Overview
Gorman-Rupp Q3 revenue rose 2.8% but missed analyst expectations
Adjusted EPS for Q3 missed analyst estimates
Adjusted EBITDA for Q3 beat analyst expectations
Company optimized facilities to reduce costs and support growth markets
Outlook
Company expects effective tax rate for 2026 to be between 21.0% and 23.0%
Gorman-Rupp sees strong incoming orders and increasing backlog for 2025 and 2026
Result Drivers
FACILITY OPTIMIZATION - Co reduced NPC facilities to lower fixed costs and support growth in fire, municipal, and HVAC markets
MARKET DEMAND - Increased sales in industrial and municipal markets due to data center demand and infrastructure investment
COST IMPACT - Facility optimization and material costs contributed to decreased gross and operating margins
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Miss | $172.80 mln | $174.60 mln (2 Analysts) |
Q3 Adjusted EPS | Miss | $0.52 | $0.56 (2 Analysts) |
Q3 EPS | $0.43 | ||
Q3 Net Income | $11.30 mln | ||
Q3 Adjusted EBITDA | Beat | $32.29 mln | $31.50 mln (1 Analyst) |
Q3 Gross Margin | 29.20% | ||
Q3 Gross Profit | $50.40 mln | ||
Q3 Operating Income | $21.50 mln |
Analyst Coverage
The one available analyst rating on the shares is "strong buy"
The average consensus recommendation for the industrial machinery & equipment peer group is "buy."
Wall Street's median 12-month price target for Gorman-Rupp Co is $55.00, about 10.7% above its October 23 closing price of $49.12
The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 17 three months ago
Press Release: ID:nBw7Fr7VRa
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
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