Graham Corp posts 29% revenue growth in Q1 2027

Graham Corporation reported first quarter fiscal 2027 results for the period ended June 30, 2026.

Rhea-AI Filing Summary

Graham Corporation reported first quarter fiscal 2027 results for the period ended June 30, 2026. Net sales were $71.3 million, up 29% from the prior-year quarter, with growth across Defense, Space and Energy & Process markets, including $6.6 million of revenue from the FlackTek acquisition.

Gross profit was $17.8 million and gross margin declined to 25.0% from 26.5%, reflecting a higher mix of lower-margin Defense work and material receipts. Operating income was $4.2 million and net income $3.9 million, with diluted EPS of $0.33 versus $0.42, while adjusted EBITDA increased 28% to $8.8 million and adjusted EPS rose to $0.49.

Orders were $95.9 million and backlog reached a record $557.2 million, 15% above a year earlier, with about 84% related to Defense programs. Cash and cash equivalents were $27.0 million with no debt outstanding and $74.5 million available on the revolver, after a $50.0 million equity investment and repayment of $13.0 million of debt. Management reaffirmed fiscal 2027 guidance, including net sales of $285–$295 million and adjusted EBITDA of $35–$40 million.

Positive

• Net sales grew 29% to $71.3 million in Q1 fiscal 2027, while adjusted EBITDA increased 28% to $8.8 million and adjusted net income rose to $5.7 million, reflecting stronger operating performance on a larger revenue base.
• Record backlog reached $557.2 million, up 15% from the prior-year period, with approximately 84% tied to Defense contracts, which the company notes provides stability and visibility for future revenue.
• Balance sheet strengthened through a $50.0 million equity investment, repayment of $13.0 million of debt, ending the quarter with $27.0 million of cash, no debt outstanding, and $74.5 million of availability on the revolving credit facility.

Negative

• GAAP profitability declined despite strong revenue growth: gross margin fell 150 basis points to 25.0%, operating margin declined to 5.8% from 8.9%, and net income decreased 15%, with diluted EPS down to $0.33 from $0.42.
• Orders decreased 24% year over year to $95.9 million, compared with a prior-year quarter that included $86.5 million of large follow-on U.S. Navy Virginia Class Submarine orders, highlighting variability in large Defense bookings.

Filing Explained

At June 30, the completed issuance left 11,727 thousand shares outstanding and reduced existing holders’ percentage ownership absent offsetting changes.

This Form 8-K furnishes Graham Corporation’s completed first-quarter results for the period ended June 30, 2026 and reports a $50 million common-stock issuance; the larger share base reduces existing holders’ percentage ownership absent offsetting changes.

The financing is reported as an issuance of common stock, not merely a registration: $13 million of proceeds repaid debt, while the remaining proceeds are expected to fund future organic and inorganic growth.

The first-quarter cash-flow statement reports $12,650 thousand of net cash used in operating activities and $2,609 thousand of capital expenditures; cash ended at $26,953 thousand versus $6.580 million at March 31, 2026, with no long-term debt at quarter-end.

8-K Event Classification

3 items: 2.02, 7.01, 9.01

3 items

Item 2.02 Results of Operations and Financial Condition Financial

Disclosure of earnings results, typically an earnings press release or preliminary financials.

Item 7.01 Regulation FD Disclosure Disclosure

Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.

Item 9.01 Financial Statements and Exhibits Exhibits

Financial statements, pro forma financial information, or exhibit attachments filed with this report.

Key Figures

Net sales Q1 fiscal 2027: $71,342 thousand Net income Q1 fiscal 2027: $3,912 thousand Adjusted EBITDA Q1 fiscal 2027: $8,750 thousand +5 more

8 metrics

Net sales Q1 fiscal 2027 $71,342 thousand Three months ended June 30, 2026; up 29% year over year

Net income Q1 fiscal 2027 $3,912 thousand Three months ended June 30, 2026; down 15% year over year

Adjusted EBITDA Q1 fiscal 2027 $8,750 thousand Three months ended June 30, 2026; up 28% year over year

Record backlog $557.2 million Backlog at June 30, 2026; 15% above prior-year period

Orders Q1 fiscal 2027 $95.9 million Orders for first quarter fiscal 2027; 24% below prior-year quarter

Cash and cash equivalents $26,953 thousand Balance at June 30, 2026; no debt outstanding and $74.5 million revolver availability

Fiscal 2027 net sales guidance $285 million to $295 million Company outlook as of August 6, 2026; range reaffirmed

Fiscal 2027 adjusted EBITDA guidance $35 million to $40 million Expected adjusted EBITDA for fiscal year ending March 31, 2027

Key Terms

Adjusted EBITDA, backlog, book-to-bill ratio, Aftermarket, +2 more

6 terms

Adjusted EBITDA financial

"Adjusted EBITDA is defined as consolidated net income (loss) before net interest expense"

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

backlog financial

"Backlog is defined as the total dollar value of net orders received for which revenue"

A backlog is the amount of work or orders that a company has received but hasn't completed yet. It’s like a restaurant with many dishes to serve; the backlog shows how many orders are still waiting to be finished. It matters because a large backlog can indicate strong demand or potential delays in delivering products or services.

book-to-bill ratio financial

"The book-to-bill ratio is an operational measure that management uses to track the growth"

The book-to-bill ratio compares the value of new orders a company receives to the value of products it ships out or bills for over a certain period. If the ratio is above 1, it means the company is getting more orders than it is completing, which can indicate growth. If it's below 1, it suggests demand is slowing down.

