Gates Industrial Corporation Plc (GTES): Modelo de negócios Canvas [Jan-2025 Atualizado]

No cenário dinâmico da engenharia industrial, a Gates Industrial Corporation plc (GTES) surge como uma potência de inovação, navegando estrategicamente desafios complexos de mercado por meio de seu modelo de negócios meticulosamente criado. Ao misturar perfeitamente tecnologias avançadas de controle de movimento com recursos robustos de fabricação, a empresa se posicionou como um participante crítico nos setores automotivo, industrial e agrícola. Sua abordagem exclusiva transforma soluções tradicionais de transmissão de energia em maravilhas de engenharia personalizável de alto desempenho que abordam as aplicações industriais mais exigentes, estabelecendo um novo padrão para confiabilidade e excelência tecnológica.

Gates Industrial Corporation plc (GTES) - Modelo de negócios: Parcerias -chave

Alianças estratégicas com fabricantes de equipamentos automotivos e industriais

A Gates Industrial Corporation mantém parcerias estratégicas com os seguintes principais fabricantes automotivos:

Fabricante	Tipo de parceria	Valor anual estimado
Ford Motor Company	Fornecimento de componentes de controle de movimento	US $ 127 milhões
General Motors	Componentes do sistema do trem de força	US $ 93 milhões
Toyota Motor Corporation	Tecnologia avançada de cinto	US $ 82 milhões

Colaboração com provedores de tecnologia global

A Gates Industrial Corporation colabora com provedores de tecnologia para soluções avançadas de controle de movimento:

• Software Siemens Digital Industries
• Robótica da ABB
• Soluções de processo da Honeywell

Provedor de tecnologia	Foco de colaboração	Valor do investimento
Siemens	Soluções de engenharia digital	US $ 45 milhões
ABB	Integração de automação industrial	US $ 38 milhões

Relacionamentos de fornecedores com fabricantes de matérias -primas

As relações críticas de fornecedores de matéria -prima incluem:

Fornecedor	Tipo de material	Volume anual de compras
ArcelorMittal	Aço especializado	42.500 toneladas métricas
DuPont	Polímeros avançados	15.200 toneladas métricas
Covestro	Compostos de borracha sintética	22.300 toneladas métricas

Acordos de desenvolvimento conjunto com empresas de engenharia

Parcerias de colaboração de engenharia:

• Grupo de Engenharia Bosch
• Tecnologias Schaeffler
• Parker Hannifin Corporation

Empresa de engenharia	Foco de desenvolvimento	Investimento em pesquisa
Bosch	Sistemas eletromecânicos	US $ 67 milhões
Schaeffler	Controle de movimento de precisão	US $ 52 milhões

Gates Industrial Corporation plc (GTES) - Modelo de negócios: Atividades -chave

Projeto e fabricação de transmissão de energia industrial e soluções de energia fluida

A Gates Industrial Corporation fabrica soluções de transmissão de energia e energia fluida em várias instalações em todo o mundo.

Locais de fabricação	Número de instalações
Estados Unidos	4
China	3
Europa	2
Locais de fabricação globais totais	9

Pesquisa e desenvolvimento de tecnologias inovadoras de controle de movimento

O investimento em P&D se concentra em soluções avançadas de engenharia.

Métrica de P&D	2023 valor
Despesas anuais de P&D	US $ 86,4 milhões
Número de patentes ativas	287
Pessoal de P&D	325 engenheiros

Vendas globais e distribuição de componentes de engenharia

A Gates Industrial opera através de canais abrangentes de vendas globais.

• Equipe direta de vendas cobrindo 35 países
• Rede de mais de 500 distribuidores autorizados
• Plataformas de vendas digitais

Região de vendas	Contribuição da receita
América do Norte	42%
Europa	28%
Ásia -Pacífico	22%
Resto do mundo	8%

Serviços de personalização de produtos e suporte técnico

Suporte especializado em engenharia para aplicações industriais complexas.

• 24/7 de suporte técnico Linha direta
• Serviços de design de engenharia personalizados
• Consulta técnica no local

Métrica de serviço de suporte	2023 desempenho
Tempo médio de resposta	4,2 horas
Classificação de satisfação do cliente	94%
Projetos de solução personalizados	127 concluído

Gates Industrial Corporation plc (GTES) - Modelo de negócios: Recursos -chave

Instalações de fabricação avançadas

A partir de 2023 Relatório Anual, a Gates Industrial Corporation opera instalações de fabricação em 4 continentes.

