展示99.1
この登録声明書はForm F-3で提出されました。
ニュースリリース
即時リリース
モディンは2025年第2四半期の財務結果を報告しています
この登録声明書はForm F-3で提出されました。
戦略的な買収および有機的なidc関連の成長による強力な四半期の業績
この登録声明書はForm F-3で提出されました。
ラシン、WI – 2024年10月29日 – Modine（nyse: MOD）は、熱管理テクノロジーとソリューションの多様なグローバルリーダーであり、2024年9月30日までの四半期の財務結果を報告しました。
第2四半期のハイライト：
| ● | 65800万ドルの純売上高は前年比6％増加しました |
| ● | 7530万ドルの営業利益は前年比15％増加しました |
| ● | 調整後のEBITDAは$99.8 millionで、前年比$18.6 million、または23％増加しました。 |
| ● | 1株当たりの利益は$0.86で、前年比$0.01減少しました。 |
| ● | 調整後の1株当たりの利益は$0.97で、前年比$0.08、または9％増加しました。 |
当社の強力な第2四半期の業績は、重要なエンドマーケットのいくつかで継続する勢いから利益を上げています。モディン社の社長兼最高経営責任者、ニール・D・ブリンカー氏は、「idc関連の売上高の増加により、スコット・スプリングフィールド社の買収による大きな影響を含め、トップラインの改善を実現しました。これは、自動車エンドマーケットと熱伝達製品ビジネスの両方での低いボリュームに対する大幅なオフセットがありました。全体として、前年比でマージンが改善し、利益の成長をもたらし、新しい2027会計年度の目標に向けた継続的な勢いを支えました。
第二四半期の財務結果
純売上高は前年比6％増の$658 millionで、前年の$620.5 millionと比較して増加しました。オーガニック売上高は前年比1％増加しました。
粗利益は23％増の16560万ドルに増加し、粗利率は340ベースポイント上昇して25.2％に改善され、これは主に有利な販売ミックス、最近取得したScott Springfield Manufacturing事業からの売上、及び有機的なidc関連売上の成長、およびより高い平均販売価格によって推進されました。
売上総利益は8580万ドルに対して1690万ドル増加しました。この増加は主に、改善された財務成績による増額インセンティブ給与の他、取得したScott SpringfieldビジネスのSG&A費用、取得した無形資産に対する470万ドルの増分償却費用等によるものでした。
営業利益は前年比15730万ドルの7530万ドルで、15％増加しました。この増加は、前年比の高い粗利益によるものであり、部分的には高いSG&A費用および再構築費用によって相殺されました。2025会計年度第2四半期には、欧州でのパフォーマンステクノロジーセグメントと商品ライン転送コストに関連する一時金に主に450万ドルの再構築費用が計上されました。再構築費用、一部のその他の負担、償却および負債と固定資産の減価償却費を除外した調整後EBITDAは、前年の8120万ドルに対して1860万ドル、または23％増の9980万ドルでした。
1
一株当たりの利益は前年比$0.87から$0.86になりました。調整後の一株当たりの利益は前年比$0.89から$0.97になりました。この$0.08または9%の改善は、主に粗利益の増加によるものです。
第2四半期セグメントレビュー
| ● | Climate Solutionsセグメントの売上高は36640万ドルで、1年前の28920万ドルと比較して27%増加しました。これには最近買収したScott Springfield Manufacturingの5340万ドルの売上も含まれています。オーガニック売上は7%増加しました。この増加は、データセンター冷却製品の販売増加によるもので、一部を相殺する形で熱伝達製品の販売が低下しました。セグメントの粗利率は29.0%で、前年比で基準点240ポイント上昇しました。これは、販売量の増加、有利な販売ミックス、商業価格決済の恩恵によるものです。セグメントの営業利益は6470万ドルで、前年比37%増加しました。調整後のEBITDAは7880万ドルで、前年比2520万ドルまたは47%増加しました。 |
| ● | Performance Technologiesセグメントの売上高は29750万ドルで、1年前の33730万ドルと比較して12%減少しました。四半期の売上額2190万ドルを除外した「売却の影響」および為替レート変動の影響を除外すると、オーガニック売上は5%減少しました。この減少は、自動車、オフハイウェイおよび商用車顧客への市場関連の低下から主に生じました。セグメントの粗利率は20.2%で、前年比で基準点310ポイント上昇しました。これは、平均販売価格の上昇、運営効率の改善、およびブラジルでの売上税額控除の認識によるものです。セグメントの営業利益は3080万ドルで、前年比で40万ドル減少しました。これは、前年と比較して高いリストラ費用が主な要因です。調整後のEBITDAは4100万ドルで、前年比210万ドルまたは5%増加しました。 |
