GE Vernova's first-quarter revenue beat analyst estimates due to strength in the power and electrification divisions. The company's stock rose nearly 9% Wednesday.

The results are coming at a moment when the power sector is bracing itself for the impact of Trump's policies, including sweeping tariffs that have disrupted the supply chain, increased costs, and threatened the futures of offshore wind projects.

The power equipment manufacturer reaffirmed their annual revenue forecast between $36 billion and $37 billion. However, they added that this includes a tariff-related cost impact of $300 to $400 million.

GE Vernova said that tariffs and costs related to steel would affect nearly a quarter (24%) of its annual expenditures.

The company also stated that the offshore wind industry is most vulnerable to tariffs. The unit already faces challenges like project delays, increased costs and supply-chain issues.

The business suffered a loss of core $146 million in the first quarter as orders fell by 44%, to $640 millions.

GE Vernova reported total orders of $10,2 billion for the third quarter, an increase of approximately 8%.

The electrification segment's core profit more than tripled in the first quarter to $214 millions, while GE Vernova’s largest division, the power segment, reported a core profit of $508 million, compared to $345 million a yeaear earlier.

A surge in demand for electricity prompted the company to add 7 gigawatts of gas turbines, bringing their backlog up to 29 GW.

LSEG data shows that GE Vernova's revenue for the third quarter was $8.03billion, compared to the $7.54billion average analyst estimate. (Reporting and editing by Shounak dasgupta in Bengaluru)

(source: Reuters)