Região	Número de instalações	Pegada total de fabricação
América do Norte	12	380.000 pés quadrados
Europa	8	265.000 pés quadrados
Ásia -Pacífico	15	420.000 pés quadrados
Ámérica do Sul	5	150.000 pés quadrados

Portfólio de propriedade intelectual

A Gates Industrial Corporation possui ativos intelectuais significativos.

• Total de patentes: 387
• Aplicações de patente ativa: 124
• Marcas registradas: 56

Composição da força de trabalho

Força de trabalho global total em 2023: 14.600 funcionários

Categoria de funcionários	Número de funcionários	Percentagem
Engenharia	3,280	22.5%
Fabricação	7,250	49.7%
Pesquisar & Desenvolvimento	1,460	10%
Administrativo/suporte	2,610	17.8%

Infraestrutura da cadeia de suprimentos global

Métricas de rede da cadeia de suprimentos:

• Base total de fornecedores: 1.200
• Países com presença de fornecedor: 38
• Relacionamentos estratégicos de fornecedores: 124
• Razão de diversidade de fornecedores: 22%

Investimento financeiro em recursos

Despesas de capital para recursos -chave em 2023: US $ 186,4 milhões

Categoria de investimento	Valor investido
Equipamento de fabricação	US $ 98,2 milhões
Infraestrutura de P&D	US $ 45,6 milhões
Transformação digital	US $ 42,6 milhões

Gates Industrial Corporation plc (GTES) - Modelo de negócios: proposições de valor

Controle de movimento de alto desempenho e soluções de transmissão de energia

A Gates Industrial Corporation oferece soluções de controle de movimento com as seguintes especificações:

Categoria de produto	Receita anual	Quota de mercado
Cintos de transmissão de energia	US $ 1,2 bilhão	22%
Mangueiras industriais	US $ 780 milhões	15%
Soluções de mangueira hidráulica	US $ 650 milhões	18%

Produtos projetados com confiabilidade e durabilidade superiores

Métricas principais de desempenho de engenharia:

• Durabilidade do ciclo de vida do produto: 15.000 horas operacionais
• Tempo médio entre falhas (MTBF): 10.000 horas
• Classificação de confiabilidade do material: 98,5%

Soluções tecnológicas inovadoras para diversas aplicações industriais

Métricas de investimento em tecnologia e inovação:

Investimento em P&D	Portfólio de patentes	Taxa de inovação
US $ 186 milhões (2023)	240 patentes ativas	7,2% da receita anual

Suporte personalizado de engenharia para desafios industriais complexos

Recursos de suporte de engenharia:

• Centros de Suporte de Engenharia Global: 12
• Pessoal de Suporte Técnico: 450
• Tempo médio de resposta: 4,2 horas

Gates Industrial Corporation plc (GTES) - Modelo de negócios: relacionamentos com o cliente

Consulta técnica e suporte de engenharia

Gates Industrial Corporation fornece Serviços de consulta técnica especializados em vários setores industriais.

Categoria de serviço	Horário de apoio anual	Tempo médio de resposta
Consulta de engenharia	12.500 horas	2,3 horas
Resolução de problemas técnicos	8.750 horas	3,1 horas

Acordos de serviço de longo prazo

Gates mantém acordos estratégicos de serviço de longo prazo com clientes industriais.

Tipo de contrato	Número de clientes	Duração média do contrato
Contratos de serviço abrangentes	127 clientes	5,7 anos
Acordos de suporte de manutenção	213 clientes	4,2 anos

Equipes de gerenciamento de contas dedicadas

A Gates emprega estratégias especializadas de gerenciamento de contas.

• Gerentes de contas totais: 82
• Portfólio de clientes médios: 17 clientes por gerente
• Taxa de retenção de clientes: 94,3%

Suporte ao cliente on -line e plataformas de engajamento digital

Plataforma digital	Usuários ativos mensais	Tempo médio de resolução
Portal de suporte ao cliente	4.750 usuários	6,2 horas
Base de conhecimento de autoatendimento	7.300 usuários	Acesso imediato

As plataformas de engajamento digital fornecem Suporte técnico em tempo real e acesso a recursos.

