How Modine Makes Money

Modine sells engineered thermal-management equipment to businesses, not consumers. In fiscal 2026 (ended March 31, 2026) it reported through two segments. Climate Solutions, which grew about 43% in the year, covers data center cooling (chillers, computer-room air handlers, fan walls and coolant distribution units sold under brands such as Airedale), commercial HVAC and ventilation (including Scott Springfield air handlers), refrigeration and heat-transfer coils. Performance Technologies supplies radiators, charge-air coolers, battery thermal systems and other components to commercial-vehicle, off-highway and industrial OEMs. Revenue comes from equipment and component sales, often under multi-year programs with OEMs and hyperscale data center customers, plus aftermarket parts. After the planned October 1, 2026 spinoff of Performance Technologies into Gentherm, the remaining company is a Climate Solutions business focused on data centers, HVAC and refrigeration.

Modine's growth plan centers on data center cooling, where it expects fiscal 2027 sales to grow 60% to 80% after reaching about $1.1 billion in fiscal 2026. It is adding production capacity, expanding liquid-cooling products such as coolant distribution units, and buying HVAC businesses that broaden its commercial offering. The 80/20 framework is used to drop low-margin products, and separating Performance Technologies lets management put capital into the faster-growing Climate Solutions side.