Revenue surged 121.9% YoY to $319.7M in 2026Q2, with net income turning positive at $10.5M (EPS $0.07), but this follows four consecutive quarters of GAAP losses averaging -$30.4M, and gross margins remain volatile, swinging from 36.6% in 2024Q4 to 18.7% in 2025Q1.
Babcock & Wilcox Enterprises, Inc. (BW) annual income statement — 13-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 |
|---|
| Sales/Revenue | 844.14M | 587.68M | 717.33M | 727.32M | 609.44M | 710.87M | 566.32M | 859.11M | 1.06B | 1.56B | 1.58B | 1.76B | 1.59B | 1.77B |
| Revenue Growth % | 48.41% | -18.07% | -1.37% | 19.34% | -14.27% | 25.53% | -34.08% | -19.13% | -31.8% | -1.3% | -10.19% | 10.54% | -10.07% | - |
| Cost of Goods Sold | 675.61M | 443.82M | 540.31M | 550.61M | 464.3M | 535.83M | 400.46M | 698.85M | 1.19B | 1.46B | 1.4B | 1.45B | 1.36B | 1.33B |
| COGS % of Revenue | - | 75.52% | 75.32% | 75.7% | 76.19% | 75.38% | 70.71% | 81.35% | 112.2% | 93.59% | 88.65% | 82.46% | 85.82% | 75.31% |
| Gross Profit | 168.53M | 143.85M | 177.03M | 176.7M | 145.13M | 175.05M | 165.85M | 160.26M | -129.64M | 99.88M | 179.2M | 308.16M | 225.36M | 436.48M |
| Gross Margin % | 19.97% | 24.48% | 24.68% | 24.3% | 23.81% | 24.62% | 29.29% | 18.65% | -12.2% | 6.41% | 11.35% | 17.54% | 14.18% | 24.69% |
| Gross Profit Growth % | - | -18.74% | 0.18% | 21.75% | -17.09% | 5.54% | 3.49% | 223.61% | -229.8% | -44.26% | -41.85% | 36.74% | -48.37% | - |
| Operating Expenses | 137.29M | 120.94M | 151.94M | 160.1M | 146.29M | 155.63M | 167.59M | 189.64M | 227.11M | 269.21M | 257.5M | 256.51M | 260.45M | 225.11M |
| OpEx % of Revenue | - | 20.58% | 21.18% | 22.01% | 24% | 21.89% | 29.59% | 22.07% | 21.38% | 17.28% | 16.31% | 14.6% | 16.38% | 12.74% |
| Selling, General & Admin | 135.11M | 119.48M | 141.48M | 150.15M | 152.7M | 164.85M | 154.62M | 179.01M | 223.33M | 259.8M | 247.1M | 239.97M | 241.7M | 204.07M |
| SG&A % of Revenue | - | 20.33% | 19.72% | 20.64% | 25.06% | 23.19% | 27.3% | 20.84% | 21.02% | 16.68% | 15.66% | 13.66% | 15.2% | 11.54% |
| Research & Development | 1.63M | 1.46M | 5.79M | 7.2M | 2.56M | 1.59M | 4.38M | 2.86M | 3.78M | 9.41M | 10.4M | 16.54M | 18.75M | 21.04M |
| R&D % of Revenue | - | 0.25% | 0.81% | 0.99% | 0.42% | 0.22% | 0.77% | 0.33% | 0.36% | 0.6% | 0.66% | 0.94% | 1.18% | 1.19% |
| Other Operating Expenses | 553K | 0 | 4.67M | 2.75M | -8.96M | -10.82M | 8.59M | 7.77M | 0 | 0 | -2.4M | -1.22M | 1.16M | 1.44M |
| Operating Income | 31.25M | 22.91M | 25.08M | 16.61M | -1.15M | 19.42M | -1.74M | -29.38M | -426.6M | -281.56M | -102.8M | 21.86M | -57.52M | 210.23M |
| Operating Margin % | 3.7% | 3.9% | 3.5% | 2.28% | -0.19% | 2.73% | -0.31% | -3.42% | -40.15% | -18.08% | -6.51% | 1.24% | -3.62% | 11.89% |
| Operating Income Growth % | - | -8.65% | 51.06% | 1538.91% | -105.94% | 1218.13% | 94.09% | 93.11% | -51.51% | -173.9% | -570.24% | 138.01% | -127.36% | - |
| EBITDA | 41.59M | 33.05M | 41.79M | 37.6M | 22.84M | 37.76M | 15.07M | -5.78M | -398.08M | -251.12M | -63.22M | 56.79M | -21.06M | 233.26M |
| EBITDA Margin % | 4.93% | 5.62% | 5.83% | 5.17% | 3.75% | 5.31% | 2.66% | -0.67% | -37.47% | -16.12% | -4.01% | 3.23% | -1.32% | 13.2% |
| EBITDA Growth % | 3091.73% | -20.92% | 11.15% | 64.64% | -39.52% | 150.59% | 360.83% | 98.55% | -58.52% | -297.23% | -211.31% | 369.66% | -109.03% | - |
