Gorman-Rupp Company (GRC) Investor presentation summary

Investment highlights

• Leading designer and manufacturer of pumps with over 90 years of operating history and strong brand recognition.

• Broad exposure across fire suppression, industrial, agriculture, construction, municipal, petroleum, and OEM markets, reducing cyclicality.

• Positioned for growth via data center expansion, infrastructure investment, new product development, international expansion, and disciplined acquisitions.

• Competitive advantages include high-quality products, customer-first service, engineering expertise, and a robust distributor network.

• Strong financial profile with consistent margins, cash flow, and a 53-year track record of dividend increases.

Financial performance and growth

• Net sales reached $186.1 million in Q2 2026, up 3.9% year-over-year, with record net income of $19.4 million and EPS of $0.74.

• Year-to-date 2026 net sales were $362.7 million, up 5.7%, with net income of $37.3 million and EPS of $1.41, a 33% increase.

• Adjusted EBITDA increased by over 2.5x since 2020, reaching $73.7 million YTD 2026, or 20.3% of sales.

• Gross profit margin improved to 32.5% YTD 2026, with operating income up 18% and backlog up 6.8%.

• Free cash flow and cash conversion remain strong, supporting capital allocation priorities.

Market and product diversity

• Serves diverse end markets: industrial/chemicals & HVAC (19–21%), fire suppression (19–22%), agriculture & irrigation (14–16%), municipal water/wastewater (12–15%), construction & dewatering (11–13%), OEM (6–8%), refined petroleum (2–4%), and repair parts (9–12%).

• Product applications include water, wastewater, stormwater, irrigation, fuel, chemicals, fire suppression, construction, mining, HVAC, food, marine, and computer cooling.

• International sales represent about 25% of total sales, with a strong presence in Europe, Canada, Africa, and the Americas.