POWL: Q4 Sales and Profit Exceed Expectations, Data Center Demand Boosts Outlook

[Para 1: The Lead] Powell (NYSE:POWL) exceeded market expectations in Q4 CY2025, reporting a 4% year-on-year sales increase to $251.2 million and a non-GAAP profit of $3.40 per share, 11.8% above consensus. The company's robust performance is driven by strong project execution and a record backlog, particularly in data centers and LNG infrastructure. [Para 2-3: Supporting details & Context] Powell's CEO, Brett Cope, highlighted the company's unique position in grid modernization and domestic energy exports, attributing the strong quarter to project closeouts and higher margins. CFO Michael Metcalf noted a very strong quarter in project closeouts, contributing to improved financials. Looking ahead, Powell expects sustained demand across core markets, with a backlog extending into 2028. The company is evaluating further capacity investments to meet growing demand, particularly in data centers and LNG infrastructure. Powell's outlook is bolstered by strong project execution, expanding backlog, and new order momentum.