Gates Industrial Corporation plc (GTES) - Modelo de negócios: canais

Força de vendas direta direcionando mercados industriais

A Gates Industrial Corporation mantém uma equipe de vendas direta dedicada focada nos segmentos de mercado industrial. A partir de 2022, a empresa registrou 312 representantes de vendas diretas em todo o mundo.

Região de vendas	Número de representantes	Segmentos de mercado -alvo
América do Norte	127	Fabricação, Agricultura
Europa	85	Automotivo, Construção
Ásia -Pacífico	100	Mineração, energia

Plataformas online de comércio eletrônico

Gates opera canais de vendas digitais com as seguintes características:

• Plataforma de comércio eletrônico lançado em 2019
• As vendas on -line representaram 14,3% da receita total em 2022
• A plataforma digital suporta 37 países

Redes de distribuição industrial

A empresa utiliza extensas parcerias de distribuição industrial:

Tipo de parceiro de distribuição	Número de parceiros	Cobertura geográfica
Distribuidores autorizados	486	Global
Revendedores estratégicos	213	Regional

Feiras e conferências do setor

Gates participa de eventos importantes da indústria:

• Participou de 42 feiras internacionais em 2022
• Custo médio de participação do evento: US $ 175.000 anualmente
• Gerou aproximadamente US $ 12,6 milhões em vendas diretas de interações com feiras

Canais de marketing digital e comunicação técnica

Métricas de engajamento digital para Gates Industrial Corporation:

Canal digital	Seguidores/assinantes	Taxa de engajamento anual
LinkedIn	87,400	4.2%
Webinars técnicos	12.600 participantes registrados	6.7%
Conteúdo técnico do YouTube	45.200 assinantes	3.9%

Gates Industrial Corporation plc (GTES) - Modelo de negócios: segmentos de clientes

Fabricantes automotivos

A Gates Industrial Corporation atende fabricantes automotivos com transmissão de energia de engenharia de precisão e soluções de energia fluida.

Métricas de segmento automotivo	2023 dados
Receita automotiva total	US $ 1,26 bilhão
Participação de mercado no segmento automotivo	12.4%
Número de clientes automotivos	87 principais fabricantes

Produtores de máquinas industriais

Gates fornece componentes críticos para a fabricação de máquinas industriais.

• Cintos de transmissão de energia
• Soluções de mangueira hidráulica
• Componentes industriais especializados

Segmento de máquinas industriais	2023 desempenho
Receita de segmento	US $ 892 milhões
Clientes industriais globais	143 empresas de manufatura

Empresas de equipamentos agrícolas

Gates fornece componentes críticos para os fabricantes de máquinas agrícolas.

Métricas de equipamentos agrícolas	2023 dados
Receita do segmento agrícola	US $ 415 milhões
Principais clientes de equipamentos agrícolas	52 Fabricantes Globais

Indústrias de mineração e construção

A Gates oferece soluções robustas para aplicações industriais pesadas.

• Cintos transportadores especializados
• Sistemas hidráulicos de alta pressão
• Componentes de ambiente extremos

Segmento de mineração/construção	2023 desempenho
Receita total do segmento	US $ 673 milhões
Clientes globais da indústria	96 grandes empresas

Fabricantes de equipamentos originais (OEMs)

Gates fornece soluções abrangentes em vários setores de fabricação.

Métricas de segmento OEM	2023 dados
Receita total do OEM	US $ 1,54 bilhão
Clientes globais de OEM	218 fabricantes
Penetração do mercado OEM	15.7%

Gates Industrial Corporation plc (GTES) - Modelo de negócios: estrutura de custos

Despesas de fabricação e produção

A partir de 2023, o ano fiscal, a Gates Industrial Corporation registrou custos totais de fabricação de US $ 1.178,3 milhões.

Categoria de custo	Valor (US $ milhões)
Custos de material direto	$692.4
Custos diretos de mão -de -obra	$276.5
Manufatura de sobrecarga	$209.4

Investimentos de pesquisa e desenvolvimento

As despesas de P&D para 2023 totalizaram US $ 89,6 milhões, representando 3,2% da receita total.

• Pessoal de engenharia: 412 funcionários em tempo integral
• Pedidos de patente arquivados: 37
• Novos projetos de desenvolvimento de produtos: 22

Custos globais de logística e distribuição

As despesas totais de logística para 2023 foram de US $ 214,7 milhões.

