10-Q 1 mtd-20210930.htm FORM 10-Q Q3 2021 mtd-20210930
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-Q

(Mark One)
    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2021, 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: 1-13595
Mettler Toledo International Inc
_______________________________________________________________________________________________________________________________________
(Exact name of registrant as specified in its charter)
Delaware13-3668641
(State or other jurisdiction of(I.R.S Employer Identification No.)
incorporation or organization)
1900 Polaris Parkway
Columbus, OH 43240
and
Im Langacher, P.O. Box MT-100
CH 8606 Greifensee, Swizterland
1-614-438-4511 and +41-44-944-22-11
________________________________________________________________________________
(Registrant's telephone number, including area code)

not applicable
______________________________________________________________________________________________________________________
(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading SymbolName of each exchange on which registered
Common Stock, $0.01 par valueMTDNew 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 checkmark 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 and post such files). Yes No     
        
Indicate by checkmark 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. (Check one): 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 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

The Registrant had 22,985,655 shares of Common Stock outstanding at September 30, 2021.




METTLER-TOLEDO INTERNATIONAL INC.
INDEX TO QUARTERLY REPORT ON FORM 10-Q
PAGE



PART I. FINANCIAL INFORMATION
Item 1. Financial Statements

METTLER-TOLEDO INTERNATIONAL INC.
INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
Three months ended September 30, 2021 and 2020
(In thousands, except share data)
(unaudited)
September 30,
2021
September 30,
2020
Net sales
Products$760,844 $630,372 
Service191,106 176,985 
Total net sales951,950 807,357 
Cost of sales
Products304,290 254,050 
Service91,840 83,699 
Gross profit555,820 469,608 
Research and development42,276 34,656 
Selling, general and administrative240,734 204,974 
Amortization16,039 14,121 
Interest expense11,791 9,310 
Restructuring charges650 4,570 
Other income, net(3,257)(3,832)
Earnings before taxes247,587 205,809 
Provision for taxes43,899 44,042 
Net earnings$203,688 $161,767 
Basic earnings per common share:
Net earnings$8.83 $6.76 
Weighted average number of common shares23,056,924 23,922,272 
Diluted earnings per common share:
Net earnings$8.71 $6.68 
Weighted average number of common and common equivalent shares23,393,579 24,225,204 
Comprehensive income, net of tax (Note 10)$208,428 $180,099 


The accompanying notes are an integral part of these interim consolidated financial statements.
- 3 -

METTLER-TOLEDO INTERNATIONAL INC.
INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
Nine months ended September 30, 2021 and 2020
(In thousands, except share data)
(unaudited)
September 30,
2021
September 30,
2020
Net sales  
Products$2,124,245 $1,656,819 
Service556,446 490,373 
Total net sales2,680,691 2,147,192 
Cost of sales
Products843,613 662,681 
Service272,658 242,524 
Gross profit1,564,420 1,241,987 
Research and development124,151 100,236 
Selling, general and administrative701,531 593,852 
Amortization46,141 42,008 
Interest expense31,701 29,111 
Restructuring charges2,719 7,335 
Other income, net(5,208)(10,118)
Earnings before taxes663,385 479,563 
Provision for taxes125,271 93,119 
Net earnings$538,114 $386,444 
Basic earnings per common share:
Net earnings$23.19 $16.13 
Weighted average number of common shares23,203,257 23,963,311 
Diluted earnings per common share:
Net earnings$22.86 $15.92 
Weighted average number of common and common equivalent shares23,536,615 24,272,354 
Comprehensive income, net of tax (Note 10)$575,187 $382,844 


The accompanying notes are an integral part of these interim consolidated financial statements.
- 4 -

