Argan Inc Stock Price, News & Analysis

Argan (NYSE: AGX) has appointed Brian Orlandi as the new Chief Executive Officer of its subsidiary, SMC Infrastructure Solutions (SMCiS). Orlandi brings over 25 years of industry experience in infrastructure and construction sectors, having previously served as Vice President and General Manager at Timberline Communications Inc. and led the New Site Build Team for Empire Telecom in New England.

His prior experience includes key leadership roles at Vertex Towers, Varsity Wireless, American Tower, and Crown Castle. In his new position, Orlandi will focus on expanding SMCiS's market presence, enhancing customer satisfaction, and driving sustainable growth through innovation and strategic execution.

David Watson, CEO of Argan, expressed confidence in Orlandi's appointment, citing his visionary leadership and deep industry understanding as key factors in advancing SMCiS's mission to deliver top-tier infrastructure solutions while achieving growth objectives.

Argan's (NYSE: AGX) subsidiary Gemma Power Systems has secured an EPC contract with Sandow Lakes Energy Company for a 1.2 GW natural gas-fired power plant in Lee County, Texas. The facility will supply power to 800,000 homes within the ERCOT grid. Construction is set to begin in summer 2024, with completion expected in 2028.

The combined cycle power station will feature two Siemens Energy SGT6-9000HL gas turbines, known for high power output and excellent fuel efficiency. The turbines are designed to operate on hydrogen with minor modifications, supporting both reliable power generation and decarbonization goals.

Argan (NYSE: AGX) has declared a regular quarterly cash dividend of $0.375 per common share, payable on January 31, 2025, to stockholders of record as of January 23, 2025. The company's subsidiary, Gemma Power Systems, recently received a full notice to proceed on an approximately 700 MW combined-cycle natural gas-fired power plant project in the United States. CEO David Watson expressed confidence in the business, citing strong demand for new projects and a robust pipeline of opportunities as the industry expands to meet growing energy demands.

Argan (NYSE: AGX) reported strong Q3 FY2025 financial results with revenues reaching $257.0 million, up 57% year-over-year. The company achieved net income of $28.0 million ($2.00 per diluted share), compared to $5.5 million ($0.40 per diluted share) in Q3 FY2024.

Key highlights include gross margin improvement to 17.2% from 11.7%, EBITDA increase to $37.5 million from $12.2 million, and project backlog growth to $800 million. The power industry services segment showed particularly strong performance with 75% revenue growth to $212 million and 18.3% gross margin.

The company maintains a strong financial position with $506.3 million in cash, cash equivalents and investments, and zero debt. Quarterly cash dividend increased to $0.375 per share from $0.300 year-over-year.

Argan (NYSE: AGX) announced it will release its third quarter fiscal 2025 financial results after market close on Thursday, December 5, 2024. The company will host a webcast with slide presentation and conference call at 5:00 p.m. ET on the same day. The event will be accessible via webcast and phone dial-in. A replay will be available until December 19, 2024, for the teleconference and until December 5, 2025, for the webcast.

Argan, Inc. (NYSE: AGX) has announced the passing of board member W.G. Champion Mitchell on October 8, 2024. Mitchell had been a member of Argan's Board of Directors since October 2003, serving on the Executive Committee and the Nominating/Corporate Governance Committee. He also held board positions with Direct Brands, Inc., The 41st Parameter, Inc., and RTI International.

William F. Leimkuhler, Chairman of Argan's Board, expressed deep sadness and highlighted Mitchell's valuable contributions as a corporate executive and former chief executive. David Watson, President and CEO of Argan, praised Mitchell's leadership, public company expertise, and commitment to the company, noting his impact on management's presentations and his ability to recognize good work.

Argan (NYSE: AGX) has announced a 25% increase in its quarterly cash dividend, raising it from $0.30 to $0.375 per common share. The dividend will be payable on October 31, 2024, to stockholders of record as of October 23, 2024. This increase brings the annual dividend to $1.50 per share. The company's decision reflects its strong financial performance, robust balance sheet, and commitment to shareholder value. Argan's management expressed confidence in the business and highlighted growing opportunities in the power industry, particularly in gas-fired and renewable facilities to meet increasing energy demand from data centers, manufacturing, and EV charging.

Argan (NYSE: AGX) reported its Q2 fiscal 2025 results, showing robust financial performance. Revenues surged by 60.6% to $227 million, up from $141.3 million in Q2 2024. Net income increased to $18.2 million, or $1.31 per diluted share, compared to $12.8 million, or $0.94 per diluted share, in the prior year. EBITDA rose to $24.8 million from $17.9 million. The project backlog expanded to $1.0 billion, including $570 million in renewable projects. However, gross margin declined to 13.7% from 16.8% due to changes in the project mix.

For the six months ended July 31, 2024, revenues grew by 57% to $384.7 million, and net income nearly doubled to $26.1 million, or $1.90 per diluted share. The company maintained strong liquidity with cash, equivalents, and investments at $484.7 million and no debt. Despite higher selling, general, and administrative expenses, their percentage of revenue decreased.

Argan, Inc. (NYSE: AGX) has announced its participation in the Lake Street Capital Markets 8th Annual Best Ideas Growth Conference. The event is scheduled for Thursday, September 12, 2024 in New York City. David Watson, the Chief Executive Officer of Argan, will be representing the company at the conference.

Mr. Watson will be available for one-on-one meetings throughout the day, providing an opportunity for investors and analysts to engage directly with the company's leadership. This participation highlights Argan's commitment to investor relations and its efforts to communicate with the financial community.

The Lake Street Capital Markets conference is known for showcasing growth companies, making it a significant platform for Argan to present its business strategy and potential growth opportunities to interested parties.