GE Vernova (GEV) investor relations material

Executive summary

• Orders surged 88% year-over-year in Q2 2026 to $24.2B, with robust growth in Power and Electrification, while Wind declined; backlog reached $176.3B, up $13B sequentially.

• Revenue for Q2 2026 was $11.1B, up 22% year-over-year, driven by Power and Electrification, with net income of $649M and a net income margin of 5.8%.

• Adjusted EBITDA for Q2 2026 was $1.25B (margin 11.3%), up from $770M (8.5%) in Q2 2025, reflecting improved profitability.

• Free cash flow for Q2 2026 was $5.1B, up from $194M in Q2 2025, with a cash balance of $13.1B at quarter-end.

• Major acquisitions included Robotech Automation and the remaining 50% of Prolec GE for $5.3B, consolidating results into Electrification.

Financial highlights

• Q2 2026 orders reached $24.2B, up 88% year-over-year, with a book-to-bill ratio above 2x.

• Revenue increased 22% year-over-year to $11.1B; equipment revenue up 14%, services revenue up 10%.

• Adjusted EBITDA grew to $1.25B, margin expanded to 11.3% (up 280–340 bps year-over-year).

• Free cash flow in Q2 was $5.1B, up $4.9B year-over-year, with free cash flow conversion at 787%.

• Backlog at quarter-end was $176.3B, up 37% year-over-year.

Outlook and guidance

• 2026 revenue guidance raised to $45.5–$46.5B, up $1B from prior outlook.

• 2026 free cash flow guidance increased to $11.5–$12.5B, up from $6.5–$7.5B.

• Adjusted EBITDA margin guidance maintained at 12%–14%; Power EBITDA margin expected at 17%–19%, Electrification at 18%–20%.

• Power organic revenue growth expected at 18%–20%; Electrification revenue guidance raised to $14.5–$15B.

• Wind segment to remain challenged, with low double-digit revenue decline and ~$400M EBITDA loss expected for 2026.