GE Vernova Q2 Profit, Orders Climb; Backs FY26 Margin View, Lifts Revenue Forecast; Stock Down

(RTTNews) - GE Vernova Inc., an energy equipment manufacturing and services company, on Wednesday reported higher profit and revenues in its second quarter, with significant growth in orders. Further, the firm maintained fiscal 2026 margin view, and raised revenue forecast.

In pre-market activity on the NYSE, the shares were losing around 7.5 percent, trading at $998.00.

GE Vernova CEO Scott Strazik said, "We delivered strong financial results in the second quarter as global demand for our products and solutions continues to grow. With a backlog of $176 billion, continued revenue growth and margin expansion, and significant free cash flow generation, GE Vernova's momentum is building, and we are raising our 2026 financial guidance."

The company added that it now expects to have at least 125 GW of gas equipment under contract by year-end 2026. To meet this demand, the firm is on track to deliver 20 GW of annual gas turbine output in the third quarter of 2026, with 24 GW in 2028. The company is also implementing actions to produce 30 GW in 2030.

There would be continued demand growth in Electrification, with data center orders reaching over $5 billion year-to-date, more than double its 2025 total, the firm added.

For fiscal 2026, the company continues to expect adjusted EBITDA margin between 12 percent and 14 percent.

GE Vernova now expects revenue of $45.5 billion to $46.5 billion, up from previous estimate of $44.5 billion to $45.5 billion.

Free cash flow would be $11.5 billion to $12.5 billion, up from $6.5 billion to $7.5 billion expected earlier.

Power segmwent's organic revenue growth is now projected to be 18 percent-20 percent, up from previous view of 16 percent-18 percent.

Electrification segment revenue would be $14.5 billion to $15.0 billion, higher than previous view of $14.0 billion to $14.5 billion.

In the second quarter, the company's bottom line came in at $649 million, higher than $492 million last year. Earnings per share climbed 33 percent to $2.47 from $1.86 a year ago.

Adjusted EBITDA climbed from last year to $1.25 billion, and adjusted EBITDA margin expanded 280 basis points to 11.3 percent from higher volume, price, and productivity. Adjusted organic EBITDA margin was 11.2 percent, up 340 basis points from last year.

The company's revenue for the period rose 21.9 percent to $11.104 billion from $9.111 billion last year. Organic revenue growth was 12 percent, led by equipment growth at Electrification and Power, along with higher services, partially offset by equipment at Wind.

Orders totalled $24.2 billion, a growth of 88 percent organically, driven by robust growth in Power and Electrification.

Power orders of $16.73 billion surged 134 percent organically, primarily from strength in Gas Power equipment, driven by higher volume and price.

Electrification Orders of $6.3 billion increased 66 percent organically, due to continued strong demand for grid equipment with strength in North America.

Meanwhile, Wind orders fell 40 percent organically, due to lower Onshore Wind equipment orders, primarily in North America

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