GE Vernova Inc. (NYSE:GEV) reported fourth-quarter results on Wednesday, as investors digested a mixed earnings picture amid continued operational momentum across key businesses.
Shares were trading lower following the report, reflecting an earnings miss even as the company highlighted solid demand, margin expansion, and cash generation during the period.
For the quarter, GE Vernova reported revenue of $10.956 billion, up 4% from $10.559 billion, and sales exceeded an analyst estimate of $10.213 billion. Fourth-quarter EPS of $2.79 missed a $3.18 estimate, while diluted GAAP EPS rose to $13.39 from $1.73 a year earlier.
Net income totaled $3.670 billion, producing a 33.5% margin, "inclusive of a $2.9 billion tax benefit due to a U.S. valuation allowance release." Adjusted EBITDA was $1.158 billion, and adjusted EBITDA margin was 10.6%.
Fourth-quarter orders totaled $22.2 billion, up 65% organically, and backlog increased by $15.0 billion sequentially.
In Power, fourth-quarter revenue increased 6% to $5.749 billion, and segment EBITDA margin rose to 16.9% from 14.9%, with orders of $11.693 billion. The company signed 24 GW of new gas equipment contracts, converted 8 GW of existing slot reservation agreements to orders, and shipped 3 GW of equipment, with Gas Power equipment backlog and slot reservation agreements increasing from 62 to 83 GW.
In Wind, fourth-quarter revenue declined 24% to $2.368 billion, and segment EBITDA was a loss of $225 million, compared with a $19 million profit a year earlier, with EBITDA margin falling to (9.5)%.
In Electrification, fourth-quarter revenue rose 36% to $2.960 billion, and segment EBITDA margin increased to 17.1% from 13.0%, with orders of $7.424 billion.
Cash from operating activities totaled $2.480 billion in the quarter, and free cash flow was $1.809 billion.
Full-Year Results
For full-year 2025, revenue rose 9% to $38.068 billion, and diluted GAAP EPS increased to $17.69 from $5.58. Net income was $4.879 billion with a 12.8% margin. Adjusted EBITDA was $3.196 billion, and adjusted EBITDA margin was 8.4%.
Operating cash flow for the year was $4.987 billion, and free cash flow was $3.710 billion. Cash, cash equivalents, and restricted cash totaled $8.848 billion at Dec. 31, 2025.
Full-year orders were $59.3 billion, up 34% organically, and the company said backlog increased to $150 billion, with total backlog growth of $31.2 billion year-over-year, including that it "grew equipment margin in backlog by $8 billion, with 6 pts of accretion."
"We delivered strong financial performance in 2025 with continued momentum in Power and Electrification while focusing on what we can control in Wind. We increased our backlog to $150 billion, with better equipment margins, and are entering 2026 with significant momentum," CEO Scott Strazik said.
GE Vernova returned $3.6 billion to shareholders in 2025 and repurchased about 1.9 million shares for $1.1 billion in the fourth quarter, raising its share repurchase authorization to $10 billion from $6 billion.
The company also doubled its quarterly dividend to 50 cents per share, payable Feb. 2, 2026, and said S&P and Fitch upgraded its investment-grade credit ratings in December.
The company said it will acquire the remaining 50% stake of Prolec GE for $5.275 billion, with closing expected Feb. 2, 2026.
Outlook
GE Vernova raised its 2026 revenue outlook to $44 billion to $45 billion, increased free cash flow guidance to $5.0 billion to $5.5 billion, and said it now expects 2028 revenue of $56 billion.
GEV Price Action: GE Vernova shares were down 1.04% at $685.50 during premarket trading on Wednesday, according to Benzinga Pro data.
Image by Saskia B via Shutterstock
