Slide 1: Second Quarter 2025 Earnings Conference Call
Second Quarter 2025 EARNINGS CONFERENCE CALL August 6, 2025 © 2024
Slide 2: Forward-Looking Statements & Non-GAAP Disclaimer
Forward-Looking Statements & Non-GAAP Disclaimer Forward-Looking Statements This presentation includes forward-looking statements, including forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are no
Slide 3: 2Q 2025 Highlights
2Q 2025 Highlights 2Q 2025 results: ▪ Stellar performance in high-growth markets $679M +2% Sales1 Total Core Sales Growth1 ▪ Tariff related softness in Mexico & Automation ▪ Record core adjusted EBITDA margin $138M +3% ▪ Completed two Gas Control and signed one aEBITDA1 Year-over-Year Fabtech acquis
Slide 4: ESAB Investing In Talent
ESAB Investing In Talent Flame Trainee Internship Program Established Flame Internship Program in Brazil Trained over 100 leaders in fabrication technology Designed to accelerate professional growth Investing in the next generation of fabrication technology leaders Expanding program globally Develop
Slide 5: Benefiting From Our Unmatched Global Footprint
Benefiting From Our Unmatched Global Footprint AMERICAS EMEA & APAC ▪ Equipment and Gas Control sales resilient ▪ Europe remains steady; well placed to across the region capture announced EU stimulus. Bavaria acquisition off to a good start ▪ Tariffs in NAM impacted volumes ~500 bps ▪ MEA is achievi
Slide 6: Using EBX & AI to Accelerate Long-Term Growth
Using EBX & AI to Accelerate Long-Term Growth Productivity Back-office ▪ Delivering $30M of savings Improvement ($M)1 Optimization ($M)1 +30% +13% ▪ Leveraging EBX and AI to: $10 $13 $15 $17 ▪ Automate back-office processes ▪ Streamline factory efficiency Original Revised Original Revised ▪ Improve
Slide 7: EWM Strengthens Equipment & Robotics Portfolio
EWM Strengthens Equipment & Robotics Portfolio A leading provider of premium arc welding and robotic technology solutions Full year sales of €120M & aEPS accretive in year one Leader in Germanic region Automation and Robotics Brings advanced technology, a highly respected brand, & a strong team West
Slide 8: EWM Extends ESAB's Premium Workflow Solution
EWM Extends ESAB’s Premium Workflow Solution End-to-end workflow solution EWM fills product gaps Advances equipment & robotics technology Accelerates product development roadmap Strengthens ESAB’s end-to-end workflow solution Combination is highly complementary & synergistic Improving and expanding
Slide 9: Expands & Grows Medical Gas Control Portfolio
Expands & Grows Medical Gas Control Portfolio European based manufacturer of medical central India based medical central gas system, gas systems (MCGS), manifolds & AVSUs flowmeter & regulator manufacturer ▪ Strengthens European medical gas position ▪ Provides entry into fast growing India market ▪
Slide 10: DeltaP & Aktiv Extend Medical Gas Control Portfolio
DeltaP & Aktiv Extend Medical Gas Control Portfolio Hospital gas system # Solution GCE Emergency 1 Air /Vac Syst & Oxygen Gen + + + + + Ward Manifolds & 2 AVSUs 6 4 ICU 5 3 Valves & regulators + + + 1 4 Terminal units + + + 3 Ambulance Supply & Distribution 5 Regulators & flowmeters + + + 2 6 Ambula
Slide 11: ESAB 2Q 2025 Financial Summary
ESAB 2Q 2025 Financial Summary ($ Millions) 2Q 20251 2Q 20241 YoY Total Sales $679 $666 2% aEBITA $129 $125 3% aEBITA Margin % 19.0% 18.8% 20 bps aEBITDA $138 $134 3% aEBITDA Margin % 20.4% 20.1% 30 bps 2Q Highlights: 2Q 2025 Sales Growth1,2: Organic (1)% ▪ High-growth markets performed strongly Pri
Slide 12: ESAB 2Q 2025 Americas
ESAB 2Q 2025 Americas ($ Millions) 2Q 2025 2Q 2024 YoY Total Sales $283 $310 (9)% aEBITDA $57 $65 (12)% aEBITDA Margin % 20.1% 20.9% (80) bps 2Q Highlights: 2Q 2025 Sales Growth1: Organic (7)% ▪ NAM Automation & Mexico volumes impacted by tariffs Price 4% ▪ Automation expected to rebound in H2 Volum
Slide 13: ESAB 2Q 2025 EMEA and APAC
