Mansfield, Ohio-based The Gorman-Rupp Co. last week reported record earnings and sales for the third quarter and nine months ended Sept. 30, 2006. Net income during the third quarter 2006 was $6.6 million and more than doubled when compared to $2.7 million during the third quarter 2005. Net sales during the quarter were $70.8 million compared to $59.0 million during the same period in 2005, an increase of 20.1 percent. Earnings per share during the third quarter 2006 were 62 cents compared to 25 cents during the same period in 2005.

Net income during the third quarter 2006 was positively impacted by reductions in state tax liability estimates and federal research and development tax credits totaling approximately $1.0 million, or 10 cents per share.

Net income for the first nine months of 2006 was $16.6 million compared to $7.7 million during the same period in 2005, an increase of 117.2 percent. Net sales during the first nine months of 2006 were $205.8 million compared to $167.1 million during the same period in 2005, an increase of 23.2 percent. Earnings per share for the first nine months of 2006 were $1.56 compared to 72 cents during the same period in 2005.

The company was recently named as one of the "200 Best Small Companies In America" in Forbes magazine based on its financial performance.

"We are extremely pleased with the record sales and earnings for the third quarter and nine months," said Jeffrey Gorman, president and CEO. "Strong domestic sales growth combined with increased penetration in international markets have contributed to the company's performance."

At its Oct. 26 meeting, the board of directors declared a five-for-four split of the company's common shares in the form of a distribution of one additional common share for each four common shares previously issued. The distribution will be made on Dec. 8, 2006, to shareholders of record at the close of business on Nov. 15, 2006.

In other action, the board declared a quarterly cash dividend of 12 cents per share on the common stock of the company, payable Dec. 8, to shareholders of record Nov. 15, 2006. The cash dividend is payable on post-split shares and represents a 7.1-percent increase over the equivalent post-split dividend of 11 cents paid during the previous quarter.

This marks the 227th consecutive dividend paid by the company.