Third Quarter 2026 Highlights (compared with prior-year period, except where otherwise noted)
Net sales of $258.7 million increased 10% with strength in lifting, linear motion and automation across both North America and EMEA
Orders of $247.4 million increased 11% with growth across both short-cycle orders and project-related orders with particular strength in U.S. precision conveyance, lifting and automation
Backlog of $341.6 million was up 15% with growth across all platforms and an opportunity funnel that remains healthy
Net income of $6.0 million, or $0.21 per diluted share, up 51% and 50%, respectively
Adjusted Net Income1 of $17.8 million, or $0.62 per diluted share1, up 9% and 11% respectively
Adjusted EBITDA1,2 of $39.8 million with Adjusted EBITDA Margin1,2 of 15.4%
YTD cash flow provided by operations of $20.6 million increased 106% as strong cash generation more than offset acquisitions-related cash outflows of $13.3 million
"Our team delivered double-digit sales, order and EPS growth in the quarter, ahead of our expectations as we executed on commercial initiatives and continued to benefit from U.S. demand stabilization," said David J. Wilson, President and Chief Executive Officer. "While I am encouraged by our active, global funnel of opportunities, we remain cautious on the macroeconomic environment in EMEA where order conversion rates have remained slow."
"Having now closed on the acquisition of Kito Crosby, we are well positioned to deliver for our customers and shareholders as we begin executing on value creation initiatives," continued Wilson. "I have never been more excited about the opportunities that lie ahead for Columbus McKinnon. In combination with Kito Crosby, we will provide the market with a superior customer value proposition by bringing together the best of our collective talent and capabilities. Our new Executive Leadership Team brings together leaders with deep expertise across our brands and applications with a customer-centricity that will ensure business continuity while we remain laser-focused on synergy realization and debt reduction to unlock value for all stakeholders."
Third Quarter Fiscal 2026 Sales
($ in millions)
Q3 FY26
Q3 FY25
Change
% Change
Net sales
$ 258.7
$ 234.1
$ 24.5
10.5 %
U.S. sales4
$ 147.2
$ 129.5
$ 17.7
13.7 %
% of total
57 %
55 %
Non-U.S. sales4
$ 111.5
$ 104.6
$ 6.9
6.6 %
% of total
43 %
45 %
For the quarter, net sales increased $24.5 million, or 10.5% driven by $11.7 million of higher volume, $6.1 million of price improvement and $6.7 million of favorable currency translation. In the U.S., sales were up $17.7 million, or 13.7%, driven by $13.5 million of higher volume and $4.2 million of price improvement. Sales outside the U.S. increased $6.9 million, or 6.6%, driven by $6.7 million of favorable currency translation and $1.9 million of price improvement, partially offset by $1.7 million of lower volume.
Third Quarter Fiscal 2026 Operating Results
($ in millions, except per share figures)
Q3 FY26
Q3 FY25
Change
% Change
Gross profit
$ 89.2
$ 82.1
$ 7.1
8.6 %
Gross margin
34.5 %
35.1 %
(60) bps
Adjusted Gross Profit1
$ 90.9
$ 86.2
$ 4.6
5.4 %
Adjusted Gross Margin1
35.1 %
36.8 %
(170) bps
Income from operations
$ 16.2
$ 17.7
$ (1.5)
(8.6) %
Operating margin
6.3 %
7.6 %
(130) bps
Adjusted Operating Income1
$ 24.5
$ 25.6
$ (1.0)
(4.1) %
Adjusted Operating Margin1
9.5 %
10.9 %
(140) bps
Net income (loss)
$ 6.0
$ 4.0
$ 2.0
51.5 %
Net income (loss) margin
2.3 %
1.7 %
60 bps
Adjusted Net Income1
$ 17.8
$ 16.3
$ 1.5
9.5 %
GAAP EPS
$ 0.21
$ 0.14
$ 0.07
50.0 %
Adjusted EPS1,3
$ 0.62
$ 0.56
$ 0.06
10.7 %
Adjusted EBITDA1,2
$ 39.8
$ 40.3
$ (0.5)
(1.2) %
Adjusted EBITDA Margin1,2
15.4 %
17.2 %
(180) bps
Capital Allocation Priorities
The Company remains committed to allocating capital to pay down debt to deleverage its balance sheet in the near term while continuing its track record of a consistent dividend payment. Over time, the Company believes it will be positioned to utilize its expected significant free cash flow generation to advance its Intelligent Motion strategy across the fragmented marketplace.
