BUFFALO, N.Y. — Columbus McKinnon Corp., a leading designer, manufacturer and marketer of intelligent motion solutions for material handling, on Wednesday announced financial results for its fiscal year 2022 fourth quarter, which ended March 31.
Results include the additions of Dorner Manufacturing Corp. and Garvey Corp., which were acquired on April 7, 2021, and Dec. 1, 2021, respectively.
Fourth quarter and fiscal year 2022 highlights (compared with prior-year periods) include:
- Achieved record sales in the quarter with better than expected revenue growth of $67.1 million driven by strong demand in all markets; organic growth was 17% and acquisitions contributed $40.5 million
- Record quarterly orders of $269.8 million; ended year with record backlog of $309.1 million
- Net income in the quarter grew 23% to $11.8 million; adjusted EBITDA* expanded 52% to $39.3 million, or 15.4% of revenue
- Fiscal year 2022 revenue grew 40% to a record $906.6 million and net income more than tripled to $29.7 million, or $1.04 per diluted share; achieved adjusted EPS* of $2.83
- Significantly transformed business in fiscal 2022 with addition of precision conveying platform, which contributed $144.6 million in sales for the year
- Continued to demonstrate strong cash generation capabilities with $25.2 million in cash from operations in the quarter and $48.9 million for the fiscal year
“We delivered exceptional growth as demand for our intelligent motion solutions strengthened throughout the quarter across our end markets," President and CEO David Wilson said. "We outpaced our internal growth expectations with innovation, the acceleration of our growth initiatives, and the expansion of our precision conveying platform. In fact, we achieved record sales for both the quarter and the fiscal year.
For the quarter, sales increased $67.1 million, or 36.0%; acquisitions added $40.5 million in sales, while foreign currency translation had an unfavorable foreign currency translation of $5.0 million, or 2.7% of total sales. In the U.S., volume improved $15.1 million, or 15.9%, and price improved $4.4 million, or 4.7%. U.S. sales related to acquisitions were $34.6 million. Outside the U.S., volume improved $8.1 million, or 8.9%, and price improved $3.9 million, or 4.3%. Acquisitions added $5.9 million of sales outside the U.S.
“We are being deliberate, flexible and creative as we address the persistent macro challenges that the industrial world is facing," Wilson said. "While we were successful in outpacing raw material inflation in the quarter and for the fiscal year, gross margin this quarter was heavily impacted by rising freight costs. We are being diligent about addressing inflationary pressures while executing to deliver on growing demand.”
Columbus McKinnon expects first quarter fiscal 2023 sales of approximately $220 million to $230 million at current exchange rates which year-over-year has an $8 million to $9 million negative impact.
“We expect fiscal 2023 to be another great year for Columbus McKinnon," Wilson said. "We are transforming the company into a faster-growing, higher-margin business that serves secular-driven markets with strong tailwinds. We are heavily focused on execution and remain confident that we are creating a better business model with stronger earnings power.”