Companies /Industrials

Argan Inc

NYSE: AGX Engineering & Construction
$410.40
▲ $5.65 (+1.40%) today
Markets closed · 2:39am ET

Q2 2027 Earnings

Reported Sep 2, 2026, 4:10pm ET · SEC source
$3.76
Beat +41.20%
EPS · est. $2.66 GAAP
$384.0M
Beat +27.73%
Revenue · est. $300.6M
6 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−8%−4%0+4%Sep 2Sep 2report 4:10pm ETearnings−0.0%−1.1%
−8%−4%0+4%Sep 2Sep 2earnings−0.0%−1.1%
AGX −1.1%S&P 500 −0.0%
−8%−4%0+4%Sep 2Sep 2report 4:10pm ETearnings+0.0%−1.1%
−8%−4%0+4%Sep 2Sep 2earnings+0.0%−1.1%
AGX −1.1%NASDAQ +0.0%
−8%−4%0Sep 1Sep 2report 4:10pm ETearnings+0.1%−1.0%
−8%−4%0Sep 1Sep 2earnings+0.1%−1.0%
AGX −1.0%S&P 500 +0.1%
−8%−4%0Sep 1Sep 2report 4:10pm ETearnings+0.2%−1.0%
−8%−4%0Sep 1Sep 2earnings+0.2%−1.0%
AGX −1.0%NASDAQ +0.2%
+0.00%
Day of report

Did AGX Beat Earnings? Q2 2027 Results

Argan Inc. delivered a blowout fiscal second quarter for 2027, posting record revenue of $383.98 million, up 61.5% year over year, and GAAP diluted EPS of $3.76, beating the $2.66 consensus estimate by 41.20% and extending the company's streak of beating consensus EPS estimates to five consecutive quarters. Revenue also cleared Wall Street's $300.61 million estimate by 27.73%, as surging activity across all three business segments, led by the Power segment's 53% revenue growth to approximately $301.00 million, drove consolidated gross margin to 19.3% from 18.6% a year ago. Income from operations nearly doubled to $56.80 million, while a debt-free balance sheet holding $1.03 billion in cash and investments provided further confidence in execution. Looking ahead, Argan expects to complete a new fabrication facility next quarter to meet rising data center vessel demand, and management expressed optimism across all segments, backed by a project backlog of approximately $2.52 billion. Institutional interest has notably picked up alongside the strong results, though significant insider selling has drawn attention from market observers.

Key Takeaways
  • Power segment revenue grew 53% YoY to $301 million with 22% gross margin, driven by continued ramp-up of construction activities on several contracts not yet at peak construction
  • Consolidated gross margin expanded to 19.3% from 18.6% due to favorable project and contract type mix and strong Power segment execution
  • SG&A as a percentage of revenue declined to 4.5% from 6.0%, demonstrating operating leverage
  • Investment income contributed $10.1 million in other income

“We delivered a strong second quarter, highlighted by record revenue of $384 million, a gross margin of 19.3%, record net income of $53 million, and record adjusted EBITDA of $70 million.”

Argan CEO, on the earnings call

Forward Guidance & Outlook

Argan expressed optimism about opportunities across all three business segments. The new fabrication facility in the Industrial segment is expected to complete next quarter, supporting heightened demand for data center vessel fabrication. The company believes its diverse capabilities, track record, and strong balance sheet position it well to benefit from the current demand environment. Project backlog stood at approximately $2.5 billion as of July 31, 2026.

AGX YoY Financials

Q2 2027 vs Q2 2026 · SEC filings Q2 2026 Q2 2027
$0$200.0M$400.0M$237.7M$384.0MRevenue$44.3M$74.2MGross Profit$30.1M$56.8MOperating Income$35.3M$53.3MNet Income
$0$200.0M$400.0MRevenueGross ProfitOperating IncomeNet Income

AGX Revenue by Segment

Power$301.0M+53.0%

Figures from SEC filings and company reports. Not investment advice.