Forward-looking Statements This report contains statements that we believe to be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact are forward-looking statements. Without limitation, any statements preceded or followed by or that include the words "targets," "plans," "believes," "expects," "intends," "will," "likely," "may," "anticipates," "estimates," "projects," "forecasts," "should," "would," "positioned," "strategy," "future," "are confident," or words, phrases or terms of similar substance or the negative thereof, are forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties, assumptions and other factors, some of which are beyond our control, which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors include adverse effects on our business operations or financial results, including due to the impact of the novel coronavirus 2019 ("COVID-19") pandemic and potential impairment of goodwill and trade names; overall global economic and business conditions impacting our business; the ability to achieve the benefits of our restructuring plans; the ability to successfully identify, finance, complete and integrate acquisitions; competition and pricing pressures in the markets we serve, including the impacts of tariffs; volatility in currency exchange rates and commodity prices; inability to generate savings from excellence in operations initiatives consisting of lean enterprise, supply management and cash flow practices; inability to mitigate material and other cost inflation; risks related to the availability of, and cost inflation in, supply chain inputs, including labor, raw materials, commodities, packaging and transportation; increased risks associated with operating foreign businesses; the ability to deliver backlog and win future project work; failure of markets to accept new product introductions and enhancements; the impact of changes in laws and regulations, including those that limit U.S. tax benefits; the outcome of litigation and governmental proceedings; and the ability to achieve our long-term strategic operating goals. Additional information concerning these and other factors is contained in our filings with the U.S. Securities and Exchange Commission (the "SEC"), including this Quarterly Report on Form 10-Q and ITEM 1A. of our Annual Report on Form 10-K for the year ended December 31, 2020. All forward-looking statements speak only as of the date of this report. nVent Electric plc assumes no obligation, and disclaims any obligation, to update the information contained in this report.

Overview

The terms "us," "we," "our," "the Company" or "nVent" refer to nVent Electric plc. nVent is a leading global provider of electrical connection and protection solutions. We believe our inventive electrical solutions enable safer systems and ensure a more secure world. We design, manufacture, market, install and service high performance products and solutions that connect and protect some of the world's most sensitive equipment, buildings and critical processes. We offer a comprehensive range of enclosures, electrical connections and fastening and thermal management solutions across industry-leading brands that are recognized globally for quality, reliability and innovation. We classify our operations into business segments based primarily on types of products offered and markets served. We operate across three segments: Enclosures, Electrical & Fastening Solutions and Thermal Management, which represented approximately 51%, 27% and 22% of total revenues during the first nine months of 2021, respectively.

•Enclosures-The Enclosures segment provides innovative solutions to connect and protect critical controls systems, electronics, data and electrical equipment. From metallic and non-metallic enclosures to cabinets, subracks and backplanes, it offers the physical infrastructure to host, connect and protect server and network equipment, as well as indoor and outdoor protection for test and measurement and aerospace and defense applications in industrial, infrastructure, commercial and energy verticals.



•Electrical & Fastening Solutions-The Electrical & Fastening Solutions segment
provides solutions that connect and protect electrical and mechanical systems
and civil structures. Its engineered electrical and fastening products are
innovative, cost efficient and time saving connections that are used across a
wide range of verticals, including commercial, infrastructure, industrial and
energy.
•Thermal Management-The Thermal Management segment provides electric thermal
solutions that connect and protect critical buildings, infrastructure,
industrial processes and people. Its thermal management systems include heat
tracing, floor heating, fire-rated and specialty wiring, sensing and snow
melting and de-icing solutions for use in industrial, commercial & residential,
energy and infrastructure verticals. Its highly reliable and easy to install
solutions lower total cost of ownership to building owners, facility managers,
operators and end users.
On February 10, 2020, we acquired substantially all of the assets of WBT LLC
("WBT") for $29.9 million in cash. The U.S. based WBT business manufactures
high-quality cable tray systems and operates within our Electrical & Fastening
Solutions segment.
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On April 1, 2021, we acquired substantially all of the assets of Vynckier
Enclosure Systems, Inc. ("Vynckier") for approximately $27.0 million in cash.
The U.S. based Vynckier business manufactures high-quality non-metallic
enclosures that we will market as part of the nVent HOFFMAN product line within
our Enclosures segment.
On June 30, 2021, we acquired CIS Global LLC ("CIS Global") for approximately
$202.4 million in cash. The CIS Global business is a leading provider of
intelligent rack power distribution and server slides products, and will operate
within our Enclosures segment.
COVID-19 Update
In March 2020, the World Health Organization declared COVID-19 a pandemic. The
COVID-19 pandemic has resulted, and is likely to continue to result, in
significant economic disruption and has adversely affected, and may continue to
adversely affect, our business. Governments around the world have implemented
measures to help control the spread of the virus, including business
curtailments and shutdowns, isolating residents to their places of residence and
restricting travel. The effects of the COVID-19 pandemic have had and may
continue to have an unfavorable impact on our business.

