BWXT Q3 Non-GAAP EPS Rises 26.0% to $1.26; Guidance Tightened, 2027 Outlook Issued
BWX Technologies grew third-quarter earnings in both of its business segments and gave investors a first look at 2027, calling for another year of high-single-digit revenue growth. Revenue rose 10.0% to $953.0 million from $866.3 million a year earlier, according to its 8-K.
Net income increased 24.1% to $102.0 million, or $1.11 a diluted share, from $82.2 million, or $0.89 a share. Non-GAAP earnings rose 26.0% to $1.26 a share from $1.00. Adjusted EBITDA climbed 18.9% to $179.7 million from $151.1 million.
"We had strong third quarter 2026 earnings performance, highlighting our intense focus on operational excellence and cash generation," President and Chief Executive Officer Rex Geveden said.
Segment results
Government Operations revenue rose 3.6% to $639.1 million, driven by special materials and advanced nuclear work, partly offset by lower naval propulsion volume. Segment operating income rose to $122.6 million from $97.4 million.
Commercial Operations revenue grew 25.2% to $314.2 million, led by commercial nuclear components, services and medical. Segment operating income rose to $26.3 million from $24.0 million.
The company said its BWXT Advanced Nuclear Reactor technology was selected for the U.S. Army's Janus Program at Fort Campbell and for Prodigy Clean Energy's transportable nuclear power plant project in Canada.
Guidance tightened
BWXT reaffirmed 2026 revenue guidance of an estimated $3.8 billion, the company said. It tightened its non-GAAP EPS range to $4.72 to $4.77 from $4.70 to $4.80 and its free cash flow range to $350 million to $360 million from $345 million to $360 million. Adjusted EBITDA guidance now sits at the $667 million midpoint of the prior $662 million to $672 million range.
For 2027, the preliminary outlook calls for high-single-digit revenue growth and high-single-digit to low-double-digit growth in adjusted EBITDA and non-GAAP EPS. The company said its expected adjusted EBITDA growth is ahead of the framework it gave at its 2026 investor day.
"We are in the early-stages of a multi-decadal investment cycle as our customers seek to address economic security, national security, and energy security challenges with nuclear solutions," Geveden said.
Cash flow and dividend
Operating cash flow rose to $202.7 million from $143.2 million, and free cash flow increased 58.6% to $150.5 million from $94.9 million.
BWXT paid $24.7 million in dividends, or $0.27 a share, in the quarter. On Oct. 28, the board declared a quarterly dividend of $0.27 a share, payable Dec. 10 to shareholders of record on Nov. 19.
By the numbers
- Revenue: $953.0 million, up 10.0%
- Diluted EPS: $1.11 vs. $0.89
- Non-GAAP EPS: $1.26, up 26.0%
- Adjusted EBITDA: $179.7 million, up 18.9%
- Free cash flow: $150.5 million, up 58.6%
- 2026 non-GAAP EPS guidance: $4.72 to $4.77
Sources
- BWX Technologies Form 8-K with third-quarter 2026 earnings release, filed Nov. 2, 2026 (accession 0001486957-26-000053)
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