Gencor Industries (GENC) opened fiscal Q1 2026 with revenue of US$23.6 million and basic EPS of US$0.23, setting a clear marker for its latest quarterly performance. The company reported quarterly revenue of US$31.4 million in Q1 2025, followed by US$38.2 million, US$27.0 million and US$18.8 million across the 2025 financial year, while EPS over that stretch ranged from a high of US$0.42 to a low of US$0.13. With trailing 12 month net income of US$15.3 million and EPS of US$1.04, the latest report gives investors fresh data on how consistently Gencor is converting sales into profits and where margins sit as the new fiscal year begins.

See our full analysis for Gencor Industries.

With the numbers on the table, the next step is to see how this earnings print lines up with the dominant narratives around Gencor, and where the fresh data either backs those views or calls them into question.

14.2% net margin on US$107.6 million LTM revenue

• Over the last 12 months, Gencor generated US$107.6 million in revenue with net income of US$15.3 million, which works out to a 14.2% net profit margin compared with 11.8% in the prior year.
• What stands out for a bullish view is that this 14.2% margin sits alongside trailing earnings growth of 8.8% and a five year average earnings growth rate of 31.1% a year. Together, these figures support the idea of a business that has recently combined solid profitability with longer term growth, even if the latest year has been slower than that longer trend.
  • Supporters can point to the last six quarters, where quarterly net income ranged from about US$1.5 million to US$6.1 million, as evidence that the company has repeatedly produced profits on revenues between roughly US$18.8 million and US$38.2 million.
  • At the same time, the move from an 11.8% to 14.2% margin gives bulls a concrete data point that recent profitability, as a share of sales, is higher than it was a year ago even with only mid single digit earnings growth over that same period.

P/E of 14.6x versus machinery peers

• Based on the trailing 12 month earnings figure and current share price of US$15.20, the stock trades on a P/E of 14.6x, which sits below the US Machinery industry average of 29.2x, a peer average of 21.1x, and the wider US market on 19.5x.
• Critics who lean bearish on smaller industrial names often focus on valuation and quality, and here the numbers give both sides something to work with because the relatively low P/E sits alongside a flagged risk that a high portion of trailing earnings is non cash.
  • For cautious investors, the earnings quality flag matters because if a material share of the US$15.3 million in trailing net income reflects non operational items, then the apparent discount P/E may not fully capture the underlying cash earning power.
  • On the other hand, investors who see value in a 14.6x multiple versus peers may view that gap together with the 14.2% net margin as a sign that the market is pricing in those quality concerns quite heavily relative to the sector.

Stay updated on how new data shifts this balance of value, growth, and earnings quality in the full market narrative for Gencor. 📊 Read the full Gencor Industries Consensus Narrative.

LTM EPS of US$1.04 versus quarterly swings

• On a trailing basis, basic EPS stands at US$1.04, compared with quarterly EPS prints over the last six reported quarters that ranged from about US$0.10 to US$0.42, including US$0.23 in Q1 2026 and US$0.26, US$0.42, US$0.26, US$0.13, and roughly US$0.10 in the five quarters before that.
• What is interesting for investors looking at a more bullish angle is how that US$1.04 of trailing EPS interacts with the forecast that earnings could grow around 22.34% a year and revenue around 20.3% a year. The recent year on year earnings growth rate of 8.8% is lower than the five year average of 31.1% a year and invites questions about whether the higher growth expectations line up with the pattern of quarterly swings.
  • Supporters of the bullish growth view might highlight that even with quarterly variability, trailing revenue has sat in a band between about US$107.6 million and US$118.6 million across the last six LTM snapshots, while net income stayed between roughly US$13.9 million and US$15.7 million, which they may see as a base to grow from.
  • More cautious readers could respond that the difference between 8.8% trailing earnings growth and the 31.1% five year average, together with the high non cash component in earnings, suggests that relying only on headline growth projections without checking the pattern of quarterly EPS and profit composition may be

    Next Steps

    Don't just look at this quarter; the real story is in the long-term trend. We've done an in-depth analysis on Gencor Industries's growth and its valuation to see if today's price is a bargain. Add the company to your watchlist or portfolio now so you don't miss the next big move.

    See What Else Is Out There

    Gencor is working with slower trailing earnings growth than its longer term average, mixed quarterly EPS swings, and a flagged reliance on non cash earnings.

    If those mixed signals make you want steadier fundamentals, check out our 82 resilient stocks with low risk scores to quickly zero in on companies where consistency and risk control are front and center.

    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.