BW-PA · Babcock & Wilcox Enterprises, Inc.

Babcock & Wilcox Enterprises delivered a robust start to 2026 with first quarter revenue surging 44% to $214.4 million, primarily fueled by over $60.0 million in large project volume, including the ongoing Base Electron project. Adjusted EBITDA expanded dramatically by 296% to $16.1 million, surpassing both company and consensus expectations, driven by strong core parts and services demand from consumers, industrials, and emerging AI data center customers requiring coal baseload generation. Despite a GAAP net loss of $79.6 million, this was largely attributable to $81.8 million in non-cash charges from warrant valuations and stock-related costs tied to improved common stock performance; excluding these, adjusted net income reached $2.2 million, a significant turnaround from the prior year's adjusted net loss. Operating loss narrowed slightly to $1.7 million. Balance sheet strength improved markedly, with secured debt and bonds reduced by 87% through $15.0 million bond payoffs, yielding net debt of $42.4 million—below 1.0x trailing twelve-month adjusted EBITDA. Bookings exploded to $2.5 billion, backlog to $2.7 billion, and the global pipeline grew 17% to over $14.0 billion, reflecting surging demand for B&W's power generation technologies amid AI data center power needs and collaborations like Base Electron, where boiler manufacturing progresses on schedule. Management, led by Chairman and CEO Kenneth Young, highlighted strong interest from hyperscalers and reiterated full-year adjusted EBITDA guidance of $80.0-$100.0 million, underscoring confidence in converting pipeline opportunities into sustained growth while actively managing debt and market headwinds like inflation and supply chain issues.