Record Performance in Power Systems and Distribution Segments
Power Systems segment achieved record revenues of $1.9 billion and EBITDA of $433 million, driven by strong demand in data center and mission-critical applications.
Distribution segment also posted record EBITDA of $445 million, with a 14.6% margin, benefiting from higher Power Generation demand and operational efficiencies.
Management emphasized operational improvements and capacity expansion, with capacity doubling expected to be fully online by early 2026.
AECOM's third quarter 2025 financial results exceeded expectations with record NSR, margins, EBITDA, EPS, backlog, and pipeline.
Backlog and contracted backlog both grew sequentially and year-over-year, reaching all-time highs.
Business development expenses increased above prior year and plan, supporting strong pipeline and backlog growth.
Capital allocation included returning nearly $240 million to shareholders year-to-date and maintaining a strong balance sheet with net leverage of 0.6.
Free cash flow increased by 27% year-to-date, with $262 million generated in the quarter.
International segment NSR grew 3%, driven by the U.K. and Middle East, with an 11.9% adjusted operating margin.
Organic NSR growth accelerated to 6%, led by 8% growth in the Americas segment, the highest margin segment.
Segment adjusted operating margin reached a record 17.1%, a 90 basis point improvement year-over-year.
The Americas segment NSR grew 8% with a 20.5% adjusted operating margin, a new quarterly record.
Third quarter adjusted EBITDA and EPS increased by 10% and 16%, respectively; year-to-date increases were 9% and 20%.
Adjusted EBITDA from continuing operations was $15.1 million in Q2 2025, a 90% increase from $8 million in Q2 2024, driven by higher-margin parts and services business growth.
Babcock & Wilcox Enterprises reported second quarter 2025 consolidated revenues of $144.1 million, slightly lower than Q2 2024 due to timing of large projects but offset by a $15.4 million increase in parts and services revenue.
For the first half of 2025, revenues from continuing operations were just under $300 million, up from $292.3 million in the first half of 2024, with adjusted EBITDA more than doubling to $21.2 million.
Net loss from continuing operations narrowed to $6.1 million in Q2 2025 compared to a $20.5 million loss in Q2 2024.
Operating income improved to $8.1 million in Q2 2025 from an operating loss of $4.4 million in Q2 2024.
The sale of Diamond Power International generated $177 million in gross proceeds, improving the balance sheet and reducing net debt to approximately $203.9 million after debt repayments.
Dafinchi