Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
BUFFALO, NY, October 29, 2020 - Columbus McKinnon Corporation (Nasdaq: CMCO), a leading designer, manufacturer and marketer of motion control products, technologies and services for material handling, today announced financial results for its fiscal year 2021 second quarter, which ended September 30, 2020.
Second Quarter Highlights
•Strong sequential improvement demonstrates effectiveness of cost saving and self-help improvement measures
•Revenue up 13.5% over trailing first fiscal quarter to $157.8 million; at high end of expected range
•Operating income of $15.8 million or 10.0% of sales; Adjusted operating income* of $14.0 million, or 8.9% of sales
•Cash from operations in the quarter was $37.4 million driven by a disciplined focus on reducing working capital requirements
•Advancing product launches and broadening offerings in Compass™ configurator
David Wilson, President and CEO of Columbus McKinnon, commented, “We delivered solid results in the quarter achieving the higher end of our expected revenue range and demonstrated our capabilities to drive profitability and strong cash generation in a challenging environment. In fact, the 80/20 Process, a key tool in our business system, contributed $3.4 million in operating income during the quarter, helping to offset headwinds caused by the pandemic. Our strong cash flow and excellent liquidity position enabled our repayment of the $25 million Revolver borrowing in early October.
“We are building momentum as we strengthen our business operating system, evolve the Blueprint for Growth strategy and pivot to growth. Our focus is on identifying opportunities to both deepen our market penetration and expand our addressable markets. We have the financial strength to continue to invest in prioritized growth initiatives even as we carefully manage our operations and ensure the safety and well-being of the Columbus McKinnon team.”
*Adjusted operating income is a non-GAAP measure. See accompanying discussion and reconciliation table in this release regarding adjusted operating income.
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 2 of 13
October 29, 2020
Second Quarter Fiscal 2021 Sales
($ in millions)
Q2 FY 21
Q2 FY 20
Change
% Change
Net sales
$
157.8
$
207.6
$
(49.8)
(24.0)
%
U.S. sales
$
84.7
$
113.5
$
(28.8)
(25.4)
%
% of total
54
%
55
%
Non-U.S. sales
$
73.1
$
94.1
$
(21.0)
(22.3)
%
% of total
46
%
45
%
Compared with the prior-year period, lower volume was due to the global economic impact of the COVID-19 pandemic. Lower U.S. sales volume more than offset a 1.1% price improvement while lower volume outside the U.S. was somewhat offset by a $2.2 million, or 2.3%, positive impact from foreign currency translation and price improvement of 1.2%.
Compared with the trailing first quarter, sales improved 13.5% with short cycle sales up 22.2% and project sales up 5.5%.
Second Quarter Fiscal 2021 Operating Results
($ in millions)
Q2 FY 21
Q2 FY 20
Change
% Change
Gross profit
$
56.0
$
73.5
$
(17.5)
(23.8)
%
Gross margin
35.5
%
35.4
%
10 bps
Income from operations
$
15.8
$
25.2
$
(9.4)
(37.3)
%
Operating margin
10.0
%
12.2
%
(220) bps
Net income (loss)
$
(4.1)
$
16.6
$
(20.7)
NM
Diluted EPS
$
(0.17)
$
0.69
$
(0.86)
NM
Adjusted EBITDA *
$
21.1
$
33.7
$
(12.5)
(37.2)
%
Adjusted EBITDA margin
13.4
%
16.2
%
(280) bps
*A non-GAAP measure, Adjusted EBITDA is defined as adjusted operating income plus depreciation and amortization. Please see the attached tables for a reconciliation of adjusted EBITDA to GAAP net income (loss).
Adjusted income from operations was $14.0 million, or 8.9% of sales. Decremental adjusted operating income leverage from the prior-year period was 25% which continues to demonstrate better than historic decremental leverage. (See the reconciliation of GAAP income from operations to adjusted income from operations on the attached tables.) Net loss for the quarter was $4.1 million, which included a $16.3 million non-cash pension settlement charge related to the termination of a U.S. pension plan.
On a sequential basis, Adjusted EBITDA was up $9.1 million, or 74.9%, to $21.1 million on an $18.7 million increase in sales. Adjusted EBITDA margin expanded 470 basis points sequentially to 13.4% from the fiscal 2021 first quarter.
