedIntangibleAssetsAmortizationExpenseYearFour
22300000 usd
CY2022Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Five
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CY2021 us-gaap Weighted Average Number Of Shares Outstanding Basic
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634000 shares
CY2021 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
538000 shares
CY2020 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
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WeightedAverageNumberOfDilutedSharesOutstanding
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AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
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CY2022 us-gaap Allocated Share Based Compensation Expense
AllocatedShareBasedCompensationExpense
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AllocatedShareBasedCompensationExpense
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AllocatedShareBasedCompensationExpense
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2250000 shares
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50743000 usd
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CY2022 us-gaap Operating Lease Payments
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OperatingLeasePayments
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32759000 usd
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27688000 usd
CY2022Q2 us-gaap Lessee Operating Lease Liability Payments Due Year Three
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18826000 usd
CY2022Q2 us-gaap Lessee Operating Lease Liability Payments Due Year Four
LesseeOperatingLeaseLiabilityPaymentsDueYearFour
14084000 usd
CY2022Q2 us-gaap Lessee Operating Lease Liability Payments Due Year Five
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9723000 usd
CY2022Q2 us-gaap Lessee Operating Lease Liability Payments Due After Year Five
LesseeOperatingLeaseLiabilityPaymentsDueAfterYearFive
16754000 usd
CY2022Q2 us-gaap Lessee Operating Lease Liability Payments Due
LesseeOperatingLeaseLiabilityPaymentsDue
119834000 usd
CY2022Q2 us-gaap Lessee Operating Lease Liability Undiscounted Excess Amount
LesseeOperatingLeaseLiabilityUndiscountedExcessAmount
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CY2022Q2 us-gaap Operating Lease Liability
OperatingLeaseLiability
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2100000 usd
CY2021 us-gaap Related Party Transaction Expenses From Transactions With Related Party
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2100000 usd
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RelatedPartyTransactionExpensesFromTransactionsWithRelatedParty
2500000 usd
CY2022 us-gaap Depreciation
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21676000 usd
CY2022 us-gaap Payments To Acquire Productive Assets
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18124000 usd
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CY2020Q2 us-gaap Assets
Assets
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CY2022 us-gaap Operating Income Loss
OperatingIncomeLoss
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CY2021 us-gaap Operating Income Loss
OperatingIncomeLoss
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OperatingIncomeLoss
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InterestIncomeExpenseNet
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InterestIncomeExpenseNet
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InterestIncomeExpenseNet
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OtherNonoperatingIncomeExpense
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OtherNonoperatingIncomeExpense
2200000 usd
CY2020 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
2782000 usd
CY2022 us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest
329790000 usd
CY2021 us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest
177062000 usd
CY2020 us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest
55236000 usd
CY2022Q2 us-gaap Noncurrent Assets
NoncurrentAssets
219948000 usd
CY2021Q2 us-gaap Noncurrent Assets
NoncurrentAssets
202700000 usd
CY2020Q2 us-gaap Noncurrent Assets
NoncurrentAssets
212537000 usd
CY2022 ait Unrealized Gain Losses On Assets Held Under Trust For Nonqualified Deferred Compensation Plan
UnrealizedGainLossesOnAssetsHeldUnderTrustForNonqualifiedDeferredCompensationPlan
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CY2021 ait Unrealized Gain Losses On Assets Held Under Trust For Nonqualified Deferred Compensation Plan
UnrealizedGainLossesOnAssetsHeldUnderTrustForNonqualifiedDeferredCompensationPlan
4048000 usd
CY2020 ait Unrealized Gain Losses On Assets Held Under Trust For Nonqualified Deferred Compensation Plan
UnrealizedGainLossesOnAssetsHeldUnderTrustForNonqualifiedDeferredCompensationPlan
458000 usd
CY2022 us-gaap Foreign Currency Transaction Gain Loss Before Tax
ForeignCurrencyTransactionGainLossBeforeTax
65000 usd
CY2021 us-gaap Foreign Currency Transaction Gain Loss Before Tax
ForeignCurrencyTransactionGainLossBeforeTax
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CY2020 us-gaap Foreign Currency Transaction Gain Loss Before Tax
ForeignCurrencyTransactionGainLossBeforeTax
2463000 usd
CY2022 us-gaap Defined Benefit Plan Other Costs
DefinedBenefitPlanOtherCosts
610000 usd
CY2021 us-gaap Defined Benefit Plan Other Costs
DefinedBenefitPlanOtherCosts
283000 usd
CY2020 us-gaap Defined Benefit Plan Other Costs
DefinedBenefitPlanOtherCosts
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CY2022 us-gaap Life Insurance Corporate Or Bank Owned Change In Value
LifeInsuranceCorporateOrBankOwnedChangeInValue
1374000 usd
CY2021 us-gaap Life Insurance Corporate Or Bank Owned Change In Value
LifeInsuranceCorporateOrBankOwnedChangeInValue
296000 usd
CY2020 us-gaap Life Insurance Corporate Or Bank Owned Change In Value
LifeInsuranceCorporateOrBankOwnedChangeInValue
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CY2022 us-gaap Other Nonoperating Expense
OtherNonoperatingExpense
22000 usd
CY2021 us-gaap Other Nonoperating Income
OtherNonoperatingIncome
230000 usd
CY2020 us-gaap Other Nonoperating Expense
OtherNonoperatingExpense
26000 usd
CY2022 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
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CY2021 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
2200000 usd
CY2020 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
2782000 usd
CY2022 dei Auditor Name
AuditorName
Deloitte & Touche LLP
CY2022 dei Auditor Firm
AuditorFirmId
34

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