Executive Summary

Revenue beat with double-digit growth; EPS mixed: Q3 revenue $9.97B (+12% YoY) vs S&P consensus ~$9.16B (beat), while S&P “Primary EPS” ~$1.42 missed the ~$1.74 consensus; company GAAP diluted EPS was $1.64. Adjusted EBITDA increased to $811M with 8.1% margin . S&P Global estimates and actuals marked with * below.
Orders strength and backlog expansion continue to underpin multi-year visibility: Q3 orders $14.6B (+55% organically) and total backlog rose to ~$135B; equipment backlog $54B and services backlog ~$81B .
Electrification momentum and Power price/mix remain key positives; Wind improved losses but topline softer. Electrification revenue +35% YoY with 15.1% margin; Power margin 13.3% in a seasonally lighter quarter; Wind margin improved to -2.3% .
Guidance reaffirmed at the consolidated level, with upward tweaks to Electrification and a more cautious Wind outlook; Dec 9 investor event to provide 2026 and updated 2028 outlook; Prolec GE acquisition (remaining 50% for $5.275B) positioned as margin-accretive, enhancing North America transformer scale .
Potential stock catalysts: durable book-to-bill (~1.5x), grid and gas power pricing/margins, hyperscaler/data center electrification orders, and Prolec integration synergies; watch tariff headwind trending to the low end and any wind execution inflections .

What Went Well and What Went Wrong

What Went Well
- Robust demand and backlog expansion: orders $14.6B (+55% organically) with backlog up ~$6.6B sequentially; equipment backlog $54B; services backlog ~$81B .
- Segment execution: Electrification revenue +35% with 15.1% margin (+470 bps), driven by HVDC, switchgear, and battery storage; Power margin 13.3% (+140 bps) on higher pricing and productivity .
- Hyperscaler/data center traction: ~$400M electrification orders in Q3; ~$900M YTD vs $600M in all of 2024; AI/automation initiatives starting to drive engineering productivity and bidding accuracy .
What Went Wrong
- EPS/EBITDA vs consensus mixed: S&P Primary EPS actual ~1.42 missed ~1.74 consensus; S&P EBITDA actual ~$785M vs ~$806M consensus (company-reported Adj. EBITDA $811M, definition differences) [GetEstimates*].
- Wind softness: revenue -8% YoY; FY25 wind organic revenue now expected down high-single digits (worse than mid-single digits prior) with ~$(400)M EBITDA losses (worse end of prior $(200)-$(400)M) as onshore U.S. orders remain soft and tariffs weigh .
- FCF lower YoY in Q3: $732M vs $968M prior year due to lower working capital tailwinds and higher capex, despite stronger adjusted EBITDA .

Financial Results

Metric	Q3 2024	Q1 2025	Q2 2025	Q3 2025
Revenue ($)	$8,913M	$8,032M	$9,111M	$9,969M
Diluted EPS ($)	$(0.35)	$0.91	$1.86	$1.64
Adjusted EBITDA ($)	$243M	$457M	$770M	$811M
Adjusted EBITDA Margin (%)	2.7%	5.7%	8.5%	8.1%
Net Income ($)	$(99)M	$264M	$492M	$453M
Net Income Margin (%)	(1.1)%	3.3%	5.4%	4.5%
Cash from Ops ($)	$1,127M	$1,161M	$367M	$980M
Free Cash Flow ($)	$968M	$975M	$194M	$732M

Actual vs S&P Global Consensus (Q3 2025)

Metric	Consensus	Actual	Surprise
Revenue ($)	$9,164.7M*	$9,969.0M*	+8.8%*
Primary EPS ($)	$1.7417*	$1.4184*	-18.6%*
EBITDA ($)	$806.3M*	$785.0M*	-2.6%*

Notes: S&P Global “Primary EPS” and “EBITDA” definitions differ from company GAAP diluted EPS and company Adjusted EBITDA (company Q3 Adjusted EBITDA $811M) . Values retrieved from S&P Global.*

Segment Performance (Q3 2025 vs Q2 2025 vs Q3 2024)

