23 unchanged sentences
We expanded our product offerings and geographic footprint with the acquisitions of Hague Quality Water International (Hague) in 2017, Water-Right, Inc.
−Removed: (Water-Right) in 2019, Master Water Conditioning Corporation (Master Water) in 2021, Atlantic Filter Corporation (Atlantic Filter) in 2022 and Water Tec of Tucson, Inc (Water Tec) in 2023.
+Added: (Water-Right) in 2019, Master Water Conditioning Corporation (Master Water) in 2021, Atlantic Filter Corporation (Atlantic Filter) in 2022, Water Tec of Tucson, Inc (Water Tec) in 2023 and Impact Water Products (Impact) in 2024.
Our water treatment products range from point-of-entry water softeners, solutions for problem well water, whole-home water filtration products and point-of-use carbon and reverse osmosis products.
We also offer a comprehensive line of commercial water treatment and filtration products.
−Removed: Typical applications for our water treatment products include residences, restaurants, hotels and offices.
+Added: Typical applications for our water treatment products include residences, restaurants, schools and offices.
In our North America segment, we also manufacture expansion tanks, commercial solar water heating systems, swimming pool and spa heaters, related products and parts.
1 unchanged sentence
We believe we are the largest manufacturer and marketer of water heaters in North America with a leading share in both the residential and commercial portions of the market.
−Removed: We expanded our presence in North America with our acquisition of Giant Factories, Inc., (Giant) a Canada-based manufacturer of residential and commercial water heaters, which we acquired in late 2021.
−Removed: In the commercial portions of the market for both water heating and space heating, we believe our comprehensive product lines and our high-efficiency products give us a competitive advantage.
+Added: We expanded our presence in North America with our acquisition of Giant Factories, Inc.
+Added: (Giant), a Canada-based manufacturer of residential and commercial water heaters, which we acquired in late 2021.
+Added: In the commercial segments of the market for both water heating and space heating, we believe our comprehensive product lines and our high-efficiency products give us a competitive advantage.
Our wholesale distribution channel, where we sell our products primarily under the A.
−Removed: Smith and State brands, includes more than 900 independent wholesale plumbing distributors serving residential and commercial end markets.
+Added: Smith and State brands, includes approximately 900 independent wholesale plumbing distributors serving residential and commercial end markets.
We also sell our residential water heaters through the retail and maintenance, repair and operations (MRO) channels.
1 unchanged sentence
Smith branded products.
−Removed: Our Lochinvar brand is one of the leading residential and commercial boiler brands in the U.S.
+Added: Our Lochinvar brand is one of the leading residential and commercial boiler brands in North America.
Approximately 45 percent of Lochinvar branded sales consist of residential and commercial water heaters while the remaining 55 percent of Lochinvar branded sales consist primarily of boilers and related parts.
Our commercial boiler distribution channel is primarily comprised of manufacturer representative firms with the remainder of our Lochinvar branded products being distributed through wholesale channels.
+Added: In our water treatment business we sell through a variety of channels.
We sell our A.
−Removed: Smith branded water treatment products through Lowe's and Amazon.
+Added: Smith branded water treatment products primarily through our water quality, dealer network and Amazon.
Our Aquasana branded products are primarily sold directly to consumers through e-commerce channels.
−Removed: Our water softener products and problem well water solutions, which include the Hague, Water-Right, Master Water, Atlantic Filter, and Water Tec brands are sold through water quality dealers and contractors.
+Added: Our water softener products and problem well water solutions, which
+Added: include the Hague, Water-Right, Master Water, Atlantic Filter, Impact, and Water Tec brands, are sold through water quality dealers and contractors.
Our water softener products are also sold through home center retail chains.
10 unchanged sentences
REST OF WORLD
−Removed: Sales in our Rest of World segment accounted for approximately 25 percent of our total sales in 2023, a majority of which was in China.
+Added: Sales in our Rest of World segment accounted for approximately 23 percent of our total sales in 2024, a majority of which were in China.
We have operated in China for nearly 30 years.
