Columbus McKinnon sales fall, earnings rise
Material handling maker Columbus McKinnon reported a boost in net income in the fourth quarter of fiscal 2013 but declining sales.
Net income was $52.0 million, or $2.64 per diluted share, compared to $8.3 million, or 47 cents, in the same period last year. Sales were down 9.4% to $144.6 million. U.S. sales, which comprised 59% of total sales, declined by 5.8% to $85.3 million. The decline in sales reflected a $5.6 million impact from the sale of its Gaffey division of Crane Equipment and Service Inc. in August 2012 and three fewer shipping days. Sales outside of the U.S. were down 14.1%, to $59.3 million, reflecting lower sales volume primarily in Western Europe and Canada as well as fewer shipping days.
“Our operating leverage was significant in the year as we recognized the productivity benefits of our Lean Business System and the value of our prior-year’s restructuring efforts,” said Timothy T. Tevens, president and chief executive officer.
Net sales for fiscal 2013 were $597.3 million, up slightly from $591.9 million for the prior year as U.S. sales more than offset the slight decline in sales elsewhere. Sales in the U.S. were up 3.9%, while sales outside of the U.S. decreased by 3.0%. Net income for fiscal 2013 grew 190.3% to $78.3 million, or $3.98 per share, compared with $26.9 million, or $1.38 per share, for the prior-year period.
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