ESAB Corporation (ESAB) formulates, develops, manufactures, and supplies consumable products and equipment, including cutting, joining, and welding robotics, as well as gas control equipment.
ESAB provides its partners with fabrication technology, advanced equipment, consumables, gas control equipment, robotics, and digital solutions. The company’s rich history of innovative products and workflow solutions, along with its business management system, ESAB Business Excellence (‘EBX’), enables the...
ESAB Corporation (ESAB) formulates, develops, manufactures, and supplies consumable products and equipment, including cutting, joining, and welding robotics, as well as gas control equipment.
ESAB provides its partners with fabrication technology, advanced equipment, consumables, gas control equipment, robotics, and digital solutions. The company’s rich history of innovative products and workflow solutions, along with its business management system, ESAB Business Excellence (‘EBX’), enables the company’s purpose of Shaping the World We Imagine. Its products are marketed under several brand names, most notably ESAB, providing a wide range of products with innovative technologies to solve challenges in virtually any industry. The company’s sales channels include both independent distributors and direct salespeople that, depending on geography and end market, sell its products to its end users. ESAB serves customers in approximately 150 countries.
The company defines its addressable market as established fabrication technology and gas control equipment products, and new products in automation, software, and services, and estimates its size based on public data from peer companies, customer surveys, and market analysis conducted by its sales function. Approximately 48% of the company’s 2024 revenues were derived from high-growth markets, which the company defines as South America, Eastern Europe, India, the Asia Pacific, and the Middle East.
Acquisitions are a core part of the company’s strategy and are used to strengthen the company and accelerate growth. EBX is integral to the company’s operations. EBX is the company’s culture and includes its values, a comprehensive set of tools, and repeatable, teachable processes that the company uses to drive continuous improvement and create superior value for its customers, stockholders, and associates.
Segments
The company conducts its operations through two segments. These segments consist of the ‘Americas,’ which includes operations in North America and South America, and ‘EMEA & APAC,’ which includes Europe, the Middle East, India, Africa, and Asia Pacific. The company serves a global customer base across multiple markets through a combination of direct sales and third-party distribution channels. Its customer base is highly diversified in the industrial end markets.
International Operations
The company’s products and services are available worldwide. Its principal markets outside the United States are Europe, the Asia Pacific, South America, and the Middle East.
Research and Development
The company’s research and development expenses included $39.2 million for the year ended December 31, 2024.
Seasonality
The company’s European operations typically experience a slowdown during the July and August vacation seasons.
Regulatory Environment
Some of the company’s gas control products are related to medical device products and are subject to extensive regulation by the United States Food and Drug Administration (the ‘FDA’), European Union Medical Device Regulation (the ‘EU MDR’), and numerous other federal, state, and foreign governmental authorities.
Environmental Laws and Regulations
The company’s Quality, Environmental, and Occupational Health & Safety (‘QEHS’) Management Systems apply to all of ESAB’s operations, activities, people, and units globally. The company has achieved external certification of its QEHS Management Systems to the ISO 9001, ISO 14001, and ISO 45001 standards for the majority of ESAB’s operations, activities, people, and units globally.
Export/Import Compliance
The company is required to comply with various United States export/import control and economic sanctions laws, including:
the International Traffic in Arms Regulations administered by the United States Department of State, Directorate of Defense Trade Controls, which, among other things, imposes license requirements on the export from the United States of defense articles and defense services (items specifically designed or adapted for a military application and/or listed on the United States Munitions List);
the Export Administration Regulations administered by the United States Department of Commerce, Bureau of Industry and Security, which, among other things, impose licensing requirements on the export or re-export of certain dual-use goods, technology, and software (items that potentially have both commercial and military applications);
the regulations administered by the United States Department of Treasury, Office of Foreign Assets Control, which implement economic sanctions imposed against designated countries, governments, and persons based on the United States foreign policy and national security considerations; and
the import regulatory activities of the United States Customs and Border Protection.
History
ESAB Corporation was founded in 1904. The company was incorporated in Delaware in 2021.