Babcock & Wilcox Q3 revenue misses estimates

Babcock & Wilcox Enterprises

04/11/2025 22:36

Overview

Babcock & Wilcox Q3 revenue misses analyst expectations

Operating income for Q3 rises 315% yr/yr, beating street expectations

Adjusted EBITDA for Q3 increases 59% yr/yr, exceeding expectations

Outlook

Company targets 2026 Adjusted EBITDA of $70 mln to $85 mln, excluding AI projects

B&W sees strong demand for power from AI data centers driving growth

Company expects continued growth in parts and services revenue in 2025

Result Drivers

AI DATA CENTER CONTRACT - Signed a limited notice to proceed for a $1.5 bln contract with Applied Digital for an AI Data Center project

BACKLOG GROWTH - Backlog increased 56% yr/yr, driven by demand for thermal projects and services

STRATEGIC PARTNERSHIP - Partnership with Denham Capital to convert coal plants to natural gas for AI Data Centers

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$149 mln
$155.56 mln (3 Analysts)
Q3 Net Income
$35.10 mln
Q3 Operating Income
$6.50 mln
Q3 Pretax Profit
-$1.30 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the heavy electrical equipment peer group is "buy."

Wall Street's median 12-month price target for Babcock & Wilcox Enterprises Inc is $1.50, about 149.3% below its November 4 closing price of $3.74

Press Release: ID:nBw7Rbg0Ra

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)