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SEGMENT INFORMATION (Tables)

12 Months Ended

Dec. 31, 2024

SEGMENT INFORMATION

Schedule of financial information for the reportable segments


							The Harris
	Americas			International			Products			Corporate /
	Welding ⁽¹⁾			Welding ⁽²⁾			Group ⁽³⁾			Eliminations ⁽⁴⁾			Consolidated
For the Year Ended December 31, 2024
Net sales	$	2,564,847		$	933,722		$	510,101		$	—		$	4,008,670
Inter-segment sales		135,758			35,861			12,321			(183,940)			—
Total sales		2,700,605			969,583			522,422			(183,940)			4,008,670
Cost of goods sold		1,638,568			700,428			378,292			(181,530)			2,535,758
Gross profit		1,062,037			269,155			144,130			(2,410)			1,472,912
Other segment expenses⁽⁵⁾		559,670			200,785			59,757			15,765			835,977
EBIT		502,367			68,370			84,373			(18,175)			636,935
Special items charge		27,821			37,747			3,955			7,147			76,670
Adjusted EBIT	$	530,188		$	106,117		$	88,328		$	(11,028)		$	713,605
Special items charge														(76,670)
Interest income														10,130
Interest expense														(52,916)
Income before income taxes													$	594,149

Total assets	$	2,416,411		$	1,050,327		$	346,645		$	(293,241)		$	3,520,142
Capital expenditures		94,528			17,814			4,144			117			116,603
Depreciation and amortization		57,016			21,735			10,091			(604)			88,238

For the Year Ended December 31, 2023
Net sales	$	2,655,546		$	1,040,006		$	496,084		$	—		$	4,191,636
Inter-segment sales		127,536			31,498			10,641			(169,675)			—
Total		2,783,082			1,071,504			506,725			(169,675)			4,191,636
Cost of goods sold		1,739,850			776,982			377,748			(168,389)			2,726,191
Gross profit		1,043,232			294,522			128,977			(1,286)			1,465,445
Other segment expenses⁽⁵⁾		514,821			148,304			54,833			16,250			734,208
EBIT		528,411			146,218			74,144			(17,536)			731,237
Special items charge (gain)		9,858			(9,721)			—			—			137
Adjusted EBIT	$	538,269		$	136,497		$	74,144		$	(17,536)		$	731,374
Special items charge														(137)
Interest income														6,762
Interest expense														(51,133)
Income before income taxes													$	686,866

Total assets	$	2,365,737		$	1,046,369		$	340,463		$	(375,272)		$	3,377,297
Capital expenditures		61,752			20,568			8,550			117			90,987
Depreciation and amortization		55,821			22,023			9,611			(785)			86,670

For the Year Ended December 31, 2022
Net sales	$	2,288,934		$	954,281		$	517,996		$	—		$	3,761,211
Inter-segment sales		122,019			31,503			11,040			(164,562)			—
Total		2,410,953			985,784			529,036			(164,562)			3,761,211
Cost of goods sold		1,514,203			719,051			410,861			(163,664)			2,480,451
Gross profit		896,750			266,733			118,175			(898)			1,280,760
Other segment expenses⁽⁵⁾		430,871			158,257			54,167			15,138			658,433
EBIT		465,879			108,476			64,008			(16,036)			622,327
Special items (gain) charge		(3,060)			11,681			—			6,003			14,624
Adjusted EBIT	$	462,819		$	120,157		$	64,008		$	(10,033)		$	636,951
Special items charge														(14,624)
Interest income														1,607
Interest expense														(31,107)
Income before income taxes													$	592,827

Total assets	$	2,122,729		$	994,905		$	361,989		$	(299,077)		$	3,180,546
Capital expenditures		43,003			17,955			10,925			—			71,883
Depreciation and amortization		47,291			20,949			9,819			—			78,059

(1)	2024 special items reflect Rationalization and asset impairment net charges of $18,840, an amortization of step up in value of acquired inventories of $4,776 and a pension settlement net charge of $4,205.

2023 special items reflect Rationalization and asset impairment net charges of $468 and amortization of step up in value of acquired inventories of $9,390.

2022 special items reflect Rationalization and asset impairment net gains of $431, final settlement gains related to the termination of a pension plan of $3,735 and amortization of step up in value of acquired inventories of $1,106.

(2)

2024 special items reflect Rationalization and asset impairment net charges of $32,960 including the impact of the Company’s disposition of its Russian entity, a loss on asset disposal of $4,950, an amortization of step up in value of acquired inventories of $250 and a pension settlement gain of $413.

2023 special items reflect Rationalization and asset impairment net gains of $11,782, amortization of step up in value of acquired inventories of $2,862, gain on asset disposal of $1,646, and pension settlement charges of $845.

2022 special items reflect Rationalization and asset impairment charges of $11,681.

(3)	2024 special items reflect Rationalization and asset impairment net charges of $3,955.

(4)	2024 special items reflect transaction costs of $7,042 related to acquisitions as discussed in Note 4 to the consolidated financial statements.

2022 special items reflect transaction costs of $6,003 related acquisitions as discussed in Note 4 to the consolidated financial statements.

(5)	Other segment expenses primarily include:

a.

Selling, general and administrative expenses – including bonus and research and development expenses.

b.

Rationalization and asset impairment net charges – refer to Note 7 for further discussion.

Schedule of geographical split of the Company's net sales, based on the location of the customers, and property plant equipment


		Year Ended December 31,
		2024			2023			2022
Net sales:
United States		$	2,355,262		$	2,398,560		$	2,128,457
Foreign countries			1,653,408			1,793,076			1,632,754
Total		$	4,008,670		$	4,191,636		$	3,761,211


		December 31,
		2024			2023			2022
Property, plant and equipment, net:
United States		$	344,533		$	293,172		$	267,654
Foreign countries			274,648			282,144			277,217
Total		$	619,181		$	575,316		$	544,871