Aftermarket financial

"Aftermarket sales to the Energy & Process and Defense markets of $9.7 million remained strong"

Aftermarket is trading that happens outside a stock exchange’s regular business hours, often called after-hours trading. Like a store that stays open later, it lets buyers and sellers react to news and set prices when the main market is closed; because fewer people trade then, prices can move more quickly and trades may be harder to fill, so aftermarket activity can signal how a stock might open the next day and affect short-term investor decisions.

ERP Implementation costs financial

"ERP Implementation costs primarily relate to consulting costs incurred in connection with the ERP system"

contingent consideration financial

"incremental costs that are directly related to acquisition and integration and contingent consideration fair value"

Contingent consideration is an additional payment agreed when one company buys another that will be paid later only if specific future targets are met, such as revenue, profit, or regulatory milestones. It matters to investors because it shifts risk between buyer and seller and affects the acquiring company's future cash flow and reported value — like promising a bonus after results are proven.

Earnings Snapshot

Net sales: $71.3 million · Guidance included

Three months ended June 30, 2026 (Q1 fiscal 2027)

Net sales $71.3 million up 29% versus Q1 fiscal 2026

Net income $3.9 million down 15% versus Q1 fiscal 2026

Adjusted EBITDA $8.8 million up 28% versus Q1 fiscal 2026

Orders $95.9 million down 24% versus Q1 fiscal 2026

Backlog $557.2 million up 15% versus prior-year period

Guidance

For fiscal 2027, the company guides to net sales of $285–$295 million, gross margin of 24.5%–25.5%, SG&A of 16.5%–17.5% of sales, adjusted EBITDA of $35–$40 million, an 18%–20% effective tax rate, and capital expenditures of $18.0–$22.0 million.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

How did Graham Corporation (GHM) perform in Q1 fiscal 2027?

Graham Corporation delivered Q1 fiscal 2027 net sales of $71.3 million, up 29% from a year earlier, with net income of $3.9 million and diluted EPS of $0.33. Adjusted EBITDA increased 28% to $8.8 million and adjusted EPS improved to $0.49.

What drove revenue growth for Graham Corporation (GHM) in Q1 2027?

Revenue growth was broad-based, with Defense sales up $11.8 million (40%), Space sales up $2.9 million (86%), and Energy & Process up 5%. The FlackTek acquisition contributed $6.6 million of revenue, and aftermarket sales in Energy & Process and Defense rose 20% to $9.7 million.

What were Graham Corporation (GHM)’s orders and backlog after Q1 fiscal 2027?

Q1 fiscal 2027 orders were $95.9 million, and backlog reached a record $557.2 million, 15% higher than a year earlier. About 84% of backlog relates to Defense, and the book-to-bill ratio for the quarter was 1.3x, following 1.5x for fiscal 2026.

How strong is Graham Corporation (GHM)’s balance sheet following Q1 2027?

As of June 30, 2026, Graham held $27.0 million of cash and cash equivalents, had no debt outstanding, and $74.5 million available on its revolving credit facility. This followed a $50.0 million equity investment and repayment of $13.0 million of long-term debt during the quarter.

What fiscal 2027 guidance did Graham Corporation (GHM) reaffirm?

The company reaffirmed fiscal 2027 guidance for net sales of $285 million to $295 million, gross margin of 24.5% to 25.5%, SG&A of 16.5% to 17.5% of sales, adjusted EBITDA of $35 million to $40 million, an 18% to 20% effective tax rate, and capital expenditures of $18.0 million to $22.0 million.

How did Graham Corporation (GHM)’s margins change in Q1 fiscal 2027?

Gross margin declined from 26.5% to 25.0%, and operating margin fell from 8.9% to 5.8% versus the prior-year quarter. The company cited sales mix, particularly higher Defense revenue and material receipts with lower margins, as key drivers of the compression.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Available on EDGAR 08/06/2026 - 06:45 AM Accepted by SEC EDGAR 08/06/2026 - 06:45 AM Learn about SEC filing dates

GRAHAM CORP false 0000716314 0000716314 2026-08-06 2026-08-06

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): August 6, 2026

Graham Corporation

(Exact name of Registrant as specified in its charter)

Delaware		001-08462		16-1194720
(State or other jurisdiction of incorporation)		(Commission File Number)		(IRS Employer Identification No.)

20 Florence Avenue, Batavia, New York		14020
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (585) 343-2216

N/A

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the Registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common Stock, par value $0.10 per share		GHM		NYSE

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02. Results of Operations and Financial Condition.

On August 6, 2026, Graham Corporation (the “Company”) issued a press release describing its results of operations and financial condition for its first quarter ended June 30, 2026. The Company’s earnings press release is furnished to this Current Report on Form 8-K as Exhibit 99.1.

Item 7.01. Regulation FD Disclosure.

On August 6, 2026, the Company will post on its website at www.grahamcorp.com supplemental data tables, furnished hereto as Exhibit 99.2, regarding historical sales, orders and backlog information.

