Baker Hughes Posts Record $10.764 Billion in Third-Quarter Orders
Key Facts
Baker Hughes said orders reached $10.764 billion in the third quarter of 2026, up 31% year over year, while remaining performance obligations totaled $46.4 billion. This included a record $39.4 billion for the Industrial & Energy Technology segment, bolstering the company’s contracted business. Revenue was $8.025 billion, up 14% from the third quarter of 2025 and 19% from the second quarter of 2026. The company attributed the annual revenue increase mainly to its acquisition of Chart. Adjusted EBITDA also rose 14% year over year and 15% quarter over quarter to $1.415 billion.
Revenue growth did not translate into higher net income under generally accepted accounting principles (GAAP): net income attributable to Baker Hughes was $411 million, down 33% from the same period a year earlier. By contrast, adjusted net income rose 2% to $695 million. Adjusted diluted earnings per share were $0.70, compared with $0.68 a year earlier. GAAP diluted earnings per share fell to $0.41 from $0.61. The figures show a divergence between improved adjusted profitability and lower reported net income under GAAP.
The company said growth in adjusted net income and adjusted EBITDA came mainly from the Chart acquisition, improved pricing, higher volumes and cost-reduction initiatives. Partly offsetting these factors were lower productivity gains, a change in business mix and inflation. Baker Hughes acquired Chart on July 16, 2026; the acquired company recorded revenue of $888 million and orders of $831 million from the acquisition date through the quarter’s end on September 30. Chart contributed to the driver Baker Hughes cited for annual revenue growth. The company said the acquisition’s impact coincided with contributions from pricing, volumes and cost reductions to improved adjusted results.
The strongest order momentum came in the Industrial & Energy Technology segment, where orders rose 42% year over year to $5.886 billion. The company attributed the increase to continued strength in climate technology solutions and gas technology equipment and services. Segment revenue was $3.477 billion, up 3% from a year earlier, while EBITDA rose 8% to $685 million. The gap between order and revenue growth reflects strong new business flowing into the segment during the quarter, alongside improved operating earnings. Baker Hughes also said it secured an order to provide 1.1 gigawatts of power generation capacity to a U.S. technology company, including 43 NovaLT and Frame 5 turbine packages to support advanced computing and artificial intelligence infrastructure.
In Oilfield Services & Equipment, revenue was $3.660 billion, up a modest 1% year over year. The company said activity increased in Europe, the Commonwealth of Independent States, sub-Saharan Africa and Latin America. This was offset by declines in the Middle East and Asia, linked to the divestiture of its surface pressure control business. Cash flow from operating activities was $1.005 billion, compared with $929 million in the third quarter of 2025. Free cash flow was also $769 million, versus $699 million a year earlier. These cash flows add an indication of improved cash generation during the quarter alongside revenue and order growth.
Baker Hughes raised its full-year and “Horizon 2” outlook for Industrial & Energy Technology orders to more than $50 billion. The company said broad demand from data centers, aerospace, liquefied natural gas and gas infrastructure, together with ongoing capacity expansions, supports the segment’s long-term outlook. Management will discuss the results and outlook on a call scheduled for October 28, 2026, at 9:30 a.m. U.S. Eastern time. The company’s shares closed at $56.01 on October 26, 2026. The company’s orders, accumulated obligations and updated outlook are central to what it will present to investors during the call.