ph-20201231
00000763346/302021Q2FALSE00000763342020-07-012020-12-31xbrli:shares00000763342020-12-31iso4217:USD00000763342020-10-012020-12-3100000763342019-10-012019-12-3100000763342019-07-012019-12-31iso4217:USDxbrli:shares00000763342020-06-3000000763342019-06-3000000763342019-12-31ph:segment0000076334srt:NorthAmericaMemberus-gaap:OperatingSegmentsMemberph:DiversifiedIndustrialSegmentMember2020-10-012020-12-310000076334srt:NorthAmericaMemberus-gaap:OperatingSegmentsMemberph:DiversifiedIndustrialSegmentMember2019-10-012019-12-310000076334srt:NorthAmericaMemberus-gaap:OperatingSegmentsMemberph:DiversifiedIndustrialSegmentMember2020-07-012020-12-310000076334srt:NorthAmericaMemberus-gaap:OperatingSegmentsMemberph:DiversifiedIndustrialSegmentMember2019-07-012019-12-310000076334us-gaap:OperatingSegmentsMemberus-gaap:NonUsMemberph:DiversifiedIndustrialSegmentMember2020-10-012020-12-310000076334us-gaap:OperatingSegmentsMemberus-gaap:NonUsMemberph:DiversifiedIndustrialSegmentMember2019-10-012019-12-310000076334us-gaap:OperatingSegmentsMemberus-gaap:NonUsMemberph:DiversifiedIndustrialSegmentMember2020-07-012020-12-310000076334us-gaap:OperatingSegmentsMemberus-gaap:NonUsMemberph:DiversifiedIndustrialSegmentMember2019-07-012019-12-310000076334us-gaap:OperatingSegmentsMemberph:AerospaceSystemsSegmentMember2020-10-012020-12-310000076334us-gaap:OperatingSegmentsMemberph:AerospaceSystemsSegmentMember2019-10-012019-12-310000076334us-gaap:OperatingSegmentsMemberph:AerospaceSystemsSegmentMember2020-07-012020-12-310000076334us-gaap:OperatingSegmentsMemberph:AerospaceSystemsSegmentMember2019-07-012019-12-310000076334us-gaap:OperatingSegmentsMember2020-10-012020-12-310000076334us-gaap:OperatingSegmentsMember2019-10-012019-12-310000076334us-gaap:OperatingSegmentsMember2020-07-012020-12-310000076334us-gaap:OperatingSegmentsMember2019-07-012019-12-310000076334us-gaap:CorporateNonSegmentMember2020-10-012020-12-310000076334us-gaap:CorporateNonSegmentMember2019-10-012019-12-310000076334us-gaap:CorporateNonSegmentMember2020-07-012020-12-310000076334us-gaap:CorporateNonSegmentMember2019-07-012019-12-310000076334ph:MotionSystemsMemberph:DiversifiedIndustrialSegmentMember2020-10-012020-12-310000076334ph:MotionSystemsMemberph:DiversifiedIndustrialSegmentMember2019-10-012019-12-310000076334ph:MotionSystemsMemberph:DiversifiedIndustrialSegmentMember2020-07-012020-12-310000076334ph:MotionSystemsMemberph:DiversifiedIndustrialSegmentMember2019-07-012019-12-310000076334ph:DiversifiedIndustrialSegmentMemberph:FlowAndProcessControlMember2020-10-012020-12-310000076334ph:DiversifiedIndustrialSegmentMemberph:FlowAndProcessControlMember2019-10-012019-12-310000076334ph:DiversifiedIndustrialSegmentMemberph:FlowAndProcessControlMember2020-07-012020-12-310000076334ph:DiversifiedIndustrialSegmentMemberph:FlowAndProcessControlMember2019-07-012019-12-310000076334ph:FiltrationAndEngineeredMaterialsMemberph:DiversifiedIndustrialSegmentMember2020-10-012020-12-310000076334ph:FiltrationAndEngineeredMaterialsMemberph:DiversifiedIndustrialSegmentMember2019-10-012019-12-310000076334ph:FiltrationAndEngineeredMaterialsMemberph:DiversifiedIndustrialSegmentMember2020-07-012020-12-310000076334ph:FiltrationAndEngineeredMaterialsMemberph:DiversifiedIndustrialSegmentMember2019-07-012019-12-310000076334ph:DiversifiedIndustrialSegmentMember2020-10-012020-12-310000076334ph:DiversifiedIndustrialSegmentMember2019-10-012019-12-310000076334ph:DiversifiedIndustrialSegmentMember2020-07-012020-12-310000076334ph:DiversifiedIndustrialSegmentMember2019-07-012019-12-310000076334ph:FlightControlActuationMemberph:AerospaceSystemsSegmentMember2020-10-012020-12-310000076334ph:FlightControlActuationMemberph:AerospaceSystemsSegmentMember2019-10-012019-12-310000076334ph:FlightControlActuationMemberph:AerospaceSystemsSegmentMember2020-07-012020-12-310000076334ph:FlightControlActuationMemberph:AerospaceSystemsSegmentMember2019-07-012019-12-310000076334ph:FuelInertingAndEngineMotionControlMemberph:AerospaceSystemsSegmentMember2020-10-012020-12-310000076334ph:FuelInertingAndEngineMotionControlMemberph:AerospaceSystemsSegmentMember2019-10-012019-12-310000076334ph:FuelInertingAndEngineMotionControlMemberph:AerospaceSystemsSegmentMember2020-07-012020-12-310000076334ph:FuelInertingAndEngineMotionControlMemberph:AerospaceSystemsSegmentMember2019-07-012019-12-310000076334ph:HydraulicsMemberph:AerospaceSystemsSegmentMember2020-10-012020-12-310000076334ph:HydraulicsMemberph:AerospaceSystemsSegmentMember2019-10-012019-12-310000076334ph:HydraulicsMemberph:AerospaceSystemsSegmentMember2020-07-012020-12-310000076334ph:HydraulicsMemberph:AerospaceSystemsSegmentMember2019-07-012019-12-310000076334ph:EngineComponentsMemberph:AerospaceSystemsSegmentMember2020-10-012020-12-310000076334ph:EngineComponentsMemberph:AerospaceSystemsSegmentMember2019-10-012019-12-310000076334ph:EngineComponentsMemberph:AerospaceSystemsSegmentMember2020-07-012020-12-310000076334ph:EngineComponentsMemberph:AerospaceSystemsSegmentMember2019-07-012019-12-310000076334ph:AerospaceSystemsSegmentMemberph:AirframeAndFluidConveyanceMember2020-10-012020-12-310000076334ph:AerospaceSystemsSegmentMemberph:AirframeAndFluidConveyanceMember2019-10-012019-12-310000076334ph:AerospaceSystemsSegmentMemberph:AirframeAndFluidConveyanceMember2020-07-012020-12-310000076334ph:AerospaceSystemsSegmentMemberph:AirframeAndFluidConveyanceMember2019-07-012019-12-310000076334us-gaap:ProductAndServiceOtherMemberph:AerospaceSystemsSegmentMember2020-10-012020-12-310000076334us-gaap:ProductAndServiceOtherMemberph:AerospaceSystemsSegmentMember2019-10-012019-12-310000076334us-gaap:ProductAndServiceOtherMemberph:AerospaceSystemsSegmentMember2020-07-012020-12-310000076334us-gaap:ProductAndServiceOtherMemberph:AerospaceSystemsSegmentMember2019-07-012019-12-310000076334ph:AerospaceSystemsSegmentMember2020-10-012020-12-310000076334ph:AerospaceSystemsSegmentMember2019-10-012019-12-310000076334ph:AerospaceSystemsSegmentMember2020-07-012020-12-310000076334ph:AerospaceSystemsSegmentMember2019-07-012019-12-310000076334