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ESAB ESAB EMEA and APAC Segment — Goodwill

Other segment segments

EMEA & APAC
$1.02B+2.4%
Americas Business Segment
$647.02M+2.7%

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$83.88M+1,294%

Other financials

Income statement

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Revenue$807.6M+12.9%
Gross profit$307.2M+15.5%
Operating income$78.7M-27.8%
Net income$32.4M-51.6%
EPS (diluted)$0.50-54.1%

Balance sheet

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Cash & equivalents$217.5M-15.8%
Total debt$2.5B+118%
Total equity$2.5B+22.7%
Total assets$6.6B+48.1%

Cash flow

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Operating cash flow$33.4M-28.3%
CapEx$17.7M+93.3%
Free cash flow$15.7M-58.1%

Valuation

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Market cap$5.75B-13.3%
Enterprise value$8.07B+7.1%
P/E33.3×+7.5×
P/S1.9×-0.5×

Profitability

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Gross margin37%-0.8pp
Operating margin12.1%-3.9pp
Net margin5.7%-3.6pp
FCF margin6.5%-2.9pp

Returns & leverage

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Return on equity7.5%-6.1pp
Debt / equity+0.4×
Current ratio0.0×

Where this comes from

Reported directly by ESAB in its filing.

Tagged under the XBRL concept us-gaap:Goodwill.

The source filing: ESAB’s 10-Q, filed August 6, 2026.

Filed
Aug 6, 2026, 6:32 AM EDT
Fiscal quarter
Q2 FY2026
Calendar quarter
Q2 2026
Accession
0001877322-26-000056

Goodwill arises because purchase price exceeds fair value of acquired identifiable net assets due to anticipated future earnings and cash flow potential of the acquired businesses; prevailing market multiples applied to earnings and cash flows in comparable transactions; the competitive nature of the acquisition process; the strategic benefits of accelerating market entry or enhancing existing product offerings without incurring the time, cost and risk associated with internal development; and the complementary fit and expected synergies these businesses contribute to the Company’s existing operations. The Company preliminarily recorded $811.4 million of goodwill related to Eddyfi, none of which is expected to be deductible for income tax purposes. This has been allocated across the Company's reportable segments based on the geographic location of the entity, with $621.0 million allocated to the Americas segment and $190.4 million allocated to the EMEA & APAC segment.

Item 1. Financial Statements

FAQ

What is ESAB's EMEA and APAC segment — goodwill?
ESAB (ESAB) reported EMEA and APAC segment — goodwill of $190.4M in Q2 2026.
What does EMEA and APAC segment — goodwill mean?
This represents the carrying value of goodwill allocated to the Europe, Middle East, Africa, and Asia-Pacific reporting segment. It reflects the excess of the purchase price over the fair value of identifiable net assets acquired in business combinations within these geographic regions. Monitoring this balance is essential for assessing potential impairment risks related to historical acquisitions in these international markets.

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