Dynamic Materials (BOOM) has three divisions. The first is the Explosive Metalworking Group, which accounted for 94% of BOOM's 2007 revenue. This division welds two different metals together using a technique know as explosion welding. This process uses explosives to combine a backer (usually a pressure-vessel-quality (PVQ) steel plate) and a more expensive, more exotic metal. This process produces thick pieces of metal necessary in corrosive environments for a significantly lower cost than using just the pure exotic metal. The company estimates that the size of the global explosion welding market was $550 million in 2007. BOOM has one explosion welding production facility in the US (Mt. Braddock, PA) and three in Europe (Sweden, France and Germany).
The second division is Oilfield Services. This is a new division at BOOM as it stems from the 2007 acquisition of DYNAenergetics in late 2007. This division welds specialized products for the oil and gas industry.
The third division is AMK Welding. AMK Welding has one plant in Connecticut and is primarily an outsourcing welding facility. Its primary customer is GE as the facility welds engines and turbines for the blue-chip company.
[edit] Recent developements
- Allegheny Technologies (ATI) announced a lower than previously expected outlook for revenues and earnings. The majority of their business is in the general area including aviation where the steel is used in the engines. BOOM has $1mm of their $36mm in revenues from the aviation industry.
- The steel industry has been in the upper levels of annual relative strength for the last four years. In the last 37 years, no industry has remained in the top group for 5 consecutive years.
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