Willdan Group, Inc. (NASDAQ: WLDN) shares have risen 22.63% to a trading price of $39.51 as of the most recent market update. The company’s strong financial results and planned development plans are credited with boosting investor confidence and this notable increase.
Strategic Outlook and Robust Financial Growth
Willdan just released financial results for its fiscal year and fourth quarter ended December 27, 2024. Its net sales increased 9.9% to $296.3 million, while contract revenue increased 10.9% to $565.8 million. From $10.9 million the year before to $22.6 million, net income more than quadrupled. Furthermore, adjusted EBITDA increased by a significant 24.2% to $56.8 million.
For Willdan, the fourth quarter marked the end of an incredible year marked by double-digit organic growth in all major financial measures and a renewed emphasis on strategic acquisitions. There are many prospects for future growth and investment due to the company’s solid cash position.
A Well-Timed Acquisition
Willdan recently purchased Alternative Power Generation, Inc. (APG) to increase its presence in electrical engineering and energy management consultancy. Willdan’s capacity to plan and oversee substations for data centers and renewable energy projects is improved by the purchase. Growth in these industries is being driven by rising power consumption and related prices, which puts Willdan in a favorable position for future improvements.
With the March 3 completion of the stock transaction, Willdan’s portfolio now includes APG’s knowledge of microgrids, EV charging stations, and renewable energy solutions. Willdan’s current capabilities in grid analytics, energy policy, and facility optimization are anticipated to be enhanced by APG’s commercial partnerships, which brought in around $37 million in 2024.
Enhancing Market Presence and Future Prospects
The acquisition is set to amplify APG’s impact by scaling its engineering and construction management expertise to meet the growing complexities of the electrical grid. Willdan’s extensive resources and industry leadership will facilitate APG’s expansion into new markets, particularly in the data center sector, while enhancing its ability to navigate evolving energy challenges.
With an ST score of 50, WLDN stock has delivered a 1-year performance of nearly 60%. Investors seeking high-performing stocks in the Engineering & Construction industry can explore our screener link for additional opportunities.
