📊 CMCO Key Takeaways
Investment Thesis
Columbus McKinnon exhibits severe profitability deterioration with net margins at 1.2%, return on equity collapsing to 0.9%, and diluted EPS declining 111.2% year-over-year, indicating fundamental operational stress. The company's weak interest coverage of 1.2x combined with $399.4M long-term debt and declining revenues (-5.0% YoY) raises concerns about debt service capability and sustainable cash generation.
CMCO Strengths
- Adequate liquidity position with current ratio of 1.83x providing near-term operational flexibility
- Moderate leverage at 0.43x debt-to-equity ratio, which is not extreme despite profitability challenges
- Positive operating cash flow of $20.6M and free cash flow of $10.2M showing some ability to generate cash despite low margins
CMCO Risks
- Severely compressed profitability with net margin of 1.2% and operating margin of 4.5% indicating minimal operational efficiency and pricing power
- Dangerously low interest coverage ratio of 1.2x leaves minimal cushion for debt servicing amid revenue decline and margin compression
- Negative EPS trajectory with 111.2% decline suggests deteriorating financial position; operating margin barely covers interest expense, leaving insufficient buffer for equity holders
- Revenue contraction of 5.0% YoY combined with weak ROE of 0.9% and ROA of 0.5% indicates the company is destroying shareholder value
Key Metrics to Watch
- Quarterly revenue trend and gross margin recovery potential
- Interest coverage ratio - must improve above 1.5x for debt sustainability
- Operating margin expansion - target return to at least 8-10% historical levels
- Free cash flow conversion and cash balance given $399.4M debt burden
- Management's debt reduction strategy and capital allocation decisions
CMCO Financial Metrics
💡 AI Analyst Insight
The relatively thin 1.4% FCF margin may limit capital allocation flexibility.
CMCO Profitability Ratios
CMCO vs Industrial Sector
How COLUMBUS MCKINNON CORP compares to Industrial sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
CMCO Balance Sheet & Liquidity
CMCO 5-Year Financial Trend
5-Year Trend Summary: COLUMBUS MCKINNON CORP's revenue has grown significantly by 16% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.68 reflects profitable operations.
CMCO Growth Metrics (YoY)
CMCO Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $234.1M | -$1.9M | $-0.09 |
| Q2 2026 | $242.3M | -$1.9M | $0.09 |
| Q1 2026 | $235.9M | -$1.9M | $-0.07 |
| Q3 2025 | $234.1M | -$2.5M | $-0.09 |
| Q2 2025 | $242.3M | -$6.4M | $-0.22 |
| Q1 2025 | $235.5M | $8.6M | $0.30 |
| Q3 2024 | $230.4M | $8.4M | $0.34 |
| Q2 2023 | $223.6M | N/A | $0.28 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
CMCO Capital Allocation
CMCO SEC Filings
Access official SEC EDGAR filings for COLUMBUS MCKINNON CORP (CIK: 0001005229)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CMCO
What is the AI rating for CMCO?
COLUMBUS MCKINNON CORP (CMCO) has an AI rating of SELL with 78% confidence, based on fundamental analysis of SEC EDGAR filings.
What are CMCO's key strengths?
Adequate liquidity position with current ratio of 1.83x providing near-term operational flexibility. Moderate leverage at 0.43x debt-to-equity ratio, which is not extreme despite profitability challenges.
What are the risks of investing in CMCO?
Severely compressed profitability with net margin of 1.2% and operating margin of 4.5% indicating minimal operational efficiency and pricing power. Dangerously low interest coverage ratio of 1.2x leaves minimal cushion for debt servicing amid revenue decline and margin compression.
What is CMCO's revenue and growth?
COLUMBUS MCKINNON CORP reported revenue of $755.6M.
Does CMCO pay dividends?
COLUMBUS MCKINNON CORP pays dividends, with $6.0M distributed to shareholders in the trailing twelve months.
Where can I find CMCO SEC filings?
Official SEC filings for COLUMBUS MCKINNON CORP (CIK: 0001005229) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CMCO's EPS?
COLUMBUS MCKINNON CORP has a diluted EPS of $0.30.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.