Baker Hughes Posts Record Backlog as LNG and Power Orders Lift 2025 Results

Baker Hughes reported fourth-quarter and full-year 2025 results showing dependable top-line show but improving currency procreation and stronger long-cycle visibility, driven chiefly by its Industrial & Energy Technology (IET) segment. The institution posted fourth-quarter gross of $7.4 billion, fundamentally level twelvemonth implicit year, portion fourth-quarter orders totaled $7.9 billion, including $4.0 cardinal of IET orders. For the year, gross was $27.7 billion, besides level twelvemonth implicit year, portion full orders roseate to $29.6 billion, supported by a grounds $14.9 cardinal successful IET bookings.

The cardinal improvement for investors was a step-up successful backlog and currency durability. Baker Hughes ended 2025 with grounds remaining show obligations (RPO) of $35.9 billion, including grounds IET RPO of $32.4 billion—an indicator that the company’s turbine, compression, power, and related services portfolio is securing multi-year task exposure. Management besides highlighted grounds yearly escaped currency travel of $2.7 billion, aided by working-capital ratio and lawsuit down payments, with fourth-quarter escaped currency travel of $1.34 cardinal and operating currency travel of $1.66 billion.

Profitability was mixed connected a GAAP ground but steadier connected an adjusted basis. Fourth-quarter attributable nett income was $876 cardinal versus $1.18 cardinal a twelvemonth earlier, portion adjusted EBITDA accrued 2% twelvemonth implicit twelvemonth to $1.34 billion. For the afloat year, attributable nett income was $2.59 billion, and adjusted EBITDA roseate 5% to a grounds $4.83 billion, reflecting operating leverage and productivity gains successful IET that much than offset softer conditions successful Oilfield Services & Equipment (OFSE).

Operationally, the 4th underscored Baker Hughes’ continued tilt toward state and concern vigor infrastructure, with IET securing aggregate LNG-related awards for liquefaction instrumentality and work extensions tied to U.S. export projects, alongside powerfulness systems wins linked to grid reliability and information center-driven load growth. At the aforesaid time, OFSE faced macro-driven softness that weighed connected gross and margins twelvemonth implicit year, though the institution emphasized disciplined outgo actions and resilience successful profitability contempt little activity.

Looking ahead, Baker Hughes guided for IET orders to stay robust successful 2026 connected continued LNG momentum and an expected stronger twelvemonth for FPSO and state infrastructure awards. Management besides projected mid-single-digit integrated adjusted EBITDA growth, with IET expanding margins toward a 20% people portion OFSE remains comparatively flat. Strategically, the institution framed 2026–2028 arsenic “Horizon Two,” positioning caller portfolio actions arsenic a pathway to a much industrialized, production-oriented premix with reduced cyclicality and much durable currency flow.