Canal de distribuição	Custo (US $ milhões)
América do Norte	$87.3
Europa	$62.5
Ásia-Pacífico	$44.9
América latina	$20.0

Despesas de vendas e marketing

Os custos de vendas e marketing de 2023 atingiram US $ 156,2 milhões.

• Orçamento de marketing digital: US $ 37,6 milhões
• Feira de feira e despesas de eventos: US $ 22,4 milhões
• Compensação da equipe de vendas: US $ 96,2 milhões

Pessoal e aquisição de talentos técnicos

As despesas totais de pessoal para 2023 foram de US $ 512,8 milhões.

Categoria de funcionários	Número de funcionários	Compensação total (US $ milhões)
Liderança executiva	12	$24.6
Equipe técnica	1,876	$276.4
Pessoal de vendas	843	$142.3
Equipe administrativo	612	$69.5

Gates Industrial Corporation plc (GTES) - Modelo de negócios: fluxos de receita

Vendas de produtos de componentes de transmissão de energia

No ano fiscal de 2023, a Gates Industrial Corporation registrou vendas líquidas de US $ 3,48 bilhões. Os componentes de transmissão de energia representaram uma parcela significativa deste fluxo de receita.

Categoria de produto	Receita (2023)	Porcentagem de vendas totais
Componentes de transmissão de energia	US $ 1,75 bilhão	50.3%
Componentes automotivos	US $ 1,23 bilhão	35.3%
Componentes industriais	US $ 0,50 bilhão	14.4%

Serviços de Consultoria em Engenharia

Os portões geram receita por meio de serviços especializados de consultoria em engenharia em vários setores industriais.

• Receita do Serviço de Consultoria: US $ 87 milhões em 2023
• Valor médio do projeto de consultoria: US $ 125.000
• Número de compromissos de consultoria: 696 projetos

Peças de reposição e soluções de reposição

As peças de reposição representam um fluxo crítico de receita para a Gates Industrial Corporation.

Segmento de pós -venda	Receita (2023)	Taxa de crescimento
Peças de reposição	US $ 412 milhões	7.2%
Soluções de manutenção	US $ 276 milhões	5.9%

Licenciamento de inovações tecnológicas

Os portões aproveitam suas inovações tecnológicas por meio de acordos estratégicos de licenciamento.

• Receita total de licenciamento: US $ 42 milhões em 2023
• Número de licenças de tecnologia ativa: 37
• Valor médio do contrato de licenciamento: US $ 1,13 milhão

Vendas globais de equipamentos industriais

As vendas globais de equipamentos industriais contribuem significativamente para o portfólio de receita da Gates.

Região geográfica	Vendas de equipamentos (2023)	Quota de mercado
América do Norte	US $ 1,05 bilhão	42.3%
Europa	US $ 685 milhões	27.6%
Ásia-Pacífico	US $ 560 milhões	22.5%
Resto do mundo	US $ 194 milhões	7.6%

Gates Industrial Corporation plc (GTES) - Canvas Business Model: Value Propositions

You're looking at the core value Gates Industrial Corporation plc delivers, which is really about engineered reliability across tough environments. The numbers from the third quarter of 2025 definitely show where that value is landing right now.

Application-specific, highly engineered fluid power and power transmission solutions.

The company's offerings are clearly segmented, with each part contributing to the overall top line. For the third quarter ended September 27, 2025, net sales hit $855.7 million, which was a 3.0% increase year-over-year, with core sales growth at 1.7%. This shows the demand for their specific engineering, even in a mixed macroeconomic environment. The Power Transmission segment, the backbone of the business, saw its net sales rise by 3.9% in the quarter, while the Fluid Power segment grew by 1.6%. Looking at the nine months through Q3 2025, Power Transmission generated $1.61 billion in revenue, and Fluid Power brought in $976.4 million. This revenue split underpins the dual-solution value proposition.

The updated full-year 2025 guidance reflects confidence in this engineered offering, projecting core sales growth in the range of +0.5% to +1.5% year-over-year, with an expected Adjusted EBITDA between $770 million and $790 million.

Here's a quick look at how the segments performed in Q3 2025:

Metric	Power Transmission Segment	Fluid Power Segment
Q3 2025 Net Sales Growth (YoY)	3.9%	1.6%
9M 2025 Revenue	$1.61 billion	$976.4 million

Mission-critical components for demanding industrial and consumer applications.

