GE Vernova Earnings Recaps
Q2 2026
Jul 25, 2026
Shares declined 4.4% as investors reacted negatively to a cautiously framed outlook and signs of margin pressure, despite strong backlog growth and solid order intake. The market appears concerned the margin improvements may not sustain or accelerate as expected.
Key takeaways
- Equipment orders more than doubled and service orders grew 15% sequentially, driving backlog up $13 billion to $176 billion.
- Gas Power backlog grew from 44 to 53 gigawatts, with total gigawatts under contract rising from 100 to 116, fueled by strong order flow across diverse customers.
- Pricing improved, with first half 2026 equipment orders priced over 20% above 4Q 2025 levels, reflecting conversion of SRAs to firm orders and higher mix of aero-derivatives.
- Margins expanded 360 basis points year-over-year to 10.5% in the first half, supported by volume, pricing, and productivity gains, though equipment revenue growth outpaced services, which may pressure margins.
- Free cash flow reached approximately $10 billion year-to-date, more than 2.5x 2025 levels, supporting disciplined capital allocation including $4 billion returned to shareholders.
Q1 2026
Apr 22, 2026
GE Vernova Q1 2026 demonstrated robust growth across segments driven by strong order momentum, backlog expansion, and strategic project milestones, positioning the company for accelerated revenue and margin expansion in the coming years.
Key takeaways
- Backlog increased by 40% year-over-year to $163 billion, with a target of $200 billion by 2027, supported by $13 billion added in recent months.
- Power segment signed 21 GW of new gas turbine contracts in Q1, growing contracted capacity to 100 GW; Q2 orders are exceeding Q1 values, with 10-15 GW expected under contract by year-end.
- Gas Power achieved a 10-20% improvement in order pricing and expanded production capacity to over 280 machines, aiming for 20 GW annualized output by March 2027.
- Progress on North American SMR project includes foundational milestones at Darlington and potential NRC license for Clinch River in 2026, supported by up to $40B government funding.
- Electrification revenue neared $14.5B this year, with substantial market opportunity (~$300B) by 2030, and the Prolec integration reinforcing growth prospects.
Q3 2025
Oct 23, 2025
GE Vernova's acquisition of the remaining 50% of Prolec GE for $5.275 billion is poised to significantly enhance its position in the North American grid equipment market while driving substantial growth and cost synergies over the coming years.
Key takeaways
- Acquisition expected to close by mid-2026; Prolec GE is anticipated to generate $3 billion in revenue this year with an impressive EBITDA margin of 25%.
- The transaction is structured with equal funding through cash and debt, aligning with disciplined capital allocation strategies.
- Strong potential for low double-digit revenue growth for Prolec GE, reaching over $4 billion by 2028, driven by volume and pricing enhancements.
- Integration aims to streamline operations and enhance customer experience by removing contractual limitations and leveraging GE Vernova's global footprint.
- Demand for grid investment in North America projected to grow at 10% CAGR, supporting the transformative potential of this acquisition.