Gorman-Rupp Q3 adjusted EPS rises 65%, beats expectations

The Gorman-Rupp

Yesterday 11:40

Overview
US pump maker's Q3 revenue rose 12% yr/yr to record high
Adjusted EPS climbed 65% yr/yr to $0.86, beating analyst's expectations
Company says margin gains driven by higher sales, cost leverage, and lower one-time costs

Outlook
Company plans 2026 capital expenditures of $22 mln to $24 mln
Company says incoming orders and backlog remain healthy entering Q4

Result Drivers
VOLUME AND PRICE GAINS - Co said sales growth was driven by increased volumes and price increases taken in Q1
MARKET EXPANSION - Co cited growth in agriculture, construction, industrial, and fire suppression markets, with improvements across Fill-Rite sales channels and increased international sales
LOWER INTEREST EXPENSE - Co said reduced interest expense contributed to earnings growth, mainly due to lower outstanding debt

Company press release: ID:nBw3pw2Yja

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$193.30 mln
$187.08 mln (2 Analysts)
Q3 Adjusted EPS
Beat
$0.86
$0.70 (3 Analysts)
Q3 EPS
 
$0.86
 
Q3 Net Income
 
$22.70 mln
 
Q3 Adjusted EBITDA
Beat
$41.80 mln
$38.007 mln (2 Analysts)
Q3 Gross Margin
 
33.40%
 
Q3 Gross Profit
 
$64.50 mln
 
Q3 Operating Income
 
$33.90 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the industrial machinery & equipment peer group is "buy"
Wall Street's median 12-month price target for The Gorman-Rupp Company is $80.00, about 14.1% above its October 22 closing price of $70.13
The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 33 three months ago

Reuters Recommended Reads
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Oct 21 - United Rentals Q3 revenue beats estimates on rental demand, raises FY outlook

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@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.)