Slide 1: Fourth Quarter & Full-Year Fiscal 2025 Financial Results
Fourth Quarter & Full-Year Fiscal 2025 Financial Results JUNE 9, 2025 GRAHAM CORPORATION 1 © 2025 GRAHAM CORPORATION, ALL RIGHTS RESERVED
Slide 2: Safe Harbor Statement
Safe Harbor Statement Safe Harbor Regarding Forward Looking Statements This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are
Slide 3: Strong Fourth Quarter & Full-Year Results
Strong Fourth Quarter & Full-Year Results Financial Highlights Driven by Continued Demand and Execution on FY22 Plan 4Q25 Highlights FY25 Highlights Graham is a GLOBAL LEADER in the design and $59.3M Revenue $209.9M Revenue manufacture of mission-critical fluid, power, vacuum, and heat transfer solu
Slide 4: Growth Enablement
Image credit: Blue Origin 4 Growth Enablement
Slide 5: Accelerating Growth From a Stable Foundation
STABILIZE IMPROVE GROWTH STABILIZE COMPLETE, TRACKING TO FY27 TARGETS MOMENTUM BUILDING INTO IMPROVE & GROWTH PHASES Accelerating TODAY Growth From a Stable Foundation GROWTH Growth IMPROVE Improve STABILIZE Stabilize FY23 - 25 FY26 - 27 FY27 & Beyond 5
Slide 6: Stabilize Phase Completed
IMPROVE GROWTH STABILIZE Credibility Through Action & Results FY25 7% FY21 Space 25% >20% Defense Revenue 58% Revenue $210M $97.5M Defense 75% ROIC(1) Hurdle Rate Stabilize Phase Energy & Process 35% Energy & Completed Process Expanded Portfolio Diversification Disciplined Capital Allocation 10.7% $
Slide 7: Phased Approach to Sustainable, Long-Term Growth
STABILIZE IMPROVE GROWTH Phased Approach to Sustainable, Long-Term Growth PROACTIVELY POSITIONING THE BUSINESS TO LONG-TERM GROWTH TRENDS LEVERAGING CORE COMPETENCY DEFENSE ENERGY & PROCESS SPACE GRAHAM CORPORATE Rising Grid Demand From AI Naval Ship and Submarine Demand & Data Centers | Diversifica
Slide 8: Financials
q ya TH cE) ka a i "E ae Ea 2 ae = a — Financials
Slide 9: Revenue Performance
Q4 FY25 sales up $10.3 million or 21% Revenue Performance + 28% Defense ($ in millions; narrative compared with prior-year period unless otherwise noted) + 27% Space QUARTERLY + 10% Energy & Process $53.6 $59.3 + 3% Aftermarket $49.1 $50.0 $47.0 Record yearly sales up $24.4 million or 13% + 23% Defe
Slide 10: Strong Gross Profit & Margin Expansion
QUARTERLY ANNUAL $18.0 28.0% $60.0 30.0% 27.0% 25.2% $16.0 27.0% $50.0 25.0% $14.0 21.9% 25.9% 26.0% $12.0 24.8% $40.0 20.0% 24.8% 16.2% $10.0 25.0% 23.9% $30.0 15.0% $8.0 24.0% $6.0 $20.0 10.0% 23.0% $4.0 22.0% $10.0 5.0% Strong Gross Profit & $2.0 $12.7 $12.4 $12.8 $11.7 $16.0 $25.4 $40.6 $52.9 $0
Slide 11: Adjusted EBITDA & Adjusted EBITDA Margins
Adjusted EBITDA & Adjusted Net Income, Adj. Net Income Per EBITDA Margins(1) Diluted Share & Margin(1) Net Income per diluted share QUARTERLY $7.7 Adj. Net Income per diluted share Q UA R T E R LY $0.43 Percentages are net income margin and $0.40 adj. net income margin $5.6 $0.33 $5.1 $0.30 $0.31 $0
Slide 12: Long-Term Demand For Graham Diversified Portfolio
Total Orders(1) Backlog(1) Defense $412.3 $390.9 $396.8 $407.0 Commercial $384.7 $79.6 $71.7 $268.4 $62.5 $69.0 $77.6 $231.1 $202.7 $91.0 $143.9 $96.5 $121.6 $86.0 $328.4 $327.8 $327.4 $340.6 $307.1 $80.7 $52.4 $177.4 $116.7 $134.6 $69.2 $63.2 Long-Term Demand FY21 FY22 FY23 FY24 FY25 Q4 FY24 Q1 FY2
Slide 13: Balance Sheet & Liquidity
Balance Sheet & Liquidity CAPITAL DEPLOYED BASED ON HIGHEST RISK-ADJUSTED RETURNS TO MAXIMIZE LONG-TERM SHAREHOLDER VALUE FY25 Overview Capital Allocation Framework $24.3 01 M Cash provided by operating activities STRONG BALANCE SHEET • Strong cash generation and fiscal discipline $19.0 M Capital Ex
Slide 14: FY26 Financial Outlook
Fiscal 2026 Guidance Net Sales $225 million to $235 million Gross Margin(1) 24.5% to 25.5% of sales SG&A Expense (including amortization)(2) 17.5% to 18.5% of sales Adjusted EBITDA(1)(3) $22 million to $28 million FY26 Financial Outlook Effective Tax Rate 20% to 22% Capital Expenditures $15 million
Slide 15: Advancing Toward Long-Term Goals with Strategic Actions
Advancing Toward Long-Term Goals with Strategic Actions Engaging with customers to Expanded capital and R&D Engaging with key Operational Excellence to develop full life-cycle programs to support growth stakeholders to empower, drive competitive mission critical product initiatives; targeted ROIC ex
Slide 16: Q&A
Q&A 16
Slide 17: Appendix
Appendix 17
Slide 18: M&A Growth
M&A Growth OPPORTUNISTIC ACQUISITION STRATEGY TO SUPPLEMENT 8-10% ANNUAL ORGANIC GROWTH EXPECTATIONS TARGET CATEGORY ATTRIBUTES COMPANY TYPE U.S. based, privately held, independently operated INDUSTRY FOCUS Fluid/power sectors supporting aerospace, defense, cryogenic, and niche industrial markets VA
Slide 19: Key Performance Metrics
Key Performance Metrics Key Performance Indicators In addition to the non-GAAP measures used in this presentation, The book-to-bill ratio is an operational measure that management management uses the following key performance metrics to uses to track the growth prospects of the Company. The Company
Slide 20: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation Adjusted EBITDA Reconciliation (Unaudited, $ in thousands) Three Months Ended Year Ended March 31, March 31, 2025 2024 2025 2024 Net income $ 4,395 $ 1,340 $ 12,230 $ 4,556 Acquisition & integration (income) expense (270) 158 (1,170) 432 ERC tax credit, net - (702) - (
Slide 21: Adjusted Net Income & Adjusted Diluted EPS Reconciliation
Adjusted Net Income & Adjusted Diluted EPS Reconciliation Three Months Ended Year Ended March 31, March 31, 2025 2024 2025 2024 Net income $ 4,395 $ 1,340 $ 12,230 $ 4,556 Acquisition & integration (income) expense (270) 158 (1,170) 432 Amortization of intangible assets 555 670 2,218 2,157 ERC tax c