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Operating cash flow surged to $5.5B in 2026Q2, covering dividends 40.4 times, while free cash flow of $5.1B funded $2.4B in buybacks, but wind warranty costs may require future cash outlays not yet visible.
GE Vernova Inc. (GEV) cash flow statement — 4-year operating, investing & financing cash flows
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 |
|---|
| Cash from Operations | 14.14B | 4.99B | 2.58B | 1.19B | -114M |
| Operating CF Growth % | 1899.78% | 93.11% | 117.79% | 1140.35% | - |
| Operating CF / Revenue % | 34.18% | 13.1% | 7.39% | 3.57% | -0.38% |
| Net Income | 9.53B | 4.88B | 1.56B | -438M | -2.74B |
| Depreciation & Amortization | 1.2B | 853M | 1.17B | 964M | 991M |
| Deferred Taxes | -1.06B | -2.05B | 316M | 0 | 0 |
| Other Non-Cash Items | -8.01B | -1.61B | -1.81B | -412M | 771M |
| Working Capital Changes | 12.49B | 2.91B | 1.35B | 1.07B | 860M |
| Capital Expenditures | -5.59B | -1.28B | -883M | -744M | -513M |
| CapEx / Revenue % | 13.52% | 3.35% | 2.53% | 2.24% | 1.73% |
| CapEx / D&A | 4.65x | 1.50x | 0.75x | 0.77x | 0.52x |
| CapEx Coverage (OCF/CapEx) | 2.53x | 3.91x | 2.93x | 1.59x | -0.22x |
| Cash from Investing | -4.6B | -755M | -37M | -734M | -322M |
| Acquisitions | -4.23B | 99M | 838M | 60M | 53M |
| Purchase of Investments | -77M | -87M | -114M | -83M | -393M |
| Sale of Investments | 451M | 464M | 244M | 232M | 340M |
| Other Investing | 951M | 46M | -122M | -199M | 191M |
| Cash from Financing | -4.25B | -3.81B | 3.65B | -408M | 811M |
| Dividends Paid | -409M | -275M | 0 | 0 | 0 |
| Dividend Payout Ratio % | - | 5.63% | - | - | - |
| Debt Issuance (Net) | 1000K | 0 | -1000K | 1000K | 1000K |
| Stock Issued | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -5.41B | -3.32B | 0 | 0 | 0 |
| Other Financing | -1B | -222M | 3.67B | -424M | 796M |
| Net Change in Cash | 5.23B | 643M | 6.05B | -516M | 2.07B |
| Exchange Rate Effect | -57M | 223M | -147M | -560M | 1.69B |
| Cash at Beginning | 10.17B | 8.21B | 1.55B | 2.07B | 0 |
| Cash at End | 13.12B | 8.85B | 7.6B | 1.55B | 2.07B |
| Free Cash Flow | 8.54B | 3.71B | 1.7B | 442M | -627M |
| FCF Growth % | 215.55% | 118.29% | 284.62% | 170.49% | - |
| FCF Margin % | 20.66% | 9.75% | 4.87% | 1.33% | -2.11% |
| FCF / Net Income % | 89.67% | 75.98% | 109.54% | -100.91% | 22.92% |
Quick answers to the most common questions about buying GEV stock.
GE Vernova Inc. (GEV) generated $4.99B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
GE Vernova Inc. (GEV) generated $3.71B in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
GE Vernova Inc. (GEV) spent $1.28B on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, GE Vernova Inc. (GEV) returned $275.0M to shareholders via cash dividends and spent $3.32B on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Wind segment warranty exposure
Metrics are mathematically derived from official filings.
OCF Strength Masks Earnings Volatility
Operating cash flow surged to $5.5B in 2026Q2, up from $367M a year earlier, according to the latest quarterly report, indicating robust cash generation from core operations despite volatile net income.