srt:NorthAmericaMember2020-10-012020-12-310000076334srt:NorthAmericaMember2019-10-012019-12-310000076334srt:NorthAmericaMember2020-07-012020-12-310000076334srt:NorthAmericaMember2019-07-012019-12-310000076334srt:EuropeMember2020-10-012020-12-310000076334srt:EuropeMember2019-10-012019-12-310000076334srt:EuropeMember2020-07-012020-12-310000076334srt:EuropeMember2019-07-012019-12-310000076334srt:AsiaPacificMember2020-10-012020-12-310000076334srt:AsiaPacificMember2019-10-012019-12-310000076334srt:AsiaPacificMember2020-07-012020-12-310000076334srt:AsiaPacificMember2019-07-012019-12-310000076334srt:LatinAmericaMember2020-10-012020-12-310000076334srt:LatinAmericaMember2019-10-012019-12-310000076334srt:LatinAmericaMember2020-07-012020-12-310000076334srt:LatinAmericaMember2019-07-012019-12-31xbrli:pure00000763342021-01-012020-12-3100000763342014-10-220000076334us-gaap:OperatingSegmentsMemberph:DiversifiedIndustrialSegmentMember2020-10-012020-12-310000076334us-gaap:OperatingSegmentsMemberph:DiversifiedIndustrialSegmentMember2019-10-012019-12-310000076334us-gaap:OperatingSegmentsMemberph:DiversifiedIndustrialSegmentMember2020-07-012020-12-310000076334us-gaap:OperatingSegmentsMemberph:DiversifiedIndustrialSegmentMember2019-07-012019-12-310000076334us-gaap:MaterialReconcilingItemsMember2020-10-012020-12-310000076334us-gaap:MaterialReconcilingItemsMember2019-10-012019-12-310000076334us-gaap:MaterialReconcilingItemsMember2020-07-012020-12-310000076334us-gaap:MaterialReconcilingItemsMember2019-07-012019-12-31ph:employee0000076334us-gaap:CostOfSalesMember2020-10-012020-12-310000076334us-gaap:CostOfSalesMember2019-10-012019-12-310000076334us-gaap:CostOfSalesMember2020-07-012020-12-310000076334us-gaap:CostOfSalesMember2019-07-012019-12-310000076334us-gaap:SellingGeneralAndAdministrativeExpensesMember2020-10-012020-12-310000076334us-gaap:SellingGeneralAndAdministrativeExpensesMember2019-10-012019-12-310000076334us-gaap:SellingGeneralAndAdministrativeExpensesMember2020-07-012020-12-310000076334us-gaap:SellingGeneralAndAdministrativeExpensesMember2019-07-012019-12-310000076334us-gaap:OtherNonoperatingIncomeExpenseMember2020-10-012020-12-310000076334us-gaap:OtherNonoperatingIncomeExpenseMember2019-10-012019-12-310000076334us-gaap:OtherNonoperatingIncomeExpenseMember2020-07-012020-12-310000076334us-gaap:OtherNonoperatingIncomeExpenseMember2019-07-012019-12-310000076334us-gaap:EmployeeSeveranceMember2020-07-012020-12-310000076334us-gaap:EmployeeSeveranceMember2020-12-310000076334us-gaap:CommonStockMember2020-09-300000076334us-gaap:AdditionalPaidInCapitalMember2020-09-300000076334us-gaap:RetainedEarningsMember2020-09-300000076334us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-09-300000076334us-gaap:TreasuryStockMember2020-09-300000076334us-gaap:NoncontrollingInterestMember2020-09-3000000763342020-09-300000076334us-gaap:RetainedEarningsMember2020-10-012020-12-310000076334us-gaap:NoncontrollingInterestMember2020-10-012020-12-310000076334us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-10-012020-12-310000076334us-gaap:AdditionalPaidInCapitalMember2020-10-012020-12-310000076334us-gaap:TreasuryStockMember2020-10-012020-12-310000076334us-gaap:CommonStockMember2020-12-310000076334us-gaap:AdditionalPaidInCapitalMember2020-12-310000076334us-gaap:RetainedEarningsMember2020-12-310000076334us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-12-310000076334us-gaap:TreasuryStockMember2020-12-310000076334us-gaap:NoncontrollingInterestMember2020-12-310000076334us-gaap:CommonStockMember2019-09-300000076334us-gaap:AdditionalPaidInCapitalMember2019-09-300000076334us-gaap:RetainedEarningsMember2019-09-300000076334us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-09-300000076334us-gaap:TreasuryStockMember2019-09-300000076334us-gaap:NoncontrollingInterestMember2019-09-3000000763342019-09-300000076334us-gaap:RetainedEarningsMember2019-10-012019-12-310000076334us-gaap:NoncontrollingInterestMember2019-10-012019-12-310000076334us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-10-012019-12-310000076334us-gaap:AdditionalPaidInCapitalMember2019-10-012019-12-310000076334us-gaap:TreasuryStockMember2019-10-012019-12-310000076334us-gaap:CommonStockMember2019-12-310000076334us-gaap:AdditionalPaidInCapitalMember2019-12-310000076334us-gaap:RetainedEarningsMember2019-12-310000076334us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-12-310000076334us-gaap:TreasuryStockMember2019-12-310000076334us-gaap:NoncontrollingInterestMember2019-12-310000076334us-gaap:CommonStockMember2020-06-300000076334us-gaap:AdditionalPaidInCapitalMember2020-06-300000076334us-gaap:RetainedEarningsMember2020-06-300000076334us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-06-300000076334us-gaap:TreasuryStockMember2020-06-300000076334us-gaap:NoncontrollingInterestMember2020-06-300000076334us-gaap:RetainedEarningsMember2020-07-012020-12-310000076334us-gaap:NoncontrollingInterestMember2020-07-012020-12-310000076334us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-07-012020-12-310000076334us-gaap:AdditionalPaidInCapitalMember2020-07-012020-12-310000076334us-gaap:TreasuryStockMember2020-07-012020-12-310000076334us-gaap:CommonStockMember2019-06-300000076334us-gaap:AdditionalPaidInCapitalMember2019-06-300000076334us-gaap:RetainedEarningsMember2019-06-300000076334us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-06-300000076334us-gaap:TreasuryStockMember2019-06-300000076334us-gaap:NoncontrollingInterestMember2019-06-300000076334us-gaap:RetainedEarningsMember2019-07-012019-12-310000076334us-gaap:NoncontrollingInterestMember2019-07-012019-12-310000076334us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-07-012019-12-310000076334us-gaap:AdditionalPaidInCapitalMember2019-07-012019-12-310000076334us-gaap:TreasuryStockMember2019-07-012019-12-310000076334us-gaap:AccumulatedTranslationAdjustmentMember2020-06-300000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2020-06-300000076334us-gaap:AccumulatedTranslationAdjustmentMember2020-07-012020-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