Third Quarter Fiscal 2021 Outlook
Orders were up nearly 26% compared with the trailing first quarter. Order growth was driven mostly by the recovery of the short cycle business, which improved 41% over the first quarter this fiscal year whereas the project business grew at a rate of 12%. Total backlog has recovered to pre-COVID levels and long-term backlog, which is expected to ship beyond the fiscal third quarter, grew to 41.5% of total backlog. As a result, the Company expects third quarter fiscal 2021 revenue to be within a range of approximately $150 million to $160 million at current exchange rates.
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 3 of 13
October 29, 2020
Mr. Wilson concluded, “I am really proud of the team and how we have executed in the first half of the fiscal year. Importantly, we are keeping our eye on the long term as we advance our strategic plan. In the second quarter, we launched several new products, expanded the capabilities of our Compass™ configurator and increased our focus on improving our customers’ experience. I am confident we will continue to execute well, and we will emerge from these challenging times a better company.”
Teleconference/webcast
Columbus McKinnon will host a conference call and live webcast Thursday, October 29, 2020 at 10:00 AM Eastern Time, at which management will review the Company’s financial results and strategy. The review will be accompanied by a slide presentation, which will be available on Columbus McKinnon’s website at investors.columbusmckinnon.com. A question and answer session will follow the formal discussion.
The conference call can be accessed by dialing 201-493-6780. The listen-only audio webcast can be monitored at https://investors.columbusmckinnon.com. To listen to the archived call, dial 412-317-6671 and enter the passcode 13710950. The telephonic replay will be available from 1:00 PM Eastern Time on the day of the call through Thursday, November 5, 2020. Alternatively, an archived webcast of the call can be found on the Company’s website. In addition, a transcript of the call will be posted to the website once available.
About Columbus McKinnon
Columbus McKinnon is a leading worldwide designer, manufacturer and marketer of motion control products, technologies, systems and services that efficiently and ergonomically move, lift, position and secure materials. Key products include hoists, actuators, rigging tools, light rail work stations 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.columbusmckinnon.com.
Safe Harbor Statement
This news release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements concerning future sales and earnings, involve known and unknown risks, uncertainties and other factors that could cause the actual results of the Company to differ materially from the results expressed or implied by such statements, including the impact of Covid-19 and the Company’s efforts to reduce costs, maintain liquidity and generate cash in the current pandemic, the effectiveness of the Company’s 80/20 Process to simplify operations, the ability of the Company’s Operational Excellence initiatives to drive profitability, the Company’s ability to grow market share, the ability to achieve revenue expectations, global economic and business conditions, conditions affecting the industries served by the Company and its subsidiaries, conditions affecting the Company's customers and suppliers, competitor responses to the Company's products and services, the overall market acceptance of such products and services, the ability to expand into new markets and geographic regions, and other factors disclosed in the Company's periodic reports filed with the Securities and Exchange Commission. The Company assumes no obligation to update the forward-looking information contained in this release.
Contacts:
Gregory P. Rustowicz
Investor Relations:
Vice President - Finance and Chief Financial Officer
Deborah K. Pawlowski
Columbus McKinnon Corporation
Kei Advisors LLC
716-689-5442
716-843-3908
greg.rustowicz@cmworks.com
dpawlowski@keiadvisors.com
Financial tables follow.
