Columbus McKinnon(US:CMCO)2025-02-12 02:54Financial Performance - Net sales for Q3 FY25 were $234.1 million, a decrease of $20.0 million or 7.9% compared to Q3 FY24[3] - GAAP EPS for Q3 FY25 was $0.14, a decrease of 58.8% from $0.34 in Q3 FY24[5] - Net sales for the nine months ended December 31, 2024, were $716.1 million, a decrease of 4.3% compared to $748.0 million for the same period in 2023[18] - Gross profit for the nine months ended December 31, 2024, was $245.9 million, down 12.4% from $280.5 million in 2023, resulting in a gross profit margin of 34.3%[18] - Income from operations decreased by 39.2% to $49.6 million for the nine months ended December 31, 2024, compared to $81.7 million in 2023[18] - Net loss for the nine months ended December 31, 2024, was $2.5 million, a significant decline from a net income of $34.8 million in 2023[18] - Net income for the three months ended December 31, 2024, is $4.0 million, compared to $9.7 million in the same period last year[40] - Net income for the three months ended December 31, 2024, was $3.96 million, compared to $9.73 million for the same period in 2023, reflecting a decrease of 59.3%[42] Operating Metrics - Operating margin for Q3 FY25 was 7.6%, down from 10.6% in the prior year, reflecting a decline of 300 basis points[5] - Orders decreased by 4%, driven by a 6% decrease in short-cycle orders, while EMEA orders increased by 1%[3] - The backlog remains healthy at $296.5 million, indicating continued demand normalization[3] - Total backlog as of December 31, 2024, is $296.5 million, a decrease of 6.9% from $317.6 million on September 30, 2024[29] - Long-term backlog represents 56.0% of total backlog, up from 54.3% in the previous quarter[29] Cash Flow and Debt - The company repaid $15 million of debt in Q3 FY25 and anticipates total debt repayment of $60 million for FY25[3] - Cash and cash equivalents decreased significantly to $41.2 million as of December 31, 2024, from $114.1 million at the beginning of the year[20] - The company reported a net cash used for operating activities of $10.0 million for the nine months ended December 31, 2024, down from $28.6 million in 2023[22] - Net cash provided by operating activities for the three months ended December 31, 2024, is $11.4 million, compared to $9.4 million in the prior quarter[29] - Free Cash Flow for the three months ended December 31, 2024, is $6.2 million, an increase from $4.0 million in the previous quarter[29] - Total debt as of December 31, 2024, was $485.80 million, down from $550.04 million in 2023[44] - The net leverage ratio increased to 3.00x as of December 31, 2024, compared to 2.58x in the previous year[44] Research and Development - Research and development expenses decreased by 20.4% to $5.3 million, representing 2.3% of net sales[15] - Research and development expenses for the nine months ended December 31, 2024, were $17.6 million, representing 2.5% of net sales, down from $19.1 million or 2.6% in 2023[18] Factory and Operational Changes - A consolidation of two additional factories was initiated as part of the ongoing 80/20 footprint simplification plan[2] - The company incurred $14.32 million in new factory start-up costs in Monterrey, Mexico, during the twelve months ended December 31, 2024[44] Dividends and Shareholder Returns - The company declared dividends of $0.14 per common share, consistent with the previous year[18]