2 unchanged sentences
We are a leading distributor and solutions provider of industrial motion, power, control, and automation technologies.
−Removed: Through our comprehensive network of approximately 6,100 employee associates and 568 facilities including service center, fluid power, flow control, and automation operations, as well as repair shops and distribution centers, we offer a selection of more than 8.5 million stock keeping units with a focus on industrial bearings, power transmission products, fluid power components and systems, specialty flow control, and advanced factory automation solutions.
+Added: Through our comprehensive network of approximately 6,200 employee associates and approximately 580 facilities including service center, fluid power, flow control, and automation operations, as well as repair shops and distribution centers, we offer a selection of more than 8.8 million stock keeping units with a focus on industrial bearings, power transmission products, fluid power components and systems, specialty flow control, and advanced factory automation solutions.
We market our products with a set of service solutions including inventory management, engineering, design, assembly, repair, and systems integration, as well as customized mechanical, fabricated rubber, and shop services.
27 unchanged sentences
In addition, our fluid power, flow control, and automation operations design, engineer, and
−Removed: integrate solutions focused on making a customer’s operations and equipment more productive, cost-efficient, and automated.
+Added: integrate solutions focused on making a customer’s operations and equipment more productive, cost and energy-efficient, and automated.
We believe our products and solutions are increasingly critical within the industrial supply chain given increased manufacturing activity in the U.S., potential reshoring or localization of supply chains across North America, greater supply chain investments following the pandemic, an aging and tighter customer labor force, more sophisticated production equipment and processes, a greater focus on plant floor optimization, and compliance and regulatory requirements.
1 unchanged sentence
We primarily compete within North America which we believe offers significant growth potential given our industry position, established distribution and sales network, market fragmentation, and customer technical requirements, as well as opportunities tied to automation and smart technologies.
+Added: In addition, reshoring and localization of supply chains could be a meaningful growth catalyst in years to come.
Growth within our industry is influenced by broader industrial production and capacity utilization, as well as inflation, labor dynamics, capital spending, geopolitical events, factory optimization initiatives, changes in industrial equipment technologies, and supply chain requirements.
4 unchanged sentences
STRATEGIC GROWTH AND OPERATIONAL OPPORTUNITIES
−Removed: • Capture market share across our core service center network .
+Added: • Optimize operations and capture market share across our core service center network .
Our network of service centers located close to industrial companies allows us to respond quickly and effectively to critical MRO situations involving direct production infrastructure and industrial equipment.
7 unchanged sentences
We see opportunities to leverage these advantages across new and underserved geographies, as well as through new commercial solutions that could drive a greater share gain of this market opportunity in coming years.
−Removed: • Leverage technical industry position in developing growth around emerging industrial technologies .
+Added: • Expand automation platform and develop growth around emerging industrial technologies .
We are expanding our position and capabilities focused on advanced factory automation and smart technologies that optimize and connect customers’ industrial supply chains.
4 unchanged sentences
We believe this market potential could be meaningful as technology continues to converge within traditional industrial supply chains and end-markets.
−Removed: • Execute ongoing operational initiatives supporting margin profile .
+Added: • Execute ongoing operational initiatives supporting margin expansion .
We have a number of initiatives focused on driving operational improvements throughout the organization.
−Removed: Systems investments in recent years including common ERP platforms are supporting opportunities in leveraging shared services, refining our
−Removed: sales management process, and standardizing pricing and sourcing functions, while we continue to optimize our shop and distribution network and analytics.
+Added: Systems investments in recent
+Added: years including common ERP platforms are supporting opportunities in leveraging shared services, refining our sales management process, and standardizing pricing and sourcing functions, while we continue to optimize our shop and distribution network and analytics.
We also remain focused on achieving margin synergies across our operations following expansion into flow control and automation.
7 unchanged sentences
Over the near to intermediate-term, our acquisition priorities are focused on continuing to expand our current offerings, while further enhancing our technical differentiation and value-added service capabilities.
−Removed: Our distribution and sales network consists of approximately 446 locations in our Service Center Distribution segment and 122 locations in our Fluid Power & Flow Control segment.
+Added: Our distribution and sales network consists of approximately 450 locations in our Service Center Distribution segment and approximately 130 locations in our Engineered Solutions segment.
