BWX Technologies (BWXT) Q1 2026 earnings summary

Executive summary

• First quarter 2026 revenue rose 26% year-over-year to $860.2 million, with 11% organic growth, and adjusted EBITDA up 14%; net income increased to $91.2 million and EPS rose 22%, all ahead of expectations.

• Backlog reached $8.7 billion, up 77% year-over-year and 19% sequentially, driven by strong government bookings and commercial demand.

• Commercial nuclear demand is accelerating in the U.S., Canada, and Europe, with strategic moves to expand U.S. manufacturing capacity.

• Acquisition of Precision Components Group for ~$200 million expands U.S. commercial nuclear manufacturing footprint.

• Disciplined growth investments continue across advanced nuclear, national security, and medical markets.

Financial highlights

• Q1 2026 revenue: $860.2 million, up 26% year-over-year; adjusted EBITDA: $148 million, up 14%; adjusted EPS: $1.12, up 22%; net income: $91.2 million.

• Free cash flow was $50 million, up 190% year-over-year; capital expenditures were $43 million, with full-year CapEx expected at ~6% of sales.

• Adjusted effective tax rate for Q1 was 15.8%; full-year tax rate guidance is less than 21.5%.

• Dividend of $0.27 per share paid in Q1 2026, with next dividend declared for June 2026.

• Cash and cash equivalents at quarter-end were $512.4 million.

Outlook and guidance

• 2026 revenue guidance raised to at least $3.75 billion, up high teens percent from 2025; organic growth in low teens.

• Adjusted EBITDA guidance raised to $650–$665 million; non-GAAP EPS guidance: $4.60–$4.75.

• Free cash flow guidance: $315–$330 million; full-year EBITDA expected to be 55% weighted to the second half.

• Guidance excludes contribution from the Precision Components Group acquisition.

• Commercial operations revenue growth expected at ~30%, with low teens in commercial power and high teens in medical.