Argan Reports Q1 Revenues Rise to $63.1m

8 June 2009 (Last Updated June 8th, 2009 18:30)

US-based provider of engineering, procurement and construction services to the power industry, Argan, has reported net revenues of $63.1m for the first quarter 2009 compared with $48.4m in the same quarter 2008. The company has also reported a net income of $2.97m or $0.22 per share for

US-based provider of engineering, procurement and construction services to the power industry, Argan, has reported net revenues of $63.1m for the first quarter 2009 compared with $48.4m in the same quarter 2008.

The company has also reported a net income of $2.97m or $0.22 per share for the first quarter of fiscal 2009 compared with the net income of $1.5m, or $0.14 loss per share, in the same quarter last year.

The company's subsidiery Gemma Power Systems has contributed $58m, or 92% of total revenues for the first quarter 2010, compared to $44m or 91% of total revenues for the first quarter 2009.

Combined revenues from Argan’s other wholly-owned subsidiaries increased to $5.1m or 8% of total revenues for the quarter ending 30 April 2009, compared to $4.4m or 9% of total revenues in the same period last year.

On a segment basis, Gemma reported income before tax of $6.1m for the three months ending 30 April 2009 compared to $4m for the three months ending 30 April 2008.

The Company reported consolidated EBITDA (earnings before interest, taxes, depreciation and amortisation) of $5.1m for the three months ending 30 April 2009.

Gemma, for its segment, recorded $6.3m in EBITDA for the three months ending 30 April 2009.

Argan chairman and chief executive officer Rainer Bosselmann said: "We are pleased to report increased net revenues, net income and EBITDA for the first quarter. In recent months we have seen a renewed interest in gas-fired generation as electric utilities and independent power producers diversify their power generation options."