2020-07-012020-12-310000076334us-gaap:AccumulatedTranslationAdjustmentMember2020-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2020-12-310000076334us-gaap:AccumulatedTranslationAdjustmentMember2019-06-300000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2019-06-300000076334us-gaap:AccumulatedTranslationAdjustmentMember2019-07-012019-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2019-07-012019-12-310000076334us-gaap:AccumulatedTranslationAdjustmentMember2019-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2019-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetPriorServiceCostCreditMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember2020-10-012020-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetPriorServiceCostCreditMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember2020-07-012020-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetUnamortizedGainLossMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember2020-10-012020-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetUnamortizedGainLossMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember2020-07-012020-12-310000076334us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2020-10-012020-12-310000076334us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2020-07-012020-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetPriorServiceCostCreditMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember2019-10-012019-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetPriorServiceCostCreditMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember2019-07-012019-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetUnamortizedGainLossMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember2019-10-012019-12-310000076334us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetUnamortizedGainLossMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember2019-07-012019-12-310000076334us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2019-10-012019-12-310000076334us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2019-07-012019-12-310000076334ph:DiversifiedIndustrialSegmentMember2020-06-300000076334ph:AerospaceSystemsSegmentMember2020-06-300000076334ph:DiversifiedIndustrialSegmentMember2020-12-310000076334ph:AerospaceSystemsSegmentMember2020-12-310000076334ph:PatentsAndTechnologyMember2020-12-310000076334ph:PatentsAndTechnologyMember2020-06-300000076334us-gaap:TrademarksMember2020-12-310000076334us-gaap:TrademarksMember2020-06-300000076334ph:CustomerListsAndOtherMember2020-12-310000076334ph:CustomerListsAndOtherMember2020-06-300000076334us-gaap:PensionPlansDefinedBenefitMember2020-10-012020-12-310000076334us-gaap:PensionPlansDefinedBenefitMember2019-10-012019-12-310000076334us-gaap:PensionPlansDefinedBenefitMember2020-07-012020-12-310000076334us-gaap:PensionPlansDefinedBenefitMember2019-07-012019-12-310000076334us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2020-10-012020-12-310000076334us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2019-10-012019-12-310000076334us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2020-07-012020-12-310000076334us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2019-07-012019-12-310000076334ph:TermLoanDueSeptember2023Memberph:TermLoanMember2020-10-012020-12-310000076334ph:TermLoanDueSeptember2023Memberph:TermLoanMember2020-12-310000076334ph:TermLoanDueSeptember2023Memberph:TermLoanMember2020-07-012020-12-310000076334ph:TermLoanDueOctober2022Memberph:TermLoanMember2020-07-012020-12-310000076334ph:TermLoanDueOctober2022Memberph:TermLoanMember2020-12-310000076334us-gaap:CarryingReportedAmountFairValueDisclosureMember2020-12-310000076334us-gaap:CarryingReportedAmountFairValueDisclosureMember2020-06-300000076334us-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000076334us-gaap:EstimateOfFairValueFairValueDisclosureMember2020-06-30iso4217:EUR0000076334us-gaap:SeniorNotesMemberph:SeniorNotesDue2025Member2020-12-310000076334us-gaap:CurrencySwapMemberus-gaap:OtherNoncurrentLiabilitiesMember2020-12-310000076334us-gaap:CurrencySwapMemberus-gaap:OtherNoncurrentLiabilitiesMember2020-06-300000076334us-gaap:ForwardContractsMemberph:NontradeandNotesReceivableMember2020-12-310000076334us-gaap:ForwardContractsMemberph:NontradeandNotesReceivableMember2020-06-300000076334us-gaap:ForwardContractsMemberus-gaap:OtherCurrentLiabilitiesMember2020-12-310000076334us-gaap:ForwardContractsMemberus-gaap:OtherCurrentLiabilitiesMember2020-06-300000076334ph:CostlessCollarContractsMemberph:NontradeandNotesReceivableMember2020-12-310000076334ph:CostlessCollarContractsMemberph:NontradeandNotesReceivableMember2020-06-300000076334ph:CostlessCollarContractsMemberus-gaap:OtherCurrentLiabilitiesMember2020-12-310000076334ph:CostlessCollarContractsMemberus-gaap:OtherCurrentLiabilitiesMember2020-06-300000076334us-gaap:CurrencySwapMember2020-12-31iso4217:JPY0000076334us-gaap:CurrencySwapMemberus-gaap:DesignatedAsHedgingInstrumentMember2020-10-012020-12-310000076334us-gaap:CurrencySwapMemberus-gaap:DesignatedAsHedgingInstrumentMember2019-10-012019-12-310000076334us-gaap:CurrencySwapMemberus-gaap:DesignatedAsHedgingInstrumentMember2020-07-012020-12-310000076334us-gaap:CurrencySwapMemberus-gaap:DesignatedAsHedgingInstrumentMember2019-07-012019-12-310000076334ph:ForeignDenominatedDebtMemberus-gaap:DesignatedAsHedgingInstrumentMember2020-10-012020-12-310000076334ph:ForeignDenominatedDebtMemberus-gaap:DesignatedAsHedgingInstrumentMember2019-10-012019-12-310000076334ph:ForeignDenominatedDebtMemberus-gaap:DesignatedAsHedgingInstrumentMember2020-07-012020-12-310000076334ph:ForeignDenominatedDebtMemberus-gaap:DesignatedAsHedgingInstrumentMember2019-07-012019-12-310000076334us-gaap:FairValueInputsLevel1Member2020-12-310000076334us-gaap:FairValueInputsLevel2Member2020-12-310000076334us-gaap:FairValueInputsLevel3Member2020-12-310000076334us-gaap:FairValueInputsLevel1Member2020-06-300000076334us-gaap:FairValueInputsLevel2Member2020-06-300000076334us-gaap:FairValueInputsLevel3Member2020-06-30

