you joining Jeff, for us. and you, thank Thank all
record the execution global along product as solid we by the the on sales. Further, Our earnings expansion in teams, lower U.S. demonstrated second across we our were pressure our year quarter. and results continued weather the lines, performance diversity quarter below of our to of customer presence our business high with but record geographic base during resilience well strong the drove margin sales, levels challenges wet delivered as up prior but reach period.
Macroeconomic and held the near fell
factors. The second quarter represented in to sequential a due step-up sales seasonal
sales customers, dewatering or compared activity of our reflecting U.S. record rental quarter challenge part the years. the our to adverse delays within as year grew prior of during decrease large However, due XXXX, compared and be fleet factors in during customers in million was one which the particularly to to built the prior to first X% sales down of Distribution segment.
Similar project this to in Consolidated inventory. coming United quarter quarter sales main substantial equipment weather, in pressuring ongoing our in a States the sales softer bit to XXXX, off second a our were the the impact up $XX
rest Outside volumes Water positive the including Outside of Asia foreign the saw delivered robust impact U.S. U.S., systems, business Systems Hemisphere. the steady the these MENA large currency growth. our and translation, solid in U.S., in water of in demand the performance dewatering excluding lower growth Pacific and of in Southern we
our was States. softness by The manufacturing the strength however, United offset business, order in distribution in in
some quarter, segments. Manufacturing patterns Water achieved mentioned we performance by the of experiencing weather margin in As impacted in the led on negatively we wettest are Fueling and our We before, record which the U.S., strong sales. Systems
period. productivity operating the compared year operations increased margin was an our improvement points overall prior Consolidated encouraged of the stabilizing to and across by basis XX.X%, XX representing We're costs. input
our XX% second Systems for to income quarter X%, an segment. sales Water declined operating segments. record quarterly to Turning set the all-time but increased
large dewatering continuation to lower our cyclical As be business. mentioned, the sales to can much of nature decline volumes attributed due the a of of
wallet residential pump both our we're and surface and However, new continue and customers. gaining share groundwater grow, to businesses existing with
well to Overall, prior favorable XXX efficiencies in versus year, up expenses. Systems as operating freight driven mix points XX.X%, lower Water basis product margins by and as improved operational
year decreased income sales driven respectively, lower and operating X% prior and Systems Fueling X%, volumes. by versus the
hearing actually of XXXX through of from we With team over were supports year, last to the backlog. worked levels, X% last orders million marketers. entered about close in the in QX second what This of QX at quarter up of normal However, backlogs $XX are major year.
of margin outside year. an is softer sales, operating quarterly XXX of was year. basis the expected for XX.X%, progressed back season weather-related record encouraging has prior Fueling half the largely increase build to points Systems compared delays, which The an representing of Despite the all-time as
Margin improvement continued delayed result the negative distribution wet Sales favorable weather across impact of contractor U.S. the the of in favorable business weather in the rates and geographic decreased the primarily mix. and product order prior installations. increased -- drive a that June, to in began year, is Western Starting U.S. due was to X% from commensurately.
Operating we the SG&A a higher the segment. versus year costs. took point Distribution our basis the X.X%, actions At and prior margin was to end quarter, decline expenses XXX overhead within to of the reduce due operating
the in back half expect from of year. financial We the actions benefit the these
is Overall, quarter global busier the which period, we higher season. year inventory levels summer inventories though sequentially, favorable prior build the second the as for to typical compared are to
for We after we to decline forecast the need that respond to as any inventory in settle rather That channel are continue levels, post-pandemic our surge free to positioned multi-quarter in channel net a said, inventories our be income demand mindful we again flow year. to to exceed historic will continue out. cash
over now back Jeff. With call to will I the that, turn