Powell Industries, Inc. (POWL) stock plummeted 5.17% in the after-hours trading session on Thursday, February 6, 2025, following the release of its first quarter fiscal 2025 earnings report. The sharp decline came despite the company reporting strong year-over-year growth in revenue, net income, new orders, and backlog.
For the first quarter ended December 31, 2024, Powell Industries posted revenue of $241.4 million, up 24% compared to the prior-year period. The company's net income surged 44% to $34.8 million, or $2.86 per diluted share. New orders totaled $269 million, representing a 36% increase, while backlog remained solid at $1.3 billion.
Despite the robust financial performance, Powell Industries' stock experienced a significant sell-off, suggesting that the company's results failed to meet heightened market expectations. While the earnings report highlighted strong growth across all major market sectors, including Oil & Gas, Electric Utility, and Commercial & Other Industrial, investors seemed underwhelmed by the numbers.