The information furnished pursuant to these Items 2.02 and 7.01, including Exhibit 99.1 and Exhibit 99.2 shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities under such section and shall not be deemed to be incorporated by reference into any filing of the Company under the Securities Act of 1933, as amended, or the Exchange Act.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

Exhibit No.		Description
99.1		Press Release dated August 6, 2026 describing the results of operations and financial condition for Graham Corporation’s first quarter ended June 30, 2026.
99.2		Supplemental Data Tables.
104		Cover Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned hereunto duly authorized.

						Graham Corporation
Date: August 6, 2026				By:		/s/ Christopher J. Thome
						Christopher J. Thome
						Vice President – Finance, Chief Financial Officer and Chief Accounting Officer

Exhibit 99.1

IMMEDIATE RELEASE  

Graham Corporation Reports First Quarter Fiscal 2027 Results

First Quarter Fiscal 2027 Highlights:

• Record net sales of $71.3 million, increased 29% compared to the prior year reflecting strength of diversified revenue base

• Gross profit increased 21% to $17.8 million; Gross profit margin was 25.0%

• Net income per diluted share was $0.33; Adjusted net income per diluted share⁽¹⁾ was $0.49

• Adjusted EBITDA ⁽¹⁾ increased 28% to $8.8 million; Adjusted EBITDA margin⁽¹⁾ was 12.3%

• Orders ⁽²⁾ were $95.9 million; Book-to-Bill ⁽²⁾ ratio of 1.3x and record backlog ⁽²⁾ of $557.2 million

• Strengthened balance sheet with $27.0 million in cash and no outstanding debt following $50.0 million stock issuance and repayment of $13.0 million of debt during the quarter

• Reaffirming full year fiscal 2027 guidance

BATAVIA, NY, August 6, 2026 – Graham Corporation (NYSE: GHM) (“GHM” or the “Company”), a global leader in the design and manufacture of mission critical fluid, power, heat transfer, vacuum, and advanced mixing technologies for the Defense, Space, and Energy & Process industries, today reported financial results for its first quarter for the fiscal year ending March 31, 2027 (“fiscal 2027”).

Graham’s President and Chief Executive Officer, Matthew J. Malone stated, “Our first quarter results reflect continued disciplined execution and give us confidence as we look ahead to the remainder of fiscal 2027. Our revenue growth was across all of our business units, and bookings remained strong, which we believe, along with our record backlog, positions us well to achieve our long-term growth and profitability goals.

Mr. Malone continued, “At our Investor Day in June 2026, we introduced our three-year financial framework as we enter our next phase of growth which reflects the favorable tailwinds we see across our end markets. As we execute against our strategy, we remain focused on converting these opportunities into profitable growth, expanding margins and delivering long-term value for our shareholders.”

First Quarter Fiscal 2027 Performance Review

(All comparisons are with the same prior-year period unless noted otherwise.)

($ in thousands except per share data)		Q1 FY27				Q1 FY26				$ Change				% Change
Net sales		$	71,342			$	55,487			$	15,855				29	%
Gross profit		$	17,801			$	14,721			$	3,080				21	%
Gross margin			25.0	%			26.5	%							-150	bps
Operating income		$	4,152			$	4,964			$	(812	)			-16	%
Operating margin			5.8	%			8.9	%							-310	bps
Net income		$	3,912			$	4,595			$	(683	)			-15	%
Net income margin			5.5	%			8.3	%							-280	bps
Net income per diluted share		$	0.33			$	0.42			$	(0.09	)			-21	%
Adjusted net income*		$	5,738			$	4,938			$	800				16	%
Adjusted net income per diluted share*		$	0.49			$	0.45			$	0.04				9	%
Adjusted EBITDA*		$	8,750			$	6,838			$	1,912				28	%
Adjusted EBITDA margin*			12.3	%			12.3	%							-0	bps

* Graham believes that, when used in conjunction with measures prepared in accordance with U.S. generally accepted accounting principles (“GAAP”), adjusted net income, adjusted net income per diluted share, adjusted EBITDA and adjusted EBITDA margin, which are non-GAAP measures, help in the understanding of its operating performance. See attached tables and other information provided at the end of this press release for important disclosures regarding Graham’s use of these non-GAAP measures.

¹ Adjusted net income per diluted share, Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP measures. See attached tables and other information for important disclosures regarding Graham’s use of these non-GAAP measures.

² Orders, backlog and book-to-bill ratio are key performance metrics. See “Key Performance Indicators” below for important disclosures regarding Graham’s use of these metrics.

Graham Corporation Reports First Quarter Fiscal 2027 Results

August 6, 2026

Page 2 of 11

Net sales for the first quarter of fiscal 2027 were $71.3 million, up $15.9 million, or 29%, compared with the first quarter of fiscal 2026, reflecting the strength of our diversified revenue base, as well as the acquisition of FlackTek, which added $6.6 million to revenue during the quarter. The increase for the quarter was across multiple markets, including an $11.8 million, or 40%, increase in sales to the Defense market, primarily due to the timing of project milestones, as well as new programs and growth in existing programs. Sales to the Space market increased $2.9 million, or 86%, over the prior year first quarter, due to new programs and the ramp up of existing programs, as well as the FlackTek acquisition. Sales to the Energy & Process markets increased $1,098, or 5%, as increases in Aftermarket sales and contributions from FlackTek were partially offset by push outs on large capital project activity. Aftermarket sales to the Energy & Process and Defense markets of $9.7 million remained strong, increasing 20% over the first quarter of the prior year.

