Modine Manufacturing Company · Q3 2020 earnings

Briefing

Modine's third quarter fiscal 2020 results were reported, with adjusted EPS guidance raised due to a lower expected tax rate and continued progress on automotive separation and exit.

Modine Manufacturing Company reported a decrease in net sales by 12% to $473.4 million compared to the prior year, driven by market-related volume declines in the VTS segment and lower data center and refrigeration sales in the CIS segment. Earnings per share was $0.02, while adjusted earnings per share was $0.37. The company raised its adjusted EPS guidance range for fiscal 2020 due to a lower expected tax rate and confirmed sales and adjusted operating income guidance.

• Net sales decreased 12 percent from the prior year to $473.4 million.
• Operating income declined to $8.2 million, with adjusted operating income at $24.0 million.
• Earnings per share was $0.02, and adjusted earnings per share was $0.37.
• Adjusted EPS guidance range for fiscal 2020 was raised due to lower expected tax rate, while sales and adjusted operating income guidance were confirmed.

Headline financials

Revenue & EPS history

Modine provided its updated forecasted outlook for fiscal 2020, which remains inclusive of the automotive business in its VTS segment, with full year year-over-year sales down 7 to 12 percent; adjusted operating income of $85 million to $95 million; and adjusted earnings per share of $0.85 to $1.00.