GE Vernova Inc. (GEV) Q2 FY2026

Business

From the FY2025 Annual Report on Form 10-K, accession 0001996810-26-000015.

GE Vernova is a global electric-power company whose products and services generate, transfer, orchestrate, convert, and store electricity. It is a Delaware corporation headquartered in Cambridge, Massachusetts, occupying roughly 600 sites across 458 cities, and it operates in approximately 100 countries. The company states that its installed base generates approximately 25% of the world's electricity.

The company became independent on April 2, 2024, when General Electric Company, now operating as GE Aerospace, completed the spin-off of GE Vernova by distributing all of the company's common stock to GE shareholders, issuing approximately 274 million shares. GE contributed $515 million of cash and transferred $325 million of restricted cash at separation, leaving GE Vernova with an opening cash balance of approximately $4.2 billion. The two companies remain linked by a Separation and Distribution Agreement, a Transition Services Agreement, a Tax Matters Agreement, and a Trademark License Agreement under which GE Vernova licenses, but does not own, the GE name and logo.

Segments

GE Vernova reports three segments: Power, Electrification, and Wind. The business-unit structure beneath those segments changed on January 1, 2026, so the annual report's business-unit disclosure is on the older structure and does not match the current quarter's. The FY2025 10-K describes:

• Power ($19,767 million of FY2025 segment revenue; $2,902 million segment EBITDA), Gas Power (heavy-duty and aeroderivative gas turbines for utilities, independent power producers, and industrial applications, plus lifecycle maintenance and service); Nuclear Power (boiling water reactor technology, reactor design, fuel and support services, and small modular reactor development through joint ventures with Hitachi); Hydro Power; and Steam Power (steam turbine technologies, primarily for North American nuclear plants and coal-fired plants).
• Electrification ($9,642 million; $1,433 million segment EBITDA), Grid Solutions (HVDC and AC substation solutions, transformers, switchgear, protection and control, automation); Power Conversion & Storage (formed January 1, 2025 by combining the Power Conversion and Solar & Storage Solutions units); and Electrification Software, including the GridOS platform.
• Wind ($9,110 million; segment EBITDA loss of $(598) million), Onshore Wind (workhorse 2.8-127m, 3.6-154m, 6.1-158m and 6.0-164m units); Offshore Wind (Haliade-X 220m); and LM Wind Power (blade design and manufacture).

Eliminations and other were $(451) million, giving FY2025 total revenues of $38,068 million. Corporate and other costs were $(541) million, and Adjusted EBITDA, a non-GAAP measure the company reports, was $3,196 million.

The company also runs a Financial Services business, one entity of which is an SEC-registered investment adviser and another a registered broker-dealer and FINRA member.

How it makes money, and the backlog

Revenue splits between equipment and long-cycle services. Remaining performance obligations (RPO), the company's measure of backlog, totalled $150.2 billion at December 31, 2025 against $119.0 billion a year earlier, an increase of $31.2 billion, or 26%. The Power segment holds the bulk of it: Power RPO was $94,387 million at year-end 2025 ($24,707 million equipment, $69,680 million services), up $21.0 billion or 29% from 2024. Electrification RPO rose $11.2 billion, while Wind RPO fell $1.1 billion.

Services economics rest on a large installed base: approximately 7,000 gas turbines, of which roughly 1,800 are under long-term service agreements with an average remaining contract life of about 10 years. At December 31, 2025 the company had 51 HA-Turbines in RPO, 43 being installed and commissioned, and 126 HA-Turbines in its installed base with approximately 3.6 million operating hours. FY2025 gas turbine orders were 173 units (29.8 GW) against 81 units sold (15.3 GW), an order book running well ahead of shipments.

Long-term service agreements are a significant accounting estimate: the net long-term service agreement balance was $3.4 billion at year-end 2025, representing about 4% of total estimated life-of-contract billings, with contracts on average approximately 29% complete. A one-percentage- point change in total estimated contract profitability would move that balance by $0.2 billion.

R&D, people, and competition

GE Vernova expects to invest approximately $5 billion of cumulative R&D from 2025 through 2028, roughly half aimed at industrializing existing products and supporting the installed base and half at longer-term innovation. Advanced Research operates from Niskayuna, New York and Bangalore, India.

The workforce is approximately 75,000 employees, about 70% of whom specialize in manufacturing, engineering, or services, with over 3,000 in quality or environmental, health and safety roles. Geographically: roughly 24,000 in Europe, 21,000 in the U.S., 19,000 in Asia, and 6,000 in Latin America. A significant number of employees are unionized, and many European employees are represented by works councils.

Named competitors are Siemens Energy, Mitsubishi Power, Westinghouse, Framatome and Rolls-Royce in Power; Vestas, Siemens-Gamesa, Nordex, Envision and Goldwind in Wind; and Hitachi Energy, Siemens Energy, Siemens, Schneider Electric, Mitsubishi Electric and ABB in Electrification.

A note on comparability of the multi-year history

The FY2025 annual report presents three years, but they are not prepared on the same basis. For periods before the April 2, 2024 spin-off, the financial statements are combined statements derived from GE's own consolidated statements and accounting records, carrying GE's historical cost basis for the assets and liabilities that became GE Vernova, GE's historical accounting policies, and allocations of indirect costs for corporate, infrastructure and shared services (finance, supply chain, human resources, IT, insurance, employee benefits) apportioned by direct usage where identifiable and otherwise pro rata on headcount, revenue, or similar measures. The company states plainly that these combined statements "do not purport to reflect what the results of operations, comprehensive income, financial position, or cash flows would have been had the Company operated as a separate, stand-alone entity" in those periods, and that the allocations "may not be indicative of the actual expense that would have been incurred."

In practice this means FY2023 is entirely carve-out, FY2024 is a hybrid, one quarter on the carve-out basis and three quarters as an independent company, and only FY2025 is a clean full year of standalone reporting. Income taxes compound the problem: before the spin-off GE Vernova was included in GE's consolidated returns and its tax provision was estimated on a separate-return basis, so pre-2024 tax figures are constructed rather than filed, and the company cautions that valuation allowances in its own statements may or may not exist on GE's books. Year-over-year comparisons that reach back into 2023 or the first quarter of 2024 should be read with this in mind.