Segment	Metric	Q3 2024	Q2 2025	Q3 2025
Power	Orders ($)	$5,202M	$7,088M	$7,807M
	Revenue ($)	$4,206M	$4,758M	$4,838M
	Segment EBITDA ($)	$499M	$778M	$645M
	Segment EBITDA Margin (%)	11.9%	16.4%	13.3%
Wind	Orders ($)	$1,747M	$2,063M	$1,833M
	Revenue ($)	$2,891M	$2,245M	$2,647M
	Segment EBITDA ($)	$(317)M	$(165)M	$(61)M
	Segment EBITDA Margin (%)	(11.0)%	(7.3)%	(2.3)%
Electrification	Orders ($)	$2,510M	$3,338M	$5,110M
	Revenue ($)	$1,928M	$2,201M	$2,601M
	Segment EBITDA ($)	$201M	$322M	$393M
	Segment EBITDA Margin (%)	10.4%	14.6%	15.1%

Select KPIs (Q3 2025)

KPI	Q3 2025
Total Orders ($)	$14.6B
Total Backlog ($)	~$135B
Equipment Backlog ($)	$54B
Services Backlog ($)	~$81B
Cash Balance ($)	$7.9B
Share Repurchases	~$0.7B in Q3; $2.4B YTD
Dividend	$0.25/share declared for Q4, payable Nov 17

Guidance Changes

Metric	Period	Previous Guidance (as of Q2’25)	Current Guidance (Q3’25)	Change
Revenue	FY 2025	Trend to high end of $36–$37B	Trend to high end of $36–$37B	Maintained
Adjusted EBITDA Margin	FY 2025	8%–9% (raised low end in Q2)	8%–9%	Maintained
Free Cash Flow	FY 2025	$3.0–$3.5B (up from $2.0–$2.5B)	$3.0–$3.5B	Maintained
Power – Organic Revenue	FY 2025	6%–7% (up from mid-single digits)	6%–7%	Maintained
Power – Segment EBITDA Margin	FY 2025	14%–15% (up from 13%–14%)	14%–15%	Maintained
Wind – Organic Revenue	FY 2025	Down mid-single digits	Down high-single digits	Lowered
Wind – Segment EBITDA	FY 2025	$(200)–$(400)M, trending better end	~$(400)M, trending to bottom	Lowered
Electrification – Organic Revenue	FY 2025	~20% (up from mid-to-high teens)	Trending towards 25%	Raised
Electrification – Segment EBITDA Margin	FY 2025	13%–15% (up from 11%–13%)	14%–15% (raised lower end)	Raised

Earnings Call Themes & Trends

Topic	Previous Mentions (Q1 & Q2)	Current Period (Q3)	Trend
Data center/hyperscaler demand	Electrification growth across regions; capacity expansions; strong grid demand	~$400M Q3 hyperscaler orders; ~$900M YTD vs $600M in 2024; “power-to-rack” solutions focus	Accelerating
Gas Power demand, price/mix	Backlog + slot reservations 50→55 GW (Q2); 20 HD GTs incl. 7 HA; pricing positive	Backlog + slots 55→62 GW; 12 GW signed in Q3; 20 HD GTs incl. 13 HA; price/margin higher in slots; slot reservations non-refundable deposits	Stronger visibility, supportive pricing
Electrification (HVDC/switchgear)	HVDC, switchgear, transformer growth; +23% revenue; +740 bps margin	+35% revenue; 15.1% margin; $1.6B synchronous condensers in Saudi; backlog ~$26B	Outperforming, backlog compounding
Wind trajectory	Q1: Onshore margin improvement; Offshore losses; investment in fleet	Revenue -8% YoY; losses improved; FY guide lowered on onshore softness and tariffs	Mixed: margin better; topline softer
Tariffs/macro	FY25 tariff headwind trending to low end $300–$400M net (Q2)	Reaffirmed trending to low end; relatively similar across last 3 quarters	Manageable
Capacity & supply chain	Ramping capacity; capex through 2028; linearity focus	On track to 20 GW gas annualized by Q3’26; capex peak 2026; suppliers keeping pace	Executing
AI/automation	—	Using AI for engineering productivity, bidding, verification; physical automation initiatives	Early but growing impact
Nuclear/SMR	Ontario SMR FID at OPG (Q2)	Alliance with Samsung to advance BWRX‑300 outside North America	Expanding partnerships

