everyone. morning Thank and you, good Kathy
very extending during the Modine World’s place First, wishes you third quarter for reported start in well hope I in Fiscal different we like to crisis. early healthy of Modine results February. all its was and earnings to on expectations. remained and positive our QX since note have challenging by my ahead where coming with a year ended vastly a a XXXX safe everyone I’d
Mick segment will This during exit process, of business Mick crisis. and details the provide measure key protect finally, call, proactive fourth market environment. overview a to and update and the we taking protection will was quarter employees of the those overview XXXX we took status COVID-XX period global our we as on the summarize brief a fiscal from the of an our and plan. The our of the employees, expectations next markets a his week our regarding was for current to of and automotive last And environment and in including issued our customers economic to I a months. focus in part in report. a during and this of description actions uncertainty facilities. Today in press for resulting to full opportunities main results the shareholders. Our of our credit the challenges like this pandemic also state response that I’d the of highlight and release amendments sale are update, current few year the
so Let’s start we’ve with protect people the actions and to taken facilities. our far
Europe all the Americas. know, As crisis China our early in in quarter you into fiscal began and the COVID-XX and then fourth then moved
necessary mitigate worldwide. our risk the implemented administrative have to offices the steps in We locations and manufacturing
organization to demand. customer countries a locations remained compliance closed, mandate This and health in temporary either We number operate. governmental government where a have orders with drop significant or our in we to due led being of in
line employees, Throughout in our the compensation cash been of resulting temporary actions XX% many liquidity of also in capital top capacity. our many XX% salaries families of layoff of health schedules to to in preserve and our this reduce implemented by work employee an we in response locations expected open, reduced with their light production but cut at reduced and taken All reduce many customer of for Board and Director economic manufacturing has decrease crisis, and by approximately and We’ve these in possible, by in where weeks fiscal communities. executive fiscal costs have reduced and in operating revenues expenditures year. XX% are XXXX priority employees, our demand, XX% are planned now furloughs to And a short further conditions. this safety
disruption. In our continuing addition, focused are serve we and without on maintaining to laser adequate liquidity customers
Please full and X. cover year our turn fiscal Page results. let’s XXXX to Next, quarter fourth
year. were Our COVID-XX despite impacts. of million the quarter Fourth $XXX down early expectations our sales prior of earnings fourth quarter XX% were ahead from
lower we below impacted year, our the sales by $X segment full market weakness segment. prior year and our just this in center reported the VTS were XX% billion year. For data down Revenues from in sales CIS
cost the plant in North February Europe this the performance year of America in related we in from March. closures During X% felt timeframe by HVAC in also segment COVID China a the fourth increased impact Offsetting sales building were was full strong and and reported quarter, for million the to had the to quarter operating taken market strong the of to conversion saving We in We adjusted year. in prior in million earlier year full due $XX year. $XX income the fourth the fourth response downturn. actually quarter
an segment our update provide I on results, like exit diving to automotive Before our quarterly strategy. would into
reporting we As results. a first begin quarter our in segment a separate XXXX reminder, as will the business automotive fiscal
actively time investment ultimately of We this to strategic engage from multiple and necessary auto of In March, business business. fiscal and a business have required a of we considerable January this of buyers the separating to potential This exit XXXX the indications was us interest. during operate separately and and with VTS amount investment segment. received automotive line allow spent
that were the process in process as taking travel first all Europe, entered and possible current the are as the as moved but on to account staying global due international we then into restrictions. with hold will forced travel currently reinitiate COVID-XX interested and The the remains restrictions we parties However, process soon hold March on lockdowns. put we contact we’re confident and to pandemic the timeframe into due to
and orderly with outlay in we and to the regard of maximize optimize be vehicle which also most flow, not changed, HDE sales remaining valuable include the to cash and fashion off-highway customers, has assets automotive will value a separated by or as business disruption. exit have will will objectives equipment segment business cash separate business investing heavy-duty and For run and business to minimize earnings been an VTS renamed commercial to our reported segment. the The remainder cash customer
different have dynamics. have I equipment heavy-duty believe that the in and fundamentally As market discussed agricultural truck, especially construction we past, markets,
right Modine and anticipated, for this believe is taken our Although has than a solution shareholders. longer originally process this long-term we firmly
While, to growth order capital other alternatives reducing will capital auto evaluate and our all we business, reallocate limiting investments on to markets and focus for we costs in opportunities.