| D&A (Non-Cash Add-back) | 10.34M | 10.14M | 16.71M | 21M | 23.99M | 18.34M | 16.8M | 23.61M | 28.52M | 30.45M | 39.58M | 34.93M | 36.45M | 23.03M |
| EBIT | -40.65M | 16.04M | -14.64M | -23.41M | 34.68M | 60.81M | 39.41M | -80.06M | -506.19M | -297.89M | -117.17M | 21.41M | -36.13M | 212.95M |
| Net Interest Income | -22.81M | -36.05M | -45.33M | -41.49M | -39.21M | -33M | -59.15M | -93.98M | -49.37M | -25.43M | -2.99M | -441K | 568K | 814K |
| Interest Income | 2.15M | 4.56M | 814K | 1.08M | 586K | 531K | 646K | 923K | 244K | 507K | 810K | 618K | 1.06M | 1.28M |
| Interest Expense | 24.95M | 40.61M | 46.15M | 42.57M | 39.8M | 33.53M | 59.8M | 94.9M | 49.61M | 25.93M | 3.8M | 1.06M | 492K | 462K |
| Other Income/Expense | -96.85M | -47.48M | -85.87M | -82.58M | -3.96M | 7.86M | -2.18M | -95.06M | -129.2M | -35.98M | -16.83M | -1.66M | 1.36M | 2.26M |
| Pretax Income | -65.6M | -24.57M | -60.79M | -65.98M | -5.12M | 27.29M | -3.92M | -124.45M | -555.8M | -314.2M | -108.1M | 20.2M | -55.69M | 212.49M |
| Pretax Margin % | -7.77% | -4.18% | -8.47% | -9.07% | -0.84% | 3.84% | -0.69% | -14.49% | -52.32% | -20.17% | -6.85% | 1.15% | -3.5% | 12.02% |
| Income Tax | 5.71M | 8.28M | 12.17M | 9.82M | 9.07M | -2.03M | 8.18M | 5.29M | 102.22M | 64.82M | 6.9M | 3.67M | -29.53M | 72.01M |
| Effective Tax Rate % | -8.7% | -33.7% | -20.02% | -14.88% | -177.34% | -7.43% | -208.75% | -4.25% | -18.39% | -20.63% | -6.38% | 18.17% | 53.02% | 33.89% |
| Net Income | -93.01M | -36.16M | -59.91M | -197.21M | -22.86M | 30.89M | -10.32M | -121.97M | -725.29M | -379.82M | -115.6M | 19.14M | -26.53M | 174.53M |
| Net Margin % | -11.02% | -6.15% | -8.35% | -27.11% | -3.75% | 4.35% | -1.82% | -14.2% | -68.27% | -24.38% | -7.32% | 1.09% | -1.67% | 9.87% |
| Net Income Growth % | 17.73% | 39.65% | 69.62% | -762.64% | -174% | 399.42% | 91.54% | 83.18% | -90.95% | -228.57% | -703.94% | 172.15% | -115.2% | - |
| Net Income (Continuing) | -71.31M | -32.85M | -72.96M | -75.79M | -14.19M | 29.31M | -12.1M | -129.73M | -658.02M | -381.26M | -122.33M | 16.53M | -11.89M | 140.48M |
| Discontinued Operations | -1000K | -3.31M | 13.18M | -121.18M | -12.4M | 2.23M | 1.8M | 694K | 0 | 2.24M | 0 | 2.8M | 0 | 34.34M |
| Minority Interest | 0 | 0 | 591K | 611K | 485K | 25.47M | 1.1M | 1.42M | 8.83M | 8.6M | 8.8M | 719K | 1.03M | 924K |
| EPS (Diluted) | -0.60 | -0.48 | -0.82 | -2.38 | -0.43 | 0.26 | -0.21 | -3.87 | -52.45 | -40.34 | -11.50 | 1.78 | -2.47 | 16.24 |
| EPS Growth % | 48.82% | 41.46% | 65.55% | -453.49% | -265.38% | 223.81% | 94.57% | 92.62% | -30.02% | -250.78% | -746.07% | 172.06% | -115.21% | - |
| EPS (Basic) | - | -0.48 | -0.82 | -2.38 | -0.43 | 0.26 | -0.21 | -3.87 | -52.45 | -40.34 | -11.50 | 1.78 | -2.48 | 16.30 |
| Diluted Shares Outstanding | 154.51M | 105.4M | 91.72M | 89M | 88.3M | 83.6M | 48.7M | 31.5M | 13.83M | 9.42M | 10.06M | 10.77M | 10.75M | 10.75M |
| Basic Shares Outstanding | 142.33M | 105.4M | 91.72M | 89M | 88.3M | 82.4M | 48.7M | 31.5M | 13.83M | 9.42M | 10.06M | 10.73M | 10.71M | 10.71M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | 1.26% | - | - |
Quick answers to the most common questions about buying BW stock.
For fiscal year 2025, Babcock & Wilcox Enterprises, Inc. (BW) reported total revenue of $587.7M. This represents a 66.8% decline compared to $1.77B in 2013.
Babcock & Wilcox Enterprises, Inc. (BW) reported a net loss of $36.2M for the fiscal year ending 2025.
