Babcock & Wilcox Enterprises, Inc.

Third-quarter 2026 consolidated revenue was $290.8 million, up 109% from Q3 2025. Operating income was $13.8 million, up $10.4 million year over year; net income was $93.9 million, up $58.8 million; and adjusted EBITDA was $17.7 million, up $8.3 million. Bookings were $228 million, up 112% year over year, and backlog was $2.5 billion, up 571% year over year. Management reaffirmed full-year 2026 adjusted EBITDA of $80 million to $105 million and said full-year 2027 adjusted EBITDA is targeted at $125 million to $140 million. Balance-sheet items called out on the call included total debt of $166.4 million, cash/cash equivalents/restricted cash of $128.9 million, repurchase of the remaining $61.8 million in December 2026 bonds, and $38 million of common stock repurchased in the quarter.

Kenny Young framed the quarter as evidence that B&W is benefiting from rising demand for reliable baseload power, especially in utility, industrial and selected data-center markets. He highlighted record parts-and-services bookings, a growing pipeline, progress on the North Dakota project and BrightLoop commercialization, and said the company is seeing renewed coal-related opportunities in the U.S. and abroad. His tone was upbeat but measured, with repeated emphasis on pipeline conversion, near-term bookings and long-term growth optionality.

Cameron Frymyer focused on the financial improvement and balance-sheet cleanup. He cited revenue of $290.8 million, operating income of $13.8 million, net income of $93.9 million and adjusted EBITDA of $17.7 million, and said margins were affected by product mix and increased construction revenue recognition tied to a labor-availability issue on one project that should be completed by year-end. He also highlighted total debt of $166.4 million, cash of $128.9 million, repayment of the remaining $61.8 million of December 2026 bonds, and $38 million of share repurchases, while saying Q4 should see a decent amount of cash flow as receivables convert.

Analysts pressed on the North Dakota project timeline, 2027 guidance visibility, free cash flow, the non-data-center pipeline, labor constraints, buybacks, parts demand and BrightLoop. Management said North Dakota remains on track, with permitting largely complete, site work expected in early 2027 and construction ramping through the following years; it also said 2027 guidance is intentionally conservative and could have upside if several large bookings close in Q4 or early 2027. On cash flow, the company said Q3 receivables were the main driver of the working-capital use and should convert in Q4, while on labor it described a nationwide tight market but said it has taken contractual and workforce steps to mitigate risk.