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q 
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended December 31, 2020
OR 
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from              to             
Commission File number 1-4982
 PARKER-HANNIFIN CORPORATION
(Exact name of registrant as specified in its charter)
Ohio34-0451060
(State or other jurisdiction of
Incorporation or Organization)
(I.R.S. Employer
Identification No.)
6035 Parkland Boulevard,Cleveland,Ohio44124-4141
(Address of Principal Executive Offices)(Zip Code)
Registrant’s telephone number, including area code: (216) 896-3000
Securities registered pursuant to Section 12(b) of the Act:
Title of Each ClassTrading SymbolName of Each Exchange on which Registered
Common Shares, $.50 par valuePHNew York Stock Exchange
Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes      No  
Indicate by check mark whether the Registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the Registrant was required to submit such files).    Yes      No 
Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and "emerging growth company" in Rule 12b-2 of the Exchange Act: 
Large accelerated filer   Accelerated filer 
Non-accelerated filer   Smaller reporting company 
Emerging growth company 

If an emerging growth company, indicate by check mark if the Registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes      No  
Number of Common Shares outstanding at December 31, 2020: 129,081,165



PART I - FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

PARKER-HANNIFIN CORPORATION
CONSOLIDATED STATEMENT OF INCOME
(Dollars in thousands, except per share amounts)
(Unaudited)
 
Three Months EndedSix Months Ended
December 31,December 31,
 2020201920202019
Net sales$3,411,905 $3,497,974 $6,642,445 $6,832,485 
Cost of sales2,519,545 2,682,765 4,903,873 5,162,506 
Selling, general and administrative expenses356,572 491,121 726,423 890,300 
Interest expense62,990 82,891 128,948 152,847 
Other (income), net(103,714)(13,549)(108,606)(61,070)
Income before income taxes576,512 254,746 991,807 687,902 
Income taxes129,015 50,148 222,593 144,263 
Net income447,497 204,598 769,214 543,639 
Less: Noncontrolling interest in subsidiaries' earnings191 124 499 267 
Net income attributable to common shareholders$447,306 $204,474 $768,715 $543,372 
Earnings per share attributable to common shareholders:
Basic$3.47 $1.59 $5.97 $4.23 
Diluted$3.41 $1.57 $5.89 $4.17 
See accompanying notes to consolidated financial statements.