This includes service centers, distribution centers, and facilities tied to our fluid power, flow control, and automation operations.
19 unchanged sentences
The suppliers generally do not sell maintenance and repair products directly to the customer, but instead refer the customer to us or another distributor.
−Removed: We purchase from thousands of product manufacturers and resell the products to thousands of customers in a wide variety of industries, including agriculture and food processing, cement, chemicals and petrochemicals, fabricated metals, forest products, industrial machinery and equipment, life sciences, mining, oil and gas, primary metals,
−Removed: technology, transportation, and utilities, as well as to government entities.
+Added: We purchase from thousands of product manufacturers and resell the products to thousands of customers in a wide variety of industries, including agriculture and food processing, cement, chemicals and petrochemicals, fabricated
+Added: metals, forest products, industrial machinery and equipment, life sciences, mining, oil and gas, primary metals, technology, transportation, and utilities, as well as to government entities.
Customers range from very large businesses, with which we may have multiple-location relationships, to very small ones.
3 unchanged sentences
We believe knowledge and service capabilities relating to our core product offering are increasingly needed across our customer base given skilled labor constraints within their operations, maintenance requirements, and more sophisticated plant equipment and processes.
−Removed: Our services and solutions help customers minimize production downtime, improve machine performance, and reduce overall procurement and maintenance costs.
+Added: Our services and solutions help customers minimize production downtime, improve machine performance, expand their engineering capabilities, and reduce overall procurement and maintenance costs.
By providing high levels of service, product and industry expertise, and technical support, while at the same time offering product breadth and competitive pricing, we believe we develop stronger, longer-lasting, and more profitable customer relationships.
2 unchanged sentences
We report results of operations in two segments:
−Removed: 1) Service Center Based Distribution, and 2) Fluid Power & Flow Control.
−Removed: In fiscal 2022, our Service Center Based Distribution segment represented 67% of our total sales, while our Fluid Power & Flow Control segment represented 33% of our total sales.
+Added: 1) Service Center Based Distribution, and 2) Engineered Solutions.
+Added: In fiscal 2023, our Service Center Based Distribution segment represented 67% of our total sales, while our Engineered Solutions segment represented 33% of our total sales.
Service Center Based Distribution .
10 unchanged sentences
The segment includes operations focused on certain end markets and indirect consumable supplies through vendor managed inventory solutions, as well as regional fabricated rubber shops and service field crews, which install, modify, and repair conveyor belts and rubber linings, and make hose assemblies in accordance with customer requirements.
−Removed: Fluid Power & Flow Control .
−Removed: Our Fluid Power & Flow Control segment includes our operations that specialize in distributing, engineering, designing, integrating, and repairing hydraulic and pneumatic fluid power technologies, and engineered flow control products and services.
+Added: Engineered Solutions .
+Added: Our Engineered Solutions segment includes our operations that specialize in distributing, engineering, designing, integrating, and repairing hydraulic and pneumatic fluid power technologies, and engineered flow control products and services.
We believe we are the largest distributor and solutions provider of fluid power and industrial flow control products and solutions in the U.S.
2 unchanged sentences
Fluid power products include hydraulic and pneumatic technologies using liquids and gases to transmit power, typically in smaller spaces than other forms of power transmission.
−Removed: Hydraulic products offer high power to weight ratios, high torque at low speeds, and power reliability, while pneumatic products are focused on lightweight applications in need of speed and precision.
−Removed: Our fluid power products and solutions are commonly used for off-highway equipment, heavy industrial equipment and machines at factories, marine and offshore equipment,
−Removed: factory automation, food processing equipment, packaging operations, and downstream energy process systems.
−Removed: Operations are supported by a team of certified fluid power specialists, mechanics, technicians, and engineers that provide technical services ranging from system design and integration, electronic control integration, hydraulic assemblies, repair and rebuild, manifold design and assembly, customized filtration solutions, software programming and repair, and hydraulic system retrofits.
+Added: Hydraulic products offer high power to weight ratios, high torque at low speeds, and power reliability, while pneumatic products are focused on
+Added: lightweight applications in need of speed and precision.