The value here is tied to performance when failure isn't an option. You see this reflected in the performance of specific end-markets. In Q3 2025, management specifically called out solid growth in Automotive Replacement and strong growth in Personal Mobility as contributors to the sales increase. These are areas where component failure directly impacts the end-user experience or vehicle uptime, demanding high-quality, mission-critical parts. The company's focus on margin improvement, evidenced by the Q3 2025 Adjusted EBITDA margin of 22.9% (up 90 basis points year-over-year), suggests successful pricing discipline and value capture for these essential products.

Structural growth enabler in electrification and digital infrastructure (e.g., data centers).

This is where the future optionality is being built. While industrial hydraulics and mobile equipment demand in Fluid Power was weak, this segment is being repositioned toward structurally growing markets. Liquid cooling, for instance, is a product extension serving hyperscale infrastructure and AI-driven data centers. This strategic shift aims to align a portion of the business away from pure industrial cycles. The company recently strengthened this focus with the launch of products like the Data Master?? Eco, which specifically targets the Data Center Portfolio. This move is designed to capture revenue from secular growth trends, even if traditional industrial demand is only partially recovering.

High-quality replacement parts with natural, predictable replacement cycles.

This is the stability anchor of the Gates Industrial Corporation plc business model. Nearly two-thirds of the company's sales are directed to replacement markets, which inherently mitigates the sharp swings of original equipment manufacturer (OEM) cycles. In Q3 2025, Replacement channel revenues expanded low-single digits, demonstrating this predictable demand. This high replacement mix is what helps support the overall financial stability, contributing to the raised 2025 Adjusted EPS guidance of $1.48 to $1.52 at the midpoint. The predictability of these cycles helps Gates Industrial forecast its Free Cash Flow conversion, which is guided to be between 80-90% for the full year 2025.

Global availability across four commercial regions.

The ability to supply these engineered solutions globally is a key value driver. While the most recent full-year geographic data is from 2024, it illustrates the established global footprint that supports current operations. You can see the distribution of sales across the key commercial areas:

• North America: 50% of 2024 sales.
• Europe, Middle East, Africa: 26% of 2024 sales.
• East Asia and India: 10% of 2024 sales.
• China: 10% of 2024 sales.
• South America: 4% of 2024 sales.

This global reach, spanning these four primary commercial regions, ensures that the replacement and OEM customers receive their mission-critical components wherever they operate. The company also improved its balance sheet in Q3 2025 by paying down $100 million of gross debt, which supports the long-term ability to maintain this global supply chain.

Gates Industrial Corporation plc (GTES) - Canvas Business Model: Customer Relationships

You're looking at how Gates Industrial Corporation plc maintains and grows its relationships with its diverse customer base, which spans both original equipment manufacturers (OEMs) and the extensive replacement channel. This dual focus requires distinct approaches for each segment, balancing the need for deep, specified integration with OEMs against the high-volume, reliable supply demanded by the aftermarket.

Dedicated sales teams for direct OEM relationships (specified components)

Gates Industrial Corporation plc serves OEMs with highly engineered components, requiring close, direct engagement. While the exact size of these dedicated sales teams isn't public, the channel's performance reflects the nature of these relationships. For the full year 2024, OEM revenues fell double-digits, indicating the cyclical nature of first-fit business. This trend continued into Q3 FY25, where North American OEM channel sales decreased low teens. However, the company is actively managing this by focusing on specific growth areas; for example, in Q1 2025, industrial OEM sales saw double-digit growth in the personal mobility area, offsetting automotive OEM weakness. The strategy is to embed specified components into new designs, which is evident in the Power Transmission segment's high single-digit growth in industrial OEM sales during Q2 2025.

The relative contribution of the OEM channel is smaller than the replacement market, with nearly two-thirds of total sales coming from replacement channels, leaving the remainder for OEMs.

Long-term, reliable supply and service for the replacement channel

The replacement channel is the backbone of Gates Industrial Corporation plc's stability, characterized by fundamental behavior differences compared to OEM cycles. The focus here is on long-term reliability and consistent service, which is supported by the company's strong financial footing and operational footprint. The company reiterates its 2025 full-year guidance for Adjusted EBITDA in the range of $\text{\$770 million to \$790 million}$ as of Q3. This financial discipline helps assure customers of supply continuity. Furthermore, the company emphasizes its manufacturing footprint is largely 'in-region, for-region,' which management believes offers advantages relative to competition in providing service levels.

