and morning, sales you, Thank first a or X% quarter X% decreased good basis. on Kathy, constant-currency everyone. Overall,
Our with a sales another prior the up strong year. quarter Building basis versus on constant-currency XX% had HVAC segment
both VTS However, had to currency CIS year-over-year impacts our and businesses markets. end primarily declines, softening sales and due
operating XX% quarter CIS Operating income million, first million, negatively $XX.X impacted or were segments adjusted Our in our $X.X volumes. sales from down year. prior and the was margins VTS by lower
adjust caused XXXX. to off in driven far fiscal factors. we While been a us some expectations rest too softening this our of internal by expectations, our that wasn’t trends has quarter performance did see for macroeconomic This recent number of our the
revenue our significant a having comparisons. is in dollar U.S. stronger the year-over-year First, impact
vehicular our automotive the highway global in markets, significant Second, slowdown in a including we’ve recent in end some markets. off-highway of weeks, key experienced
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earnings. lower negative from of They our benefiting continue the by commodity impact be tariffs somewhat are offset on prices. we Finally, to
taking in a the we’re reduce result, those negative a impact actions XXXX, few to a this number As highlight of fiscal minutes. I’ll in and
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to segment potential on update results, sale business. I of automotive reviewing brief would like the provide our a Before a
communicated, to automotive the As engaging I business. under previously process launched Modine with a formal we for including prepare a parties. have is separation, a to process further strategic for while sale of This all way, work to lot alternative best evaluate well interested
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or more agreement. will with can assure the able to the shareholder option reach We In process you once will definitive a is move be to the meantime, completed we long-term best value. update we maximize provide forward I in-depth that a
Turning to lower for down Sales The by or segment X% year. down the the the in on sales year. was the the U.S. of the Page versus compared to year, of was driven most stronger large component constant-currency were significant decrease down X. where Europe, in this driver as from prior dollar VTS currency euro prior segment were X% the XX% a this basis. sales A prior from
driven is production long primarily an end experienced in time were light lower sales volumes down the down a across automotive XX%, we’ve in with and addition, sales quarter sales, in drop Sales that In in vehicle fallen a Asia all first have by Korea. markets, off-highway decline global XX percent China sales as were This Asia. in significantly.
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globally markets and this automotive are market end mentioned, year. I sales As versus were of slowing the down prior XX%
X% be XXXX. fiscal Europe, Asia and region, in the the Americas in expect X% in down market X% We automotive to in
have recently forecast revised market have to weakening We this conditions. outlook these updated and our reflect
addition, this the compared off-highway expect market the down prior In year. XX% to we off-highway to in were sales considerably slow year, as
market in X% Americas, in X% fiscal to Asia We’re XXXX. the expecting off-highway in Europe be and X% in down
slowdown and clearly the our Asia of We have results updated are this quarter also the balance also market of the seeing expectations year. this for in
million year. sales for $X.X volume, basis operating Adjusted This the operating million labor to lower currency due prior income points was was $XX which the primarily lower margin X.X%. higher XXX segment and decrease quarter, Adjusted costs. for is to than was VTS the down
costs also offset to the but a impact quarter, We had of We lower this metal related tariffs this tariffs on commodity was great by spoke about deal businesses year. the last costs. had
on mitigate we update to actions of taken like that costs. some would I these So the have give an to
key been situations, these First, in of initial agreements certain to benefits able the last in agreements cost fourth tariffs have with partially offset began We some sharing direct see the customers. our negotiating of to quarter by the costs of year. we of
previously the costs government applied Second, paid. exclusions to suppliers that are of our these have the the working recover In had we’ve tariffs progress certain exclusions. been granting cases, for with seen we and with
team on Last, continuing our sourcing work strategic initiatives. to is procurement
of suppliers. raw We have able materials to our been the overseas supply to lower-cost resource much
mentioned, we focusing can particular on control, job. improving As great in what doing a this and is are group previously we
costs improvements and to Although these us recover subsequent tariff-related in to have fully won’t our led drive actions quarters. allow quarter to continue we’ll costs, they this clearly lower
Turning X. to Page
as the on quarter, that driven center from sales Sales within center in challenges decreased year, customer year, discussed CIS other down data into and from last sales lower a market. to by cloud or some we to our sell computing lower revenue were and XX% we coils both large the segment prior end by sales of QX. prior customers Mick a anticipated Data had basis. As the constant-currency X% X%
saw this to going Last growth forecast coolers we than And year, see in market sales It’s sales data as tend to to times, months many the the market have mentioned this to of opposite. center to we’re sales market to drastically end out. quarter, these a growth. often project-based more three difficult excess of we six In quarter-to-quarter. change
customer. in record Last market year, our sales and in we a been year center by this has had by breaking pullback, expansion a data primarily major there driven this slowdown
segment to Overall, from of we the market $X.X million, expect to primarily This operating primarily adjusted though this down adjusted by flat. in sales. even prior points revenue sales expect year. be center driven be generally on operating year, data our to reported negative gross profit income and mix The down labor to X.X%, costs, was XX% lower-margins, was due particularly year-over-year the lower due basis down decrease margin XXX we to higher Mexico. The
our heating Page X%, partially in in ventilation Please America for Building segment center Sales non-data in products by and XX% basis, turn product air sales HVAC constant-currency of lower higher or products X. on school a sales offset UK, UK. the conditioning-related to data primarily sales the North by and increased higher driven center
was increased the prior year volume and favorable sales mix. XXX from driven increase sales and XX% to XX.X%. by margin increased This income basis operating higher million points to Operating $X.X
our position We competitive in this continue segment. to performance be strong and encouraged by
and update for Mick outlook XXXX. fiscal like turnover I’d an an to consolidated to of overview that, for our for With results