財務諸表と流動性
2024年9月30日までの6か月間の営業活動からの純現金は9780万ドルで、前年比1300万ドル減少しました。2024年9月30日までの6か月間のフリーキャッシュフローは5750万ドルで、前年比2710万ドル減少しました。現在の年の運営利益の増加の影響は、前年と比較して不利な流動資本の純変化と前年と比較してより高い資本支出によって完全に相殺されたためです。2024年9月30日までの6か月間に対するリストラ活動、取得および統合コスト、環境費用の現金支払は合計1680万ドルで、前年比920万ドル増加しました。
2024年9月30日時点の総負債は40540万円でした。2024年9月30日時点の現金及び現金同等物は7,860万ドルでした。2024年9月30日現在の純負債は32680万円であり、2024年度末から4,470万ドル減少しました。
見通し
「昨年を含む過去1年間の強力な有機的成長やScott Springfield社の買収を含む戦略的な施策の成果により、idcビジネスの見通しが引き続き向上しています」とBrinkerは述べました。「コロケーションとハイパースケールの顧客ともシェアを伸ばし、市場需要に応えるために製品提供や製造能力の拡大を続けています。Performance Technologiesセグメントでは、80/20イニシアチブをさらに推進し、ビジネスミックスの改善に焦点を当て、車両市場の持続的な低迷を予想しています。引き続き当社の売上高と利益の記録更新を目指して、現在のガイダンスレンジを維持しています。」
カンファレンスコールおよびWebキャスト
モディーンは2024年10月30日水曜日の午前10時(東部時間午前11時)に第2四半期の財務結果について討論するために、会議通話とライブウェブキャスト(スライドプレゼンテーション付き)を実施します。ウェブキャストと関連するスライドは、モディーンのWebサイトの投資家向け情報ページwww.modine.comで利用可能です。参加者は、イベント開始の約10分前にウェブキャストと会議通話にログインするようお勧めします。音声とスライドのリプレイは、2024年10月30日以降、モディーンのWebサイトの投資家向け情報セクションwww.modine.comにて利用可能です。リプレイは2024年11月6日の深夜まで、877-660-6853(国際リプレイ 201-612-7415)で利用できます。会議ID# 13748652。会社は2024年11月1日以降、通話のテキストをWebサイトに掲載します。
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About Modine
At Modine, we are Engineering a Cleaner, Healthier World™. Building on more than 100 years of excellence in thermal management, we provide trusted systems and solutions that improve air quality and conserve natural resources. More than 11,000 employees are at work in every corner of the globe, delivering the solutions our customers need, where they need them. Our Climate Solutions and Performance Technologies segments support our purpose by improving air quality, reducing energy and water consumption, lowering harmful emissions and enabling cleaner running vehicles and environmentally friendly refrigerants. Modine is a global company headquartered in Racine, Wisconsin (U.S.), with operations in North America, South America, Europe and Asia. For more information about Modine, visit www.modine.com.
