Powell (POWL) Q3 2025 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Mon, May 4, 2026 astatine 12:38 PM CDT 29 min read

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Date

Wednesday, August 6, 2025 astatine 11:00 a.m. ET

Call participants

• President & Chief Executive Officer — Brett A. Cope

• Executive Vice President & Chief Financial Officer — Michael W. Metcalf

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Full Conference Call Transcript

Brett A. Cope: Thank you, Ryan, and bully morning, everyone. Thank you for joining america contiguous to reappraisal Powell's fiscal 2025 3rd 4th results. I volition marque a fewer comments and past crook the telephone implicit to Mike for much fiscal commentary earlier we instrumentality your questions. Powell delivered a beardown 3rd quarter, arsenic operationally, the squad continues to execute astatine a precocious level. Our gross nett dollars grew 8% contempt astir level revenue, starring to a gross borderline of 30.7%, which was 230 ground points higher than the anterior year. We continued to payment from favorable measurement leverage, effectual task execution and the payment of task closeouts.

Revenue was mostly unchanged compared to the anterior twelvemonth arsenic little gross levels from the lipid and state and petrochemical markets were mostly offset by beardown maturation successful the electrical utility, commercialized and different concern planetary markets. This was chiefly a relation of task timing arsenic our concern tin acquisition lumpiness successful our task completion and transportation schedules from clip to time. On the bottommost line, we recorded nett income of $48 cardinal successful the quarter, oregon $3.96 per diluted share, which was 4% higher than the anterior twelvemonth and a grounds quarterly EPS for Powell.

We saw meaningful acceleration successful bid enactment highlighted by a book-to-bill ratio of 1.3x and sequential backlog maturation of 7% to a full of $1.4 billion. The $362 cardinal successful caller orders was good balanced crossed the extremity markets we service and included aggregate important awards that I'll item successful a moment. We stay precise comfy with the task schedules and wide creation of our bid book. Our backlog is balanced crossed the marketplace sectors we service arsenic good arsenic crossed the Powell manufacturing footprint. The backlog possesses a steadfast premix of some larger projects arsenic good arsenic what we would see to beryllium halfway smaller to medium-sized projects.

I'd similar to concisely item a fewer of the larger awards we received during the 3rd quarter. In the lipid and state market, we booked 2 ample orders for customized powerfulness power country modules, which person a combined full of implicit $80 million. Each of these projects volition beryllium deployed to abstracted offshore accumulation locations, 1 successful the Gulf of America and the 2nd to beryllium located offshore from the seashore of Africa. We besides booked a astir $60 cardinal bid successful the electrical inferior marketplace for a caller powerfulness procreation facility.