Gross profit for the first quarter of fiscal 2027 was $17.8 million or 25.0% of sales, compared with $14.7 million, or 26.5% of sales, in the prior-year period. The 150-basis point decline in gross profit margin reflects the mix of sales in the first quarter of fiscal 2027, and in particular, a higher level of Defense sales and material receipts, which carry a lower profit margin.

Selling, general and administrative expense (“SG&A”), including intangible amortization, for the first quarter of fiscal 2027 increased $3.2 million or 33%, over the prior year first quarter. Acquisition and integration expenses contributed $0.6 million of the increase compared to the prior year first quarter. Additionally, incremental SG&A from the acquisition of FlackTek accounted for $1.8 million of the increase. The remaining increase primarily reflects investments the Company is making in its people, processes, and technology, which we expect to be approximately $2.5 million of incremental costs for fiscal 2027, partially offset by a reduction in costs related to the Barber-Nichols Performance Bonus, which is no longer in effect in fiscal 2027. During the first quarter of fiscal 2026, the Company recorded $1.1 million related to the Barber-Nichols Performance Bonus, inclusive of applicable payroll taxes and no corresponding expense was recorded in the first quarter of fiscal 2027.

Cash Management and Balance Sheet

Cash and cash equivalents as of June 30, 2026, were $27.0 million, compared with $6.6 million in the previous quarter. During the quarter, the Company strengthened its balance sheet through a $50.0 million investment from accounts advised by T. Rowe Price, of which $13.0 million of the proceeds were used for debt repayment, with the remaining proceeds expected to fund future organic and inorganic growth opportunities.

Net cash used by operating activities was $12.7 million during the first quarter of fiscal 2027, primarily due to the timing of billing and collection of accounts receivable and unbilled revenue and customer deposits, as well as the payment of fiscal 2026 bonuses, including the Barber-Nichols Performance Bonus, during the quarter.

Capital expenditures, net for the first quarter of fiscal 2027 were $2.6 million, focused on capacity expansion, increasing capabilities, and productivity improvements.

The Company had no debt outstanding as of June 30, 2026, with $74.5 million available on its revolving credit facility after taking into account outstanding letters of credit.

Graham Corporation Reports First Quarter Fiscal 2027 Results

August 6, 2026

Page 3 of 11

Orders, Backlog, and Book-to-Bill Ratio

See supplemental data filed with the Securities and Exchange Commission on Form 8-K and provided on the Company’s website for a further breakdown of orders and backlog by market. See “Key Performance Indicators” below for important disclosures regarding Graham’s use of these metrics ($ in millions).

		Q1 26				Q2 26				Q3 26				Q4 26				FY26				Q1 27
Orders		$	125.9			$	83.2			$	71.7			$	78.7			$	359.4			$	95.9
Backlog		$	482.9			$	500.1			$	515.6			$	532.6			$	532.6			$	557.2

Orders for the first quarter of fiscal 2027 were $95.9 million, compared with $125.9 million in the prior year first quarter, which included $86.5 million of follow-on orders to support the U.S. Navy’s Virginia Class Submarine program. Order activity in the quarter continued to reflect strong demand in the Defense market, including approximately $61.8 million of new and follow-on orders to support the U.S. Navy’s Columbia and Virginia Class Submarine programs, as well as to provide mission-critical hardware for the MK48 Mod 7 Heavyweight Torpedo. Space market orders totaled $14.4 million, or 2.3x net Space sales for the quarter. Total Aftermarket orders for the Energy & Process and Defense markets increased 5% to $10.9 million and FlackTek contributed $13.2 million to orders during the quarter or 2.0x net FlackTek sales.

Note that our orders tend to be lumpy given the nature of our business (i.e. large capital projects) and in particular, orders to the Defense industry, which span multiple years and can be significantly larger in size.

Backlog at quarter end was a record $557.2 million, a 15% increase over the prior-year period, driven by strong bookings in the Defense and Space markets, and contributions from the FlackTek acquisition. For the quarter, the Company achieved a book-to-bill ratio of 1.3x, continuing momentum from a book-to-bill ratio of 1.5x in FY 2026. Approximately 35% to 40% of orders currently in backlog are expected to be converted to sales in the next twelve months, another 20% to 25% are expected to convert to sales within one to two years, and the remaining beyond two years. Approximately 84% of our backlog as of June 30, 2026, was to the Defense industry, which provides stability and visibility for future revenue.

Fiscal 2027 Outlook

(as of August 6, 2026)		Fiscal 2027 Guidance
Net Sales		$285 million to $295 million
Gross Margin		24.5% to 25.5% of sales
SG&A expense (including amortization)(1) (2)		16.5% to 17.5% of sales
Adjusted EBITDA(2) (3) (4)		$35 million to $40 million
Effective Tax Rate		18% to 20%
Capital Expenditures		$18.0 million to $22.0 million

(1) Includes approximately $4.0 million to $5.0 million of equity-based compensation, net acquisition & integration costs, and enterprise resource planning (“ERP”) conversion costs included in SG&A expense.