Babcock & Wilcox Enterprises, Inc. (BW) reported an operating income of $22.9M, resulting in an operating profit margin of 3.9%. This margin reflects the operational efficiency of the business before interest and taxes.
Babcock & Wilcox Enterprises, Inc. (BW) generated $143.9M in gross profit for the year, representing a gross profit margin of 24.5%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Persistent GAAP losses and revenue decline
Metrics are mathematically derived from official filings.
Revenue Volatility Masks Underlying Mix Shift
BW's revenue swung from $233.6M in 2024Q2 to $319.7M in 2026Q2, a 121.9% YoY surge, yet the 2025Q2 figure was $144.1M, indicating extreme quarter-to-quarter volatility. According to recent SEC filings, this suggests project timing dominates.
The 121.9% YoY growth in 2026Q2 is misleading given the prior year's depressed base; sequential revenue jumped from $214.4M in 2026Q1, implying a lumpy project pipeline. The 18.07% contraction over the trailing year, per reported figures, suggests a deliberate shedding of low-margin volume or demand softness. Investors should monitor backlog conversion to assess whether this growth is durable or a one-off project recognition.
Gross Margin Instability Reflects Project Mix
Gross margin swung from 36.6% in 2024Q4 to 18.7% in 2025Q1, with 2026Q2 data unavailable, per financial statements. This volatility indicates a mix of high-margin aftermarket parts and lower-margin construction work.
The 30.0% gross margin in 2025Q2 versus 18.7% in 2025Q1 highlights the impact of project mix and execution. The absence of gross margin data for 2026Q2 limits analysis, but the operating margin of 3.7% suggests that overhead absorption remains a challenge. A shift toward technology licensing could structurally improve margins, but current evidence is mixed.
Operating Leverage Elusive Amid Cost Pressures
Operating income swung from $42.2M in 2024Q2 to -$1.2M in 2026Q1, with SG&A fluctuating between $6.4M and $50.4M, per reported figures. This suggests that fixed costs are not scaling efficiently with revenue.
The 2026Q2 operating margin of 3.7% on $319.7M revenue implies that SG&A of $33.7M is relatively contained, but the prior quarter's -0.5% margin on $214.4M revenue shows that overhead cannot be easily flexed. The negative operating income in several quarters indicates that the cost structure is not yet aligned with the revenue base. Management's cost discipline appears inconsistent, as SG&A spiked in 2024Q2 and 2026Q1.
GAAP Losses Persist Despite Adjusted Beat
Net income was $10.5M in 2026Q2, a positive outlier, but the prior four quarters averaged -$30.4M, per income statement data. Stock-based compensation of $1.6M in 2026Q2 is modest, yet the negative net margin of -6.2% persists.
The 2026Q2 EPS beat of $0.07 versus -$0.03 estimate appears driven by one-time gains or cost timing, as GAAP net income turned positive for the first time in five quarters. However, the -$76.9M net loss in 2026Q1, which included a large SBC charge of $13.2M, suggests that earnings quality is volatile. Investors should scrutinize the sustainability of the positive quarter, as the trailing twelve-month net margin remains deeply negative.
Cost Structure Dominated by Variable Project Costs
COGS averaged $118.9M over the last five quarters, with gross margins ranging from 18.7% to 30.0%, per financial statements. SG&A has been relatively stable at $28-44M, but R&D is minimal, indicating a focus on project execution over innovation.
The high COGS relative to revenue underscores the project-based nature of BW's business, with raw materials and labor costs directly tied to contract volume. SG&A as a percentage of revenue improved to 10.5% in 2026Q2 from 20.4% in 2026Q1, suggesting some overhead leverage. However, the persistent negative net margin indicates that cost discipline has not yet translated to profitability, and the low R&D spend may limit future technology differentiation.
2026Q2 Marks Potential Turnaround Inflection
2026Q2 delivered the first positive net income ($10.5M) and EPS ($0.07) in five quarters, with revenue surging 121.9% YoY, per reported figures. This could signal a shift from restructuring to growth, but sustainability is unproven.
The quarter's operating income of $11.8M on $319.7M revenue represents a significant improvement from the -$1.2M operating loss in 2026Q1. The revenue jump likely reflects a major project milestone or new contract recognition, but the -18.1% YoY revenue decline over the trailing year suggests that this may be a one-off. If BW can maintain this margin profile while growing revenue, it would mark a structural inflection, but the negative net margin in prior quarters warrants caution.
Short Thesis: Revenue Decline and GAAP Losses
Despite the 2026Q2 beat, revenue is down 18.1% YoY and net margin is -6.2%, per income statement data. Short-sellers would argue that the positive quarter is a mirage, masking a shrinking core business.
The 2026Q2 revenue of $319.7M is an outlier compared to the $144-214M range of the prior four quarters, suggesting that the growth is not organic but project-timing driven. The persistent negative net income in most quarters indicates that the company is not generating sustainable profits, and the high volatility in margins and earnings makes forecasting unreliable. If revenue reverts to the mean, the positive EPS could quickly reverse, exposing the lack of a durable competitive advantage.