GRAHAM CORP Segments Disclosure
Note 15 - Segment Information:
The Company has one reporting segment as its operating segments meet the requirements for aggregation. The Company and its operating subsidiaries design and manufacture mission critical fluid, power, heat transfer and vacuum technologies for the Defense, Energy & Process, and Space industries. The Company also services and sells spare parts for its equipment. The Company's chief operating decision maker ("CODM") has been identified as its who evaluates performance on an operating segment bases, as well as a consolidated basis, based on Adjusted EBITDA, which is a non-GAAP measure. This measure is used by our CODM, management, our Board of Directors, investors, lenders and other external users of our financial statements to assess our operating performance and to compare operating performance to other companies in our industry. In addition, our CODM believes Adjusted EBITDA is a useful measure to assess the earnings power of the business without the impact of capital structure and can be used to assess our ability to fund future capital expenditures in the business.
The following table provides our results as a reconciliation from consolidated Net income to our consolidated Adjusted EBITDA:
|
|
Years Ended March 31, |
|
|||||||||
|
|
2025 |
|
|
2024 |
|
|
2023 |
|
|||
Net income |
|
$ |
12,230 |
|
|
$ |
4,556 |
|
|
$ |
367 |
|
Acquisition & integration (income) expense |
|
|
(1,170 |
) |
|
|
432 |
|
|
54 |
|
|
Equity-based compensation |
|
|
1,957 |
|
|
|
1,279 |
|
|
|
806 |
|
ERP implementation costs |
|
|
882 |
|
|
|
241 |
|
|
|
— |
|
Debt amendment costs |
|
|
— |
|
|
|
781 |
|
|
194 |
|
|
Employee Retention Tax Credit, net |
|
|
— |
|
|
|
(702 |
) |
|
|
— |
|
Net interest (income) expense |
|
|
(583 |
) |
|
|
248 |
|
|
939 |
|
|
Income tax expense |
|
|
3,177 |
|
|
|
1,018 |
|
|
194 |
|
|
Depreciation & amortization |
|
|
5,936 |
|
|
|
5,432 |
|
|
|
5,987 |
|
Adjusted EBITDA |
|
$ |
22,429 |
|
|
$ |
13,285 |
|
|
$ |
8,541 |
|
In fiscal 2025, the Company had two customers whose sales amounted to 17% and 13% of total consolidated net sales. In fiscal 2024, the Company had two customers whose sales amounted to 16% and 15% of total consolidated net sales. In fiscal 2023, the Company had two customers whose sales amounted to 15% and 12% of total consolidated net sales. One customer representing such sales was the same customer in fiscal 2025, fiscal 2024 and fiscal 2023.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Jun 9, 2025 | Showing above |
| 2024 | Jun 7, 2024 | |
| 2023 | Jun 8, 2023 | |
| 2022 | Jun 9, 2022 | |
| 2021 | Jun 2, 2021 | |
| 2020 | Jun 15, 2020 | |
| 2019 | May 31, 2019 | |
| 2018 | Jun 4, 2018 | |
| 2017 | Jun 5, 2017 | |
| 2016 | Jun 1, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.