These cost-out actions will reduce SG&A by $16 million in the fiscal year and just over $17 million on an annualized basis.
In addition, we have cut capital budgets by over 50% to $4 million in fiscal year 2021.
While the COVID-19 crisis has had an acute near-term impact to our business in late Q4 of 2020 and now in Q1 of fiscal year 2021, the supply demand imbalance in the old markets and reduced capital and operating budgets will have a lasting impact over the next 18 months to 24 months.
Over the 65 plus years of our existence, we have built a global installed base and have long lasting relationships with loyal customers around the world.
This business combined with low capital intensity is the key to the resilience of our business model that has enabled us to generate cash during prior downturns and will allow us to continue to generate positive cash flows over the next 12 months.
Our current net debt to adjusted EBITDA ratio of 2.1 times means we are entering this difficult period from a position of strength.
In FY 2020, we generated $61 million in free cash flow, paid down $38 million in debt and finished the year with $43 million in cash, with an additional $60 million in revolving credit.
While we observed weaker discretionary spending beginning in our fiscal Q3, the unprecedented impact of COVID-19 on the global economy as well as the dislocation in oil and gas markets starting in March has combined to reduce our customers' capital and operating budgets for at least the next 12 months.
Thermon's revenue of $88 million in fiscal Q4 was down 23% and at the lower end of our forecasted rage due to the impact of COVID-19 in the Western Hemisphere in Mach.
While our gross margins were up 90 basis points year-over-year, they were negatively impacted by 390 basis points by one-time adjustment associated with operational execution in the quarter.
Adjusted EBITDA of $9 million was down significantly due to lower volume and a cost base that does not yet reflect actions we have taken to address the lower volume environment we see moving forward.
Europe's Q4 was largely responsible for the revenue decline, which was down 38% from prior year.
Asia-Pacific was down 16% in our Q4 due to the early impact of the coronavirus in the region, but was able to show growth in fiscal 2020 despite the Q4 decline.
We anticipate the recovery of demand for transportation fuels to be protracted and the oil supply overhang will take 18 months to 24 months to rebalance with many factors impacting the timing.
We have repositioned the business such that upstream is a smaller percentage of the portfolio that during the last downturn, representing approximately 14% of fiscal 2020 revenues, with capital budgets being cut by 20% to 30% or more in certain markets or geographies, the bulk of those cuts by international oil companies have been focused on upstream capital budgets.
While we continue to invest approximately 2.5% of our revenues in research and development and expect to release three to five new products in fiscal 2021.
We believe the above actions will reduce expenses for fiscal 2021 by over $16 million and helped us right-size the business for the demand environment that we see over the next 18 months to 24 months.
We have set goals for continuous improvement initiatives to deliver an annual incremental 100 basis point improvement in gross margins.
Our primary customers in the broader oil and gas, chemical and power sectors have significantly reduced capital and operating budgets in the last 90 days, which in turn limits the demand for both our Greenfield and maintenance solutions.
Orders in the first fiscal quarter to-date are down approximately 40% to 45% with our Greenfield business less impacted than our MRO/UE business.
Our cash and investments balance at the end of March improved to $43.2 million and we generated $14.4 million in free cash flow in the quarter and we are able to pay down $5.6 million in debt.
And year-to-date, we have generated $60.7 million in free cash flow and paid down $38 million in debt.
And we have access to a $60 million revolver line of credit subject to a consolidated leverage ratio of 4.5 to 1, that steps down to 3.75 to 1 in December of this year.
The debt pay down will reduce our interest expense next fiscal year by $0.04 a share, that's after tax and the reduction in amortization expense due to the previous private equity transaction, coupled with the interest expense savings will be accretive to our fiscal year '21 earnings per share by $0.23 a share and that's after tax with potential additional interest expense savings forthcoming.
Our gross debt amount at 3/31 was $176 million and net debt of $133 million with a net debt to EBITDA ratio of 2.1 times.
In addition, last month, we took actions to reduce our run-rate spending by $17 million by reducing personnel costs, discretionary spending and consultant and contractor costs.
After accounting for the impact of the cost out actions that we have already executed, we believe our annualized breakeven revenue by which we mean the revenue levels where free cash flow is breakeven is between 35% and 40% lower than our fiscal year 2020 results.