1 unchanged sentence
Smith brand recognition in the residential and commercial markets.
−Removed: We manufacture and market residential water heater and water treatment products, primarily incorporating reverse osmosis technology, and commercial water treatment products.
+Added: We manufacture and market residential water heater and water treatment products, primarily incorporating reverse osmosis technology, and commercial dispensing water treatment products.
The Chinese water heater market is predominantly comprised of electric wall-hung, gas tankless, combi-boiler, heat pump and solar water heaters.
We believe we are one of the market leaders of water heaters and reverse osmosis water treatment products to the residential market in China in dollar terms.
−Removed: We also design and market kitchen products (range hoods, cooktops, steam ovens, and dishwashers) in China.
+Added: We also design and market kitchen products (range hoods, cooktops, steam ovens, and dishwashers) and connected product technology in China.
We sell our products in approximately 9,400 points of sale in China, of which approximately 4,400 are retail outlets in tier one through tier three cities and approximately 1,600 exclusively sell our products.
We also sell our products through e-commerce channels.
−Removed: Our primary competitors in China in the water heater market segment are Haier, Midea, and Rinnai.
−Removed: Our principal competitors in the water treatment market are Angel, Midea, Truliva, and Xiaomi.
+Added: Our primary competitors in China in the water heater market segment are Haier/Casarte, Midea/COLMO, and Rinnai.
+Added: Our principal competitors in the water treatment market are Angel, Haier/Casarte, Midea/COLMO, Truliva, and Xiaomi.
In 2008, we established a sales office in India and began importing products specifically designed for India.
We began manufacturing water heaters in India in 2010 and water treatment products in 2015.
−Removed: We continue to expand our product offerings and sales in this country, primarily through wholesale, e-commerce and retail channels.
−Removed: Our primary competitors in India are Racold, Bajaj and Havells in the water heater market and Eureka Forbes, Kent and Hindustan Unilever in the water treatment market.
−Removed: We also sell water heaters in the European and Middle and Far Eastern markets and water treatment products in Vietnam, all of which combined comprised less than 13 percent of total Rest of World sales in 2023.
+Added: In 2024, we expanded our product offerings and geographic footprint with the acquisition of Pureit, a Unilever PLC business.
+Added: Pureit offers a broad range of residential water purification solutions in India and other South Asian markets.
+Added: We continue to increase our product offerings and sales in this country, primarily through wholesale, e-commerce and retail channels.
+Added: Our primary competitors in India are Racold, Bajaj and Havells in the water heater market and Eureka Forbes and Kent in the water treatment market.
+Added: We also sell water heaters in the European, Middle East, and Far East markets and water treatment products in Vietnam, all of which combined comprised less than 14 percent of total Rest of World sales in 2024.
RAW MATERIALS
2 unchanged sentences
There has been volatility in steel costs over the last several years.
+Added: In addition tariffs could potentially increase volatility in steel and other input materials.
RESEARCH AND DEVELOPMENT
4 unchanged sentences
We monitor our intellectual property for infringements.
−Removed: Although we believe our trademarks, trade names, patents, trade secrets, and licenses to constitute a valuable asset in the aggregate, we do not regard our business as being materially dependent on any single trademark, trade name, patent, trade secret, license or any group of related such rights.
+Added: Although we believe our trademarks, trade names, patents, trade secrets, and licenses to constitute a valuable asset in the aggregate, we do not regard our business as being materially dependent on any
+Added: single trademark, trade name, patent, trade secret, license or any group of related such rights.
Our trade name is important with respect to our products, particularly in China, India, and North America.
8 unchanged sentences
We believe that our Guiding Principles and Values shape the critical elements of our effort to attract, retain and develop talent.
+Added: In 2024, we were named by Ethisphere on the list of the World’s Most Ethical Companies.
+Added: The annual list recognizes global companies dedicated to integrity, sustainability, governance, and community with a commitment to ethical behavior, accountability, and driving positive change.
Culture and Employee Engagement.
4 unchanged sentences
Diversity and Inclusion.
