Babcock & Wilcox Enterprises, Inc. Q2 FY26 Results

During the second quarter of 2026, we delivered strong operating results while displaying continued core business momentum, as second quarter revenue, net income and Adjusted EBITDA exceeded Company and consensus street expectations. The growing need for reliable electricity from AI data centers, utilities, industrial customers and expanding economies is accelerating investment in power generation capacity, driving strong demand for our core parts and services, environmental technologies as well as coal and natural gas-fired generation solutions. We continue active discussions on other AI data center opportunities and have placed additional orders with Siemens Energy to secure and deliver an additional 1 gigawatt of steam turbines in the next 12 to 15 months to secure speed to markets. This increase in global energy demand positions us for sustained success across our higher-margin Global Parts and Services business and provides B&W with a strong outlook for the second half of 2026 and beyond. Continued execution of our strategic objectives is delivering results, positioning B&W to capitalize on strong global demand for baseload generation and behind-the-meter data center projects. Additionally, our first data center project with Base Electron is progressing ahead of expectations and on budget, and manufacturing of the boilers and steam turbines and other long-lead-time components are progressing quickly. The permitting process is underway as we work to provide our proven natural gas-fired boilers and related technologies, alongside Siemens Energy steam turbine systems. This progression with Base Electron further demonstrates our ability to rapidly deploy power solutions, which is a key differentiator that enhances our competitive position in pursuing other data center opportunities. During the second quarter of 2026, our strong financial results included meaningful growth in net income as well as robust development of our bookings and backlog. As our business expands, we continue hiring in our engineering, business and project development organizations as well as increasing availability of qualified skilled welders and electricians. We are continuing to experience positive momentum at B&W, as we continue to convert our global pipeline of identified project opportunities. In July, we announced that our Board of Directors authorized a share repurchase program of up to $50 million, which reflects confidence in our balance sheet and our strategic approach to building shareholder value. In addition, we have raised the upper end of our 2026 Adjusted EBITDA target range to $80.0 million to $105.0 million, reflecting the continued momentum across our business and confidence in additional opportunities ahead. We remain intently focused on our strategic vision and remain optimistic that we will continue to execute on our existing pipeline while maintaining viability for future expansion as we move forward.