Headquartered in Milwaukee, WI, Rexnord Corporation engages in designing, manufacturing, and selling of process and motion control, and water management products across the globe. It primarily operates in the United States, Canada and Europe. The company was incorporated in 2006 and had approximately 6,900 employees exiting the quarter ended March 2021.
It is worth mentioning here that the company switched to a December-ending reporting period in 2020. Earlier, its reporting period ended March every year. This step has been taken to help investors better evaluate its operating and financial performance compared with most of its peers.
The company operates through two business segments: Process and Motion Control, and Water Management. A brief discussion of the company's segments is provided below:
Process and Motion Control (61% of net sales in first-quarter 2021): This segment deals in mechanical components used in complex systems, primarily in end markets like mining, general industrial applications, cement, agriculture, forest and wood products, petrochemical, energy, food and beverage, and aerospace and wind energy.
The product portfolio includes gears, couplings, industrial bearings, aerospace bearings and mechanical seals, among others. Globally recognized brands are Rexnord, Rex, Falk, Addax, Euroflex, Link-Belt, FlatTop, Omega, Cambridge, Highfield, Tollok, Shafer, Stearns and others.
In February 2021, Rexnord signed an agreement to spin off its Process & Motion Control segment and simultaneously merge it with Regal Beloit in a Reverse Morris Trust transaction. The deal is expected to be completed in the fourth quarter of 2021.
Water Management (39% of net sales in first-quarter 2021): This segment deals in products that facilitate the enhancement of water quality, safety, flow control and conservation. Prime end markets served include infrastructure construction, commercial construction and to some extent, residential construction markets.
The product portfolio includes drainage products, flush valves, faucet products, engineered valves, and gates and PEX piping. Globally-recognized brands are Zurn, Wilkins, World Dryer and Green Turtle.