turning to results, in quarter, drop clearly heating conditioning operating spot partially income segment fourth X. to UK, primarily driven by HVAC segment Building sales products X% of The lower Page year, sales Despite in and for improved sales primarily costs. our pricing in lower material North America. higher this a increased the quarter in ventilation, air year. this from offset HVAC bright sales, Now please prior has been were by fourth down school Building the due substantially to turn
American million operating This prior the up by in ventilation sales compared $X.X at increased driven to segment. is income market. school was and or and from tremendous XX% performance For the full a year, fiscal year, primarily a products this sales X% heating North strong
We’re working drive in hard to continued future. growth the
by a of exciting we co-location center HVAC customers single-focused announced led new the to structure with European market teams. existing and As I capabilities quarter, to mentioned approach the our wins Building some has arena. new last data the combining resources have primarily and CIS This in
market. effort American Another data goal center this is assess the to North of
roadmap needs expanding a buying focused have specifiers, We third-party with along a this and we’re trends study market. preferences, operators business to center and develop and a on product of understanding case, the data into order the in commissioned
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end on markets. change share this important a to we I to markets. we daily, I the how Again, reiterate outlook currently almost However, can see current it’s want can believe key but share certain
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year in one our majority significantly the the expectations. Turning our our were and CIS was to in a temporary that prior impacted major with onset from is also with a segment. construction decrease in in coming data with aligned consistent decline Page data center large customer. XX% the the the of of year. QX down This by customer prior the segment customer from low the pandemic by to XX% center Sales X. in quarter, from decreasing Sales fourth This
and the into down strong these fiscal to end XXXX. to lower volumes into commercial expect recovery fiscal for in primarily HVAC markets as refrigeration Sales crisis. the well, global We were continue XXXX, our
plants CIS in during able but have capacity. and U.S. normal operate to at – temporary Plants have Spain quarter, in fourth the production Italy remained were normal are China, Our are the below shutdown and subsequently low reopened but open operating level. at
our for opportunity the Mexico we late reopening these This our of significantly the are down reduced at cost government plans continued to includes were on distribution the this but footprint. level. managing and also Even using coils April manufacturing by pricing, in is in actively in of our our we consolidation challenges, was shut forward though, process Our in SG&A model, volume move CIS reductions focus the plant a operational segment. and strategic
closing Wuxi. fact, large China. coolers Zhongshan production plant and In of consolidating in operations We’ll our the be in of in we’re in coils plant process our manufacturing consolidating in
by able production to the the accelerate this volumes caused the due of timing We’re lower pandemic. consolidation to
CIS environment, also is we the new have current the from segment Although impacted economic benefited opportunities. by being
the has fighting ability rapidly that deliver laboratories facilities support our to allowed example, and and to virus. replacement are us in coils For to the frontline emergency healthcare respond
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one with concentrated as year. our center and in mentioned, data our will customer last in to CIS the down I segment highly result and schedule being sales As construction a sales pause are their compared
sales have we share successfully with expanding offerings. Page managed to However, wallet turn our to with Please product additional X. of grow customer
As year. from the expected, during markets for a decline we sales down the experienced were VTS XX% in across fourth segment Sales quarter. our significant vehicular the prior
Our Asia, coronavirus sales the decreased half pandemic key during in COVID-XX the vehicular decline due the markets of the and primarily fourth slowed accelerated in XX% second of from XXXX impact the year, fiscal In of significantly the the prior onset to the January. with quarter.
near excavator the XX% as the were our we of year. also during normal led period, Sales end plants as in still fourth temporarily our volumes quickly is of in time The Asian strong across The are lower off-highway market. markets. this During dropped China automotive line all Europe down bright or all all regulations. it’s with from the than recovered, somewhat also market government shutdown by capacity. Today, significantly the at reopened the year prior but prior operations quarter, manufacturing market a recovery open operating spot of major is but at possible
sales prior pandemic automotive, into their and well X% the response. customers vehicle our XX% European and as from quickly our Europe plants impact down commercial of were downs. moved year As automotive wind the in we program including plants decreased closed shutdown sales
have are Europe operating in plants but at VTS significantly subsequently our reopened, reduced capacity. most of All
down highway but was at U.S. week. and the Automotive at in sales from to Off-highway plant with VTS reopened the line were increase automotive were in is sales region European the automotive our production from commercial main also demand. were year, Americas, customer quarter through XX% plant and the the customer commercial XX% shutdowns vehicle up the story our in plants continued We production volumes. Sales XX%. down X% in closed year, prior Americas the our vehicle in with just Americas sales It last down and a line were reduced were while in prior will similar continue plants region.
of the segment outlook. limited is significant VTS One very issues we a faced in customer the
the customers provide conditions our or challenged. three Our we’re build production two typically our Today information remain allows remains of projected good view and from forecast. with for and to overall the a visibility that next volumes volatile us getting limited customers us plan months as temporary economic very our
with Our crisis. possible, cautiously prudently in where our Actions and spend so program risk of future. as we could and CapEx challenge advance improve a our in often is teams this to daily manufacturing this customers now remain capital to operations global program in contact somewhat of including taken reducing CapEx well spending program delaying manage through deadlines launches, need we the to continue purchases
capital postponing and our scrutiny where putting with purchases on for and request communicating are we So increased possible. customers
global automotive, largest in commercial, negative and quarter. in We expect we fiscal Similar significant expect and our the impact off-highway declines CIS, markets. the first to
excavator to whether in North the regards some or to China. not Beyond that higher V, the to an off-highway hardest. we’re be Europe market recovery hopefully spots in see the America be expect is with to hit Asia, extremely Geographically, difficult predict we and year-over-year bright a beginning shape will With recovery. U L sales
While bright are segment, well VTS are before navigating spots the never challenges, in they worth there noting. we’re seen
the business. strategic actively battery the financial for in this reach in and win that genset I’d expanded like E-Bus business. costs team overview strong our the work pleased consolidated the With In challenges content market a addition duty into to reduce added of demand turnover am cooling. has also had staying while with I winning on for of We Mick our we and to market done to for light China, demand heavy significant results. are focused excavators, seeing to a in an equipment recent we’re with bidding large growing