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 4 of 13
October 29, 2020
COLUMBUS McKINNON CORPORATION
Condensed Consolidated Income Statements - UNAUDITED
(In thousands, except per share and percentage data)
Three Months Ended
September 30, 2020
September 30, 2019
Change
Net sales
$
157,790
$
207,609
(24.0)
%
Cost of products sold
101,765
134,116
(24.1)
%
Gross profit
56,025
73,493
(23.8)
%
Gross profit margin
35.5
%
35.4
%
Selling expenses
18,563
22,877
(18.9)
%
% of net sales
11.8
%
11.0
%
General and administrative expenses
15,554
19,153
(18.8)
%
% of net sales
9.9
%
9.2
%
Research and development expenses
2,896
2,999
(3.4)
%
% of net sales
1.8
%
1.4
%
Loss on sales of businesses
—
7
NM
Amortization of intangibles
3,192
3,226
(1.1)
%
Income from operations
15,820
25,231
(37.3)
%
Operating margin
10.0
%
12.2
%
Interest and debt expense
3,018
3,759
(19.7)
%
Investment (income) loss
(357)
(229)
55.9
%
Foreign currency exchange (gain) loss
397
(296)
NM
Other (income) expense, net
16,911
257
6,480.2
%
Income (loss) before income tax expense (benefit)
(4,149)
21,740
NM
Income tax expense (benefit)
(45)
5,141
NM
Net income (loss)
$
(4,104)
$
16,599
NM
Average basic shares outstanding
23,883
23,631
1.1
%
Basic income (loss) per share
$
(0.17)
$
0.70
NM
Average diluted shares outstanding
23,883
23,926
(0.2)
%
Diluted income (loss) per share
$
(0.17)
$
0.69
NM
Dividends declared per common share
$
0.06
$
0.06
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 5 of 13
October 29, 2020
COLUMBUS McKINNON CORPORATION
Condensed Consolidated Income Statements - UNAUDITED
(In thousands, except per share and percentage data)
Six Months Ended
September 30, 2020
September 30, 2019
Change
Net sales
$
296,860
$
420,321
(29.4)
%
Cost of products sold
196,038
271,216
(27.7)
%
Gross profit
100,822
149,105
(32.4)
%
Gross profit margin
34.0
%
35.5
%
Selling expenses
37,258
45,632
(18.4)
%
% of net sales
12.6
%
10.9
%
General and administrative expenses
33,983
38,753
(12.3)
%
% of net sales
11.4
%
9.2
%
Research and development expenses
5,665
5,791
(2.2)
%
% of net sales
1.9
%
1.4
%
Loss on sales of businesses
—
176
NM
Amortization of intangibles
6,307
6,479
(2.7)
%
Income from operations
17,609
52,274
(66.3)
%
Operating margin
5.9
%
12.4
%
Interest and debt expense
6,206
7,611
(18.5)
%
Investment (income) loss
(934)
(531)
75.9
%
Foreign currency exchange (gain) loss
481
(706)
NM
Other (income) expense, net
19,937
419
4,658.2
%
Income (loss) before income tax expense (benefit)
(8,081)
45,481
NM
Income tax expense (benefit)
(1,008)
10,303
NM
Net income (loss)
$
(7,073)
$
35,178
NM
Average basic shares outstanding
23,843
23,532
1.3
%
Basic income (loss) per share
$
(0.30)
$
1.49
NM
Average diluted shares outstanding
23,843
23,832
—
%
Diluted income (loss) per share
$
(0.30)
$
1.48
NM
Dividends declared per common share
$
0.06
$
0.06
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 6 of 13
October 29, 2020
COLUMBUS McKINNON CORPORATION
Condensed Consolidated Balance Sheets
(In thousands)
September 30, 2020
March 31, 2020
(unaudited)
ASSETS
Current assets:
Cash and cash equivalents
$
186,556
$
114,450
Trade accounts receivable
92,540
123,743
Inventories
112,095
127,373
Prepaid expenses and other
18,124
17,180
Total current assets
409,315
382,746
Property, plant, and equipment, net
72,782
79,473
Goodwill
330,859
319,679
Other intangibles, net
219,434
217,962
Marketable securities
8,534
7,322
Deferred taxes on income
27,798
26,281
Other assets
63,212
59,809
Total assets
$
1,131,934
$
1,093,272
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Trade accounts payable
$
37,724
$
57,289
Accrued liabilities
88,679
93,585
Current portion of long-term debt
29,450
4,450
Total current liabilities
155,853
155,324
Term loan and revolving credit facility
245,680
246,856
Other non-current liabilities
250,445
227,507
Total liabilities
651,978
629,687
Shareholders’ equity:
Common stock
239
238
Additional paid-in capital
290,690
287,256
Retained earnings
281,935
290,441
Accumulated other comprehensive loss
(92,908)
(114,350)
Total shareholders’ equity
479,956
463,585
Total liabilities and shareholders’ equity
$
1,131,934
$
1,093,272
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 7 of 13
October 29, 2020
COLUMBUS McKINNON CORPORATION