- 2 -


PARKER-HANNIFIN CORPORATION
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
(Dollars in thousands)
(Unaudited)
 
Three Months EndedSix Months Ended
December 31,December 31,
 2020201920202019
Net income$447,497 $204,598 $769,214 $543,639 
Less: Noncontrolling interests in subsidiaries' earnings191 124 499 267 
Net income attributable to common shareholders447,306 204,474 768,715 543,372 
Other comprehensive income, net of tax
  Foreign currency translation adjustment217,828 151,583 348,510 48,862 
  Retirement benefits plan activity 40,984 33,416 81,136 64,442 
    Other comprehensive income 258,812 184,999 429,646 113,304 
Less: Other comprehensive income (loss) for noncontrolling interests
846 137 1,277 (12)
Other comprehensive income attributable to common shareholders257,966 184,862 428,369 113,316 
Total comprehensive income attributable to common shareholders
$705,272 $389,336 $1,197,084 $656,688 
See accompanying notes to consolidated financial statements.




- 3 -


PARKER-HANNIFIN CORPORATION
CONSOLIDATED BALANCE SHEET
(Dollars in thousands)
(Unaudited)
December 31,
2020
June 30,
2020
ASSETS
Current assets:
Cash and cash equivalents$564,734 $685,514 
Marketable securities and other investments43,314 70,805 
Trade accounts receivable, net1,816,731 1,854,398 
Non-trade and notes receivable312,590 244,870 
Inventories1,870,948 1,814,631 
Prepaid expenses and other191,362 214,986 
Total current assets4,799,679 4,885,204 
Property, plant and equipment6,026,680 5,810,681 
Less: Accumulated depreciation3,724,538 3,517,946 
Property, plant and equipment, net2,302,142 2,292,735 
Deferred income taxes134,325 126,839 
Investments and other assets795,073 764,563 
Intangible assets, net3,695,194 3,798,913 
Goodwill8,101,016 7,869,935 
Total assets$19,827,429 $19,738,189 
LIABILITIES
Current liabilities:
Notes payable and long-term debt payable within one year$610,909 $809,529 
Accounts payable, trade1,343,011 1,111,759 
Accrued payrolls and other compensation345,973 424,231 
Accrued domestic and foreign taxes218,624 195,314 
Other accrued liabilities688,566 607,540 
Total current liabilities3,207,083 3,148,373 
Long-term debt6,602,309 7,652,256 
Pensions and other postretirement benefits1,843,209 1,887,414 
Deferred income taxes420,699 382,528 
Other liabilities631,825 539,089 
Total liabilities12,705,125 13,609,660 
EQUITY
Shareholders’ equity:
Serial preferred stock, $.50 par value; authorized 3,000,000 shares; none issued
  
Common stock, $.50 par value; authorized 600,000,000 shares; issued 181,046,128 shares at December 31 and June 30
90,523 90,523 
Additional capital385,049 416,585 
Retained earnings14,072,152 13,530,666 
Accumulated other comprehensive (loss)(2,130,506)(2,558,875)
Treasury shares, at cost; 51,964,963 shares at December 31 and 52,490,165 shares at June 30
(5,311,236)(5,364,916)
Total shareholders’ equity7,105,982 6,113,983 
Noncontrolling interests16,322 14,546 
Total equity7,122,304 6,128,529 
Total liabilities and equity$19,827,429 $19,738,189 
See accompanying notes to consolidated financial statements.
- 4 -


PARKER-HANNIFIN CORPORATION
CONSOLIDATED STATEMENT OF CASH FLOWS
(Dollars in thousands)
(Unaudited)
Six Months Ended
 December 31,
 20202019
CASH FLOWS FROM OPERATING ACTIVITIES
Net income$769,214 $543,639 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation135,320 119,741 
Amortization162,940 133,559 
Share incentive plan compensation79,833 73,069 
Deferred income taxes(3,034)8,608 
Foreign currency transaction (gain) loss(530)6,569 
Gain on property, plant and equipment(102,565)(4,478)
Gain on marketable securities(6,959)(1,969)
Gain on investments(4,783)(1,849)
Other7,523  
Changes in assets and liabilities, net of effects from acquisitions:
Accounts receivable, net79,685 379,536 
Inventories(4,264)25,724 
Prepaid expenses and other27,646 (50,153)
Other assets(22,052)(38,747)
Accounts payable, trade193,901 (178,013)
Accrued payrolls and other compensation(92,010)(117,882)
Accrued domestic and foreign taxes15,244 (7,699)
Other accrued liabilities53,236 (76,616)
Pensions and other postretirement benefits35,365 32,316 
Other liabilities30,278 (19,387)
Net cash provided by operating activities1,353,988 825,968 
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisitions (net of cash of $82,192 in 2019)
 (5,075,605)
Capital expenditures(92,907)(118,593)
Proceeds from sale of property, plant and equipment124,428 20,993 
Purchases of marketable securities and other investments(16,029)(190,129)
Maturities and sales of marketable securities and other investments52,019 198,872 
Other11,183 9,374 
Net cash provided by (used in) investing activities78,694 (5,155,088)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from exercise of stock options3,137 1,923 
Payments for common shares(60,825)(136,815)
(Payments for) proceeds from notes payable, net(113,500)931,546 
Proceeds from long-term borrowings 1,721,181 
Payments for long-term borrowings(1,210,848)(236,505)
Dividends paid(227,228)(227,025)
Net cash (used in) provided by financing activities(1,609,264)2,054,305 
Effect of exchange rate changes on cash55,802 3,403 
Net decrease in cash and cash equivalents(120,780)(2,271,412)
Cash and cash equivalents at beginning of year685,514 3,219,767 
Cash and cash equivalents at end of period$564,734 $948,355 
See accompanying notes to consolidated financial statements.
- 5 -


PARKER-HANNIFIN CORPORATION
BUSINESS SEGMENT INFORMATION
(Dollars in thousands)
(Unaudited)
The Company operates in two reportable business segments: Diversified Industrial and Aerospace Systems.
Diversified Industrial - This segment produces a broad range of motion-control and fluid systems and components used in all kinds of manufacturing, packaging, processing, transportation, mobile construction, refrigeration and air conditioning, agricultural, and military machinery and equipment and has a significant portion of international operations. Sales are made directly to major original equipment manufacturers ("OEMs") and through a broad distribution network to smaller OEMs and the aftermarket.
Aerospace Systems - This segment designs and manufactures products and provides aftermarket support for commercial, business jet, military and general aviation aircraft, missile and spacecraft markets. The Aerospace Systems Segment provides a full range of systems and components for hydraulic, pneumatic and fuel applications.
 
