GE Vernova Inc. Q2 FY2026 Earnings Call
· Earnings call transcript and AI-powered summary
GE Vernova Q2 2026 Earnings Summary
Context: GE Vernova reported strong Q2 2026 results driven by accelerating demand in power and electrification. All YoY comparisons are versus Q2 2025 unless noted. Backlog reached $176B (up $13B sequentially from Q1 2026; +77% YoY in equipment backlog).
Key Highlights
- Orders: $24.2B (+88% YoY); book-to-bill >2x. Equipment orders more than doubled; services orders +15%.
- Backlog: $176B total ($88B equipment, $88B services). On track for $200B by 2027. Equipment backlog margins healthy due to pricing discipline.
- Revenue: +12% YoY. Equipment +14% (Electrification +36%, Power +30%, offset by Wind decline); Services +10% across all segments.
- Adjusted EBITDA: $1.2B (+61% YoY); margin +340 bps to ~18%+ levels in key segments, driven by volume, price, and productivity (offsetting inflation).
- Free Cash Flow: $5.1B in Q2; ~$10B YTD (more than 2.5x full-year 2025 results). Working capital benefit from down payments.
- Capital Allocation: $13B cash balance (up $3B sequentially). Returned ~$4B YTD to shareholders via buybacks/dividends (exceeded full-year 2025). $10B repurchase program: $7B completed (12.4M shares at $560 avg). Maintained investment-grade balance sheet.
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