(2) Includes approximately $2.5 million of incremental costs to invest in people, processes, and technology to enable future growth and accelerate the commercialization of Graham products and technologies.

Graham Corporation Reports First Quarter Fiscal 2027 Results

August 6, 2026

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(3) Excludes net interest (income) expense, income taxes, depreciation, and amortization from net income, as well as approximately $5.5 million to $6.5 million of equity-based compensation, net acquisition & integration costs, and ERP conversion costs.

(4) See “Forward-Looking Non-GAAP Measures” below for additional information.

Graham’s Chief Financial Officer, Christopher J. Thome, said, “Our first quarter results reflect the discipline we have applied across the business, and we enter fiscal 2027 with a stronger, more flexible balance sheet and no outstanding debt. This financial flexibility supports our ability to continue investing in both organic and inorganic growth while maintaining the operating discipline that has defined our performance.”

Mr. Thome continued, “With our first quarter results in line with our expectations, we are reaffirming our full year fiscal 2027 guidance. We remain focused on converting our record backlog into profitable growth as we execute throughout the remainder of the year.”

Webcast and Conference Call

GHM’s management will host a conference call and live webcast on August 6, 2026, at 11:00 a.m. Eastern Time (“ET”) to review its financial results as well as its strategy and outlook. The review will be accompanied by a slide presentation, which will be made available immediately prior to the conference call on GHM’s investor relations website.

A question-and-answer session will follow the formal presentation. GHM’s conference call can be accessed by calling (877) 407-0784, or (201) 689-8560 (International). Alternatively, the webcast can be monitored from the events section of GHM’s investor relations website.

A telephonic replay will be available from 3:00 p.m. ET today through Thursday, August 13, 2026. To listen to the archived call, dial (844) 512-2921 and enter conference ID number 13761669, or access the webcast replay via the Company’s website at ir.grahamcorp.com, where a transcript will also be posted once available.

About Graham Corporation

Graham is a global leader in the design and manufacture of mission critical fluid, power, heat transfer, vacuum, and advanced mixing technologies for the Defense, Space, Energy & Process industries. Graham Corporation and its family of global brands are built upon world-renowned engineering expertise, proprietary technologies, as well as its responsive and flexible service and the unsurpassed quality customers have come to expect from the Company’s products and systems. Graham Corporation routinely posts news and other important information on its website, grahamcorp.com, where additional information on Graham Corporation and its businesses can be found.

Safe Harbor Regarding Forward Looking Statements

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.

Forward-looking statements are subject to risks, uncertainties and assumptions and are identified by words such as “continue,” “estimate,” “expects,” “focus,” “future,” “opportunities,” “outlook,” “believes,” “could,” “guidance,” “may”, “will,” “plan,” “strategy,” and other similar words. All statements addressing operating performance, events, or developments that Graham Corporation expects or anticipates will occur in the future, including but not limited to, profitability of future projects and the business, its ability to deliver to plan, its ability to continue to strengthen relationships with customers in the Defense industry, its ability to secure future projects and applications, expected expansion and growth opportunities, anticipated sales, revenues, adjusted EBITDA, adjusted EBITDA margins, capital expenditures and SG&A expenses, the timing of conversion of backlog to sales, orders, market presence, profit margins, tax rates, foreign sales operations, customer preferences, changes in market conditions in the industries in which it operates, changes in general economic conditions and customer behavior, forecasts regarding the timing and scope of the economic recovery in its markets, and its acquisition and growth strategy, are forward-looking statements. Because they are forward-

Graham Corporation Reports First Quarter Fiscal 2027 Results

August 6, 2026

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looking, they should be evaluated in light of important risk factors and uncertainties. These risk factors and uncertainties are more fully described in Graham Corporation’s most recent Annual Report filed with the Securities and Exchange Commission (the “SEC”), included under the heading entitled “Risk Factors”, and in other reports filed with the SEC.

Should one or more of these risks or uncertainties materialize or should any of Graham Corporation’s underlying assumptions prove incorrect, actual results may vary materially from those currently anticipated. In addition, undue reliance should not be placed on Graham Corporation’s forward-looking statements. Except as required by law, Graham Corporation disclaims any obligation to update or publicly announce any revisions to any of the forward-looking statements contained in this news release.

Non-GAAP Financial Measures

Adjusted EBITDA is defined as consolidated net income (loss) before net interest expense, income taxes, depreciation, amortization, other acquisition related expenses, equity-based compensation, ERP implementation costs, and other unusual/nonrecurring expenses. Adjusted EBITDA margin is defined as Adjusted EBITDA as a percentage of sales. Adjusted EBITDA and Adjusted EBITDA margin are not measures determined in accordance with generally accepted accounting principles in the United States, commonly known as GAAP. Nevertheless, Graham believes that providing non-GAAP information, such as Adjusted EBITDA and Adjusted EBITDA margin, is important for investors and other readers of Graham’s financial statements, as it is used as an analytical indicator by Graham’s management to better understand operating performance. Moreover, Graham’s credit facility also contains ratios based on Adjusted EBITDA. Because Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP measures and are thus susceptible to varying calculations, Adjusted EBITDA, and Adjusted EBITDA margin, as presented, may not be directly comparable to other similarly titled measures used by other companies.

