Argan beats Q1 estimates, shares dip slightly

Published 04/06/2025, 21:22
Argan beats Q1 estimates, shares dip slightly

ARLINGTON, Va. - Argan , Inc. (NYSE:AGX) reported first quarter fiscal 2026 results that exceeded analyst expectations, though shares slipped 1.2% following the announcement.

The power industry construction services provider posted earnings per share of $1.60 for the quarter ended April 30, 2025, surpassing the analyst consensus estimate of $0.90 by $0.70. Revenue came in at $193.66 million, beating expectations of $175.8 million.

Argan’s quarterly revenue grew 23% YoY to $193.7 million, driven by increased project activity and a larger contract backlog. Gross profit more than doubled to $36.9 million, with gross margin expanding to 19.0% from 11.4% a year ago.

The company reported record project backlog of $1.9 billion as of April 30, 2025, up from $1.36 billion at the end of the previous quarter. This includes a new 1.2 GW natural gas-fired power plant project in Texas.

"Our first quarter results reflect a strong start to fiscal 2026," said David Watson, President and CEO of Argan. "Our project pipeline is robust, reflecting the energy industry’s urgent response to the growing strain on our power grids."

Argan maintained a strong balance sheet with $546.5 million in cash and investments and no debt as of quarter-end.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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