Babcock & Wilcox Enterprises, Inc., alongside its subsidiaries, delivers extensive solutions for energy production and pollution control to a wide array of ...
Babcock & Wilcox Enterprises, Inc. is a diversified energy and environmental technology company with a rich history dating back to 1867, when partners Stephen Wilcox and George Babcock patented the water-tube boiler. Today, it operates globally with approximately 1,600 employees, delivering innovative solutions across three core segments. The Renewable segment ...Babcock & Wilcox Enterprises, Inc. is a diversified energy and environmental technology company with a rich history dating back to 1867, when partners Stephen Wilcox and George Babcock patented the water-tube boiler. Today, it operates globally with approximately 1,600 employees, delivering innovative solutions across three core segments. The Renewable segment focuses on sustainable technologies including waste-to-energy conversion, biomass power, and solar installations, aiming to reduce landfill waste and fossil fuel dependence. The Environmental segment provides advanced emissions control systems—such as particulate matter filters, nitrogen oxide and sulfur dioxide removal, carbon capture via chemical looping, and mercury abatement—serving utilities, waste-to-energy plants, and industrial steam generation. The Thermal segment supplies critical steam generation equipment, aftermarket parts, and construction, maintenance, and on-site support services for power, oil & gas, refining, petrochemical, and metallurgy industries. With a substantial installed base, B&W's products and services are vital for energy efficiency and environmental compliance. Financially, the company has a market cap of ~$1.06 billion, but has faced challenges, reporting negative net profit margins and operating cash flow in recent TTM periods. Its revenue per share is $5.93, while net income per share is -$0.65. Despite these figures, B&W continues to invest in R&D (0.2% of revenue) and maintains a focus on long-term growth in the clean energy transition. Key leadership includes CEO Kenneth M. Young, who also serves as Chairman, and the company remains committed to helping customers produce cleaner energy while supporting industrial growth worldwide. With a debt-to-equity ratio of 5.31, the company carries significant leverage, but its diverse portfolio and strong brand heritage position it as a key player in the evolving energy landscape.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$587.7M
-18.1%
+49.1%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$-36.2M
+39.6%
+118.5%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+24.5%
-0.8%
-28.0%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+3.9%
+11.5%
+771.7%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
-6.2%
+26.3%
+112.4%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$-85.7M
+34.0%
-325.4%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
-14.6%
+19.5%
-251.2%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
-280.2%
-47.8%
+383.8%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
1.22x
-3.5%
+46.0%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Good afternoon. Thank you for attending the Babcock & Wilcox Enterprises Second Quarter 2026 Conference Call. [Operator Instructions] I would now like to turn the conference over to your host, Sharyn Brooks, B&W's Director of Communications. Thank you. You may proceed, Ms. Brooks.
Sharyn Brooks: Thank you, Crystaline, and thanks to everyone for joining us on Babcock & Wilcox Enterprises Second Quarter 2026 Earnings Conference Call. I'm Sharyn Brooks, Director of Communications. Joining the call today are Kenny Young, B&W's Chairman and Chief Executive Officer, and Cameron Frymyer, Chief Financial Officer, to discuss our second quarter results. During this call, certain statements we make will be forward-looking. These statements are subject to risks and uncertainties, including those set forth in our safe harbor provision for forward-looking statements that can be found at the end of our earnings press release and in our quarterly report on Form 10-Q that was filed with the SEC earlier today. Additionally, except as required by law, we undertake no obligation to update any forward-looking statement. We -- we also provide non-GAAP information regarding certain historical and targeted results to supplement the results provided in accordance with GAAP. This information, which includes a discussion of adjusted EBITDA and adjusted net income, should not be considered superior to or a substitute for the comparable GAAP measures. A reconciliation of historical non-GAAP measures can be found in our second quarter 2026 earnings release published earlier today and in our company overview presentation filed on Form 8-K, which is posted on the Investor Relations section of our website at babcock.com. Please also see our second quarter 2026 earnings release published on August 10, 2026, for further information regarding our bookings and backlog. I will now turn the call over to Kenny.
Kenneth Young: Thanks, Sharyn. Well, good afternoon, everyone, and thanks for joining us on our second quarter 2026 earnings call. We are pleased to report another strong quarter, highlighted by robust financial results and active project development and continued operational momentum in our core business and further strategic debt reduction and stock repurchase. During the second quarter, Babcock & Wilcox continued to benefit from the growing need for reliable electrical generation from all sources of power consumption, including utilities, industrial and data center customers. These tailwinds drove strong operating results during the quarter and led us to raise our full year 2026 adjusted EBITDA target range from $80 million to $105 million. As excited as we are about the increasing opportunities in new utility, industrial and AI and data center power generation project opportunities, we're equally excited about the strong results in our core projects as well as our Parts and Services businesses. These businesses have and continue to be strong cash generators for …
