Strong performance with significant orders and backlog growth, margin expansion, and cash generation
Second Quarter 2026 Highlights:
- Orders of $24.2B, +88% organically led by robust growth in Power and Electrification
- Backlog1 growth of $13.0B sequentially from equipment and services
- Gas Power equipment backlog and slot reservation agreements grew from 100 to 116 GW; now anticipate reaching at least 125 GW by year-end 2026
- Revenue of $11.1B, +22%, +12% organically* led by Power and Electrification
- Net income of $0.6B; net income margin of 5.8%
- Adjusted EBITDA* of $1.2B; adjusted EBITDA margin* of 11.3%, up +340 basis points organically*
- Cash from operating activities of $5.5B; free cash flow* of $5.1B, more than all of 2025
- $13.1B cash balance; $3.9B in capital returned to shareholders year-to-date
“We delivered strong financial results in the second quarter as global demand for our products and solutions continues to grow. With a backlog of $176 billion, continued revenue growth and margin expansion, and significant free cash flow generation, GE Vernova’s momentum is building, and we are raising our 2026 financial guidance,” said GE Vernova CEO Scott Strazik. “We now expect to have at least 125 GW of gas equipment under contract by year-end 2026. To meet this demand, we remain on track to deliver 20 GW of annual gas turbine output in the third quarter of 2026, with 24 GW in 2028, and we are implementing actions to produce 30 GW in 2030. We are also seeing continued demand growth in Electrification, with data center orders reaching over $5 billion year-to-date, more than double our 2025 total. I am proud of how our team is executing with discipline, and I am confident there is substantial value creation ahead.”
In the quarter, orders of $24.2 billion increased +88% organically, with robust equipment growth in Power and Electrification, and services growth in all segments. Revenue of $11.1 billion was up +22%, +12% organically*, led by equipment growth at Electrification and Power, along with higher services, partially offset by equipment at Wind. Margins expanded significantly from higher volume, price, and productivity. Free cash flow* of $5.1 billion increased $4.9 billion, primarily due to higher positive benefits from working capital and stronger adjusted EBITDA*.
Power
- Orders of $16.7 billion increased +134% organically and revenues of $5.5 billion increased +14% on a U.S. GAAP basis and organically* led by Gas Power equipment. Segment EBITDA margin grew +240 basis points, +320 basis points organically*.
- Signed 20 gigawatts (GW) of new gas equipment contracts, including 18 GW of slot reservation agreements and 2 GW of orders. Converted 10 GW of existing slot reservation agreements to orders and shipped 3 GW of equipment; resulting in backlog growth from 44 to 53 GW and an increase in slot reservation agreements from 56 to 63 GW.
Electrification
- Orders of $6.3 billion increased +66% organically, driving a book-to-bill ratio of approximately 1.7, with continued strong demand for grid equipment. Revenues of $3.6 billion increased +68%, +29% organically*, driven by Power Transmission and Grid Systems Integration. Segment EBITDA margin grew +390 basis points, +700 basis points organically*.
- Increased equipment backlog to $40.6 billion, up $16.6 billion, or 69% year-over-year, including $5 billion from Prolec GE.
Wind
- Orders of $1.2 billion decreased (40)% organically due to lower equipment at Onshore Wind. Revenues of $2.0 billion decreased (10)%, (11)% organically*, primarily driven by equipment at Onshore Wind as a result of soft orders in the first half of 2025. Segment EBITDA losses grew from lower Onshore Wind equipment volume and higher Offshore Wind project costs, partially offset by Onshore Wind services.
- SunZia, an onshore wind farm in New Mexico powered by GE Vernova’s 3.8 MW-154m wind turbines, and the largest renewable energy infrastructure project in U.S. history, became operational.
For the full earnings release, please go here.