METTLER-TOLEDO INTERNATIONAL INC.
INTERIM CONSOLIDATED BALANCE SHEETS
As of September 30, 2021 and December 31, 2020
(In thousands, except share data)
(unaudited)
September 30,
2021
December 31,
2020
ASSETS
Current assets:  
Cash and cash equivalents$183,672 $94,254 
Trade accounts receivable, less allowances of $21,055 at September 30, 2021
and $18,625 at December 31, 2020603,364 593,809 
Inventories381,457 297,611 
Other current assets and prepaid expenses77,731 71,230 
Total current assets1,246,224 1,056,904 
Property, plant and equipment, net783,813 798,868 
Goodwill639,184 550,270 
Other intangible assets, net288,593 196,785 
Deferred tax assets, net39,272 41,836 
Other non-current assets210,075 169,886 
Total assets$3,207,161 $2,814,549 
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:  
Trade accounts payable$219,294 $175,801 
Accrued and other liabilities196,520 196,834 
Accrued compensation and related items209,356 179,252 
Deferred revenue and customer prepayments195,234 149,106 
Taxes payable127,633 89,017 
Short-term borrowings and current maturities of long-term debt53,524 50,317 
Total current liabilities1,001,561 840,327 
Long-term debt1,639,583 1,284,174 
Deferred tax liabilities, net42,656 34,448 
Other non-current liabilities364,190 372,925 
Total liabilities3,047,990 2,531,874 
Commitments and contingencies (Note 16)
Shareholders’ equity:  
Preferred stock, $0.01 par value per share; authorized 10,000,000 shares  
Common stock, $0.01 par value per share; authorized 125,000,000 shares;
issued 44,786,011 and 44,786,011 shares; outstanding 22,985,655 and
23,471,841 shares at September 30, 2021 and December 31, 2020, respectively$448 448 
Additional paid-in capital$820,272 805,140 
Treasury stock at cost (21,800,356 shares at September 30, 2021 and 21,314,170 shares at December 31, 2020)$(5,995,662)(5,283,584)
Retained earnings$5,631,965 5,095,596 
Accumulated other comprehensive loss$(297,852)(334,925)
Total shareholders’ equity159,171 282,675 
Total liabilities and shareholders’ equity$3,207,161 $2,814,549 
The accompanying notes are an integral part of these interim consolidated financial statements.
- 5 -

METTLER-TOLEDO INTERNATIONAL INC.
INTERIM CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY
Nine months ended September 30, 2021 and 2020
(In thousands, except share data)
(unaudited)
 Additional Paid-in Capital  Accumulated Other Comprehensive Income (Loss) 
 Common StockTreasury StockRetained Earnings 
 SharesAmountTotal
Balance at December 31, 201924,125,317 $448 $783,871 $(4,539,154)$4,499,288 $(323,673)$420,780 
Exercise of stock options and restricted stock units50,372 —  9,355 (2,220)— 7,135 
Repurchases of common stock(268,161)— — (200,000)— — (200,000)
Share-based compensation— — 4,395 — — — 4,395 
Net earnings— — — — 98,115 — 98,115 
Other comprehensive income (loss), net of tax— — — — — (24,028)(24,028)
Balance at March 31, 202023,907,528 $448 $788,266 $(4,729,799)$4,595,183 $(347,701)$306,397 
Exercise of stock options and restricted stock units63,737 —  11,837 (1,222)— 10,615 
Repurchases of common stock — —  — —  
Share-based compensation— — 4,423 — — — 4,423 
Net earnings— — — — 126,562 — 126,562 
Other comprehensive income (loss), net of tax— — — — — 2,096 2,096 
Balance at June 30, 202023,971,265 $448 $792,689 $(4,717,962)$4,720,523 $(345,605)$450,093 
Exercise of stock options and restricted stock units30,667 — 2,582 5,865 (3)— 8,444 
Repurchases of common stock(207,369)— — (199,999)— — (199,999)
Share-based compensation— — 4,430 — — — 4,430 
Net earnings— — — — 161,767 — 161,767 
Other comprehensive income (loss), net of tax— — — — — 18,332 18,332 
Balance at September 30, 202023,794,563 $448 $799,701 $(4,912,096)$4,882,287 $(327,273)$443,067 
Balance at December 31, 202023,471,841 $448 $805,140 $(5,283,584)$5,095,596 $(334,925)$282,675 
Exercise of stock options and restricted stock units22,388 — 1,239 4,682 (872)— 5,049 
Repurchases of common stock(224,808)— — (262,500)— — (262,500)
Share-based compensation— — 4,575 — — — 4,575 
Net earnings— — — — 149,663 — 149,663 
Other comprehensive income (loss), net of tax— — — — — 23,181 23,181 
Balance at March 31, 202123,269,421 $448 $810,954 $(5,541,402)$5,244,387 $(311,744)$202,643 
Exercise of stock options and restricted stock units13,248 —  2,849 (65)— 2,784 
Repurchases of common stock(165,730)— — (212,499)— — (212,499)
Share-based compensation— — 4,581 — — — 4,581 
Net earnings— — — — 184,763 — 184,763 
Other comprehensive income (loss), net of tax— — — — — 9,152 9,152 
Balance at June 30, 202123,116,939 $448 $815,535 $(5,751,052)$5,429,085 $(302,592)$191,424 
Exercise of stock options and restricted stock units35,488 —  7,889 (808)— 7,081 
Repurchases of common stock(166,772)— — (252,499)— — (252,499)
Share-based compensation— — 4,737 — — — 4,737 
Net earnings— — — — 203,688 — 203,688 
Other comprehensive income (loss), net of tax— — — — — 4,740 4,740 
Balance at September 30, 202122,985,655 $448 $820,272 $(5,995,662)$5,631,965 $(297,852)$159,171 

