Methode Electronics, Inc. (NYSE:MEI) Q1 2023 Earnings Conference Call September 1, 2022 8:30 AM ET
Company Participants
Robert Cherry - VP, IR
Don Duda - President and CEO
Ron Tsoumas - CFO
Conference Call Participants
Luke Junk - Baird
John Franzreb - Sidoti
Operator
Good morning, ladies and gentlemen, and welcome to the Methode Electronics First Quarter Fiscal 2023 Results Call. [Operator Instructions]
It is now pleasure to turn the floor over to your host, Robert Cherry, Vice President of Investor Relations. Sir, the floor is yours.
Robert Cherry
Thank you, operator. Good morning, and welcome to Methode Electronics fiscal 2023 first quarter earnings conference call. For this call, we have prepared a presentation entitled Fiscal 2023 first quarter financial results, which can be viewed on the webcast of this call or found at methode.com on the Investors page.
This conference call contains certain forward-looking statements, which reflect management's expectations regarding future events and operating performance and speak only as of the date hereof. These forward-looking statements are subject to the Safe Harbor protection provided under the securities laws. Methode undertakes no duty to update any forward-looking statements to conform the statement to actual results or changes in Methode's expectations on a quarterly basis or otherwise.
The forward-looking statements in this conference call involve a number of risks and uncertainties. The factors that could cause actual results to differ materially from our expectations are detailed in Methode's filings with the Securities and Exchange Commission, such as our 10-K and 10-Q reports.
At this time, I'd like to turn the call over to Mr. Don Duda, President and Chief Executive Officer.
Don Duda
Thank you, Rob, and good morning, everyone. Thank you for joining us for our fiscal 2023 first quarter earnings conference call. I'm joined today by Ron Tsoumas, our Chief Financial Officer. Both Ron and I will have opening comments, and then we will take your questions.
Let’s begin with the highlights on Slide 4. Our sales for the quarter were $282 million, helping our sales by a $11 million with successful spot buy in premium freight cost recovery efforts. Working the opposite was foreign currency, which had a negative $14 million impact on sales. Also working against us were market headwinds in our automotive segment in Asia and Europe.
In Asia, the COVID-19 lockdowns in China impacted the end of our fourth quarter, as well as the beginning of our first quarter. In Europe, we saw continued weakness in the auto market due to macroeconomic conditions. Helping to offset the weaker auto sales was a record quarter of sales in our Industrial segment. The surge in industrial sales was driven by power distribution, both through data center and EV applications, and by commercial vehicle lighting. This is in keeping with our strategic direction to grow our Industrial segment.