Profits up 12.5 Percent at Columbus McKinnon

October 29, 2008 – Columbus McKinnon Corp., Amherst, N.Y., said measures taken to address rising costs helped enable the manufacturer to post a 12.5 percent increase in net income in the second quarter. The company reported that net income rose to $10.6 million compared to $9.5 million year-over-year. Earnings per share were 55 cents, up from 49 cents. Net sales from continuing operations for the period were $154.7 million, up 6.7 percent from $144.9 million a year ago.

 

Still, officials said there was an impact due to Hurricane Ike, amounting to 2 cents per share, and rapid increases in costs of materials, freight and utilities in September alone that trimmed earnings by approximately 3 cents per share.

 

“Recently, we have seen costs come down somewhat. Nonetheless, we are taking aggressive measures to fine tune our cost structure in anticipation of slowing in the industrial and commercial markets,” said president and CEO Timothy Tevens. “Our lower fixed cost structure and leaner operations provide us flexibility to make changes quickly and also lessen the recessionary effects on our earnings power when compared with the last recessionary period earlier this decade.”