Graham reports Q1 adjusted EPS 45c, consensus 23c

Reports Q1 revenue $55.5M, consensus $56.59M. CEO Matthew Malone stated, “The start of FY26 demonstrates continued strength across our diversified product portfolio. We delivered strong growth in our Energy & Process markets, driven by execution on major commercial projects and robust aftermarket demand, along with increasing momentum in emerging energy segments such as small modular reactors and cryogenics. In addition, our Defense business continues to perform well, supported by recent follow-on orders, including $86.5M to support the Virginia Class submarine program in May and $25.5M for the MK48 Mod 7 Heavyweight Torpedo program in July, reaffirming our position as a trusted supplier to the U.S. Navy. We remain focused on high-return initiatives that drive long-term value creation, including numerous in-process capital investments expected to generate returns above 20%. These initiatives include automated welding, enhanced radiographic testing technologies, and our new cryogenic testing facility in Florida, which we expect will improve margins and create new revenue opportunities. I’m also pleased to announce that we’ve completed the expansion of our Batavia defense facility this month. With these investments, we believe Graham (GHM) is well-positioned to drive sustainable growth, deliver for our customers, and continue expanding margins.”