Following the announcement of its most recent financial results, Argan, Inc.’s (NYSE: AGX) shares saw a notable increase. AGX shares increased 12.82% to $130.00 during pre-market trading. This rising momentum was aided by the company’s fiscal 2025 full-year and fourth-quarter financials, which demonstrated outstanding execution across all business areas.
Strong Growth in Services
The power industry services area was a highlight of Argan’s quarterly performance, with sales rising by 65% to $196.9 million. This segment’s gross margin was a remarkable 21.3%.
With a gross margin of 20.5%, the company’s consolidated fourth-quarter revenue increased 41% year over year to $232.5 million. EBITDA was $39.3 million, while net income hit a new high of $31.4 million, or $2.22 per diluted share.
Growing Project Backlog
As of January 31, 2025, Argan has $1.4 billion in unfinished projects. This amount includes complete notifications to go forward on important projects including a 300 MW biofuel power station in Ireland and a 700 MW combined-cycle natural gas plant in the United States.
The business also signed a contract for a 1.2 GW ultra-efficient natural gas-fired power plant in Texas after the fiscal quarter ended. As fiscal 2026 gets underway, the business is still hopeful about new market prospects.
Taking Advantage of Growing Energy Demands
Argan , a provider of diverse energy solutions, has established a great reputation for effectively completing challenging projects. The pressing need for dependable energy solutions is highlighted by the growing demand for electrification, deteriorating power infrastructure, and a decade of underinvestment in natural gas facilities.
Prospects for the Future
Argan is positioned as a major participant in this changing environment because of its experience with both renewable energy and natural gas projects. Large-scale power projects usually take three to four years to complete, thus Argan anticipates a steady development trajectory.
AGX is steadfast in its resolve to increase its influence on the development of the energy infrastructure of the future by utilizing its technological prowess, industry connections, and financial stability.