Business
Columbus McKinnon Reports Continued Sales Growth and Gross Margin Expansion in Q1 FY25; Reaffirms FY25 Guidance
CHARLOTTE, N.C.--(BUSINESS WIRE)-- Columbus McKinnon Corporation (Nasdaq: CMCO) ("Columbus McKinnon" or the "Company"), a leading designer, manufacturer and
About this update from Columbus Mckinnon Corporation
[{"type":"text","content":" CHARLOTTE, N.C.--(BUSINESS WIRE)--\nColumbus McKinnon Corporation (Nasdaq: CMCO) (\"Columbus McKinnon\" or the \"Company\"), a leading designer, manufacturer and marketer of intelligent motion solutions for material handling, today announced financial results for its fiscal year 2025 first quarter, which ended June 30, 2024.\n\n\nFirst Quarter 2025 Highlights (compared with prior-year period, except where otherwise noted)\n\n\n\nNet sales increased 2% to $239.7 million with strength in precision conveyance\n\n\n\nBacklog increased 4% from the prior quarter with book-to-bill ratio of 1.05x\n\n\n\nGross margin increased 30 bps to 37.1%; Adjusted Gross Margin1 increased 110 bps to 38.0%\n\n\n\nNet income of $8.6 million or 3.6% of sales including $2.6 million2 of costs for factory simplification as we transition manufacturing to our Monterrey, MX facility\n\n\n\nAdjusted EBITDA1 increased 2% to $37.5 million with Adjusted EBITDA Margin1 of 15.6%\n\n\n\nNet cash used for operating activities improved $6.5 million from the prior year\n\n\n\nIncreased financial flexibility with Q1 FY25 debt repayment of $20 million; Expect FY25 debt repayment of $60 million\n\n\n\n“We executed solidly in the first quarter delivering continued sales growth and gross margin expansion while advancing our longer-term strategic objectives,” said David J. Wilson, President and Chief Executive Officer. “Our commercial and operational initiatives are positively impacting the business enabling new customer wins, growth in attractive vertical markets and an encouraging funnel of promising business opportunities.”\n\n\n“Earlier this month, we initiated the next phase of our footprint simplification plan and began consolidating an additional production facility into our Monterrey manufacturing center of excellence,” continued Wilson. “While the restructuring actions associated with this plan are expected to impact sales and margin in the second quarter, the impacts were contemplated in the full-year guidance we provided last quarter. Importantly, these actions will advance our operational and margin expansion efforts and enhance shareholder value over time.”\n\n\nFirst Quarter Fiscal 2025 Sales\n\n\n\n\n($ in millions)\n\n\n\n\n\n\nQ1 FY25\n\n\n\n\n\n\n \n\n\n\n\n\n\nQ1 FY24\n\n\n\n\n\n\n \n\n\n\n\n\n\nChange\n\n\n\n\n\n\n \n\n\n\n\n\n\n% Change\n\n\n\n\n\n\n\n\...