AI wave drives explosive growth in power demand GE Vernova (GEV.US) raises full-year performance guidance

Driven by strong demand for power equipment from data centers, GE Vernova (GEV.US) raised its annual revenue and adjusted core profit margin forecasts on Wednesday. The financial report shows that GE Vernova's first-quarter revenue reached $9.34 billion, a year-on-year increase of 16.3%, exceeding expectations; earnings per share were $17.44, higher than the expected $15.44. Adjusted core profit was $896 million, while analysts had expected $777.2 million. According to data from the U.S. Energy Information Administration (EIA), electricity consumption in the United States hit a new historical high for the second consecutive year in 2025 and is expected to further increase in 2026 and 2027, partly driven by "power-hungry" data centers focusing on artificial intelligence technology. GE Vernova CEO Scott Strazik stated that the company expects gas turbine orders and reserved capacity agreements to total at least 110 gigawatts (GW) by the end of this year. The company currently expects revenue for 2026 to be between $44.5 billion and $45.5 billion, higher than the previous estimate of $44 billion to $45 billion. According to data compiled by LSEG, analysts had previously forecasted average revenue of $44.5 billion for GE Vernova in 2026. The company also anticipates an adjusted core profit margin of 12% to 14% for 2026, higher than the previous estimate of 11% to 13%. Analysts' average expectation is 13.7%. The report shows that first-quarter orders amounted to $18.3 billion, with organic growth exceeding 71%, mainly driven by growth in the power, electrification, and wind energy sectors. In particular, the electrification sector reported core profits of $528 million, higher than the $205 million from the same period last year; while the power sector's core profits were $811 million, an increase of nearly 57%.