Graham Corp. of Batavia, battling the turmoil in its important Far Eastern markets, said Monday it expects to break even during the current quarter and predicted that its profits for the entire fiscal year will fall below the $3.1 million the company earned last year.
Graham also said that its fourth quarter, which begins in January and typically is its strongest three-month period, is expected to be solid, despite the turmoil in its Asian markets.
"All factors currently point toward a successful fourth quarter, in the character of recent years," said Frederick D. Berkeley, Graham's chairman and chief executive officer. "We expect earnings for the year to be respectable, although lower than for the 12 months ended Dec. 31, 1996."
Graham this spring changed its fiscal year from a calendar year to one that begins in April and runs through March.
The company said it has yet to feel significant ill effects from the currency crisis that is rocking many Asian economies. It has not had any Asian jobs canceled and officials said nothing has happened to have a major impact on its operations during the next three months.
But the Asian financial crisis will have some long-term effects on Graham's business in those markets. While Graham said it still expects the Far East to be a source of new orders, officials said they expect those markets to become more competitive as the declines in local currencies compared with the dollar make U.S. exports more expensive.
Graham said its backlog of orders at the end of this month is expected to be about $31 million, which is 21 percent higher than a year ago.