−Removed: As reflected in our Guiding Principles, we strive to create a workplace where people from diverse backgrounds can thrive and achieve their fullest potential.
−Removed: Smith’s commitment to this objective starts at the top with its Board of Directors, which is 44 percent diverse.
−Removed: Smith monitors the gender and racial composition of its workforce in the U.S.
−Removed: at various levels within the organization, and also tracks pay equity on an ongoing basis.
+Added: As reflected in our Guiding Principles, we strive to create a workplace where people from all backgrounds can thrive and achieve their fullest potential.
+Added: Our commitment to this objective starts at the top with our Board of Directors, which is 40 percent diverse from either a gender or ethnic/racial perspective.
Compensation and Benefits.
6 unchanged sentences
Some of the formal development programs that employees have access to include early-career leadership development programs, front-line leadership development programs, continuous improvement skill-building programs, core process technology councils and tuition reimbursement for degree programs or trade schools.
−Removed: To encourage additional career development, in 2023, all our salaried employees worldwide had at least one career conversation with their manager.
+Added: To maintain our focus on career development all our salaried employees worldwide are required to have career conversations with their manager.
Globally, all office and professional employees also have formal performance reviews and development plans with a focus on learning by doing.
15 unchanged sentences
We offer a complete line of water and hydronic heating products, including electric-powered water heaters and boilers, and we believe that any reduction in fossil fuel-powered products would be counterbalanced by a corresponding increase in demand for our non-fossil fuel powered products.
−Removed: We are confident that our continued emphasis on product design and innovation will keep us well positioned to deliver products demanded by customers, regardless of fuel source.
+Added: We are confident that our continued emphasis on product design and innovation, including energy efficiency, will keep us well positioned to deliver products demanded by customers, regardless of fuel source.
In addition, our operations are subject to federal, state and local environmental laws.
17 unchanged sentences
This commitment has driven us to design, engineer and manufacture highly innovative and efficient products in an environmentally responsible manner that helps reduce energy consumption, conserve water and improve drinking water quality and public health.
−Removed: Consistent with this commitment, we issue our sustainability report biennially detailing our company’s historic and current efforts.
−Removed: We issued our third report, the 2022 Environmental, Social and Governance ("ESG") Report in December 2022, documenting our ESG activities over the past two years.
−Removed: This report details the positive impact of our highly efficient products, highlights our company’s commitment to employees and the communities in which we operate, and reports on our progress toward our greenhouse gas emissions reduction goal of 10 percent by 2025.
−Removed: We have made significant progress toward our ESG emission reduction goal and prevented almost 500,000 metric tons of carbon emissions in 2021 through the sale of our high efficiency water heaters and boilers.
−Removed: Our scorecard reflecting our progress is available on our website.
+Added: Consistent with this commitment, we issued our sustainability report biennially detailing our company’s historical and current efforts.
+Added: We issued our fourth report, the 2024 sustainability report, in November 2024, documenting our environmental, social, and governance (ESG) activities over the past two years.
+Added: This report details the positive impact of our highly efficient products, highlights our company’s commitment to employees and the communities in which we operate, reports on our progress toward our greenhouse gas emissions intensity reduction goal of 10 percent by 2025 (2019 baseline) and announced a new water goal to achieve an annual water savings of 40 million gallons by 2030 (2023 baseline).
+Added: We have made significant progress toward our emission reduction goal and prevented over 560,000 metric tons of carbon emissions in 2023 through the sale of our high efficiency water heaters and boilers.
+Added: Our ESG Scorecard (scorecard) reflecting our progress is available on our website.
Our scorecard also provides information on our employee diversity, product stewardship, and recordable incident rate, among other items.
−Removed: We have also achieved WAVE water stewardship verification and achieved our fourth consecutive Energy Star Partner of the Year Award.
−Removed: Our ESG report and ESG scorecard are available on our website and not included as part of, or incorporated by reference into, this Annual Report on Form 10-K.
+Added: Our Sustainability Report and scorecard are available on our website and not included as part of, or incorporated by reference into, this Annual Report on Form 10-K.
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.