Babcock & Wilcox(US:BW) Benzinga·2025-11-05 08:54Core Viewpoint - Babcock & Wilcox Enterprises Inc. (BW) experienced a significant stock price increase of 31.82% to $4.93 in after-hours trading following multiple announcements, including a major AI data center contract and strong third-quarter earnings results [1]. Group 1: Major Announcements - The company secured a $1.5 billion contract with Applied Digital Corp. to supply and install natural gas technology for an AI data center project, which includes designing and building four 300-megawatt power plants [1][3]. - Babcock & Wilcox reported third-quarter revenues of $149.0 million, with operating income increasing by 306% to $6.5 million year-over-year [5]. - The company announced the sale of its Allen-Sherman-Hoff business for $29 million and plans to redeem all remaining February 2026 bonds [1][6]. Group 2: Financial Performance - Adjusted EBITDA for the third quarter was $12.6 million, up from $8.0 million, exceeding both company and consensus expectations [5]. - The loss per common share improved to $0.06 compared to $0.13 in the prior year period [5]. Group 3: Debt Management - Babcock & Wilcox completed asset sales totaling $206 million, including $177 million from Diamond Power International and $29 million from Allen-Sherman-Hoff [6]. - The company plans to redeem $26 million in principal amount of its 8.125% Senior Notes due in 2026 on December 5, 2025 [7]. Group 4: Market Performance - Year-to-date, Babcock & Wilcox shares have gained 116.18%, with a market capitalization of $378.1 million [8]. - The stock has traded between $0.22 and $4.12 over the past 52 weeks, indicating strong momentum in the 99th percentile [8].