Babcock & Wilcox Enterprises (BW) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue rose 15% year-over-year to $200.8 million, with operating income reaching $11.6 million, up $14.8 million from Q4 2023, driven by a focus on core thermal operations and divestiture of non-strategic assets.

• Bookings and backlog saw robust growth, with bookings up 39% to $889.6 million and backlog up 47% to $540.1 million year-over-year, reflecting strong demand across utility and industrial sectors.

• Adjusted EBITDA for 2024 was $68.9 million, up 13% from $60.8 million in 2023; excluding BrightLoop and ClimateBright, Adjusted EBITDA was $72.6 million.

• Net loss from continuing operations improved to $73 million in 2024 from $75.8 million in 2023; loss per share was $0.96 versus $1.02.

• Asset sales totaling $120.9 million completed in 2024, supporting restructuring and debt reduction.

Financial highlights

• Q4 2024 revenue was $200.8 million, up 15% from $174.7 million in Q4 2023; operating income from continuing operations was $11.6 million, compared to a loss of $3.3 million in Q4 2023.

• Q4 2024 Adjusted EBITDA was $24.0 million, a 55% year-over-year increase; loss per share improved to $0.52 from $0.70.

• Full-year 2024 consolidated revenues were $717.3 million, stable year-over-year; net loss was $73.0 million (vs. $75.8 million in 2023).

• Full-year adjusted EBITDA from continuing operations was $68.9 million, up from $60.8 million in 2023.

• Bookings for 2024: $889.6 million (+39% YoY); backlog at year-end: $540.1 million (+47% YoY).

Outlook and guidance

• 2025 adjusted EBITDA target range set at $70-$85 million, excluding BrightLoop and ClimateBright expenses.

• Management expects continued improvement in adjusted EBITDA and positive cash flows in 2025, excluding BrightLoop.

• Bookings pipeline remains strong, with over $7.6 billion in identified project opportunities and over $1 billion in FEED studies.

• Targeting $1 billion in BrightLoop bookings by 2028; BrightLoop project in Massillon, Ohio, on track to produce hydrogen and sequester CO₂ by early 2026.

• $10 million in state support secured for the West Virginia BrightLoop facility.