The ten-quarter series shows OCF improving from negative territory in 2024Q1 to consistently positive and accelerating levels, with 2026Q2 representing a 15x year-over-year increase. This suggests that the company's service contracts and equipment sales are converting to cash more efficiently, though the wide swings in net income (from -$130M to $4.7B) indicate that reported earnings are not a reliable proxy for cash generation. The OCF-to-net-income ratio in 2026Q2 (8.2x) highlights that cash flows are being driven by working capital and non-cash items rather than bottom-line profitability, warranting scrutiny of the sustainability of this cash generation pace.
CAPEX Discipline Supports Rate Base Growth
Capital expenditure of $386M in 2026Q2 represented just 7% of operating cash flow, as reported in financial statements, suggesting a capital-light quarter that may not reflect the full investment cycle.
The CapEx/OCF ratio has ranged from 14% to 83% over the past ten quarters, with 2026Q1 showing a significant spike to 82.7% as the company invested $4.3B, likely in grid infrastructure and gas turbine manufacturing capacity. This uneven pattern indicates that capital spending is lumpy and tied to large project awards, such as the $2B data center electrification orders mentioned in recent disclosures. While the low CapEx in 2026Q2 boosted free cash flow to $5.1B, investors should expect higher investment levels in coming quarters to support the 21.9% revenue growth trajectory, which may pressure near-term FCF.
FCF Surplus Funds Buybacks, Not Debt
Free cash flow reached $5.1B in 2026Q2, yet the company repurchased $2.4B of stock, according to the cash flow statement, indicating a capital allocation shift toward shareholder returns.
The company has not issued long-term debt in the past two quarters and has consistently used excess cash for share repurchases, with net stock issuance negative in every quarter since 2025Q1. This suggests that management views the balance sheet as adequately capitalized and is prioritizing returning capital over debt reduction, which is unusual for a capital-intensive utility. The $8.8B cash position reported at spin-off provides a buffer, but the aggressive buyback pace ($2.4B in one quarter) may limit financial flexibility if the Wind segment requires unexpected cash infusions for warranty claims.
Dividend Coverage Robust Despite Modest Yield
Dividends of $136M in 2026Q2 were covered 40.4 times by operating cash flow, as per the latest filing, indicating a highly secure payout despite the company's low dividend yield.
The OCF-to-dividend coverage ratio has improved dramatically from 5.2x in 2025Q2 to 40.4x in 2026Q2, reflecting both rising cash generation and a relatively stable dividend payout. This suggests that the dividend is not a strain on cash resources, even as the company invests heavily in growth. However, the absence of dividends in 2024 (pre-spin) and the modest absolute payout ($136M) indicate that management is prioritizing reinvestment and buybacks over income distribution, which may not appeal to income-focused utility investors.
Non-Cash Gains Distort Cash Flow Quality
Net income of $668M in 2026Q2 was dwarfed by operating cash flow of $5.5B, as reported in financial statements, suggesting significant non-cash or one-time items inflating cash generation.
The gap between net income and OCF, which widened to $4.8B in 2026Q2, likely reflects non-cash gains from the spin-off, tax benefits, or changes in working capital that are not indicative of recurring cash earnings. The prior income statement analysis noted a 50.8% net margin in 2026Q1, which appears unsustainable and may be masking the underlying cash conversion of the business. Investors should strip out these one-time items to assess the true cash-generating ability of the Power, Wind, and Electrification segments, as the reported OCF may overstate the company's ability to fund future CAPEX and dividends.
Wind Warranty Costs Could Drain Cash
Despite strong OCF, the Wind segment's ongoing technical challenges and warranty provisions, as noted in recent disclosures, may require incremental cash outlays that are not yet visible in the cash flow statement.
The cash flow data shows no explicit warranty-related cash outflows, but the prior analysis flagged that offshore wind projects have historically destroyed capital and required retroactive charges. If warranty claims escalate, the company may need to divert cash from buybacks or CAPEX to cover these obligations, potentially reversing the recent FCF surplus. The $2.4B stock repurchase in 2026Q2 could be viewed as aggressive given this contingent liability, and investors should monitor whether the Wind segment's cash burn accelerates in upcoming quarters, which would pressure the company's ability to maintain its current capital return pace.