SPX Corporation (NYSE:SPXC) Q1 2020 Earnings Conference Call - Final Transcript

Apr 30, 2020 • 04:45 pm ET


SPX Corporation (NYSE:SPXC) Q1 2020 Earnings Conference Call - Final Transcript


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Ladies and gentlemen, thank you for standing by and welcome to the SPX Corporation First Quarter 2020 Earnings Conference Call. [Operator Instructions]

I would now like to turn the conference to your speaker today Paul Clegg, Vice President of Investor Relations. Please go ahead sir.

Paul Clegg

Thank you and good afternoon everyone. Thanks for joining us. With me on the call today are Gene Lowe, our President and Chief Executive Officer; and Scott Sproule, our Chief Financial Officer.

The press release containing our first quarter results was issued today after market close. You can find the release and our earnings slide presentation as well as a link to a live webcast of this call in the Investor Relations section of our website at spx.com. I encourage you to review our disclosure and discussion of GAAP results in the press release and to follow along with the slide presentation during our prepared remarks. A replay of the webcast will be available on our website until May 7th.

As a reminder, portions of our presentation and comments are forward-looking and subject to Safe Harbor provisions. Please also note the risk factors in our most recent SEC filings including our disclosures related to the ongoing COVID-19 pandemic. Our comments today will largely focus on adjusted financial results. You can find detailed reconciliations of historical adjusted figures to their respective GAAP measures in the appendix to today's presentation.

Our segment reporting structure combines the results of our Heat Transfer and South African operations into an all other category which is excluded from our adjusted results. Our adjusted earnings per share also excludes non-service pension items including our true-up of actuarial assumptions, amortization expense, and one-time costs associated with acquisitions.

Finally, we will be conducting virtual meetings with investors during the second quarter including our participation in the Oppenheimer Industrials Growth Conference on May 5th. Additionally, we will be virtually hosting our Annual Stockholder Meeting on Thursday, May 14th at 8 A.M. Eastern Time.

And with that, I'll turn the call over to Gene.

Gene Lowe

Thanks Paul. Good afternoon everyone. Thanks for joining us. Before we get started, I hope that all of you and your families are safe and well. These are certainly challenging times and we appreciate your support as we all navigate through the health crisis. I also wanted to take the opportunity to thank the entire SPX team for their strength and continued perseverance. I'm really impressed with how our people have adapted and succeeded in a rapidly changing environment.

On the call today, we'll provide you with a brief update on our overall results and segment performances for the first quarter. We'll also get into a more detailed discussion regarding the impacts of the COVID-19 pandemic, the actions we have taken, and our process for dealing with continued uncertainty.

Now, I'll touch on some from the highlights from the quarter. We had a strong first quarter with a solid increase in revenue and adjusted operating margin. The COVID-19 impact to the quarter was