This press release contains statements, including information about future financial performance and market conditions, accompanied by phrases such as “believes,” “estimates,” “expects,” “plans,” “anticipates,” “intends,” “projects,” and other similar “forward-looking” statements, as defined in the Private Securities Litigation Reform Act of 1995. Modine's actual results, performance or achievements may differ materially from those expressed or implied in these statements because of certain risks and uncertainties, including, but not limited to those described under “Risk Factors” in Item 1A of Part I of the Company's Annual Report on Form 10-K for the year ended March 31, 2024 and under Forward-Looking Statements in Item 7 of Part II of that same report and in the Company's Quarterly Report on Form 10-Q for the quarter ended June 30, 2024. Other risks and uncertainties include, but are not limited to, the following: the impact of potential adverse developments or disruptions in the global economy and financial markets, including impacts related to inflation, energy costs, supply chain challenges or supplier constraints, logistical disruptions, tariffs, sanctions and other trade issues or cross-border trade restrictions; the impact of other economic, social and political conditions, changes and challenges in the markets where we operate and compete, including foreign currency exchange rate fluctuations, changes in interest rates, tightening of the credit markets, recession or recovery therefrom, restrictions associated with importing and exporting and foreign ownership, public health crises, and the general uncertainties, including the impact on demand for our products and the markets we serve from regulatory and/or policy changes that have been or may be implemented in the U.S. or abroad, including those related to tax and trade, climate change, public health threats, and military conflicts, including the current conflicts in Ukraine and in the Middle East and heightened tensions in the Red Sea; the overall health and pricing focus of our customers; our ability to successfully realize anticipated benefits, including improved profit margins and cash flow, from our strategic initiatives and our application of 80/20 principles across our businesses; our ability to be at the forefront of technological advances and the impacts of any changes in the adoption rate of technologies that we expect to drive sales growth; our ability to accelerate growth organically and through acquisitions and successfully integrate acquired businesses; our ability to effectively and efficiently manage our operations in response to sales volume changes, including maintaining adequate production capacity to meet demand in our growing businesses while also completing restructuring activities and realizing benefits thereof; our ability to fund our global liquidity requirements efficiently and comply with the financial covenants in our credit agreements; operational inefficiencies as a result of product or program launches, unexpected volume increases or decreases, product transfers and warranty claims; the impact on Modine of any significant increases in commodity prices, particularly aluminum, copper, steel and stainless steel (nickel) and other purchased components and related costs, and our ability to adjust product pricing in response to any such increases; our ability to recruit and maintain talent in managerial, leadership, operational and administrative functions and to mitigate increased labor costs; our ability to protect our proprietary information and intellectual property from theft or attack; the impact of any substantial disruption or material breach of our information technology (“IT”) systems; the impact of a material weakness identified in our internal controls related to IT system access in Europe on our financial reporting process; costs and other effects of environmental investigation, remediation or litigation and the increasing emphasis on environmental, social and corporate governance matters; our ability to realize the benefits of deferred tax assets; and other risks and uncertainties identified in our public filings with the U.S. Securities and Exchange Commission. Forward-looking statements are as of the date of this press release, and we do not assume any obligation to update any forward-looking statements.
3
Non-GAAP Financial Disclosures
Adjusted EBITDA, adjusted EBITDA margin, adjusted earnings per share, net debt, free cash flow, organic sales and organic sales growth (which are defined below) as used in this press release are not measures that are defined in generally accepted accounting principles (GAAP). These non-GAAP measures are used by management as performance measures to evaluate the Company’s overall financial performance and liquidity. These measures are not, and should not be viewed as, substitutes for the applicable GAAP measures, and may be different from similarly-titled measures used by other companies.
Definition – Adjusted EBITDA and adjusted EBITDA margin
The Company defines adjusted EBITDA as net earnings excluding interest expense, the provision or benefit for income taxes, depreciation and amortization expenses, other income and expense, restructuring expenses, acquisition and integration costs, and certain other gains or charges. Adjusted EBITDA margin represents adjusted EBITDA as a percentage of net sales. The Company believes that adjusted EBITDA and adjusted EBITDA margin provide relevant measures of profitability and earnings power. The Company views these financial metrics as being useful in assessing operating performance from period to period by excluding certain items that it believes are not representative of its core business. Adjusted EBITDA, when calculated for the business segments, is defined as operating income excluding depreciation and amortization expenses, restructuring expenses, and certain other gains or charges.
Definition – Adjusted earnings per share
Diluted earnings per share plus restructuring expenses, acquisition and integration costs, and excluding changes in income tax valuation allowances and certain other gains or charges. Adjusted earnings per share is an overall performance measure, not including costs associated with restructuring and acquisitions and certain other gains or charges.
Definition – Net debt
The sum of debt due within one year and long-term debt, less cash and cash equivalents. Net debt is an indicator of the Company's debt position after considering on-hand cash balances.
Definition – Free cash flow
Free cash flow represents net cash provided by operating activities less expenditures for property, plant and equipment. Free cash flow presents cash generated from operations during the period that is available for strategic capital decisions.
