Q3 Order Backlog and Outlook
BKR's orders increased by 17% to $8.2 billion in Q3 compared to Q2, while its total book-to-bill ratio improved to 1.2x in Q3. Its OFSE segment saw softening margins, reflecting a tougher macro environment and slower upstream spending. Despite that, strong IET orders and backlog reinforced the management’s views of a durable, visible outlook supported by disciplined execution and resilient margins.
Among the key developments in Q3, BKR announced its intent to acquire Chart Industries in July for $13.6 billion. Chart Industries is a global leader in process technologies and equipment for gas and liquid handling, with end-to-end solutions across the liquid gas supply chain. BKR won key agreements in Q3, including gas turbine and compressor orders for NextDecade’s Rio Grande and Sempra’s Port Arthur projects. It secured additional compressor awards in the Middle East and offshore equipment contracts. The company expanded its long-term service portfolio with BP’s infrastructure projects. It also advanced its New Energy business with geothermal equipment for Fervo Energy’s Cape Station.
Revenue and EBITDA increased in Q3: In the IET segment, revenues increased by 2% quarter-over-quarter, driven primarily by higher revenues from Gas Technology Services and Business System deployments. EBITDA went up by 9% in Q3, reflecting structural cost improvements and better product mix. Revenues in the Oilfield Services & Equipment segment grew modestly in Q3 (1% up), although EBITDA contracted due to lower volume, inflation, and business mix deterioration.
Cash Flows Improved: BKR's cash flow from operations remained unchanged in 9M 2025 compared to a year ago. Its FCF also increased moderately during this period. Debt-to-equity (0.33x) improved marginally compared to December 31, 2024.
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