GE Vernova (GEV) Q2 FY26 earnings call

Earnings call· Jun 2026 (Q2 FY26)· Industrials· Jul 22, 2026

Source: earnings call transcript

GE Vernova delivered a robust Q2 FY26, marked by exceptional order growth in Power and Electrification, particularly from data center demand, which drove total backlog to $176 billion. The company significantly expanded adjusted EBITDA margins and generated strong free cash flow, leading to an upward revision of full-year revenue and FCF guidance. Management is focused on capital-efficient capacity expansion and strategic investments in new technologies like SSTs and MV-UPS to capitalize on the accelerating electricity investment supercycle, while navigating softness in the onshore wind market

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GEV operating KPIs by quarter

GEV operating KPIs stated on its earnings calls, by fiscal quarter
KPI	Mar 2025 Q1 FY25	Sep 2025 Q3 FY25	Dec 2025 Q4 FY25	Mar 2026 Q1 FY26	This call Jun 2026 Q2 FY26	Change vs prior quarter
Backlog	$123B We now maintain a total backlog of $123 billion. Source: earnings call transcript	$135B As a result, our backlog expanded to $135 billion, a year-over-year and sequential increase led by both Power and Electrification. Source: earnings call transcript	$150B In '25, we increased our total backlog by over 25% or $31 billion to $150 billion with robust profitable order growth in Power and Electrification further underscoring our momentum as we kick off '26. Source: earnings call transcript	$163B We've grown this backlog to $163 billion, with an 80% increase in our equipment backlog at considerably better margins. Source: earnings call transcript	$176B Our total backlog has reached $176 billion with improving margins. Source: earnings call transcript	+8%
Orders	$10.2B Demand remained robust in the first quarter as we booked $10.2 billion of orders, an increase of 8% year-over-year and approximately 1.3x revenue. Source: earnings call transcript	$14.6B We booked orders of $14.6 billion, a 55% increase year-over-year and a book-to-bill ratio of approximately 1.5. Source: earnings call transcript	$22.2B In the fourth quarter, we booked orders of $22.2 billion, a 65% increase year-over-year and a book-to-bill ratio of approximately 2x. Source: earnings call transcript	$18B We booked $18 billion of orders in Q1, up 71% year-over-year. Source: earnings call transcript	$24.2B In the second quarter, we booked orders of $24.2 billion, an 88% increase year-over-year and a book-to-bill ratio of slightly more than 2x with growth in both equipment and services. Source: earnings call transcript	+34.4%
Book-to-bill ratio	~1.3 ratio Demand remained robust in the first quarter as we booked $10.2 billion of orders, an increase of 8% year-over-year and approximately 1.3x revenue. Source: earnings call transcript	~1.5 ratio We booked orders of $14.6 billion, a 55% increase year-over-year and a book-to-bill ratio of approximately 1.5. Source: earnings call transcript	~2 ratio In the fourth quarter, we booked orders of $22.2 billion, a 65% increase year-over-year and a book-to-bill ratio of approximately 2x. Source: earnings call transcript	~2 ratio In the first quarter, we booked orders of $18.3 billion, a 71% increase year-over-year and a book-to-bill ratio of approximately 2. Source: earnings call transcript	2 ratio+ In the second quarter, we booked orders of $24.2 billion, an 88% increase year-over-year and a book-to-bill ratio of slightly more than 2x with growth in both equipment and services. Source: earnings call transcript	—
Orders Electrification	~$3.4B Orders remained strong at approximately $3.4 billion, roughly 1.8x revenue driven by the growing need for grid equipment. Source: earnings call transcript	~$5.1B Orders remained strong at roughly 2x revenue and more than doubled year-over-year to approximately $5.1 billion, driven by the growing need for grid investment. Source: earnings call transcript	—	—	~$6.3B Orders remained strong at roughly 1.7x revenue and increased 66% year-over-year to approximately $6.3 billion due to growing grid equipment demand partially to support data center development. Source: earnings call transcript	—
Book-to-bill ratio Electrification	~1.8 ratio Orders remained strong at approximately $3.4 billion, roughly 1.8x revenue driven by the growing need for grid equipment. Source: earnings call transcript	—	~2.5 ratio In the fourth quarter, orders remained strong at roughly 2.5x revenue and increased 50% year-over-year to approximately $7.4 billion due to growing grid equipment demand, particularly for synchronous condensers, substations partially to support data center growth and switchgear. Source: earnings call transcript	—	~1.7 ratio Orders remained strong at roughly 1.7x revenue and increased 66% year-over-year to approximately $6.3 billion due to growing grid equipment demand partially to support data center development. Source: earnings call transcript	—
Backlog Electrification Equipment	~$22B Equipment orders outpaced revenue, further expanding the equipment backlog to approximately $22 billion, up more than $7 billion compared to the first quarter of 2024. Source: earnings call transcript	$26B+ This equipment backlog was $6 billion entering '23 and is now more than $26 billion. Source: earnings call transcript	—	$39B Electrification equipment orders continued outpacing revenue, which combined with Prolec further increased our equipment backlog to $39 billion, up 75% or roughly $17 billion compared to the first quarter of 2025. Source: earnings call transcript	$41B Electrification equipment orders continued outpacing revenue and further increased our equipment backlog to $41 billion, up 69% or roughly $17 billion compared to the second quarter of 2025. Source: earnings call transcript	+5.1%
Backlog Equipment	—	$54B As Scott mentioned, equipment backlog grew to $54 billion, up approximately $12 billion year-over-year, and equipment backlog margin remains healthy, reflecting favorable price and our continued focus on disciplined underwriting. Source: earnings call transcript	—	$76B Equipment backlog increased to $76 billion, up approximately $12 billion sequentially and 67% year-over-year, driven by both electrification, which now incorporates Prolec's backlog and power. Source: earnings call transcript	$88B Equipment backlog increased to $88 billion, up approximately $12 billion sequentially and 77% year-over-year, driven by both Power and Electrification, which incorporates Prolec's backlog. Source: earnings call transcript	+15.8%
Backlog Services	—	~$81B Our services backlog grew more than $5 billion year-over-year to approximately $81 billion, led by Power. Source: earnings call transcript	—	$87B Our services backlog grew $9 billion or 12% year-over-year to $87 billion led by Power. Source: earnings call transcript	$88B Our services backlog grew approximately $10 billion or 12% year-over-year to $88 billion led by Power. Source: earnings call transcript	+1.1%
Backlog Electrification	—	—	$35B In 4Q, we grew the segment's total backlog to $35 billion, up $4 billion sequentially and $11 billion year-over-year, representing Electrification's largest growth quarter on a dollar basis in '25. Source: earnings call transcript	$42B Since year-end '22, its backlog has grown from $9 billion to $42 billion, and we expect substantially more growth moving forward. Source: earnings call transcript	—	+20%
Employees	—	—	75K We are humbled with their confidence in us to drive that $150 billion backlog to the 75,000 employees we have today that I'm proud to represent every day, as is Ken, in these meetings. Source: earnings call transcript	—	85K I want to thank our team of 85,000 people around the world for their ongoing commitment to excellence. Source: earnings call transcript	—
Gas turbines shipped	—	—	—	25 We shipped a total of 25 gas turbines in the quarter, a 32% increase year-over-year. Source: earnings call transcript	29 We shipped a total of 29 gas turbines in the quarter, a 38% increase year-over-year, including 16 aeroderivatives. Source: earnings call transcript	+16%

Operating figures the company stated on at least two of the calls shown, checked against each call's transcript. Click a figure to read the sentence. A dash means it was not stated that quarter.

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