Definition – Organic sales and organic sales growth
Net sales and net sales growth can be impacted by acquisitions, dispositions, and foreign currency exchange rate fluctuations. The Company defines organic sales as external net sales excluding the impact of acquisitions and the effects of foreign currency exchange rate fluctuations. Organic sales growth represents the percentage change of organic sales compared to prior year external net sales, excluding the impact of dispositions. The effect of exchange rate changes is calculated by using the same foreign currency exchange rates as those used to translate financial data for the prior period. The Company adjusts for acquisitions and dispositions by excluding net sales in the current and prior periods, respectively, for which there are no comparable sales in the reported periods. These sales growth measures provide a more consistent indication of our performance, without the effects of foreign currency exchange rate fluctuations or acquisitions and dispositions.
4
Modine Manufacturing Company
Consolidated statements of operations (unaudited)
(In millions, except per share amounts)
|
| Three months ended September 30, |
| Six months ended September 30, | ||||||||
| | 2024 |
| 2023 | | 2024 |
| 2023 | ||||
Net sales | | $ | 658.0 | | $ | 620.5 | | $ | 1,319.5 | | $ | 1,242.9 |
Cost of sales | |
| 492.4 | |
| 485.4 | |
| 991.3 | |
| 979.9 |
Gross profit | |
| 165.6 | |
| 135.1 | |
| 328.2 | |
| 263.0 |
Selling, general & administrative expenses | |
| 85.8 | |
| 68.9 | |
| 168.6 | |
| 130.3 |
Restructuring expenses | |
| 4.5 | |
| 0.5 | |
| 9.9 | |
| 0.5 |
Operating income | |
| 75.3 | |
| 65.7 | |
| 149.7 | |
| 132.2 |
Interest expense | |
| (7.4) | |
| (6.1) | |
| (14.9) | |
| (12.0) |
Other (expense) income – net | |
| (1.5) | |
| 0.1 | |
| (1.8) | |
| (0.5) |
Earnings before income taxes | |
| 66.4 | |
| 59.7 | |
| 133.0 | |
| 119.7 |
Provision for income taxes | |
| (20.0) | |
| (12.8) | |
| (38.8) | |
| (27.5) |
Net earnings | |
| 46.4 | |
| 46.9 | |
| 94.2 | |
| 92.2 |
Net earnings attributable to noncontrolling interest | |
| (0.3) | |
| (0.4) | |
| (0.8) | |
| (0.9) |
Net earnings attributable to Modine | | $ | 46.1 | | $ | 46.5 | | $ | 93.4 | | $ | 91.3 |
| | | | | | | | | | | | |
Net earnings per share attributable to Modine shareholders – diluted | | $ | 0.86 | | $ | 0.87 | | $ | 1.73 | | $ | 1.72 |
| | | | | | | | | | | | |
Weighted-average shares outstanding – diluted | |
| 53.9 | |
| 53.4 | |
| 53.9 | |
| 53.2 |
Condensed consolidated balance sheets (unaudited)
(In millions)
|
| September 30, 2024 |
| March 31, 2024 | ||
Assets | | | | | | |
Cash and cash equivalents | | $ | 78.6 |
| $ | 60.1 |
Trade receivables | |
| 452.9 |
| | 422.9 |
Inventories | |
| 366.5 |
| | 357.9 |
Other current assets | |
| 54.6 |
| | 53.1 |
Total current assets | |
| 952.6 |
| | 894.0 |
Property, plant and equipment – net | |
| 373.9 |
| | 365.7 |
Intangible assets – net | |
| 165.8 |
| | 188.3 |
Goodwill | |
| 240.7 |
| | 230.9 |
Deferred income taxes | |
| 63.3 |
| | 75.1 |
Other noncurrent assets | |
| 119.3 |
| | 97.5 |
Total assets | | $ | 1,915.6 |
| $ | 1,851.5 |
| | | | | | |
Liabilities and shareholders’ equity | | | | | | |
Debt due within one year | | $ | 46.3 | | $ | 31.7 |