And again, we do not believe this to be representative how our results for the next 12 months and we will continue to stay close to our customers and monitor leading indicators for any changes to our plan.
Turning to revenue and orders, our revenue this past quarter totaled $88.4 million and that's a decline of 22.6% against the prior year quarter.
The legacy revenue mix between MRO/UE and Greenfield was 60% and 40% respectively versus a 50:50 mix in Q4 of fiscal year '19.
And FX nominally decreased total revenue by $1.3 million and in constant currency, our revenue declined by 21%.
Orders for the quarter totaled $90.5 million versus $105.7 million in the prior year quarter for a decline of 14%, again two factors previously mentioned.
Our backlog of orders ended March at $105.7 million versus $120 million as of March of '19 and that's a decrease of 12%.
And gross margins in our backlog improved to 33% versus 32% at the end of March '19.
And our book-to-bill for the quarter was slightly positive at 1.02.
Margins were 40.3% and that's a 90 basis point improvement versus the comp period and that was mainly driven by a favorable Greenfield MRO mix.
And our gross profit declined by 9.4% due to the double-digit revenue decline or by 20.9% versus the record comp period and gross margins were impacted in the quarter by 390 basis points due to a one-time charge related to operational execution.
Operating expenses for the quarter, that is SG&A and this excludes depreciation and amortization of intangibles totaled $26.4 million versus $24.3 million in the prior quarter, which includes $1 million of expenses relating to the restructuring in EMEA.
Our opex as a percent of revenue was 29.9%, again excluding depreciation and amortization and that's an increase of 860 basis points from the prior year level of 21.3%.
And we expect to take a one-time charge of approximately $2.8 million for cost reductions that occurred during May in our Q1 income statement.
GAAP earnings per share for the quarter totaled a negative $0.09 compared to the prior year quarter of $0.20 and that's a decline of $0.29 per share.
Adjusted earnings per share as defined by GAAP earnings per share less amortization expense and any-one time charges totaled $0.01 a share relative to $0.32 a share in the prior year quarter.
Adjusted EBITDA declined by 57.6% versus the comparison quarter and adjusted EBITDA as a percent of revenue was 10.2% and that's a decline of 880 basis points versus the comp period and adjusted EBITDA totaled $9.2 million this past quarter.
And our EBITDA conversion ratio and that's defined as EBITDA less capex divided by EBITDA for the last 12 months was 84.4%.
Our capex spend for the fourth quarter totaled $3.9 million and that is inclusive of both growth and maintenance capital with fiscal year 2020 capex totaling $10 million.
And we expect fiscal year '21 capex to be reduced by 60% to $4.0 million.
Free cash flow per share for fiscal year '20 was $1.83 and that's a non-GAAP measure, but it reinforces our ability to generate cash.
Taxes, the tax rate for the year was 30% and was impacted due to the non-deductibility of interest expense due to the GILTI tax provision.
Revenue for the year totaled $383.5 million and that's a decline of 7.1% over the prior year driven mainly by our EMEA, where we have taken significant measures to adjust our cost structure and position the region for modest growth in fiscal year '21.
Gross profit for the year was $161.6 million, a decline of 81% over the prior year.
Gross margins were 42.1% and that's a 50 basis point decline over the prior year.
And SG&A was $100.8 million and that's a 3.4% increase over the prior year and that excludes the cost of our cost-out actions throughout this year.
Adjusted EBITDA for the year was $64.3 million and that's a decline of 22.9% over the prior year and 16.8% as a percent of sales.
GAAP earnings per share for the year was $0.36 and that's a decline of $0.33 and adjusted earnings per share was $0.75 or a decline of $0.44.

Summary:
Turning to revenue and orders, our revenue this past quarter totaled $88.4 million and that's a decline of 22.6% against the prior year quarter.
Orders for the quarter totaled $90.5 million versus $105.7 million in the prior year quarter for a decline of 14%, again two factors previously mentioned.
Our backlog of orders ended March at $105.7 million versus $120 million as of March of '19 and that's a decrease of 12%.
GAAP earnings per share for the quarter totaled a negative $0.09 compared to the prior year quarter of $0.20 and that's a decline of $0.29 per share.
Adjusted earnings per share as defined by GAAP earnings per share less amortization expense and any-one time charges totaled $0.01 a share relative to $0.32 a share in the prior year quarter.