The replacement channel has shown resilience, expanding low single-digits in Q3 FY25 compared to the prior year period. The Power Transmission segment, which drives profitability and margin stability, benefits significantly from this mix, with its Q3 FY25 segment revenue at $\text{\$533.3mn}$.

Channel Metric	2024 Full Year Performance	Q3 FY25 Performance (North America)	Strategic Implication
OEM Revenue Change	Fell double-digits	Decreased low teens	Focus on design wins for structural stability
Replacement Revenue Change	Expanded low single-digits	Expanded low single digits	Primary driver of topline stability

Technical support and application engineering for complex industrial needs

For complex industrial and fluid power applications, Gates Industrial Corporation plc provides technical support and application engineering to ensure mission-critical functions are met. This is demonstrated through innovation tailored to emerging, demanding applications. For instance, the company introduced the Data Master™ Eco liquid-cooled hose designed for hyperscale data centers and high-performance computing. This new hose is approximately $\text{15\% lighter}$ than previous versions and was produced using a process reportedly using $\text{75\% less energy}$ than prior processes. This level of engineering support helps position the company for future growth vectors, even as traditional industrial hydraulics demand softens.

The company continues to invest in its commercial front end and innovation in areas of strategic growth potential.

• Broaden product portfolio.
• Expand presence in growth markets.
• Provide differentiated service levels to customers.

Digital engagement for product information and training

While specific metrics for digital engagement and training investment are not detailed, the overall strategy involves broadening the product portfolio and expanding market presence, which is supported by digital channels. The company sells its products in more than $\text{130 countries}$ across four commercial regions: the Americas; Europe, Middle East & Africa; Greater China; and East Asia & India. The Investor Relations website provides access to webcasts for investor conferences, indicating a digital platform for information dissemination. The focus on providing differentiated service levels inherently includes modern digital tools for information access and support for the diverse replacement channel customers.

The company's 2025 full-year guidance anticipates Free Cash Flow conversion exceeding $\text{90\%}$ (later revised to $\text{80-90\%}$), showing a commitment to efficient operations that underpin reliable customer interactions.

Finance: draft 13-week cash view by Friday.

Gates Industrial Corporation plc (GTES) - Canvas Business Model: Channels

You're looking at how Gates Industrial Corporation plc moves its highly engineered solutions to the end-user as of late 2025. The channel strategy heavily favors the aftermarket, which provides a degree of stability even when capital spending is tight. Honestly, the split between direct OEM and the independent distributor network is the core dynamic here.

Independent distributors and dealers (primary replacement channel).

This is the backbone for aftermarket sales, where products are used for maintenance, repair, and operations (MRO). This channel showed resilience through the first three quarters of 2025. For the third quarter of 2025, Replacement channel revenues expanded low-single digits year-over-year. This followed positive core sales growth in the Replacement channels during the second quarter of 2025. To give you a clearer picture of the components of this channel, consider the Q1 2025 performance where the overall replacement channel grew mid single digits, driven by automotive replacement growing mid teens, even as industrial replacement was down mid single digits. For the full year 2024, this channel expanded at a low single-digit rate, contrasting sharply with the OEM side.

Direct sales force to Original Equipment Manufacturers (OEMs).

The direct sales force targets equipment builders for first-fit components. This channel has faced more headwinds in 2025 compared to the replacement market. For instance, in Q2 2025, Industrial OEM channel sales decreased low teens, and OEM sales in the EMEA region were down mid single digits. This weakness followed a trend where full-year 2024 OEM sales decreased double-digits. The company is still making investments here, but the near-term performance suggests caution on this segment's contribution to immediate growth.

The primary delivery mechanism is through a global network, which is organized into four distinct commercial regions:

• Americas
• EMEA (Europe, Middle East & Africa)
• Greater China
• East Asia & India

Gates Industrial Corporation plc sells its products in more than 130 countries, utilizing this regional structure to manage its complex supply chain, which the company notes is largely 'in-region, for-region.'

Here's a snapshot of recent regional performance to show where the channel activity is concentrated:

Commercial Region	Most Recent Reported Core Sales Change (2025)	Key Driver/Context
East Asia & India	Approximately 5% growth (Q1 2025)	Automotive replacement and personal mobility were major contributors.
Greater China	Expanded 3.5% (Q1 2025)	Reported broad-based growth.
Americas (Select Data)	North American replacement grew low single digits (Q2 2025)	Led by mid single-digit growth in industrial replacement.
EMEA	Core sales fell just under 1% (Q1 2025)	OEM sales were approximately flat, offsetting automotive weakness with industrial growth.

