Key facts
- GE Vernova raised its 2026 revenue forecast to $45.5 billion-$46.5 billion.
- The company increased its 2026 free cash flow forecast to $11.5 billion-$12.5 billion.
- Second-quarter orders totaled $24.2 billion, up from $12.4 billion a year ago.
- The power unit's profit rose 31.3% to $1.03 billion.
- Electrification unit profit increased to $671 million from $314 million.
- GE Vernova anticipates $100 million to $200 million in increased costs due to tariffs in 2026.
GE Vernova raised its annual revenue forecast for 2026 for the second consecutive quarter, driven by strong demand and rising orders in its power division. The company now expects revenues between $45.5 billion and $46.5 billion, surpassing its previous outlook and analyst estimates. This upward revision reflects anticipated growth in U.S. power consumption, projected to increase in 2026 and 2027 due to data center expansion and electrification efforts.
CEO Scott Strazik stated the company aims to have at least 125 gigawatts of gas equipment under contract by the end of 2026 and is on track to reach an annual gas turbine output of 20 GW in the third quarter of 2026, increasing to 24 GW by 2028. The company also enhanced its annual free cash flow forecast to $11.5 billion-$12.5 billion, a significant increase from its prior range of $6.5 billion-$7.5 billion.
Financially, the electrification unit reported a core profit of $671 million, more than doubling from $314 million a year prior. The power unit saw its profit climb to $1.03 billion, marking a nearly 31.3% rise. Orders in the second quarter surged to $24.2 billion, compared to $12.4 billion in the same period last year.
Despite the positive outlook, GE Vernova anticipates global tariffs will increase its costs by approximately $100 million to $200 million in 2026, though it has factored in contract protections and cost recovery efforts.