GE Vernova lifts 2026 revenue, EBITDA margin and FCF guidance as orders rise 71% and Q1 FCF exceeds full-year 2025
2026 guidance lifted: revenue to $44.5–$45.5B, +$0.5B; EBITDA margin +1 point; FCF to $6.5–$7.5B, +$1.5–$2.0B from $5–$5.5B.
Q1 free cash flow $4.8B already exceeds full-year 2025, prompting large 2026 FCF raise.
Orders up 71% to $18.3B, driving backlog to $163B and ~2x book-to-bill.
Backlog target pulled forward to $200B by 2027, supported by Prolec adding about $5B high-demand transformer backlog.
Q1 revenue was $9.34B, up 16% YoY, with non-GAAP EPS $17.44 and reported EPS $1.98, beating estimates.
Q1 2026 net income totaled $4.7B for the quarter, as reported.
Completed $5.3B Prolec GE transaction during the quarter, expanding the portfolio.
Electrification is main growth engine; Q1 data center orders $2.4B exceed all of 2025.
Gas Power demand robust with 100GW under contract and strong pricing 10–20% above
4Q25.
Wind remains a drag with $382M Q1 EBITDA loss and larger first-half losses expected.
Segment margins expanding sharply: Power at 16.3% EBITDA, Electrification at 17.8% and rising.
Tariff headwinds ($250–$350M 2026 impact) and Wind exposure partly offset by pricing and mix.
Balance sheet remains strong with $10.2B cash, <1x gross debt/EBITDA, and ongoing buybacks, dividends.
Management confident on long-cycle backlog, data centers, capacity expansions, while main concern Wind losses, tariff headwinds, large-long-cycle-execution and ramp risks.
Strong quarter, driven by surging Electrification and Gas Power demand, pricing, and working-capital-fueled cash generation.
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