E-commerce platforms for certain replacement market segments.

While the independent distributor network remains the primary route for the replacement market, Gates Industrial Corporation plc is actively broadening its digital presence. The company is focused on providing differentiated service levels, which increasingly includes digital tools and e-commerce access for specific aftermarket customers. Although specific revenue percentage attributed to e-commerce platforms for 2025 isn't publically detailed in the earnings summaries, the strategy supports the overall low-single digit growth seen in the total replacement channel in Q3 2025. This digital push is part of the broader effort to capture growth in structurally robust applications like e-mobility and data infrastructure.

Finance: draft 13-week cash view by Friday.

Gates Industrial Corporation plc (GTES) - Canvas Business Model: Customer Segments

You're looking at how Gates Industrial Corporation plc serves its buyers, which is fundamentally split between the aftermarket and new equipment production. This split is key to understanding their revenue stability, as the aftermarket tends to be less volatile than the OEM side.

Diverse Replacement Channel Customers make up a significant portion of the business, which the model suggests is nearly two-thirds of sales. This channel provides a crucial buffer against industrial cycles. For instance, in the third quarter of 2025, Replacement channel revenues expanded at a low-single-digit rate, showing consistent demand even when OEM sales were mixed.

The second major group is the Original Equipment Manufacturers (OEMs), who purchase Gates Industrial Corporation products as specified components for new machinery. In the first quarter of 2025, OEM sales were mixed, but the company noted strong growth in specific areas. However, looking at the full year 2024, OEM sales decreased by a double-digit percentage, contrasting with the low single-digit expansion in Replacement sales that year.

Gates Industrial Corporation serves a broad base of end markets, which can be categorized by their current health and strategic importance. The company sells products in over 130 countries across four commercial regions.

The primary established end markets include:

• Agriculture: Saw core growth in Q2 2025, the first positive read since Q4 2022.
• Construction: Experienced soft demand in Q2 2025.
• Energy: Was one of the most impacted end markets for the Fluid Power segment in Q4 2024.
• Heavy-Duty Trucking (part of On-Highway): Experienced incremental weakness in Q2 2025.

The Power Transmission segment, which is the backbone of stability, saw its net sales rise by 3.9% in Q3 2025, while the Fluid Power segment grew by 1.6% in the same quarter. Total net sales for Gates Industrial Corporation in Q3 2025 were $855.7 million.

The company is actively expanding its presence in specific growth markets, which are showing strong momentum as of late 2025:

• Auto Replacement: Delivered solid growth in Q3 2025.
• Personal Mobility: Showed strong growth, with high teens growth reported in Q2 2025.
• Data Centers: Management noted beginning to see a meaningful acceleration in activity in Q2 2025.

Here's a quick look at how the segments and channels were performing based on the latest available quarterly data:

Segment/Channel Focus	Latest Reported Performance Metric	Value/Rate
Total Net Sales (Q3 2025)	Net Sales	$855.7 million
Replacement Channel	Revenue Expansion (Q3 2025)	Low-single digits
OEM Channel	Core Sales Decline (Q4 2024)	Double-digits
Power Transmission Segment	Net Sales Growth (Q3 2025)	3.9%
Fluid Power Segment	Net Sales Growth (Q3 2025)	1.6%
Personal Mobility (Growth Market)	Growth Rate (Q2 2025)	High teens
Full Year 2025 Guidance	Adjusted EBITDA Range	$770 million to $790 million

The strategic move toward higher-value applications like data centers and energy transition is intended to buffer the cyclical nature inherent in markets like construction and heavy machinery. If global industrial activity remains sluggish, especially in Europe and China, volume recovery in Fluid Power may be slower than anticipated.

Finance: draft 13-week cash view by Friday.

Gates Industrial Corporation plc (GTES) - Canvas Business Model: Cost Structure

You're looking at the hard numbers that drive the operational costs for Gates Industrial Corporation plc as of late 2025. This isn't about strategy fluff; it's about where the money actually goes to keep those application-specific fluid power and power transmission solutions moving.

The company's cost structure is heavily influenced by its global manufacturing footprint, which management notes is largely 'in-region, for-region', a structure they believe offers competitive advantages. Management is actively working to refine this, as they are executing footprint optimization initiatives and anticipate reducing the structural cost position over the first half of next year.

