GE Vernova (GEV) investor relations material

Executive summary

• Announced acquisition of the remaining 50% of Prolec GE for $5.275 billion, funded equally by cash and debt, expected to close by mid-2026, and immediately accretive to EBITDA and free cash flow before synergies.

• Prolec GE is a leading grid equipment supplier, expected to generate $3 billion in revenue and 25% EBITDA margin in 2025, with significant growth potential.

• Electrification and Power segments delivered strong growth, with significant backlog expansion and margin improvement.

• Achieved Q3 2025 revenue of $10.0 billion, up 12% year-over-year, with net income of $0.5 billion and diluted EPS of $1.64.

• Backlog reached $135.3 billion, driven by robust demand in Power and Electrification.

Financial highlights

• Q3 2025 orders reached $14.6 billion, up 55% year-over-year, with a book-to-bill ratio of 1.5.

• Revenue increased 10–12% year-over-year to $10.0 billion; Electrification up 32–37%, Power up 14–22%.

• Adjusted EBITDA for Q3 2025 was $811 million (8.1% margin), up from $243 million in Q3 2024, with margin expansion of 600 basis points.

• Free cash flow for the quarter was approximately $730 million; year-to-date free cash flow nearly $2 billion.

• Cash and equivalents stood at $7.9 billion as of September 30, 2025.

Outlook and guidance

• 2025 revenue expected at the higher end of $36–$37 billion, adjusted EBITDA margin 8–9%, and free cash flow $3–$3.5 billion.

• Electrification organic revenue growth now expected to trend toward 25% for the year, with EBITDA margin guidance raised to 14–15%.

• Power segment organic revenue growth expected at 6–7% for 2025, with EBITDA margin of 14–15%.

• Wind revenue for 2025 anticipated to be down high single digits organically, with EBITDA losses of ~$400 million.

• Tariff impacts for 2025 are estimated at the lower end of $300–$400 million, with mitigation actions underway.