The accompanying notes are an integral part of these interim consolidated financial statements.
- 6 -

METTLER-TOLEDO INTERNATIONAL INC.
INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS
Nine months ended September 30, 2021 and 2020
(In thousands)
(unaudited)
September 30,
2021
September 30,
2020
Cash flows from operating activities:  
Net earnings$538,114 $386,444 
Adjustments to reconcile net earnings to net cash provided by operating activities: 
Depreciation33,440 30,949 
Amortization46,141 42,008 
Deferred tax benefit(6,072)(6,990)
Share-based compensation13,893 13,248 
Increase (decrease) in cash resulting from changes in: 
Trade accounts receivable, net(19,153)49,084 
Inventories(87,568)(11,421)
Other current assets(3,596)(8,733)
Trade accounts payable44,170 (40,874)
Taxes payable42,474 19,117 
Accruals and other65,876 998 
Net cash provided by operating activities667,719 473,830 
Cash flows from investing activities:  
Proceeds from sale of property, plant and equipment3,399 3,046 
Purchase of property, plant and equipment(69,796)(57,428)
Acquisitions(193,387)(6,242)
Other investing activities8,559 (9,421)
Net cash used in investing activities(251,225)(70,045)
Cash flows from financing activities:  
Proceeds from borrowings1,638,321 1,148,360 
Repayments of borrowings(1,249,177)(1,231,191)
Proceeds from stock option exercises14,914 26,194 
Repurchases of common stock(727,498)(399,999)
Other financing activities(2,864)(800)
Net cash used in financing activities(326,304)(457,436)
Effect of exchange rate changes on cash and cash equivalents(772)(448)
Net increase (decrease) in cash and cash equivalents89,418 (54,099)
Cash and cash equivalents: 
Beginning of period94,254 207,785 
End of period$183,672 $153,686 


The accompanying notes are an integral part of these interim consolidated financial statements.
- 7 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
(In thousands, except share data, unless otherwise stated)

