Revenue: As of FY2026 Q1, the actual value is USD 176.59 M, beating the estimate of USD 170.61 M.EPS: As of FY2026 Q1, the actual value is USD 0.68, beating the estimate of USD 0.525.EBIT: As of FY2026 Q1, the actual value is USD 32.44 M.<h4>Segment Revenue</h4>Net sales for The Gorman-Rupp Company increased by 7.7% to $176.6 million for the first quarter of 2026, compared to $163.9 million for the same period in 2025, driven by volume growth and average pricing increases of approximately 3.0% in both years .Net Sales by End Market (Three Months Ended March 31): Industrial: $32.168 million in 2026 (12.4% increase from $28.627 million in 2025) . Fire: $27.429 million in 2026 (-16.8% decrease from $32.977 million in 2025) . Agriculture: $26.853 million in 2026 (19.6% increase from $22.461 million in 2025) . Construction: $27.089 million in 2026 (30.2% increase from $20.810 million in 2025) . Municipal: $24.953 million in 2026 (13.2% increase from $22.049 million in 2025) . Petroleum: $5.130 million in 2026 (-6.3% decrease from $5.477 million in 2025) . OEM: $12.714 million in 2026 (15.1% increase from $11.044 million in 2025) . Repair parts: $20.257 million in 2026 (-1.2% decrease from $20.503 million in 2025) .Net Sales by Geographic Location (Three Months Ended March 31): United States: $134.331 million in 2026, up from $121.994 million in 2025 . Foreign countries: $42.262 million in 2026, up from $41.954 million in 2025 . International sales represented approximately 24% of total net sales for the first quarter of 2026 and 26% for the first quarter of 2025 .<h4>Operational Metrics</h4><ul><li>Gross Profit: Gross profit was $57.4 million for the first quarter of 2026, up from $50.3 million for the same period in 2025 .</li><li>Gross Margin: Gross margin increased by 180 basis points to 32.5% in the first quarter of 2026, compared to 30.7% in 2025, driven by a 100 basis point improvement in labor and overhead leverage and an 80 basis point improvement in cost of material due to favorable product mix .</li><li>Cost of Products Sold: $119.234 million in Q1 2026, a 4.9% increase from $113.616 million in Q1 2025 .</li><li>Selling, General and Administrative (SG&amp;A) Expenses: SG&amp;A expenses were $26.802 million (15.2% of net sales) in Q1 2026, compared to $25.107 million (15.3% of net sales) in Q1 2025, an increase of 6.8% .</li><li>Operating Income: Operating income rose to $27.5 million in Q1 2026, from $22.1 million in Q1 2025, a 24.2% increase .</li><li>Operating Margin: Operating margin increased by 210 basis points to 15.6% in Q1 2026, up from 13.5% in Q1 2025, due to improved leverage on labor, overhead, and SG&amp;A expenses from increased sales and favorable product mix .</li><li>Net Income: Net income was $17.8 million in Q1 2026, a 47.1% increase from $12.1 million in Q1 2025 .</li><li>Interest Expense: Interest expense decreased to $5.0 million in Q1 2026, from $6.2 million in Q1 2025, primarily due to a decrease in outstanding debt .</li><li>Adjusted EBITDA: Adjusted EBITDA was $35.5 million (20.1% of sales) in Q1 2026, compared to $29.7 million (18.1% of sales) in Q1 2025 .</li></ul><h4>Cash Flow</h4><ul><li>Net Cash Provided by Operating Activities: $21.987 million in Q1 2026, compared to $21.100 million in Q1 2025, primarily due to increased net income partially offset by increased working capital .</li><li>Net Cash Used for Investing Activities: $4.131 million in Q1 2026, compared to $3.001 million in Q1 2025, primarily for capital additions .</li><li>Net Cash Used for Financing Activities: $22.678 million in Q1 2026, compared to $20.648 million in Q1 2025, primarily consisting of net payments on bank borrowings ($15.0 million), dividend payments ($5.0 million), and payments for stock award tax coverages ($2.6 million) .</li></ul><h4>Unique Metrics</h4><ul><li>Incoming Orders: $187.5 million for the first three months of 2026, an increase of 5.5% compared to the same period in 2025 .</li><li>Backlog: $247.9 million at March 31, 2026, compared to $217.8 million at March 31, 2025, and $244.0 million at December 31, 2025 .</li><li>Total Debt Outstanding: $295.8 million as of March 31, 2026, with $265.8 million due in 2029 and $30.0 million due in 2031 .</li><li>Available for Repurchase: The Gorman-Rupp Company had $48.1 million available under its share repurchase program as of March 31, 2026 .</li><li>Capital Expenditures: $4.3 million in Q1 2026, primarily for machinery, equipment, and a building .</li></ul><h4>Future Outlook and Strategy</h4>Demand in the first quarter of 2026 remained broad-based across most end markets, with incoming order volumes supporting sales growth and increasing backlog, positioning The Gorman-Rupp Company for the remainder of the year . The company plans capital expenditures for the full year 2026 to be approximately $22.0 - $24.0 million, mainly for machinery and equipment, financed through cash from operations . The Gorman-Rupp Company expects its effective tax rate for the full year 2026 to be between 22.0% and 23.0% .

Gorman-Rupp Company (The) | 10-Q: FY2026 Q1 Revenue Beats Estimate at USD 176.59 M