Columbus McKinnon Corporation (NASDAQ: CMCO) has reported its financial results for the fiscal year 2026 third quarter, ending December 31, 2025. The company announced a 10% increase in net sales to $258.7 million, with particular strength in lifting, linear motion, and automation across North America and EMEA. Orders also saw an 11% increase to $247.4 million, driven by growth in both short-cycle orders and project-related orders, with significant strength in U.S. precision conveyance, lifting, and automation.
The company's backlog increased by 15% to reach $341.6 million, reflecting growth across all platforms and a healthy opportunity funnel. Net income rose by 51% to $6.0 million, or $0.21 per diluted share, while adjusted net income increased by 9% to $17.8 million, or $0.62 per diluted share. Adjusted EBITDA was reported at $39.8 million, with an adjusted EBITDA margin of 15.4%.
The company's year-to-date cash flow provided by operations increased by 106% to $20.6 million, primarily driven by strong cash generation offsetting acquisitions-related cash outflows of $13.3 million.
In terms of sales, the company saw a $24.5 million increase, or 10.5%, with the U.S. sales rising by 13.7% to $147.2 million. Gross profit increased by $7.1 million to $89.2 million, with a gross margin of 34.5%.
The company's President and CEO, David J. Wilson, expressed optimism about the future, citing a healthy global funnel of opportunities. However, he also noted caution regarding the macroeconomic environment in EMEA, where order conversion rates have remained slow.
Columbus McKinnon is committed to capital allocation priorities, focusing on debt reduction to deleverage its balance sheet in the near term, while continuing a consistent dividend payment. Following the completion of the Kito Crosby acquisition, the company anticipates significant cash flow generation from the combined business, leading to a net leverage ratio below 4.0x by the end of fiscal 2028.
In light of the recent acquisition and pending divestiture, the company has withdrawn its fiscal year 2026 guidance, citing a higher degree of uncertainty in expected results for the fourth quarter. An updated financial outlook and financial guidance for fiscal 2027 will be provided in conjunction with the fourth quarter fiscal 2026 earnings release in late May 2026.
Columbus McKinnon will be hosting a conference call to discuss its financial results and strategy, with further details available on the company's investor relations website.
About Columbus McKinnon Columbus McKinnon is a leading worldwide designer, manufacturer, and marketer of intelligent motion solutions focused on efficiently and ergonomically moving, lifting, positioning, and securing materials for commercial and industrial applications.
The market has reacted to these announcements by moving the company's shares -2.62% to a price of $20.79. For the full picture, make sure to review COLUMBUS MCKINNON CORP's 8-K report.
