GE Vernova raises 2026 outlook again and doubles its buyback authorization to $20bn

GE Vernova raised its 2026 guidance in its third-quarter results release, which its newsroom published at 5:05 AM ET (10:05 CET) on 28 October 2026. It now expects revenue of $46.5bn to $47.5bn, against $45.5bn to $46.5bn before, an adjusted EBITDA margin (non-GAAP) of 13.5% to 14.5%, previously 12% to 14%, and free cash flow (non-GAAP) of $16bn to $17bn, up from $11.5bn to $12.5bn. By Polstob's calculation, the free-cash-flow midpoint rises by $4.5bn. Its January, April and July results releases had also raised the 2026 revenue and free-cash-flow ranges, so each of its four results releases this year has raised them. The company gives no EPS guidance.

Third-quarter revenue rose 27% to $12,642m ($12.6bn), or 18% organically (non-GAAP), and orders grew 96% organically to $29.3bn. Backlog rose $20bn in the quarter to $197bn. GAAP diluted EPS reached $4.81, against $1.64 a year earlier, and net income $1,289m, against $453m. Adjusted EBITDA (non-GAAP) was $1,943m, a 15.4% margin, against 8.1%.

That EPS figure is above the $4.03 consensus from seven estimates on Nasdaq.com, Polstob's comparison. Nasdaq.com does not state the estimates' basis, and its reported EPS can differ from GAAP ($1.98 against $17.44 for the March quarter), so the comparison may not be like-for-like. The company reports no adjusted EPS. The GAAP number includes non-operating items, which Polstob has not analysed.

Power orders climbed 178% organically to $21.8bn. Electrification orders fell 9% organically to $5.4bn, which the company put down to large synchronous condenser orders in the year-earlier quarter, while its revenue rose 51% to $3.9bn including the Prolec GE acquisition, or 16% organically (non-GAAP). Wind posted segment EBITDA of $72m, against a $61m loss a year earlier, on revenue up 4% to $2.7bn. Over nine months, though, Wind has lost $585m at the segment EBITDA level, and the company now expects a 2026 Wind loss of $400m to $500m, against about $400m before. Chief executive Scott Strazik said he expects backlog to pass $200bn in the fourth quarter.

In October the board lifted the buyback authorization to $20bn from $10bn, with $10.1bn left to use. GE Vernova repurchased about 1.7m shares for $1.6bn in the third quarter and about 1.4m for $1.3bn between 1 and 23 October, and it paid a $0.50 quarterly dividend. Free cash flow (non-GAAP) was $5,409m, against $732m a year earlier, and cash stood at $16.8bn. The company also paid about $350m in the quarter under agreements to shift some retiree benefit liabilities to an insurer, and it expects its $9.0bn purchase of Trench Group to close in late 2027.

GE Vernova shares were up 1.95% at $912.51 in pre-market trading as of 7:51 AM ET (12:51 CET) on 28 October, according to Nasdaq.com, after closing up 4.67% at $895.08 on 27 October; those prices were still changing. In a report published on 28 October, Investing.com attributed a gain before the open to results above analysts' expectations and the raised full-year guidance.