Powell Industries, Inc. (NASDAQ: POWL) witnessed a positive trajectory in its stock value in the preceding session, marking a notable 2.20% increase to reach a closing figure of $81.59. This upward trend in Powell Industries’ stock persisted as the company prepared to unveil its financial results subsequent to the market’s closure on Tuesday.
In the announcement of its Fiscal 2024 first-quarter results concluded on December 31, 2023, Powell Industries (POWL) demonstrated a continuation of robust trends and impressive outcomes observed in the preceding fourth quarter. Despite the typically sluggish seasonal period, POWL reported a substantial $198 million in new orders, reflecting a sequential increase of 15%.
Moreover, Powell Industries achieved a remarkable 53% growth in revenue compared to the previous year, attributed to widespread strength across the majority of its end-market sectors. The substantial revenue surge, reaching $194 million, owes its success to the resilience and excellence of Powell Industries’ backlog, complemented by exceptional project execution and associated efficiency gains.
This positive momentum translated into improved profitability for Powell Industries during the quarter. The notable increase, compared to the first quarter of Fiscal 2023, was fueled by robust growth in the Petrochemical, Oil and Gas, Utility, and Commercial, and Other Industrial sectors, partially offset by reduced volume within the Traction sector.
Powell Industries’ backlog, standing at $1.3 billion, is nearly double that of the previous year and is well-distributed across its market sectors. The company continued to observe promising levels of project activity in its core Industrial end markets.
Additionally, Powell Industries is actively supporting robust market activity in some of the rapidly growing applications within the Commercial & Other Industrial sector, including data centers and emerging energy markets such as hydrogen, biofuels, and carbon capture and sequestration.
The company reported a net income of $24.1 million, or $1.98 per diluted share, reinforcing its positive outlook. Powell Industries remains focused on sustaining its current activity levels across most markets, underlining its expectations for another robust fiscal year.