Accounts payable | |
| 295.1 | |
| 283.4 |
Other current liabilities | |
| 195.5 | |
| 230.7 |
Total current liabilities | |
| 536.9 | |
| 545.8 |
Long-term debt | |
| 359.1 | |
| 399.9 |
Other noncurrent liabilities | |
| 152.2 | |
| 150.3 |
Total liabilities | |
| 1,048.2 | |
| 1,096.0 |
Total equity | |
| 867.4 | |
| 755.5 |
Total liabilities & equity | | $ | 1,915.6 | | $ | 1,851.5 |
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Modine Manufacturing Company
Condensed consolidated statements of cash flows (unaudited)
(In millions)
|
| Six months ended September 30, | ||||
| | 2024 |
| 2023 | ||
Cash flows from operating activities: | | | | | | |
Net earnings | | $ | 94.2 | | $ | 92.2 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | | | | | | |
Depreciation and amortization | |
| 39.1 | |
| 27.7 |
Stock-based compensation expense | |
| 9.8 | |
| 4.6 |
Deferred income taxes | |
| 9.8 | |
| 5.5 |
Other – net | |
| 3.4 | |
| 3.8 |
Changes in operating assets and liabilities: | | | | | | |
Trade accounts receivable | |
| (25.5) | |
| 6.7 |
Inventories | |
| (5.2) | |
| (4.3) |
Accounts payable | |
| 21.8 | |
| (43.3) |
Other assets and liabilities | |
| (49.6) | |
| 17.9 |
Net cash provided by operating activities | |
| 97.8 | |
| 110.8 |
| | | | | | |
Cash flows from investing activities: | | | | | | |
Expenditures for property, plant and equipment | |
| (40.3) | |
| (26.2) |
Payments for business acquisitions | | | (3.4) | | | (4.8) |
Other – net | |
| 0.5 | |
| (3.4) |
Net cash used for investing activities | |
| (43.2) | |
| (34.4) |
| | | | | | |
Cash flows from financing activities: | | | | | | |
Net decrease in debt | |
| (28.8) | |
| (9.5) |
Purchases of treasury stock | | | (7.8) | | | (10.3) |
Other – net | |
| (0.1) | |
| 1.2 |
Net cash used for financing activities | |
| (36.7) | |
| (18.6) |
| | | | | | |
Effect of exchange rate changes on cash | |
| 0.7 | |
| (1.9) |
| | | | | | |
Net increase in cash, cash equivalents and restricted cash | |
| 18.6 | |
| 55.9 |
| | | | | | |
Cash, cash equivalents and restricted cash - beginning of period | |
| 60.3 | |
| 67.2 |
| | | | | | |
Cash, cash equivalents and restricted cash - end of period | | $ | 78.9 | | $ | 123.1 |
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Modine Manufacturing Company
Segment operating results (unaudited)
(In millions)
|
| Three months ended September 30, |
| Six months ended September 30, | ||||||||
|
| 2024 |
| 2023 |
| 2024 |
| 2023 | ||||
Net sales: | | | | | | | | | | | | |
Climate Solutions | | $ | 366.4 | | $ | 289.2 | | $ | 723.7 | | $ | 575.9 |
Performance Technologies | |
| 297.5 | |
| 337.3 | |
| 606.5 | |
| 680.4 |
Segment total | |
| 663.9 | |
| 626.5 | |
| 1,330.2 | |
| 1,256.3 |
Corporate and eliminations | |
| (5.9) | |
| (6.0) | |
| (10.7) | |
| (13.4) |
Net sales | | $ | 658.0 | | $ | 620.5 | | $ | 1,319.5 | | $ | 1,242.9 |
|
| Three months ended September 30, |
|
| Six months ended September 30, |
| ||||||||||||||||||
| | 2024 | | | 2023 |
| | 2024 | | | 2023 |
| ||||||||||||
|
| $’s |
| % of sales |
| | $’s |
| % of sales |
| | $’s |
| % of sales |
| | $’s |
| % of sales |
| ||||
Gross profit: | | | | | | | | | | | | | | | | | | | | | | | | |
Climate Solutions | | $ | 106.3 | | 29.0 | % | | $ | 76.9 |
