Argan, Inc. (NYSE: AGX), a company specializing in construction and related services for the power industry, reported significant financial results for the fourth quarter and fiscal year ended January 31, 2025. The firm’s consolidated revenue for the fourth quarter increased by 41% to $232.5 million from $164.6 million in the previous year, driven largely by strong performances in its Power Industry Services segment, which rose 65% to $197 million. This segment accounted for 85% of total revenue in the quarter.

For the full fiscal year, Argan’s consolidated revenue reached $874.2 million, marking a robust increase of 52% compared to $573.3 million in fiscal 2024. The company’s gross profit for the fourth quarter was $47.6 million, resulting in a gross margin of 20.5%, up from 14.4% in the prior year’s fourth quarter. Over the entire fiscal year, the gross profit was approximately $141 million, yielding a gross margin of 16.1%, compared to 14.1% in fiscal 2024.

In terms of profit, the net income for the fourth quarter stood at $31.4 million, or $2.22 per diluted share, compared to $12 million, or $0.89 per diluted share, in last year’s fourth quarter. For the fiscal year, net income soared to $85.5 million, or $6.15 per diluted share, compared to $32.4 million, or $2.39 per diluted share, in fiscal 2024. EBITDA for the fourth quarter also significantly increased to $39.3 million from $17.6 million in the prior year; for the fiscal year, EBITDA was $113.5 million, contrasted with $51.3 million the previous year.

As of January 31, 2025, Argan reported a project backlog of approximately $1.4 billion, reflecting an 80% increase from $757 million at the same time last year. Additionally, cash, cash equivalents, and investments reached $525.1 million, compared to $412.4 million a year earlier, contributing to a net liquidity of $301.4 million, which was up from $244.9 million in the prior year.

The increases in both revenue and net income can be attributed to heightened construction activity tied to several key projects, including the Trumbull Energy Center and various solar and battery projects. The growth reflects not only the company’s operational strength but also its strategic positioning in a demanding power industry characterized by both traditional and renewable energy initiatives.

SG&A expenses for the fourth quarter increased to $14.9 million from $11.9 million but decreased as a percentage of revenue to 6.4% in fiscal 2025 from 7.2% in fiscal 2024. Overall, Argan’s financial condition indicates a period of substantial growth, marked by enhanced operational efficiencies and a diversified project portfolio geared towards addressing rising energy demands.