Summary
GE Vernova Inc. (GEV) reported strong revenue growth for the second quarter and first half of 2025, driven by increases in all three segments: Power, Wind, and Electrification. Total revenues rose 11% year-over-year for the quarter and 11% for the half-year. The company experienced a significant year-over-year decrease in net income due to the non-recurrence of a large pre-tax gain from the sale of Steam Power nuclear activities in the prior year and a substantial reduction in other income. However, excluding these one-time items, operational performance remained robust, with Adjusted EBITDA showing a healthy increase of 47% for the quarter and 72% for the half-year, indicating improved underlying profitability and operational efficiency. The company's backlog, measured by Remaining Performance Obligation (RPO), also demonstrated significant growth, increasing by 8% from year-end 2024 and 11% year-over-year, reflecting strong demand for its products and services, particularly in the Power and Electrification segments. GE Vernova also generated substantial free cash flow, significantly increasing from the prior year, demonstrating effective cash generation capabilities. The company reaffirmed its financial outlook and continues to execute on its strategic priorities, including managing operational costs and investing in future growth.
Financial Highlights
44 data points| Revenue | $9.11B |
| Cost of Revenue | $7.27B |
| Gross Profit | $1.85B |
| R&D Expenses | $282.00M |
| SG&A Expenses | $1.19B |
| Operating Income | $378.00M |
| Net Income | $514.00M |
| EPS (Basic) | $1.89 |
| EPS (Diluted) | $1.86 |
| Shares Outstanding (Basic) | 272.00M |
| Shares Outstanding (Diluted) | 276.00M |
Key Highlights
- 1Total revenues increased by 11% year-over-year for both the three and six months ended June 30, 2025, driven by growth across all segments.
- 2Net income attributable to GE Vernova decreased significantly year-over-year, largely due to the non-recurrence of a substantial pre-tax gain from a prior-year asset sale and a reduction in other income.
- 3Adjusted EBITDA increased substantially by 47% for the three months and 72% for the six months ended June 30, 2025, compared to the prior year, signaling improved operational performance.
- 4Remaining Performance Obligation (RPO) grew by 11% year-over-year to $128.7 billion as of June 30, 2025, indicating strong future revenue potential.
- 5Free Cash Flow (FCF) saw a significant improvement, reaching $1.2 billion for the six months ended June 30, 2025, compared to $0.2 billion in the prior year.
- 6The company announced a new restructuring plan to reduce general and administrative costs, expecting to incur $250 million to $275 million in costs with projected savings of $250 million.