MAYFIELD HEIGHTS, Ohio—Parker Hannifin Corp., a maker of motion and control technologies, reported that sales for its fiscal 2020 third quarter were $3.70 billion, up slightly from sales of $3.69 billion in the prior-year quarter.
Net income was $367.3 million, or $2.83 per share, down from $411.2 million, or $3.14 per share, in the third quarter of fiscal 2019.
"The third quarter was a strong quarter for Parker during the early stages of this historic period of global disruption," Chairman and CEO Tom Williams said in a statement. Despite an organic sales decline of 7.4 percent, Williams said, "we delivered strong adjusted total segment operating margin, and adjusted EBITDA margin was 19.3 prcent, an improvement of 60 basis points compared with the same quarter a year ago."
He noted that Parker products "are being used in countless applications to combat the spread and support the treatment of COVID-19."
However, Williams said Parker expects the months ahead "will be much more challenging as April order trends have become more negative with the current global economy. As a result, we have been comprehensive in taking immediate cost reduction and cash preservation actions that include global salary reductions and reduced work schedules, a global hiring freeze, deferral of annual merit increases, targeted restructuring, elimination of discretionary spending, optimizing working capital and reducing capital expenditures, all of which will help us mitigate the financial impact of a drop off in demand."