Risk factors

From the FY2025 Annual Report on Form 10-K, accession 0001996810-26-000015. Condensed to the substantive risks; boilerplate omitted.

Operations and supply chain. Product quality failures in software-enabled industrial machinery, gas turbines, wind turbines, grid infrastructure, nuclear equipment, could cause injury, widespread outages, or suspension of operations, and warranty and quality-related costs have represented and may continue to represent a meaningful portion of expenses. The company operates in a supply-constrained environment with shortages of materials and skilled labor, inflation, and logistics disruption; certain inputs are sole-sourced, concentrated, or primarily available from a single country, including semiconductor chips, specialty metals, and rare earths. Separately, capacity expansion may outpace realized demand: because expansion decisions rest on forecasts, orders, slot reservation agreements and deposits, orders may be deferred or canceled and slot reservations may not convert, leaving excess or idle capacity, under-absorbed fixed costs, inventory write-downs, supply-agreement penalties, and long-lived asset impairment.

Managing growth and competition. Cost-savings targets depend on productivity initiatives that may not deliver. Long-term service agreements, especially in Gas Power, depend on estimates of product durability, cost to serve over decades, and technician availability; estimating errors lead to loss contracts and inventory obsolescence. Competition has intensified as new entrants, including Chinese manufacturers, improve quality and pursue export markets, and some competitors are government-sponsored. Commercialization risk is heightened in Nuclear Power, which is constructing small modular reactors: given the nascent industry and higher ramp-up costs, new product introductions could result in losses in the near and long term. Acquisitions, minority investments, joint ventures and consortium arrangements carry integration, governance, legacy- compliance and successor-liability exposure; in joint ventures major decisions often require consensus, and in some projects the company bears joint and several liability for partner performance.

Customers and industry dynamics. Many projects depend on timely grid connection, which is subject to permitting delays, interconnection constraints and curtailment beyond the company's control. Contracts commonly carry warranty, performance, delivery and availability provisions that trigger liquidated damages, the filing cites Wind, where delays in assembling and delivering nacelles have already increased costs and created litigation exposure. Fixed-price contracts commit pricing long before completion, and cost overruns and related penalties "have represented, and may in the future represent, a meaningful portion of our expenses." A newer exposure is contracting with nontraditional counterparties such as hyperscalers and energy-focused government departments, some with limited operating histories or weaker credit, and slot-reservation counterparties who may never place orders equal to their reservation. Investment-grade credit ratings underpin commercial positioning; a downgrade could raise financing costs, constrain bonding capacity, and limit the ability to win contracts.

Energy transition. The company is exposed in both directions. Increased policy support for fossil fuels or rollback of renewable-supportive policy would reduce demand for renewable and decarbonization offerings; conversely, falling renewable costs could reduce demand for new gas turbines and service for unabated gas plants. Reductions or adverse modification of tax incentives and renewable mandates could limit markets, reduce project returns, or force project abandonment. Power segment demand also tracks oil and gas policy, prices, and regional supply and demand.

Macroeconomic and geopolitical. Operating in roughly 100 countries creates compliance exposure across anti-corruption, trade controls, environmental (including PFAS-related liabilities), employment, human rights, and data protection regimes, with emerging-market enforcement particularly unpredictable. Natural disasters and the physical effects of climate change, public health crises, armed conflict, sanctions and embargoes can disrupt facilities, supply and logistics.

Policy, regulation and legal. Sustainability goals and disclosures create both compliance cost and litigation risk from allegations of inaccurate ESG statements. Trade policy, tariffs, export controls, buy-national and local-content rules, can raise costs and restrict market access. Parts of the business require licenses and permits, notably U.S. nuclear operations regulated by the NRC, where failure to obtain or renew licenses could significantly disrupt the nuclear business. Nuclear operations involve radioactive and hazardous materials, where improper handling could cause contamination and liabilities that contractual protections and insurance may not cover. The company also carries legacy claims from previously owned businesses and liabilities assigned to it in the spin-off, and remains exposed to antitrust, government-contracting, and financial- services regulation.

Technology, cybersecurity, data privacy and IP. The company may fail to secure and defend its intellectual property, and does not maintain insurance for IP claims. Because it does not own the GE trademark, termination of the Trademark License Agreement would force a corporate name change and global rebranding. Software embedded in products operates inside customer IT environments, and cybersecurity threats extend across a large supplier base and through arrangements with GE during the post-spin transition period.

Employee matters. Talent competition and succession risk; offshore wind installation, operation and maintenance roles are difficult, labor-intensive and dependent on scarce highly-skilled labor, and the company discloses that it has experienced serious safety incidents including injury and death. Postretirement obligations, pension, healthcare and life insurance, including legacy former employees allocated by GE, are sensitive to discount rates and asset returns.

Financial, accounting and tax. Currency volatility, goodwill and long-lived asset impairment, and limits on utilizing deferred tax assets. Spin-off-specific tax risk is material: the separation may not qualify as tax-free, and under the Tax Matters Agreement the company may have to indemnify GE for taxes, interest and penalties if tax-free treatment fails because of its actions or certain ownership changes. The same agreement restricts acquisitions, mergers, dispositions, stock issuances, and discontinuing the active conduct of the Gas Power business.

Common stock. Management notes that because GE Vernova manufactures and sells products used in AI infrastructure, its share price is frequently linked to AI investment trends and sector sentiment, which has resulted in significant volatility. A classified board through 2029, Section 203 of the DGCL, Separation and Distribution Agreement change-of-control restrictions, and exclusive-forum provisions may deter transactions and limit stockholder remedies.

Management's discussion and analysis, fiscal year 2025

From the FY2025 Annual Report on Form 10-K, accession 0001996810-26-000015.

Headline results. FY2025 total revenues were $38,068 million, up $3.1 billion. Total RPO was $150.2 billion, against $119.0 billion a year earlier. Net income was $4,879 million, a 12.8% margin, versus $1,559 million and 4.5% in FY2024. Operating income rose approximately $0.9 billion to $1.4 billion. Adjusted EBITDA was $3,196 million (8.4% margin), up $1.2 billion. Cash from operating activities was $5.0 billion versus $2.6 billion, and free cash flow was $3.7 billion versus $1.7 billion.

