Columbus McKinnon Q4 2024 Earnings Report
Key Takeaways
Columbus McKinnon Corporation reported record net sales of $265.5 million for Q4 2024, a 5% increase year-over-year. Net income was $11.8 million, with an adjusted EBITDA of $43.0 million, up 8%. The company is cautiously optimistic about fiscal year 2025, focusing on execution in an uncertain environment.
Net sales increased by 5% to $265.5 million, driven by growth across all geographies.
Orders increased 5% led by precision conveyance, up 25%.
Net income was $11.8 million with a net margin of 4.4%.
Adjusted EBITDA increased 8% to $43.0 million with Adjusted EBITDA Margin of 16.2%.
Columbus McKinnon
Columbus McKinnon
Columbus McKinnon Revenue by Geographic Location
Forward Guidance
The Company is issuing the following guidance for the first quarter of fiscal 2025, ending June 30, 2024: MetricQ1 FY25Net salesLow-single digit growth year-over-yearAdjusted EPS3Flat to slightly down year-over-year Adjusted EPS3 First quarter 2025 guidance assumes approximately $9 million of interest expense, $8 million of amortization, an effective tax rate of 25% and 29.2 million diluted average shares outstanding. The Company is issuing the following guidance for fiscal 2025, ending March 31, 2025: MetricFY25Net salesLow-single digit growth year-over-yearAdjusted EPS3Mid to high-single digit growth year-over-yearCapital Expenditures$20 million to $30 million Net Leverage Ratio3~2.0x Adjusted EPS3 Net Leverage Ratio3 Fiscal 2025 guidance assumes approximately $33 million of interest expense, $30 million of amortization, an effective tax rate of 25% and 29.4 million diluted average shares outstanding.
Positive Outlook
- Net sales are expected to have low-single digit growth year-over-year in Q1 FY25.
- Adjusted EPS is expected to be flat to slightly down year-over-year in Q1 FY25.
- Net sales are expected to have low-single digit growth year-over-year in FY25.
- Adjusted EPS is expected to have mid to high-single digit growth year-over-year in FY25.
- Net Leverage Ratio is expected to be ~2.0x in FY25.
Challenges Ahead
- Q1 2025 guidance assumes approximately $9 million of interest expense.
- Q1 2025 guidance assumes approximately $8 million of amortization.
- Q1 2025 guidance assumes an effective tax rate of 25%.
- Q1 2025 guidance assumes 29.2 million diluted average shares outstanding.
- Fiscal 2025 guidance assumes approximately $33 million of interest expense.
Revenue & Expenses
Visualization of income flow from segment revenue to net income