Graham Q4 Profit Down - Quick Facts

(RTTNews) - Graham Corp. (GHM), a global business that designs, manufactures and sells critical equipment for the oil refining, petrochemical and power industries, including the supply of components and raw materials to nuclear energy facilities, reported that its net income for the fourth quarter ended March 31, 2014 declined to $2.3 million or $0.23 per share, from $4.1 million or $0.41 per share, in the prior year's fourth quarter.

Net sales in the fourth quarter were $26.1 million, down from net sales of $30.9 million last year. Sales to the U.S. market were $20.3 million, or 78% of total sales, up $3.9 million, or 23.8%. This increase was driven by improving fundamentals in the North American chemical industry.

Analysts polled by Thomson Reuters expected the company to report earnings of $0.30 per share and revenues of $29.40 million for the quarter.

Graham expects sales will be in a range of $120 million to $130 million in fiscal 2015, which represents anticipated growth of approximately 17% to 27% compared with fiscal 2014. Gross margin for fiscal 2015 is expected to be between 30% and 32%, as pricing power is still consistent with historic early-cycle margins. Analysts expect the company to report revenues of $125.42 million for fiscal 2015.

Separately, Graham announced that it was recently awarded four orders for projects valued at approximately $10 million. The orders are for upgrades of Graham ejector system components at three oil refineries and an ethylene capacity expansion project in North America. Shipments are expected to occur during the next 9 to 15 months.