Graham Corporation announced unaudited consolidated earnings results for the third quarter and nine months ended December 31, 2015. For the quarter, the company reported net sales of $17,323,000 compared to $33,646,000 a year ago. Operating profit was $1,570,000 compared to $5,620,000 a year ago. Income before provision for income taxes was $1,638,000 compared to $5,668,000 a year ago. Net income was $1,274,000 or $0.13 per basic and diluted share compared to $3,992,000 or $0.39 per basic and diluted share a year ago. EBITDA was $2,177,000 compared to $6,199,000 a year ago.

For the nine months, the company reported net sales of $67,738,000 compared to $97,714,000 a year ago. Operating profit was $7,858,000 compared to $15,435,000 a year ago. Income before provision for income taxes was $8,027,000 compared to $15,566,000 a year ago. Net income was $5,611,000 or $0.56 per basic and diluted share compared to $10,570,000 or $1.04 per basic and diluted share a year ago. EBITDA was $9,708,000 compared to $17,167,000 a year ago. Net cash provided by operating activities was $22,171,000 compared to $7,505,000 a year ago. Purchase of property, plant and equipment was $883,000 compared to $4,965,000 a year ago. Capital expenditures were $0.9 million in the first nine months of fiscal 2016, compared with $5 million in the same prior-year period.

The company provided earnings guidance for the full year of 2016. The company expects capital expenditures for fiscal 2016 to be between $1.5 million and $2 million, primarily for equipment upgrades and productivity enhancements. The company expects fiscal 2016 revenue to be between $90 million and $95 million, down from a previous range of $95 million to $105 million, as a result of lower revenue in the third quarter. Gross margin for fiscal 2016 is still expected to be between 27% and 28% and the guidance on SG&A expense as a percent of sales is unchanged at between 17% and 18%.