1.BASIS OF PRESENTATION
Mettler-Toledo International Inc. ("Mettler-Toledo" or the "Company") is a leading global supplier of precision instruments and services. The Company manufactures weighing instruments for use in laboratory, industrial, packaging, logistics and food retailing applications. The Company also manufactures several related analytical instruments and provides automated chemistry solutions used in drug and chemical compound discovery and development. In addition, the Company manufactures metal detection and other end-of-line inspection systems used in production and packaging and provides solutions for use in certain process analytics applications. The Company's primary manufacturing facilities are located in China, Germany, Switzerland, the United Kingdom and the United States. The Company's principal executive offices are located in Columbus, Ohio and Greifensee, Switzerland.
The accompanying interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and include all entities in which the Company has control, which are its wholly-owned subsidiaries. The interim consolidated financial statements have been prepared without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. The interim consolidated financial statements should be read in conjunction with the consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020.
The accompanying interim consolidated financial statements reflect all adjustments which, in the opinion of management, are necessary for a fair statement of the results of the interim periods presented. Operating results for the three and nine months ended September 30, 2021 are not necessarily indicative of the results to be expected for the full year ending December 31, 2021.
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, as well as disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. These financial statements were prepared using information reasonably available as of September 30, 2021 and through the date of this Report. Actual results may differ from those estimates due to the uncertainty around the magnitude and duration of the COVID-19 pandemic, as well as other factors.
All intercompany transactions and balances have been eliminated.
2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Trade Accounts Receivable
Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for expected credit losses represents the Company’s best estimate based on historical information, current information, and reasonable and supportable forecasts of future events and circumstances.
- 8 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
(In thousands, except share data, unless otherwise stated)
Inventories
Inventories are valued at the lower of cost or net realizable value. Cost, which includes direct materials, labor and overhead, is generally determined using the first in, first out (FIFO) method. The estimated net realizable value is based on assumptions for future demand and related pricing. Adjustments to the cost basis of the Company’s inventory are made for excess and obsolete items based on usage, orders and technological obsolescence. If actual market conditions are less favorable than those projected by management, reductions in the value of inventory may be required.
Inventories consisted of the following:
September 30,
2021
December 31,
2020
Raw materials and parts$158,541 $132,041 
Work-in-progress73,105 55,688 
Finished goods149,811 109,882 
 $381,457 $297,611 
Goodwill and Other Intangible Assets
Goodwill, representing the excess of purchase price over the net asset value of companies acquired, and indefinite-lived intangible assets are not amortized, but are reviewed for impairment annually in the fourth quarter, or more frequently if events or changes in circumstances indicate that an asset might be impaired. The annual evaluation for goodwill and indefinite-lived intangible assets are generally based on an assessment of qualitative factors to determine whether it is more likely than not that the fair value of the asset is less than its carrying amount.
Other intangible assets include indefinite-lived assets and assets subject to amortization. Where applicable, amortization is charged on a straight-line basis over the expected period of benefit. The straight-line method of amortization reflects an appropriate allocation of the cost of the intangible assets to earnings in proportion to the amount of economic benefits obtained by the Company in each reporting period. The Company assesses the initial acquisition of intangible assets in accordance with the provisions of ASC 805 "Business Combinations" and the continued accounting for previously recognized intangible assets and goodwill in accordance with the provisions of ASC 350 "Intangible - Goodwill and Other" and ASC 360 "Property, Plant and Equipment".
Other intangible assets consisted of the following:
 September 30, 2021December 31, 2020
Gross
Amount
Accumulated
Amortization
Intangibles, NetGross
Amount
Accumulated
Amortization
Intangibles, Net
Customer relationships$279,380 $(76,777)$202,603 $201,445 $(68,319)$133,126 
Proven technology and patents98,539 (54,858)43,681 78,312 (52,138)26,174 
Tradenames (finite life)8,176 (3,654)4,522 4,896 (3,444)1,452 
Tradenames (indefinite life)35,528 — 35,528 35,595 — 35,595 
Other8,048 (5,789)2,259 5,215 (4,777)438 
 $429,671 $(141,078)$288,593 $325,463 $(128,678)$196,785 
- 9 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
(In thousands, except share data, unless otherwise stated)
The Company recognized amortization expense associated with the above intangible assets of $5.7 million and $4.0 million for the three months ended September 30, 2021 and 2020, respectively, and $15.9 million and $11.8 million for the nine months ended September 30, 2021 and 2020, respectively. The annual aggregate amortization expense based on the current balance of other intangible assets is estimated at $21.6 million for 2021, $21.1 million for 2022, $20.3 million for 2023, $19.8 million for 2024, $18.9 million for 2025, and $16.7 million for 2026. Purchased intangible amortization was $5.5 million, $4.1 million after tax, and $3.8 million, $2.8 million after tax, for the three months ended September 30, 2021 and 2020, respectively, and $15.2 million, $11.5 million after tax, and $11.2 million, $8.5 million after tax, for the nine months ended September 30, 2021 and 2020, respectively.
In addition to the above amortization, the Company recorded amortization expense associated with capitalized software of $10.3 million and $10.1 million for the three months ended September 30, 2021 and 2020, respectively, and $30.0 million for both the nine months ended September 30, 2021 and 2020.
Revenue Recognition
Product revenue is recognized from contracts with customers when a customer has obtained control of a product. The Company considers control to have transferred based upon shipping terms. To the extent the Company’s arrangements have a separate performance obligation, revenue related to any post-shipment performance obligation is deferred until completed. Shipping and handling costs charged to customers are included in total net sales and the associated expense is a component of cost of sales. Certain products are also sold through indirect distribution channels whereby the distributor assumes any further obligations to the end customer. Revenue is recognized on these distributor arrangements upon transfer of control to the distributor. Contracts do not contain variable pricing arrangements that are retrospective, except for rebate programs. Rebates are estimated based on expected sales volumes and offset against revenue at the time such revenue is recognized. The Company generally maintains the right to accept or reject a product return in its terms and conditions and also maintains appropriate accruals for outstanding credits. The related provisions for estimated returns and rebates are immaterial to the consolidated financial statements.
Certain of the Company’s product arrangements include separate performance obligations, primarily related to installation. Such performance obligations are accounted for separately when the deliverables have stand-alone value and the satisfaction of the undelivered performance obligations is probable and within the Company's control. The allocation of revenue between the performance obligations is based on the observable stand-alone selling prices at the time of the sale in accordance with a number of factors including service technician billing rates, time to install, and geographic location.
Software is generally not considered a distinct performance obligation with the exception of a few small software applications. The Company generally does not sell software products without the related hardware instrument as the software is embedded in the product. The Company’s products typically require no significant production, modification, or customization of the hardware or software that is essential to the functionality of the products.
Service revenue not under contract is recognized upon the completion of the service performed. Revenue from spare parts sold on a stand-alone basis is recognized when control is transferred to the customer, which is generally at the time of shipment or delivery. Revenue from service contracts is recognized ratably over the contract period using a time-based method. These contracts represent an obligation to perform repair and other services including regulatory compliance qualification, calibration, certification, and preventative maintenance on a customer’s pre-defined equipment over the contract period.

