Babcock & Wilcox Enterprises, Inc. (NYSE:BW) shares surged more than 11% in premarket trading on Monday after the company reported first-quarter 2026 revenue and adjusted EBITDA ahead of market expectations.
The stock rose 11.65% ahead of the opening bell despite the company posting a wider quarterly loss than analysts had forecast.
Revenue Climbs Sharply as Orders Accelerate
The company reported a quarterly loss per share of $0.60, compared with analyst expectations for a loss of $0.04 per share.
Revenue reached $214.4 million for the quarter, comfortably above the consensus estimate of $157.2 million and representing a 44% increase from $148.6 million recorded in the first quarter of 2025.
Babcock & Wilcox said the loss from continuing operations widened to $79.6 million from $15.6 million a year earlier, largely due to $81.8 million in non-cash warrant valuation adjustments and stock-related expenses linked to stronger share price performance.
Excluding those non-cash items, adjusted net income from continuing operations totaled $2.2 million.
Adjusted EBITDA and Backlog Show Strong Growth
Adjusted EBITDA rose sharply to $16.1 million, up 296% from $4.0 million in the same quarter last year and ahead of analyst forecasts.
The company also reported a major increase in bookings, which surged to $2.5 billion during the quarter, marking a 1,971% year-over-year increase.
Backlog expanded to $2.7 billion, up 483% compared with the prior-year period.
“We are pleased to report a strong financial and operational start to 2026 as first quarter revenue and Adjusted EBITDA exceeded Company and consensus street expectations,” said Chairman and Chief Executive Officer Kenneth Young.
Company Reaffirms Full-Year Outlook and Cuts Debt
Babcock & Wilcox reaffirmed its full-year 2026 adjusted EBITDA guidance range of $80 million to $100 million for its core operations.
The midpoint of the range, $90 million, remains the company’s central forecast for the year.
The company also continued strengthening its balance sheet, reducing net debt by 87% to $42.4 million at the end of the quarter.
During the period, Babcock & Wilcox repaid $15 million in outstanding bonds due in December 2026.