Graham Corporation ( (GHM) ) has released its Q2 earnings. Here is a breakdown of the information Graham Corporation presented to its investors.
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Graham Corporation is a global leader in designing and manufacturing critical fluid, power, heat transfer, and vacuum technologies, serving the defense, space, energy, and process industries with world-renowned engineering expertise.
Graham Corporation has reported record revenue for the second quarter of fiscal 2025, reaching $53.6 million, a 19% increase driven by strong market demand. The company also achieved significant margin expansion, raising its full-year guidance for gross margin and adjusted EBITDA.
The company’s gross margin improved by 790 basis points to 23.9% due to higher sales volume and operational efficiencies. Graham Corporation’s net income rose to $3.3 million, a 698% increase, with net income per diluted share at $0.30. The company reported strong orders totaling $63.7 million and a record backlog of $407 million, reflecting robust demand in defense, space, and refining sectors.
The balance sheet remains strong with no debt and $32.3 million in cash. Capital expenditures are projected to increase, supporting growth initiatives, including a new testing facility. The company’s strategic focus on high-margin opportunities and operational improvements is expected to sustain growth.
Looking ahead, Graham Corporation is optimistic about its growth prospects, driven by a strong order backlog and strategic initiatives. The company aims to achieve low to mid-teen adjusted EBITDA margins by FY2027, supported by a robust market presence and ongoing operational enhancements.