| 26.6 | % | | $ | 207.1 | | 28.6 | % | | $ | 152.7 |
| 26.5 | % |
Performance Technologies | |
| 60.1 | | 20.2 | % | |
| 57.6 |
| 17.1 | % | |
| 123.6 | | 20.4 | % | |
| 109.5 |
| 16.1 | % |
Segment total | |
| 166.4 | | 25.1 | % | |
| 134.5 |
| 21.5 | % | |
| 330.7 | | 24.9 | % | |
| 262.2 |
| 20.9 | % |
Corporate and eliminations | |
| (0.8) | | — | | |
| 0.6 |
| — | | |
| (2.5) | | — | | |
| 0.8 |
| — | |
Gross profit | | $ | 165.6 | | 25.2 | % | | $ | 135.1 |
| 21.8 | % | | $ | 328.2 | | 24.9 | % | | $ | 263.0 |
| 21.2 | % |
|
| Three months ended September 30, |
| Six months ended September 30, | ||||||||
|
| 2024 |
| 2023 |
| 2024 |
| 2023 | ||||
Operating income: | | |
| | |
| | |
| | |
|
Climate Solutions | | $ | 64.7 | | $ | 47.1 | | $ | 124.5 | | $ | 95.7 |
Performance Technologies | |
| 30.8 | |
| 31.2 | |
| 62.3 | |
| 58.8 |
Segment total | |
| 95.5 | |
| 78.3 | |
| 186.8 | |
| 154.5 |
Corporate and eliminations | |
| (20.2) | |
| (12.6) | |
| (37.1) | |
| (22.3) |
Operating income | | $ | 75.3 | | $ | 65.7 | | $ | 149.7 | | $ | 132.2 |
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Modine Manufacturing Company
Adjusted financial results (unaudited)
(In millions, except per share amounts)
|
| Three months ended September 30, |
| Six months ended September 30, | ||||||||
|
| 2024 |
| 2023 |
| 2024 |
| 2023 | ||||
Net earnings | | $ | 46.4 | | $ | 46.9 | | $ | 94.2 | | $ | 92.2 |
Interest expense | |
| 7.4 | |
| 6.1 | |
| 14.9 | |
| 12.0 |
Provision for income taxes | |
| 20.0 | |
| 12.8 | |
| 38.8 | |
| 27.5 |
Depreciation and amortization expense | |
| 20.0 | |
| 14.0 | |
| 39.1 | |
| 27.7 |
Other expense (income) – net | |
| 1.5 | |
| (0.1) | |
| 1.8 | |
| 0.5 |
Restructuring expenses (a) | |
| 4.5 | |
| 0.5 | |
| 9.9 | |
| 0.5 |
Acquisition and integration costs (b) | |
| — | |
| — | |
| 1.9 | |
| — |
Environmental charges (c) | |
| — | |
| 1.0 | |
| 0.1 | |
| 1.2 |
Adjusted EBITDA | | $ | 99.8 | | $ | 81.2 | | $ | 200.7 | | $ | 161.6 |
| | | | | | | | | | | | |
Net earnings per share attributable to Modine shareholders - diluted | | $ | 0.86 | | $ | 0.87 | | $ | 1.73 | | $ | 1.72 |
Restructuring expenses (a) | |
| 0.07 | |
| 0.01 | |
| 0.17 | |
| 0.01 |
Acquisition and integration costs (b) | | | 0.04 | | | — | | | 0.11 | | | — |
Environmental charges (c) | |
| — | |
| 0.01 | |
| — | |
| 0.01 |
Adjusted earnings per share | | $ | 0.97 | | $ | 0.89 | | $ | 2.01 | | $ | 1.74 |
____ | | | | | | | | | | | | |
| (a) | Restructuring expenses primarily consist of employee severance expenses in Europe within the Performance Technologies segment and equipment transfer costs. The tax benefit related to restructuring expenses during the second quarter of fiscal 2025 and fiscal 2024 was $0.4 million and $0.1 million, respectively. The tax benefit related to restructuring expenses during the first six months of fiscal 2025 and fiscal 2024 was $0.8 million and $0.1 million, respectively. |
