July 22 (Reuters) - GE Vernova on Wednesday raised its annual revenue forecast for the second quarter in a row, boosted by strong demand and rising order in its power unit.
U.S. power consumption is forecast to rise in 2026 and 2027 as data center expansion and electrification drive demand, with commercial-sector demand expected to outpace residential this year.
CEO Scott Strazik said the company expects to have at least 125 gigawatts of gas equipment under contract by the end of 2026 and remains on track
to reach annual gas turbine output of 20 GW in the third quarter of 2026, rising to 24 GW in 2028.
The company said it now expects revenue of $45.5 billion to $46.5 billion in 2026, compared with its prior view of $44.5 billion to $45.5 billion and analysts' estimates of $45.45 billion, according to data compiled by LSEG.
It also raised its annual free cash flow forecast to $11.5 billion-$12.5 billion from its previous range of $6.5 billion-$7.5 billion.
The electrification unit reported a core profit of $671 million, up from $314 million a year ago, while the power unit posted $1.03 billion, nearly a 31.3% rise.
The company reported $24.2 billion in orders in the second quarter, compared with $12.4 billion last year.
The company expects global tariffs to increase its costs by about $100 million to $200 million in 2026, even after accounting for contract protections and efforts to recover some tariff-related costs.
(Reporting by Sumit Saha in Bengaluru; Editing by Vijay Kishore and Jonathan Ananda)
