West Milwaukee-based Rexnord Corp. reported a net loss of $2.2 million for the first quarter of its fiscal year, down from net income of $11.2 million in the first quarter of the previous fiscal year. Net sales were up 4.4 percent to $497 million.
The company completed an initial public offering (IPO) in April, which generated $458.3 million for the sale of 27.2 million shares of stock.
As a result of debt redemption the company recorded a $21.1 million loss on debt extinguishment in the first quarter.
Todd A. Adams, president and chief executive officer, said business is slowing down and the company is concerned about the global economic outlook.
“During the quarter we saw a slowing environment in several of our key vertical markets as well as in Europe,” he said. “We have anticipated a lower growth environment for the balance of our fiscal year and have proactively taken steps to reduce our costs while protecting prioritized growth investments.”