Modine spins off Performance Technologies, raises outlook amid data center demand
What happened
Modine announced the spin-off of Performance Technologies, which merged with Gentherm on October 1. The company also confirmed plans to launch a data center facility in Calgary and increase throughput in Wisconsin. Modine raised its revenue growth outlook for its remaining businesses after data center sales nearly doubled in the second quarter of fiscal 2027.
From tickerreport.com
Why it matters
The thermal management company reported four consecutive quarters of record data center orders, with Q2 data center revenue rising 95% year-over-year. Although adjusted EBITDA grew 66%, the margin was lower than anticipated due to persistent supply chain costs, tariffs, and raw material inflation.
From tickerreport.com
Who's involved
- ModineThe company that announced the spin-off and raised its revenue outlook.
- Performance TechnologiesThe former business unit that was spun off and merged with Gentherm.
- CalgaryThe city where Modine plans to launch a new data center facility.
- WisconsinThe state where Modine plans to increase throughput at its facilities.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- WisconsinSpeculative
Local manufacturing output in Wisconsin might increase due to Modine increasing its throughput.
- City of CalgarySpeculative
The City of Calgary might see increased municipal tax revenue and a larger job base from the new industrial investment.
- AlbertaSpeculative
Alberta could experience boosted provincial economic activity and GDP from the industrial investment in Calgary.
Keep exploring
The entities involved
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Modine
public company
Nothing else this week.
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Calgary
largest city in Alberta, Canada
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Performance Technologies
former American computer networking company