Whirlpool Stock

Whirlpool Corporation (Whirlpool) operates as a kitchen and laundry company.

Whirlpool manufactures products in 10 countries and markets products in nearly every country around the world.

In 2023, the company conducted its business through four operating segments, which the company defines based on geography. Whirlpool's operating segments in 2023 consisted of North America; Europe, Middle East and Africa (‘EMEA’); Latin America and Asia. Beginning January 1, 2024, the company is conducting its business through five operating segments, which consist of Major Domestic Appliances (‘MDA’) North America; MDA Europe, MDA Latin America; MDA Asia; and Small Domestic Appliances (‘SDA’) Global.

On January 16, 2023, Whirlpool entered into a contribution agreement with Arçelik A.S (‘Arcelik’) in alignment with Whirlpool’s portfolio transformation. Under the terms of the agreement, Whirlpool will contribute its European major domestic appliance business, and Arcelik will contribute its European major domestic appliance, consumer electronics, air conditioning, and small domestic appliance businesses into the newly formed entity of which Whirlpool will own 25% and Arcelik 75%, subject to an adjustment mechanism based on certain financial matters. Separately, Whirlpool subsequently reached an agreement for the sale of Whirlpool’s Middle East and Africa business to Arcelik. These transactions impact businesses that are collectively referred to as the European major domestic appliance business, which was classified as held for sale in the fourth quarter of 2022. Whirlpool will retain ownership of its EMEA KitchenAid small domestic appliance business.

The transactions are expected to close by April 2024 and include nine Whirlpool production sites located in Italy, Poland, Slovakia, and the U.K., as well as two Arcelik production facilities in Romania. The Europe transaction is subject to certain closing conditions, including regulatory approvals from the European Commission, Germany, Austria and China, which have been received, and the U.K., which remains. On February 8, 2024, the U.K. Competition and Markets Authority (‘CMA’) provisionally cleared the Transaction. The CMA is expected to issue its final decision by March 26, 2024.

The MDA Europe business will be deconsolidated upon the completion of the European contribution agreement transaction with Arcelik, and it does not qualify for reporting as discontinued operations.

In 2023, the company launched more than 100 new products throughout the world, demonstrating the company’s commitment to innovation, including the KitchenAid Go cordless system, a 70 centimeter built-in bottom mount refrigerator with leading capacity and noise reduction, and the company’s over-the-range flush microwave hood combination.

Whirlpool manufactures and markets a full line of major home appliances and related products. The company’s principal products are laundry appliances, refrigerators and freezers, cooking appliances, and dishwashers. Additionally, the company has a strong portfolio of small domestic appliances, including the KitchenAid stand mixer, and a strong line of commercial laundry appliances. The company has successfully integrated the InSinkErator business into the company’s North America operations, expanding its portfolio of products to include food waste disposers and instant hot water dispensers for home and commercial use.

The company’s sales are led by its global brands Whirlpool and KitchenAid. Whirlpool is trusted throughout the world as a brand that delivers innovative care daily. The company’s KitchenAid brand brings a combination of innovation and design that inspires and fuels the passion of chefs, bakers and kitchen enthusiasts worldwide. These two brands offer differentiated products that provide exceptional performance and desirable features while remaining affordable to consumers.

Additionally, the company has a number of strong regional and local brands, including Maytag, Consul, Brastemp, Amana, Bauknecht, JennAir, Hotpoint, Indesit, and InSinkErator, among others. These brands add to the company’s impressive depth and breadth of kitchen and laundry product offerings and help the company provide products that are tailored to local consumer needs and preferences.

Regional Business

North America

In the United States and Canada, the company markets and distributes major home appliances and other consumer products primarily under the Whirlpool, KitchenAid, Maytag, Amana, InSinkErator, JennAir, affresh, Swash, everydrop and Gladiator brand names primarily to retailers, distributors and builders, as well as directly to consumers. The company also markets small domestic appliances under the KitchenAid brand name to retailers, distributors and directly to consumers.