| (b) | On March 1, 2024, the Company acquired Scott Springfield Manufacturing, a leading provider of air handling units for the data center, telecommunications, healthcare, and aerospace markets. The adjustment in fiscal 2025 includes $1.6 million recorded at Corporate for the impact of an inventory purchase accounting adjustment. The Company wrote up acquired inventory to its estimated fair value and charged the write-up to cost of sales as the underlying inventory was sold. The fiscal 2025 costs also include fees for accounting and legal professional services and incremental costs directly associated with integration activities. In addition, for purposes of calculating adjusted EPS, the Company also adjusted for $5.3 million of incremental amortization expense recorded in the Climate Solutions segment during the first six months of fiscal 2025 associated with an acquired order backlog intangible asset, which will be substantially amortized by the end of fiscal 2025. The tax benefit related to the acquisition related costs and adjustments for the second quarter and first six months of fiscal 2025 was $0.6 million and $1.6 million, respectively. |
| (c) | Environmental charges, including related legal costs, are recorded as SG&A expenses at Corporate and relate to previously-owned facilities. |
8
Modine Manufacturing Company
Segment adjusted financial results (unaudited)
(In millions)
|
| Three months ended September 30, 2024 |
| Three months ended September 30, 2023 |
| ||||||||||||||||||||
|
| Climate |
| Performance |
| Corporate and |
|
| |
| Climate |
| Performance |
| Corporate and |
|
| |
| ||||||
| | Solutions | | Technologies | | eliminations | | Total | | Solutions | | Technologies | | eliminations | | Total |
| ||||||||
Operating income | | $ | 64.7 | | $ | 30.8 | | $ | (20.2) | | $ | 75.3 | | $ | 47.1 | | $ | 31.2 | | $ | (12.6) | | $ | 65.7 | |
Depreciation and amortization expense | |
| 12.6 | |
| 7.2 | |
| 0.2 | |
| 20.0 | |
| 6.2 | |
| 7.5 | |
| 0.3 | |
| 14.0 | |
Restructuring expenses (a) | |
| 1.5 | |
| 3.0 | |
| — | |
| 4.5 | |
| 0.3 | |
| 0.2 | |
| — | |
| 0.5 | |
Environmental charges (a) | |
| — | |
| — | |
| — | |
| — | |
| — | |
| — | |
| 1.0 | |
| 1.0 | |
Adjusted EBITDA | | $ | 78.8 | | $ | 41.0 | | $ | (20.0) | | $ | 99.8 | | $ | 53.6 | | $ | 38.9 | | $ | (11.3) | | $ | 81.2 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Net sales | | $ | 366.4 | | $ | 297.5 | | $ | (5.9) | | $ | 658.0 | | $ | 289.2 | | $ | 337.3 | | $ | (6.0) | | $ | 620.5 | |
Adjusted EBITDA margin | |
| 21.5 | % |
| 13.8 | % |
| | |
| 15.2 | % |
| 18.5 | % |
| 11.5 | % |
|
| |
| 13.1 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | |
|
| Six months ended September 30, 2024 |
| Six months ended September 30, 2023 |
| ||||||||||||||||||||
|
| Climate |
| Performance |
| Corporate and |
|
| |
| Climate |
| Performance |
| Corporate and |
|
| |
| ||||||
| | Solutions | | Technologies | | eliminations | | Total | | Solutions | | Technologies | | eliminations | | Total |
| ||||||||
Operating income | | $ | 124.5 | | $ | 62.3 | | $ | (37.1) | | $ | 149.7 | | $ | 95.7 | | $ | 58.8 | | $ | (22.3) | | $ | 132.2 | |
Depreciation and amortization expense | |
| 24.5 | |
| 14.2 | |
| 0.4 | |
| 39.1 | |
| 12.3 | |
| 14.9 | |
| 0.5 | |
| 27.7 | |
Restructuring expenses (a) | |
| 1.7 | |
| 8.2 | |
| — | |
| 9.9 | |
| 0.3 | |
| 0.2 | |
| — | |
| 0.5 | |
Acquisition and integration costs (a) | |
| — | |
| — | |
| 1.9 | |
| 1.9 | |
| — | |
| — | |
| — | |
| — | |
Environmental charges (a) | |
| — | |
| — | |
| 0.1 | |
| 0.1 | |
| — | |
| — | |
| 1.2 | |
| 1.2 | |
