Update shared on05 Jun 2025
Q1 Fiscal 2026 Financial Results Synopsis
(Reported June 4, 2025, after the bell)
Headline Results: Revenue: $193.7 million, up 23% from $157.7 million in Q1 FY2025.
Gross Profit: $36.9 million (19% gross margin), nearly doubling from $17.9 million (11.4%) last year.
Net Income: $22.6 million, up from $7.9 million a year ago. +186%
Diluted EPS: $1.60, a significant increase from $0.58 in Q1 FY2025. +175%
EBITDA: $30.3 million, up from $11.9 million.
Cash & Investments: $546.5 million; no debt.
Operational Highlights:
Record Backlog: $1.9 billion, reflecting strong project wins and future revenue visibility.
SG&A Expenses: $12.5 million, up $1.1 million, but declined as a percentage of revenue to 6.5% from 7.2%.
Other Income: $5.4 million, primarily from investment income.
Earnings vs. Expectations:
EPS Beat: Q1 EPS of $1.60 beat consensus by 78% (estimate: $0.90).
Revenue Beat: Revenue topped forecasts by 10%.
Market Reaction: Stock Price: Rose 1.5% in after-hours trading, reaching $222 and setting a new 52-week high.
Summary: Argan delivered a robust quarter, with double-digit revenue growth, a sharp rise in profitability, and a record project backlog. The company’s strong cash position and absence of debt further highlight its financial strength. Both revenue and earnings handily beat analyst expectations, reinforcing positive market sentiment
Disclaimer
The user Kerry has a position in NYSE:AGX. Simply Wall St has no position in any of the companies mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The author of this narrative is not affiliated with, nor authorised by Simply Wall St as a sub-authorised representative. This narrative is general in nature and explores scenarios and estimates created by the author. The narrative does not reflect the opinions of Simply Wall St, and the views expressed are the opinion of the author alone, acting on their own behalf. These scenarios are not indicative of the company's future performance and are exploratory in the ideas they cover. The fair value estimates are estimations only, and does not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that the author's analysis may not factor in the latest price-sensitive company announcements or qualitative material.