Read the earnings increase carefully: it is mostly tax, not operations. Income before income taxes was $2,828 million in FY2025 against $2,498 million in FY2024, an increase of $330 million. Net income rose $3,320 million. The gap is the income tax line, which swung from a $939 million provision to a $2,051 million benefit, an effective tax rate of (72.5)%. That benefit arose primarily from a decrease in valuation allowances following a change in judgment about the realizability of a significant portion of U.S. federal and state deferred tax assets: valuation allowances fell $3,604 million during 2025, and the effective-rate reconciliation attributes $(2,600) million, or (91.9) percentage points, to the change in valuation allowance. Management describes it as a $2.9 billion benefit primarily from a U.S. tax valuation allowance release in the fourth quarter of 2025. This is a non-cash, one-time revaluation of deferred tax assets, not an improvement in operating profitability, and it will not repeat.

Pre-tax income grew only modestly for a second reason: the $0.9 billion increase in operating income was largely offset by a $0.6 billion decline in other income (expense), net, driven by the nonrecurrence of a $1.0 billion pre-tax gain on the 2024 sale of a portion of Steam Power's nuclear activities to Electricité de France (EDF).

Where the operating improvement actually came from. The $0.9 billion increase in operating income reflects an $0.8 billion increase in Electrification segment results (volume, favorable price and productivity at Grid Solutions) and a Power increase (favorable price and productivity at Gas Power and Steam Power, partly offset by investment spending at Nuclear Power and Gas Power and inflation), offset by a slight decline at Wind and by higher corporate costs of running a stand-alone public company. Gross profit was $7.5 billion (19.8% margin) against $6.1 billion (17.4%) in 2024 and $4.8 billion (14.5%) in 2023. SG&A was $4.9 billion, or 13.0% of revenues, against 13.3% and 14.6% in the prior two years, rising in absolute terms on the nonrecurrence of a $0.3 billion arbitration refund received in 2024, higher stock-based compensation, labor inflation, and stand-alone public company costs.

Organic revenues rose $3.2 billion, with organic equipment up $2.0 billion, increasing at Electrification and Power and declining at Wind.

Segment detail. Power segment revenues rose $1.9 billion organically on Gas Power equipment (heavy-duty and aeroderivative deliveries, favorable price) and services (parts volume, contractual services); Power segment EBITDA rose $0.4 billion organically. Electrification RPO rose $11.2 billion on demand for AC substation solutions, switchgear and transformers at Grid Solutions and synchronous condensers and energy storage at Power Conversion & Storage; segment revenues rose $2.0 billion organically and segment EBITDA $0.7 billion. Wind revenues fell $0.6 billion organically, the nonrecurrence of $0.5 billion of revenue on a previously canceled project settled in Q3 2024, project delays, fewer nacelles produced, and lower LM Wind Power volume from footprint reduction, partly offset by better Onshore Wind pricing. Wind segment EBITDA rose $0.1 billion organically: lower contract losses of $0.4 billion and improved Onshore Wind pricing against the nonrecurrence of a $0.3 billion gain on that canceled-project settlement.

Tariffs. The total cost impact of global tariffs for full-year 2025 was approximately $250 million after contractual protections and mitigating actions.

Offshore Wind. Cost and execution-timeline pressure continued. On December 22, 2025 the U.S. Department of the Interior announced it was pausing leases for all large-scale offshore wind projects under construction in the United States, directly affecting the Vineyard Wind completion timeline.

Prolec GE. On October 21, 2025 GE Vernova announced it would acquire the remaining 50% of Prolec GE, its unconsolidated transformer joint venture with Xignux, for approximately $5.3 billion at closing, expected to be funded equally between cash and debt.

Goodwill. The fourth-quarter 2025 annual impairment test found each reporting unit's fair value significantly in excess of carrying value, but identified one reporting unit, Wind, carrying $3.3 billion of goodwill, where the excess had declined significantly since the prior year.

Liquidity and capital returns. Cash, cash equivalents and restricted cash were $8.8 billion at December 31, 2025, with total debt excluding finance leases under $0.1 billion, plus a $3.0 billion committed revolving credit facility and a $3.0 billion committed trade finance facility. Fitch upgraded the long-term rating to BBB+ with a Positive outlook on December 18, 2025, and S&P upgraded on December 11, 2025. On December 9, 2025 the board raised the repurchase authorization to $10.0 billion from the $6.0 billion authorized in December 2024; the company repurchased $3.3 billion of stock during 2025 and paid $0.3 billion of dividends. Operating cash flow of $5.0 billion included a $4.1 billion working-capital inflow, driven by $5.2 billion from contract liabilities and current deferred income on down payments and slot reservation agreements at Power, the single largest driver of the cash improvement, and one that reflects order intake rather than earnings. Investing outflows were $(0.8) billion; financing outflows $(3.8) billion.

GE credit support. RPO and other obligations relating to GE credit support were approximately $8 billion at year-end 2025, an over 77% reduction since the spin-off, with approximately $6 billion expected to contractually mature by December 31, 2029.

Current quarter, three and six months ended June 30, 2026

From the Form 10-Q for the quarter ended June 30, 2026, accession 0001996810-26-000148, and the second-quarter 2026 results release furnished on Form 8-K, accession 0001996810-26-000147.

Segment structure as it now stands

Effective January 1, 2026 GE Vernova realigned business units within all three segments, and historical figures in the quarterly report conform to the new structure. The current structure is:

• Power, Gas Power, Nuclear Power, Hydro Power. The former Steam Power business unit was broken up and realigned into Nuclear Power, Hydro Power and Gas Power, and a component of the former Electrification Software unit moved into Gas Power.
• Electrification, Power Transmission, Grid Systems Integration, Grid Automation & Software (the former Grid Solutions unit split into these three), plus Power Conversion & Storage. Part of the former Electrification Software unit went to Grid Automation & Software and part to Gas Power.
• Wind, Onshore Wind and Offshore Wind, with the former LM Wind Power unit combined into Onshore Wind.