- 10 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
(In thousands, except share data, unless otherwise stated)
Employee Termination Benefits
In situations where contractual termination benefits exist, the Company records accruals for employee termination benefits when it is probable that a liability has been incurred and the amount of the liability is reasonably estimable. All other employee termination arrangements are recognized and measured at their fair value at the communication date unless the employee is required to render additional service after the legal notification period, in which case the liability is recognized ratably over the future service period.
Share-Based Compensation
The Company recognizes share-based compensation expense within selling, general and administrative in the consolidated statements of operations and other comprehensive income with a corresponding offset to additional paid-in capital in the consolidated balance sheet. The Company recorded $4.7 million and $13.9 million of share-based compensation expense for the three and nine months ended September 30, 2021, respectively, compared to $4.4 million and $13.2 million for the corresponding periods in 2020.
On May 6, 2021, the Company's shareholders approved the adoption of the Company's 2013 Equity Incentive Plan (Amended and Restated), with the effect that approximately 0.9 million additional shares of common stock were added to the 2.1 million shares that remained available under the plan prior to its amendment. In addition, shares subject to options granted under the Company's prior equity incentive plan that terminate or are forfeited without being exercised, are also available for awards under the amended plan. The amended plan expires in 2031.
Research and Development
Research and development costs primarily consist of salaries, consulting and other costs. The Company expenses these costs as incurred.

Business Combinations and Asset Acquisitions
The Company accounts for business acquisitions under the accounting standards for business combinations. The results of each acquisition are included in the Company's consolidated results as of the acquisition date. The purchase price of an acquisition is allocated to tangible and intangible assets and assumed liabilities based on their estimated fair values and any consideration in excess of the net assets acquired is recognized as goodwill. The determination of the values of the acquired assets and assumed liabilities, including goodwill and intangible assets, require significant judgment. Acquisition transaction costs are expensed when incurred.

