Gorman-rupp ( (GRC) ) has released its Q2 earnings. Here is a breakdown of the information Gorman-rupp presented to its investors.
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The Gorman-Rupp Company, established in 1933, is a prominent designer and manufacturer of pumps and pump systems, serving various industries including water, wastewater, construction, and more. The company operates primarily within the industrial sector and is known for its diverse applications in liquid-handling solutions.
In its latest earnings report for the second quarter of 2025, Gorman-Rupp announced record net sales of $179.0 million, marking a 5.6% increase from the previous year. The company also reported a significant rise in net income to $15.8 million, or $0.60 per share, compared to $8.3 million, or $0.32 per share, in the same quarter of 2024.
Key financial metrics highlighted include a 15.7% increase in incoming orders, reaching $188.0 million, and a notable reduction in interest expenses due to successful refinancing efforts. The municipal market, driven by infrastructure investments, and the fire suppression market were major contributors to the sales growth. However, the agriculture market faced a decline due to reduced farm income.
Despite a slight decrease in gross margin from 31.9% to 31.3%, the company maintained strong operating income and improved its debt position by reducing total debt by $30 million in the first half of 2025. The company’s backlog of orders stood at $224.4 million, reflecting a stable demand outlook.
Looking ahead, Gorman-Rupp’s management remains optimistic about the second half of the year, supported by robust incoming order trends and a competitive advantage from its U.S.-based supply chain. The company plans to continue leveraging its strong cash flow to further reduce debt and mitigate potential tariff impacts through strategic pricing adjustments.