Broadwind (BWEN) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenue rose 12.4% year-over-year to $37.7 million, driven by strong demand in core verticals and strategic execution, with a GAAP net loss of $0.9 million.

• Divestiture of the Wisconsin/Manitowoc industrial fabrication operations in Q3 2025 optimized the asset base, improved balance sheet flexibility, and increased revenue diversification.

• Robust order growth in Gearing and Industrial Solutions, with Q4 orders up 38% year-over-year in both segments and a record $38.1 million backlog in Industrial Solutions.

• Maintained a 100% domestic manufacturing footprint, benefiting from reshoring trends and trade tariffs favoring US wind tower manufacturers.

• Reaffirmed 2026 guidance, expecting continued strong organic growth and double-digit revenue increases in Gearing and Industrial Solutions.

Financial highlights

• Q4 2025 consolidated revenue was $37.7 million, up 12.4% year-over-year, with Industrial Solutions revenue up 60% to $9.4 million.

• Adjusted EBITDA for Q4 was $1.9 million (5.0% margin), down from $2.1 million prior year, due to supply chain inefficiencies; GAAP net loss was $0.9 million.

• Full-year 2025 revenue reached $158.1 million; adjusted EBITDA was $8.7 million (5.5% margin); GAAP net income was $5.2 million.

• Ended Q4 with $25 million in cash and available liquidity; net leverage at 1.6x.

• Q4 gross margin was 8.8%, impacted by a raw material supply issue in Heavy Fabrications.

Outlook and guidance

• 2026 revenue guidance reaffirmed at $140–$150 million, with adjusted EBITDA expected between $8–$10 million.

• Organic growth for 2026 projected to exceed 20% year-over-year, excluding divested operations.

• Double-digit revenue growth expected in Gearing for 2026, supported by a doubled backlog and strong order visibility.

• Industrial Solutions capacity has doubled, with potential to reach $70 million in revenue as demand grows, supported by customer indications through 2030.

• Heavy Fabrications has stable visibility for wind tower production into Q3 2026 and likely through 2027.