10-QPeriod: Q1 FY2026

Baker Hughes Co Quarterly Report for Q1 Ended Mar 31, 2026

Filed April 24, 2026For Securities:BKR

Summary

Baker Hughes Company reported a strong first quarter in 2026, with total revenue increasing by 2% year-over-year to $6.6 billion. This growth was primarily driven by a 14% increase in the Industrial & Energy Technology (IET) segment, bolstered by significant gains in Gas Technology Services and Equipment. The Oilfield Services & Equipment (OFSE) segment saw a 7% revenue decline, largely due to the disposition of its Surface Pressure Control business and impacts from Middle East disruptions. Despite the OFSE decline, overall net income surged by 120% to $930 million, significantly boosted by substantial gains from the dispositions of the Precision Sensors & Instrumentation and Surface Pressure Control businesses, as well as favorable changes in the fair value of equity securities. The company also successfully raised substantial debt financing to support its pending acquisition of Chart Industries, Inc., positioning it for significant future growth. The company maintained a solid liquidity position, with cash and cash equivalents growing substantially to $14.8 billion. Management remains optimistic about the outlook for both segments, anticipating improved global upstream spending (excluding the Middle East) and sustained strength in LNG and gas infrastructure. Baker Hughes continues to emphasize its role in the energy transition, focusing on new energy solutions and sustainability initiatives, including progress towards its emissions reduction goals.

Financial Highlights

41 data points
Beta

Revenue

$6.59B

Net Income

$930.00M

14.1% Net Margin

Total Assets

$50.90B

Cash & Equivalents

$14.76B

Free Cash Flow

$500.00M

Financial Statements
Beta
Revenue$6.59B
R&D Expenses$133.00M
SG&A Expenses$562.00M
Net Income$930.00M

Key Highlights

  • 1Total revenue increased 2% to $6.6 billion in Q1 2026 compared to Q1 2025.
  • 2Net income attributable to Baker Hughes Company more than doubled to $930 million, driven by significant gains from business dispositions and improved segment performance.
  • 3The Industrial & Energy Technology (IET) segment revenue grew 14% to $3.35 billion, supported by strong performance in Gas Technology.
  • 4The Oilfield Services & Equipment (OFSE) segment revenue decreased 7% to $3.24 billion, impacted by a business disposition and Middle East disruptions.
  • 5The company successfully raised $6.5 billion in USD-denominated notes and €3.0 billion in Euro-denominated notes to fund the pending acquisition of Chart Industries, Inc.
  • 6Cash and cash equivalents increased significantly to $14.8 billion at the end of the quarter, highlighting strong liquidity.
  • 7The company returned $228 million to shareholders through dividends in the first quarter.

Frequently Asked Questions

The substantial increase in net income to $930 million was primarily driven by significant gains from business dispositions, specifically the sale of the Precision Sensors & Instrumentation business and the formation of a joint venture for the Surface Pressure Control business. Additionally, improved segment EBITDA, particularly in the IET segment, and favorable changes in the fair value of equity securities contributed to the strong bottom-line performance.

Baker Hughes successfully raised significant capital to fund the pending acquisition of Chart Industries, Inc. This included the completion of an offering of $6.5 billion in USD-denominated notes and €3.0 billion in Euro-denominated notes. These proceeds, combined with existing cash and cash equivalents and other financing sources, are intended to cover the cash consideration for the acquisition.

For OFSE, the company expects an improvement in global upstream spending outside of the Middle East, partially offset by near-term weakness in Middle East activity. For IET, Baker Hughes anticipates sustained strength in LNG and gas infrastructure, along with increasing opportunities in industrial and distributed power markets, including data centers, and continued growth in new energy solutions.

Baker Hughes's liquidity position is strong. Cash and cash equivalents increased significantly from $3.7 billion at December 31, 2025, to $14.8 billion at March 31, 2026. This increase is largely attributable to the debt financing obtained for the Chart acquisition and proceeds from business dispositions, providing ample resources for operations, strategic initiatives, and shareholder returns.