+Added: Our fluid power products and solutions are commonly used for off-highway equipment, heavy industrial equipment and machines at factories, marine and offshore equipment, factory automation, food processing equipment, packaging operations, and downstream energy process systems.
+Added: Operations are supported by a team of certified fluid power specialists, mechanics, technicians, and engineers that provide technical services ranging from system design and integration, electronic control integration, hydraulic assemblies, repair and rebuild, manifold design and assembly, customized filtration solutions, software programming and repair, and hydraulic system retrofits, and integration of autonomous and electrification features.
Our specialty flow control operations provide highly engineered process flow control products, solutions, and services.
3 unchanged sentences
Similar to our fluid power operations, our flow control offering includes technical service capabilities such as flow control systems integration, repair services, valve actuation, process instrumentation, pipe and hose fabrication, and compliance consulting.
+Added: Our flow control solutions are increasingly used in applications tied to required infrastructure for decarbonization initiatives, including providing technical support for the configuration, assembly, and testing of process systems.
Our advanced automation operations provide solutions focused on the design, assembly, integration, and distribution of machine vision, collaborative robots, mobile robots, RFID, industrial networking, and machine learning technologies for OEMs, machine builders, integrators, and other industrial and technology end users.
−Removed: Products and solutions are marketed across a variety of industries including technology, medical, life sciences, logistics, consumer, and general industrial.
+Added: Products and solutions are marketed across a variety of industries including technology, medical, life sciences, biotechnology, data centers, food and beverage, logistics, consumer, and general industrial.
Our automation business helps customers develop, produce, and integrate machine and facility automation solutions using comprehensive technology and application knowledge.
5 unchanged sentences
4,800 Service Center Based Distribution
−Removed: 700 Fluid Power & Flow Control
+Added: 650 Engineered Solutions
Other Countries
2 unchanged sentences
Applied’s commitment to associate development is reflected in our investments in a learning management system (offering a wide array of internal facilitated training courses, supplier product training, and other third-party courses), a modern social learning platform, and in-person training through which associates can continually expand their knowledge base and position themselves to achieve their professional goals.
+Added: During the fiscal year we implemented manager training on the importance of identifying and providing resources for associate mental health needs.
+Added: Approximately 55% of eligible managers have completed this training as of the end of the fiscal year.
Compensation and Benefits .
11 unchanged sentences
We are committed to a diverse and inclusive workplace that is respectful to all associates and believe this serves as a cornerstone for a strong company.
−Removed: We employ multiple initiatives to recruit, train, and advance diverse associates.
−Removed: In the area of recruitment, for example, we engage in on-campus events and targeted recruitment strategies, including networking with diverse professional groups, that increase our exposure to diverse populations in order to promote enhanced diversity in our hiring.
+Added: We employ multiple initiatives to recruit, train, and
+Added: advance diverse associates.
+Added: In the area of recruitment, for example, we engage in on-campus events and recruitment strategies that increase our exposure to diverse populations in order to enhance the diversity of our applicant pool.
Health and Safety .
Applied is also committed to the safety and well-being of our associates.
−Removed: In the U.S., all associates are required to complete specific assigned online training courses annually, which include offerings on
−Removed: workplace safety hazards and vehicle safety.
+Added: In the U.S., all associates are required to complete specific assigned online training courses annually, which include offerings on workplace safety hazards and vehicle safety.
In addition, role-specific training is assigned based on the types of hazards associates may face while carrying out their job function, such as training modules on operating in confined spaces, forklift operation, and lockout/tagout procedures.
−Removed: associates complete over 10,000 such safety training courses annually, helping to raise awareness of workplace risks.
−Removed: From the onset of the COVID-19 pandemic, we focused on protecting our associates’ health and safety, while ensuring our continued capability to serve our customers.
−Removed: As a provider of critical parts, services, and solutions to essential industries, Applied remained open for business.
−Removed: We implemented significant changes to ensure a safe operating environment for our associates and to protect our customers and communities, including remote work as feasible, social distancing protocols, heightened sanitation procedures, and masking policies.
+Added: associates completed over 35,000 safety training courses during the fiscal year, helping to raise awareness of workplace risks.
Our business has exhibited minor seasonality.
9 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.