Management Commentary

“Our growth trajectory is accelerating… Gas Power equipment backlog and slot reservation agreements increased from 55 to 62 gigawatts sequentially, and our Electrification equipment backlog increased $6.5 billion YTD, to approximately $26 billion.” — CEO Scott Strazik .
“We’re reaffirming our 2025 financial guidance… and we look forward to providing our 2026 financial guidance and updated outlook by 2028 at our investor event on December 9.” — CFO Ken Parks .
On Prolec GE: “Immediately accretive to EBITDA before synergies… expect $60–$120M annualized cost synergies by 2028; revenue synergies over time.” — Management .
On AI/automation: “Our investments in artificial intelligence are gaining real traction as we gain engineering productivity… using AI in our bidding activity… physical automation is gaining traction.” — CEO .

Q&A Highlights

Prolec GE visibility/synergies: Management cited ~$4B current backlog, framework agreements with utilities, rising data center mix (10%→~20%), and $60–$120M cost synergies by 2028; revenue synergies not embedded in the base case .
Gas turbine pricing/mix and slot reservations: Pricing remains robust; Q3 had more smaller aero units (mix effect). Slot reservations backed by non‑refundable deposits; classification conservative until EPC, gas, permits progress .
Margin trajectory vs prior cycle: Management sees no structural reason Power cannot meet/exceed prior peak margins given larger installed base and pricing; more detail Dec 9 .
Capacity expansion cadence: Targeting 20 GW gas run-rate by H2’26; evaluating additions as bookings fill out later vintages; capex peak seen in 2026 .
Modular/behind‑the‑meter power: Aero and smaller units fill near‑term reliability needs; over time, heavy‑duty gas wins on economics; aero expected to replace diesel gensets for backup .

Estimates Context

Q3 revenue beat: $9.97B actual vs ~$9.16B S&P consensus; Primary EPS miss: ~$1.42 actual vs ~$1.74 consensus; S&P EBITDA slight miss: ~$785M vs ~$806M consensus. Company-reported GAAP diluted EPS $1.64; Adjusted EBITDA $811M (definitions differ from S&P). Values retrieved from S&P Global.* [GetEstimates*]
Implications: Upward revisions likely in Electrification and Power revenue/margins given orders/backlog and pricing; Wind estimates may drift lower on FY25 organic revenue reset to down high‑single digits and losses toward the bottom of guidance .

Key Takeaways for Investors

Narrative remains demand-led with improving quality of backlog; book-to-bill ~1.5x and backlog growth provide multi‑year revenue/margin visibility across Power and Electrification .
Revenue outperformance vs consensus contrasts with EPS/EBITDA definition-driven misses; focus on margin cadence into Q4 and 2026 as higher‑price backlog converts [GetEstimates*].
Electrification is a structural growth engine (HVDC, switchgear, synchronous condensers, data centers), with margins inflecting to mid‑teens; FY25 guide raised for both growth and margins .
Wind is improving on losses but remains a drag near‑term; FY25 outlook reset lower on revenue and losses—watch onshore U.S. order timing and tariff impacts .
Prolec GE acquisition adds scale and margin-accretive transformers in North America; integration synergies and revenue bundling with switchgear/circuit breakers can be an upside lever post‑close .
Tariff headwinds trending to low end of $300–$400M net; management investing in AI/automation and capacity; cash returns ongoing with buybacks and dividend supported by ~$8B cash .
Near-term catalyst: Dec 9 investor event (2026 guidance, updated path to 2028); trading setup favors names with visible pricing/margin expansion in grid and gas power.

Other Relevant Press Releases (Q3 2025)

Verizon Business collaborates with GE Vernova to deliver utility-grade managed wireless for grid modernization via MDS Orbit on Verizon’s network, enhancing secure SCADA/automation communications .

Citations:

Q3 2025 8-K/press release and exhibits
Q3 2025 earnings call transcript –
Q2 2025 8-K/press release –
Q1 2025 8-K/press release –
Verizon collaboration press release
S&P Global consensus and actuals for Q3 2025 (Primary EPS, Revenue, EBITDA): Values retrieved from S&P Global.*

GE Vernova Inc. (GEV)·Q3 2025 Earnings Summary