Condensed Consolidated Statements of Cash Flows - UNAUDITED
(In thousands)
Six Months Ended
September 30, 2020
September 30, 2019
Operating activities:
Net income (loss)
$
(7,073)
$
35,178
Adjustments to reconcile net income (loss) to net cash provided by (used for) operating activities:
Depreciation and amortization
14,210
14,747
Deferred income taxes and related valuation allowance
(6,745)
748
Net loss (gain) on sale of real estate, investments, and other
(557)
(446)
Stock based compensation
3,989
3,511
Amortization of deferred financing costs
1,327
1,327
Loss on sales of businesses
—
176
Non-cash pension settlement expense
19,046
—
Gain on sale of building
(2,638)
—
Non-cash lease expense
3,785
4,223
Changes in operating assets and liabilities, net of effects of business acquisitions and divestitures:
Trade accounts receivable
33,594
(2,648)
Inventories
18,987
1,400
Prepaid expenses and other
(1,627)
(2,883)
Other assets
570
(171)
Trade accounts payable
(20,078)
332
Accrued liabilities
(7,895)
(8,230)
Non-current liabilities
(1,952)
(9,384)
Net cash provided by (used for) operating activities
46,943
37,880
Investing activities:
Proceeds from sales of marketable securities
1,034
1,928
Purchases of marketable securities
(1,759)
(2,581)
Capital expenditures
(2,779)
(4,843)
Proceeds from sale of building, net of transaction costs
5,453
—
Dividend received from equity method investment
587
—
Proceeds from sale of equipment
—
51
Net (payments) proceeds from sales of businesses
—
(214)
Net cash provided by (used for) investing activities
2,536
(5,659)
Financing activities:
Proceeds from issuance of common stock
429
3,784
Borrowings under line-of-credit agreements
25,000
—
Repayment of debt
(2,225)
(30,000)
Fees paid for revolver extension
(826)
—
Payment of dividends
(2,860)
(2,824)
Other
(982)
(544)
Net cash provided by (used for) financing activities
18,536
(29,584)
Effect of exchange rate changes on cash
4,091
(1,751)
Net change in cash and cash equivalents
72,106
886
Cash, cash equivalents, and restricted cash at beginning of year
114,700
71,343
Cash, cash equivalents, and restricted cash at end of period
$
186,806
$
72,229
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 8 of 13
October 29, 2020
COLUMBUS McKINNON CORPORATION
Q2 FY 2021 Sales Bridge
Quarter
Year To Date
($ in millions)
$ Change
% Change
$ Change
% Change
Fiscal 2020 Sales
$
207.6
$
420.3
Volume
(54.3)
(26.2)
%
(128.4)
(30.5)
%
Pricing
2.3
1.1
%
4.8
1.1
%
Foreign currency translation
2.2
1.1
%
0.2
—
%
Total change
$
(49.8)
(24.0)
%
$
(123.4)
(29.4)
%
Fiscal 2021 Sales
$
157.8
$
296.9
COLUMBUS McKINNON CORPORATION
Q2 FY 2021 Gross Profit Bridge
($ in millions)
Quarter
Year To Date
Fiscal 2020 Gross Profit
$
73.5
$
149.1
Pricing, net of material cost inflation
2.3
4.7
Gain on sale of building
2.2
2.2
Tariffs
0.6
1.4
Foreign currency translation
0.8
0.2
Business realignment costs
0.1
(0.2)
Insurance settlement
—
(0.3)
Factory closures
(0.3)
(1.6)
Productivity, net of other cost changes
(3.8)
(8.3)
Sales volume and mix
(19.4)
(46.4)
Total change
$
(17.5)
$
(48.3)
Fiscal 2021 Gross Profit
$
56.0
$
100.8
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 9 of 13
October 29, 2020
COLUMBUS McKINNON CORPORATION
Additional Data - UNAUDITED
September 30, 2020
June 30, 2020
March 31, 2020
September 30, 2019
($ in millions)
Backlog
$
146.6
$
130.7
$
131.0
$
143.1
Long-term backlog
Expected to ship beyond 3 months
$
60.8
$
52.8
$
49.1
$
53.9
Long-term backlog as % of total backlog
41.5
%
40.4
%
37.5
%
37.7
%
Trade accounts receivable
Days sales outstanding
53.4
days
63.1
days
59.4
days
57.0
days
Inventory turns per year
(based on cost of products sold)
3.6
turns
3.0
turns
3.9
turns
3.8
turns
Days' inventory
100.5
days
120.6
days
94.3
days
96.9
days
Trade accounts payable
Days payables outstanding
33.7
days
37.6
days
42.3
days
33.2
days
Working capital as a % of sales (1)
14.1
%
14.9
%
14.5
%
17.2
%
Debt to total capitalization percentage
36.4
%
37.1
%
35.2
%
36.9
%
Debt, net of cash, to net total capitalization
15.6
%
20.9
%
22.8
%
30.1
%
(1) September 30, 2019 figure excludes the Tire Shredder business, which was divested on December 28, 2018, and Crane Equipment & Service, Inc. (CES) and Stahlhammer Bommern GmbH (STB), each of which were divested on February 28, 2019.