The three reportable segments are unchanged.

Results

Second-quarter revenues were $11,104 million, up 22% (12% organically), against $9,111 million a year earlier. Net income attributable to GE Vernova was $668 million, up $154 million from $514 million; including the loss attributable to noncontrolling interests, consolidated net income was $649 million, a 5.8% margin. Diluted EPS was $2.47 against $1.86. Operating income was $0.7 billion, up $0.3 billion. Adjusted EBITDA was $1.2 billion, up $0.5 billion, at an 11.3% margin. RPO reached $176.3 billion at June 30, 2026 against $128.7 billion a year earlier, and was up $26.0 billion from December 31, 2025.

Quarterly orders were $24.2 billion, up 88% organically. Power orders were $16.7 billion (up 134% organically) on Gas Power equipment; Electrification orders were $6.3 billion (up 66% organically), a book-to-bill of roughly 1.7; Wind orders were $1.2 billion, down 40% organically on lower Onshore Wind equipment.

By segment for the quarter: Power revenues of $5.5 billion rose 14% both as reported and organically, with segment EBITDA margin up 240 basis points (320 organically). Electrification revenues of $3.6 billion rose 68% as reported and 29% organically, with segment EBITDA margin up 390 basis points (700 organically), the reported figures include Prolec GE, the organic ones do not. Wind revenues of $2.0 billion fell 10% (11% organically) and segment EBITDA losses widened on lower Onshore Wind equipment volume and higher Offshore Wind project costs.

Gas Power equipment backlog and slot reservation agreements grew from 100 GW to 116 GW during the quarter; the company now anticipates reaching at least 125 GW under contract by year-end 2026. Backlog grew from 44 to 53 GW and slot reservation agreements from 56 to 63 GW, after signing 20 GW of new gas equipment contracts (18 GW of slot reservations and 2 GW of orders), converting 10 GW of existing slot reservations to orders, and shipping 3 GW. Electrification equipment backlog reached $40.6 billion, up $16.6 billion or 69% year over year, of which $5 billion came from Prolec GE. Data center orders exceeded $5 billion year to date, more than double the 2025 full-year total.

The six-month figures are dominated by a one-time gain

Six-month revenues were $20,442 million, up 19%. Six-month net income was $5,398 million, a 26.4% margin, up $4,642 million year over year, with diluted EPS of $19.96 against $2.77.

Almost all of that increase is a non-cash remeasurement, not operations. On February 2, 2026 GE Vernova completed the acquisition of the remaining 50% of Prolec GE from Xignux for cash consideration of approximately $5.3 billion. Because it already held half the joint venture, it remeasured its previously held equity interest to fair value and recognized a pre-tax gain of $3,992 million in Other income (expense), net in the first quarter of 2026. A further $330 million pre-tax gain came from the sale of the Proficy manufacturing software business. Management attributes the six-month net income increase to a $4.6 billion increase in other income (expense), net driven by those two gains, plus a $0.4 billion increase in operating income, less a $0.4 billion increase in income tax provision. Operating income for the six months was $0.8 billion, up $0.4 billion; six-month Adjusted EBITDA was $2.1 billion, up $0.9 billion. Adjusted EBITDA excludes the Prolec remeasurement gain and the Proficy gain, and also adds back a $106 million six-month expense ($35 million in the quarter) from the fair-value step-up of acquired Prolec GE inventory recorded in cost of equipment.

The second quarter itself contains no comparable item: Q2 net income of $649 million rose because operating income rose $0.3 billion, partly offset by a $0.1 billion higher tax provision. The first-half effective tax rate was below the U.S. statutory rate primarily because the Prolec GE acquisition gain was nontaxable; the second-quarter rate was above statutory, on updated purchase-price-allocation estimates and losses providing no tax benefit in certain jurisdictions.

Segment and other drivers for the half year

Six-month organic revenues rose $1.7 billion, with organic equipment up $1.1 billion. Power segment revenues rose $1.1 billion organically on Gas Power heavy-duty and aeroderivative deliveries and favorable pricing plus Gas Power and Nuclear Power services; Power segment EBITDA rose $0.6 billion organically. Electrification revenues rose $1.1 billion organically at Power Transmission, with segment EBITDA up $0.5 billion organically. Wind revenues fell $0.7 billion organically on lower Onshore Wind deliveries, with segment EBITDA down $0.3 billion organically on lower Onshore Wind equipment deliveries, tariffs, and higher Offshore Wind contract losses. Depreciation and amortization rose $0.4 billion across all segments for the half.

Gross profit was $2.4 billion for the quarter and $4.1 billion for the half, against $1.8 billion and $3.3 billion. SG&A rose $0.2 billion for the quarter and $0.3 billion for the half on labor inflation and incremental costs from Prolec GE, partly offset by cost reduction.

Offshore Wind. The federal leasing pause announced December 22, 2025 was lifted on January 27, 2026. During the first quarter of 2026 GE Vernova completed installation of all remaining turbines at Vineyard Wind and moved to commissioning; it is working with the customer to resolve outstanding claims and counterclaims.

Tariffs. The estimated total cost impact of global tariffs is approximately $100–200 million in 2026 after contractual protections and mitigating actions, including pursuing recovery of certain tariffs.

Balance sheet, cash and capital returns

Cash, cash equivalents and restricted cash were $13.1 billion at June 30, 2026, up $4.3 billion in the year. Total debt excluding finance leases was $2.6 billion against under $0.1 billion at December 31, 2025, following the February 4, 2026 issuance of $2.6 billion of senior notes: $0.6 billion of 4.250% notes due 2031, $1.0 billion of 4.875% notes due 2036, and $1.0 billion of 5.500% notes due 2056, with proceeds used for general corporate purposes including financing part of the Prolec GE purchase. The $3.0 billion revolving credit facility and $3.0 billion trade finance facility remain in place; the trade finance facility has not been and is not expected to be used. Fitch's long-term rating is BBB+ with a Positive outlook.

