Powell Industries (POWL) stock surged 5.03% in the pre-market trading session on Thursday, following the release of strong fiscal 2024 results and a positive outlook across its core markets. The company achieved a significant milestone with $1 billion in revenue for the full fiscal year, marking a record year for Powell.

The revenue growth was driven by robust performance across key sectors, with the oil and gas sector increasing by 53% and the petrochemical sector growing a staggering 97% compared to the previous fiscal year. Additionally, the company recorded a substantial improvement in gross margin, reaching 29.2% in the fourth quarter and 27% for the full year, aided by strong project execution and operational efficiencies.

Looking ahead, Powell Industries expressed optimism about the continued strength in its core industrial markets, as well as the potential for further diversification and growth in emerging sectors such as utilities, data centers, hydrogen, and carbon capture. The company's robust backlog of $1.3 billion and ongoing capacity expansions position it well to capitalize on the anticipated growth opportunities across its markets.