Argan Reports Record Backlog and Income

Argan(NYSE:AGX) reported its results for the fiscal second quarter ended July 31, 2025, posting record net income of $35.3 million, revenue of $237.7 million (up 5% year-over-year), and a backlog reaching an all-time high of $2 billion. Enhanced gross margins of 18.6% and a strong cash position of $572 million underscore the company’s operational execution and financial strength, supported by a robust pipeline of power and industrial projects. The following analysis highlights strategic backlog growth, margin dynamics, and capital allocation decisions with implications for long-term investors. For reference, the company's fiscal year ends January 31, 2026.As of July 31, 2025, the backlog grew 5% sequentially from April 30, 2025, including the addition of a major 170-megawatt thermal facility in Ireland to the backlog and a significant water treatment contract in Alabama, while all three business segments recorded their highest backlogs ever. The project mix is weighted approximately 61% to natural gas and 29% to renewables as of July 31, 2025, reflecting evolving demand driven by grid reliability concerns and "electrification of everything."Elevated backlog across multiple geographies and end-markets strengthens the company’s visibility on future revenue growth.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool