Argan, Inc. has reported record financial results for the second quarter of fiscal year 2026, ended July 31, 2025. The company's consolidated revenues for the quarter were $237.7 million, representing an increase of $10.7 million, or 4.7%, from the previous year. The gross profit for the quarter was $44.3 million, showing a significant improvement from the $31.1 million reported in the same period last year. The gross margin also increased to 18.6% from 13.7% in the previous year.
Net income for the quarter stood at $35.3 million, a substantial increase from the $18.2 million reported in the same quarter of the prior year. Earnings per share also improved, reaching $2.50 compared to $1.31 in the previous year. Additionally, EBITDA for the quarter increased to $36.2 million from $24.8 million in the same quarter of the previous year, representing a 4.3% increase in EBITDA as a percentage of revenues.
For the six months ended July 31, 2025, consolidated revenues were $431.4 million, up by $46.7 million, or 12.1%, from the comparable period in the previous year. The gross profit for the six months was approximately $81.1 million, a significant increase from the $49.0 million reported in the same period last year. Net income for the six months was $57.8 million, representing a substantial increase from the $26.1 million reported in the comparable period of the prior year. EBITDA for the six months increased to $66.5 million from $36.7 million in the same period of the previous year, reflecting a 5.9% increase in EBITDA as a percentage of revenues.
The company's project backlog as of July 31, 2025, was approximately $2.0 billion, a significant increase from the backlog of approximately $1.4 billion at January 31, 2025. Additionally, the total balance of cash, cash equivalents, and investments as of July 31, 2025, was $572.2 million, up from $525.1 million at January 31, 2025.
Argan's President and CEO, David Watson, highlighted the company's momentum, reflected in the increased revenues, gross margin, diluted earnings per share, and EBITDA. He emphasized the strong demand for the company's capabilities across its business segments, resulting in a record backlog of $2.0 billion, and expressed optimism about the opportunities in the marketplace.
Argan's financial performance demonstrates its continued growth and financial strength, positioning the company well to benefit from the current demand environment in the power industry. The market has reacted to these announcements by moving the company's shares 4.22% to a price of $236.61. For the full picture, make sure to review ARGAN INC's 8-K report.