Six-month cash from operating activities was $10.7 billion against $1.5 billion a year earlier, an increase of $9.2 billion. The dominant driver is a $11.8 billion increase from contract liabilities and current deferred income, down payments on orders and slot reservation agreements at Power and down payments at Electrification, against only a $1.0 billion increase in net income adjusted for depreciation, amortization, gains and losses on business interests, and income taxes. Working capital contributed a $11.7 billion inflow, of which $13.7 billion came from contract liabilities and deferred income, offset by inventories of $(1.7) billion and receivables. Offsetting items included $(0.9) billion of higher income taxes paid and a voluntary $(0.5) billion contribution to the GE Energy Pension Plan. This cash generation is therefore substantially customer prepayment against future deliveries rather than converted earnings, and it is worth reading alongside the capacity-expansion and slot-reservation risks the company describes. Six-month free cash flow was $9.9 billion against $1.2 billion.

Six-month investing outflows were $(4.1) billion against $(0.2) billion, driven by $4.9 billion of net cash paid for Prolec GE (net of cash acquired) and $0.4 billion of higher capital and internal-use software spending, partly offset by $0.7 billion of proceeds from selling the remaining interest in China XD Electric Co., Ltd. and $0.6 billion net from the Proficy sale. Financing outflows were $(2.3) billion.

The company repurchased $3.6 billion of stock in the first half, approximately 2.5 million shares for $2.3 billion in the second quarter, and 4.3 million shares year to date through June 30 at an average price of $854, bringing life-of-program repurchases to $7.0 billion against the $10.0 billion authorization. A $0.50 per share quarterly dividend was paid, and a further $0.50 per share declared May 19, 2026 was paid July 14, 2026 to stockholders of record as of June 16, 2026. Total capital returned to shareholders was $3.9 billion year to date, more than the full-year 2025 total.

GE credit support obligations were approximately $7.0 billion at June 30, 2026, an over-80% reduction since separation, with approximately $5 billion expected to mature contractually.

Guidance

GE Vernova raised its 2026 guidance with the second-quarter results: revenue of $45.5–$46.5 billion, up from $44.5–$45.5 billion; free cash flow of $11.5–$12.5 billion, up sharply from $6.5–$7.5 billion; and adjusted EBITDA margin unchanged at 12%–14%. By segment: Power organic revenue growth of 18%–20% (up from 16%–18%) with 17%–19% segment EBITDA margin; Electrification revenue of $14.5–$15.0 billion including approximately $3.1 billion from Prolec GE, with 18%–20% segment EBITDA margin; and Wind organic revenue down low double digits with approximately $400 million of segment EBITDA losses.

On production capacity, management stated it remains on track to deliver 20 GW of annual gas turbine output in the third quarter of 2026, 24 GW in 2028, and is implementing actions to produce 30 GW in 2030. Capital expenditure commitments are $6 billion from 2025 through 2028, including $1 billion from Prolec GE across 2026–2028, alongside the $5 billion R&D commitment over the same period.

Subsequent events

Neither the FY2025 annual report nor the second-quarter 2026 quarterly report contains a subsequent events note. Events disclosed after the June 30, 2026 quarter end are as follows.

Robotech Automation acquisition, closed in July 2026. In the second-quarter results release furnished on Form 8-K, accession 0001996810-26-000147, GE Vernova disclosed that it announced the acquisition of Robotech Automation to accelerate robotics and automation capabilities and that the transaction closed in July, after the quarter end. No purchase price, financing terms, or segment assignment for Robotech Automation is disclosed in the filings.

Chief Financial Officer transition, announced August 25, 2026. Per the Form 8-K filed August 27, 2026, accession 0001996810-26-000153: Kenneth Parks, Chief Financial Officer, will retire on April 2, 2027, serving as strategic advisor to CEO Scott Strazik from January 1, 2027 to that date. Claire McDonough becomes Chief Financial Officer effective January 1, 2027, joining the company as strategic advisor on November 1, 2026. She has been Chief Financial Officer of Rivian Automotive since January 2021.

Filings that contain financial statements

The quarterly results releases are furnished as Exhibit 99 to Form 8-K under Item 2.02. Their format is not uniform. The releases for the first three quarters of a year are not full financial statements: there is no balance sheet. Every release, the fourth-quarter ones included, carries a total company results table (revenues, net income and margin, diluted EPS, cash from operating activities), segment tables (orders, revenues, segment EBITDA and margin; from the fourth quarter of 2024 onward these also carry cost of revenues, SG&A and R&D), and non-GAAP reconciliations to organic revenue, adjusted EBITDA and free cash flow. The fourth-quarter releases additionally carry the three primary statements, a Consolidated and Combined Statement of Income (Loss), Statement of Financial Position and Statement of Cash Flows, each unaudited.

• Accession 0001996810-26-000147 (Form 8-K filed July 22, 2026), second quarter and first six months of 2026. Three months and six months ended June 30, 2026 with 2025 comparatives.
• Accession 0001996810-26-000063 (Form 8-K filed April 22, 2026), first quarter of 2026, three months ended March 31, 2026 with 2025 comparative.
• Accession 0001996810-26-000012 (Form 8-K filed January 28, 2026), fourth quarter and full year 2025, three months and twelve months ended December 31, 2025 with 2024 comparatives. This one also holds the three primary statements, including a statement of financial position at December 31, 2025 and 2024 showing total assets of $63,016 million against $51,485 million.
• Accession 0001996810-25-000159 (Form 8-K filed October 22, 2025), third quarter and first nine months of 2025.

One figure to trace carefully. The Form 10-Q for the quarter ended June 30, 2026 (accession 0001996810-26-000148) presents its Consolidated Statement of Cash Flows for the six months only. Every three-month cash figure for the second quarter of 2026, cash from operating activities of $5,492 million and free cash flow of $5,107 million, comes from the results release furnished under accession 0001996810-26-000147, not from the quarterly report.