Adjusted net income and adjusted net income per diluted share are defined as net income and net income per diluted share as reported, adjusted for certain items and at a normalized tax rate. Adjusted net income and adjusted net income per diluted share are not measures determined in accordance with GAAP, and may not be comparable to the measures as used by other companies. Nevertheless, Graham believes that providing non-GAAP information, such as adjusted net income and adjusted net income per diluted share, is important for investors and other readers of the Company’s financial statements and assists in understanding the comparison of the current quarter’s and current fiscal year’s net income and net income per diluted share to the historical periods’ net income and net income per diluted share. Graham also believes that adjusted net income per share, which adds back intangible amortization expense related to acquisitions, provides a better representation of the cash earnings of the Company.

Key Performance Indicators

In addition to the foregoing non-GAAP measures, management uses the following key performance metrics to analyze and measure the Company’s financial performance and results of operations: orders, backlog, and book-to-bill ratio. Management uses orders and backlog as measures of current and future business and financial performance, and these may not be comparable with measures provided by other companies. Orders represent definitive agreements with customers to provide products and/or services. Backlog is defined as the total dollar value of net orders received for which revenue has not yet been recognized. Total backlog can include both funded and unfunded orders under government contracts. Management believes tracking orders and backlog are useful as they often times are leading indicators of future performance. In accordance with industry practice, contracts may include provisions for cancellation, termination, or suspension at the discretion of the customer.

The book-to-bill ratio is an operational measure that management uses to track the growth prospects of the Company. The Company calculates the book-to-bill ratio for a given period as net orders divided by net sales.

Given that each of orders, backlog, and book-to-bill ratio are operational measures and that the Company’s methodology for calculating orders, backlog and book-to-bill ratio does not meet the definition of a non-GAAP measure, as that term is defined by the U.S. Securities and Exchange Commission, a quantitative reconciliation for each is not required or provided.

Graham Corporation Reports First Quarter Fiscal 2027 Results

August 6, 2026

Page 6 of 11

For more information, contact:

Christopher J. Thome		Tom Cook
Vice President - Finance and CFO		Investor Relations
Phone: (585) 343-2216		(203) 682-8250 Tom.Cook@icrinc.com

Source: Graham Corporation

Graham Corporation Reports First Quarter Fiscal 2027 Results

August 6, 2026

Page 7 of 11

Consolidated Statements of Operations - Unaudited

($ in thousands, except per share data)

		Three Months Ended June 30,
		2026				2025				% Change
Net sales		$	71,342			$	55,487				29	%
Cost of products sold			53,541				40,766				31	%
Gross profit			17,801				14,721				21	%
Gross margin			25.0	%			26.5	%
Operating expenses and income:
Selling, general and administrative			12,554				9,397				34	%
Selling, general and administrative – amortization			507				436				16	%
Other operating expense (income), net			588				(76	)			NA
Operating income			4,152				4,964				(16	%)
Operating margin			5.8	%			8.9	%
Other expense, net			89				128				(30	%)
Interest income, net			(120	)			(177	)			(32	%)
Income before provision for income taxes			4,183				5,013				(17	%)
Provision for income taxes			271				418				(35	%)
Net income		$	3,912			$	4,595				(15	%)
Per share data:
Basic:
Net income		$	0.34			$	0.42				(19	%)
Diluted:
Net income		$	0.33			$	0.42				(21	%)
Weighted average common shares outstanding:
Basic			11,597				10,927
Diluted			11,710				11,033
NA: Not Applicable

Graham Corporation Reports First Quarter Fiscal 2027 Results

August 6, 2026

Page 8 of 11

Consolidated Balance Sheets

(Amounts in thousands, except per share data)

		June 30, 2026				March 31, 2026
Assets
Current assets:
Cash and cash equivalents		$	26,953			$	6,580
Trade accounts receivable, net of allowances ($287 and $195 at June 30, 2026 and March 31 2026, respectively)			49,750				33,809
Unbilled revenue			65,884				59,868
Inventories			49,436				50,758
Prepaid expenses and other current assets			5,414				4,255
Income taxes receivable			941				1,184
Total current assets			198,378				156,454
Property, plant and equipment, net			60,747				60,330
Prepaid pension asset			6,669				6,633
Operating lease assets			6,339				6,740
Goodwill			37,326				38,078
Customer relationships, net			15,016				15,372
Technology and technical know-how, net			22,658				23,232
Tradenames, net			13,433				13,458
Deferred income tax asset			134				131
Other assets			3,260				3,188
Total assets		$	363,960			$	323,616
Liabilities and stockholders’ equity
Current liabilities:
Current portion of finance lease obligations		$	24			$	23
Accounts payable			24,697				25,740
Accrued compensation			13,142				21,547
Accrued expenses and other current liabilities			8,326				4,728
Customer deposits			113,135				102,421
Operating lease liabilities			1,799				1,806
Income taxes payable			—				5
Total current liabilities			161,123				156,270
Long-term debt			—				13,000
Finance lease obligations			15				21
Operating lease liabilities			4,954				5,343
Deferred income tax liability			1,098				897
Accrued pension and postretirement benefit liabilities			1,144				1,145
Other long-term liabilities			3,430				6,625
Total liabilities			171,764				183,301
Stockholders’ equity:
Preferred stock, $1.00 par value, 500 shares authorized			—				—
Common stock, $0.10 par value, 25,500 shares authorized, 11,901 and 11,247 shares issued and 11,727 and 11,073 shares outstanding at June 30, 2026 and March 31, 2026, respectively			1,190				1,124
Capital in excess of par value			89,409				41,699
Retained earnings			110,641				106,729
Accumulated other comprehensive loss			(5,656	)			(5,849	)
Treasury stock (174 shares at June 30, 2026 and March 31, 2026, respectively)			(3,388	)			(3,388	)
Total stockholders’ equity			192,196				140,315
Total liabilities and stockholders’ equity		$	363,960			$	323,616

