Batesville-based Hillenbrand Inc. (NYSE: HI) is reporting fiscal first quarter net income of $20 million, down from $29.5 million during the same period the previous year. Chief Executive Officer Joe Raver says the company has experienced a sharp decline in demand, which is expected to remain low throughout the rest of the fiscal year.
Raver says the company continues to "face increasing headwinds in a number of our key industrial end markets. Additionally, we are forecasting lower volume in the burial market this year due to a lighter than expected flu season and an increasing cremation rate. Despite these challenges, we continue to take actions to aggressively manage costs and reallocate resources in response to shifting demand to keep Hillenbrand well positioned for long-term profitable growth."
The company says it has begun restructuring activities in order to reduce costs and streamline its operations. It is expecting to save approximately $10 million per year from that restructuring.
Hillenbrand recently announced the completion of its acquisition of Pennsylvania-based Red Valve Co. Inc. Raver said acquisitions will remain a key element of the company’s strategy.