Corporate transactions

Prolec GE, step acquisition of the remaining 50%, closed February 2, 2026. This was not an ordinary purchase. GE Vernova already owned half of Prolec GE, an unconsolidated joint venture with Xignux, and acquired the remaining fifty percent for cash consideration of $5,254 million. Because it held a pre-existing 50% interest, it remeasured that previously held equity interest to fair value on the acquisition date, valued at $4,402 million using the implied total equity value from the transaction price adjusted for an assumed control premium, and recognized a pre-tax gain of $3,992 million in Other income (expense), net in the first quarter of 2026. Total preliminary purchase consideration was therefore $9,656 million against $4,343 million of identifiable net assets acquired, including $4,172 million of intangible assets. The gain is non-cash and non-recurring, and it is the reason first-half 2026 net income of $5,398 million bears no relation to first-half operations. Prolec GE results are consolidated in the Electrification segment from February 2, 2026; a fair-value step-up of acquired inventory added $106 million of cost of equipment in the first half ($35 million in the second quarter). The deal was announced in October 2025 at $5.275 billion and originally expected to close by mid-2026 (accession 0001996810-25-000159); the January 28, 2026 release confirmed regulatory approvals and a February 2, 2026 closing date (accession 0001996810-26-000012); closing was confirmed in the first-quarter release (accession 0001996810-26-000063), and the acquisition accounting appears in the Form 10-Q, accession 0001996810-26-000148. No dedicated Form 8-K was filed for either the signing or the closing.

Proficy divestiture, closed in the first quarter of 2026. GE Vernova completed the sale of the Proficy manufacturing software business, part of its Grid Automation & Software business, to TPG. Net cash proceeds were $598 million and the pre-tax gain was $330 million ($210 million after tax), recorded in Other income (expense), net. The agreement was announced in October 2025 at $0.6 billion with closing expected in the first half of 2026 (accession 0001996810-25-000159); the closing is reported in the first-quarter 2026 release (accession 0001996810-26-000063) and in the Form 10-Q, accession 0001996810-26-000148.

Robotech Automation, closed in July 2026, no price disclosed. The second-quarter 2026 results release states that GE Vernova announced the acquisition of Robotech Automation, to accelerate robotics and automation capabilities, and that the transaction closed in July (accession 0001996810-26-000147). This is the only disclosure of the transaction in the company's filings: no dedicated Form 8-K was filed, and the Form 10-Q for the quarter ended June 30, 2026 does not mention it. Purchase price, financing and segment assignment are not disclosed. Because it closed after June 30, 2026, it contributes nothing to the reported second-quarter results.

Other portfolio activity. In the first quarter of 2026 the company also sold Linden VFT LLC, a merchant transmission facility in the Gas Power business, for $138 million of net cash proceeds and a $1 million pre-tax gain, and monetized a 2% stake in China XD Electric Co Ltd. for roughly $0.2 billion of pre-tax proceeds; in the second quarter it monetized its remaining China XD Electric stake for approximately $0.6 billion of pre-tax proceeds (accessions 0001996810-26-000063, 0001996810-26-000147, 0001996810-26-000148). The acquisition of Alteia SAS, an AI capability for the GridOS platform, was completed in the third quarter of 2025 (accession 0001996810-25-000159).

Debt issuance

February 4, 2026, $2.6 billion senior notes offering completed. GE Vernova closed an underwritten public offering of $600 million of 4.250% Senior Notes due 2031, $1.0 billion of 4.875% Senior Notes due 2036 and $1.0 billion of 5.500% Senior Notes due 2056, off a Form S-3 registration statement filed January 29, 2026. The notes are senior unsecured and unsubordinated, issued under a base indenture dated February 4, 2026 with The Bank of New York Mellon as trustee and a first supplemental indenture of the same date, and are redeemable at a make-whole price before their par call dates (January 4, 2031; November 4, 2035; August 4, 2055) and at par thereafter. The underwriting agreement, dated February 2, 2026, was with Citigroup Global Markets, J.P. Morgan Securities and Morgan Stanley & Co. as representatives. Net proceeds are intended for general corporate purposes including financing a portion of the Prolec GE purchase price. Reported in the Form 8-K under accession 0001140361-26-003735 (underwriting agreement, indentures and validity opinion filed as exhibits). This took total debt excluding finance leases from under $0.1 billion at December 31, 2025 to $2.6 billion at June 30, 2026.

Capital returns

• The board raised the share repurchase authorization to $10.0 billion from $6.0 billion on December 9, 2025, and doubled the quarterly dividend to $0.50 per share from $0.25, declared the same day and payable February 2, 2026 (accession 0001996810-26-000012).
• First quarter 2026: approximately 1.8 million shares repurchased for $1.3 billion at an average price of $720 (accession 0001996810-26-000063).
• Second quarter 2026: approximately 2.5 million shares repurchased for $2.3 billion, 4.3 million shares year to date through June 30 at an average price of $854 (accession 0001996810-26-000147).
• The company voluntarily contributed approximately $0.5 billion to the GE Energy Pension Plan in the second quarter of 2026 to reduce future funding requirements and plan premiums (accession 0001996810-26-000147).

Guidance

Guidance has been raised at each of the last three results releases.

• January 28, 2026 (accession 0001996810-26-000012): 2026 revenue raised to $44–$45 billion from $41–$42 billion and free cash flow to $5.0–$5.5 billion from $4.5–$5.0 billion, with adjusted EBITDA margin of 11%–13%, in each case now including Prolec GE. The outlook by 2028 was raised to $56 billion of revenue from $52 billion, 20% adjusted EBITDA margin, and cumulative free cash flow of at least $24 billion from at least $22 billion.
• April 22, 2026 (accession 0001996810-26-000063): 2026 revenue raised to $44.5–$45.5 billion, adjusted EBITDA margin to 12%–14% from 11%–13%, and free cash flow to $6.5–$7.5 billion from $5.0–$5.5 billion.
• July 22, 2026 (accession 0001996810-26-000147): 2026 revenue raised to $45.5–$46.5 billion and free cash flow raised sharply to $11.5–$12.5 billion from $6.5–$7.5 billion; adjusted EBITDA margin guidance held at 12%–14%. Management also stated it expects at least 125 GW of gas equipment under contract by year-end 2026, up from the at-least-110 GW figure given in April.