Three Months EndedSix Months Ended
 December 31,December 31,
 2020201920202019
Net sales
Diversified Industrial:
North America$1,566,877 $1,615,852 $3,094,988 $3,240,457 
International1,259,625 1,147,084 2,388,876 2,225,934 
Aerospace Systems585,403 735,038 1,158,581 1,366,094 
Total net sales$3,411,905 $3,497,974 $6,642,445 $6,832,485 
Segment operating income
Diversified Industrial:
North America$281,619 $211,339 $550,452 $486,531 
International220,213 153,816 407,114 322,389 
Aerospace Systems90,729 121,039 177,495 244,019 
Total segment operating income592,561 486,194 1,135,061 1,052,939 
Corporate general and administrative expenses38,720 35,660 75,455 84,562 
Income before interest expense and other expense553,841 450,534 1,059,606 968,377 
Interest expense62,990 82,891 128,948 152,847 
Other (income) expense (85,661)112,897 (61,149)127,628 
Income before income taxes$576,512 $254,746 $991,807 $687,902 


- 6 -


PARKER-HANNIFIN CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Dollars in thousands, except per share amounts or as otherwise noted)

As used in this Quarterly Report on Form 10-Q, unless the context otherwise requires, the terms "Company", "Parker", "we" or "us" refer to Parker-Hannifin Corporation and its subsidiaries.
1. Management representation
In the opinion of the management of the Company, the accompanying unaudited consolidated financial statements contain all adjustments (consisting of only normal recurring adjustments) necessary to present fairly the Company's financial position as of December 31, 2020, the results of operations for the three and six months ended December 31, 2020 and 2019 and cash flows for the six months then ended. These financial statements should be read in conjunction with the consolidated financial statements and related notes included in the Company’s 2020 Annual Report on Form 10-K.
The novel coronavirus ("COVID-19") pandemic is having, and will likely continue to have, an adverse effect on our business, and its future impacts remain highly uncertain and unpredictable. Therefore, accounting estimates and assumptions may change over time in response to COVID-19 and may change materially in future periods. Interim period results are not necessarily indicative of the results to be expected for the full fiscal year.
The Company has evaluated subsequent events that occurred through the date these financial statements were issued. No subsequent events have occurred that required adjustment to or disclosure in these financial statements.
2. New accounting pronouncements
In June 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2016-13, "Measurement of Credit Losses on Financial Instruments." ASU 2016-13 requires a financial asset (or a group of financial assets) measured at amortized cost to be presented at the net amount expected to be collected. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial asset(s) to present the net carrying value at the amount expected to be collected on the financial asset. Credit losses relating to available-for-sale debt securities should be recorded through an allowance for credit losses. We adopted ASU 2016-13 on July 1, 2020. The adoption of this guidance, using the modified retrospective method, did not result in a cumulative-effect adjustment to retained earnings and did not have a material impact on the consolidated financial statements or related disclosures.
3. Revenue recognition
Revenue is derived primarily from the sale of products in a variety of mobile, industrial and aerospace markets. A majority of the Company’s revenues are recognized at a point in time. However, a portion of the Company’s revenues are recognized over time.
Diversified Industrial Segment revenues by technology platform:
Three Months EndedSix Months Ended
December 31,December 31,
2020201920202019
Motion Systems$720,315 $752,306 $1,377,456 $1,519,120 
Flow and Process Control949,949 942,249 1,874,074 1,953,604 
Filtration and Engineered Materials1,156,238 1,068,381 2,232,334 1,993,667 
Total$2,826,502 $2,762,936 $5,483,864 $5,466,391 

- 7 -


Aerospace Systems Segment revenues by product platform:
Three Months EndedSix Months Ended
December 31,December 31,
2020201920202019
Flight Control Actuation$167,263 $180,423 $325,365 $353,682 
Fuel, Inerting and Engine Motion Control136,107 159,474 255,070 311,687 
Hydraulics70,845 110,385 146,763 218,760 
Engine Components141,264 179,605 290,301 273,400 
Airframe and Engine Fluid Conveyance45,186 79,123 92,548 163,802 
Other24,738 26,028 48,534 44,763 
Total$585,403 $735,038 $1,158,581 $1,366,094 
Total Company revenues by geographic region based on the Company's selling operation's location:
Three Months EndedSix Months Ended
December 31,December 31,
2020201920202019
North America$2,147,822 $2,344,338 $4,243,987 $4,600,089 
Europe682,960 652,586 1,298,532 1,291,724 
Asia Pacific539,953 463,840 1,025,101 861,554 
Latin America41,170 37,210 74,825 79,118 
Total$3,411,905 $3,497,974 $6,642,445 $6,832,485 
The majority of revenues from the Aerospace Systems Segment are generated from sales to customers within North America.
Contract balances
Contract assets and contract liabilities are reported on a contract-by-contract basis. Contract assets reflect revenue recognized and performance obligations satisfied in advance of customer billing. Contract liabilities relate to payments received in advance of the satisfaction of performance under the contract. Payments from customers are received based on the terms established in the contract with the customer.
Total contract assets and contract liabilities are as follows:
December 31,
2020
June 30,
2020
Contract assets, current (included within Prepaid expenses and other)$32,401 $30,827 
Contract assets, noncurrent (included within Investments and other assets)1,908 1,497 
Total contract assets34,309 32,324 
Contract liabilities, current (included within Other accrued liabilities)(49,360)(51,278)
Contract liabilities, noncurrent (included within Other liabilities)(3,420)(3,232)
Total contract liabilities(52,780)(54,510)
Net contract liabilities$(18,471)$(22,186)
At December 31, 2020, the change in net contract liabilities was primarily due to timing differences between when revenue was recognized and the receipt of advance payments. During the six months ended December 31, 2020, approximately $27 million of revenue was recognized that was included in the contract liabilities at June 30, 2020.
Remaining performance obligations
Our backlog represents written firm orders from a customer to deliver products and, in the case of blanket purchase orders, only includes the portion of the order for which a schedule or release has been agreed to with the customer. We believe our backlog represents our unsatisfied or partially unsatisfied performance obligations. Backlog at December 31, 2020 was $5,762 million, of which approximately 83 percent is expected to be recognized as revenue within the next 12 months and the balance thereafter.
- 8 -


