Revenue during the quarter went up marginally by 2.23 percent to $503.60 million from $492.60 million in the previous year period. Gross margin for the quarter expanded 80 basis points over the previous year period to 34.87 percent. Total expenses were 88.13 percent of quarterly revenues, down from 96.53 percent for the same period last year. This has led to an improvement of 840 basis points in operating margin to 11.87 percent.

Operating income for the quarter was $59.80 million, compared with $17.10 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at $98 million compared with $93.30 million in the prior year period. At the same time, adjusted EBITDA margin improved 52 basis points in the quarter to 19.46 percent from 18.94 percent in the last year period.

Todd A. Adams, president and chief executive officer, commented, "Our fourth quarter results were in line with our expectations and concluded an important year of strategic progress for Rexnord. We delivered another year of free cash flow conversion above 100% in our fiscal 2017, made substantial progress toward completion of our Supply Chain Optimization and Footprint Repositioning initiatives, developed growing momentum in our organic growth and commercial excellence initiatives, expanded our competitive position in food and beverage end markets with the successful Cambridge acquisition, and significantly reduced our financial leverage. Looking into our fiscal 2018, we are excited about our expanding pipeline of innovation, the expected realization of targeted cost savings and expanding free cash flow, and Rexnord’s prospects for enhanced core growth and shareholder value creation."

For financial year 2018, Rexnord Corporation projects net income to be in the range of $87 million to $107 million.

The company has spent $264 million cash to meet investing activities during the year as against cash outgo of $45.20 million in the last year. It has incurred net capital expenditure of $50.30 million on net basis during the year, up 8.64 percent or $4 million from year ago.

Cash flow from financing activities was $79.90 million for the year as against cash outgo of $56.30 million in the last year period.

Cash and cash equivalents stood at $490.10 million as on Mar. 31, 2017, up 1.13 percent or $5.50 million from $484.60 million on Mar. 31, 2016.

Working capital remains almost stable
Rexnord Corporation has recorded an increase in the working capital over the last year. It stood at $777.80 million as at Mar. 31, 2017, up 0.79 percent or $6.10 million from $771.70 million on Mar. 31, 2016. Current ratio was at 2.94 as on Mar. 31, 2017, up from 2.91 on Mar. 31, 2016.

Cash conversion cycle (CCC) has decreased to 45 days for the quarter from 47 days for the last year period. Days sales outstanding were almost stable at 29 days for the quarter, when compared with the last year period.

Days inventory outstanding has decreased to 43 days for the quarter compared with 46 days for the previous year period. At the same time, days payable outstanding was almost stable at 27 days for the quarter, when compared with the previous year period.