Adjusted EBITDA | | $ | 150.7 | | $ | 84.7 | | $ | (34.7) | | $ | 200.7 | | $ | 108.3 | | $ | 73.9 | | $ | (20.6) | | $ | 161.6 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Net sales | | $ | 723.7 | | $ | 606.5 | | $ | (10.7) | | $ | 1,319.5 | | $ | 575.9 | | $ | 680.4 | | $ | (13.4) | | $ | 1,242.9 | |
Adjusted EBITDA margin | |
| 20.8 | % |
| 14.0 | % |
| | |
| 15.2 | % |
| 18.8 | % |
| 10.9 | % |
|
| |
| 13.0 | % |
____ | | | | | | | | | | | | | | | | | | | | | | | | | |
| (a) | See the Adjusted EBITDA reconciliation on the previous page for information on restructuring expenses and other adjustments. |
9
Modine Manufacturing Company
Net debt (unaudited)
(In millions)
|
| September 30, 2024 |
| March 31, 2024 | ||
Debt due within one year | | $ | 46.3 | | $ | 31.7 |
Long-term debt | |
| 359.1 | |
| 399.9 |
Total debt | |
| 405.4 | |
| 431.6 |
| | | | | | |
Less: cash and cash equivalents | |
| 78.6 | |
| 60.1 |
Net debt | | $ | 326.8 | | $ | 371.5 |
Free cash flow (unaudited)
(In millions)
|
| Three months ended September 30, |
| Six months ended September 30, | ||||||||
|
| 2024 |
| 2023 | | 2024 |
| 2023 | ||||
Net cash provided by operating activities | | $ | 57.3 | | $ | 69.1 | | $ | 97.8 | | $ | 110.8 |
Expenditures for property, plant and equipment | |
| (13.5) | |
| (11.1) | |
| (40.3) | |
| (26.2) |
Free cash flow | | $ | 43.8 | | $ | 58.0 | | $ | 57.5 | | $ | 84.6 |
Organic sales and organic sales growth (unaudited)
(In millions)
|
| Three months ended September 30, 2024 |
| Three months ended September 30, 2023 | | |
| |||||||||||||||||
|
| | |
| Effect of |
| |
| |
| | |
| | |
| Sales |
| Organic | | ||||
| | External | | Exchange Rate | | Effect of | | Organic | | External | | Effect of | | Excluding | | Sales | | |||||||
| | Sales | | Changes | | Acquisitions | | Sales | | Sales | | Dispositions | | Dispositions | | Growth | | |||||||
Net sales: | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
|
|
Climate Solutions | | $ | 366.4 | | $ | (2.4) | | $ | (53.4) | | $ | 310.6 | | $ | 289.2 | | $ | — | | $ | 289.2 | | 7 | % |
Performance Technologies | |
| 291.6 | |
| 2.6 | |
| — | |
| 294.2 | |
| 331.3 | |
| (21.9) | |
| 309.4 | | (5) | % |
Net Sales | | $ | 658.0 | | $ | 0.2 | | $ | (53.4) | | $ | 604.8 | | $ | 620.5 | | $ | (21.9) | | $ | 598.6 | | 1 | % |
| | | | | | | | | | | | | | | | | | | | | | | | |
|
| Six months ended September 30, 2024 |
| Six months ended September 30, 2023 | | |
| |||||||||||||||||
|
| | |
| Effect of |
| |
| |
| | |
| | |
| Sales |
| Organic | | ||||
| | External | | Exchange Rate | | Effect of | | Organic | | External | | Effect of | | Excluding | | Sales | | |||||||
| | Sales | | Changes | | Acquisitions | | Sales | | Sales | | Dispositions | | Dispositions | | Growth | | |||||||
Net sales: | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
|
|
Climate Solutions | | $ | 723.6 | | $ | (1.7) | | $ | (94.5) | | $ | 627.4 | | $ | 575.9 | | $ | — | | $ | 575.9 | | 9 | % |
Performance Technologies | |
| 595.9 | |
| 6.0 | |
| — | |
| 601.9 | |
| 667.0 | |
| (46.2) | |
| 620.8 | | (3) | % |
Net Sales | | $ | 1,319.5 | | $ | 4.3 | | $ | (94.5) | | $ | 1,229.3 | | $ | 1,242.9 | | $ | (46.2) | | $ | 1,196.7 | | 3 | % |
10
SOURCE: Modine
Kathleen Powers
(262) 636-1687
kathleen.t.powers@modine.com
11