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- **Record Q3 EBITDA**: $1.24 billion, beating guidance, with IET orders up 15% YoY to $3.4 billion.
- **LNG Expansion Ambition**: 950 MTPA by 2035, Chart acquisition to close mid-2026 with $325M synergies.
- **Power Gen Surge**: $800M Q3 orders, NovaLT on track for $1.5B+ ahead of schedule, geothermal project to power 180,000 homes.
- **Margin Targets**: IET targeting 20%+ 2026, OFSE closing gap to peers amid soft upstream spending.

**【CEO Summary Section】**
- **Q3 2025 Performance**: Adjusted EBITDA of $1.24 billion, above guidance midpoint, driven by strong IET orders ($4.1 billion) and OFSE execution. Full-year adjusted EBITDA expected to exceed $4.7 billion.
- **IET Momentum**: IET orders up 15% YoY to $3.4 billion, with LNG equipment orders at $800 million. IET RPO reached $32.1 billion, supporting 2026+ visibility.
- **LNG Expansion**: Global LNG capacity target of 950 MTPA by 2035, with 175 MTPA needed through 2031. Chart acquisition expected to close mid-2026, adding $325 million in cost synergies.
- **Power Generation Growth**: $800 million in Q3 power gen orders, including data center, oilfield, and geothermal solutions. NovaLT orders on track for $1.5 billion+ ahead of 3-year target.

**【CFO Financial Commentary】**
- **Q3 Financials**: GAAP EPS $0.61, Non-GAAP EPS $0.68. Free cash flow $699 million, with full-year conversion target 45-50%.
- **Balance Sheet**: Net debt/EBITDA 0.7x, cash $2.7 billion. Chart deal to maintain 1.0-1.5x leverage post-close via $1 billion+ proceeds from divestitures.
- **Segment Performance**: IET EBITDA up 20% YoY to $635 million (18.8% margin). OFSE EBITDA $671 million (18.5% margin), despite cost inflation.
- **2026 Outlook**: IET targeting 20%+ EBITDA margin. OFSE focused on margin resilience amid soft upstream spending.

**【Q&A Highlights】**
- **Power Gen Demand**: $800 million Q3 orders, including data center, oilfield, and geothermal. NovaLT pipeline extends to 2028+. Geothermal project to power 180,000 homes.
- **Chart Integration**: 14 workstreams targeting $325M cost synergies. Cultural alignment and commercial opportunities driving acceleration.
- **OFSE Margin Resilience**: 18.5% Q3 margin vs. peers, driven by cost-out and productivity. 2026 targeting 20%+ IET margins, OFSE closing peer gap.
- **NovaLT Lead Times**: Orders booked for 2028+ deliveries. $1B+ 2025 orders expected, 1/3 in oil/gas, 2/3 in industrial/data centers.

Baker Hughes Company (BKR) Q3 2025 Earnings Call Transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

BKR

BKR fundamentals

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