Fiscal Year 2026 Guidance
Given the recently completed Kito Crosby acquisition and the pending divestiture of our U.S. power chain hoist and chain operations, the Company is withdrawing our Columbus McKinnon standalone fiscal year 2026 guidance previously presented as part of our second quarter fiscal 2026 earnings release due to a higher degree of uncertainty in expected results for the fourth quarter of fiscal 2026 resulting from the timing of the pending divestiture, regulatory limitations on information sharing with or from Kito Crosby prior to closing and the integration of our financial processes within Kito Crosby.
Consistent with prior years' convention, we will provide an updated financial outlook and issue financial guidance for fiscal 2027 in conjunction with our fourth quarter fiscal 2026 earnings release in late May of 2026.
Certain transaction-related expenses, purchase accounting adjustments and early integration costs will be incurred in the fourth quarter of fiscal 2026. The impact of these costs as well as higher interest expense are expected to be dilutive to GAAP earnings per share in the fourth quarter of fiscal 2026.
Following the closing of the transactions, the Company's primary allocation of capital is expected to be debt reduction. We expect significant cashflow generation from the combined business leading to a Net Leverage Ratio5 below 4.0x by the end of fiscal 2028.
Teleconference and Webcast
Columbus McKinnon will host a conference call today at 5:00 PM Eastern Time to discuss the Company's financial results and strategy. The conference call, earnings release and earnings presentation will be accessible through live webcast on the Company's investor relations website at investors.cmco.com. A replay of the webcast will also be archived on the Company's investor relations website through February 16, 2026.
______________________
1
Adjusted Gross Profit, Adjusted Gross Margin, Adjusted Operating Income, Adjusted Operating Margin, Adjusted Net Income, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted EPS, and Free Cash Flow are non-GAAP financial measures. See accompanying discussion and reconciliation tables provided in this release for reconciliations of these non-GAAP financial measures to the closest corresponding GAAP financial measures.
2
In connection with the preparation of this release, the Company has used its updated definition of Adjusted EBITDA, which includes an addback of Company's stock-based compensation expense. This revised definition of Adjusted EBITDA was used to calculate Adjusted EBITDA set forth above and will be used by the Company on a go-forward basis for purposes of all future Adjusted EBITDA disclosures. This definitional change was driven by the Company's belief that adding back the expense associated with stock-based compensation for purposes of the computation of Adjusted EBITDA will provide the Company's investors with a better understanding of our underlying performance from period to period and enable them to better compare our performance against that of our peer companies, many of which also include an addback of stock-based compensation expense in computing Adjusted EBITDA.
3
Adjusted EPS excludes, among other adjustments, amortization of intangible assets. The Company believes this better represents its inherent earnings power and cash generation capability.
4
Components may not add due to rounding.
5
The Company has not reconciled the Net Leverage Ratio guidance to the most comparable GAAP financial measure outlook because it is not possible to do so without unreasonable efforts due to the uncertainty and potential variability of reconciling items, which are dependent on future events and often outside of management's control and which could be significant. Because such items cannot be reasonably predicted with the level of precision required, we are unable to provide guidance for the comparable GAAP financial measure. Forward-looking guidance regarding Net Leverage Ratio is made in a manner consistent with previous filings with the Securities and Exchange Commission.
About Columbus McKinnon
Columbus McKinnon is a leading worldwide designer, manufacturer and marketer of intelligent motion solutions that move the world forward and improve lives by efficiently and ergonomically moving, lifting, positioning, and securing materials. Key products include hoists, crane components, precision conveyor systems, rigging tools, light rail workstations, and digital power and motion control systems. The Company is focused on commercial and industrial applications that require the safety and quality provided by its superior design and engineering know-how. Comprehensive information on Columbus McKinnon is available at www.cmco.com.
