Columbus McKinnon sets quarterly dividend at $0.07 per share

Published 24/03/2025, 21:18
Columbus McKinnon sets quarterly dividend at $0.07 per share

CHARLOTTE, N.C. - Columbus McKinnon Corporation (NASDAQ:CMCO), a prominent player in the design, manufacturing, and marketing of material handling solutions, currently trading at $18.78 with a market capitalization of $538 million, has declared a regular quarterly dividend of $0.07 per common share, as confirmed by its Board of Directors.

The upcoming dividend is scheduled to be distributed on or around May 12, 2025, to shareholders who are recorded by the close of business on May 2, 2025. The company, which is known for its intelligent motion solutions, has maintained dividend payments for 12 consecutive years, with a current dividend yield of 1.52%. The company has an outstanding share count of approximately 28.6 million common shares.

Columbus McKinnon’s product portfolio includes hoists, crane components, precision conveyor systems, rigging tools, light rail workstations, and digital power and motion control systems. The company primarily caters to commercial and industrial applications where safety and quality are paramount, leveraging its advanced design and engineering capabilities.

This dividend announcement reflects the company’s ongoing commitment to providing value to its shareholders and is part of its regular payout schedule. The information regarding the dividend payment is based on a press release statement from Columbus McKinnon Corporation.

In other recent news, Columbus McKinnon reported third-quarter earnings that fell short of expectations, with net sales decreasing by 7.9% to $234.1 million compared to the same period last year. The company also announced a significant acquisition of Kito Crosby for $2.7 billion, a move expected to double its annual revenue to $2.1 billion and enhance its competitive position. However, this acquisition will initially increase Columbus McKinnon’s net leverage ratio to approximately 4.8 times its pro forma Adjusted EBITDA.

S&P Global Ratings placed Columbus McKinnon’s ’B+’ issuer credit rating on CreditWatch with negative implications due to the anticipated debt financing for the acquisition. Meanwhile, Moody’s Ratings has placed Columbus McKinnon’s ratings under review for a potential downgrade, citing high financial leverage and integration risks associated with the acquisition. In contrast, Moody’s is considering an upgrade for Kito Crosby’s ratings, reflecting its merger with a well-capitalized entity like Columbus McKinnon.

Analyst Matt Summerville from DA Davidson downgraded Columbus McKinnon from a Buy to a Neutral rating, expressing concerns over increased leverage and deal complexity. The acquisition is expected to close later this year, pending regulatory approvals, with Columbus McKinnon planning to reduce its leverage to approximately 3.0 times within two years post-closing. Despite the potential for long-term strategic benefits, the immediate financial implications have raised concerns among investors.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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