In circumstances where an acquisition involves a contingent consideration arrangement, the Company recognizes a liability equal to the fair value of the expected contingent payments as of the acquisition date. Subsequent changes in the fair value of the contingent consideration are recorded to other charges (income), net.

Recent Accounting Pronouncements
In March 2020 and January 2021, the FASB issued ASU 2020-04 and ASU 2021-01: Reference Rate Reform which provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by the discontinuance of LIBOR or another referenced rate. The guidance may be applied to any applicable contract entered into before December 31, 2022. The Company's interest rate and cross currency swaps, as mentioned in Note 5 to the consolidated financial statements, are governed by International Swaps and Derivatives Association ("ISDA") agreements, and the Company adheres to the ISDA's fallback protocol when LIBOR is discontinued. In addition, the
- 11 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
(In thousands, except share data, unless otherwise stated)
Company renewed the LIBOR based credit agreement, as discussed further in Note 8, which includes a fallback protocol when LIBOR is discontinued. Based on these procedures, when LIBOR is discontinued the interest rate and cross currency swaps will not require de-designation if certain criteria are met. The Company expects the financial impact of the rate change when LIBOR is discontinued to be immaterial to its financial statements.

3.REVENUE
The Company disaggregates revenue from contracts with customers by product, service, timing of revenue recognition and geography. A summary of revenue by the Company’s reportable segments for the three and nine months ended September 30, 2021 and 2020 follows:
For the three months ended September 30, 2021U.S. OperationsSwiss OperationsWestern European OperationsChinese OperationsOther OperationsTotal
Product Revenue$263,885 $33,612 $142,318 $193,727 $127,302 $760,844 
Service Revenue:
Point in time56,325 6,092 37,524 12,680 30,120 142,741 
Over time16,498 2,146 18,790 4,053 6,878 48,365 
Total$336,708 $41,850 $198,632 $210,460 $164,300 $951,950 
For the three months ended September 30, 2020U.S. OperationsSwiss OperationsWestern European OperationsChinese OperationsOther OperationsTotal
Product Revenue$212,607 $30,507 $124,073 $150,879 $112,306 $630,372 
Service Revenue:
Point in time
52,000 6,329 34,519 11,414 28,602 132,864 
Over time
14,341 2,012 19,038 2,938 5,792 44,121 
Total$278,948 $38,848 $177,630 $165,231 $146,700 $807,357 
For the nine months ended September 30, 2021U.S. OperationsSwiss OperationsWestern European OperationsChinese OperationsOther OperationsTotal
Product Revenue$721,744 $95,797 $424,904 $525,855 $355,945 $2,124,245 
Service Revenue:
Point in time162,409 19,517 110,243 34,655 87,708 414,532 
Over time47,824 6,653 57,557 11,545 18,335 141,914 
Total$931,977 $121,967 $592,704 $572,055 $461,988 $2,680,691 
For the nine months ended September 30, 2020U.S. OperationsSwiss OperationsWestern European OperationsChinese OperationsOther OperationsTotal
Product Revenue$578,405 $76,796 $334,408 $369,351 $297,859 $1,656,819 
Service Revenue:
Point in time
148,577 16,611 93,855 28,304 77,768 365,115 
Over time
42,714 6,286 51,743 9,083 15,432 125,258 
Total$769,696 $99,693 $480,006 $406,738 $391,059 $2,147,192 
- 12 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
(In thousands, except share data, unless otherwise stated)
A summary of revenue by major geographic destination for the three and nine months ended September 30 follows:
Three Months EndedNine Months Ended
2021202020212020
Americas$367,278 $304,963 $1,024,033 $840,087 
Europe258,925 232,133 760,491 621,126 
Asia / Rest of World325,747 270,261 896,167 685,979 
Total$951,950 $807,357 $2,680,691 $2,147,192 
The Company's global revenue mix by product category is comprised of laboratory (56% of sales), industrial (39% of sales) and retail (5% of sales). The Company's product revenue by reportable segment is proportionately similar to the Company's global mix except the Company's Swiss Operations is largely comprised of laboratory products while the Company's Chinese Operations has a slightly higher percentage of industrial products. A summary of the Company’s revenue by product category for the three and nine months ended September 30 is as follows: