Columbus McKinnon Corporation (NASDAQ: CMCO) saw its stock price plummet 5.01% in Wednesday's trading session following the release of its fourth-quarter earnings report and fiscal year 2026 guidance. The industrial goods manufacturer's performance fell short of expectations, raising concerns among investors about its near-term growth prospects.
The company reported Q4 sales of $246.9 million, missing analysts' estimates of $250 million and representing a 7% decline compared to the same period last year. Columbus McKinnon attributed this decrease to reduced short-cycle demand and a 2% negative impact from foreign exchange rates. The adjusted earnings per share came in at $0.60, slightly above the consensus estimate of $0.58, but still down from $0.75 in the previous year.
Adding to investor concerns, Columbus McKinnon provided a cautious outlook for fiscal year 2026. The company expects both net sales and adjusted earnings per share to be "flat to slightly up," which appears to have disappointed market participants hoping for more robust growth. Furthermore, the company warned that tariffs would likely be a headwind to adjusted EPS in the first half of fiscal 2026, with tariff cost neutrality not expected until the second half of the year. This outlook, combined with the Q4 performance, seems to have prompted the significant sell-off in Columbus McKinnon's stock.
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