10-Q · May 7, 2026
ESAB reported Q1 2026 results with revenues of $746 million, surpassing estimates of $703 million, but with diluted EPS of $0.82, significantly below the expected $1.33. The company reaffirmed its full-year guidance…
Earnings analysis · 10-Q
ESAB earnings analysis
Filed November 4, 2026 · Our reading of the company's report
The latest report
ESAB reported $824.5 million of revenue and $0.61 of GAAP diluted EPS for the quarter, but the supplied 10-Q extract does not include the detailed income statement, segment results, balance sheet, or cash-flow tables…
Read full summary
ESAB reported $824.5 million of revenue and $0.61 of GAAP diluted EPS for the quarter, but the supplied 10-Q extract does not include the detailed income statement, segment results, balance sheet, or cash-flow tables needed to quantify margin, working-capital, and free-cash-flow trends. The filing highlights substantial international exposure, with 78% of nine-month sales generated outside the United States, and meaningful market risks, including $6.5 million of annualized interest sensitivity for a 1% rate increase and $218 million of equity sensitivity to a 10% currency depreciation. No quantitative guidance is provided in the supplied 10-Q text; the outlook was addressed in the separate 8-K.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.61
What stood out
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Revenue reached $824.5 million
Reported revenue was $824.5 million and GAAP diluted EPS was $0.61 for the quarter, based on the supplied filing-related earnings information.
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Strong international sales exposure
International operations remain a major part of the business: approximately 78% of sales came from outside the United States during the nine months ended October 2, 2026.
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Currency hedging remains in place
The company had eight fixed-to-fixed cross-currency swaps as of October 2, 2026, intended to hedge part of its European net asset position.
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Controls remained effective
Management concluded that disclosure controls were effective as of October 2, 2026, and reported no changes in internal control that materially affected, or were reasonably likely to materially affect, financial reporting.
What to watch
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Higher variable-rate interest exposure
Variable-rate borrowings create meaningful interest-rate exposure: a 1% increase in rates would raise annualized interest expense by approximately $6.5 million, up from approximately $6.0 million based on October 3, 2025 borrowings.
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Material foreign-exchange exposure
A 10% depreciation in major currencies against the U.S. dollar as of October 2, 2026 would reduce equity by approximately $218 million. Although this is lower than the prior-year $240 million sensitivity, the exposure remains material.
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High non-U.S. operating exposure
Approximately 78% of nine-month sales were generated outside the United States, while the company also has contractual obligations in U.S. dollars funded by cash flows in multiple currencies, creating ongoing translation and transaction risk.
Management's outlook
The supplied 10-Q text does not provide quantitative revenue or EPS guidance. The prior 8-K contained the outlook; those figures are not treated as 10-Q guidance.
Earlier filings 4
10-K · February 20, 2026
ESAB reported full-year 2025 revenue of $2.8426 billion, up 3.7% year-over-year, with Adjusted EBITDA of $559.7 million and Core adjusted EBITDA margin of 20.0%. Revenue growth was driven by EMEA & APAC (net sales up…
10-Q · October 29, 2025
ESAB reported Q3 net sales of $727,845 (thousands), up from $673,250 in the year-ago quarter, driven by consumables and equipment sales and 2025 acquisitions. Gross profit rose to $269,300 but margins compressed (gross…
10-Q · August 6, 2025
ESAB reported Q2 net sales of $715,586,000 (up from $707,053,000 in Q2 2024) and GAAP diluted EPS of $1.09. Margins compressed year-over-year: gross margin fell to 37.2% and operating margin to 15.3%, driving net income…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.