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Columbus McKinnon Corporation (CMCO-32.67%) has submitted its 10-Q filing for the quarterly period ended December 31, 2024.
The filing reports net sales of $234,138,000 for the three months ended December 31, 2024, a decrease from $254,143,000 in the same period the previous year. The decline is attributed to lower sales volume and unfavorable foreign currency translation.
Gross profit for the quarter was $82,097,000, down from $93,897,000 in the previous year. The decrease is due to start-up costs at the Monterrey, Mexico facility and lower sales volume.
Selling expenses increased to $27,348,000 from $26,552,000, primarily due to higher employee-related costs. General and administrative expenses decreased to $24,233,000 from $26,255,000, mainly due to lower incentive-based compensation.
Research and development expenses were $5,325,000, down from $6,692,000. Amortization of intangibles remained stable at approximately $7,500,000.
Net income for the quarter was $3,960,000, compared to $9,728,000 in the previous year. The decrease is attributed to lower gross profit and higher selling expenses.
Cash provided by operating activities was $10,000,000, a decrease from $28,591,000 in the previous year, primarily due to changes in working capital.
The company announced a definitive agreement to acquire Kito Crosby Limited for $2,700,000,000, subject to regulatory approval. The acquisition is expected to enhance Columbus McKinnon's position in material handling solutions.
Columbus McKinnon plans to fund the acquisition with $2,600,000,000 in debt financing and $800,000,000 in preferred equity investment from Clayton, Dubliner & Rice.
The filing also details various financial agreements, including an amended revolving credit facility and an AR securitization facility.
The company identified potential risks related to price fluctuations in raw materials and geopolitical tensions affecting its international operations.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Columbus McKinnon Corporation quarterly 10-Q report dated February 10, 2025. To report an error, please email earnings@qz.com.