Baker Hughes Co - Class A

Baker Hughes kicked off 2024 with a convincing beat on both the top and bottom lines, reporting first-quarter earnings per share of $0.43 against a consensus estimate of $0.40, a 7.50% beat, while revenue of $6.42 billion edged past the $6.37 billion forecast and climbed 12.3% year over year. The standout driver was the Industrial & Energy Technology segment, where revenue surged 23% year over year to $2.63 billion, fueled by a 46% jump in Gas Technology Equipment revenue as global demand for turbomachinery and liquefaction systems accelerated; the segment's operating income rose 37% to $330 million. Adjusted EBITDA reached $943 million, up 21% from a year ago, and the company generated $502 million in free cash flow while returning $368 million to shareholders through dividends and buybacks, raising its quarterly dividend 11% to $0.21 per share. With a remaining performance obligation backlog of $32.70 billion, heavily weighted toward IET, and management affirming the company exceeded its EBITDA margin guidance midpoint, Baker Hughes signaled confidence it remains on track to meet full-year targets.