Management changes

August 25, 2026, Chief Financial Officer transition (accession 0001996810-26-000153). Kenneth Parks will retire as Chief Financial Officer on April 2, 2027, serving as strategic advisor to CEO Scott Strazik from January 1, 2027 until that date. Claire McDonough, 45, becomes Chief Financial Officer effective January 1, 2027 and joins as strategic advisor on November 1, 2026. She has been Chief Financial Officer of Rivian Automotive since January 2021 and previously held roles at J.P. Morgan and Fairway Market, and has served on the AutoZone board since April 2025. Her offer letter provides base salary of $1,000,000, a target annual incentive of 100% of salary (prorated for 2026), a long-term incentive award with a target grant value of $5,225,000 expected in 2027, and make-whole awards for forfeited compensation: a one-time long-term incentive award valued at $14,500,000 (half restricted stock units vesting 33%/33%/34% over three years, half performance share units vesting after three years, both accelerating on a termination without cause) and a $5,000,000 cash sign-on payment repayable in full if she resigns within twelve months. Mr. Parks's resignation agreement provides continued salary and benefits through the retirement date, eligibility for a 2026 annual bonus and a prorated 2027 bonus at target, and forfeiture of unvested equity as of the retirement date. The agreements themselves are to be filed with the Form 10-Q for the quarter ending September 30, 2026.

January 21, 2026, Power segment leadership change (accession 0001996810-26-000004). Mavi Zingoni resigned as Chief Executive Officer, Power Segment effective January 21, 2026 under a mutual exit agreement, remaining as an advisor until leaving the company on June 30, 2026. Eric Gray was appointed Chief Executive Officer, Power Segment effective the same date while continuing as President and Chief Executive Officer, Gas Power.

Shareholder meetings

May 20, 2026 annual meeting (accession 0001996810-26-000115). Stockholders elected Class II directors Matthew Harris, Martina Hund-Mejean and Paula Rosput Reynolds, approved executive compensation on an advisory basis, and ratified Deloitte & Touche LLP as auditor for fiscal 2026. A stockholder proposal requesting a report assessing sustainability goals on a net-present-value and return-on-investment basis was defeated, receiving 2,895,955 votes for against 187,794,281 against.

May 14, 2025 annual meeting (accession 0001996810-25-000115). Class I directors Steve Angel, Arnold Donald and Jesus Malave were elected, executive compensation was approved, stockholders selected an annual frequency for future say-on-pay votes, and Deloitte & Touche LLP was ratified as auditor for fiscal 2025.

Governance

September 5, 2024 (accession 0001996810-24-000078). The Compensation and Human Capital Committee adopted an Executive Change in Control Severance Benefits Policy for U.S. executive officers, providing on a qualifying termination within 24 months of a change in control cash severance of 150% of base salary plus 150% of target bonus (200% for the Chief Executive Officer), a prorated bonus, and full vesting acceleration of assumed time-based equity awards, with performance awards deemed earned at the greater of target or actual performance.

Items not covered by a Current Report

Several corporate actions with real financial consequence were disclosed only inside furnished results releases or the quarterly report, with no dedicated Form 8-K: the signing and the closing of the Prolec GE step acquisition, the Proficy sale, the Robotech Automation acquisition, the China XD Electric and Linden VFT disposals, and the December 9, 2025 increases to the dividend and the repurchase authorization. Readers tracing these to a source filing should go to the results releases and the Form 10-Q cited above rather than looking for a current report.

About this file

GEV annual income statement, balance sheet and cash flow

Taken from the SEC filings and normalized to actual dollars.

• Presentation basis, FY2025. consolidated
• Presentation basis, FY2024. combined for the period through April 1, 2024, when GE Vernova was still part of General Electric, and consolidated from the April 2, 2024 spin-off onward
• Presentation basis, FY2023. combined, carved out of General Electric's consolidated financial statements, using GE's historical cost basis and allocations of indirect costs; GE Vernova was not a stand-alone company in this year and the 10-K states these statements do not purport to show what results would have been had it been one

GEV quarterly income statement, balance sheet and cash flow

Taken from the SEC filings and normalized to actual dollars.

GEV year-to-date income statement and cash flow

Taken from the SEC filings and normalized to actual dollars.

GEV trailing twelve month income statement and cash flow

Derived by AI from the figures the filings report. No filing prints these, so none of them is linked.

