GHM GRAHAM CORP

Overview and Growth

In fiscal 2026, GRAHAM CORP recorded $245.29M of revenue, net income of $12.50M, and an operating cash inflow of $15.93M. Revenue of $245.29M sets the scale for evaluating how effectively sales translated into profit and cash during the year. The top line expanded 16.9% from $209.90M in fiscal 2025, increasing the company’s operating scale. Diluted earnings per share were $1.12, translating the period’s attributable earnings into the amount reported for each diluted share. Against diluted EPS of $1.11 in fiscal 2025, the current result was 0.9% higher. Asset turnover was 0.76x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

After reported cost of revenue, the company retained $57.75M as gross profit before recognizing operating expenses and other items. Gross margin was 23.5%, so that share of each revenue unit remained after the cost of revenue reported for the period. Operations produced $15.02M of income after the reported operating expense base, before the remaining non-operating and tax effects. The operating result equaled 6.1% of revenue, placing the absolute operating-income figure in the context of the company’s sales base. After all reported below-operating-line items, the company recorded net income of $12.50M for the fiscal year. The final earnings result represented 5.1% of revenue, connecting the absolute net income figure with the company’s top-line scale. Pretax income was $14.76M, isolating the reported earnings outcome before the income-tax provision recognized for the fiscal year. Pretax income represented 6.0% of revenue, placing earnings before tax in the context of the company’s operating scale. The company recognized $2.26M of income tax for the period, completing the transition from pretax income to net income. The effective relationship between income tax and positive pretax income was 15.3%, without assuming a statutory-rate comparison.

Liquidity and Capital Structure

Total assets were $323.62M, supported by $183.30M of liabilities and $140.31M of shareholder equity. Current assets were $156.45M against $156.27M of current liabilities, framing the resources and obligations classified within the near-term balance-sheet horizon. The current ratio was 1.0x, with current assets exceeding current liabilities and providing a short-term liquidity cushion. Cash and equivalents totaled $6.58M, identifying the most liquid reported component available within the broader current-asset balance. Measured only with cash and equivalents, coverage of current liabilities was 4.2%, excluding receivables and other current assets. Total debt was $13.00M, establishing the amount of borrowing carried within the company’s capital structure. Against book equity, debt measured 0.09x, placing the company’s financial leverage in clear balance-sheet terms. Debt represented 4.0% of total assets, placing borrowing in the context of the company’s full resource base. Liabilities represented 56.6% of total assets, quantifying the liability-funded share of the company’s resource base. The cash-to-assets relationship was 2.0%, comparing reported cash and equivalents with the full positive asset balance. Total assets were 22.5% higher than fiscal 2025 assets of $264.11M, measuring the company’s own balance-sheet change.

Cash Flow and Earnings Quality

Operating activities produced a cash inflow of $15.93M, giving the cash-flow counterpart to the accrual-based profit measures reported for the year. The operating-cash-flow-to-net-income relationship was 1.27x, comparing cash generated by operations with the bottom-line earnings result. Capital spending was $16.05M, absorbing part of the cash generated from operations before free cash flow. Capital spending absorbed 100.8% of operating cash flow, quantifying the share of cash from operations directed to investment. Negative free cash flow was $121.00K, leaving a cash deficit after capital spending and reducing financial flexibility. Relative to revenue, the post-investment cash deficit represented 0.0%. The cash deficit after capital spending represented 0.0% of the period-end asset base.

Based on the annual report for the fiscal year ending Mar 31, 2026. Analysis generated Sep 24, 2026.