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Investing.com -- GE Vernova Inc. (NYSE: GEV) reported third-quarter revenue that exceeded analyst expectations, despite missing earnings estimates, as the energy transition company saw robust growth in orders and backlog. Shares rose 1.1% following the announcement.
The company reported third-quarter revenue of $9.97 billion, surpassing the analyst consensus of $9.16 billion, representing a 12% increase compared to the same period last year. However, adjusted earnings per share came in at $1.64, falling short of the $1.86 analyst estimate. GE Vernova reaffirmed its full-year 2025 guidance, expecting revenue to trend toward the higher end of its $36-37 billion range, below the consensus estimate of $37.15 billion.
Orders surged 55% organically to $14.6 billion, driven by strong equipment demand in the Power and Electrification segments. The company’s backlog grew by $6.6 billion sequentially, with Gas Power equipment backlog and slot reservation agreements increasing from 55 to 62 gigawatts.
"GE Vernova delivered another productive quarter with strong financial results. Our growth trajectory is accelerating and the demand environment for our equipment and services remains strong with $16 billion in backlog growth year-to-date," said CEO Scott Strazik.
The Power segment saw a 50% organic increase in orders to $7.8 billion and a 15% revenue increase to $4.8 billion. Wind segment orders rose 4% organically to $1.8 billion, though revenue decreased 8% to $2.6 billion. The Electrification segment posted the strongest growth, with orders more than doubling to $5.1 billion and revenue increasing 35% to $2.6 billion.
The company generated $732 million in free cash flow during the quarter and returned $2.4 billion to shareholders year-to-date through share repurchases and dividends.