Mansfield, Ohio-based The Gorman-Rupp Co. last week reported record net sales of $74.5 million during the first quarter ended March 31, compared to $67.1 million during the same period in 2006, an 11-percent increase. Net income during the quarter was $5.1 million, an increase of 12.2 percent compared to $4.5 million in 2006, resulting in record first-quarter earnings per share of $0.38 compared to $0.34 in 2006.
Sales during the quarter reflected continued growth in the municipal, industrial, construction and rental markets. Sales at Patterson Pump Co., a wholly owned subsidiary, increased during the quarter principally as a result of pumps supplied for a flood-control project in New Orleans.
Strong incoming orders during the quarter resulted in a record backlog of $115.2 million at March 31, a 16.8-percent increase from a year ago and 5.2-percent higher than the backlog of $109.5 million at December 31, 2006. The company cited a continued global focus on water, wastewater and flood-control projects as a major contributor to its record-breaking backlog.
The company continued its international growth strategy with the purchase last month of a controlling interest in Wavo Pompen B.V., located in The Netherlands, and the establishment of Gorman-Rupp Europe B.V. These actions are expected to offer the company expanded European market opportunities.
“We are extremely pleased with the record first-quarter results and strength of incoming orders,” said Jeffrey Gorman, president and CEO. “The establishment of Gorman-Rupp Europe B.V. is an additional step in positioning the company for continued international growth. We look forward to another good year in 2007.”
The board of directors declared a quarterly cash dividend of $0.12 per share on the common stock of the company, payable June 8, to shareholders of record May 15. This marks the 229th consecutive dividend paid by The Gorman-Rupp Co.
The board also granted authorization to amend the company’s Amended Articles of Incorporation to increase, from 14 million to 35 million, the number of common shares, without par value, that the company is authorized to issue.
The Gorman-Rupp Co. designs, manufactures and sells pumps and related equipment for use in water, wastewater, construction, industrial, petroleum, original equipment, agricultural, fire protection, HVAC, military and other liquid-handling applications.