4. Earnings per share
The following table presents a reconciliation of the numerator and denominator of basic and diluted earnings per share for the three and six months ended December 31, 2020 and 2019.
Three Months EndedSix Months Ended
December 31,December 31,
 2020201920202019
Numerator:
Net income attributable to common shareholders$447,306 $204,474 $768,715 $543,372 
Denominator:
Basic - weighted average common shares129,013,781 128,396,933 128,860,763 128,430,463 
Increase in weighted average common shares from dilutive effect of equity-based awards2,061,874 2,098,448 1,621,801 1,723,616 
Diluted - weighted average common shares, assuming exercise of equity-based awards131,075,655 130,495,381 130,482,564 130,154,079 
Basic earnings per share$3.47 $1.59 $5.97 $4.23 
Diluted earnings per share$3.41 $1.57 $5.89 $4.17 
For the three months ended December 31, 2020 and 2019, 247,107 and 2,718 common shares subject to equity-based awards, respectively, were excluded from the computation of diluted earnings per share because the effect of their exercise would be anti-dilutive. For the six months ended December 31, 2020 and 2019, 636,032 and 767,692 common shares subject to equity-based awards, respectively, were excluded from the computation of diluted earnings per share because the effect of their exercise would be anti-dilutive.
5. Share repurchase program
The Company has a program to repurchase its common shares. On October 22, 2014, the Board of Directors of the Company approved an increase in the overall number of shares authorized for repurchase under the program so that, beginning on such date, the aggregate number of shares authorized for repurchase was 35 million. There is no limitation on the number of shares that can be repurchased in a fiscal year. There is no expiration date for this program. Repurchases may be funded primarily from operating cash flows and commercial paper borrowings and the shares are initially held as treasury shares. During the current-year quarter, the Company reinitiated the share repurchase program, which was suspended in March 2020 in response to business uncertainty resulting from the COVID-19 pandemic. We did not repurchase any shares under the program during the current-year quarter.
6. Trade accounts receivable, net
Trade accounts receivable are initially recorded at their net collectible amount and are generally recorded at the time the revenue from the sales transaction is recorded. We evaluate the collectibility of our receivables based on historical experience and current and forecasted economic conditions based on management's judgment. Additionally, receivables are written off to bad debt when management makes a final determination of uncollectibility. Allowance for credit losses was $17,056 and $11,644 at December 31, 2020 and June 30, 2020, respectively.
7. Non-trade and notes receivable
The non-trade and notes receivable caption in the Consolidated Balance Sheet is comprised of the following components:
December 31,
2020
June 30,
2020
Notes receivable$154,469 $97,370 
Accounts receivable, other158,121 147,500 
Total$312,590 $244,870 

- 9 -


8. Inventories
The inventories caption in the Consolidated Balance Sheet is comprised of the following components:
December 31,
2020
June 30,
2020
Finished products$704,075 $694,577 
Work in process930,099 881,104 
Raw materials236,774 238,950 
Total$1,870,948 $1,814,631 
9. Business realignment and acquisition integration charges
We incurred business realignment and acquisition integration charges in the first six months of fiscal 2021 and 2020. During fiscal 2021, business realignment charges primarily consisted of actions taken to address the impact of COVID-19 on our business. In both fiscal 2021 and 2020, business realignment charges included severance costs related to actions taken under the Company's simplification initiative aimed at reducing organizational and process complexity as well as plant closures. A majority of the business realignment charges were incurred in North America and Europe. We believe the realignment actions will positively impact future results of operations but will not have a material effect on liquidity and sources and uses of capital.
Business realignment charges presented in the Business Segment Information are as follows:
Three Months EndedSix Months Ended
 December 31,December 31,
 2020201920202019
Diversified Industrial$16,536 $9,667 $27,108 $14,392 
Aerospace Systems1,386 52 5,337 45 
Corporate general and administrative expenses184 117 798 122 
Other expense 661  1,225  
Workforce reductions in connection with business realignment charges in the Business Segment Information are as follows:
Three Months EndedSix Months Ended
 December 31,December 31,
 2020201920202019
Diversified Industrial292 599 676 818 
Aerospace Systems45 16 285 16 
Corporate general and administrative expenses5 4 18 5 
The business realignment charges are presented in the Consolidated Statement of Income as follows:
Three Months EndedSix Months Ended
 December 31,December 31,
 2020201920202019
Cost of sales$14,183 $7,679 $26,333 $11,024 
Selling, general and administrative expenses3,923 2,157 6,910 3,535 
Other (income), net661  1,225  
During the first six months of fiscal 2021, approximately $32 million in payments were made relating to business realignment charges. Remaining payments related to business realignment actions of approximately $26 million, a majority of which are expected to be paid by December 31, 2021, are primarily reflected within the other accrued liabilities caption in the Consolidated Balance Sheet. Additional charges may be recognized in future periods related to the business realignment actions described above, the timing and amount of which are not known at this time.
- 10 -