Adjustments

Notes

• Every figure comes from one of three filings: GE Vernova's fiscal 2025 Form 10-K (accession 0001996810-26-000015), its Form 10-Q for the quarter ended June 30, 2026 (accession 0001996810-26-000148), and the second-quarter 2026 earnings release furnished as Exhibit 99.1 to the Form 8-K of July 22, 2026 (accession 0001996810-26-000147). Each period names the filing it came from.
• GE Vernova separated from General Electric on April 2, 2024. Fiscal 2023, and fiscal 2024 through April 1, 2024, are presented on a combined basis carved out of GE's consolidated financial statements, GE's historical cost basis for assets and liabilities, GE Vernova's direct costs, and allocations of GE's indirect costs. The 10-K states plainly that those combined statements do not purport to reflect what results of operations, financial position or cash flows would have been had the company operated as a separate, stand-alone entity. Earnings per share for all periods through April 1, 2024 is computed on the 274 million shares issued at the spin-off. Fiscal 2023 is therefore a carve-out year rather than a stand-alone one, and fiscal 2024 is part carve-out, part stand-alone.
• The 10-K's balance sheet presents December 31, 2025 and December 31, 2024 only, so fiscal 2023 carries an income statement and a cash flow statement and no balance sheet. That year's figures are not missing from the record; the filing does not print them.
• The income statement splits revenue and cost between equipment and services and prints no combined cost line, so total_cost_of_revenue is the sum of cost of equipment and cost of services. Gross profit is the figure the statement prints.
• The 10-Q's cash flow statement covers the six months ended June 30, 2026 and the six months ended June 30, 2025 only. The three-month cash flow figures for both June quarters are therefore taken from the second-quarter 2026 earnings release, which prints them for the quarter as well as the half; each quarter records that release's accession alongside the 10-Q as the source of its cash flow figures.
• Free cash flow is GE Vernova's own measure and is not defined by U.S. GAAP: cash from operating activities less gross additions to property, plant, and equipment and internal-use software. Fiscal 2025 ($3,710 million) and fiscal 2024 ($1,701 million) are the amounts the 10-K reconciles; fiscal 2023 is not reconciled in that filing and is computed the same way from the cash flow statement ($1,186 million of operating cash flow less $744 million of additions = $442 million).
• For the three months ended June 30, 2025 the earnings release reports operating cash flow of $367 million, gross capital additions of $172 million and free cash flow of $194 million. The company strikes free cash flow on unrounded amounts, so it sits $1 million below the subtraction of the rounded figures; that quarter accordingly carries operating cash flow and free cash flow as printed, and its capital additions are stated here rather than as a separate line.
• The twelve months ended June 30, 2026 is a derived view, not a reported period: fiscal 2025 plus the six months ended June 30, 2026 less the six months ended June 30, 2025, line by line. Its gross profit is stated as revenue less the summed cost lines. Earnings per share and share counts are deliberately left out of it, because a weighted-average share count cannot be added across periods.
• Six-month net income of $5,398 million is far above the second quarter's $649 million because the first quarter carried two large gains, both in other income (expense): a $3,992 million pre-tax gain on remeasuring GE Vernova's previously held 50% interest in Prolec GE to fair value when it bought the remaining half on February 2, 2026, and a $330 million pre-tax gain on the sale of the Proficy business. The Prolec purchase also accounts for the $4,885 million of cash paid for businesses in the six-month investing line and for the increases in goodwill and intangible assets between December 31, 2025 and June 30, 2026.
• Fiscal 2025's net income of $4,879 million exceeds pre-tax income of $2,828 million because the year carries a net income tax benefit of $2,051 million, driven by a roughly $2.9 billion benefit from releasing a U.S. tax valuation allowance in the fourth quarter. Fiscal 2025 earnings are not comparable with fiscal 2024 or with the current run-rate on that account.
• GE Vernova carried almost no debt until February 4, 2026, when it issued $2,600 million of senior notes maturing in 2031, 2036 and 2056. Long-term borrowings were $2,794 million at June 30, 2026 against $265 million at December 31, 2025; including current maturities, total long-term borrowings were $2,849 million and $289 million respectively. Short-term borrowings, which sit inside all other current liabilities, were $63 million at December 31, 2025 and $60 million at December 31, 2024. Cash, cash equivalents and restricted cash were $13,120 million at June 30, 2026, so the company remains in a large net cash position.
• The 10-Q breaks long-term borrowings of $265 million out as a separate line in its December 31, 2025 column, where the 10-K's balance sheet reports the same amount within all other liabilities. Total liabilities agree at $50,720 million; only the presentation differs.
• Remaining performance obligations are GE Vernova's measure of backlog, contracted revenue on unsatisfied or partially unsatisfied obligations, excluding orders a customer can cancel without penalty. They stood at $176,284 million at June 30, 2026, against $150,238 million at December 31, 2025 and $128,650 million a year earlier.
• Effective January 1, 2026 GE Vernova realigned business units within all three segments, Steam Power was distributed into Nuclear, Hydro and Gas Power, Grid Solutions was split into three units, and LM Wind Power was folded into Onshore Wind. The quarterly segment figures here, including the June 2025 quarter, are on that new structure as the 10-Q restates them; the annual segment figures are on the structure in effect for fiscal 2025. Segment revenues in both cases include sales between segments, which is why they sum above consolidated revenue; the difference is carried as eliminations and other.
• Segment EBITDA and adjusted EBITDA are the performance measures GE Vernova's chief operating decision maker uses. Adjusted EBITDA is not a U.S. GAAP measure; the filings reconcile it to net income by adding back restructuring and other charges, gains and losses on purchases and sales of business interests, separation costs, depreciation and amortization, interest and taxes, and removing non-operating benefit income.
• The income statement's 'Net income (loss) attributable to GE Vernova', the numerator of earnings per share, that is, net income after the share belonging to noncontrolling interests, is carried here as net_income_attributable_to_common_stockholders. The plain net_income line is the consolidated total including noncontrolling interests. GE Vernova has a single class of common stock and no preferred stock.
• Cash figures are cash, cash equivalents and restricted cash, exactly as the statements present them; the filings do not split restricted cash out on the face of the balance sheet.
• No adjustments were needed. GE Vernova reports in U.S. dollars, so no currency translation applies; it has had no stock splits since it began trading in 2024, so per-share figures across these periods are directly comparable; and it files as a domestic issuer with ordinary common stock rather than depositary receipts, so no ratio adjustment applies.

Uncertainties

• Short-term borrowings are not disclosed separately at June 30, 2026, the 10-Q's note on other current liabilities describes their contents without quantifying them, so total debt at that date cannot be stated exactly from the filing. Long-term borrowings including current maturities were $2,849 million, and the short-term piece was $63 million seven months earlier, so the shortfall in the total is small, but it is a genuine gap.
• The filings warn that columns and rows may not add because the printed figures are rounded to millions, and this shows up in a few places: the six months ended June 30, 2025 print gross profit of $3,316 million where the printed revenue and cost lines subtract to $3,315 million, and the second-quarter figures behave the same way by a million. Derived figures here, the summed cost of revenue, the twelve-month view, fiscal 2023 free cash flow, can therefore sit a million dollars away from a figure struck on unrounded amounts.
• Weighted-average share counts are printed in whole millions, so dividing net income attributable to common stockholders by them reproduces the printed earnings per share only to about a cent. The printed per-share figures are the authoritative ones and are what this record carries.
• Segment figures are not comparable across the January 1, 2026 realignment: the annual segment revenues and segment EBITDA in this record are on the pre-2026 business-unit structure, while the quarterly ones are on the new structure. Consolidated totals are unaffected.
• Fiscal 2023, and fiscal 2024 up to April 1, 2024, rest on allocations of General Electric's costs rather than on costs GE Vernova actually bore as a stand-alone company. Comparisons of margin or cash generation between those years and fiscal 2025 or 2026 carry that caveat, which the 10-K itself states.

Company details

Fiscal period

Source filings