ESAB 2Q 2025 EMEA and APAC 1 ($ Millions) 2Q 20251 2Q 20241 YoY Total Sales $396 $357 11% aEBITDA $82 $69 18% aEBITDA Margin % 20.6% 19.5% 110 bps 2Q Highlights: 2Q 2025 Sales Growth1,2: ▪ Strong results achieved Organic 4% Price (1)% ▪ Abundant pipeline of opportunities in 2H Volume 6% ▪ EBX contri
Slide 14: Financial Flexibility To Execute Compounder Strategy
Financial Flexibility To Execute Compounder Strategy Cash Full Year Conversion ~100% ▪ TTM adjusted free cash flow conversion 88% Adjusted 1.0% Free Cash Flow ($M) $79 ▪ First half cash flow reflects: ▪ Inventory acquired in advance of tariffs 50 $46 0.5% ▪ Working capital to support growth in EMEA
Slide 15: Raising 2025 Outlook
Raising 2025 Outlook Prior FY 2025 FY 2025 Financial Metrics Guidance1,2 Guidance1,2 ▪ Total Sales guidance increased: Sales $2.57–$2.63 $2.63–$2.68 ▪ M&A guidance increased to ~2.5%; DeltaP & Aktiv acquisitions included ▪ Foreign exchange outlook improved to ~(1)% Core Organic Growth % 0%–2% 0%–2%
Slide 16: Summary
Summary ▪ Raised 2025 guidance ▪ Q3 off to a good start ▪ Expect NAM Automation to improve in 2H ▪ EBX driving margin expansion ▪ Closed DeltaP & Aktiv; Signed EWM ▪ Strong balance sheet supports compounder strategy Shared Help Each Always Purposeful Every Voice Success Other Win Improving Leadershi
Slide 17: Appendix
Appendix Pd ESAB * ESAB CORPORATION =_
Slide 18: Full Year 2025 Outlook
Full Year 2025 Outlook ESAB Prior 2025 Guidance1 2025 Guidance1 Sales ($B) 2.57 – 2.63 2.63 – 2.68 Total Growth (1.0)% - 1.5% 1.5% - 3.5% Core Organic Growth 0.0% - 2.0% 0.0% - 2.0% FX ~(3.0)% ~(1.0)% M&A 2.0% - 2.5% ~2.5% aEBITDA ($M) 520 – 530 525 – 535 Interest Expense & Other ($M) 65 – 70 70 – 7
Slide 19: Non-GAAP Reconciliation EBITA – 2Q '25 Total & Segments
Non-GAAP Reconciliation EBITA – 2Q '25 Total & Segments1 Three Months Ended July 4, 2025 % of % of % of ($ Millions) Americas EMEA & APAC Total ESAB NSV NSV NSV Net Sales $ 282.7 $ 432.9 $ 715.6 Net Sales attributable to Russia — 37.1 37.1 Core Net Sales $ 282.7 $ 395.7 $ 678.5 Operating Income $ 42
Slide 20: Non-GAAP Reconciliation EBITDA – 2Q '25 Total & Segments
Non-GAAP Reconciliation EBITDA – 2Q '25 Total &Segments1 Three Months Ended July 4, 2025 % of % of % of ($ Millions) Americas EMEA & APAC Total ESAB NSV NSV NSV Net Sales $ 282.7 $ 432.9 $ 715.6 Net Sales attributable to Russia — 37.1 37.1 Core Net Sales $ 282.7 $ 395.7 $ 678.5 Operating Income $ 42
Slide 21: Non-GAAP Reconciliation EBITA – 2Q '24 Total & Segments
Non-GAAP Reconciliation EBITA – 2Q '24 Total & Segments1 Three Months Ended June 28, 2024 % of % of % of ($ Millions) Americas EMEA & APAC Total ESAB NSV NSV NSV Net Sales $ 309.8 $ 397.3 $ 707.1 Net Sales attributable to Russia — 40.7 40.7 Core Net Sales $ 309.8 $ 356.6 $ 666.3 Operating Income $ 5
Slide 22: Non-GAAP Reconciliation EBITDA – 2Q '24 Total & Segments
Non-GAAP Reconciliation EBITDA – 2Q '24 Total & Segments1 Three Months Ended June 28, 2024 % of % of % of ($ Millions) Americas EMEA & APAC Total ESAB NSV NSV NSV Net Sales $ 309.8 $ 397.3 $ 707.1 Net Sales attributable to Russia — 40.7 40.7 Core Net Sales $ 309.8 $ 356.6 $ 666.3 Operating Income $
Slide 23: Non-GAAP Reconciliation – Net Income to Adjusted EPS
Non-GAAP Reconciliation – Net Income to Adjusted EPS1 Three months ended ($ Millions, except Per Share Data) July 4, 2025 June 28, 2024 Net income from continuing operations $ 69.8 $ 85.5 Income attributable to noncontrolling interest, net of taxes 1.2 1.5 Net income from continuing operations attri
Slide 24: Non-GAAP Reconciliation – Adj. Free Cash Flow
Non-GAAP Reconciliation – Adj. Free Cash Flow1 Three months ended Six months ended ($ Millions) July 4, 2025 June 28, 2024 July 4, 2025 June 28, 2024 Net cash provided by operating activities $ 46.6 $ 83.0 $ 82.0 $ 127.5 Purchases of property, plant and equipment (9.2) (9.0) (16.5) (16.4) Payments r