Mansfield, Ohio-based The Gorman-Rupp Co. last week reported net sales and earnings for the third quarter and nine months ended Sept. 30. Net sales during the third quarter increased 15.4 percent to $73.9 million compared to $64.1 million during the same period in 2009. Net income increased 18.9 percent to $6.2 million compared to $5.2 million in the third quarter 2009. Earnings per share were $0.37 and $0.31 for the respective periods.
Net sales for the nine months ended Sept. 30, increased 4.0 percent to $212.1 million compared to $204.0 million during the same period in 2009. Net income increased 12.1 percent to $16.3 million compared to $14.6 million in the first nine months of 2009. Earnings per share, respectively, were $0.98 and $0.87 for the two periods.
The increase in net sales during the quarter continued to be positively impacted by the slowly rebounding global economy and is due primarily to increases in sales to the international fire protection market, the municipal market, and the construction, rental and industrial markets, partially offset by decreased sales in the OEM market.
The 19.8-percent increase in operating income and the increase in earnings for the quarter reflect the impact of the $9.9 million of increased sales and the ongoing benefits of cost savings and operating efficiencies initiated in 2009 and continuing in 2010.
“The company has again experienced increasingly positive financial results during this quarter and we remain cautiously optimistic that improving business conditions will continue,” said Jeffrey Gorman, president and CEO. “As we begin the fourth quarter, we are very pleased to have completed the National Pump Company acquisition which will complement and broaden our existing pump portfolio and provide opportunities for expansion of our markets.”
The board of directors declared a quarterly cash dividend of 10.5 cents per share on the common stock of the company, payable Dec. 10, to shareholders of record Nov. 15. This represents a 4.2-percent annual increase over the amount paid during 2009 and marks the 243rd consecutive dividend paid by The Gorman-Rupp Co.