What drove MOD's EPS surprise in Q1 2025?

Modine Manufacturing Co (MOD) experienced an EPS surprise in Q1 2025 due to several key factors:

1. **Revenue Growth**: Modine's revenue grew significantly, driven by a 10% increase in third-quarter sales and substantial growth in specific segments. The company's data center revenue increased by 176%, with $106 million growth from the prior year. The Scott Springfield Acquisition contributed $74 million in revenue. Climate solutions sales also grew by 42%. These organic and acquisition-driven growths contributed to higher revenue and, consequently, EPS.
2. **Efficient Operations and Margin Improvement**: Modine's adjusted EBITDA increased by 18%, with a margin of 14%. This improvement in operational efficiency and margin growth directly impacted the company's profitability, leading to a higher EPS.

In conclusion, Modine's EPS surprise in Q1 2025 was primarily driven by robust revenue growth from various segments, strategic acquisitions, and efficient operations that led to improved margins.