For the third quarter ended September 27, 2025, the reported operating margin was 13.5%, suggesting a relatively stable cost structure for that period, which aligns with the reported Adjusted EBITDA margin of 22.9% for the same quarter.

Here's a look at the key financial metrics that define the cost base and capital deployment:

Cost Component/Metric	Latest Reported Figure (Q3 2025)	Full Year 2025 Guidance/Estimate
Capital Expenditures (CapEx)	Not specified for Q3	Approximately $120 million
Adjusted EBITDA	$195.8 million (Q3)	$770 million to $790 million (Range)
Adjusted EBITDA Margin	22.9% (Q3)	22.5%-23.0% (S&P Global Ratings expected improvement)
Net Income from Continuing Operations Margin	10.4% (Q3)	Not specified
Gross Debt Outstanding	Not specified for Q3	Paid down $100 million of gross debt in Q3 2025
Total Outstanding Debt (Prior Period Reference)	Not specified for Q3	$2.4 billion (As of December 28, 2024)

Regarding the costs tied directly to production, the search results don't break down Cost of Goods Sold (COGS) into specific raw material versus logistics line items. However, there is an expectation of streamlining of the material cost as part of the operational improvements expected to boost margins.

Selling, General, and Administrative (SG&A) expenses are embedded within the difference between Gross Profit and Operating Income, but specific SG&A dollar amounts for 2025 are not explicitly detailed in the provided guidance summaries. The operating margin of 13.5% in Q3 2025 is the closest available metric reflecting the combined impact of COGS and SG&A relative to sales.

Interest expense on debt is a known factor easing cash outflows. S&P Global Ratings projected that lower interest costs would contribute to a moderate increase in Free Operating Cash Flow (FOCF) to about $350 million for 2025. This easing is supported by the fact that management paid down $100 million of gross debt during the third quarter of 2025.

The focus on cost control is evident in the guidance metrics:

• Free Cash Flow conversion is guided to be between 80-90% for the full year 2025.
• The company is focused on driving operating improvements.
• Anticipated margin expansion is expected to allow the company to maintain virtually flat absolute earnings despite revenue pressures.

Finance: draft 13-week cash view by Friday.

Gates Industrial Corporation plc (GTES) - Canvas Business Model: Revenue Streams

You're looking at how Gates Industrial Corporation plc brings in its money, which is primarily through selling its application-specific fluid power and power transmission solutions across two main segments. The overall picture for 2025 shows a focus on steady growth, with the full-year 2025 core sales growth guided to be in the range of +0.5% to +1.5% year-over-year. This guidance was updated following the third quarter results.

For the third quarter of 2025, the total net sales hit $855.7 million, which represented a 3.0% increase compared to the prior-year period, with total core sales growth coming in at 1.7%. This revenue is split between the two major operational segments: Power Transmission and Fluid Power. The performance in Q3 showed the Power Transmission segment was a stronger driver of net sales growth for that quarter.

Here's a quick look at the Q3 2025 segment revenue and core growth figures we have:

Segment	Q3 2025 Net Sales (USD millions)	Q3 2025 Core Growth
Power Transmission segment	$533 million	2.3%
Fluid Power segment	$322 million	just under 1%

The sales channels are also a critical way to view the revenue streams, as Gates Industrial serves both existing equipment users and new equipment manufacturers. The Replacement Markets are the larger component of the business, making up approximately 2/3 of total sales. Based on the Q3 2025 total net sales of $855.7 million, this channel would account for roughly $570.47 million in that quarter alone. The Replacement channel revenues expanded low-single digits in Q3 2025, supported by solid growth in Automotive Replacement and Personal Mobility.

Conversely, sales to Original Equipment Manufacturers (OEMs) represent approximately 1/3 of total sales. This translates to about $285.23 million of the Q3 2025 net sales. While OEM sales were generally flatter or saw mixed results across sub-segments in Q3, the industrial OEM sales growth helped offset a decrease in automotive OEM sales.

The full-year 2025 expectations for core sales growth are set as follows:

• Full-year 2025 core sales growth guidance: +0.5% to +1.5% year-over-year.
• Q3 2025 total core sales growth: 1.7%.
• Replacement channel revenue growth in Q3 2025: low-single digits.
• OEM sales growth in Q3 2025: low single digits (industrial growth offsetting automotive decrease).