Graham Corporation Reports First Quarter Fiscal 2027 Results

August 6, 2026

Page 9 of 11

Consolidated Statements of Cash Flows

(Amounts in thousands)

		Three Months Ended June 30,
		2026				2025
Operating activities:
Net income		$	3,912			$	4,595
Adjustments to reconcile net income to net cash used by operating activities:
Depreciation			1,670				1,024
Amortization			1,050				499
Amortization of actuarial losses			173				210
Equity-based compensation expense			645				532
Loss on disposal or sale of property, plant and equipment			11				—
Change in fair value of contingent consideration			577				(76	)
Deferred income taxes			157				262
(Increase) decrease in operating assets, net of acquisitions:
Accounts receivable			(16,021	)			839
Unbilled revenue			(6,021	)			(865	)
Inventories			1,230				2,642
Income taxes receivable			237				123
Prepaid expenses and other current and non-current assets			(1,936	)			(167	)
Operating lease assets			366				331
Prepaid pension asset			(36	)			(35	)
Increase (decrease) in operating liabilities, net of acquisitions:
Accounts payable			(592	)			(3,322	)
Accrued compensation, accrued expenses and other current and non-current liabilities			(8,557	)			(7,266	)
Customer deposits			10,846				(1,265	)
Operating lease liabilities			(360	)			(319	)
Long-term portion of accrued compensation, accrued pension and postretirement benefit liabilities			(1	)			(1	)
Net cash used by operating activities			(12,650	)			(2,259	)
Investing activities:
Purchase of property, plant and equipment			(2,609	)			(7,004	)
Acquisitions, net of cash acquired			1,567				—
Net cash used by investing activities			(1,042	)			(7,004	)
Financing activities:
Borrowings of debt obligations			—				6,000
Principal repayments on debt			(13,000	)			(6,000	)
Repayments on finance lease obligations			(87	)			(82	)
Issuance of common stock			50,000				—
Common stock issuance costs			(138	)			—
Tax withholdings related to net share settlements of restricted stock units			(2,731	)			(1,532	)
Net cash provided (used) by financing activities			34,044				(1,614	)
Effect of exchange rate changes on cash			21				53
Net increase (decrease) in cash and cash equivalents			20,373				(10,824	)
Cash and cash equivalents at beginning of period			6,580				21,577
Cash and cash equivalents at end of period		$	26,953			$	10,753

Graham Corporation Reports First Quarter Fiscal 2027 Results

August 6, 2026

Page 10 of 11

Adjusted EBITDA Reconciliation

(Unaudited, $ in thousands)

		Three Months Ended June 30,
		2026				2025
Net income		$	3,912			$	4,595
Acquisition & integration expense (income), net			1,179				(76	)
ERP Implementation costs			143				23
Net interest income			(120	)			(177	)
Income tax expense			271				418
Equity-based compensation expense			645				532
Depreciation & amortization			2,720				1,523
Adjusted EBITDA		$	8,750			$	6,838
Net sales		$	71,342			$	55,487
Net income margin			5.5	%			8.3	%
Adjusted EBITDA margin			12.3	%			12.3	%

Graham Corporation Reports First Quarter Fiscal 2027 Results

August 6, 2026

Page 11 of 11

Adjusted Net Income and Adjusted Net Income per Diluted Share Reconciliation

(Unaudited, $ in thousands, except per share amounts)

		Three Months Ended June 30,
		2026				2025
Net income		$	3,912			$	4,595
Acquisition & integration expense (income), net			1,179				(76	)
Amortization of intangible assets			1,050				499
ERP Implementation costs			143				23
Tax impact of adjustments(1)			(546	)			(103	)
Adjusted net income		$	5,738			$	4,938
GAAP net income per diluted share		$	0.33			$	0.42
Adjusted net income per diluted share		$	0.49			$	0.45
Diluted weighted average common shares outstanding			11,710				11,033

⁽¹⁾  Applies a normalized tax rate to non-GAAP adjustments, which are pre-tax, based upon the statutory tax rate of 23%.

Acquisition and integration expense (income), net are incremental costs that are directly related to, and as a result of, acquisition and integration related activity and the subsequent accounting for any contingent earn-out liabilities. These costs (income) may include, among other things, professional, consulting, travel expenses, and other fees, system integration costs, and contingent consideration fair value adjustments. ERP implementation costs primarily relate to consulting costs (training, data conversion, and project management) incurred in connection with the ERP system being implemented throughout our Batavia, New York facility in order to enhance efficiency and productivity and are not expected to recur once the project is completed.