Safe Harbor Statement
This news release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are generally identified by the use of forward-looking terminology, including the terms "anticipate," "believe," "continue," "could," "estimate," "expect," "illustrative," "intend," "likely," "may," "opportunity," "plan," "possible," "potential," "predict," "project," "shall," "should," "target," "will," "would" and, in each case, their negative or other various or comparable terminology. All statements other than statements of historical facts contained in this document, including, but are not limited to, statements relating to: (i) our strategy, outlook and growth prospects, including the impact of certain transaction-related expenses, purchase accounting adjustments, early integration costs and higher interests expense on GAAP earnings per share for the fourth quarter of fiscal 2026; (ii) our ability to de-leverage the Company to a Net Leverage Ratio to below 4.0x by the end of fiscal 2028; (iii) our operational and financial targets and capital allocation priorities including our ability to generate significant free cash flow to fund these capital allocation priorities and our ability to advance our Intelligent Motion strategy; (iv) general economic trends and trends in our industry and markets; (v) expected timing for the closing of the divestiture of the Company's U.S. power chain hoist and chain operations; (vi) the benefits expected to be achieved from the Kito Crosby acquisition and the Company's ability to realize expected synergies; and (vii) the competitive environment in which we operate, are forward looking statements. Forward-looking statements are not based on historical facts, but instead represent our current expectations and assumptions regarding our business, the economy and other future conditions, and involve known and unknown risks, uncertainties and other factors that could cause the actual results, performance or achievements of the Company to differ materially from any future results, performance or achievements expressed or implied by the forward-looking statements. It is not possible to predict or identify all such risks. These risks include, but are not limited to, the risk factors that are described under the section titled "Risk Factors" in our Annual Report on Form 10-K for the fiscal year ended March 31, 2025 as well as in our other filings with the Securities and Exchange Commission, which are available on its website at www.sec.gov. Given these uncertainties, you should not place undue reliance on these forward-looking statements. Forward-looking statements speak only as of the date they are made. Columbus McKinnon undertakes no duty to update publicly any such forward-looking statement, whether as a result of new information, future events or otherwise, except as may be required by applicable law, regulation or other competent legal authority.
Contacts:
Gregory P. Rustowicz
Kristine Moser
EVP Finance and CFO
VP IR and Treasurer
Columbus McKinnon Corporation
Columbus McKinnon Corporation
716-689-5442
704-322-2488
[email protected]
[email protected]
Financial tables follow.
COLUMBUS McKINNON CORPORATIONCondensed Consolidated Income Statements - UNAUDITED(In thousands, except per share and percentage data)
Three Months Ended
December 31,2025
December 31,2024
Change
Net sales
$ 258,655
$ 234,138
10.5 %
Cost of products sold
169,498
152,041
11.5 %
Gross profit
89,157
82,097
8.6 %
Gross profit margin
34.5 %
35.1 %
Selling expenses
28,777
27,348
5.2 %
% of net sales
11.1 %
11.7 %
General and administrative expenses
32,148
24,233
32.7 %
% of net sales
12.4 %
10.3 %
Research and development expenses
4,442
5,325
(16.6) %
% of net sales
1.7 %
2.3 %
Amortization of intangibles
7,622
7,501
1.6 %
Income from operations
16,168
17,690
(8.6) %
Operating margin
6.3 %
7.6 %
Interest and debt expense
8,312
7,698
8.0 %
Investment (income) loss
(395)
(54)
631.5 %
Foreign currency exchange (gain) loss
492
3,128
(84.3) %
Other (income) expense, net
(20)
1,029
NM
Income (loss) before income tax expense (benefit)
7,779
5,889
32.1 %
Income tax expense (benefit)
1,781
1,929
(7.7) %
Net income (loss)
$ 5,998
$ 3,960
51.5 %
Average basic shares outstanding
28,729
28,631
0.3 %
Basic income (loss) per share
$ 0.21
$ 0.14
50.0 %
Average diluted shares outstanding
28,941
28,888
0.2 %
Diluted income (loss) per share
$ 0.21
$ 0.14
50.0 %
Dividends declared per common share
$ 0.07
$ 0.07
COLUMBUS McKINNON CORPORATIONCondensed Consolidated Income Statements - UNAUDITED(In thousands, except per share and percentage data)
Nine Months Ended
December 31,2025
December 31,2024
Change
Net sales
$ 755,622
$ 716,138
5.5 %
Cost of products sold
499,083
470,268
6.1 %
Gross profit
256,539
245,870
4.3 %
Gross profit margin
34.0 %
34.3 %
Selling expenses
86,430
82,044
5.3 %
% of net sales
11.4 %
11.5 %
General and administrative expenses
99,277
74,043
34.1 %
% of net sales
13.1 %
10.3 %
Research and development expenses
14,044
17,593
(20.2) %
% of net sales
1.9 %
2.5 %
Amortization of intangibles
22,940
22,548
1.7 %
Income from operations
33,848
49,642
(31.8) %
Operating margin
4.5 %
6.9 %
Interest and debt expense
25,757
24,285
6.1 %
Investment (income) loss
(1,965)
(873)
125.1 %
Foreign currency exchange (gain) loss
904
2,730
(66.9) %
Other (income) expense, net
(138)
25,512
NM
Income (loss) before income tax expense (benefit)
9,290
(2,012)
NM
Income tax expense (benefit)
