Modine Manufacturing Company Reports Unaudited Consolidated Earnings Results for the First Quarter Ended June 30, 2017; Provides Earnings Guidance for the Fiscal Year 2018; Provides Tax Rate Guidance for the Fiscal 2019
August 01, 2017 at 05:00 pm
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Modine Manufacturing Company reported unaudited consolidated earnings results for the first quarter ended June 30, 2017. For the quarter, the company reported adjusted operating income of $31.6 million compared to $19.5 million a year ago. Adjusted earnings per share were $0.39 compared to $0.23 a year ago. Adjusted EBITDA was $48.8 million compared to $30.6 million a year ago. Net debt was $489.1 million compared to $476.7 million a year ago. Net sales were $515.5 million compared to $347.2 million a year ago. Operating income was $27.6 million compared to $15.8 million a year ago. Earnings before income taxes were $20.1 million compared to $11.9 million a year ago. Net earnings attributable to the company were $17.0 million or $0.34 per diluted share compared to $8.6 million or $0.18 per diluted share a year ago. Net cash provided by operating activities was $18.7 million compared to $1.6 million a year ago. Expenditures for property, plant and equipment were $21.6 million compared to $14.5 million a year ago. Negative free cash flow was $2.9 million against $12.9 million a year ago. Adjusted free cash flow was $9.0 million against negative adjusted free cash flow of $6.6 million a year ago.
The company provided earnings guidance for the fiscal year 2018. For the year, the company expects full fiscal year-over-year sales up 25% to 30%, adjusted EBITDA of $175 million to $185 million, adjusted operating income of $100 million to $110 million, and adjusted earnings per share of $1.20 to $1.35. The company expects capex spending for the full year to be in line with fiscal 2017. The company assumes interest expense of approximately $26 million. This tax benefit is expected to lower its adjusted tax expense significantly to the 15% range in 2018.
The company expects its effective tax rate to return to 28% to 30% in fiscal 2019.
Modine Manufacturing Company specializes in providing thermal management products and solutions to diversified global markets and customers across commercial, industrial, and building heating, ventilating, air conditioning, and refrigeration markets. Its segment includes Climate Solutions and Performance Technologies. The Climate Solutions segment provides energy-efficient, climate-controlled solutions and components for a wide array of applications. The Climate Solutions segment sells heat transfer products, heating, ventilating, air conditioning and refrigeration (HVAC and refrigeration) products, and data center cooling solutions. This segment also includes coatings business. The Performance Technologies segment designs and manufactures air- and liquid-cooled technology for vehicular, stationary power, and industrial applications. The Performance Technologies segment also provides advanced thermal solutions to zero-emission and hybrid commercial vehicle and automotive customers.
Modine Manufacturing Company Reports Unaudited Consolidated Earnings Results for the First Quarter Ended June 30, 2017; Provides Earnings Guidance for the Fiscal Year 2018; Provides Tax Rate Guidance for the Fiscal 2019