Graham Corporation, a global leader in engineering and manufacturing mission-critical technologies in fluid handling, power, heat transfer, and vacuum systems for the Defense, Energy & Process, and Space sectors, has released its financial results for the fourth quarter and the full fiscal year ending March 31, 2025.
Strong Close to Fiscal 2025
Chief Executive Officer Daniel J. Thoren highlighted the company’s robust performance to close fiscal 2025, noting strong execution and sustained customer demand across its diverse product and service offerings. “We closed fiscal 2025 with strong momentum,” said Thoren. “Our fourth quarter results demonstrated the effectiveness of our execution strategies and the resilience of our business model.”
Thoren emphasized the company’s strategic projects, which are anticipated to deliver a return on invested capital (ROIC) exceeding 20%. Among these projects are the implementation of advanced automated welding capabilities, the expansion of Graham’s manufacturing facility in Batavia, New York, and the establishment of a new cryogenic testing site in Florida. These initiatives are expected to enhance operational efficiencies, improve margins, and unlock additional revenue streams.
Positioning for Future Growth
Graham Corporation is entering fiscal 2026 with a solid foundation and clear strategies for continued growth and increased profitability. According to Thoren, the company is focused on both organic and inorganic growth strategies to sustain its momentum. Investment priorities include technology innovation, capacity expansion, and potential strategic acquisitions that align with Graham’s long-term vision.
“We are well-positioned to achieve our long-term goals,” said Thoren. “With the projects we have underway and our strong balance sheet, we are strategically investing in the future to deliver lasting value to our shareholders and customers.”
Leadership Transition
As previously disclosed on February 6, 2025, the company is undergoing a planned leadership transition aligned with its succession strategy. Effective June 10, 2025, Daniel J. Thoren will transition from his current role as CEO to become Executive Chairman and Strategic Advisor to the company. Thoren’s leadership over the past four years has been instrumental in transforming the organization, positioning it for accelerated growth.
Matt Malone, who currently serves as President and Chief Operating Officer, will succeed Thoren as Chief Executive Officer. Malone brings extensive industry knowledge and operational expertise to his new role, having led several transformative initiatives during his tenure as COO.
Jonathan W. Painter, currently Chairman of the Board, will step into the role of Lead Independent Director, further supporting the governance and strategic oversight of the company. In addition, Michael E. Dixon, who was promoted to General Manager of Barber-Nichols earlier in the year, will now also serve as Vice President of Graham Corporation while continuing to lead Barber-Nichols.
Reflecting on his tenure, Thoren stated: “It has been a career highlight and honor to lead Graham Corporation over the last four years. I want to extend my sincere gratitude to our Board and our dedicated employees for their hard work, vision, and belief in our mission. The foundation we have built together gives me great confidence in our ability to meet the ambitious goals we set in 2022 for 2027 and beyond. I am confident that Matt will guide the company to new levels of performance.”
Fiscal 2025 Financial Highlights (hypothetical for illustration)
- Revenue: $145 million, up 12% from fiscal 2024
- Net Income: $10.5 million, compared to $6.8 million in fiscal 2024
- Adjusted EBITDA: $18.2 million, a 25% year-over-year increase
- EPS: $1.05 per share, compared to $0.68 in the prior year
- Backlog: Increased to $185 million, reflecting strong order intake across all segments
Strategic Initiatives Driving Long-Term Success
Graham’s forward strategy remains centered on delivering high-value engineering solutions to critical industries while driving internal operational excellence through the Crane Business System and other efficiency frameworks. The company’s current capital investments aim to:
- Enhance manufacturing capabilities through automation and advanced tooling
- Expand facilities to accommodate increased demand
- Improve product quality and consistency via precision testing and engineering
- Expand R&D for emerging markets, particularly in cryogenics and space technologies
These initiatives are aligned with the company’s mission to provide best-in-class solutions to customers in demanding, highly regulated environments.
Market Outlook
Industry trends remain favorable for Graham Corporation, particularly in defense and space technologies, where government and commercial entities continue to invest in reliable, performance-driven components. The nuclear energy sector also presents a growing opportunity due to global interest in clean energy and safety-driven modernization.
With increasing global demand for energy, the need for efficient heat transfer and vacuum systems remains robust. Graham’s capabilities position it well to serve evolving requirements in LNG, petrochemicals, and sustainable energy processes.
Commitment to Shareholders
Graham Corporation remains committed to delivering shareholder value through disciplined capital allocation, innovation, and operational excellence. With a conservative financial profile, strong cash flow, and a proven track record of strategic execution, the company is focused on sustaining long-term profitability and value creation.
In conclusion, fiscal 2025 marks a year of operational achievements, strategic investments, and a clear pathway to growth. With new leadership in place, exciting projects on the horizon, and a robust market outlook, Graham Corporation is poised to continue its trajectory as a trusted provider of advanced engineered solutions in some of the most critical sectors of the global economy.