U.S. Shipping Days by Quarter
Q1
Q2
Q3
Q4
Total
FY 21
63
64
61
63
251
FY 20
63
63
61
64
251
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 10 of 13
October 29, 2020
COLUMBUS McKINNON CORPORATION
Reconciliation of GAAP Gross Profit to
Non-GAAP Adjusted Gross Profit and Adjusted Gross Margin
($ in thousands, except per share data)
Three Months Ended September 30,
Six Months Ended September 30,
2020
2019
2020
2019
Gross profit
$
56,025
$
73,493
$
100,822
$
149,105
Add back (deduct):
Factory closures
493
249
2,421
755
Business realignment costs
—
140
329
140
Insurance settlement
—
—
—
(290)
Gain on sale of building
(2,189)
—
(2,189)
—
Non-GAAP adjusted gross profit
$
54,329
$
73,882
$
101,383
$
149,710
Sales
$
157,790
$
207,609
$
296,860
$
420,321
Adjusted gross margin
34.4
%
35.6
%
34.2
%
35.6
%
Adjusted gross profit is defined as gross profit as reported, adjusted for certain items. Adjusted gross profit is not a measure determined in accordance with generally accepted accounting principles in the United States, commonly known as GAAP, and may not be comparable with the measures as used by other companies. Nevertheless, Columbus McKinnon believes that providing non-GAAP information, such as adjusted gross profit, is important for investors and other readers of the Company’s financial statements and assists in understanding the comparison of the current quarter’s and current year's gross profit to the historical periods' gross profit, as well as facilitates a more meaningful comparison of the Company’s gross profit to that of other companies.
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 11 of 13
October 29, 2020
COLUMBUS McKINNON CORPORATION
Reconciliation of GAAP Income from Operations to
Non-GAAP Adjusted Income from Operations and Adjusted Operating Margin
($ in thousands, except per share data)
Three Months Ended September 30,
Six Months Ended September 30,
2020
2019
2020
2019
Income from operations
$
15,820
$
25,231
$
17,609
$
52,274
Add back (deduct):
Factory closures
747
470
3,003
1,497
Business realignment costs
—
413
821
413
Insurance recovery legal costs
88
220
229
359
Loss on sales of businesses
—
7
—
176
Insurance settlement
—
—
—
(290)
Gain on sale of building
(2,638)
—
(2,638)
—
Non-GAAP adjusted income from operations
$
14,017
$
26,341
$
19,024
$
54,429
Sales
$
157,790
$
207,609
$
296,860
$
420,321
Adjusted operating margin
8.9
%
12.7
%
6.4
%
12.9
%
Adjusted income from operations is defined as income from operations as reported, adjusted for certain items. Adjusted income from operations is not a measure determined in accordance with generally accepted accounting principles in the United States, commonly known as GAAP, and may not be comparable with the measures as used by other companies. Nevertheless, Columbus McKinnon believes that providing non-GAAP information, such as adjusted income from operations, is important for investors and other readers of the Company’s financial statements and assists in understanding the comparison of the current quarter’s and current year's income from operations to the historical periods' income from operations, as well as facilitates a more meaningful comparison of the Company’s income from operations to that of other companies.