Exhibit 99.2

Graham Corporation

Q1 FY 2027

Supplemental Information - Unaudited

($ in thousands)

SALES BY MARKET		FY 2026																																								FY 2027								Q1 27 vs Q1 26								Q1 27 vs Q4 26
		Q1				% of				Q2				% of				Q3				% of				Q4				% of				YTD				% of				Q1				% of
		2026				Total				2026				Total				2026				Total				2026				Total				2026				Total				2027				Total				Variance								Variance
Defense		$	29,535				53	%		$	40,750				62	%		$	35,283				62	%		$	41,877				62	%		$	147,445				60	%		$	41,383				58	%		$	11,848				40	%		$	(494	)			-1	%
Space			3,378				6	%			3,999				6	%			3,131				6	%			3,997				6	%			14,505				6	%			6,287				9	%			2,909				86	%			2,290				57	%
Energy & Process			22,574				41	%			21,278				32	%			18,287				32	%			21,204				32	%			83,343				34	%			23,672				33	%			1,098				5	%			2,468				12	%
		$	55,487				100	%		$	66,027				100	%		$	56,701				100	%		$	67,078				100	%		$	245,293				100	%		$	71,342				100	%		$	15,855				29	%		$	4,264				6	%
SALES BY REGION		FY 2026																																								FY 2027								Q1 27 vs Q1 26								Q1 27 vs Q4 26
		Q1				% of				Q2				% of				Q3				% of				Q4				% of				YTD				% of				Q1				% of
		2026				Total				2026				Total				2026				Total				2026				Total				2026				Total				2027				Total				Variance								Variance
United States		$	46,322				83	%		$	55,098				83	%		$	48,112				85	%		$	60,096				90	%		$	209,628				85	%		$	64,463				90	%		$	18,141				39	%		$	4,367				7	%
Middle East			1,346				2	%			1,770				3	%			1,402				2	%			2,485				4	%			7,003				3	%			3,428				5	%			2,082				155	%			943				38	%
Asia			3,283				6	%			4,452				7	%			3,425				6	%			1,470				2	%			12,630				5	%			1,465				2	%			(1,818	)			-55	%			(5	)			0	%
Other			4,536				8	%			4,707				7	%			3,762				7	%			3,027				5	%			16,032				7	%			1,986				3	%			(2,550	)			-56	%			(1,041	)			-34	%
		$	55,487				100	%		$	66,027				100	%		$	56,701				100	%		$	67,078				100	%		$	245,293				100	%		$	71,342				100	%		$	15,855				29	%		$	4,264				6	%
ORDERS BY MARKET		FY 2026																																								FY 2027								Q1 27 vs Q1 26								Q1 27 vs Q4 26
		Q1				% of				Q2				% of				Q3				% of				Q4				% of				YTD				% of				Q1				% of
		2026				Total				2026				Total				2026				Total				2026				Total				2026				Total				2027				Total				Variance								Variance
Defense			106,690				85	%			47,305				57	%			49,570				69	%			48,605				62	%			252,170				70	%			61,828				65	%		$	(44,862	)			-42	%		$	13,223				27	%
Space			413				0	%			14,779				18	%			7,519				10	%			12,606				16	%			35,316				10	%			14,366				15	%			13,953				N/A				1,760				14	%
Energy & Process			18,795				15	%			21,116				25	%			14,582				20	%			17,463				22	%			71,956				20	%			19,656				21	%			861				5	%			2,193				13	%
		$	125,898				100	%		$	83,200				100	%		$	71,671				100	%		$	78,674				100	%		$	359,442				100	%		$	95,850				100	%		$	(30,048	)			-24	%		$	17,176				22	%
BACKLOG BY MARKET		FY 2026																																								FY 2027								Q1 27 vs Q1 26								Q1 27 vs Q4 26
		Q1				% of				Q2				% of				Q3				% of				Q4				% of				YTD				% of				Q1				% of
		2026				Total				2026				Total				2026				Total				2026				Total				2026				Total				2027				Total				Variance								Variance
Defense			417,768				87	%			424,323				85	%			438,762				85	%			450,125				85	%			450,125				85	%			470,496				84	%		$	52,728				13	%		$	20,371				5	%
Space			13,117				3	%			23,897				5	%			28,597				6	%			37,377				7	%			37,377				7	%			45,295				8	%			32,178				245	%			7,918				21	%
Energy & Process			51,975				11	%			51,852				10	%			48,274				9	%			45,135				8	%			45,135				8	%			41,426				7	%			(10,549	)			-20	%			(3,709	)			-8	%
		$	482,860				100	%		$	500,072				100	%		$	515,633				100	%		$	532,637				100	%		$	532,637				100	%		$	557,217				100	%		$	74,357				15	%		$	24,580				5	%
BOOK-TO-BILL RATIO			2.3								1.3								1.3								1.2								1.5								1.3

Filing Exhibits & Attachments

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• EX-99.1 EX-99.1 171.3 KB
• EX-99.2 EX-99.2 84.7 KB

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• EX-101 XBRL TAXONOMY EXTENSION SCHEMA 3.1 KB
• EX-101 XBRL TAXONOMY EXTENSION LABEL LINKBASE 16.8 KB
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