The company sells some products to other manufacturers, distributors, and retailers for resale in North America under those manufacturers' and retailers' respective brand names.

Europe, Middle East and Africa (EMEA)

In Europe, the company markets and distributes major domestic appliances to retailers, distributors and directly to consumers under the Whirlpool, Indesit, Hotpoint, Bauknecht, Ignis, Maytag and Privileg brand names. The company also markets major domestic appliances and small domestic appliances under the KitchenAid brand name primarily to retailers and distributors, as well as directly to consumers for small domestic appliances.

The company markets and distributes products under the Whirlpool, Bauknecht, Maytag, Indesit, Amana and Ignis brand names to distributors and dealers in Africa and the Middle East.

In 2023, the company entered into the contribution agreement with Arçelik to contribute the company’s European major domestic appliance business into a newly formed European appliance company and into a separate agreement for the sale of the Middle East and North Africa business, and expects to close both transactions by April 2024.

Latin America

In Latin America, the company produces, markets and distributes its major home appliances, small domestic appliances and other consumer products primarily under the Consul, Brastemp, Whirlpool, KitchenAid, Acros, Maytag and Eslabon de Lujo brand names primarily to retailers, distributors and directly to consumers.

The company serves the countries of Brazil, Mexico, Bolivia, Paraguay, Uruguay, Argentina, Colombia, Chile, and certain Caribbean and Central America countries, via sales and distribution through accredited distributors.

Asia

In Asia, the company markets and distributes its major home appliances and small domestic appliances in multiple countries, notably in India.

The company markets and distributes its products in Asia primarily under the Whirlpool, Elica, Maytag, KitchenAid, and Indesit brand names through a combination of direct sales to appliance retailers and chain stores and through full-service distributors to a large network of retail stores.

In May 2021, the company sold its majority interest in Whirlpool China and subsequently retained a non-controlling interest. Whirlpool China continues to sell Whirlpool-branded products through a licensing agreement in China. In September 2021, the company acquired a majority interest in Elica PB India.

Seasonality

The company's quarterly revenues have historically been affected by a variety of seasonal factors, including holiday-driven promotional periods. Historically, the company's total revenue and operating margins have been highest in the third and fourth quarter, and this pattern is more pronounced in the company’s Small Domestic Appliance Global business. In 2023, the company returned to a seasonal pattern of revenue and operating margins that was more heavily weighted to the second half of the year (year ended December 2023).

Raw Materials and Purchased Components

More specifically, in the fourth quarter of 2022, the company experienced a one-off supply chain disruption driving revenue decline in the North America operating segment.

Research and Development

The company’s research and development costs totaled $473 million in 2023.

Trademarks, Licenses and Patents

Whirlpool is the owner of a number of trademarks in the United States and foreign countries. The most important trademarks to North America are Whirlpool, Maytag, JennAir, KitchenAid, InSinkErator, and Amana. The most important trademarks to Latin America are Consul, Brastemp, Whirlpool, KitchenAid and Acros. The most important trademark to Asia is Whirlpool.

The most important trademarks to EMEA are Whirlpool, KitchenAid, Bauknecht, Indesit, Hotpoint, and Ignis. In connection with the European major domestic appliance transaction with Arcelik, ownership of the Bauknecht, Indesit, Hotpoint and Ignis trademarks will transfer to the newly formed company, which is also granted a license to sell Whirlpool-branded products in Europe as further set forth below.

The company receives royalties from licensing its trademarks to third parties who manufacture, sell and service certain products bearing the Whirlpool, Maytag, KitchenAid and Amana brand names.

Customers

Whirlpool is a major supplier of laundry, refrigeration, cooking and dishwasher home appliances to Lowe's, a North American retailer. Sales to Lowe's represented approximately 13% of the company’s consolidated net sales in 2023. Lowe's represented approximately 38% of the company’s consolidated accounts receivable as of December 31, 2023.

History

Whirlpool Corporation was founded in 1911. The company was incorporated in 1955 under the laws of Delaware.