Gorman-Rupp reported 4Q:25 EPS of $0.51, compared to our $0.43 estimate and $0.42 a year earlier. Relative to our estimate, modestly higher volumes and reduced operating costs were the primary reason better profitability. Backlog increased in the quarter to $244.0 million, up 4.2% sequentially and 18.4% year over year. About 75% of revenue is U.S. based, with no other country accounting for more than 10% of sales. U.S. production accounts for about 90% of the manufacturing footprint. GRC's business historically has had little cancellation risk due to its project nature. We raise our 2026 estimates to reflect the better profit profile. We increase our 2026 estimate to $2.32 (from $2.25) and 2027 EPS estimate to $2.59 (from $2.52). Following the sizable 2Q:22 Fill-Rite acquisition, debt repayment is a priority. The company finished 4Q:25 with net debt of $249.3 million ($9.48 per share). We look for net debt of $210.2 million ($7.99 per share) by the end of 2026. Despite the leverage, Gorman-Rupp has raised its dividend for 52 consecutive years. The company has an annual payout of $0.76 per share (1.2% yield). Our higher profit outlook raises our price target to $65, which is based on a 25x our revised 2027 EPS estimate of $2.59. Our previous $63 price target was based on 25x our prior 2027 EPS estimate of $2.52. GRC merits a moderate risk rating due to its manageable balance sheet and favorable market trends.