Columbus McKinnon reported earnings results for the third quarter ended December 31, 2014. For the quarter, the company reported net income of $7.9 million, or $0.39 per diluted share, compared with the prior-year period's $6.7 million, or $0.33 per diluted share. Revenue was $140.8 million, down 3% from $145.07 million in the same quarter last year. Operating income increased by 13.6% to $1.5 million or 9% of sales compared to 7.7% of sales in the previous year. Third quarter revenues were negatively impacted by currency translation as the U.S. dollar strengthened against global currencies like the euro, the Canadian dollar, the Brazilian real and the Mexican pesos. The increase in operating income reflects the continued gross margin expansion as a result of accretive acquisitions and productivity as well as the cost-containment actions to control SG&A expense in the base business while still funding investments to drive future top line growth. Pretax income was up 35.6% from a year ago to $10.2 million. Earnings per diluted share for the third quarter of fiscal 2015 were $0.39 per share compared to $0.33 per share in the previous year, an increase of $0.06 per share or 18%. In a more normalized 30% tax rate, earnings per diluted share were up $0.09 per share or 35% to $0.35 per share. The company generated $17.1 million of net cash provided by operating activities in the three months ended December 31, 2014, compared to $16.2 million in the three months ended December 31, 2013.

For the year-to-date, capital expenditures were $11.3 million versus $13.5 million in the previous year. The company generated $18.5 million of operating free cash flow compared to $4.5 million, a year ago. Net debt, as at December 31, 2014 was $55 million.

The company provided capital expenditures guidance for the full year of 2015. It expects capital expenditures to be approximately $15 million to $20 million for fiscal 2015, the majority of which is dedicated to productivity and growth projects.