Broadwind (BWEN) investor relations material

Executive summary

• Advanced business transformation strategy centers on Gearing and Industrial Solutions, with a strategic exit from wind tower production and divestiture of Abilene and Manitowoc facilities, expected to complete by Q3 2026.

• Achieved strong revenue growth and profitability in Gearing (up 42% year-over-year) and Industrial Solutions (up 64% year-over-year), driven by power generation and critical infrastructure demand.

• Total Q1 2026 revenue was $34.1 million, down 7.5% year-over-year due to declines in Heavy Fabrications, partially offset by core segment growth.

• Strategic capital redeployment targets bolt-on acquisitions and organic investments in power generation, infrastructure, and higher-margin businesses.

• Profitability in core segments reached scale in Q1 2026, with improved balance sheet flexibility and focus on recurring revenue markets.

Financial highlights

• Q1 2026 consolidated revenue was $34.1 million, down from $36.8 million in Q1 2025.

• Adjusted EBITDA was $2.2 million (6.5% margin), down from $2.4 million year-over-year but up 16% sequentially.

• Gross profit for Q1 2026 was $4.3 million, down from $4.7 million in Q1 2025.

• GAAP net loss for Q1 2026 was $0.5 million, or $(0.02) per share, compared to a net loss of $0.4 million in Q1 2025.

• Q1 orders exceeded $37 million, with significant growth in Gearing and Industrial Solutions.

Outlook and guidance

• Full-year 2026 financial guidance withdrawn following the sale of the Abilene facility.

• Exiting the wind market by September 2026, with Heavy Fabrications leasing Abilene until then to complete orders.

• Expect continued strong demand and revenue ramp-up in Gearing and Industrial Solutions, with record backlogs extending into 2027 and some orders into 2028.

• Book-to-bill ratio of 1.6x in Industrial Solutions supports growth expectations for 2026.

• Anticipate improved utilization and profitability as the business shifts to higher-margin markets.