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 12 of 13
October 29, 2020
COLUMBUS McKINNON CORPORATION
Reconciliation of GAAP Net Income and Diluted Earnings per Share to
Non-GAAP Adjusted Net Income and Diluted Earnings per Share
($ in thousands, except per share data)
Three Months Ended September 30,
Six Months Ended September 30,
2020
2019
2020
2019
Net income (loss)
$
(4,104)
$
16,599
$
(7,073)
$
35,178
Add back (deduct):
Non-cash pension settlement expense
16,324
—
19,046
—
Factory closures
747
470
3,003
1,497
Business realignment costs
—
413
821
413
Insurance recovery legal costs
88
220
229
359
Loss on sales of businesses
—
7
—
176
Insurance settlement
—
—
—
(290)
Gain on sale of building
(2,638)
—
(2,638)
—
Normalize tax rate to 22% (1)
(2,327)
114
(3,732)
(177)
Non-GAAP adjusted net income
$
8,090
$
17,823
$
9,656
$
37,156
Average diluted shares outstanding
24,123
23,926
24,030
23,832
Diluted income (loss) per share - GAAP
$
(0.17)
$
0.69
$
(0.30)
$
1.48
Diluted income per share - Non-GAAP
$
0.34
$
0.74
$
0.40
$
1.56
(1) Applies a normalized tax rate of 22% to GAAP pre-tax income and non-GAAP adjustments above, which are each pre-tax.
Adjusted net income and diluted EPS are defined as net income and diluted EPS as reported, adjusted for certain items and at a normalized tax rate. Adjusted net income and diluted EPS are not measures determined in accordance with generally accepted accounting principles in the United States, commonly known as GAAP, and may not be comparable to the measures as used by other companies. Nevertheless, Columbus McKinnon believes that providing non-GAAP information, such as adjusted net income and diluted EPS, is important for investors and other readers of the Company’s financial statements and assists in understanding the comparison of the current quarter’s and current year's net income and diluted EPS to the historical periods' net income and diluted EPS, as well as facilitates a more meaningful comparison of the Company’s net income and diluted EPS to that of other companies.
Columbus McKinnon Reports Financial Results for Second Quarter Fiscal Year 2021
Page 13 of 13
October 29, 2020
COLUMBUS McKINNON CORPORATION
Reconciliation of GAAP Net Income to Non-GAAP Adjusted EBITDA
($ in thousands)
Three Months Ended September 30,
Six Months Ended September 30,
2020
2019
2020
2019
Net income (loss)
$
(4,104)
$
16,599
$
(7,073)
$
35,178
Add back (deduct):
Income tax expense (benefit)
(45)
5,141
(1,008)
10,303
Interest and debt expense
3,018
3,759
6,206
7,611
Investment (income) loss
(357)
(229)
(934)
(531)
Foreign currency exchange (gain) loss
397
(296)
481
(706)
Other (income) expense, net
16,911
257
19,937
419
Depreciation and amortization expense
7,129
7,344
14,210
14,747
Factory closures
747
470
3,003
1,497
Business realignment costs
—
413
821
413
Insurance recovery legal costs
88
220
229
359
Loss on sales of businesses
—
7
—
176
Insurance settlement
—
—
—
(290)
Gain on sale of building
(2,638)
—
(2,638)
—
Non-GAAP adjusted EBITDA
$
21,146
$
33,685
$
33,234
$
69,176
Sales
$
157,790
$
207,609
$
296,860
$
420,321
Adjusted EBITDA margin
13.4
%
16.2
%
11.2
%
16.5
%
Adjusted EBITDA is defined as net income before interest expense, income taxes, depreciation, amortization, and other adjustments. Adjusted EBITDA is not a measure determined in accordance with generally accepted accounting principles in the United States, commonly known as GAAP, and may not be comparable with the measures as used by other companies. Nevertheless, Columbus McKinnon believes that providing non-GAAP information, such as adjusted EBITDA, is important for investors and other readers of the Company’s financial statements.