We also incurred the following acquisition integration charges related to the fiscal 2020 acquisitions of LORD Corporation ("Lord") and Exotic Metals Forming Company ("Exotic"):
Three Months EndedSix Months Ended
 December 31,December 31,
 2020201920202019
Diversified Industrial$3,249 $6,725 $6,864 $10,139 
Aerospace Systems343 489 675 1,084 
These charges are primarily included in selling, general and administrative expenses within the Consolidated Statement of Income.
10. Equity

Changes in equity for the three months ended December 31, 2020 and 2019 are as follows:
Common StockAdditional CapitalRetained EarningsAccumulated Other Comprehensive (Loss)Treasury SharesNoncontrolling
Interests
Total Equity
Balance at September 30, 2020$90,523 $428,329 $13,738,533 $(2,388,472)$(5,339,949)$15,285 $6,544,249 
Net income447,306 191 447,497 
Other comprehensive income257,966 846 258,812 
Dividends paid ($0.88 per share)
(113,687)(113,687)
Stock incentive plan activity(43,280)28,713 (14,567)
Balance at December 31, 2020$90,523 $385,049 $14,072,152 $(2,130,506)$(5,311,236)$16,322 $7,122,304 

Common StockAdditional CapitalRetained EarningsAccumulated Other Comprehensive (Loss)Treasury SharesNoncontrolling
Interests
Total Equity
Balance at September 30, 2019$90,523 $464,440 $13,003,084 $(2,130,594)$(5,330,837)$6,176 $6,102,792 
Net income204,474 124 204,598 
Other comprehensive income184,862 137 184,999 
Dividends paid ($0.88 per share)
(113,306)(366)(113,672)
Stock incentive plan activity(8,578)16,107 7,529 
Acquisition activity6,255 6,255 
Shares purchased at cost(50,000)(50,000)
Balance at December 31, 2019$90,523 $455,862 $13,094,252 $(1,945,732)$(5,364,730)$12,326 $6,342,501 

Changes in equity for the six months ended December 31, 2020 and 2019 are as follows:
Common StockAdditional CapitalRetained EarningsAccumulated Other Comprehensive (Loss)Treasury SharesNoncontrolling
Interests
Total Equity
Balance at June 30, 2020$90,523 $416,585 $13,530,666 $(2,558,875)$(5,364,916)$14,546 $6,128,529 
Net income768,715 499 769,214 
Other comprehensive income428,369 1,277 429,646 
Dividends paid ($1.76 per share)
(227,229)(227,229)
Stock incentive plan activity(31,536)53,680 22,144 
Balance at December 31, 2020$90,523 $385,049 $14,072,152 $(2,130,506)$(5,311,236)$16,322 $7,122,304 

- 11 -


Common StockAdditional CapitalRetained EarningsAccumulated Other Comprehensive (Loss)Treasury SharesNoncontrolling
Interests
Total Equity
Balance at June 30, 2019$90,523 $462,086 $12,777,538 $(2,059,048)$(5,309,130)$6,183 $5,968,152 
Net income543,372 267 543,639 
Other comprehensive income (loss)113,316 (12)113,304 
Dividends paid ($1.76 per share)
(226,658)(367)(227,025)
Stock incentive plan activity(6,224)44,400 38,176 
Acquisition activity6,255 6,255 
Shares purchased at cost(100,000)(100,000)
Balance at December 31, 2019$90,523 $455,862 $13,094,252 $(1,945,732)$(5,364,730)$12,326 $6,342,501 


Changes in accumulated other comprehensive (loss) in shareholders' equity by component for the six months ended December 31, 2020 and 2019 are as follows:
 Foreign Currency Translation AdjustmentRetirement Benefit PlansTotal
Balance at June 30, 2020$(1,193,937)$(1,364,938)$(2,558,875)
Other comprehensive income before reclassifications347,233  347,233 
Amounts reclassified from accumulated other comprehensive (loss) 81,136 81,136 
Balance at December 31, 2020$(846,704)$(1,283,802)$(2,130,506)


 Foreign Currency Translation AdjustmentRetirement Benefit PlansTotal
Balance at June 30, 2019$(1,011,656)$(1,047,392)$(2,059,048)
Other comprehensive income before reclassifications48,874  48,874 
Amounts reclassified from accumulated other comprehensive (loss) 64,442 64,442 
Balance at December 31, 2019$(962,782)$(982,950)$(1,945,732)


Significant reclassifications out of accumulated other comprehensive (loss) in shareholders' equity for the three and six months ended December 31, 2020 and 2019 are as follows:
Details about Accumulated Other Comprehensive (Loss) ComponentsIncome (Expense) Reclassified from Accumulated Other Comprehensive (Loss)Consolidated Statement of Income Classification
Three Months EndedSix Months Ended
December 31, 2020December 31, 2020
Retirement benefit plans
Amortization of prior service cost and initial net obligation
$(1,420)$(2,238)Other (income), net
Recognized actuarial loss(52,763)(105,028)Other (income), net
Total before tax(54,183)(107,266)
Tax benefit13,199 26,130 
Net of tax$(40,984)$(81,136)

- 12 -


Details about Accumulated Other Comprehensive (Loss) ComponentsIncome (Expense) Reclassified from Accumulated Other Comprehensive (Loss)Consolidated Statement of Income Classification
Three Months EndedSix Months Ended
December 31, 2019December 31, 2019
Retirement benefit plans
Amortization of prior service cost and initial net obligation$(1,284)$(2,767)Other (income), net
Recognized actuarial loss(42,703)(82,188)Other (income), net
Total before tax(43,987)(84,955)
Tax benefit10,571 20,513 
Net of tax$(33,416)$(64,442)

11. Goodwill and intangible assets
The changes in the carrying amount of goodwill for the six months ended December 31, 2020 are as follows:
Diversified Industrial
Segment
Aerospace
Systems
Segment
Total
Balance at June 30, 2020$7,267,573 $602,362 $7,869,935 
Acquisitions3,738  3,738 
Foreign currency translation and other227,317