Beginning in March 2020, we experienced significant reductions in customer demand in several end-markets across our business segments. However, economic activity in many of the end-markets in which we operate began to stabilize and recover in the second half of 2020, and continued to increase in the first three quarters of 2021. Our organic sales have increased 16% in the first nine months of 2021 as compared to the same period in the prior year.

In response to the adverse effects of the pandemic, we executed a number of temporary cash and cost-savings measures, which were largely implemented in 2020. As our business has seen continuous, sequential improvement in our financial results and improved outlook for many end-markets since the third quarter of 2020, we have eliminated many of the temporary cash and cost savings measures put in place.

While our facilities have remained operational during the first three quarters of 2021, we continue to experience various degrees of manufacturing cost pressures and inefficiencies as a result of supply chain issues and increased demand. Although we regularly monitor the financial health and operations of companies in our supply chain, and use alternative suppliers when necessary and available, supply chain constraints could cause a disruption in our ability to obtain raw materials or components required to manufacture our products and adversely affect our operations. Further, as the COVID-19 conditions have improved and economic activity has increased, we have experienced supply chain challenges, including increased lead times, as well as inflation of raw materials, logistics and labor costs due to availability constraints and high demand. We expect the inflationary trends and supply chain pressures to continue throughout the remainder of 2021 and into 2022.

We continue to actively monitor the impacts of the pandemic and global efforts to respond to it, and may take further actions that alter our business operations as may be required by governments in the jurisdictions where we operate, or that we determine are in the best interests of our employees, customers, suppliers and shareholders.

Key Trends and Uncertainties Regarding our Existing Business The following trends and uncertainties affected our financial performance in 2020 and the first nine months of 2021 and will likely impact our results in the future: •There are many uncertainties regarding the COVID-19 pandemic, including the anticipated duration and severity of the pandemic and the extent of worldwide social, political and economic disruption it may cause. The magnitude of the impact of the pandemic on our financial condition, liquidity and results of operations cannot be determined at this time, and ultimately will be affected by a number of evolving factors including the length of time that the pandemic continues, rates of vaccinations, the vaccines' ability to protect against variant strains of COVID-19, the pandemic's effect on the demand for our products and services and the supply chain, as well as the impact of governmental regulations imposed in response to the pandemic including potential business curtailments and shutdowns impacting our factories. •We have identified specific product, vertical and geographic opportunities that we find attractive and continue to pursue, both within and outside the U.S. We are positioning our businesses to more effectively address these opportunities through research and development and through additional sales and marketing resources. Unless we successfully penetrate these markets, our organic sales growth will likely be limited or may decline.


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•During the first nine months of 2021, we experienced supply chain challenges,
including increased lead times, and inflationary increases of raw materials,
logistics and labor costs due to availability constraints and high demand. While
we have taken pricing actions and we strive for productivity improvements that
could help offset these cost increases, we expect supply chain pressures and
inflationary cost increases to continue for the remainder of 2021 and into 2022,
and could negatively impact our results of operations.
•During 2020 and the first nine months of 2021, we continued execution of
certain business restructuring initiatives aimed at reducing our fixed cost
structure and realigning our business.
In 2021, our operating objectives include the following:
•Executing our social responsibility strategy focused on People, Products and
Planet;
•Enhancing and supporting employee engagement and development;
•Achieving differentiated revenue growth through new products and solutions and
expansion in higher growth verticals and key developing regions;
•Optimizing our technological capabilities to increasingly generate innovative
new and connected products and advance digital transformation;
•Driving operating excellence through lean enterprise initiatives, with specific
focus on sourcing and supply management, cash flow management and lean
operations;
•Optimizing working capital through inventory reduction initiatives across
business segments and focused actions to optimize customer and vendor payment
terms; and
•Deploying capital strategically to drive growth and value creation.
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