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acquisition. challenges ongoing some and the related onetime manage to experienced to continue impacts cost We recent
XXXX. have resulted operating a third Taken of quarter income as together, in compared to the these decrease items in
actions lessened comments taken discussed, which in impact we mitigating the the talk will have about As Tim sequentially. we've his
an or business for Systems First which electronic abilities assets positioning our electrical the Electrical third complements strategic market while acquisition the enhance FSE of to low and our Electronics the during our complexity Source customer extending segment will Importantly, further growth. announced FSE, of and system the diversification. high volume medium quarter, we in integrator
to the strong contributor to expect growth FSE company. a be We
month We just are and well with integration a business over book FSE very into and we the are how are sales progressing. the for pleased
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We that integration we have the a going plan overall working to well. is are XXX-day and
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million FSE Revenue Turning our to to acquisition. the $X.X XXXX, segments. of due Systems primarily segment the up versus third was the Electrical quarter for
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Electrical diversify and applications. continue growth. into and to long-term new changing markets Systems We position the more customer effectively to includes segment meet needs This end efforts for
many flexibility customers. changes growth making Improving in Furthermore, are service. we speed customer target processes and current are the and organic support to commercial and that important
competitive on a projects capitalize critical differentiator. is short-cycle ability to Our
for supplying seeing electrical diversification results components of we it activity. is electrical low-volume projects including including our Although efforts focus early electric drivetrains the and there's systems, mechanical stages, award where positive tremendous are from
products innovative products from as architectures, portfolio, in as requiring design OEMs and vehicle they Additionally, new development. as we are working core with our start-up new well
as soon there some are is opportunities work XXXX. this of but focused, longer-term near-term expect We as some revenue
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to results begin The managing in $XXX,XXX. to down and delivering cost Turning we was by to income in Global spend driving the as due Operating and and markets. achieving decline. construction million, volumes was North productivity, offset improved by softening global team markets truck reductions duty down American Seating. strength partially Revenue mainly $X.X is serve, SG&A focused overhead continuing heavy the medium
markets, Vehicle Show I along the and commercial Commercial of mention Atlanta. in a of American OEMs team the discussing want in this were that traditional North new to with attendance, base. all participated demonstrated products with industry with Before week on-highway and fleets and seats Almost supply in major interior new technology integrated voice-activated; past electronic digital electromechanical We were which some controls, electrical systems. and bluetooth controls the of lighting; including and embedded electronic wiring for innovative us trim
prototype and good customers some our line, leverage global to seat launch and time others While levels. varying targeted feature across future across volumes a in event was discuss form modular in stage, are next-gen with projects. are products to The industries a as phases, spend such
been issues. may continued softer our this the The trade and global markets. the off third adapts to the leveling much market markets start the APAC in as year quarter, of to have Turning in construction but
and see signs European weakness North markets. the we American However, construction in of
are in uncertainty are experiencing reductions forward. rates. customers inventory retail economic fundamentals causing chain, the underlying impacting going build Some But mixed the
the preparing of construction months. markets off-road volumes are to and the run for the compared when rate We XX in last lower production potentially
of with changes increase projects X% an rate We course, production rate could build were XXX,XXX XXXX projections. production the approximately for positive truck XX,XXX builds the improve consistent the environment infrastructure strong over Total the to units. and outlook. X approximately quarter. ACT's third trade Class this Class Of estimate during XXXX the is remained at quarter which units, X
through to X to Class is rate compared expected year builds. full approximately production X units, total XXX,XXX flat The XXXX
during North to through production X to quarter, Class orders. retail supported truck down take customer OEM indications truck started production is their The While levels, the all elevated the replacement returning X production have point OEMs historical remained and forecast. which by sentiment to America in
we higher see FSE potential fourth Although, including rates year directionally, the we still fluctuations prior in sales full the modestly our year, revenues. quarter expect be build XXXX than
XXXX see what as sales on lower we to Based will compared today, be XXXX. in our
discussed As of X being with our we the segments. Medium-duty market more today, extending Medium-duty to approximately tend have roughly typically reduce working cyclical, the eight into truck portion X. truck which North represents impact Class sales against XX% X other of company been by to America we the Class are North hedge less largest American of XX% have be sales. represent the nature, Class previously, applications vocational some sales OEM swings. providing in
Furthermore, we this see growth levels. are new decline, lower aligning of some the business markets we participating, at future In operate is the anticipation to in that of FSE providing projected some mitigation. also production
various SG&A are variable We cycle the implementing in costs process and plan actions expenses. reduce to of
considering direction. that other Furthermore, longer-term may align with we reductions fixed better cost are
strategy that over the are pullback managing right in remain the long place. we a we we term, volumes, While optimistic in have
to in markets. both discussed, secular electrical current As power of point proliferation and growth we and components, themes connectivity adjacent have the electronics,
CVG supplier increasingly position growing we differentiated a will continue and expect markets in as we profitable offerings, such, to more valued accelerate growth. As focused long-term with which
With call more in that, I the through detail. will turn will go Tim who to over the financials
