Modine’s losses are mounting

Modine Manufacturing Co. reported a loss of $41.0 million, or $1.28 per share, for its fiscal fourth quarter, which was worse than its loss of $2.8 million, or 9 cents per share, in the same period a year ago. The Racine-based thermal management company’s net sales increased in the quarter to $478.5 million from $414.7 million. Included in the results are repositioning charges of $8.0 million in connection with the company’s announced restructuring in its North American and European operations, long-lived asset impairment charges of approximately $16.0 million, including $12.1 million related to the company’s Korean operations, and a valuation allowance charge of $6.7 million recorded against its Korean net deferred tax assets. In addition, the company continues to be unable to benefit from taxable losses in the United States, resulting in incremental valuation allowance charges of $17.6 million during the fourth quarter. For the full fiscal year, Modine reported a net loss of $65.6 million, compared with a net profit of $42.3 million in the prior year.